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Moses Kuria: Why I dumped Uhuru for Ruto

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MP Moses Kuria reveals why he broke ranks with Uhuru
In an interview with Saturday Nation, Gatundu South MP Moses Kuria says a cabal of ‘clueless’ people close to Kenyatta have captured the presidency and edged out the thinkers who understand the Jubilee dream.

What is your issue with President Uhuru Kenyatta?

I have no personal differences with President Kenyatta. Since the 2007 elections, we have worked very closely and very well.

We found ourselves in the thick of things in 2007, when he was in Kanu, which had just decided to support PNU’s Mwai Kibaki.

Since he had to campaign for Kibaki, I had to cover for him in Gatundu South, in addition to my duties as director of programmes at the PNU headquarters.

So when did you break up?

On December 31, 2018, I made the now famous – infamous to some – Thika Speech about the development in Mt Kenya region, or lack thereof.

As a member of the Budget Committee since 2014, I was aware that Parliament has never rejected any budget proposal from the President and the Treasury.

But we had a huge problem with work execution. I had knowledge of the workings of ministries, departments and agencies and I knew the problem was not money but inefficiency on the part of those the President had assigned responsibilities.

Even worse was the takeover of the policymaking by an emergent elite squad whose appreciation of the real issues was suspect.

Those who understood the issues did not have the requisite experience and capability to formulate solutions. The rest were living in utopia.

The more the top-heavy policies failed to trickle down to the people, the more the people got more disenchanted and angry with the Jubilee government.

In the entire 2019, most of your speeches pointed out neglect of Mt Kenya by Jubilee

As the fires of disenchantment raged, the elite squad that was now fully in control of policy had only one tool at their disposal – blame the politician, demonise the politician.

This was the perfect tool after my Thika Speech. This was a convenient answer to the so-called Tangatanga forays.

Blaming the politician for an elite-driven policy misadventures was easy, convenient and reassuring on the part of the cabal that had taken over the Jubilee policy machine.

The more I complained of the low returns to coffee and tea farmers, opportunistic industry practices that nearly brought the milk farmers to their knees – awkward regional cooperation protocols that heavily disadvantaged the local dairy and poultry farmers – the more the clueless and elites worked hard to paint me as a rebel without a cause in the eyes of the President.

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Rather than respond to the issues I was raising on the foreign-driven policies that were driving small traders to the point of committing suicide, the elitist cabal convinced the President I was the enemy and the problem.

It was criminal to stand with local suppliers and contractors and pushing law amendments to address the pending bills.

It was a crime standing with the likes of Keroche Breweries and fighting the weaponisation of our tax regime to drive out local manufacturers to the advantage of foreign manufacturers.

The President has kept asking what leaders have done with their allocations

Governors from the Mt Kenya region need to account for their contribution to development of the region.

For instance, how does Nyandarua’s potatoes, cabbages, onions and carrots go to waste when the county gets billions, which it can invest in agroprocessing?

What has Nakuru done to revive pyrethrum farming? How do Kirinyaga leaders watch as the price of rice plummets while they have has billions that can effect market interventions?

How does Kitui manage the Kitui County Textiles while the Mt Kenya counties cannot set up even a single coffee processing plant?

When I persisted in asking these questions, the Mt Kenya governors convinced the President that I was a rabble-rouser inciting the people against him, at the behest of William Ruto.

Did the handshake between the President and Raila Odinga push you to the periphery?
After the handshake, a team that again did not know why we wanted to form government and what the core elements of Jubilee were took over at the Office of the President and State House.

The narrative was very simple: rather than explain to us and discuss the rationale behind the handshake, this cartel brought in the narrative that some of us were beneficiaries of the divisive politics of the past and therefore we could not support a process that ended the divisions.

We were portrayed as investors in chaos and division. This presumption of guilt till proven innocent is what has led us to where we are.

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To those like us who had navigated the post-2007 election torturous journey with Uhuru Kenyatta through consultation and lots of team work, this came as a total surprise and disappointment.

