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    "id": 664663,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/664663/?format=api",
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    "content": "Governors (CoG) is also significant. Therefore, we should get one additional member in this Committee from the CoG, more specifically to deal with environmental issues that will arise in the counties. In Clause 12(4), the Authority has an opportunity to appoint another four members to this Committee. It is stated that this should be any four members. However, I would like this to be modified so that it is specific. It should state where these four members will come from. I suggest that the four extra members will be selected from the counties that have the oil wells. In fact, this should be given from the counties as well. There are various committees of environment in the counties. They will make a significant contribution to this committee. Mr. Temporary Speaker, Sir, I would also like to touch on a very important issue that is being looked at in a different manner. Clause 32 talks about keeping of proper books of accounts; recorded income, liabilities, expenditures, assets, undertakings, funds, activities, contract, transactions and any other business. One of the biggest challenges we will have is auditing of the oil. It is often assumed that the auditors audit books and look at numbers and figures. However, we are now aware that some countries produce high grade oils, but because there is no capacity to audit, these oils have been classified as low grade in the production areas yet when it gets to the international market, they assume their correct grade which is the high grade oil. Therefore, lack of auditing is one of the areas we need to relook at and put in place experts who should audit the oil as it comes off the ground. When oil comes off the ground, it is not the oil that we see at the petrol stations. It is a mass of liquid that has sand, water, hydrocarbons and everything else in it. Therefore, we should know how much of this material we will eventually call oil by auditing the number of barrels that we have got from the ground before we later on audit the books of account. It is also important to audit the quality of the crude oil. Some countries have lost out in terms of the value of their product. Extractors and miners of petroleum could easily collude and mislead the producing country to think that they are producing low quality oil yet, in fact, they are producing high quality oil whose prices are sometimes double or three times what they have been recorded. So, I suggest that as we continue to look at the prospects of exploring oil in this country, we must prepare to fully audit its products. I presume that part of the training and capacity building that is going on is to train individuals with the capacity to audit oil and not the books of accounts. In addition, there is a risk of fights over the oil. I am sure this House is aware that currently Kenya has territorial issues with her neighbours with regard to its sea territory. In future, most of the oil fields in this country will be offshore. As we debate this Bill, it is important that we urge our country to resolve any international issues that it has with her neighbours in terms of offshore. We require these rich areas for our exploration. Small issues like the Elemi Triangle should be resolved. These are potential areas where oil can be discovered. Otherwise, I strongly support the enactment of this Bill. I am very happy that this Bill has moved quickly from the National Assembly. It is now in the Senate. It should not be said that the Senate delayed the passage of this significant Bill. Therefore, I urge my colleagues in the Senate to support this Bill. It is significant in all aspects, including 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"
}