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May 20,  2013
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Politics and policy

Compensation plan for dams queried

The Masinga dam water catchments. Photo/FILE

The Masinga dam water catchments. Photo/FILE  

In Summary

  • The board’s deputy managing director, Francis Njoroge, told Parliament that Sh5 billion would be spent on land, leaving Sh3.1 billion for construction.
  • Mr. Njoroge said they intend to spend Sh3 billion to compensate land owners in Mwea in Central Kenya and Sh2 billion for land owners in lower Sio and Kuja in western Kenya.
  • The land purchases will see the board scale down on actual food production.

The National Irrigation Board (NIB) will pay farmers between Sh700,000 and Sh1 million per acre of land acquired for construction of dams in Mwea, lower Sio and Kuja.

The board’s deputy managing director, Francis Njoroge, told Parliament that Sh5 billion would be spent on land, leaving Sh3.1 billion for construction.

But immediately he gave the figures, the Agriculture Committee raised questions about pricing and whether the project was prudent.

“We intend to spend Sh3 billion to compensate land owners in Mwea in Central Kenya and Sh2 billion for land owners in lower Sio and Kuja in western Kenya,” Mr Njoroge told the committee.

The land purchases will see the board scale down on actual food production.

Committee chairman John Mututho asked the board’s MD, Daniel Barasa, to give details on the land purchases.

“We want to know why land in Mwea costs up to Sh1 million yet in Masinga it cost Sh30, 000. In highly productive areas like Trans Nzoia and Kisii, it is below Sh600,000,” Mr Mututho said.

Mr Njoroge said the Treasury had trimmed down its Sh16 billion budget proposals for the current year to Sh8 billion, which includes the Sh2.85 that the Treasury borrowed for emergency.

“The current budget — Sh3 billion — for development is not enough to meet our mandate of ensuring food security,” he said.

Robert Monda (Nyaribari Chache) said the board should be spending the money on expanding existing irrigation schemes.

“They are spending Sh5 billion to purchase 5,000 acres of land for installation of equipment to irrigate land elsewhere instead of increasing acreage where we have irrigation today,” he said.

The board said it spent Sh5.6 billion last year to rehabilitate and expand Mwea Irrigation Scheme from 28,000 acres to 40,000.

Bura’s capacity was increased from 10, 000 to 25, 000 acres and Hola from 2,250 acres to 4,500 acres.

The MPs summoned Finance minister Njeru Githae and his PS, Joseph Kinyua, to appear before it next week to shed more light on the projects.

Back to Business Daily: Compensation plan for dams queried
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