WHAT IS THE LAPSSET CORRIDOR PROGRAM?
The LAPSSET Corridor Project is the first single Gigantic, Integrated, Transformative and Game-Changer infrastructure Project the Government has initiated and prepared under Vision 2030 Strategy Framework without external assistance. The project endeavors to deliver a Just and Prosperous middle income Kenya by the year 2030. Kenya is spearheading the development of Lamu Port-South Sudan-Ethiopia-Transport (LAPSSET) Corridor Project to strengthen her position as a gateway and a transport and logistics hub to the East African sub-region and the Great Lakes region to facilitate trade, promote regional economic integration and interconnectivity between African countries.
Out of the seven LAPSSET Components, the Government of Kenya has put priority on the development of the First Three Berths and Associated Port Infrastructure, which is expected to trigger development of the other components.
BENEFITS OF THE LAPSSET CORRIDOR PROJECT
The LAPSSET Corridor Project covers over half of the country with a planned investment resource equivalent to half of Kenya’s Gross Domestic Product (GDP) for the core investment alone.
- Conservative feasibility statistics show that the project will inject between 2 percent to 3 percent of GDP into the economy.
- It is also estimated that contribution of the LAPSSET Corridor Project to the country’s economic growth could range 5 percent to 8 percent of GDP when generated and attracted investments finally come on board. This view is supported by the fact that new investments of the magnitude of LAPSSET Corridor Project in hitherto low developed areas usually yield higher growth figures.
- The project will provide equity in development for the entire country in line with the Constitution and the Kenya Vision 2030.
- It will enhance efficient, seamless inter-modalism in the country’s transport and logistics operations while the planned resort cities will resolve the current urban primacy scenario centered along the current Northern Corridor route from Mombasa – Nairobi – Malaba and Kisumu – Busia.
- Overall, the development of the LAPSSET Corridor will create employment and reduce poverty in the country as well as improve accessibility and enhance socio-economic development of the northern part of the country.
- A seamless interconnectivity will also be created within coastal counties, throughout the country and linkages to neighboring countries through the country’s roads, railway, ports, airports and telecommunications.
- The project will strengthen Kenya’s regional Hub status in Eastern Africa as a result of the country being the originator of transboundary transport projects, special economic zones and Free Trade Areas.
- The project will help the region create capacity in infrastructure industry from human, technological, financial and consumers in the country. Countries like China, India, Malaysia, Brazil, Iran and Singapore among others have used this model to adapt technology and train their manpower while building capacity in their delivery institutions.
- The project will help strengthen socio-economic base of Kenya by improving infrastructure as the key backbone of the Kenyan economy. Continued investment in infrastructure has seen the country recovering that resulted in a jumpstart from a marginal 1.6 to 2.6 and 5.5 per cent growth in 2008, 2009 and 2010 respectively.
- The project will open up the pastoral regions particularly in the north of Kenya that will now be the next growth frontier for the entire economy as the will have made tremendous strides towards facilitating socio-economic development with the completion of these key infrastructure projects.
- It will lead to increase in electric power generation through various energy initiatives such as green energy and clean energy to improve reliability in electric power supply to support faster rate of industrialization and inter country electricity supply such as the envisaged Kenya -Ethiopia electricity power agreement.
- It will facilitate attraction of increased private sector investment in infrastructure development and management in the country. Currently, there are a number of private sector involvements particularly in the energy, water and railway sub-sectors. More private sector investments are being explored in roads, railways, ports and water services.
- It will help the region to establish efficient, reliable and sustainable infrastructure and accelerate creation of more employment in both specialized areas and labour thus reducing poverty levels in the country.
The LAPSSET Corridor Program is Eastern Africa’s largest and most ambitious infrastructure project bringing together Kenya, Ethiopia and South Sudan. This mega project consists of seven key infrastructure projects starting with a new 32 Berth port at Lamu (Kenya); Interregional Highways from Lamu to Isiolo, Isiolo to Juba (South Sudan), Isiolo to Addis Ababa (Ethiopia), and Lamu to Garsen (Kenya), Crude Oil Pipeline from Lamu to Isiolo, Isiolo to Juba; Product Oil Pipeline from Lamu to Isiolo, Isiolo to Addis Ababa; Interregional Standard Gauge Railway lines from Lamu to Isiolo, Isiolo to Juba, Isiolo to Addis Ababa, and Nairobi to Isiolo; 3 International Airports: one each at Lamu, Isiolo, and Lake Turkana; 3 Resort Cities: one each at Lamu, Isiolo and Lake Turkana; and The multipurpose High Grand Falls Dam along the Tana River.