18 February 2014

Kenya: Toll Stations to Help Roads Maintenance

Nairobi — THE government is planning to introduce toll stations in major highways in the country in order for motorists to pay for the maintenance of roads.

The new plan by the government seeks to collect levies for the use in maintenance of such facilities which are searing under pressure from vandalism and irresponsible usage through acts like overloading.

In advertisements in major dailies, the government said it was seeking expression of interest from consultants who could provide transaction advisory services for the tendering of maintenance, operation and tolling of the Mombasa-Nairobi Highway and Nairobi-Nakuru Highway through public-private partnership (PPP).

The government is looking for a lead financial advisor, an environmental consultant, traffic and engineering consultant and a legal consultant as per the advertisement to advice on the public private partnership arrangement.

The Consumer Federation of Kenya (COFEK) has meanwhile raised concern on what it has called double taxation if the PPP deal is adopted.

“Road maintenance is done using funds from the road maintenance levy which is attached to the retail price of fuel and so subjecting road users to tolling would amount to double taxation,” stated COFEK. The federation is asking the government to either scrap the road maintenance levy or harmonize it at a fee that would be affordable to motorists.

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