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Overview

China signs MoU to fund High Grand Falls Dam project

Commitment Year2014Country of ActivityKenyaDirect Recipient Country of IncorporationKenyaSectorWater Supply And SanitationFlow TypeLoan

Status

Project lifecycle

Pipeline: Pledge

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jan 1, 2014

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownership

Funding agencies

Government Agencies

  • Unspecified Chinese Government Institution

Receiving agencies

Government Agencies

  • Government of Kenya

Implementing agencies

State-owned companies

  • China State Construction Engineering Corporation (CSCEC)

Loan desecription

China signs MoU to fund High Grand Falls Dam project

Interest typeUnknown

Narrative

Full Description

Project narrative

In 2014, Kenya announced it finalized the procurement process with China State Construction Engineering Corporation to build the High Grand Falls Dam project at a cost of Sh148 billion as a public-private partnership funded by China. The 2015 3rd Annual Report from Kenya's Executive Office of the President stated that an MoU between the Governments of Kenya and China was signed for the construction of the High Grand Falls Multipurpose Project. The dam is located at the common border of Kitui, Tharaka-Nithi, and Tana River counties at Kivuka on River Tana, and it would supply water to the proposed Lamu resort city and port while generating between 500MW and 700MW of electricity. It was later reported the tender had been awarded to the British GBM Engineering Consortium. On July 4, 2018, the Public Procurement Administrative Review Board (PPRB) heard a tender dispute brought by the National Irrigation Board (NIB) and ruled in favor in the company, ordering NIB to conclude the tendering process within 30 days. NIB disregarded the ruling and cancelled the tender

Staff comments

The contract amount has been reported between 148 and 150 billion Ksh. The exact timeline of the cancellation of the MoU with China and the agreement with GBM Engineering is unclear.