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Local firms to reap Sh60bn from SGR phase II

Local workers at an SGR construction site during phase I works. PHOTO | SALATON NJAU
Local workers at an SGR construction site during phase I works. PHOTO | SALATON NJAU 

Local companies in joint venture agreements with a Chinese company constructing the 120-kilometre Nairobi-Naivasha Standard Gauge
Railway (SGR) are expected to rake in up to Sh60 billion.

National Construction Authority (NCA) executive director Daniel Manduku said the main contractor, China Road and Bridge Construction (CRBC), had forwarded a list of sub-contractors it entered joint venture agreements with for the Sh153 billion project.

The construction will see Nairobi connected to Ol Karia geothermal fields through a railway line traversing Nairobi, Kajiado, Narok and Nakuru counties.

“The contractor has gone beyond our 30 per cent project cost allocation threshold for local contractor involvement and this is the best way to enhance capacity of local contractors to handle large contracts as well as help Kenya workers gain the much-needed experience in handling big projects,” he said.