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Ministry of transport 2nd transport and economic corridor-lapsset by p.s dr cyrus njiru


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Ministry of transport 2nd transport and economic corridor-lapsset by p.s dr cyrus njiru

  1. 1. 0 REPUBLIC OF KENYA Ministry of Transport2nd Transport and Economic Corridor -LAPSSET Dr Cyrus Njiru, PhD, CBS Njiru, Permanent Secretary, Ministry of Transport 8TH OCTOBER, 2011 1
  2. 2. The Context
  3. 3. The Route from East to West Africa around the Cape
  4. 4. 1.1 What is LAPSSET? Lamu Port – South Sudan – Ethiopia Transport Corridor Project LAPSSET Corridor will create the Great Equatorial Land Bridge, connecting East and West coast of Africa 4
  5. 5. 1.1 Map 1:The LAPSSET Corridor Route and The Great Equatorial Land Bridgeacross Africa
  6. 6. 1.1 Map 2: The LAPSSET Corridor Route and The Great Equatorial Land BridgeNotes: (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
  7. 7. 1.1 Map 3: The LAPSSET Corridor Route 0 50km 7
  8. 8. 1.2 Why the LAPSSET Project?The LAPSSET Strategic Objectives: Enhancing Kenya’s position as a gateway & transport hub to the East African Sub-region and the Great Lakes Region; Establish a reliable access to the sea for Northern/Eastern parts of Kenya, South Sudan and Ethiopia; and Facilitating trade, regional economic integration and interconnectivity between African countries – i.e Ethiopia - South Sudan- Rwanda, DRC, up to Douala in Cameroon 8
  9. 9. 1.2 Why the LAPSSET Project?–Cont.To develop Kenya’s 2nd Transport & EconomicCorridorTo reduce over-reliance on the only Corridor -(Northern Corridor)Improving livelihoods of over 15 million peoplein North Eastern, Eastern, Rift Valley and Coast.
  10. 10. 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 developmentalong the transport corridor especially in the Northern,Eastern, North-Eastern and Coastal parts of Kenya.
  11. 11. 1.3 Map 4: LAPSSET Components and the CorridorDesign Layout 11
  12. 12. 1.4 Components of the Lamu Port –South Sudan –EthiopiaTransport (LAPSSET) Corridor Lamu Port at Manda Bay; 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;
  13. 13. 1.4 Components of the Lamu Port –South Sudan –EthiopiaTransport (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.
  14. 14. 2.0 Corridor Planning Stage Consultancy work for the Planning Stage of the Corridor is complete. It covered:(i) Feasibility study and preliminary designs for the seven components namely: port, railway line, oil refinery, oil pipeline, airports, Highway; and Resort Cities
  15. 15. 2.0 Corridor Planning Stage -Cont (ii) Lamu Port Master Plan; (iii) Detailed Designs for the first three of thirty two (32) berths - General Cargo Berth, - Bulk Cargo Berth, and - Container Cargo Berths (iv) Associated port infrastructure Complete with tender documents
  16. 16. 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 deep waters i.e 18m along main channel to 60m in the Bay; and Development of the thirty two (32) berth- Lamu Port at Manda Bay and Corridor Components is both financially and economically viable (EIRR between 12%-24%).
  17. 17. 3.1 Map 5: Layout of Lamu Port & Lamu Metropolis 17
  18. 18. 3.2 Map 6: Lamu Port Berth Design Layout Bird’s-eye View of First Three Berths of Lamu Port 18
  19. 19. 3.3 Map 7: Conceptual Design of Convention Centre inLamu 19
  20. 20. 3.4 Map 8: Conceptual Design of Isiolo Resort City (KipsingHill) 20
  21. 21. 3.5 Project Components to be Developed Items Scale in 2030 Remarks 1 Lamu Port ( MOT) 32 berths 9,000 meters 2 Railway Line 1,710 km Standard gauge (MOT) 3 Highway (MoR) 880 km Standard carriage way 4 Crude Oil Pipeline 1,260 km (MoE) Product Pipeline 980 km with Oil Refinery (MoE) 5 Oil Refinery (MoE) 120,000 bpd 6 Resort Cities Lamu, Isiolo, Lake Turkana (MoT) 7 Airports (MOT) Lamu International Airport --- Associated Power, Water, Communications, Infrastructures etc. --- Lamu Metropolis Population: 0.45- Population 1.25 million by 2050 21 0.50 million
  22. 22. 3.6 Magnitude/Impact of Investment to LAPSSET Project Annual investment amount for LAPSSET Corridor would increase GDP growth rate from about 6% to over 10% ( Adding about 5% on projected GDP growth rate) Kenya, Ethiopia and South Sudan accounts for around 21%, 33% and 46% of the total freight transport volume that includes the crude oil transmission volume. 22
  23. 23. 3.6 Magnitude/Impact of Investment to LAPSSET Project- Ctd The capital investment can be shared by the three countries. Project lifespan: 30-40 years for large-scale civil engineering works and 25 years for mechanical works and private sector investment. PPP Scheme: All projects are considered as financially viable and applicable for PPP investment. 23
  24. 24. 3.7 Economic Impacts of LAPSSET Corridor New access communication links with neighbouring countries will foster regional economic development and growth through trade facilitation; Creation of substantial job opportunities directly related to the Port & Corridor development and also indirect jobs in other sectors such as Agriculture, fisheries, manufacturing, logistics, trade, commerce, etc; Rapid economic development anticipated at all economic growth areas identified along and connected with the LAPSSET Corridor; Increased international tourism arrivals at Lamu, Isiolo and Turkana by provision of Airports e.t.c 24
  25. 25. 4.0 ON-GOING RAILWAY IMPROVEMENTSa) In the medium term, build a new standard gauge railway (SGR) from Mombasa to Kampala with branch line to Kisumu and Nairobi to Addis Ababa (Ethiopia).b) Standard gauge railway line from Lamu to South Sudan, Ethiopia and onwards to Douala in Cameroon to form the Great Equatorial Land Bridge between the Indian and Atlantic Oceans.c) Commuter rail services in Nairobi Metropolitan, Coast Region and Lake Victoria Region.
  27. 27. 5.0 DEVELOPMENTS IN AIR TRANSPORTa. 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.b. Expansion of Kisumu International Airport almost completec. Improvement of airstrips to encourage air transport - e.g Malindi, Kakamega, Kitale, Lodwar, Isiolo, among others
  28. 28. 6.0 DEVELOPMENTS IN MARITIME TRANSPORT(i) The Government is undertaking the following developments at the Port of Mombasa: Building a new high capacity container terminal , Dredging the port to allow bigger ships to berth Free Port at Dongo- Kundu(ii) Development of a Port at Kisumu(iii) Policy measures – enactment of Merchant Shipping Act – to facilitate local private sector
  29. 29. Thank YouFor more information, please contact:Permanent SecretaryMinistry of TransportP. O. Box 52692-00200NAIROBITel: +254-020-2729200Email: ps@transport.go.keWebsite: