Nema denies new sugar mill licence over land row

By Anderson Ojwang’

National Environment Management Authority (Nema) has declined to process Environmental Impact Assessment Licence to a new sugar mill to be constructed in Miwani, Kisumu County.

Nema declined to issue the licence because the plot where the sugar plant is supposed to be constructed was under contention.

In a memo dated January 7 and signed by B M Langwen on behalf of the Director General to Pandhal Harjee Singh and Sons, fronted by South Africa firm, Southern Hemisphere Structured Finance read in part: "Following your submission of the above mentioned report to the authority and subsequent advertisement of the same in the Kenya Gazette and the local dailies, the authority has noted that the land on which you are proposing to put up the proposed New Miwani Sugar mill is under contention."

Mr Langwen said the environmental impact assessment licence is only issued after the plot number has been clearly stated and a copy of title deed attached as a proof of ownership.

He said the authority was unable to process the licence until the issue of land ownership was resolved and a proof of the same submitted to the authority.

"Your response is expected within 60 days from the date of this letter failure to which you will be expected to re-apply," read the letter in part.

The licensing of the new factory could ignite another bitter sugar war in the Miwani sugar zone akin to that of West Kenya and Butali Sugar Mill Limited in Kakamega County.

Pandal Harjit and sons have budgeted Sh11 billion to set up the factory and plan to crush 3,000 tonnes of cane a day. The proposed mill expects to produce 23 mega watts of electricity, with 18 mega watts to be injected into the national grid

Kenya requires 900,000 tonnes of sugar annually and approximately 500,000 tonnes are produced by the seven sugar factories.

The deficit is imported from South Africa, Sudan, South America, Malawi and Asia.

The factory is viewed as a direct competition to Kibos Sugar, which is a mere 20km from the proposed site.