To date, close to two years since the March 9, 2018 handshake, there has never been a meeting of the Jubilee Parliamentary Group to discuss the ‘handshake’ or the Building Bridges Initiative (BBI).

I will continue insisting that Jubilee leaders are not irrational or irresponsible people who are not amenable to reason.

I am sure when the President sits down with Jubilee leaders in a Parliamentary Group, he will easily convince them of his BBI position and ensure we achieve a national consensus to move the nation forward.

The President should take this historic opportunity to bring his house together and avoid the temptation of fighting with his own child.

Do you feel vindicated by the President’s Tuesday policy direction?

Absolutely. The President addressed most of my concerns on tea, coffee, milk, bananas, potatoes and rice.

He also recently signed the Kenya Roads Board Amendment Bill into law.

This is a bill I pushed aggressively as vice-chair of the Transport and Infrastructure Committee and which brings my experience from banking into our infrastructure sector by raising funds from capital markets backed by the Fuel Levy to finance the completion of the remaining roads under the 10,000 kilometres programme alongside the national highways and urban roads.

Accordingly, the President announced the first tranche of Sh150 billion Roads Bond that will be floated on the capital markets by the first quarter of 2020.

Obviously, there is still more work to be done – like the passage of the Guaranteed Minimum Returns Bill, which I will be moving in partnership with Ndindi Nyoro when House business resumes.

We will also be moving to zero-rate VAT on all local teas to boost value addition of teas and increase farmers’ income.

But it is refreshing to see the President address the issues I have been pushing.

What is the genesis of the problems in Jubilee?

After victory in 2013, that was the end of the heavy involvement in strategy development and execution by those who had travelled the journey with Uhuru Kenyatta.

All of a sudden, the space was occupied by people from nowhere, who did not know why we wanted to win the election and what we wanted to do in government.

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I was banished to Siberia and was jobless until I found myself in Parliament in August 2014, courtesy of a by-election following the demise of MP Joseph Ngugi.

The hostile takeover by people who didn’t understand why we wanted to form government with Uhuru Kenyatta after 2013 is the genesis of the current problems bedevilling Jubilee.

Without understanding the history, it’s impossible to understand what is going on.

In 2017, you were instrumental in the President’s re-election campaign

The year 2017 was difficult for me. First, forces I believe are from the President’s closest relatives sponsored candidates against me in Gatundu South.

This is despite the fact that I had worked very hard to deliver to my people, lifting the place from near-total darkness to electrification, initiating a roads upgrade programme and upgrading 75 per cent of secondary schools to have boarding facilities.

The 2017 Jubilee nominations were supposed to rig me out despite the fact that I was largely popular.

This shook me to the core. I am not sure I have fully recovered from that treachery.

But you still campaigned hard for Uhuru

We had to campaign for the President. The Mbele Iko Sawa team, which I led, combined in 40 of 47 counties and was made over 200 campaign stops in the period leading to the first and repeat presidential elections.

After the 2017 victory, it was back to post-election Raila management headache, which we had been involved in 10 years earlier.

Did you work closely with Uhuru in the 2007 post-election period?

When the post-election violence broke out, I had that onerous duty of assisting the then Deputy Prime Minister in navigating a very trying period for him personally.

Remember this was a conflict that pitted the Kikuyus against the Kalenjins, who had overwhelmingly voted for Uhuru only five years earlier.

It was a heavy and emotional moment for Uhuru. I was the only person who really understood the dynamics of both communities and for the entire 2008, I did nothing but camp in the Rift Valley to help Uhuru sort out the internally displaced persons (IDP) mess and post-conflict relations between the Kikuyu and the Kalenjin, which ultimately culminated in the political union that became the Jubilee Alliance of 2013.

by nation.co.ke

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The Sh1bn SGR grass

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The beautiful grass dotting the Standard Gauge Railway (SGR) stations and some sections of the line cost the taxpayer Sh1 billion.

