Pay us before work on power plant starts, landowners say

The chairman of the Lamu coal tender evaluation team Simon Ngure speaks during a media briefing at Laico Regency hotel, Nairobi, on the update of the tender process, on September 1, 2014. The project is being sponsored by Amu Power, Centum Investment and Gulf Energy. PHOTO | SALATON NJAU | NATION MEDIA GROUP

What you need to know:

  • Mr Aboud said the farmers were optimistic that the project would change their lives through the compensation and the provision of jobs for the youth.
  • He said the objective of the company’s efforts was to ensure Lamu grows and the lives of residents improve.
  • The 2001 Nobel Memorial Prize winner warned that the losses the project set to roll out on September 30 will come with would outweigh the benefits.

Farmers whose land will be acquired for the establishment of a Sh180 billion coal-fired power plant at Kwasasi in Hindi, Lamu County, have demanded compensation of Sh5 million per acre.

The farmers told journalists at Kwasasi on Monday that they fully support the establishment of the plant.

“We are willing to pave the way for the multibillion-shilling project. We are for development in our region,” said Mr Abdulrahman Aboud, the spokesman of the more than 200 farmers.

“We have no qualms with the project but we must be paid Sh5 million per acre before the work starts,” he added.

The project is being sponsored by Amu Power, Centum Investment and Gulf Energy.

The plant is expected to generate more than 980MW of electricity.

Mr Aboud said the farmers were optimistic that the project would change their lives through the compensation and the provision of jobs for the youths.

ENSURING COMPLIANCE
The growers appealed to Amu Power to ensure Lamu youth are given first priority in the jobs that will arise when the work starts.

Amu Power Director Habib Jelani said the company was working closely with regulators and leaders at all levels to ensure compliance with relevant laws, and alignment with local development plans.

He was addressing journalists at the Majlis Hotel.

Mr Jelani said the firm was also undertaking a number of community projects as it awaits the release of the environmental and social impact assessment report. It is set to come out any time soon.

He said the objective of the company’s efforts was to ensure Lamu grows and the lives of residents improve.

“Amu Power and the county government have identified the areas in Lamu County that require attention. They include poor education, health care, roads and water infrastructure,” said Mr Jelani.

“As investors, we intend to make an impact on lives for the good of the county, the nation and the firm as well,” he added.

A total of 870 acres have already been identified in Kwasasi for the power project.

LITTLE PROFITS
The coal power plant is intended to increase the country’s power generation capacity of 1,664 megawatts to at least 5,000 megawatts to meet targets set in the Vision 2030 programme, and to lower the cost of energy.

However, in July, a scientist termed the power project a big mistake because of its negative effects on health and environment.

Prof Joseph Stiglitz of Columbia University said: “Investors world over are moving away from coal because of the carbon it produces, besides other pollutants which are is detrimental to human health and environment. The project will be a big problem with little profits if any at all.”

The 2001 Nobel Memorial Prize winner warned that the losses the project set to roll out on September 30 will come with would outweigh the benefits.