ministry of transport 2nd transport and economic corridor-lapsset by p.s dr cyrus njiru
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A chance for all to invest in Kenya- Join usTRANSCRIPT
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REPUBLIC OF KENYAREPUBLIC OF KENYA
Ministry of TransportMinistry of Transport
22ndnd Transport and Economic Corridor Transport and Economic Corridor --LAPSSET LAPSSET 22ndnd Transport and Economic Corridor Transport and Economic Corridor --LAPSSET LAPSSET
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88THTH OCTOBER, 2011OCTOBER, 2011
Dr Cyrus Dr Cyrus NjiruNjiru, PhD, CBS, PhD, CBSPermanent Secretary, Ministry of TransportPermanent Secretary, Ministry of Transport
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The Context
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The Route from East to West Africa around the Cape
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�Lamu Port – South Sudan – EthiopiaTransport Corridor Project
1.1 What is LAPSSET?
�LAPSSET Corridor will create the GreatEquatorial Land Bridge, connecting Eastand West coast of Africa
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1.1 Map 1:The LAPSSET Corridor Route and The Great Equatorial Land Bridge
across Africa
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1.1 Map 2: The LAPSSET Corridor Route and The Great Equatorial Land Bridge
Notes: (i) High Capacity High Speed Standard Gauge Railway with transit time of three (3) days
(ii) Total length is 4,200 Kilometres(iii) Route Capacity 20 Million TEUs Per Annum
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1.1 Map 3: The LAPSSET Corridor Route
0 50km
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The LAPSSET Strategic Objectives:
� Enhancing Kenya’s position as a gateway & transport hub tothe East African Sub-region and the Great Lakes Region;
� Establish a reliable access to the sea for Northern/Eastern
1.2 Why the LAPSSET Project?
� Establish a reliable access to the sea for Northern/Easternparts of Kenya, South Sudan and Ethiopia; and
� Facilitating trade, regional economic integration andinterconnectivity between African countries – i.e Ethiopia -South Sudan- Rwanda, DRC, up to Douala in Cameroon
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1.2 Why the LAPSSET Project?–Cont.
�To develop Kenya’s 2nd Transport & EconomicCorridor
�To reduce over-reliance on the only Corridor -(Northern Corridor)(Northern Corridor)
� Improving livelihoods of over 15 million peoplein North Eastern, Eastern, Rift Valley and Coast.
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1.2 Why the LAPSSET Project?–Cont.
� Facilitate trade and investment with South Sudan (over4 million people) and Ethiopia (over 80 millionpeople).
Promotion of regional socio-economic development� Promotion of regional socio-economic developmentalong the transport corridor especially in the Northern,Eastern, North-Eastern and Coastal parts of Kenya.
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1.3 Map 4: LAPSSET Components and the Corridor Design Layout
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1.4 Components of the Lamu Port –South Sudan –Ethiopia
Transport (LAPSSET) Corridor
� Lamu Port at Manda Bay;
� Railway line from Lamu to Isiolo, Isiolo to South � Railway line from Lamu to Isiolo, Isiolo to South Sudan, and Isiolo to Ethiopia;
� Airports at Isiolo, Lamu and Lake Turkana/Lokichoggio;
� Highway from Lamu to Isiolo, Isiolo to South Sudan, and Isiolo to Ethiopia;
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1.4 Components of the Lamu Port –South Sudan –Ethiopia
Transport (LAPSSET) Corridor -Cont
� Resort Cities at Lamu, Isiolo and Lake Turkana;
� Oil Refinery at Lamu; and
� Oil Pipeline from Lamu to Isiolo, Isiolo to South Sudan, and Isiolo to Ethiopia.
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2.0 Corridor Planning Stage
Consultancy work for the Planning Stage of the Corridor iscomplete. It covered:
(i) Feasibility study and preliminary designs for theseven components namely:
� port,� port,
� railway line,
� oil refinery,
� oil pipeline,
� airports,
� Highway; and
� Resort Cities
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2.0 Corridor Planning Stage -Cont
(ii) Lamu Port Master Plan;
(iii) Detailed Designs for the first three of thirtytwo (32) berthstwo (32) berths
- General Cargo Berth,
- Bulk Cargo Berth, and
- Container Cargo Berths
(iv) Associated port infrastructure
Complete with tender documents
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3.0 Findings� Comprehensive surveys confirm suitability of
the Manda Bay site for development of a port;
� The Manda Bay is well sheltered and has deepwaters i.e 18m along main channel to 60m inthe Bay; andthe Bay; and
� Development of the thirty two (32) berth-Lamu Port at Manda Bay and CorridorComponents is both financially andeconomically viable (EIRR between 12%-24%).
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3.1 Map 5: Layout of Lamu Port & Lamu Metropolis
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3.2 Map 6: Lamu Port Berth Design Layout
Bird’s-eye View of First Three Berths of Lamu Port
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3.3 Map 7: Conceptual Design of Convention Centre in Lamu
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3.4 Map 8: Conceptual Design of Isiolo Resort City (Kipsing Hill)
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3.5 Project Components to be Developed
Items Scale in 2030 Remarks
1 Lamu Port ( MOT) 32 berths 9,000 meters
2 Railway Line (MOT)
1,710 km Standard gauge
3 Highway (MoR) 880 km Standard carriage way
4 Crude Oil Pipeline (MoE)
1,260 km
Product Pipeline 980 km with Oil RefineryProduct Pipeline (MoE)
980 km with Oil Refinery
5 Oil Refinery (MoE) 120,000 bpd
6 Resort Cities (MoT)
Lamu, Isiolo, Lake Turkana
7 Airports (MOT) Lamu International Airport
--- Associated Infrastructures
Power, Water, Communications, etc.
--- Lamu Metropolis Population: 0.45-0.50 million
Population 1.25 million by 205021
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� Annual investment amount for LAPSSET Corridorwould increase GDP growth rate from about 6% toover 10% ( Adding about 5% on projected GDP growthrate)
� Kenya, Ethiopia and South Sudan accounts for
3.6 Magnitude/Impact of Investment to LAPSSET Project
� Kenya, Ethiopia and South Sudan accounts foraround 21%, 33% and 46% of the total freighttransport volume that includes the crude oiltransmission volume.
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� The capital investment can be shared by the threecountries.
� Project lifespan: 30-40 years for large-scale civilengineering works and 25 years for mechanical works and
3.6 Magnitude/Impact of Investment to LAPSSET Project - Ctd
engineering works and 25 years for mechanical works andprivate sector investment.
� PPP Scheme: All projects are considered as financiallyviable and applicable for PPP investment.
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3.7 Economic Impacts of LAPSSET Corridor
� New access communication links with neighbouringcountries will foster regional economic developmentand growth through trade facilitation;
� Creation of substantial job opportunities directlyrelated to the Port & Corridor development and alsoindirect jobs in other sectors such as Agriculture, fisheries,related to the Port & Corridor development and alsoindirect jobs in other sectors such as Agriculture, fisheries,manufacturing, logistics, trade, commerce, etc;
� Rapid economic development anticipated at alleconomic growth areas identified along and connectedwith the LAPSSET Corridor;
� Increased international tourism arrivals at Lamu,Isiolo and Turkana by provision of Airports e.t.c
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4.0 ON-GOING RAILWAY IMPROVEMENTS
a) In the medium term, build a new standardgauge railway (SGR) from Mombasa toKampala with branch line to Kisumu andNairobi to Addis Ababa (Ethiopia).
b) Standard gauge railway line from Lamu to SouthSudan, Ethiopia and onwards to Douala inCameroon to form the Great Equatorial LandBridge between the Indian and AtlanticOceans.
c) Commuter rail services in Nairobi Metropolitan,Coast Region and Lake Victoria Region.
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4.1 CORRIDORS FOR FUTURE STANDARD GAUGE RAILWAY DEVELOPMENT IN THE REGION
FROM TO KM REGIONAL DESTINATIONSMOMBASA MALABA/KISUMU 1,200 KAMPALA, KISANGANI, KIGALI AND BUNJUMBURA
(TORORO, GULU AND JUBA)LAMU LOKICHOGIO 1,400 JUBA (THE GREAT EQUATORIAL LAND BRIDGE)NAIROBI MOYALE 700 ADDIS ABABA
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5.0 DEVELOPMENTS IN AIR TRANSPORT
a. Expansion of JKIA
a. Construction of an additional terminal (Unit 4)
b. Construction of a new terminal (Greenfield Terminal )with a capacity of 20 million passengers.with a capacity of 20 million passengers.
b. Expansion of Kisumu International Airportalmost complete
c. Improvement of airstrips to encourage airtransport - e.g Malindi, Kakamega, Kitale,Lodwar, Isiolo, among others
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6.0 DEVELOPMENTS IN MARITIME TRANSPORT
(i) The Government is undertaking the followingdevelopments at the Port of Mombasa:
� Building a new high capacity containerterminal ,terminal ,
� Dredging the port to allow bigger ships toberth
� Free Port at Dongo- Kundu
(ii) Development of a Port at Kisumu
(iii) Policy measures – enactment of MerchantShipping Act – to facilitate local private sector
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Thank You
For more information, please contact:
Permanent Secretary
Ministry of TransportMinistry of Transport
P. O. Box 52692-00200
NAIROBI
Tel: +254-020-2729200
Email: [email protected]: www.transport.go.ke