And when Kenyans were fed the narrative that the Chinese contractors were living in temporary containers, the reality was that they were earning top dollar and living large behind the walls of the SGR.

The airtime allowance for the lead engineer was Sh5 million, for the three years the project was under construction. Even if the China Road and Bridge Corporation (CRBC) engineer was on phone 24 hours every day for the 36 months, the airtime would never have been exhausted.

His house was furnished at a cost of Sh3 million and office computers bought at Sh280,000 each, while his laser jet printers cost a staggering Sh513,700 each. In total, the taxpayer forked out Sh57 million to provide office furniture.

Additionally, Kenyans spent Sh239 million to provide entertainment for the expatriate staff during their time in the country.

These details are just the tip of the iceberg. We can now lift the lid on why Kenya’s railway ended up being one of the most expensive on the continent.

Details of the costs are contained in the contracts signed between Kenya and the Chinese builder and financier of the SGR project that the Nation has obtained. Some of these costs were flagged down long before the project started.

But the big puzzle is, if small costs that could easily have been verified on the Internet or in shops here in Kenya were heavily inflated and still passed the scrutiny of the drafters, what about the more technical items in the contract?

However, the Kenya Railways team had, as early as 2011, said that the costs of some of the items in the contract were way too high. Something could have happened that changed their initial position.

What followed was an overpricing of several components of the contracts. The overpricing was even discussed in a June 25, 2012 meeting, but this only earned Kenya a price reduction of Sh3 billion on the total contract.

“Kenya Railways team considers the unit prices of certain items too high and discussed adjustments with CRBC,” says minute seven of the meeting between Kenyan negotiators and the Chinese contractor.

Some of the exaggerated prices for items include station loudspeakers for Sh28,800, video cabinets (Sh1.14 million), workshop benches (Sh180,000), ticketing system (Sh8.4 million each), air conditioners (Sh1.9 million), portable radios (Sh119,100) and digital voice recorders (Sh341,500).

Digital voice recorders cost as little as Sh2,000 in Nairobi. These small costs here and there multiplied by the number of the gadgets being bought added up to billions of shillings.

CRBC also billed Kenyans Sh38 million to install a passenger guiding system, Sh14.6 million for each security system at the railway stations, Sh26 million for each luggage inspection system and Sh14 million for passenger monitoring systems at the stations.

The company also said it bought 46 A3 laser printers at Sh513,700 each for use at the stations during construction. The Nairobi station received five of these printers. These printers currently cost between Sh40,000 and Sh75,000.

Each of the intermediary stations also got a 30KW generator for use in case of power outage; Mombasa and Nairobi got two. The diesel generators, according to the contracts, were acquired at Sh4.26 million each. When the Nation asked around, we were told we could have one for Sh1.5 million.

Additionally, Kenyans paid Sh5.4 million for each of the 31 boreholes dug by CRBC in the intermediate stations. The Sh5.4 million is for drilling alone minus equipping and commissioning. The entire SGR from Mombasa to Nairobi has seven stations, which means each one was supposed to have three boreholes, a geological impossibility.

CRBC also said it needed to import six ZX7 DC/AC arc-welding machines as each station needed six of these for construction. These, according to CRBC, were bought at Sh442,872 each. We were able to get the same for Sh25,000 from Chinese manufacturers.

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The SGR’s Mombasa Terminus in Miritini. The beautiful grass dotting the stations and along some sections of the line cost the taxpayer Sh1 billion. KEVIN ODIT | NATION

The air conditioners for the computer rooms for the Nairobi and Mombasa stations were bought for Sh1.9 million. The Nairobi station, according to the contractor, needed 50 of these while Mombasa needed 30.

All the stations got a Sh4.5 million vehicle for the electrical engineer, which was shipped into the country without payment of stamp duty. The Mombasa and Nairobi stations each got a 45-seater bus bought for Sh25 million, a 12-seater minibus (Sh12 million) and a 1.5-tonne double cab pick-up for Sh3.5 million.

