Nipate
Forum => Kenya Discussion => Topic started by: RV Pundit on May 29, 2019, 04:24:51 PM
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https://www.standardmedia.co.ke/business/article/2001327696/sh2-4-billion-road-changes-fortunes-of-kilifi-s-bamba-town
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The road project was implemented by the National Government through the Kenya Rural Roads Authority (KeRRA) and is part of the 10,000Km Low Volume Seal Roads (LVSR), which were pledged by the Government in order to open up rural Kenya.
Residents of Mariakani-Bamba have been awed and wowed since the completion of the road project.
According to Alex, a boda-boda operator, and a businessperson, he has seen a light at the end of the tunnel since it currently takes him approximately 45minutes to ride to Bamba unlike before. He approximately took close to 2hours to reach the destination due to potholes and the slippery road especially during the rainy season when he would even be stuck in the mud.
The maintenance cost of his bike has gradually reduced since the road is smooth and consumes less fuel cutting down on vehicle operating costs due to less time travel.
Convenience to the local hospital for the residents is also an added advantage since public transportation is readily available.
The dominant modes of transport in the area are boda-bodas, matatus, and the much-derided Toyota Probox.
The fares range between Sh250 for probox and boda-boda, and Sh200 for matatus unlike before whereby you could part with Sh500 and Sh400 respectively.
Kazungu, a matatu operator says that it currently takes him 1hr 30min to travel from Mariakani from Bamba town as opposed to 3hours before the construction.
Additionally, boda-bodas would charge Sh100 from Kiwandani to Bofa which has since reduced to Sh50. On a good day, a boda-boda operator makes close to four trips in a day compared to the one trip, which they could only manage in a day. A public Service Vehicle makes close to three trips in a day as opposed to one trip a day before the construction.
The Contractor, to provide water for the construction of the road, built approximately ten dams. The dams were later handed over to the residents, which have enhanced their lives, especially during the dry season through watering their livestock, consumption, and farming.
Good road infrastructure is a key element to industrial growth and in this case, it is evident, as heavy trucks have started plying the route transporting gypsum to a container freight yard, which was set up after completion of the road.
There is hence high likelihood that more industries shall arise along the road, which shall create more employment opportunities especially given that most land in the area is idle.
Landowners can now smile all the way to the bank since there has been an increase in the price of land. The average price of an acre of land was Sh30,000 and has since appreciated to Sh200,000.
A boom in business has also been recorded in the area. It takes Emmanuel Wanzai a shop owner at Bamba close to four hours coming from Mombasa town to transport his goods, unlike the previous seven hours.
At times, he buys from local suppliers who have since started stocking products from Mombasa due to improved transportation. Fish and miraa from Mombasa also reach the town in time while fresh, products that they were unable to enjoy before.
Tourism has been revitalized along the 6 km stretch from Kiwandani to Bofa. According to Joel, -a boda-boda operator- more tourists are now making their way to the beach hotels in Bofa since the road is smooth and less dusty.
The land around the area has greatly increased from Sh2 Million for an acre to Sh4 Million for the same as most of the land boarders the beach.
Security in the area is also guaranteed since patrol cars make a routine check around the area. It is thus evident that the road has occasioned a holistic turnaround in the fortunes of the area.
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Bumping for Robina free education foundation.org
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Why does a low seal 51km road cost 2.4b? The cost should be at least half that. While building that road has improved resident lives. The question should be, could a graveled roller pressed road have had almost the same impact, while investing the savings to improve locals productivity? Suppose instead of spending 2.4b, about 1b went to road improvement and the rest to buying fruit seedlings. Then getting the locals to form cooperatives to process the fruits. That would in real terms improve locals income and due to rising income government would be collecting more taxes. Those taxes would then be used to build a tarmacked road commensurate with production of the area. We have a more pressing problem of low production than infrastructure deficit.
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1Km comes to around 48m. I remember initially Jubilee refused the road annuity because the average cost was 80-100M per km. Gravel roads are waste of time and money - you've to do it every year as rain washes it away. We need to bite the bullet and invest in such roads. Fruit seedlings or any other project is easier said than done. There are lots of fruits rotting away in Kilifi - from mangoes to coconuts - because of bad roads - lack of accessibility - and the works.
