PARLIAMENT IN SUPPORT

Unionists meet politicians to galvanise troops against privatisation of Sh27bn container terminal

They fear privatisation will lead to job losses for over 5,000 employees and another 10,000 indirect beneficiaries

In Summary

• Kenya National Shipping Line is already in talks with KPA on the takeover

• Cotu secretary general Francis Atwoli expected to attend

Kisauni MP Ali Mbogo
Kisauni MP Ali Mbogo
Image: File

Coast leaders and workers' union officials meet on Saturday at the Mombasa Women's Hall to deliberate on the planned privatisation of a container terminal at the Mombasa port.

Several MPs, including Kisauni’s Ali Mbogo, Kaloleni’s Paul Katana, Mvita’s Abdulswamad Nassir and Likoni’s Mishi Mboko have opposed plans to relinquish the Sh27 billion second container facility, codenamed CT2, to private firms. 

They say such a move would lead to job losses for more than 5,000 port employees and another 10,000 indirect beneficiaries.

Dock Workers' Union general secretary Simon Sang on Thursday said the meeting will bring together all elected leaders.

“We've invited governors, senators, MPs and MCAs. Most have confirmed attendance,” Sang said on the phone.

He said the meeting is meant to create a big group of workers, Mombasa MCAs, Kaya elders and elected leaders, who will speak in one voice against the plans by the government. Cotu secretary general Francis Atwoli is expected to attend.

The meeting was scheduled for April 13 but logistical problems compelled the organisers to put it off to April 20.

Sang said plans to hand over the CT2 to the Kenya National Shipping Line (KNSL) and the Mediterranean Shipping Company (MSC) is ill-advised and will impoverish the country instead of generating more wealth.

The KNSL is in talks with the Kenya Ports Authority with a view to operating and maintaining part of the CT2, which was built by the Japanese and handed over to the government.

KPA managing director Daniel Manduku told Parliament the authority was instructed, following a Cabinet resolution, to initiate talks with the KNSL on the plan.

The KNSL was formed in 1989 as the sole national carrier, with the government, through KPA, as the majority shareholder.

Its role was to control cargo passing through the port, a slot that is now held by the Maersk Shipping Line, which handles at least 40 per cent of cargo.

However, there are fears the cash-strapped KNSL is a loss-making entity and should not be allowed to take over the management of the port.

Already, the Public Investments Committee of the National Assembly, led by MP Nassir, has termed the move illegal, citing the Maritime Shipping Act, which bars shipping lines from operating a port.

“The Act says a shipping line cannot operate a terminal. As at now, KPA and KNSL are discussing illegality,” the Mvita MP said.

 

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