- Mvita MP Abdulswamad Nassir says revival plan would be okay if it gave Kenya 100 per cent say in port’s management
- Parliament's Transport committee assures Maritime PS Nancy Karigithu they will recommend KNLS revival plan
Plans to revitalize the moribund Kenya National Shipping Line to operate Mombasa Port’s second container terminal may run into headwinds.
This follows opposition by Coast MPs who have declared that the move is a bid to privatise KNSL through the backdoor.
The government, through a miscellaneous amendment, wants the Merchant Shipping Act amended to allow the shipping line to operate the port.
As stipulated in the law today, no shipping line is authorized to own and operate a ship on Kenyan waters.
But with the Transport committee assuring the concerned ministry that the amendment will sail through, eyes would be on how it would navigate the growing opposition to the legislation.
The committee chaired by Pokot South MP David Pkosing assured Maritime PS Nancy Karigithu that his team would recommend the KNLS revival plan.
“Take it from us (Transport committee) that we will ensure this amendment passes. We will convince our colleagues who had reservations to reconsider their stand,” Pkosing said.
This was after representatives of 80 dock workers' associations reprimanded Coast MPs for frustrating the efforts.
Despite their plea, citing lack of jobs, antagonists have dismissed the lot as people hired to sanitise the plan.
The lot appeared before the Pkosing committee and petitioned the lawmakers to consider the amendment citing more job opportunities, while at the same time their associates held a demonstration outside Parliament buildings.
“This matter of reviving KNSL concerns the people of Mombasa and other coastal counties, why is the public participation being done in Nairobi? …this is a matter that must be looked at carefully if we are to believe that the ministry is sincere,” a KPA official, who sought anonymity for fear of reprisal, asked.
Coast MPs, after skipping a session with the Transport committee where they were to give their views on the plan, have asked Pkosing's team to conduct sittings in Mombasa before it reaches a decision.
Mvita’s Abdulswamad Nassir yesterday reiterated that the revival plan would be okay if it gave Kenya 100 per cent say in the port’s management.
Mediterranean Shipping Company owns a 47 per cent stake in KNSL having taken up those once held by German firm DEG and Unimar Logistics.
This has elicited debate that the earnings from the revival and lease of container terminal two will be shared with the Geneva-based entity.
“We do not want the port privatized through the backdoor. Why not pay out MSC the money they helped KNSL repay its debt? We can revive our own shipping line which will assure us of three vessels for the first one year without any loan?” he asked.
Nassir added: “Why should we be the one to enrich other nations? Don’t we deserve? In the process of running the terminal, Kenya will have nine vessels in three years.”
Their position is that the revival is okay but it has to be 100 per cent owned by Kenya so that the proceeds can be used to train our youths and create more jobs.
“If we can fly to Mombasa on a retreat on matters which don’t concern the residents, why not do the same to conduct public participation on such a matter of concern to the people?” the MP asked.
During the debate on the changes, Kilifi North MP Owen Baya said: “To give sweeping powers to a Cabinet Secretary to set aside whole law just because of certain interests is dangerous and should not be acceptable.”
“The mandate of the KPA to manage the Port is being taken away through these amendments. The danger is that the CS can allow the ports in this country to be managed by other entities apart from the KPA,” Baya added.
In defending the plan, PS Karigithu told MPs that the state is seeking to save Sh305 billion it pays for using other shipping lines to export goods from Kenya.
She also defended MSC’s involvement saying the company has been the one rescuing debt-ridden KNSL, the latest having settled a Sh50 million debt.
“MSC will not work as MSC but as KNSL meaning no KPA staff would lose a job. KNSL would be paying a lease to KPA for use of births, meaning more income for Kenya,” she said.