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Kenya - Invites bids for new port construction

13 September 2010 | By Thomson Reuters

Kenya on Monday invited bids for the first phase of construction of a new port along its coast in Lamu, involving the building of three berths.

 

The port is part of a proposed $22 billion development plan meant to connect Kenya to Southern Sudan and Ethiopia. The project will also include a pipeline, roads, a railway, and airports in major towns along the way.

 

"As first phase of this project, the Government plans to construct the first three berths with associated infrastructure at Manda Bay, Lamu," the Ministry of Transport said in a newspaper advertisement.

 

The ministry said the berths would be expected to handle container ships with capacities of 100,000 deadweight tonnes (dwt), general cargo ships with 30,000 dwt and bulk cargo ships of 100,000 dwt.

 

The other amenities to be built along with the berths include access roads, railway sidings, warehouses and buildings, the ministry said.

 

Kenya has been improving and expanding its infrastructure with the aim of attracting and retaining investors who often complain its dilapidated facilities increase the cost of doing business.

 

Southern Sudan, which is due to hold a referendum in 2011 on whether it wants to separate from the north, hopes to export some of its oil.

 

Kenya hopes its neighbour will use its facilities for the exports.

 

 

Rwanda - Railway Line to Cost Over U.S. $3 Billion

10 September 2010 | By Stevenson Mugisha

Rwanda - Works on the anticipated Isaka Kigali railway line will cost between $3 and 4 billion , the Minister of Infrastructure has said.

 

The minister explained that the existing railway line in Tanzania will first be upgraded before being extended to Mosonga region in Burundi, and later to Kigali. Karega said that appropriate types of trains to be used on the planned railway line have already been identified, adding that efforts are underway to attract more funding from several other multinational banks, such as OPEC Bank.

 

A final resource mobilization roundtable is scheduled next month in Dar-es-salaam, Tanzania, he added. "In order to facilitate the process, we are recruiting some transaction and auditing companies of international calibre that will be transacting and engaging with all the stakeholders," Karega added.

 

The minister also noted that China has shown interest in financing the project, and that the US government, through USAID, also supported one of the preparatory activities.

 

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Nigeria - Federal Government Constructs New Terminal Buildings at Five Airports

17 September 2010 | By Sunday Williams & Nahimah Ajikanle Nurudeen

Lagos — The Federal Government said yesterday that Nigerian airports will start wearing a new look with the plans to construct five new terminal buildings across the nation's airports to make them align with international standards.

 

Minister of Aviation Mrs. Fidelia Njeze said this while declaring open the 19th edition of the Airport Council International (ACI) Conference and Exhibition, Africa Regional in Abuja. She said Federal Government was determined to develop new terminal buildings at the major airports, including Lagos, Abuja, Port Harcourt, Kano and Enugu.

 

She said: "The Federal Government is in the process of upgrading and remodelling her airports with five key airports in the first phase. These include the construction of four new terminals at Abuja, Kano, Port Harcourt and Enugu, as well as the expansion and massive upgrade and remodelling of the Murtala Muhammed Terminal in Lagos.

 

This she said will help in the deployment of the required technology that will help in enhancing security, safety and passenger comforts at the airports.

 

Meanwhile, the managing director of Federal Airports Authority of Nigeria (FAAN) Mr. Richard Aisuebeogun, has said that the Federal Government has given the authority approval to adopt the same "pay-as-you-go" introduced by the Nigerian Airspace Management Agency (NAMA) to avert being owed by airlines and other airport users.

 

According to him, government's approval of the new payment mode came against the backdrop of the over N16 billion owed FAAN by airlines and for which it had given the airlines three years within which to defray.

 

He explained that the new payment mode would commence on October 1, 2010.

 

Aisuebeogun noted that airlines who fail to adhere to the new mode will have themselves to blame as FAAN will not hesitate to shut down their operations.

 

"We have government's approval to begin the pay-as-you-go mode of payment by airlines on October 1, 2010. The essence of the new system is to ensure that airlines don't continue to owe us. We will not hesitate to apply sanctions on airlines who fail to comply. We hope airlines will take advantage of this new system to avoid holding on to our money," Aisuebeogun emphasised.

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Ethiopia - Chinese company starts clinker, cement production

09 August 2010 | By ethiopian-news

A Chinese Company, Huang Shan Cement plc of the Guangdong Chuanhui Technology Development Group Co. Ltd. on Sunday officially commenced production of clinker and cement in Mojo town of the Oromia Regional State about 75 km south of Addis Ababa, the capital of Ethiopia. The Group invested in the cement manufacturing company in 2009.

 

Speaking at the official launching ceremony of the production, Gu Xiaojie, Chinese Ambassador to Ethiopia, said the operation of Huang Shan Cement Clinker Production line is an excellent showcase for the successful cooperation in the field of investment between China and Ethiopia.

 

Gu has expressed delight that the project by the Group helps boost the economic development of Ethiopia by utilizing its natural resources and local labor force.