And really gov job is not to provide people with income. It;'s to provide gov services including good roads. Those who want to engage in fruit farming can do that, those who want to do boda boda can do it, those who want to do minning - go ahead.
It's not gov business to get into people's business. That would be communism.
Why does a low seal 51km road cost 2.4b? The cost should be at least half that. While building that road has improved resident lives. The question should be, could a graveled roller pressed road have had almost the same impact, while investing the savings to improve locals productivity? Suppose instead of spending 2.4b, about 1b went to road improvement and the rest to buying fruit seedlings. Then getting the locals to form cooperatives to process the fruits. That would in real terms improve locals income and due to rising income government would be collecting more taxes. Those taxes would then be used to build a tarmacked road commensurate with production of the area. We have a more pressing problem of low production than infrastructure deficit.
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Lest the main point is lost -
City roads - great
Rural murram - great
Dam - great (these 2 ignore the small matter of execution)
GMO research firm - great
Last-mile - ish ish
SGR - very stupid (I know it's hard to swallow that this - along with Jubilee Jogoo Party - is Ruto's greatest achievement :))
Nairobi metropolitan subway - hanging fruit
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Nice. At least we just have to deal with railway. Previously you'd codemned all infrastructure like HK. I am thinking you've no problem with light rail. That is badly needed in Nairobi - because the roads are not enough - to move million of passengers daily. I am pretty sure Ruto will get Nairobi Metro Light Rail as soon as possible. If you follow the logic - roads are great but they are not great in moving bulk cargo that is needed for serious manufacturing - think steel, cement, and such industries. I mean Magadi Soda - a private company - has their own rail - so they can move salt.
Does SGR have a multiplier effect on the economy - of course - but as easily as apparent as roads.
Lest the main point is lost -
City roads - great
Rural murram - great
Dam - great (these 2 ignore the small matter of execution)
GMO research firm - great
Last-mile - ish ish
SGR - very stupid (I know it's hard to swallow that this - along with Jubilee Jogoo Party - is Ruto's greatest achievement :))
Nairobi metropolitan subway - hanging fruit
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1Km comes to around 48m. I remember initially Jubilee refused the road annuity because the average cost was 80-100M per km. Gravel roads are waste of time and money - you've to do it every year as rain washes it away. We need to bite the bullet and invest in such roads. Fruit seedlings or any other project is easier said than done. There are lots of fruits rotting away in Kilifi - from mangoes to coconuts - because of bad roads - lack of accessibility - and the works.
And really gov job is not to provide people with income. It;'s to provide gov services including good roads. Those who want to engage in fruit farming can do that, those who want to do boda boda can do it, those who want to do minning - go ahead.
It's not gov business to get into people's business. That would be communism.
Why does a low seal 51km road cost 2.4b? The cost should be at least half that. While building that road has improved resident lives. The question should be, could a graveled roller pressed road have had almost the same impact, while investing the savings to improve locals productivity? Suppose instead of spending 2.4b, about 1b went to road improvement and the rest to buying fruit seedlings. Then getting the locals to form cooperatives to process the fruits. That would in real terms improve locals income and due to rising income government would be collecting more taxes. Those taxes would then be used to build a tarmacked road commensurate with production of the area. We have a more pressing problem of low production than infrastructure deficit.
With about 2.4b all the kilifi roads could be graveled to motorable state opening up the entire county. It's not smart nor prudent to burden citizens with debt and high taxes to build inflated infrastructure. With lower taxes and debt it'd be cheaper to transport goods and services. Government main job is protecting citizens liberties. The main reason why we don't have serious manufacturing has more do with cost of power than lack of roads or rail. Already manufacturers are complaining about the 1.5% import levy and being forced to use sgr. Even when jubilee builds sgr it makes it expensive use than the old rail or roads. Instead of working on transmission of power to lower cost, government went about connecting peasants to the grid. The poor are being subsidized but still about 800k connections are idle.
