The Kenya government has made plans to start the construction of a new railway line, linking Mombasa Kampala, through Malaba. According to the Ministry of Transport, Kenya is set to receive a brand new railway that will put the old one to shame. Aviation, Tourism, Travel and Conservation News Daily reports that Kenya and China may enter a USD 2.6 Billion joint venture to construct the line which will run alongside the current railway.

Denied Rumours

The Daily Nation recently reported that the project will cost taxpayers and importers 357 billion in toll levies and port container traffic taxes. The local daily also states that the Kenya Railways Corporation (KRC) has already signed a deal with Chinese contractor, China Roads and Bridge Corporation (CRBC).

However, The Ministry of Transport has denied any news of a partnership between the two countries with regard to the railway construction. "How can there be a contract fee when the designs were just finalised yesterday?" asked the Ministry's Public Communications Officer, Douglas Kaunda.

Speaking during a telephone interview with Pesatalk, he noted that the government was, indeed, working on a parallel railway line that would link Mombasa and Kampala, through Malaba. He said that contractors had not yet been sought so it was too early to start speculating.

The initiative is still in its budding stage and construction fees are yet to be established. "The new railway will be a Standard Gauge line," Kaunda said.

Standard Gauge refers to a line that meets international standards which require a width of 56 and a half inches. The current track is a Meter Gauge line, which cannot handle speeds exceeding about 30 kilometers per hour due to its many curves. To make matters worse, no companies currently manufacture locomotives for this model.

Standard Gauge lines can handle speeds of 120 kilometers though some can carry trains running at over 300 kilometers per hour. What's more, the line can be easily converted to carry electric trains. "Kenya will be able to buy locomotives off-shore," Kaunda said, adding that the track would save time and money as soon as it was completed.

The Rift Valley Railways (RVR) is currently refurbishing the old line which received funding worth USD 164 million (KES 13.9 billion) from the International Finance Corporation (IFC) on August 2^nd, 2011.  The money is part of a USD 287 million (KES 24.4 billion) capital expenditure programme. So far, the railway company received bars in July to replace worn out curves on the old line by December 2012.

RVR currently has a 25 year stake in the old line, of which 6 years have already expired. The new line, however, will be completed five years after construction begins. On the other hand, the proposed project is expected to be funded by Chinese banks, giving the country government export guarantees that have yet to be established.

The old railway has already cost taxpayers KES 420 million from vandalism triggered by the post-election crisis of 2007.