 

The ambassador said the Chinese government had always been supportive to and encouraging the Chinese companies to invest in Ethiopia that they play constructive role in Ethiopia’s industrialization endeavors.

“I am very glad to see that, according to the Ethiopian Investment Agency, there were more than 700 Chinese investment projects with a volume at 1.2 billion U.S. dollars by November 2008,” said Ambassador Gu.

 

“There are great potentials in the cooperation between China and Ethiopia as the economies of the two countries are highly complementary. I am looking forward to more Chinese companies to invest in Ethiopia, which will bring more tangible benefits for the well-being of both peoples of the two countries,” he said.

 

“The Chinese embassy will do its best to continue to support and provide necessary service to the Chinese companies,” he added.

 

It has been almost two years since Guangdong Chuanhui Group invested industry in Ethiopia.

Yanlin Liu, president of the group, said on the occasion that the group would do all its possible to contribute to Ethiopia’ s economic promotion and improve the livelihoods of the local people by providing more job opportunities.

 

Speaking on his part, Abdulaziz Mohammed, Vice-President of the Oromia Regional State, said the construction of the cement plant helps to narrow the gap between demand and supply of the products while it creates significant number of jobs for the local people.

 

“Having more cement plants like this one, however, if the amount of production of cement exceeds the amount needed locally, export the rest to foreign market, while creating jobs for our graduates and people; aside from the jobs created for those who will have to perform duties inside the factory, it also provides sideline jobs for people in the localities,” said Abdulaziz.

 

 

Kenya - Construction boom as resurging economy creates new opportunities

14 September 2010 | By Morris Aron

Construction in the real estate sector surged in the first six months of the year, driven by a growing number of developers investing in middle-income residential estates, Kenya National Bureau of Statistics figures have shown.

 

Leading economic indicators for the month of July show City Council of Nairobi approved development plans worth Sh11.6 billion, with the residential property segment accounting for Sh7.3 billion of the planned developments for the month of June alone. The latest KNBS figures confirm a trend that many property analysts have in the recent past projected.

 

Real estate experts say there is a renewed interest among developers who are moving to cash in on the opportunities created by the ongoing infrastructure developments, particularly roads in and around the city, which are promising to open up land prime for residential estates on the outskirts of the city to meet demand for housing.

 

"Demand for housing is most acute at the middle and low end of the market," said Frank Ireri, the managing director of Housing Finance, a mortgage financing company at a recent function.

 

"More developers are increasingly looking for opportunities in the low and middle income housing projects, especially along the corridors of major road developments, and in the old dilapidated housing units built in the colonial era," said Wilberforce Oundo of Regent Group, a property company.

 

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Tanzania - Power contract with US firms signed in Dar es Salaam

13 September 2010 | By Masembe Tambwe

POWER transmission and distribution to rural areas of the country is expected to increase in the next three years after the government signed a contract worth 97bn/- with two USA companies.  ''We hope that the signing of these two contracts that were won by American companies will help Tanzanians leap frog into the 21st Century as well as help chip away the barriers that limit greater distribution of power,'' the US Ambassador to Tanzania, Mr Alfonso Lenhardt said. 

 

Speaking at the signing ceremony in Dar es Salaam on Monday, Mr Lenhardt who witnessed the event said that the contracts would help in increasing the number of people getting power to at least 18 per cent from the current 15 per cent.  Mr Lenhardt said that the US firms would ensure that from the power transmission and distribution projects under the Millennium Challenge Compact, Tanzanians get better health, education and better lives.  ''This is indeed a thrill to see two US companies coming up on top after fierce competition for the contracts. I would like to urge Pike Electric and Symbion Power to get the work done on time and it should be done professionally though I have no doubt it shall be,'' he said. 

 

The Tanzania Millennium Challenge Account Chief Executive Officer, Mr Bernard Mchomvu explained that the contract awards represent the achievement of yet another important milestone in the ongoing implementation of the 206m US dollars MCC Energy Project.

 

Mr Mchomvu pointed out that Symbion Power had been given two lots worth 47.7m US dollars covering Mwanza, Morogoro, and Iringa and Mbeya regions while Pike Electric will execute a package covering the regions of Dodoma and Tanga amounting to 17.9m US dollars.  ''We are very confident that the great historical performance record you are carrying will be positively demonstrated at the delivery end and we hate to see anything otherwise,'' he cautioned.

 

The Symbion Power Chief Executive Officer, Mr Paul Hicks said after the signing that over 2000 jobs would be established from the distribution and transmission of power to the regions and that a lot more would be trained along the way. ''We are setting up a training centre in Morogoro and hope that once our three years are up, we will leave numerous Tanzanians with the skills as well as companies that will not necessitate foreign assistance,'' Mr Hicks said.

 

The Pike Electric Chief Executive Officer, Mr Eric Pike explained that his company had been in the power distribution industry since 1945 but it had never worked outside the US and that this was a challenge they were looking forward to especially since the country was on its way towards achieving its goals. 

