State to pocket 60pc of excess profits from Rironi–Mau toll road
Move aimed at limiting Chinese firm’s potential for excessive earnings during 30-year concession period...
✨ Key Highlights
The Kenyan government will receive 60 percent of any profits exceeding an agreed threshold from the Rironi–Mau Summit toll road. This profit-sharing agreement is part of a 30-year concession for the highway.
- The State will receive 60% of earnings above the agreed 16% internal rate of return (IRR) on equity.
- Key entities involved include the National Treasury, a consortium of China Road and Bridge Corporation (CRBC) and the National Social Security Fund (NSSF), and Shandong Hi-Speed Road and Bridge International Engineering (SDRBI).
- This model replaces the demand-risk model used for the Nairobi Expressway, shifting revenue and demand risks to the private sector and avoiding minimum revenue guarantees for the State.
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Ruto: Construction of Thwake Dam Phase II to Begin in April 2027 After Sh10.6bn Funding Approval - July 2026
Construction of the second phase of Kenya's largest dam, the Thwake Dam, is set to commence by April 2027 following the approval of Sh10.6 billion in funding. President William Ruto announced that the funds will enhance water security, irrigation, and renewable energy generation in the lower eastern region. Additionally, Ethiopia and Kenya have finalized an electric power supply agreement to boost regional energy trade and connectivity. Meanwhile, the Kenyan government will receive 60 percent of any profits exceeding an agreed threshold from the Rironi-Mau Summit toll road under a 30-year concession agreement.