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With about 2.4b all the kilifi roads could be graveled to motorable state opening up the entire county. It's not smart nor prudent to burden citizens with debt and high taxes to build inflated infrastructure. With lower taxes and debt it'd be cheaper to transport goods and services. Government main job is protecting citizens liberties. The main reason why we don't have serious manufacturing has more do with cost of power than lack of roads or rail. Already manufacturers are complaining about the 1.5% import levy and being forced to use sgr. Even when jubilee builds sgr it makes it expensive use than the old rail or roads. Instead of working on transmission of power to lower cost, government went about connecting peasants to the grid. The poor are being subsidized but still about 800k connections are idle.
It's very hard to convince Pundit that most stuff is doable but for Jubilee's incompetence. Cause this spins his entire reality on its head. Ruto dreamt up SGR in URP... how can it be a silly idea unless Ruto is a fool?
Start just with infrastructure - Jubilee didn't apply any reasoning to just copy Kibaki fwaa. Without analyzing what made his approach a winner. Oh, Kibaki built Thika Road so let's build railway. China has grown by building things - this must be a good strategy. No thinking necessary.
Power -new capacity should be connected to actual productive people - not broke peasants. Cause the subsidy for free connections has pushed up the running costs. Pundit at this point abandons logic and insists elec is another multiplier.
Anything "infrastructure" can be a multiplier or simple HASARA - depending on the execution. No brownies for stating where the SGR falls.
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National gov is doing main arteries (class D) while counties are doing the graveling of the smaller roads. Don't think graveling is cheap - I know they charge something close to 5M per km. The road get washed out every 2yrs and need to be redone. It better if we just bite the bullet and pay 50M per km - and get done with it.Yes electricity cost has to come down - that is why we have invested about 7B dollars on the sector - mostly from private sector. We need to build a few coal plants - and sadly that is not happening. Right now gov is going for the lower hanging fruit - universal access - once we have ensured everyone has electricity - I believe the conservation will go to cost of electricity.
SGR is expensive only because of the extra last mile.....once we sort that out...by building railways to main industries (cement, steel, beer, fast moving goods)....we just need to rehabilitate the old rail....
Anyway for me SGR is like Konza - a visionary project that will pay off eventually. This is railway that will last 100yrs - not your gravel roads that is getting washed during this rainfall season.
With about 2.4b all the kilifi roads could be graveled to motorable state opening up the entire county. It's not smart nor prudent to burden citizens with debt and high taxes to build inflated infrastructure. With lower taxes and debt it'd be cheaper to transport goods and services. Government main job is protecting citizens liberties. The main reason why we don't have serious manufacturing has more do with cost of power than lack of roads or rail. Already manufacturers are complaining about the 1.5% import levy and being forced to use sgr. Even when jubilee builds sgr it makes it expensive use than the old rail or roads. Instead of working on transmission of power to lower cost, government went about connecting peasants to the grid. The poor are being subsidized but still about 800k connections are idle.
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I'll ignore your usual misrepresentation - and focus on why we need the rail. There was a consensus that it cost 1,000 dollar to transport container from China to Kenya - and then 1,000 to get to Nairobi. SGR has helped in that regard. I am in trucking business..and I can tell you if it wasn't for SGR competition...truckers would be making more money...but know the price that truckers charge has to be less than SGR for it to be competitive....so now you get charged 80K to Nairobi....and it won't be increasing even with oil price rises.
Finally we will see the benefit SGR when it start to transport non-conventional (non-containerized cargo) like Cereals, Cement, Clinker, Steel, Iron ore....and I think they are fixing the issues identified..including having terminal for picking and dropping such cargo.
Let not be so hard on SGR that has been operation 1yr now.
It's very hard to convince Pundit that most stuff is doable but for Jubilee's incompetence. Cause this spins his entire reality on its head. Ruto dreamt up SGR in URP... how can it be a silly idea unless Ruto is a fool?
Start just with infrastructure - Jubilee didn't apply any reasoning to just copy Kibaki fwaa. Without analyzing what made his approach a winner. Oh, Kibaki built Thika Road so let's build railway. China has grown by building things - this must be a good strategy. No thinking necessary.
Power -new capacity should be connected to actual productive people - not broke peasants. Cause the subsidy for free connections has pushed up the running costs. Pundit at this point abandons logic and insists elec is another multiplier.
Anything "infrastructure" can be a multiplier or simple HASARA - depending on the execution. No brownies for stating where the SGR falls.
