Kenya 1 st Mover PPP Road Projects 14 TH March, 2017 Eng. Peter M. - PowerPoint PPT Presentation

MINISTRY OF TRANSPORT, INFRASTRUCTURE, HOUSING AND URBAN DEVELOPMENT STATE DEPARTMENT OF INFRASTRUCTURE Kenya 1 st Mover PPP Road Projects 14 TH March, 2017 Eng. Peter M. Mundinia Director General, Kenya National Highways Authority (KeNHA) 1

CONTENTS  Nairobi Southern Bypass  Mombasa – Nairobi  Nairobi – Thika Highway  Rironi – Naivasha – Nakuru  Nyali Bridge 2

Nairobi Southern O&M PPP Project • Construction commenced early 2012 and is expected to be completed by May 2016. • 28.6km of dual carriageway with 12 km of slip roads and 8.5 km Service Roads • Design speed of 100 km/hr. • Pavement Design: loading of 40 M CESA 3

Toll Plaza Location Toll Plaza Location Just to the West of Ngong Road Intersection Proposed: Toll Plaza Location South of Langata Road I/C 4

Toll Plaza Layout 5

Nairobi Southern Bypass  Investments include:  Toll plaza to the west of Ngong Road;  Provision of containment barriers on both sides of the central reserve;  Local improvements to the interchange slip roads;  Improvements to the Nairobi National Park and Ngong Forest perimeter fencing;  Weighbridges CAPEX - 4 WIMs 6

Widening of Ngong Road • Full on-line dualling of Ngong Road from the Dagoretti Corner (Junction Mall) to the Ngong Road Interchange over a total distance of 3.28km with service roads on both sides. • Upgrading of the Dagoretti Corner junction by provision of a viaduct for through traffic city bound on Ngong Road 7

Possible Additional CAPEX ADDITIONAL CAPEX (M KSH) Widening of Ngong Road 3,595.0 Interchange at Gitaru/A8 upgrade works - local Improvements 73.5 Electronic free flow toll gantries for closed system 805.0 Additional Footbridges – 8 No (CAPEX under Review) 1,864.8 Improvements to drainage and other environmental improvements 100.0 Additional fencing Around Ngong Forest 137.3 Total 6,575.6 8

Mombasa – Nairobi Road (A8)  A8 is the key arterial road in Kenya  Carries ~95% of all freight movement through Mombasa Port High transportation cost • Three times higher cost compared to • developed countries Transport cost of 45% of cost of goods • vis-à-vis 15% in developed countries* Inadequate Level of Service • Long travel times/Lower travel speed • Increasing Congestion • Negligible road-side facilities/amenities •

A8 - Design Features   The whole road is constructed to Grade Separated Intersections bituminous standards • Railway Over/ Under passes  Constructed to Highway type I standards • Road Overpasses – mobility function   Design and Operating Speeds Cross Sections • • Design speed =100 kmph Road width varies between 7.0m and 14.0m excluding shoulders and central • Outside town - ~100 kmph possible, median but passing opportunities limited • With exception of newly reconstructed • Inside town - ~20 kmph design sections, most shoulders are 1.5m incorporates speed humps wide  Existing road alignment incorporates approximately 29 bridges and numerous box and concrete pipe culverts

Current traffic 73,50 3 City Traffic Nairobi – Nairobi – urban unban Through traffic 64,950 traffic Highway City Traffic traffic 23,236 23,0 0 8 16,917 19,812 20,263 8 ,20 0 7,625 13,816 7,0 78 7,30 5 5,508 4,675 4,285 4,226 8,552 2,950 2,852 3,020 3,423 3,102 2,692 2,746 GPO - JKIA – Athi River Machakos Sultan Mtito Bachuma Mariaka JKIA Athi - T/ off – Hamud - Andei – Gate- Maji ni- River Machakos Sultan Mitto Bachuma ya Chumvi Mombas T/ off Hamud Andei Gate - a In Vehicles / Day HV Mariakani LV

Nairobi – Nakuru (A8)  174 km Single Carriageway  Fair to Good Road Conditions  Rolling to Hilly terrain  Urbanized region  Part of Northern Corridor 12

