The Lamu Port project in Kenya that is already under a 2 year delay requires us$30 million to unlock the stalemate, Kenya Ports Authority (KPA) Board Chairman, Marsden Madoka has said.
Speaking during the Board’s visit to the Lamu port site, acknowledged that delays in paying the Chinese contractor had slowed progress on the Lamu port project since 2013.
The Kenya government in 2013 awarded the port construction tender to the Chinese Communication Construction Company http://en.ccccltd.cn/http://en.ccccltd.cn/(CCCC) for a quoted 482,881,975 million dollars in which they were expected to build four berths in a 45 month span.
Madoka however, expressed optimism that the national government would provide funding to unlock the delay which he said had contributed to the project running behind schedule.
“The Lamu port project is a 1.6 billion dollar investment that is so far at 2 per cent, which for the most part has been site preparations”, the KPA chairman said.
He said their visit to the Lamu port site signals the importance of the venture towards the actualisation of the LAPSSET project.
The chairman however said that despite the delay, the current contractor remains committed towards ensuring that the first berth is completed by 2018.
General Manager In-charge of infrastructure development, Eng. Abdullahi Samatar said KPA is committed towards having the first berth being completed by 2018.
He also voiced concern that any further delays in funding the project may lead to expensive claims being made on the part of the contractor to the national government.
“As the contractor has already committed substantial resources in terms of personnel and monetary resources in building the site from the ground up, further reschedules may lead to the Lamu project incurring extra cost for keeping the contractor on without actual work being done”, Eng. Samatar said.
The foreign construction company has currently employed 100 local staff and 20 Chinese staff for the project.
“About shs.10 billion is the current estimate that needs to be set aside for the Lamu Port project to kick off without a hitch”, revealed the deputy project coordinator, Gallon Zhang.