Nakuru: The construction of the multi-billion Nakuru County Aggregation and Industrial Park (CAIP) at Ngongongeri Farm in Njoro Sub-County has resumed after a two-year hiatus.
According to Kenya News Agency, the County Secretary and Head of Public Service, Dr. Samuel Mwaura, stated that the construction of the park is currently at 15% completion. With support from the national government, the county is working to overcome the delays in implementing the over Sh3 billion project, which is anticipated to create more than 4,000 employment opportunities upon completion.
Dr. Mwaura highlighted some of the completed works at the park, including site clearance, mass excavation for levelling, foundation excavation, concreting of two column bases, and the establishment of an administration block. He noted that ongoing tasks include constructing the slab, roofing, and wall installation for the warehouses and other auxiliary structures.
The industrial park, aimed at transforming the Central Rift region into a major c
ommercial hub, will host a variety of industries, such as ICT hubs, energy-sector companies, engineering and construction firms, and chemical industries. Dr. Mwaura mentioned that all the necessary support infrastructure, including power, water, and the park ring road, is expected to be ready within three months. Following this, investors will be allocated space and allowed to operate as the spatial plan is already prepared.
During a site visit to assess the project’s progress, Dr. Mwaura, accompanied by Chief Officers Samuel Ndegwa (Public Works) and Bernard Sang (Trade and Investment), explained that the Industrial Park is intended to attract private investors to establish food processing plants to add value to agricultural produce. The project is a collaboration among the county government, Egerton University, and the Ministry of Agriculture and Fisheries. The County Aggregation Industrial Park (CAIP) and Export Processing Zone (EPZ) have each been allocated 100 acres at the University’s Ngongongeri farm.
A policy document to establish and implement the two projects has been approved by the County Government.
Dr. Mwaura elaborated that the CAIP project is a partnership between the State Department for Industry and the Council of Governors (COG). Nakuru County will allocate Sh250 million towards the initiative this financial year, matching a similar amount from the national government. The county aims to foster industrialisation and improve the quality of life for all residents by 2030 in a secure environment.
He also noted that the county administration is collaborating with the Ministry of Investments, Trade, and Industry (MITI) to initiate CAIPS in line with the bottom-up economic transformation agenda. The devolved unit envisions CAIPS and SEZs hosting light industries such as warehousing and logistics, as well as supporting medium and heavy industries like manufacturers of fertilisers, iron and steel, plastics and packaging, and fabricated metal products.
The national government has allocated Sh4.7 bill
ion for the construction of CAIPS across all counties to promote manufacturing. Counties are expected to contribute a similar amount towards the project, which is a partnership between regional governments and the Ministry of Investment, Trade, and Industry. Each county is to provide Sh250 million and a minimum of 100 acres of land for park establishment in the next financial year. This funding will be used for electricity, water, effluent management, internet, security, and common transport.
State Department for Industry Principal Secretary Dr. Juma Mukhwana outlined that the project will be implemented in two phases. Once the parks are constructed, Equity Bank will offer financial support for purchasing manufacturing equipment for industries willing to invest in the parks. A Sh6 million fund will be established to provide start-up capital to small-scale traders and youth under a programme called ‘Viwanda Mashinani.’ Sh100 million has already been disbursed to Nakuru County for basic infrastructure construc
tion. Other counties identified for the first phase of the project include Busia, Murang’a, Kakamega, and Kirinyaga.
Kenya, with the largest number of SEZs in Africa, launched its industrial transformation programme in July 2015. The programme aims to create thousands of jobs and boost exports to spur economic growth by 2030. The country has 15 gazetted SEZs, part of its ambitious plans. Recently, Kenya set a cheaper power tariff of Sh10 per unit at the 15 special economic zones, with the Olkaria-Kedong SEZ in Naivasha enjoying a Sh5 per unit tariff. This is the lowest rate per unit of power across all consumption bands under the new regime, indicating the State’s commitment to improving the investor climate amid increasing competition from countries offering cheaper electricity.