Soda ash war: Ruto's exploitation claims, Gachagua's business allegations

President William Ruto ordered the closure of Tata Chemicals, announcing that his administration would give the license to a new company. [File]

President William Ruto has branded Tata Chemicals ‘criminals’ who have been exploiting Kenyans, while his former Deputy, Rigathi Gachagua, alleged that the President wanted to replace the company with a Chinese investor who serves Ruto’s commercial interests.

The Head of State, in his visit to Kajiado yesterday, castigated the Opposition leaders who accused him of scaring away investors by failing to adhere to the rule of law, claiming the Opposition were protecting exploitative companies.

“I have heard the Linda sponsor (Opposition) say that they are opposed to me but I want to tell them that you have no clarity on anything. Don't tell us about the rule of law. There is no rule of law that sustains extractive exploitative contracts that undermine the interest of the nation or the interests of the people of Kenya or the interest of the people of Kajiado. You cannot use the rule of law to protect criminals and characters who are exploiting our citizens and our country,” he said.

Accusing the Opposition of protecting the Soda ash company which exports the country’s raw materials, a visibly angry Ruto said the leaders’ claim that the company had created jobs had no justification.

“You cannot say in the same sentence that you want us to continue exporting raw materials and at the same time say that we are creating jobs. If you are exporting raw materials, you can never create any jobs,” he said.

He added, “You don't seem to understand anything, and the problem with having agreed and having submitted yourselves to be puppets and to be hirelings and to be stooges of your sponsor is that you have no mind of your own. You cannot think straight. It doesn't matter how much school you have gone to. It doesn't matter how much English you speak. You cannot speak anything meaningful because you want to protect exploitative contracts pledging the rule of law.”

At the same time, Ruto appeared to change tune over the Magadi soda ash mining area after he announced that the government would advertise afresh through a competitive bidding process away from his earlier statement that an investor would be given the tender with conditions.

On Thursday, Ruto said the government will issue the Lake Magadi soda ash mining license to a new investor, who will be required to establish industries that add value to the resources extracted from the area.

He said the new investor will be required to establish a major glass manufacturing plant in Kajiado, as well as another facility for the manufacture of chemicals.

“We will bring in a new company, and the condition for that company is that it must establish a major glass manufacturing plant here in Kajiado County, as well as another company to manufacture chemicals,” said the Head of State.

Yesterday, he announced that between four to ten companies would be given the mining tender, which he said would be firm on value addition of the minerals.

“The resource we have in Magadi is big enough to sustain more than one company, value addition is going to be done here in Kenya. Glass factories will be done here in Kenya, a chemical factory will be done here in Kenya to hire Kenyan workforce to use Kenyan resources so that we can grow wealth and we can create value from the products that are available and the resources that are here in the Republic of Kenya,” he said.

However, Gachagua, in an interview with CNN News 18, an Indian media outlet, alleged that the Tata Chemicals exit is linked to mineral interests in the region and that Chinese investors could be involved.

He warned that the move could hurt Kenya's investment climate and trigger a wider water crisis even as he accused the President of ignoring the plight of the residents over his ‘commercial interests.

“What has happened with Tata Chemicals and Magadi Soda in Kajiado County in the Republic of Kenya is a big shame because Tata Chemicals has been with the Maa community for the last 100 years and the whole economy of that area revolves around Tata Chemicals and Tata Chemicals has been very tied to their community. They provide water, they provide schools, they provide hospitals, they provide a bank. their lives revolve around Tata Chemicals,” he said.

He maintained that the President, by claiming that the company had not helped the community, went against the Constitution, as he had not conducted any public participation to hear from the community.

“What he's doing is against the Constitution, and that action has disrupted lives and livelihoods. As we speak, over 100,000 people have no water, they have no access to hospitals. They have no access to schools and their lives have been disrupted and this is totally unacceptable,” he said.

He disclosed to the media outlet that his Democracy for Citizens Party (DCP) had started engaging the Maa community for the purpose of moving to court to challenge Ruto’s decision.

“There can be a judicial review so that this arbitrary action by the President that is not based on any law can be put aside and these people can resume their lives. What is happening has nothing to do with public policy. The President and the Minister for Mining, Ali Hassan Joho, are interested in minerals in that area called lithium; it is also believed that they are oil deposits. They want to take over those mineral deposits in that area,” he said.