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{
    "id": 418315,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/418315/?format=api",
    "text_counter": 220,
    "type": "other",
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    "content": "being taken to Rwanda, Burundi and parts of Tanzania. I saw a tender for a 20 inch pipeline to connect Mombasa and Nairobi, but that one was done a long time ago. I remember before I left the Ministry of Energy in 2010 that study was there and that project should have started by 2012 and we are now talking about 2014, two years down the line. So, this project should start now. I believe the 20 inch pipe will really evacuate our oil products from Mombasa to Nairobi very fast. What needs to be improved is the power line. The cost incurred by KPC is due to the high cost of power. The Committee has mentioned that in the Report but I want to say that KPC should also look into alternative sources of power like the coal fired power plants and the L&G so that it can also assist in their operations so that the cost of fuel is lowered. If it is added on that, it becomes very expensive. There are different modes of communication because all these things are digitized. If KPC relies on third parties in terms of communication, it means that the evacuation of our products from Mombasa to other destinations will delay. I have seen in their proposal that KPC must also have their own communication which they can manage so that in case of anything, they cannot blame anybody and hence lowering the cost. Mr. Temporary Speaker, Sir, the Mombasa-Nairobi project is on course but the Eldoret-Nairobi was done. I have also seen the Sinendet-Kisumu project which should have been done a long time ago. There was also a project from Nakuru to Isiolo. All these pipelines must also be extended to reach a wider part of the country. It should not be left at Nakuru because there is also heavy traffic. We need to do another pipeline even to Kisii so that it can go all the way to Isebania and even serve some parts of Tanzania. We should also do a pipeline from Eldoret all the way to Turkana so that when the LAPPSET project starts from Lamu all the way to Turkana, Uganda and South Sudan and we have our interconnection pipelines within the country, it will really ease the evacuation of fuel and it will even lower the cost of our oil products. The KPC should not rely on GoK funds. For example, the pipeline which was done from Nairobi to Eldoret was funded by local banks and it was paid within two years. I also saw a tender advert for the Mombasa- Nairobi pipeline and the local banks can combine all these small pipelines so that all these projects can be started at once. As a country, we need fuel storage facilities in Changamwe, Nairobi, Nakuru and Kisumu, because without those storage facilities, as I had indicated earlier on, we are really risking as a country. Therefore, I will propose that we move faster. There were negotiations going on between the East African Community (EAC) members that they want to build a refinery in Uganda and I was wondering whether it was viable. With the discovery of oil in Lamu, Turkana and other places, I thought if we can build a refinery in Lamu and revive the Mombasa one, it would really assist us because most of these products are going to be sold to other countries. So, for the Government to invest in a refinery in Uganda, to me, it does not make any economic sense because you are building a refinery there and after the product has been refined, where are you going to sell it to because you need a pipeline. The pipeline should be a-two way so that it gets crude oil out and also carries the finished product so that it can be used both ways. Mr. Temporary Speaker, Sir, with regard to KPA, the sooner we expand our port, the sooner we will have our revenue as a country increased. We export a lot of tea through the Port of Mombasa. Tea earns this country a lot of foreign exchange. I want to The electronic version of the Senate Hansard Report is for information purposes only. A certified version of this Report can be obtained from the Hansard Editor, Senate."
}