All these prices were exaggerated. A state-of-the-art 45-seater bus costs an average of Sh15 million today, but a majority are about Sh10 million.

This explains how Kenya ended up paying two times more for a diesel train than what Tanzania negotiated for an electric train. A comparison of the costs shows that Tanzania is building an electric rail at half the price of Kenya’s diesel SGR line.

The Syokimau SGR station. FRANCIS NDERITU | NATION

At $1.92 billion, which translates to about Sh192 billion at current exchange rates, for the 422 kilometres, Tanzania’s line is not just cheaper; being electric, it’s designed to support a maximum speed of 160km/hour for passenger trains and 120km/hour for freight.

This pales in comparison to Kenya’s line, whose passenger trains have a maximum speed of 120km/hour with freight hauliers doing 80km/hour at best.

Kenya opted for diesel-powered engine that can be upgraded into electric in future.

It is the results of this greed and negligence that taxpayers are now paying for.

Currently, the revenues generated from the passenger and cargo services on the track cannot meet the operation costs, estimated at Sh1.5 billion a month against average sales of only Sh841 million.

Whereas the official cost of the project was put at Sh327 billion, the open-ended nature of these contracts allowed some variations in the bill of quantities and, if these were allowed, then Kenya may have spent a little bit more than that.

Interestingly, while the Supply and Installations of Facilities, Locomotives and Rolling Stock contract was done in US dollars, the ”Civil Works” contract was in Kenya shillings. Additionally, the portion of repayment for the Sh220,921,502,221.08-worth civil works contract is supposed to be paid back in US dollars.

The Supply and Installations of Facilities, Locomotives and Rolling Stock contract that was signed in US dollars amounts to $1,146,791,008.75 (Sh114.6 billion). The two contracts together cost $3,356,006,030.21 (Sh335 billion).

This cost does not reflect the interest on the loan, the 20 per cent depreciation of the currency and the Sh11.7 billion paid for land acquisition, which was marred by corruption and overpricing. The contracts also say the cost is exclusive of value added tax, import declaration fees, cess and withholding tax, which would push it higher. This means that the taxpayer has forgone billions of shillings in tax revenue which, if factored in the cost, would give a different picture. Not many companies have earned billions of shillings in Kenya tax-free like the SGR contractor.

The fact that the money moved directly from China Exim Bank to CRBC accounts denied the country any benefits that would have trickled in on account of local purchases.

“The buyer (Kenya) shall pay those amounts due to the seller (CRBC) which are financed by the financial institutions of China to the seller (CRBC) through the financial institutions of China,” the contract says.

Transporters want Cabinet Secretary James Macharia compelled to file in court a copy of an agreement between Kenya and the Chinese government for the construction of the standard gauge railway.

The Kenya Transporters Association (KTA) has questioned the directive issued by the Kenya Ports Authority (KPA) and Kenya Revenue Authority (KRA) requiring that all cargo imported through the Mombasa port be transported to Nairobi exclusively on SGR.

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They argue that the directive was not only meant to generate income from the transport service but also to maximise it through granting a monopoly to Kenya Railways to transport containers.

“It is therefore fundamental to interrogate the directive from its very foundation, being the agreement for the construction of the SGR by the Chinese government,” argues KTA through its lawyers Gikandi and Company Advocates.

“Since the agreement is not in the public domain and is therefore inaccessible by the public, it will be proper and just if the court orders that the agreement be awarded to the petitioner and the court.”

In essence, this meant that there was no trickle-down effect of this huge loan of the project on the local economy as the Chinese imported almost everything for the project, including small things like toilet paper, toothpicks and sugar.

All custom duties and charges on importation of equipment of parts and materials, etc, shall be exempted by the employer.”

But even worse is the fact that CRBC was given a leeway to adjust the prices of individual components of the contract by making the bill of quantities non-binding.

