KDF chief heads team to effect key maritime projects at Uhuru office

President Uhuru Kenyatta has set up a team to oversee implementation of priority maritime projects even the Treasury proposes to deny the sector a development vote for the next financial year.

The blue economy implementation committee headed by Chief of Defence Forces Samson Mwathethe has the immediate task of co-ordinating ocean-based investments while also advising the State on appropriate policies to boost earnings from water resources.

“The committee shall remain in the office for a period of six months or for such longer period as the President may decide,” said Chief of Staff and Head of the Public Service Joseph Kinyua in a gazette notice published on January 6.

The committee will prepare and submit monthly reports to the President on the progress of implementation.”

The choice of General Mwathethe as head of the team to be based at the President’s Harambee House office implies security of the Indian Ocean resources is likely to be given priority. The sector players have been pushing for the formation of a coast guard to keep away criminals such as pirates, smugglers, illegal fishers and terrorists away from Kenyan waters.

They have proposed a coast guard made up of various security agencies such as Kenya Defence Forces, National Police Service, Kenya Wildlife Service and customs officials.

“The committee may co-opt other members it may deem necessary to support implementation of its functions,” states the gazette notice.

Members of the committee include Maritime and Shipping Affairs PS Nancy Karigithu, Fisheries PS, Treasury PS, Transport PS and Environment PS. Others are Mr Kenyatta’s adviser on international relations, Ruth Kagia, his economic adviser Eric Aligula and secretary at Kenya International Boundaries Office Juster Nkoroi.

Kenya’s territorial waters in the Indian Ocean alone covers about 230,000 square kilometres and a distance of 200 nautical miles offshore, presenting a huge potential in the country’s maritime sector.

The ocean transport, for instance, accounts for 92 per cent of Kenya’s international trade estimated at Sh2.14 trillion by start of last year.

The government estimates the true worth of its marine and coastal resources at slightly over Sh440 billion annually with tourism accounting for more than 93 per cent of the potential.

Because of the heavy capital requirement, Kenyans have generally shunned the sea-based investments with regular public revenue limited to regulatory fees collected from foreign investors.

None of the shipping lines that haul Kenya’s export and import trade is locally owned.

Through the restrictive Mercantile Shipping Act, the State has been fighting, unsuccessfully, to fence in areas such as quayside services, general ship construction and repairs, ship brokerage, cargo handling and maritime training.

The appointment of General Mwathethe’s team marks the second time that President Kenyatta is turning his attention to Kenya’s Indian Ocean resources.

Luxury tourism

In 2015, Mr Kenyatta set up maritime and shipping affairs department headed by Mrs Karigithu to oversee development of the country’s blue economy.

Among other things, the Karigithu team was meant to spearhead development of opportunities such as deep sea fishing, aquaculture, sports fishing and artisanal fishing as well as deep sea mining, wind energy, luxury tourism and marinas.

The team had asked development vote of Sh765 million to finance local maritime training, encourage locals to buy own merchant ships and invest in ship building industry in the next financial year.

“The budgetary allocation for the sector has not been given the weight it deserves for optimal development and growth,” Mrs Karigithu told the transport committee a few weeks ago when she showed up at the National Assembly to push for additional funding for the 2017/2018 financial year.