Bill to open up private sector investments in railway transport


Kenya’s Railway transport system is set for a major revolution if a bill developed by the Ministry of Transport is adopted.

The Kenya Railways Amendment Bill 2024 is set to break the monopoly of Kenya Railways in the management of the sector opening up the country for private investors to also build and operate Railway transport.

According to the bill, Kenya Railways as currently constituted will be divided into three distinct entities: regulation, construction and operations.

Currently Kenya Railways as one entity is performing all the three functions.

The new bill targets to attract investors to pump resources in the construction and operation of railway transport to expand the network across the country.

If the bill, which is currently undergoing public participation, is passed into law, Kenya for the first time will have some of the railway lines constructed and operated by the private sector to enhance efficiency and coverage.

Speaking during a public participation drive in Kisumu, Senior Assistan
t Director in the department of Roads and Rail Wendy Maina said the Bill has been firmed up and harmonised with regional laws to open up railway transport across the country.

Mrs Maina said the review was necessitated by advancements in technology and the need to separate functions of Kenya Railways to enhance efficiency and service delivery.

Through the new Bill, she said an oversight body shall be established to regulate both the public and private players in the sector.

This, she said will also see a strong accident investigations team established to enhance safety.

The team engaged and responded to concerns raised by members of the public with the major concern being the fate of Kenya Railways Land once the private investors come in.

Maina explained that the SGR from Mombasa to Naivasha and the metre gauge line from Mombasa to Malaba will remain the property of Kenya Railways.

Investors keen to take up railway transport, she said will conduct feasibility studies upon which they will secure the neces
sary approvals and land to construct their lines.

The team will carry out a similar drive in Malaba, Kitale, Lodwar, Eldoret and Nakuru.

Other teams from the Ministry will cover the northern and coastal regions before the bill is forwarded to the cabinet for approval in two weeks’ time.

Source: Kenya News Agency