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Actually 48m per km is a steal! a great deal. Find out how much gravel road cost per km - and get back to us. I think it probably trending toward 10m a km.
new road design plan based on traffic load has helped reduce construction costs by Sh60 million per kilometre. Infrastructure Principal Secretary John Mosonik said the cost of constructing a high traffic road is currently Sh80 million per kilometre, down from Sh140 million
https://www.nation.co.ke/news/PS-New-design-plan--cut-cost-building-roads/1056-3917846-dsj03qz/index.html
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Actually 48m per km is a steal! a great deal. Find out how much gravel road cost per km - and get back to us. I think it probably trending toward 10m a km.
new road design plan based on traffic load has helped reduce construction costs by Sh60 million per kilometre. Infrastructure Principal Secretary John Mosonik said the cost of constructing a high traffic road is currently Sh80 million per kilometre, down from Sh140 million
https://www.nation.co.ke/news/PS-New-design-plan--cut-cost-building-roads/1056-3917846-dsj03qz/index.html
No 48km for low seal rd isn't steal. I think world bank recommends something in 20m range . Graveled rd shouldn't cost anywhere near 10m per km, this is the other problem with kenya infrastructure, its overpriced.
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I wish you could bring empirical evidence...20M was last seen in Kibaki era...just find for us how much WB pays for in Kenya, Ug, TZ and such countries. Also find us how much cost for gravel and how soon it's get washed away.
No 48km for low seal rd isn't steal. I think world bank recommends something in 20m range . Graveled rd shouldn't cost anywhere near 10m per km, this is the other problem with kenya infrastructure, its overpriced.
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Nice. At least we just have to deal with railway. Previously you'd codemned all infrastructure like HK. I am thinking you've no problem with light rail. That is badly needed in Nairobi - because the roads are not enough - to move million of passengers daily. I am pretty sure Ruto will get Nairobi Metro Light Rail as soon as possible. If you follow the logic - roads are great but they are not great in moving bulk cargo that is needed for serious manufacturing - think steel, cement, and such industries. I mean Magadi Soda - a private company - has their own rail - so they can move salt.
Does SGR have a multiplier effect on the economy - of course - but as easily as apparent as roads.
Lest the main point is lost -
City roads - great
Rural murram - great
Dam - great (these 2 ignore the small matter of execution)
GMO research firm - great
Last-mile - ish ish
SGR - very stupid (I know it's hard to swallow that this - along with Jubilee Jogoo Party - is Ruto's greatest achievement :))
Nairobi metropolitan subway - hanging fruit
Nairobi is congested for nothing. The cost of a light rail can be used in decentralising govt and moving it's departments/ functions outside the city. Secondly, get proper big buses to replace the matatus. Traffic itaaisha overnight.
As for Uhuru infrastructure.... very little multiplier as the labour, money and significant material & expertise are foreign and end up in foreign hands. A labourer's wages cannot create enough momentum.
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The assumption that gov - or pubic sector - is the main magnet in Nairobi is fallacious. The private sector in all it's industries is attracting many and many to the City..including foreigners. I think light rail to all Nairobi Metro is needed...one line from Kajiado to NBO..Machakos to NBO..Muranga to NBO...Kiambu to NBO...Limuru to NBO...that kind of thing....plus obviously building more and greate by-passes - like the London M25....we need huge road circling Nairobi - so people who just pass Nairobi - can overpass it.
I think priority under Ruto ought to be light raila and greater by-pass (our own m25) - this time round we need 4 lanes each side - otherwise the current by-passes are already congested. The greater-by pass should be near Machakos - thika -kiambu-limuru -Ngong-Kajiado - and Konza city.
Nairobi is congested for nothing. The cost of a light rail can be used in decentralising govt and moving it's departments/ functions outside the city. Secondly, get proper big buses to replace the matatus. Traffic itaaisha overnight.
As for Uhuru infrastructure.... very little multiplier as the labour, money and significant material & expertise are foreign and end up in foreign hands. A labourer's wages cannot create enough momentum.