 

 

Tanzania - Chinese firm to build $12.5m cement factory

21 September 2010 | By TradeInvestAfrica

Chinese firm Lee Building Materials plans to construct a $12.5 million cement factory in Lindi, South of Dar es Salaam. Construction of the plant, with a capacity of 300,000 metric tonnes per annum, will commence this September and is expected to strengthen Tanzania’s position as a cement supplier in East Africa.  Lee will specialise in white cement, which is not produced in abundance locally. The project is also expected to rejuvenate the dormant Kilwa port in Lindi district.

 

Tanzania’s cement production stands at three million metric tonnes per annum against a local demand of over 2.1 million tonnes.  Current cement producers include Heidelberg’s subsidiary Tanzania Portland Cement Company, French Lafarge’s subsidiary Mbeya Cement Company Ltd and Holcim Mauritius subsidiary Tanga Cement Company Ltd.  Local manufacturers complain that cheap imported cement is hurting their industries, and want the East African Community governments to support them so that the industry can compete with the imported cement.

 

 

East Africa - Wind power sector attracts big companies

15 July 2010 | By TradeInvestAfrica

Kenya’s promising wind power sector is attracting big firms set on exploiting the country’s huge potential.  The result of ongoing feasibility studies could pave way for multimillion dollar infrastructure spending in wind energy in the East African region. Among the firms involved in the studies is General Electric, a leading global player in the energy infrastructure sector. The firm is evaluating proposals from developers, collecting data and formulating projects.

 

Wind energy constitutes about 20% of the 1699 Megawatts additional power that Kenya is working towards injecting into the national grid over the next five years. The Lake Turkana Wind Power Project is the largest of the three wind power plants that are expected to come online in the next two years, to produce 365 Megawatts of electricity. The other projects are a 15-megawatt plant by the Kenya Electricity Generating Company and a 50-megawatt plant by Aeolus.

 

According to the Lake Turkana Wind Power Project officials, the amount of energy that can be generated from one turbine is double what can be produced from a similar turbine in Europe.

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World steel demand growth seen slowing in 2011

04 October 2010 | By Reuters

Growth in global steel demand is expected to slow to 5,3% in 2011 but to still hit a record 1,34-billion tons after jumping more than expected this year to above levels seen before the global economic crisis, the World Steel Association said. China will make up 45% of global demand in 2011, while India will emerge as the world's third-biggest steel consumer after China and the United States, the steel body predicted on Monday in a report issued at its annual conference in Tokyo. "The industry landscape has been changing rapidly, particularly after the global financial crisis," said Hajime Bada, president of the world's No.5 steelmaker, JFE Holdings Inc, who will chair the global body for the year starting after the conference ends.

 

"We are in a transitional period: emerging economies like China, India, Latin American countries and Russia are bolstering their shares in steel output and consumption while demand in developed economies remains in the doldrums," he said. The steel group is expected to pick Xiangang Zhang, president of Anshan Iron & Steel Corp, as its chairman for the following year, which will be the first time its head has come from China. China's demand in 2011 will be 42% above the level in 2007, but demand in the developed world in 2011 is expected to be 25% below the 2007 level, Paolo Rocca, the body's current chairman and also CEO of Techint Group, told a news conference.

 

Demand for steel is set to rise 13,1% to 1,27-billion tons this year, higher than an earlier forecast of 8,4% growth. Growth in China's steel demand in 2011 is expected to slow to 3,5% from an estimated 6,7% in 2010 due to government efforts to cool the real estate sector and ongoing steel production control, the steel body said. Demand in India will rise 13,6% in 2011 to 68-million tons, about one-tenth of China's estimated 599-million tons.

 

 

Firm to Use Sh12 Billion to Make Wind Power

09 October 2010 | By Kennedy

Bluesea Energy Ltd is investing Sh12 billion ($149.88 million) in various projects to generate 117 megawatts (MW) of electricity from wind as a renewable source of energy. Projects in Lambwe Valley, Kericho, Eldoret and Isiolo in various phases of implementation are being undertaken using offshore financing to reduce over reliance on power generated from hydro and fossil fuel sources.

 

Lambwe project site in western Kenya was selected because it has enough wind to support power generation. Wind from Lake Victoria and the one from Transmara District converge on the hill in the valley. The firm's chief executive officer John Majiwa, said the company's $95 million (Sh7.6 billion) wind farm at Lambwe will inject 60 MW of electricity to the national grid as the site has adequate resources. "The target is to step up output from wind as a clean green renewable source as hydro power is prone to drought and fossil fuel generation becomes more expensive when cost of crude oil escalates," he said.

 

Kenyans have in the past paid high power bills after thermal generation went up as diesel and fuel oil prices escalated due to global market volatility. Output from water had declined as a result of prolonged drought. Costs of

thermal generation (fuel cost and forex adjustments) are borne by clients as pass through items for Kenya Power and Lighting Company (KPLC) that is mandated to transit, distribute and supply electricity. Bluesea's chairman David Ikiara said the company is investing to make use of feed in tariffs developed by the government to contribute to harnessing resources to satisfy energy needs at competitive prices.

