Senator Onyonka queries financial performance of Nairobi Expressway since its inception
Kisii county senator Richard Onyonka has raised queries on the Nairobi Expressway, a toll road that has been in operation since 2022.
The lawmaker on Thursday, December 5, 2024, during the Senate proceedings, sought a statement from the Senate Standing Committee on Roads, Transportation and Housing concerning the financial performance of the iconic road.
The Nairobi Expressway is a key infrastructure project that was commissioned in 2022 by former president Uhuru Kenyatta under the Public-Private Partnership (PPP) model.
In the Statement, the Committee should provide a report on the financial performance of the expressway since its inception.
Onyonka on operational inefficiencies
Onyonka also wants the report to include a comparison of projected versus actual outcomes and outline mitigation strategies to address operational inefficiencies, optimize toll revenue, and manage loan repayment costs effectively.
The committee has been, therefore, tasked to carry out an evaluation of the Nairobi Expressway PPP model and recommend necessary policy adjustments.
“The committee has been tasked to evaluate the efficacy of the PPP model in delivering value for money in this project, and recommend necessary policy adjustments to improve future infrastructure investments; assess the broader economic impact of toll-based infrastructure on citizens and propose measures to balance affordability with financial sustainability; and propose actionable solutions to ensure the long-term operational viability of the expressway without overburdening taxpayers or compromising on service quality,” a statement shared by Parliament of Kenya through Facebook reads.
Nairobi Expressway makes loss
Onyonka’s concerns come days after it emerged that the expressway had made a Ksh1.2 billion loss in the period between July 2023 to June 30, 2024.
Treasury disclosures tabled in Parliament recently revealed that the project earned Ksh4.6 billion at a time when operations cost the Chinese investor Ksh5.8 billion.
The expressway is among China’s flagship projects in Kenya, East Africa under the Belt and Road Initiative and shortens travel time from JKIA to Nairobi CBD to 20 minutes, from two hours.
China Roads and Bridges Construction will operate and maintain it for 30 years to recoup their investment.
Traffic on the highway operated by Moja Expressway – a subsidiary of CRBC, averages 11,000 vehicles daily.