The state asked to review government-to-government oil deal

Kisumu

Monday December 11, 2023

KNA by Chris Mahandara

Kisumu Deputy Governor Dr. Mathew Owili has urged the national government to review the government-to-government oil deal.

The deal between Kenya, Saudi Arabia, and the United Arab Emirates which has sparked jitters in neighboring Uganda has threatened to affect trade links between the two countries.

This, he said was set to adversely affect businesses and blue economy activities in Kisumu with multi-billion investments by the government meant to facilitate trade between the two countries will collapse.

He pointed out the Kenya Shipyards Limited dockyard, Sh. 3 billion Kisumu Port and the Sh.2.2 billion oil jetty at the Kenya Pipeline Corporation (KPC) depot, which he said have not only created job opportunities but added to the lakeside city's aesthetics.

The assets which are at the center of the revival of maritime activities and the blue economy in Lake Victoria, he said, were threatened calling on the government to relook into the deal and other trade policies.

 "Already Uganda has threatened to stop importation of fuel through Kenya in preference of Tanzania. This would turn the multi-billion investments into white elephants killing the dream of reviving blue economy activities in the lake," he said.

 He said other projects lined up by the County Government on the lakefront were also set to suffer immensely if Uganda makes real its threat to pull out of the oil deal with Kenya.

"I am urging those concerned to relook into this oil deal because if Uganda finally pulls out then these projects that we are proud of will also collapse," he said.

Speaking to KNA, the Deputy Governor said the economy of Kisumu greatly depended on the lake, adding that the support from the national government after the 2018 handshake between former president Uhuru Kenyatta and Opposition Leader Raila Odinga to revive the port has set in motion a myriad of investments which government policies should not derail.

 "The revival of the port of Kisumu was on top of our agenda when we took office in 2027. However, we did not have the resources to roll out the project. Fortunately, the national government came in," he said.

  The county government through the Lakefront Development Corporation, he said, was in the process of constructing a modern boat terminal at Lwng'ni Beach to revive lake transport.

He said this will open up new routes connecting Kisumu and other counties through Lake Victoria besides stimulating other businesses like boat building and repair.

Another key project, he said, was the construction of a ring road from Dungs Beach to Asat Beach to promote tourism.

Courtesy; KNA