 

The 2 MW wind farm being undertaken for Kapchet Tea Factory in Kericho at a cost of Sh230.4 million is expected to be operational upon installing of requisite equipment within three months. Bluesea's is spending Sh3.2 billion on 40 MW wind plant in Eldoret and Sh960 million on 15 MW facility at Nthumburi in Isiolo. The firm will build transmission and interconnection facilities to the generation sites to transfer power to the national grid. It is working with internationally recognised suppliers like Atelc Global and Hyunda Heavy Machinery from Korea, Viability from United States of America and Tempro of Netherlands for quick equipment delivery. Mr Majiwa said the company is also in process of engaging the Energy Regulatory Commission to seek a licence for electricity production and KPLC to negotiate for power purchase agreement.

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Nigeria: Dankwambo Set to Construct 18 Township Roads

July 11 2011

Gombe — Governor Ibrahim Dankwambo of Gombe State has said that no fewer than 18 roads would be constructed with a view to tackling problem of inaccessible roads within Gombe metropolis.

He said that the government was committed to making inaccessible roads in the state accessible within the limit of the financial resources of the government, and promised that the road construction would commence soon.

 

The governor spoke during the setting up of 11 committees by his government to find the way forward for the development of the state in all ramifications.

Governor Dankwambo further explained that the report of the committees would be implemented to the letter, even as he commended members of the committee for a job well done. He pointed out that the setting up of the committees was not to witch-hunt anybody but the committees report would act as a reference point in his poise to provide good governance to the state, adding that no past administration should be blamed in some of the problem identified by the committee, because they are cumulative. He prayed that his administration would try as much as possible to provide dividends of democracy to the people of the state, adding that by the grave of God "we will not disappoint you".

 

 

Nigeria: FG Will Address Infrastructural Challenges--SGF

July 13 2011

The Federal Government is committed to putting in place a machinery to address the nation's infrastructure challenges, Sen. Anyim Pius Anyim, the Secretary to the Government of the Federation (SGF) has said .

Anyim stated this in Abuja when members of the Governing Board of the Infrastructure Concession Regulatory Commission (ICRC), led by Dr Bernard Verr, paid him a courtesy call.

 

A statement signed by Alhaji Salisu Dambatta, Deputy Director (Information) in the office of the SGF, quoted Anyim as saying that the work of the ICRC would be strengthened.

He said the commission would be positioned to give the team the necessary direction to provide infrastructure in the country.

Earlier, members of the Board told the SGF that the Commission had developed a successful model for the implementation of the Public Private Partnership projects in the country.

He said one of the objectives of the ICRC was to eliminate the perennial paucity of funds which stalled the provision of infrastructure by the government.

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Africa trading with China: A positive focus

11-Mar-11

"The evolving relationship between China and Africa could be one of the most important developments in the international relations of the post-Cold-War era," say Kweku Ampiah and Sanusha Naidu.

 

The past two decades have witnessed the growth of an increasingly close relationship between Africa and China. China's phenomenal economic growth has had many positive implications for the African continent, including increased trade, investment, and development. Africa has experienced significantly higher levels of foreign direct investment as a result of its engagement with China, the latter having established more than 540 companies and 1600 development projects in 47 African countries. This number rose sharply to 750 companies by 2007.

 

However, the Africa-China relationship has sparked much debate, as scholars and economists alike try to interpret what it means for Africa's development in the long term. Ampiah and Naidu present two competing visions of this relationship: one casts China as a coloniser, the other views China as a competitor with the West. Many see China as an imperialist that seeks to exploit Africa and perpetuate its deplorable state of underdevelopment, but others argue that China competes with the West for Africa's resources and that this situation affords Africa the opportunity to promote its growth and development in an international system largely dominated by the West.  This newsletter by Consultancy Africa Intelligence (CAI) argues that the China-Africa relationship, questionable as it may be, should be hailed for challenging hegemonic Western power and for actively supporting development in Africa.

 

Increased infrastructure and trade for Africa
Despite China's phenomenal growth levels, which quickly rendered it an international economic force, it maintains and displays solidarity with developing countries. China is one of the biggest aid donors to African countries. Its infrastructure-development projects have ranged from building railway lines in Tanzania and Zambia, to erecting skyscrapers in Luanda and stadiums in Ghana. China has further invested millions of US dollars in oil-rich countries such as Sudan, Nigeria, Angola and Algeria, and has granted loans to numerous African countries.