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The assumption that gov - or pubic sector - is the main magnet in Nairobi is fallacious. The private sector in all it's industries is attracting many and many to the City..including foreigners. I think light rail to all Nairobi Metro is needed...one line from Kajiado to NBO..Machakos to NBO..Muranga to NBO...Kiambu to NBO...Limuru to NBO...that kind of thing....plus obviously building more and greate by-passes - like the London M25....we need huge road circling Nairobi - so people who just pass Nairobi - can overpass it.
I think priority under Ruto ought to be light raila and greater by-pass (our own m25) - this time round we need 4 lanes each side - otherwise the current by-passes are already congested. The greater-by pass should be near Machakos - thika -kiambu-limuru -Ngong-Kajiado - and Konza city.
Nairobi is congested for nothing. The cost of a light rail can be used in decentralising govt and moving it's departments/ functions outside the city. Secondly, get proper big buses to replace the matatus. Traffic itaaisha overnight.
As for Uhuru infrastructure.... very little multiplier as the labour, money and significant material & expertise are foreign and end up in foreign hands. A labourer's wages cannot create enough momentum.
Can you name the companies that are HQ'd in the CBD? The smart money has moved to Westlands, Upperhill and elsewhere. It's the legacy govt departments, parastatals and other lazy ones still hanging about. Even the embassies have moved. Apart from Uganda I presume. Smack bang in the middle of Kenyatta avenue. Also why should all matatus and buses terminate in the city? There might be money in starting a route that goes from Ruaraka to Westlands direct...
It's an issue of organisations... there are citys much bigger than NBO that don;t suffer like NBO does....
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https://www.rockefellerfoundation.org/blog/access-to-electricity-is-critical-to-africas-growth/ HK according to Rockefeller Foundation research access to electricity can increase household incomes by 39%.What say you.
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The problem with CBD is it acting like a huge bus and matatu terminus..not gov office.The solution is railway terminus radiating like a star network and more ring roads circling Nairobi...for road traffic.Also building huge apartments high rises around CBD for people working in CBD like the Ederman 8 34 floors river estate with will ease the mass movement of people.There are lots of gov land near Nairobi towards Eastland that Chinese can turn into mass housing that would be within a walking distance to CBD.
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https://www.rockefellerfoundation.org/blog/access-to-electricity-is-critical-to-africas-growth/ HK according to Rockefeller Foundation research access to electricity can increase household incomes by 39%.What say you.
What is 39% of nothing? Does that report capture things like the shocking overcharging that KPLC engages in?
(https://www.nation.co.ke/image/view/-/3223284/highRes/1337835/-/maxw/600/-/djy1ecz/-/Electricity.jpg)
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It's peripheral because folks are happily paying.. something can be created from electricity.
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https://www.rockefellerfoundation.org/blog/access-to-electricity-is-critical-to-africas-growth/ HK according to Rockefeller Foundation research access to electricity can increase household incomes by 39%.What say you.
Yes it can if other variables are addressed. Otherwise you end up with over 880k idle connections https://www.businessdailyafrica.com/corporate/companies/Connecting-poor-hands-Kenya-Power-Sh3bn-debt/4003102-4878676-bb1m98/index.html . To make it worse the new connections, power rate are subsidized adding cost to businesses and "middle class" consumers. Addressing cost of power should have been the priority. A poor person producing nothing wont raise their income by all of sudden having electricity connection.
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You're almost getting it unlike Uhuru and Ruto. Nairobi subway is a no-brainer, not sure what bryan et al are arguing about. The man-hours spent in commute alone are quantifiable as a fraction of the Kenyan economy.
If Uhuru and our fake genius Dr Hustler - had an iota of brains - they would go for subway in Nairobi - optimize mobility for the Nbo-Macha-Kajiado-Kiambu metropolis. That can have proper return. Billions wasted in traffic in Nairobi have been quantified by WB, IMF, IBM, etc - numerously.
Simple math - Nairobi GDP x 4/12 hrs folks waste on the roads daily.
It's a hanging fruit - very exciting obvious opportunity - except to the hare-brained Jubilee.
Planning.. we need real thinkers to re-imagine Nairobi. Not fools like Kidero or Sonko. London is a good example with its "tube" which runs across every corner of the city. The cross-English channel traffic would be crazy without the rail. Addis rail must have copied this. Amsterdam also has a great rail system.. the EU is a good place to study cross-urban infrastructure - with fast easy commute across Ams, Paris, Brussels, Frankfurt and name it. But Chinese are the best cheap builders. If wishes were horses we would build our own rail of course.
