Local cement manufacturer Savannah Cement has expressed an interest to join prequalified road contractors as a materials supplier in the new Kshs 260Billion annuity financing program.


The new program, which is expected to kick off in January next year will see a pool of 49 shortlisted road construction contractors commencing works to develop the first phase of a projected 10,000Kms tarmacked roads in the next five years.

Under the annuity program, the government will negotiate uniform loans from banks while the contractors will design, build and maintain the roads. The first phase of the programme will cover a projected 2,000kms at an estimated cost of Kshs 40 Billion and is expected to act as a pilot for the new alternative road construction financing model.

By expressing commitment to partner with the shortlisted contractors, Savannah Cement becomes the first Cement Company and major materials supplier to firmly endorse the new road construction financing model.

Speaking during an Institution of Engineers of Kenya (IEK) symposium on annuity financed road projects, Savannah Cement Managing Director Ronald Ndegwa said that the firm will be at hand to support the prequalified contractors through the supply of specially formulated road construction cement products. During the symposium officiated by Infrastructure Principal Secretary John Mosonik, Ndegwa pointed out that Savannah Cement  will also provide technical support and logistics solutions to the contractors to guarantee cost efficiencies.

“As a key materials supplier, Savannah Cement acknowledges that existing infrastructure funding gaps can be drastically reduced by eliminating inefficiencies and adoption of appropriate technologies and financing strategies such as the annuity programme,” Ndegwa noted.  “In addition to such support, we have also gone a step further to develop a Hydraulic Road Binder (HRB) to be used in stabilization of soils and gravels in road construction projects,” he added.

The new Savannah Cement HRB product, he disclosed, will retail at cheaper cost than conventional cement and lime mixes which are routinely used for soil stabilization in road construction. Consequently, the new Savannah Cement HRB product is expected to contribute at least 30% approximate cost savings in stabilization costs.

Savannah Cement, recently expressed a commitment to produce market driven products in a collaborative partnership with local building and construction professionals’.

“At Savannah Cement, we are committed to partnering with all players in the building sector to provide solutions in the construction industry,” Ndegwa assured. Adding that: “in this process, we are willing to involve stakeholders such IEK in our product development processes; to ensure we deliver market driven products.”

To grow its local and regional market share Savannah Cement has already lined up development projects valued at more than US$300Million which include an investment plan to establish a clinker manufacturing facility and commission the second grinding plant at its production complex, near Kitengela township.

Already, Savannah Cement has invested more than US$100million to develop one of the most advanced and ecofriendly cement manufacturing plants in sub-Sahara Africa with a 1.5million tons annual production capacity.

The Savannah Cement boss explained that the firm’s manufactured cement types (Savannah 32.5R and Savannah 42.5R) are uniquely formulated to meet all building needs. Carrying the ‘R’ quality classification, Savannah Cement products are specially formulated to provide Rapid strength development which ensures improved customer profitability through enhanced productivity and construction efficiency.

Savannah Cement, products also provide enhanced strength at all ages assuring superior concrete performance as well as unmatched durability with great aesthetics.


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