 

Due to its own history of economic stagnation and poverty, China realises the importance of infrastructure development in developing countries. Unlike the West, it does not simply offer Africa humanitarian aid, but rather growth and development opportunities through increased trade and infrastructural capacity. Struggling African countries have grabbed these opportunities for growth with both hands. The China-Africa relationship can thus be considered a strategic partnership rather than simple patronage. It has not only contributed towards Africa's infrastructure, but also encouraged South-South trade. China's engagement with Africa has made other developing countries, such as India, aware of the lucrative investment opportunities the African continent has to offer. China's involvement in Africa put it on the international trading map and increased its international trade with southern-hemisphere countries.

 

An alternative to United States hegemony
China's own development sets an example for other developing countries that are working to find their place in the international system, yet want to remain relatively independent. China's alternative development model, the Beijing Consensus, challenges the Western Washington Consensus. The Beijing Consensus emphasises the importance of innovation, non-interference by investors in domestic affairs, and self-determination in Third World states' bid to promote their economic development. These development tenets differ significantly from the Washington Consensus approach, which suggests that poverty alleviation and development be achieved by the liberalisation, deregulation and privatisation of domestic economies. The Washington Consensus has had devastating effects on African countries as their economies struggled to cope with the ‘shock therapy' of liberalising their markets and subsequently being exposed to the unfair trade practices of the West.

 

Apart from offering an alternative to the Washington Consensus, the Beijing Consensus affords African states the advantage of a choice between two major economic poles. They are no longer coerced to align with United States hegemony. However, the Beijing Consensus should not be seen as a development model that can simply be applied to all African countries, but rather as one that can bring about the global terms that would accommodate and encourage the development of African countries.

 

Non-intervention and sovereign equality for Africa
China's relationship with Africa has been based on five tenets since 1996, namely, "reliable friendship, sovereign equality, non-intervention, mutually beneficial development and international cooperation." These five points strongly contrast with the conditions attached to loans and development packages offered by the West, the International Monetary Fund (IMF) and the World Bank. Developing African states, who are reluctant to turn to the West and the IMF, now have an alternative source of funding. China's dynamic economic growth has increased its need for energy sources, in which Africa is rich. African countries that have abundant amounts of crude oil, titanium, copper, iron ore, platinum, coal, zinc and a wide range of other natural commodities such as timber and natural gasses, have experienced high levels of investment by China along with growing markets (due to China's increasing energy needs) in which they are able to sell their products at a competitive price.

 

China creates training and employment opportunities
These investments, as well as the infrastructural development discussed above, have led to job creation and the increase of technical training programmes in Africa. Chinese companies that establish business initiatives in Africa provide training in technical areas such as agricultural production, irrigation and telecommunications to African citizens. The maintenance and repair of the equipment used in these business initiatives and technical areas further stimulate job creation. Large numbers of previously unemployed Africans can now provide for their families.

Whilst food security has become a growing concern in China, Africa is rich in agricultural goods and able to supply China with much-needed foodstuffs. This has led to further Chinese investment in African industries like agriculture, farming machinery, fisheries, secondary production and agricultural processing facilities. China has also used military cooperation with Africa as a means to further gain access to its resources and economy. China has provided uniforms to Mozambique's army, as well as equipment, training and arms to various African countries. It has provided fighter jets and helicopters to Zimbabwe, Angola, Namibia, Sierra Leone and Mali. China has also contributed humanitarian aid and peacekeepers to the African Union (AU) and United Nations (UN) missions in Africa, in an attempt to promote stability on the continent. Last but not least, China has granted many African countries complete debt cancellation.

 

Trade and investment with no strings attached
Chinese investment came with some political conditions, such as trading partners not being allowed to have relations with Taiwan. They must accept the ‘one-China' policy. However, investment and development aid from the West came with political conditions, too, including adherence to the practice of good governance and acceptance of a liberalised economy, in exchange for financial assistance. Many feel that the West has always regarded Africa as a backward, poverty- and disease-ridden continent. It has treated Africa as a burden to the international system, and engaged with the continent in a spirit of paternalistic and cultural superiority.

 

Africa's relationship with China has given the continent an opportunity to escape old stereotypes and Western conditions and to promote its development instead. China and the West have now become strategic competitors for Africa's resources. As a result of China's regarding Africa as a sovereign equal in the international system and a lucrative investment destination, it has also promoted Africa as an official approved travel destination. More Chinese citizens now travel to African countries, which generates revenue, motivation for growth, and other positives in destination countries.

 

 

Kenya: Real Estate Sector Could Miss Out On Vision 2030 Goals

27-Jun-11

Nairobi — Kenya Engineers Board (KEB) has warned that the real estate sector will not achieve Vision 2030 aspirations owing to its manifest risky growth and dearth of professionals.

 

The board says it is concerned by collapsing, sinking and cracking buildings as well as those that continue to be built illegally on public utility land.

It says the current multiplying factor of the sector will be reversed by loss in the tourism sector as well as foreign developers shunning the country if it continues being associated with inherent risks.

 

The board now wants the Ministry of Local Government, which is the custodian of the building code, to carry out an extensive audit of all buildings and demolish risky ones while at the same time ensuring others do not sprout up.

