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Transport Ministry introduces new Bill seeking to open-up rail network to private operators

The Ministry of Roads and Transport has introduced a Bill seeking to open-up the railway infrastructure to private operators.

This means that should the Railways Bill 2024 which is currently undergoing public participation become law, private players in the railway sector would not only be allowed to take part in the expansion of the railway network, but would also be able to operate on the country’s railway infrastructure.

According to the Transport Ministry, the proposed reforms are aimed at “opening access” to the government monopolized railway infrastructure for other private operators.

The Ministry is also hoping to enhance its efficiency in the provision of services in the railway sector whose last reforms were undertaken in 2005.

“This bill seeks to introduce a new way of operating the railways in the country. One of the benefits that the Bill will bring to the sector is that it is going to open the system in such a way that anyone who for instance may want to construct a railway line can make an application and do it,” said Brenda Mwango, a legal officer from the Ministry during a public participation session in Nyeri Town.

Currently, all functions pertaining to the management, operation and the regulation of the railways are undertaken by the Kenya Railways.

The Bill, however, proposes the separation of the operation aspects from the regulation functions of the sector. The Bill has therefore proposed the creation of the Kenya Railway Corporation (KRC) to oversee the operations, the construction and the maintenance of railways. On the other hand, the legislation has proposed the formation of the Railway Regulatory Authority as an oversight organ which will keep the sector in check.

Once enacted into law, KRC will, among other functions, have the powers to set and adjust the sectors levy rates, fares, charges and fees. The corporation functions will also include advising the Cabinet Secretary on national policies on matters of train transport.

On its part, the Railway Regulatory Authority will among other functions, register, license and train operators and railway infrastructure managers.

The Authority, the proposed Bill says, will also be responsible for the development and implementation of rail operations safety standards throughout the country.

“At present, the Kenya Railways is responsible for constructing the railway network, setting the fees and charges and they will also be responsible for maintaining the trains. Railway safety is also a preserve of the Kenya Railways and they also investigate themselves in the event of an accident but the new law will separate these functions and ensure,” stated Ms Mwango.

Among other reforms that the Bill is seeking to introduce include entrenching the Railways Training Institute as the training and research arm for rail transport in the country and the region.

According to the proposals, RTI will be owned and managed by the KRC as a semi-autonomous institution offering certificates and diplomas in the railway sector.

Members of the public wishing to give their views on the proposed Bill have until September 13 to submit their written memoranda to the Transport Ministry through railwaybill@transport.go.kerailbill@krc.co.ke or  ps@transport.go.ke .

By Wangari Mwangi

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