The United States infrastructure company, Everstrong Capital, has dismissed allegations that the government of Kenya cancelled the privately initiated deal for the construction of the Ksh468 billion Nairobi-Mombasa expressway.
In a statement on Wednesday, August 13, the company clarified that the proposal for the construction of the 440-kilometre highway was still under active review by the Kenya National Highways Authority (KeNHA).
According to the firm, the proposal was also being evaluated by the National Treasury's Public Private Partnership Committee as per the country's PPP Act of 2021.
While addressing the matter, the company noted that KeNHA's recent comments on the rejection of the project proposal were technical clarifications and not a cancellation.
It further maintained that the expansion of the existing Nairobi-Mombasa highway was one component of the Usahihi Expressway plan and not a competing alternative.
"False reports, the Usahihi Expressway is not cancelled. Contrary to recent media claims, the Usahihi Nairobi-Mombasa Expressway has not been rejected or terminated," the company clarified.
It went on to add, "The project is still under active review by KeNHA, the PPP Directorate, and the National Treasury, in full compliance with Kenya’s PPP Act."
The company went ahead to state that the Nairobi-Mombasa expressway would be designed as a comprehensive corridor solution, combining a new expressway with upgrades to sections of the current highway linking two of Kenya's largest cities.
Everstrong Capital's clarification comes a day after KeNHA formally announced the government's decision to abandon the project after the firm failed to meet certain criteria in its proposal, prompting the PPP Committee to reject it.
KeNHA disclosed that the decision to reject the proposal followed a thorough review of the report by the Committee in line with the provisions of the PPP Act of 2021.
Despite turning down the proposal, KeNHA directed the company to restructure its proposal to meet the evaluation criteria through the expansion of the current Nairobi-Mombasa highway.
Per the KeNHA notice, the new proposal may be resubmitted to the PPP Committee for a fresh determination in line with Section 43 of the PPP Act.
"KeNHA remains committed to strictly adhering to the provisions of the PPP Act, 2021, and further assures the public that it will endeavour to abide by the provisions of the PPP Act, 2021," KeNHA assured.