 

In an interview, KEB chairman Michael Kamau said currently, the sector is "a mass of confusion devoid of professionalism" and that most buildings in the country "cannot pass structural integrity tests."

 

He said his major fear was of an earthquake measuring six on the Richter scale visiting some of the urban estates.

 

"We are very close to a geological fault, which is Rift Valley. We have volcanic mountains and if a quake emanates from such places, most buildings will come tumbling down, presenting us with a major human disaster," said the chairman.

 

Mr Kamau said while the Earthquake Code outlaws any building exceeding three floors unless the architectural design is by glass framing, there are those that are going up to eight floors.

 

Mr Kamau, who is also the Roads permanent secretary, said the Kenya Bureau of Standards has failed to regulate the quality of building materials while developers shun professional engineers in favour of quacks and brokers.

 

"Building materials quality has in some instances deteriorated, especially cement and steel which are the main elements of structural safety and stability.

"Most steel products have high carbon elements and are not malleable, hence cannot support structural weight," he said.

 

Mr Kamau said the sector will get some reprieve once the National Construction Authority Act is implemented next year.

"The World Bank has offered to finance its implementation and hopefully it will address issues of unprofessionalism that have continued to allow structures that are endangering Kenyans' lives," he said.

 

The PS said an acute shortage of engineers in the country was a big hindrance towards attaining real estate safety in line with Vision 2030.

"We have 10,373 engineers who have graduated since 1963. Of these, 6,467 are in the real estate sector but only 1,253 are registered as certified professionals," he said.

 

Mr Kamau said growth in the real estate sector was not commensurate with available engineering capacity, hence a major shortage in building and construction supervision manpower.

 

"The ratio of engineers and citizens currently stands at one engineer per 24,500 citizens when the desired ratio should be one per 500.

"It is a wake-up call for students to pursue engineering courses since they are guaranteed employment as we approach 2030," he said.

Mr Kamau said Kenya has the capacity to employ all engineers who graduate from locally approved training institutions.

He said any excess engineers could help spearhead reconstruction in neighbouring countries like Somalia and Southern Sudan.

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african building material market

June 12 2011

 As the world's largest and most active construction market - the construction industry at home and abroad will undoubtedly attract the common concern of the construction industry can not develop without building design and construction materials innovation and development. Innovative use of traditional materials and the continuous generation of new materials has brought a lot to the possibility of building design; new materials are emerging in various ways to change our architecture, but also to bring unlimited creative architectural design for innovation.


China International Architectural Expo since its inception in 2006, has always been to build architectural design, building materials, construction technology downstream industries for the purpose of communication and exchange platform, based on "the perfect combination of design and materials," in-depth understanding of various construction for architects materials for building new products, new technologies, innovative applications in the building played an active role in promoting. The exhibition is becoming the most concerned about architect industry event, each year thousands of domestic and international architects to visit the exhibition.


Held in the same period the "China Architectural Forum" attracted nearly a thousand bits global architects, real estate developers, entrepreneurs and other excellent materials, discuss industry hot topics the year, forecasting the future trend of the industry, has become involved in building a wide range of upstream and downstream industries annual major meetings.


Linked design and materials, technology and innovation integration. The Sixth China International Architectural Expo will present the construction industry and foreign industry event even more exciting!

 

African Customs Union building materials Zaiyu export opportunities in China
  Time: 2009-06-10 11:31:47 | Source: South China network hardware
     The largest regional economic organizations in Africa - COMESA 7 Victoria Falls in Zimbabwe announced the formal establishment of a customs union, external trade in the region to achieve a high degree of unity. Chinese Ambassador to Zambia and COMESA in the Special Representative, said Li Qiang, China 8, establishing the COMESA customs union is good news for China.
    
In the thirteenth summit of COMESA, the Common Market for Eastern and Southern Africa Customs Union (hereinafter referred to as the customs union) was established, it means that COMESA member countries outside the region would impose a uniform tariff of imported goods.
    
 President of Zimbabwe, the Common Market for Eastern and Southern Africa Mugabe said the new presidency, the establishment of Customs Union, COMESA to achieve the wish of many years. Since then, the Member States to come together as a whole. He welcomed the parties to this large market to invest in East and Southern Africa.
    
Chinese Ambassador to Zambia and COMESA in the Special Representative of the people, said Li Qiang, COMESA customs union set up for Chinese enterprises to provide a good opportunity for export to Africa, Chinese imports of a country, you can in 19 allies in the free flow of To reduce the large costs of tariff costs.
    
Meanwhile, the Customs Union member states are to maintain traditional friendship with China, and in the development of domestic infrastructure, are expressed strongly welcomed Chinese enterprises of the state, therefore, China's export and investment into a customs union employees will be a good time to usher in an unprecedented .
    