Design - New York City is a good example. Trump owns a "penthouse" smack in the CBD. Condominia are hot cake - cause most execs rather work at say KICC and live at Times Tower than commute. It is an outdated model that folks must live in the outskirts and work in CBD - what on earth for?? County can work with Housing Ministry to craft smart policy. You open a commercial in CBD we charge an arm n a leg like betting. You open commercial in the outskirts we subsidize or at least waive the levies. Same treat for residential - promote decentralization and kill the mental block - ati hapa ni town huko ni estate.
The "town" model is troublesome when poorly planned. There ought to be strict standards in any town, of free space that must be set aside for trees, free movement, parking, before any skyscrapers or high rise building is put up. You should be allowed to only build in a fraction of the land you own. This is the case in alot of the cities in the west.
The problem with CBD is it acting like a huge bus and matatu terminus..not gov office.The solution is railway terminus radiating like a star network and more ring roads circling Nairobi...for road traffic.Also building huge apartments high rises around CBD for people working in CBD like the Ederman 8 34 floors river estate with will ease the mass movement of people.There are lots of gov land near Nairobi towards Eastland that Chinese can turn into mass housing that would be within a walking distance to CBD.
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Ruto's voodoo economy. What sectors are booming again? :D
Nairobi’s luxury home prices continue to fall
Prime residential prices in Nairobi slid by 6.5 per cent in the 12 months to March 2019. This is according to the Knight Frank Prime Global Cities Index (PGCI) for the first quarter.
https://www.standardmedia.co.ke/business/article/2001328597/nairobi-s-luxury-home-prices-continue-falling-oversupply-blamed
High power cost eats into EPZ firms' profit
Cumulatively, firms operating in different EPZs across the country, Mr Gacheru said in a presentation, paid Sh947 million for power last year, compared to Sh772 million in 2017, a 22.7 percent rise.
Other costs that went up included water (17.3 per cent) while salaries paid to their Kenyan employees increased 16.5 per cent.
Local labour was one of the major spending areas where the firms paid Sh11.7 billion to 57,743 employees, up from Sh10 billion in 2017.
https://www.standardmedia.co.ke/business/article/2001328602/high-power-cost-eats-into-epz-firms-profit
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Ruto's voodoo economy. What sectors are booming again? :D
Nairobi’s luxury home prices continue to fall
Prime residential prices in Nairobi slid by 6.5 per cent in the 12 months to March 2019. This is according to the Knight Frank Prime Global Cities Index (PGCI) for the first quarter.
https://www.standardmedia.co.ke/business/article/2001328597/nairobi-s-luxury-home-prices-continue-falling-oversupply-blamed
High power cost eats into EPZ firms' profit
Cumulatively, firms operating in different EPZs across the country, Mr Gacheru said in a presentation, paid Sh947 million for power last year, compared to Sh772 million in 2017, a 22.7 percent rise.
Other costs that went up included water (17.3 per cent) while salaries paid to their Kenyan employees increased 16.5 per cent.
Local labour was one of the major spending areas where the firms paid Sh11.7 billion to 57,743 employees, up from Sh10 billion in 2017.
https://www.standardmedia.co.ke/business/article/2001328602/high-power-cost-eats-into-epz-firms-profit
The only booming sectors are repo/auctioneers , shylocks and betting . :D :D :D
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The only booming sectors are repo/auctioneers , shylocks and betting . :D :D :D
Yup. We asked Ruto courtier Pundit for evidence he pointed to construction and financial services. "Construction" is just the SGR and highways. FSS is shylocks and pyramids. What more is needed to prove this "growth" is voodoo?
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Stop personalizing issues. The growth from KNBS is broad-based. If one sector is struggling - other sectors are booming. Obviously if you're scourging the internet looking for bad news against the economy or Ruto - you'll find a plenty of those - those of us who focus on positives - will also find our silver lining.
Yup. We asked Ruto courtier Pundit for evidence he pointed to construction and financial services. "Construction" is just the SGR and highways. FSS is shylocks and pyramids. What more is needed to prove this "growth" is voodoo?