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{
    "id": 1353835,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1353835/?format=api",
    "text_counter": 114,
    "type": "speech",
    "speaker_name": "Hon. Murkomen",
    "speaker_title": "The Cabinet Secretary for Roads and Transport",
    "speaker": {
        "id": 440,
        "legal_name": "Onesimus Kipchumba Murkomen",
        "slug": "kipchumba-murkomen"
    },
    "content": "Unfortunately, the assignee suspended works at the project on 27th November, 2021 due to pending bills of Kshs121,976,886.08. The achievement to date therefore remains at 9.32 km, which is 37 percent aggregated progress. So far, the Ministry through the Kenya Rural Roads Authority (KeRRA) has since paid a portion of the amount owed to M/S China Jiangxi International Limited amounting to Kshs38,209,131.66. this revises the pending amount due to the contractor to Kshs89,769,822.07. The Ministry has since advised the contractor to resume works and ensure completion of the project as arrangements are put in place to settle the outstanding bill in the next financial year. We therefore envisage completion of the project by 30th June, 2024 subject to adequate budgetary provisions and sustained disbursement. Upon resumption of works, the contractor is instructed to prioritize and undertake maintenance of the remaining sections of the roads ahead of the main works to ensure the mortorability and usage of the roads. M/S China Jiangxi is under instructions from us once he resumes work. I want to beg for an understanding from the leaders. We have to negotiate with some of the contractors. For instance, if we owe them Kshs100 million, we beg them to take Kshs30 million and return to the site. Some of them graciously have done so. Most Chinese contractors have spent much money sustaining their presence on the ground partly because they have good support from their country and can access credit better. Our local contractors are struggling because of the burden of pending bills, especially if they had borrowed from our commercial banks. The interest rates from banks are in double digits, sometimes up to 20 per cent. I assure the Senator that I will work hard to ensure that this contractor comes to the site. I have seen some Senators complaining, but they should be grateful that some of the work being taken by the Chinese contractors can be sustained. Some people here are uncomfortable with having a foreign contractor not understanding the dynamics we have to go through to ensure they deliver for the people. When you give a tender to a local contractor, the locals will state they want the foreign contractor to do it first. It is not because all our local contractors are incompetent, but the access to credit and huge pending bills have made local contractors struggle to deliver."
}