This archive report was first published on 7 August 2020.
On August 7, 2020, President Uhuru Kenyatta issued an Executive Order to establish a framework for the management of Kenya's public port, railway, and pipeline services under the Kenya Transport and Logistics Network (KTLN).
The network brings together Kenya Ports Authority (KPA), Kenya Railways Corporation (KRC), and Kenya Pipeline Company Limited (KPC) under the coordination of the Industrial and Commercial Development Corporation (ICDC).
The new structure aims to leverage the efficiencies and synergies of the four State agencies to achieve Kenya's strategic agenda of becoming a regional logistics hub.
The framework is expected to lower the cost of doing business in the country by providing port, rail, and pipeline infrastructure in a cost-effective and efficient manner.
The new arrangement also allows for the centralization and coordination of operations without amending existing laws or causing undue disruption to the legal structuring of the State entities.
As a result, the four State agencies have been transferred to the National Treasury in line with the recommendations of the Presidential Taskforce on Parastatal Reforms.
In the new arrangement, the ICDC will act as a holding company to the three agencies, responsible for the management of the State's investments in Ports, Rail, and Pipeline services.
The State agencies are required to enter into a joint operations agreement within 30 days to reorganize individual entity structures, resources, operations, and services.
The reorganization will help establish a seamless and coordinated national transport and logistics network.
