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pic Energy Committee

𝐓𝐇𝐄 ππ”ππ‹πˆπ‚ πˆππ•π„π’π“πŒπ„ππ“ π‚πŽπŒπŒπˆπ“π“π„π„ 𝐎𝐍 π‚πŽπŒπŒπ„π‘π‚πˆπ€π‹ π€π…π…π€πˆπ‘π’ 𝐀𝐍𝐃 π„ππ„π‘π†π˜ 𝐅𝐋𝐀𝐆𝐒 𝐋𝐀𝐍𝐃 πŽπ–ππ„π‘π’π‡πˆπ πˆπ’π’π”π„π’ π…πŽπ‘ πŠππ‚ 𝐀𝐍𝐃 πŠππ€

The Public Investment Committee on Commercial Affairs and Energy has raised a red flag over land ownership challenges affecting the Kenya Pipeline Corporation (KPC) and the Kenya Ports Authority (KPA).

Speaking during a session in Mombasa on Wednesday 8th, Committee Chairperson Hon. David Pkosing said that there is need to safeguard government land from encroachment.

The Committee scrutinized KPC's Audited Accounts for FY 2020/2021 to 2021/2022 and addressed various issues including ownership rights over land under the Kenya Airport Authority and the acquisition of Kenya Petroleum Refineries Limited (KPRL).

Hon. Pkosing expressed support for KPC's ownership rights over the land and urged swift dissolution of KPRL to save public funds and stabilize fuel prices.

β€œAs a Committee its our wish that KPRL is dissolved to save the country some shillings.Β  We therefore urge the minister in charge to expedite the dissolution of KPRL and its Mombasa oil storage tanks and employees be handed over to KPC”, said Hon. Pkosing.

Hon. Pkosing said that once the KPRL is dissolved, public funds will be saved and channeled towards subsidising fuel prices in the country.

KPC's Managing Director, Mr. Joe Sang, clarified that the Cabinet had approved share transfer of KPRL to KPC and highlighted ongoing efforts to enhance operational efficiency.

He further clarified that KPRL is a state corporation, and KPC's involvement began following a Cabinet directive in 2016 and that a post-acquisition Committee has been established to oversee the transition.

Mr. Sang elaborated on KPC's role in covering operating costs and investing in infrastructure at KPRL to enhance operational efficiency and fuel supply security.

In a different session with the Kenya Port Authority while considering audited accounts for FY 2020/2021 to 2021/2022, Hon. Pkosing asked the Authority to urgently secure unoccupied land belonging to the Authority.

During Committee deliberations held on Thursday, while questioning the KPA Managing Director, Captain William K. Ruto, the Committee established that the Authority did not have title deeds for seventeen (17) parcels of land valued at Kshs. 2,909,300,000.

β€œCaptain, do you realize how the risk of extinction of the Authority’s land is? What measures have you put in place to secure the properties? Have you placed any caveat to prevent any transactions regarding the said parcels? asked Hon. Pkosing.

In his response, Captain Ruto acknowledged that unutilized Authorities’ land was at risk and required to be leased out or disposed of.

β€œHon. Chair, Some plots were grabbed from KPA and cases are in court while others were consolidated, leading to new titles.Β  Actions to secure new titles are underway”, said Captain Ruto.

He further elaborated that KPA had filed affidavits for the issuance of provisional title and cautions to protect the Authority's interests.

However, Hon. Pkosing noted that KPA was moving at a snail's pace to secure government property, which he said was at risk of being grabbed.

β€œThere seem to be collaborators within who don’t want the issue of KPA Land to be solved. The greatest asset with KPA is land, yet it’s gone. MD, I want you to move with speed and put measures which can include securing caveat to protect KPA Land. β€œ, directed Hon. Pkosing.Β 

Other Committee Members echoed Hon. Pkosing’s sentiments, indicating that recovering actual land will help KPA recover and protect assets.

From the presentations made, the Committee noted management laxity in taking care of KPA properties, especially unutilized property that was left unmanned.

Meanwhile, the Committee questioned KPA on unoccupied land and staffing matters.

The members called for swift action to protect Authority assets and ensure implementation of proper HR procedures.

The meeting was attended by technical officers from relevant government bodies, highlighted the importance of securing public assets and enforcing governance standards.

Members present at the meeting include Hon. Opiyo Wandayi, Hon. Adan Keynan, Hon. Sarah Korere, and Hon. (Dr.) Babu Owino, Hon. Paul Kahindi, Hon. Charo Tungule, Hon. John Waithaka, Hon. Marianne Kitany, Hon. Peter Kihungi and Hon. Ronald Karauri.