“The contract price is to be adjusted for rises or falls in the cost of labour, goods and other inputs to the works by the addition or deduction of amounts,” says the contract.

Even in areas where the government would have recouped part of the cost by taxing the equipment being imported by the Chinese, it did not.

“All custom duties and charges on importation of equipment of parts and materials, etc, shall be exempted by the employer.”

For the last 13 months, Kenyans have been waiting for President Kenyatta to make public the contents of the SGR contracts signed between the government and the Chinese financiers and contractors as promised in December 2018.

And, while the President is yet to honour his promise, which would have put to rest speculation that Kenyans got the short end of the stick on the financing and building of the SGR, the government has been trying to review the contract behind the scenes.

It is understood that after President Kenyatta made the promise to make public the contract, the office of the Attorney-General and the Transport ministry explained to State House the implication of such a ”breach of contract” given that it explicitly said the contract would not be made public.

Just why such a big contract that would burden taxpayers for decades to come became a secret document is puzzling.

The Nation reported last month how the team tasked with reviewing the skewed contract had hit a dead end. This is after CRBC refused to provide key information protected by the confidentiality clauses in the contract.

The team comprised officials from the Presidential Delivery Unit, the Office of the Attorney-General, Kenya Railways, Ministry of Transport, the National Treasury and CRBC. It was led by then Transport Principal Secretary Esther Koimett.

“Publicity and disclosure of any kind hereto to any third party not involved in the present contract requires the written approval of the other party. Such an approval shall be required after the performance of the present contract,” a clause in the contract says.

Government spending is guided by, among several statutes, the Access to Information Act, which is supposed to enhance accountability, transparency, and public participation.

Why the State decided to enter into a confidential contract with a foreign company and financier on how to spend taxpayers cash on a public project is still an unanswered question.

Meanwhile, taxpayers have begun paying through the nose for the mistakes they committed either out of ignorance or by design after Kenya decided to go it alone following the withdrawal of Uganda from the project.

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The first Sh25 billion of the Sh324 billion borrowed from China for phase one of the railway was due last month. Another Sh25 billion will fall due in June. Treasury has set aside Sh35 billion in the supplementary budget to take care of the repayment to China’s Exim Bank.

Retired President Mwai Kibaki met Ugandan President Yoweri Museveni on October 28, 2008, regarding the SGR. It was mutually agreed that the railway line would be a white elephant if Kenya decided to go it alone.

This position changed after brokers introduced CRBC to the Kenyan government in 2009. In 2008, two Kenyans — Leonard Mwangi Ndungu and Peter Maingi Gatere — had registered a company with a similar name, China Road and Bridge Corporation Kenya, with registration number C 166624. When this became public, the Registrar of Companies was ordered to deregister the company.

And while the Kenyan government has always maintained that the SGR was a government-to-government contract, hence there was no need for competitive bidding, the contracts show the deals were entered with CRBC and China Exim Bank.

What was a grand dream that would have connected Mombasa to Kampala is a railway to nowhere that ends in a bush near a cattle market that is inaccessible when it rains.

The death of this dream, it appears, began on June 25, 2012 when a team of nine negotiators — five from Kenya and four from CRBC — sat to discuss the components of a feasibility study on the viability of the SGR.

On the Kenyan side were Mr Solomon Ouna, and Mr David Mwadali, both engineers, Mr Alfred Matheka, Ms Maryanne Kitany and Mr Stanley Gitari.

“The Government of Kenya and CRBC signed a memorandum of understanding on August 12, 2009 for the feasibility study and preliminary design of the Mombasa-Nairobi section of the Standard Gauge Railway which has been completed to the satisfaction of the Kenya technical team,” say minutes from the meeting.

“CRBC and Kenya Railways now need to enter into a common contract,” add the minutes.

And like vultures waiting on the sidelines for pieces of meat to drop out of a plate, the first commercial contract for civil works was signed in a record 15 days after the results of the feasibility study were adopted on July 11, 2012.

