Workers inspect a sample of the new standard size railway line at Changamwe Railway Station in Mombasa. FILE
By EDWIN MUTAI,
In Summary
- Although two parliamentary committees are carrying out parallel investigations, there are signs that Parliament may not have the capacity to conduct conclusive investigations.
- Glaring gaps emerged following the interrogation of top government officials involved in the Sh1.2 trillion railway.
As investigations into the controversial
multi-billion-shilling standard gauge railway tender simmers on, MPs are
raising more questions on a contract awarded to a Chinese firm.
Although two parliamentary committees are carrying
out parallel investigations, there are signs that Parliament may not
have the capacity to conduct conclusive investigations.
Glaring gaps emerged following the interrogation
of top government officials involved in the Sh1.2 trillion
Mombasa-Nairobi-Malaba-Kampala-Kigali/South Sudan railway.
The spotlight was directed on the actual cost of
the project after Treasury secretary Henry Rotich revealed an additional
Sh120 billion for land acquisition and construction of facilities to
service the modern rail line, putting the total cost of the 609
kilometre Mombasa-Nairobi railway to Sh447.9 billion.
Transport secretary Michael Kamau in his
submissions put the cost of the project at $3.8 billion (Sh327 billion).
The project was earlier estimated to cost Sh220 billion.
“The total cost is Sh327 billion from Mombasa to
Nairobi. Maybe some people have computed the total cost from Mombasa to
Kigali… we will do our own part. The additional expenditure is the cost
of the loan and acquisition of land to build the rail,” Mr Rotich told
the House Transport committee chaired by Starehe MP Maina Kamanda on
Friday.
Confusion ensued after the Treasury said it had
not entered into any sovereign agreement to secure $3.2 billion (85 per
cent) from China Exim Bank and that a 6.7 per cent (Sh9 billion)
insurance cover had been imposed on the $1.6 billion commercial loan.
The ministries of Transport and Treasury, the
Attorney-General’s Office, Kenya Railways Corporation and the Public
Procurement Oversight Authority gave conflicting information on the
exact cost of the project and whether the Public Procurement and
Disposal Act was followed to the letter while awarding the tender to
China Road and Bridge Corporation (CRBC).
None of the government officials could unmask
faces behind the Chinese contractor with revelations that the firm,
which is said to have undertaken several projects in Kenya for over 20
years, was only registered in China in August 2005 — four years before
it mooted the multi-billion shillings rail tender.
The Treasury and Transport ministries as well as
the Attorney-General said they had no details with regard to the
directors of CBRC as MPs sought to know the people behind the company.
“As to the directors of the company, I have no
details with me now. What I know is that CRBC-Kenya Limited is an
overseas investment wing of China Roads Corporation, a government State
corporation,” Mr Rotich told MPs.
Mr Kamau, on the other hand, said he had no idea
“but what I can recall is that the directors’ names are Chinese.” When
asked, Attorney-General Githu Muigai said he needed time to check with
Kenya Railways Corporation, the procuring entity.
Doubts as to whether or not CRBC exists further
escalated when Parliament’s Public Investments Committee chairman Adan
Keynan revealed that the firm’s directors had failed to respond to
invitations to attend the committee’s sittings
“I want to inform you that CRBC management has
failed to turn up... and we have not received any communication from
them. Under the circumstances, we have no option other than to invoke
provisions of the Standing Orders and the Powers and Privileges Act to
issue summons for them to appear on Tuesday (today),” the Eldas MP said.
No comments:
Post a Comment