Kenya’s extractives sector — covering oil, gas and mining — is
booming. There have been recent discoveries of commercially viable
resources, such as oil and gold.
The sector’s
contribution to the gross domestic product currently stands at
around one per cent. But the government expects this to reach 10 per
cent by 2030. This suggests there’s still a great deal to be exploited.
To
support the sector’s growth, the government recently approved
a nationwide geophysical survey that will map the country’s minerals and
natural resources. It also enacted a new Mining Act and put forward a
new petroleum Bill to provide new sector regulation.
But
to realise the potential of these resources, more people with the right
skills are needed. The number of skilled workers in Kenya’s labour
market does not match the extractives sector’s current needs.
Although the size of the skills gap in Kenya is unknown because
detailed research has not been done, industry sources have made it clear
that they are struggling to fill posts.
According to
a report on Kenya’s petroleum sector, the extractives sector is still
dominated by foreign expertise in technical, exploration and production
skills.
In Turkana County, for example, where most
upstream petroleum operations are taking place, the high unemployment
rate is linked to the mismatch between workforce skills and new
employment opportunities.
This challenge is most
severe for vocational skills like pipe fitting, welding, drilling and
operation and repair of heavy equipment — all in high demand in the
energy and natural resource sectors.
If not addressed
urgently, the skills gap could inflate the cost of labour because of
an over-reliance on foreign experts and compromise energy and mining
projects. Industry players need to collaborate and support on-the-job
and need-based training.
Vocational training
One
major challenge to addressing the skills gap is the lack of quality
vocational training. The skills needed in energy and mining sectors in
Kenya are usually acquired through informal technical and vocational
education and training institutions.
For example,
Kenya lacks skilled welders who can work on a live oil pipeline. Most
polytechnics — higher education institutions with courses mostly in
vocational or technical subjects — only offer artisan welding courses.
The welding that is done in the petroleum sector is much more complex.
This is a huge setback as Kenya hopes to begin crude oil exportation in
2019.
Kenya has more than 845 accredited technical and
vocational education and training institutions, but the courses
offered are not aligned with global standards.
There is
also demand for workers with more general business skills, including
information technology, accounting and project management, as well as
geology and engineering skills. Most universities in Kenya do not focus
enough on practical skills, and there is a bias towards social sciences.
Because of this mismatch, even when there is skilled labour, the skills aren’t the right ones or are inadequate.
Employers
cannot rely on certificates from formal technical and vocational
institutions as a guide to an individual’s actual competencies. Instead,
they have to verify new recruits’ competencies to determine how much
additional on-the-job training is required.
Other
challenges include outdated training curricula, inadequate facilities to
cater for a large number of students who wish to undertake the
vocational programmes and a low quality of teaching staff. This all has a
negative impact on the quality of individuals being channelled into the
labour market.
Kenya’s
situation is not unique in the continent. Other resource-rich countries
such as Ghana, Tanzania and Nigeria are also grappling with a skills
gap in the extractives sector.
In Ghana, the mismatch
is primarily caused by training curricula that are developed with no
input from key industry players. Nigeria, meanwhile, faces a number of
challenges including inadequate funding, teaching and learning
facilities and poor governance.
In Kenya, there is a way forward. It lies in developing more, specialised training centres.
The
government has been collaborating with some private sector players to
implement capacity building initiatives to support the oil and gas
industry.
And some private firms such as Base
Titanium and Tullow Oil Kenya, considered leaders in Kenya’s mining and
oil sectors, are taking the lead in professional skills development.
This
will ensure that curricula, training and standards match the sectors’
market and skill demand. And it will ease the transition from training
to employment.
Some higher education institutions are
also trying to plug the gap. Strathmore University’s Energy Research
Centre, for example, has partnered with specialist centres
to offer short courses like energy auditing and technical solar skills.
Their
approach rests on three pillars: enterprise development, skills
development and matching graduates with potential employers.
Similarly, Best Bridge College in Nairobi offers renewable energy
training like solar installation.
But for these programmes to be successful, curricula must be modelled on global standards.
The
quality of teachers must also be improved and technical and vocational
training institutions need to be equipped with modern tools and
materials to ensure a shift from theoretical to practical teaching.
Dr
Wasuna is director at Extractives Baraza and lecturer at Strathmore
University and is also the Vice Chairperson for the Association of Women
in Energy and Extractives in Kenya.
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