For Africa, this huge emerging market, industry, building materials industry was undoubtedly the most attention, the great Chinese building materials industry, production capacity and operating capacity, African governments have been promising. In the traditional export markets shrinking, the African emerging markets, building materials export sector will be extended an olive branch.

edited by stone coated steelroof

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Ethiopia: Tiret Shells Out 670 Million Br to Construct Local Malt Factory

12-Jul-11

The Gonder Malt Factory, owned by Tiret Endowment Investment Organization, has announced that it will start producing malt by December 2011.

The factory, located in Gonder which is 658km from Addis Abeba, has started constructing a malt factory adjacent to Dashen Brewery, investing 670 million Br. The factory covers an area of four hectares and will soon be open for production.

 

The factory, when complete, will be the second malt factory producing 15,000tn of malt annually, of which 10,000tn to 12,000tn goes to its affiliate, Dashen Brewery. The lone malt factory in Ethiopia, Assela Malt Factory, located 164km from the capital, is up for auction by Public Enterprises Supervising Agency (PPESA). It was established in 1984 with a start-up capital of 9.2 million Br.

 

Construction, being done by Afro Tsion Construction Plc, has seen 40pc of the construction complete, Tadesse Kassa, CEO of Tiret, told Fortune.

Tiret is an endowment established in 1995 in Amhara Regional State by pooling resources under the Amhara National Democratic Movement (ANDM) and the ruling coalition, EPRDF. It administers five companies: Tikur Abbay Transport Plc, Dashen Brewery Plc, Ambasel Trading House, Zeleke Agriculture Mechanisation, and Belesa Logisitcs & Transit.

 

The organisation foresees itself playing a meaningful role in the development of the region by 2020, by creating a fortune of 20 billion Br, claims the company's profile.

 

"We are planning to minimise the amount of malt that is being imported from Europe, Kenya, Sudan, and other countries," Tadesse said. "Close to 20,000tn of barley will be bought from farmers in Gojjam as well as parts of Gonder's and Amhara's barley growing regions, and 65pc of it will produce malt."

"We believe this factory will be helpful in generating revenue for the farmers and will provide enough malt for the breweries," Tadesse said.

 

There are around five major breweries in Ethiopia: BGI Ethiopia, Dashen Brewery, Meta Beer, Bedele Beer, and Harar Beer. This year, they projected a total of 64,579tn of malt, 22,500tn and 42,079tn from domestic and imported sources, respectively. The unsatisfied demand of malt will grow to 64,041tn by 2017, according to CSA.

 

Tiret announced an international tender where 15 companies showed interest, including companies from the Czech Republic, Greece and Germany. The company has already signed a contract for the supply of machineries priced at 17.1 million dollars with a Buhle GmbH, German company, winning the other five tenders that made it to the final with its price and proposal.

 

"The factory plans to provide malt to all the breweries in Ethiopia and export it to other countries," Tadesse said.

"It is going to be helpful for Raya Brewery because it is going to minimise the transport costs as well as the inventory costs," says Lemma Bekele, manager of Raya Brewery.

 

 

Ethiopia: Addis Abeba's City Administration Prioritises Water Supply Coverage

12-Jul-11

Out of the total budget approved by the Addis Abeba City Council for the next fiscal year, which is 11.8 billion Br, 61pc (7.28 billion Br) is allocated as Capital Budget. Addis Abeba Water and Sewerage Authority (AAWSA) took the lion's share at 26pc. The Addis Abeba City Roads Authority (AACRA), Land Development and Housing Projects took 16.4pc, 13.7pc, and 13.2pc, respectively.

 

Aiming at ensuring complete coverage in water supply for the city of Addis Abeba, from the current 73pc coverage authorities claim there is, councillors of the Addis Abeba City Administration have approved 1.4 billion Br to the sector last week, an amount claiming 25.8pc of the city's 11.8 billion Br budget for the 2011/12 fiscal year.

Not only is this the largest appropriation in the list of the city's capital menu of capital expenditures; it is also the first time the city administration proposed to spend more money in improving Addis Abeba's water supply than the construction of road projects.

The all too EPRDF dominant city council, where there is only one seat claimed by an opposition MP out of the 138 seats, approved the city's budget for the fiscal year on July 6, 2011. The total budget has seen an increase of 25.3pc from last year's budget.

 

A big chunk of the budget, 61pc, goes to finance capital expenditures such as public project works by the city's Water and Sewerage Authority (AAWSA), Roads Authority (AACRA) and housing development agency; the three top priorities in the budget. Spending in the capital expenditure has seen an increase of 32.4pc from last year, while recurrent budget, 1.5 billion Br (34pc), showed a 27.7pc increment.

"The city's budget allocation is healthy," Haile Fisseha, general manager of the city administration, told Fortune. "Most of the budget is allocated for development projects."

 

Promotion of micro enterprises, construction of youth centres, expansion in social services in education and health are also among some of the programmes provided with significant levels of funding.

