The Kenya National Highways Authority (KeNHA) has disclosed details of a new Public-Private Partnership (PPP) agreement for the upgrade and management of the Rironi–Naivasha–Gilgil (A8) highway.
In a disclosure issued on June 23, KeNHA confirmed that the project will be implemented by a consortium comprising the China Road and Bridge Corporation (CRBC) and the National Social Security Fund (NSSF).
Further, it stated that the project will be delivered under a Design, Build, Finance, Operate, Maintain and Transfer (DBFOM) model, meaning the consortium will finance, construct, operate and maintain the highway before transferring it back to KeNHA at the end of the concession period.
“The project is being implemented as a Design, Build, Finance, Operate, Maintain and Transfer (DBFOM) Public Private Partnership (PPP) for the development of the Rironi – Gilgil (A8) Road,” the authority stated.
New Tolling Systems and Major Infrastructure Works For Rironi–Naivasha–Gilgil Highway
According to the project disclosure by the Kenya National Highways Authority (KeNHA), the Rironi–Naivasha–Gilgil highway will operate as a toll road.
The approved tariff is KSh0.04 per kilometre for light vehicles, KSh0.13 per kilometre for medium vehicles and KSh0.26 per kilometre for heavy vehicles.
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“The Project will operate as a toll road. Applicable toll tariff is KES 0.04 per km for light vehicles and KES 0.13 per km for medium vehicles and KES 0.26 per km for heavy vehicles,” it read in part.
KeNHA stated that government support measures, including guarantees, subsidies, viability gap funding and other fiscal mechanisms, will be provided in accordance with the provisions of the Public-Private Partnerships (PPP) Act, Cap 430.
The authority said the project is expected to improve road safety, reduce travel times and vehicle operating costs, strengthen connectivity between Nairobi and the Great Rift Valley region, and support trade, tourism and job creation during both construction and operational phases.
Under the agreement, the concession period will run for 30 years, covering the design, construction, operation and maintenance of the highway. Once the concession expires, the project assets will be transferred back to KeNHA.
KeNHA noted that the highway assets must be handed back in the condition and quality specified in the project agreement, taking into account performance standards and the remaining life of the infrastructure.
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The authority will monitor the project throughout the concession period. Oversight will include construction progress, operational performance, maintenance standards, safety requirements, environmental and social obligations, financial reporting and compliance with contractual terms.
What the 139km Rironi–Naivasha–Gilgil Highway Upgrade Will Include
From the disclosure, the Rironi–Naivasha–Gilgil and Rironi–Maai Mahiu–Naivasha road project will cover the design, financing, construction, operation and maintenance of approximately 139 kilometres of highway infrastructure.
The works will include the development of associated infrastructure, highway structures, tolling facilities, road safety features and other supporting facilities needed to provide safe and efficient highway services along the corridor.
KeNHA confirmed that under the project agreement, the government’s financial commitments will be limited to provisions specifically outlined in the contract and any public funding support will be provided in line with the Public-Private Partnership (PPP) framework and applicable laws.
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