Raila Odinga courts Chinese investors in water, energy sectors

CORD Leader Raila Odinga says Kenya urgently needs to expand its Energy generation capacity to meet market demand.

CORD Leader Raila Odinga has appealed to Chinese firms involved in water and energy sectors to explore investments in solar power and water generation in arid lands parts of Kenya and counties lying along the equator.

Speaking when he led his Kenyan delegation of governors to a meeting with Hydrochina Corporation at its head offices in Beijing, Raila said Energy is the engine that drives any economy adding that that Kenya urgently needs to expand its Energy generation capacity to meet market demand.

Raila said electricity demand is growing at about 14 per cent per year and it could not be met through continued reliance on fossil fuel imports.

He urged Hydrochina Corporation to take advantage of the wind power generation potential in Turkana and Marsabit Counties and the Solar Energy potential of Kenyan Counties lying along the Equator.

He said that other than Turkana and Marsabit counties, wind is abundant on the Kano plains in Nyanza, but has hardly been exploited as source of power.

“Our installed capacity cannot lead to the industrial take off that we are envisaging. Without energy, the cost of doing business in Kenya will remain high and cost of living would continue to remain out of reach for a majority of our citizens,” Raila said.

During the meeting with Hydrochina Corporation’s President Mr. Zao Jawang, Deputy President in Charge of Africa Mr. Hu Munde and Assistant Director for International Division Ms. Zhang Lixi, the Kenyan team of governors articulated their key water and power infrastructure priority areas.

The Chinese team expressed willingness to partner with Kenyan Counties in the identified areas if there are comprehensive feasibility studies and bankable proposals.

The Corporation expressed willingness to partner with county governments in undertaking the projects either on Private Public Partnership or Build Operate and Transfer basis.

Hydrochina Corporation specializes in water supply and sewerage systems, hydro, thermal, solar and wind power generation. The corporation has operated in Kenya since 2010.

Present at the meeting were governors Wycliffe Oparanya, John Nyangarama, Cornell Rasanga and Marsabit County Deputy Governor Ali Omar Abdi.

The Kenyan team also agreed to pursue a joint-venture arrangement with the Chinese low-cost housing conglomerate BMBM Ltd. During the meeting, BMBM group management led by General Manager Mr. Yin Jihana and Director of International Trade Mr. Zam Xhim, the Chinese corporation promised to pursue a credit line with the Exim Bank of China to facilitate mass production of the low cost houses within the Kenyan market.

The Kenyan governors expressed interest in deploying the low cost housing scheme in residential housing, schools, hospitals and other public utilities if the Chinese firm customizes its design to the Kenyan market.