- Selling KPC will lead to increase in fuel prices.
- KPC is among 11 state corporations line up for privatisation.
Opposition chief Raila Odinga has cautioned the government against move to sell some strategic state corporations warning it will be counterproductive. https://rb.gy/ly9x4i
Image: RAILA ODINGA/FACEBOOK
Opposition chief Raila Odinga has cautioned the government against move to sell some strategic state corporations warning it will be counterproductive.
The former Prime Minister singled out Kenya Pipeline Corporation (KPC) arguing that it would lead to increase in oil prices in the country.
He said KPC is too strategic to the country’s economy to be left in private hands.
Speaking in Kisii during the thanksgiving ceremony for Governor Simba Arati, the ODM boss said he will give a comprehensive statement on the implications of privatisation of state corporations.
"The government wants to sell state corporations, Kenya Pipeline Corporation and National Oil Corporation are among them. KPC is a strategic investment that should not be sold under any circumstances. But the government wants to sell it," he said.
“If it [KPC] goes into private hands, fuel prices will escalate a hundredfold. KPC is a strategic investment that should not be sold under any circumstances.”
Raila was accompanied by Wiper leader Kalonzo Musyoka and governors Gladys Wanga (Homa Bay), Paul Otuoma (Busia), among other leaders.
The Azimio leader also faulted Kenya Kwanza for blaming retired President Uhuru Kenyatta one year after taking office.
He said blame game is a confirmation that the government has no solution to the current mess ravaging the country.
"From blaming the retired President Uhuru Kenyata to increased taxation, this government has all the markings of failing to deliver on its mandate," he said.
“They have been blaming Uhuru Kenyatta for their problems and that he left empty coffers, but it's been one year, something should be happening. The Kenya Kwanza government has failed to deliver on its mandate to the people and that's why it keeps increasing taxes."
Kalonzo said Azimio will push for a meaningful intervention in reducing cost of living, which he noted has pushed most Kenyans to the edge.
“We have seen many officers resorting to suicide after their payslip have been invaded, we will ensure we have some of these taxes reduced,” Kalonzo said.
KPC is among 11 state corporations the government has lined up for privatisation.
Speaking on Tuesday, Raila said the move is ill-advised and that the corporations should not be sold.
Others are Kenyatta International Convention Centre (KICC). Kenya Literature Bureau, National Oil Corporation, Kenya Seed Company Limited, Mwea Rice Mills, Western Kenya Rice Mills Limited, Kenya Pipeline Company, New Kenya Cooperative Creameries, Kenya Vehicle Manufacturers Limited, Rivatex East Africa Limited and Numerical Machining Complex.
"We have identified the first 35 companies that we are going to offer to the private sector. We have another close to 100 we are working with financial advisers on what to do," President William Ruto said when opening the ceremony African Stock Exchanges Association's annual meeting in Nairobi.
The government revealed that one of the reasons it was selling the Kenya Literature Bureau and KICC was because the two parastatals needed to be incorporated into limited companies.
Kenya last privatised a state-owned company in 2008 with an initial public offering for 25 per cent of the shares in telecommunications firm Safaricom.