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Showing posts from April, 2013

Lapsset Corridor:US$500million down $23billion to go

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 The first three Berths: Contract Out. THE KENYA GOVERNMENT has shot the first volley in the proposed development of the Lamu Port South Sudan Ethiopia transport corridor, Lapsset. It has awarded the first contract in the US$23 billion project.  The contract for the construction of the first three berths of the 32-berth Lamu Port will cost US500 million and is fully funded by the Kenya government. A consortium of Chinese construction companies led by China Communications Construction Company has won the contract. The work includes; the construction of; one general cargo berth, one bulk cargo and a container berth at Manda Bay, Lamu. Lamu port is designed to be a mega port, receiving any post-panamax vessel. Consequently, all berths will be dredged to a depth of 18.5 Metres. Other works include construction of; a 113 Ha hard standing yard, internal roads, Administration buildings, slipways and workshops for small crafts and associated infrastructure such as water supply,

Kenya’s electricity generation: A hot investment spot

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A Geothermal Power station: A favourite  source of electric power in Kenya KENYA'S ELECTRICITY  generation sector is an investment hot spot.  The country plans to increase its power generating capacity by 17000 MW by the year 2030 when it will transit to an emerging economy status. The capacity currently is less than 1500 MW hence the mad rush to hit targets in just 17 years.  The bulk of this power will come from clean and renewable sources such wind, geothermal and solar sources.  According to experts in the energy sector, on average, it costs US$2.5 million to produce a MW of electricity. This means that to produce 17,000 MW will cost a massive US$42.5 billion for an average investment of US$2.5 billion a year.  In terms of the amount of investment needed, electricity generation is way bigger than the Lapsset Corridor. Lapsset is an acronym for Lamu Port, South Sudan Ethiopia transport corridor. It will comprise of 2000 Kilometres of crude Oil Pipeline, 1700 KM of s

Change your Mind set on Africa, West told

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Proposed Konza techno city in Kenya:  There's room for all THE  WESTERN mind set, say commentators on the previous essay , is predatory, while China’s model is collaborative. In fact one  saw China as the latest “Colonial Power in Africa,” arguing that China is building infrastructure for its own good- “to take all the wealth of Africa to China,” argued Archie McLachlan .  However, McLachan also agrees that the western business model is predatory, a position supported by Dr. Jerome Terhemba Andohol .  This debate sent me back to essays I have written on Afro-Western economic links. The point is Africa is looking for development and trade partners -not masters. The West being the former Colonial masters, view Africa as a colony still. Consequently, they prefer to give Africa what they want not what the continent needs. Research has demonstrated that the West does not understand Africa. Mention Africa in the West and images of starving Children in war or drought

How the west can contain Chinese influence in Africa

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Thika Superhighway in Kenya: Build by  Chinese funded  byAfDB " THE WEST DOES not understand Africa," said a Kenyan economist, Aly Khan Satchu, in an interview with CNC, a Chinese Television Channel. A Sudanese economist concurs. " The Chinese build infrastructure for us in the 1970s and they are still functional." How right these two are! Both analysts explain the decline of western influence in Africa.  The rout of the Western Influence in Africa did not begin with the entry of the Chinese.I t began early.  Even in the private sector, home bred companies are elbowing out TNCs such as Unilever. And these upstarts that are elbowing out TNCs are part of the reason Africa is growing robustly. The start- ups successfully competed and elbowed out transnational corporations in Kenya because the latter grew fat and lazy, thus losing their grip on the market. The same argument was repeated in the financial sector. I wanted to find out how indigenous banks - s