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{
    "id": 713446,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/713446/?format=api",
    "text_counter": 428,
    "type": "other",
    "speaker_name": "",
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    "speaker": null,
    "content": "The whole issue is about promotion of maximization of value addition and creation of employment opportunities in the extractive industries value chain through use of local expertise, goods, services, business, financing and their retention in the country. We have had several cases where these multinationals will come and they will not want the locals to supply goods and services but they will just get it from where they want and there will be nothing which will be forcing them to consider the locals in that. So, this is a good Bill. If it becomes law, we who come from these areas which are frequently visited by multinationals who do not usually have regard for the locals, will have something to hold against them. This is a good idea because the Bill also provides a framework of making sure that the local content is monitored since a company or individual submits what the local content will be in their project. Once approved, there will be a way of monitoring whether they are actually doing that. In most cases, the locals may be said not to have the capacity, but I think it is a requirement that when you have an extraction of any resource in your area, the extractor should also be required to develop the capacity of the locals. For example, in the case of Turkana where we have oil exploration which is a new venture, the locals must be developed in that industry by being taken for training so that with time, we replace the expatriates so that the skill is retained within the locals. They should have their capacity building in terms of provision of goods and services. Once they are given that opportunity of doing business they will still grow and may be even once the project stops the capacity will be there and business will have developed in that area terms of service provision. This is a good way to go because this is what we have been fighting for with these companies. I noted that there is a tendency by the sponsor of this Bill to limit this local content to gas oil and mineral resources. There are many other resources which are being exploited. For example, there is wind, green energy and solar which are all found within communities and community lands. There must be some way for those communities to benefit in terms of input of this local content by being given skilled and unskilled jobs. That must be very clear. What they can provide in terms of goods and services for that must be a requirement and not a favour as it is now where you have to negotiate. It must be a requirement in law that even these other resources like wind and solar need to be incorporated in this local content law once the Bill goes through. How do the communities benefit when the resources are harnessed and the power being taken somewhere else; to the national grid, since they often cannot consume it? When the project is being undertaken, they should be fully involved in provision of services where they can. When a project is allocated, the people should be involved in the provisions of services where they can. Right now, there is no structure, local content law or development committee. More often than not, people would approach a politician who will determine who gets employed including the casual labourer. This is what we have been experiencing with the projects that require manpower. They have become someone’s way of campaigning. For people to be employed or have their equipment hired, they have to go through the local politicians. If we had a legalized structure, people would not have to go through that because politicians would be bound by law to be fair 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"
}