Ideally, such a huge contract, despite being a government-to-government deal as the State has always maintained, requires time for naming negotiating teams, a board meeting by the concerned authority, followed by seeking and getting approvals from the ministry concerned and the Attorney-General.

This is even before you factor the time needed to draft a bill of quantities for the construction at hand plus the time needed for technical teams from both sides and lawyers to draft and look at the details in the contracts before they are presented for signing.

So were the necessary procedures followed as required by law in such a short time? What we now know is that in total, Kenya signed four contracts for the first phase of the SGR — two of them during the grand coalition government and the last two immediately after Jubilee took office.

The first one with CRBC for civil works was signed on July 11, 2012. The second one for the supply of locomotives and rolling stock was also signed with CRBC a month later on August 29, 2012. The third one for financing the project was signed with China Exim Bank on May 11, 2014.

And when they were done with building the railway, imported the locomotives and rolling stock, the next avenue of making money was the operation contract.

This contract was also handed to CRBC. It would later hand this over to its subsidiary — Africa Star Railway Operation Company Limited — to carry out the day-to-day running of the train service.

BY Nation 

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Former Miss Kenya, Gaudentia Aura, is dead

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The family of former Miss Kenya Gaudentia Aura has confirmed her death.

According to her sister Celestine, Aura breathed her last on the night of Monday, February 24.

Celestine Aura.The late was the only African face on Unilever domestic products. Photo: Celestine Aura.
Source: Facebook

In her hay days, the late woman was a model of global stature and worked for various products including Lux beauty soap.

She was actually selected by the domestic care products company Unilver to appear on the soap wrapper and on various billboards in Africa, the only African woman face on their product.

Besides her modeling career, Aura also excelled in other spheres and made a mark in the aviation industry where she became the first Kenyan female pilot.

“It’s with deep sorrow, I mean sorrow upon sorrow that you went to be with the Lord this morning. Our hearts are hardened to this truth. Would it be a dream? The first African pilot woman, Miss Kenya, the model princess, the Lux girl, intelligent, the queen’s English material,” Celestine mourned.

Friends and family mourned her as intelligent woman who did not fear to pursue her heart desires and break the glass ceiling in whatever field.

“It is with a very heavy and inconsolable heart that the Wanga kingdom mourns the death of one of its precious daughters one Gaudentia Aura,” posted Tobia Omono.

By Tuko

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BREAKING: Senator Ledama ole Kina arrested

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Narok Senator Ledama Ole Kina has been arrested over his utterances during a Building Bridges Initiative (BBI) rally that are thought to border on hate speech.

The fiery senator was picked up by detectives from the Directorate of Criminal Investigations (DCI) as he left Royal Media Services studios on Lenana Road, Nairobi on Tuesday. He was driven to the Kilimani Police Station for questioning.

The National Cohesion and Integration Commission (NCIC) immediately confirmed it was behind the senator’s arrest.

“NCIC in partnership with DCI has today arrested Hon Ledama ole Kina, Senator Narok County,” said the commission in a tweet.

The senator’s arrest came just a day after it emerged that he had been summoned to appear before the DCI in Narok.

His summoning was as a result of statements that the Senator made during a television interview last week.

“I Mwenda Ethaiba (SSP) – the County Criminal Investigations Officer Narok County- I am making inquiries into the alleged offense of hate speech contrary to section 13 (1) of the  National Cohesion and Integration Act no. 12 of 2008,” said the letter sent to the Senator.

“In exercise of the powers conferred upon me by section 52 of the National Police Service Act of 2011, I require you [Ole Kina] to appear before me at the DCI Narok Headquarters on February 24, 2020, at 0900hrs,” the statement concluded.

READ ALSO:   Moses Kuria throws cheeky jibe at Mariga after Kibra defeat

While in Narok on Saturday, Mr Ole Kina argued that non Maasai’s should not be allowed to meddle in the affairs of the community.

BY NATION

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