Current Transport Challenges Low Level of • 120 Service: LOS-D/E 100 Road Capacity • Average Speed reaching saturation Speed (Kmph) levels. For few 80 sections V/C > 1 60 Low Speed: ~ 60 • km/hr 40 Poor Safety: one of • the top 22 Most 20 dangerous roads in the world 0 -12 -6 0 6 12 18 24 30 36 42 48 54 60 66 72 78 84 90 96 102 108 114 120 126 132 138 144 150 156 162 168 174 Limited resources • for upgradation and Nakuru Naivasha Gilgil Rironi maintenance 13

Lanes ADT To Eldoret Traffic Mau Summit HS IV 10,889 Levels LoS D A104 Njoro Rd. Jn. HS III 41,669 LoS C Nakuru Town HS II 14,779 LoS D A104 Naivasha C88 A8 HS I 17,160 8,327 South A104 LoS E B3 LoS E Rironi B3 HS 0 21,984 LoS B Gitaru To Nairobi 14

Traffic To Eldoret composition Mau Summit A104 Njoro Rd. Jn. Nakuru Town A104 Naivasha C88 A104 B3 Rironi B3 Gitaru To Nairobi 15

Cost Estimate 5 117 14 112  CAPEX (In KSh Billion) 30 4 65 Initial CAPEX Augmentation Augmentation Augmentation Total A104 B3/C88 Grand Total 2030 2035 2040 Budget KenHA 2015 – 2016  Average Operating Expenditures: 1.8 KSh billion p.a. 60 KSHb 16

Upgrading Northern Corridor still competitive Cost of Freight Transport Mombasa – Kampala vs DSM - Kampala in US$/km 2.71 0.24 2.39 2.15 Current Costs Northern Additional cost from Total Costs Northern Current Costs Central Corridor tolling Corridor Corridor Not even taking into account the benefits from road improvement which will reduce the current costs of the Northern Corridor 17

RIRONI- NAIVASHA: To Eldoret Mau Summit  Operation and maintenance of Gitaru to Rironi section (12.431 Km) A104 Njoro Rd. Jn.  Development, operation and maintenance of Nakuru Town existing A8 from Rironi to Mau summit (174.94 Km)  Elevated Corridor in Nakuru Town  A104 Strengthening, operation and maintenance of A8 Naivasha South from Rironi to Naivasha (57.18 Km) C88  3 toll Charging points on existing A104 at Km A104 B3 39.500(Kinungi), Km 75.200 (Gilgil) and Km Rironi 141.500(Sobeo) and 1 toll charging point on A8 B3 South at Km 1.200 (Rironi). Gitaru To Nairobi 18

Nairobi – Thika Superhighway Nairobi – Thika Super Highway (50.4 km)  Nairobi County (26.78 km  Kiambu County (23.62km)   Cost of development - KES 33 Billion Super Highway opened for traffic in November 2012  O&M being done by PBC contractor @ 1.1 Billion for 2  years Scheduled to end in April 2016;   Possible extension initiated for 6 months under the provisions of PBC Contract 19

Nairobi – Thika Super Highway 20

Traffic Analysis and Demand Forecast Traffic Composition 0.49% 0.17% 0.20% 0.07% 5.49% 7.23% 15.67% 67.34% 3.35% Car/Taxi/Auto 2-W/Boda boda Matatu/Mini Bus Medium and Large Bus LGV 2 Axle 3 Axle MAV 21

Traffic Analysis and Demand Forecast 22

SUMMARY: IFPPP ROADS – VIABILITY INDICATORS No Project CAPEX Project Project KShs bill) NPV EIRR % (KShs bill) 1 Mombasa - Nairobi 190 332.0 24.1% 2 Nairobi Southern 7.80 38.2 27.8% Bypass 3 Nairobi – Thika Road 4.03 35.0 29.2% 4 Rironi – Naivasha - 117 228 20.1% Nakuru 23

IMPLEMENTATION TIMELINES May 2017 November 2017 Financial October Closure 2017 April 2017 Signing of CA Selection of March Preferred Bidder 2017 Issuance of RFP documents November 2016 Site RFQ Evaluation Acquisition and short-listing of pre-qualified Publication of RFQ Guarantees bidders Notice in place Investor Conference Note: Timelines subject publication of RFQ and approvals, etc. 24

Thank You