Second windfall for little-known firms as State eyes more SGR land

Dozens of firms and individuals cleared to receive millions of shillings in the first round of compensation are set to benefit again as State plans to acquire additional land for the Mombasa-Nairobi standard gauge railway.

Chunky Ltd, Geyser International ltd, Miritini Free Port and Africa Oil and Gas Company are among the firms whose land is targeted for acquisition.

The Mombasa-based Chunky, formed in 2011 by Vikram Chhotalal Kanji and Mohamed Sadiq Varvani was cleared to receive Sh327.2 million as compensation for its 16.78 acres of land acquired in the first round. The amount translates to Sh19.5 million per acre.

On Friday, the National Land Commission (NLC) published a notice indicating its intention to acquire additional 1.582 acres of Chunky’s land
“The national government intends to acquire additional areas/parcels of land for the Kenya Railway Corporation for the construction of the Mombasa-Nairobi standard gauge railway,” said the NCL said the notice.

“Plans for the affected land may be inspected during working hours at Ardhi House or at the county land offices of Mombasa, Kwale, Makueni, Machakos and Kajiado.”

The NLC also intends to acquire additional 2.68974208 acres of land belonging to Geyser International. The company, formed in April last year with Peter Kimanga as one of its directors, received Sh375 million for its 13 acres in the first round of compensation.

READ: Land compensation for SGR crosses Sh30 billion

Similarly, the state is seeking to acquire additional 5.54 acres of Miritini Free Port after the NLC cleared it to receive Sh1.75 billion for its 54.65 acres acquired in the first round.

The East African Portland Cement which was awarded Sh610 million for its 106.23 acres in the first round of acquisition is expected to cede additional 0.547 acres to State.

The African Gas and Oil Company which together with Port Creek was awarded Sh534 million for 6.36 acres is expected to surrender an additional 1.167 acres.

The fresh round of compulsory acquisition also affects State agencies such as Kenya Wildlife Service, Kenya Forest Service and National Police Service.

The commission initially estimated that only 4,600 hectares worth Sh30 billion would be acquired for the 609km Mombasa-Nairobi railway.

The land compensation which is being undertaken by Kenya Railways Corporation has previously attracted criticisms with a section of peasants claiming they are offered low rates on their parcels of land compared to “connected” firms and individuals.