 

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Ethiopia: Spy Agency's HQ to Cost 100 Million Br

12-Jul-11

A newly established spy agency, designated with the task of securing the nation's information technology infrastructure, the Information Network & Security Agency (INSA), will soon have its ultramodern headquarters at a cost of 100 million Br, Fortune learned. INSA's headquarters is part of the federal government's plan to construct several new buildings with a budget of 115 million Br for the 2010/11 fiscal year, according to the budget endorsed by Parliament.

 

The federal government is undertaking construction work for the headquarters of the Central Statistics Agency (CSA), the Ethiopian Customs and Revenues Authority (ERCA), the Ethiopian Roads Authority (ERA) and the Ethiopian Press Agency (EPA).

 

These buildings will cost the state a total of 238 million Br in total, of which ERCA and ERA have been denied building permits from the city government due to the newly introduced rules regulating building heights.

 

INSA wants to build its headquarters within five blocks, each with 13 to 17 storeys on a 16,000sqm plot granted by the Addis Abeba City Administration on the Ethio-China Friendship Road, inside what was previously the College of Telecommunications and Information Technology (CTIT) under the former Ethiopian Telecommunications Cooperation (ETC). The plot given to INSA in 2008 was previously reserved for the construction of hotels.

 

The design for INSA's headquarters is developed by MH Consulting Engineers and Architects, which has its marks in the city's architectural landscape, including the model units of the condominium houses. It is also known for its works with the former GTZ in designing the 10 university complexes built across the country.

 

The contract for the construction of INSA headquarters is overseen by the Office Building Project under the Ministry of Works and Urban Development (MoWUD), which is tasked to oversee construction works for state buildings.

 

However, the ministry is to pay only for one block as a first phase and is to place additional land requests to the city administration, sources in the ministry told Fortune. The construction of five blocks will require a total of 20,000sqm, according to the structural design developed by the consulting firm.

 

 

Kenya: Germany Shops for UN Seat, Business in Africa Visit

13-Jul-11

German Chancellor Angela Merkel's visit to Kenya as part a three-nation tour of Africa reaffirms a changing world order towards bilateral ties based on equal partnership, analysts said. With China already making inroads in Africa's key sectors through its open-to-all policy, other economic power houses are taking note with Germany and its European Union partners keen not to be left out.

 

During Tuesday's stopover, Dr Merkel said Germany would provide Kenya with Sh17.5 billion to fund various projects critical to the attainment of Millennium Development Goals (MDGS) between 2010 and 2013.

 

She disclosed that Germany would donate Sh128 million (1 million euros) towards intervention programmes on the large numbers of refugees streaming into the Northern parts of Kenya from Somalia.

 

The Chancellor further said Germany is willing to support the strengthening of Kenya's electoral system in preparation for next year's general elections so as to avoid a repeat of violence witnessed in 2007.

 

President Kibaki recommended to German investors the lucrative infrastructure projects such as the construction of the Lamu Port and the Lamu-Ethiopia-South Sudan rail, road and pipeline link.

 

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Africa: Ecobank Turns Africa's Diversity Into Key Driver of Business Growth

12-Jul-11

As the aircraft floats across the landscape of West Africa, one notices ruler-straight earth roads stretching as far as the eye can see. A gaggle of Chinamen seated right behind me are animatedly watching the terrain from the vantage point and excitedly making conversation only they for now can understand.

 

I ignore them and their chatter until we meet at the opening of the Ecobank Group in headquarters Lome, Togo, the next day. Ceedi the group whose plainly dressed and unassuming female president, Ms Hu Ping, proudly tells me in tortured English needing a good dose of interpretation that they built "the stadium in Kenya", constructed the building.

 

A sky blue imposing seven-storey building facing the Atlantic Ocean just across the seaside road stretching from Ghana across the Togolese strip, it represents a partnership between the pan-African group represented in 32 continental states and the Chinese.

More aptly, it is a symbolism of the new Africa where investors are belatedly realising that Africa with its backwardness, just in 2000 cover headlined as the 'hopeless continent' by the widely respected Economist magazine, is the last high potential destination for investors. ("Since then its progress has been remarkably hopeful," the magazine wrote in a grudging retraction last year.

 

Timely if you consider seven of the fastest countries in the World are African, you may say.) As a matter of fact, just like the Chinese Ecobank, whose headquarters in Kenya is Ecobank Towers in Nairobi, was one of the pioneering visionaries that concluded Africa was the place to invest in despite the obvious difficulties. And it is by no means a charitable dream of pan-Africanism going by their books.

 

Last year for instance, the company made $169 million (Sh15 billion) in pre-tax profit, representing a 67 per cent increase on the previous year. Not much to write home about, you may think, on the back of $900 million revenue, which means the efficiency ratio was slightly below 70 per cent.

 

But looking at the growth and more importantly, the strategy to be top three in every market they operate in meaning it is only a matter of time before they snap up a local bank in Kenya, probably bid for National Bank it is clear the bank has only scratched the surface. The 3.1-million Ecobank so far operates in more markets in Africa than any other bank including Standard Bank of South Africa and it may not be long before the continent's growth rubs off on its bottom line.

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