Cost comparison SGR Kenya vs SGR Tanzania

Pia Uganda inatamani kuwa na reli ya umeme vile vile siyo ihishie tz kisha wao watumie meli tu

Sent from my VFD 301 using JamiiForums mobile app
 
Mkuu naona unajibu kwa jazba kana kwamba watu tunapigia debe sgr ifike bukoba, la hasha.
Uganda unaona bado wana wazo la sgr, na tusitegemee Kenya atakosa mkopo muda wote mambo yanaweza kubadilika,
Sgr isaka Kigali inapita mkoa wa kagera, kama hii reli ikijengwa mganda anaweza unganishiwa katawi na wala si km 700 kama unavyosema sidhani hata kama nusu yake zinafika,
Mkenya akipata mkopo mganda ataanza kutaka kujenga sgr, ziwa si bahari, baharini lazima utumie meli, ziwa ni dogo kuna options nyingi kufika uganda, barabara meli na Treni, sisi tukichangamka tukakubaliana na Uganda reli ikafika kule, automatically itaua kabisa mganda kujenga reli nyingine ya malaba, na hivyo itatusaidia kushika sehemu kubwa ya Drc, South Sudan na Uganda yenyewe.
Kuhusu meli, sisi Tanzania tuna 51% ya ziwa Kenya ana 6% zilizobaki hi Uganda, sisi tunaweza fanya safari za ndani tofauti na Kenya, na nilimsikia waziri akisema meli mpya ya mizigo hi kutokana na ongezeko la mizigo inayokwenda Musoma na kagera ile meli ya umoja imezidiwa.
NB: Uganda wanataka sgr, waspoipata kwetu wataipata Kenya, hili tunalojidanganya nalo kwamba Kenya kila siku atakosa mkopo tunajidanganya, na akijenga waganda wataunganisha kule, Uganda hawatakubali kuacha reli Yao iwe idle kisa wanapitisha mizigo kwetu hata kama kupitia kwetu hi cheap.
 
Tatizo geza uwezo wake wa kufikili na kuona mbali upo chini sana sgr ya umeme ikifika bukoba to Uganda kiashara ya Kenya sgr failed

Sent using Jamii Forums mobile app
 
Still kwa kuangalia huu urefu sioni sababu ya kujenga Isaka Mtukula Kampala kabla ya Isaka-Keza-Kigali itakayofungua fursa za DRC! Sioni umuhimu huo ikiwa kuna ferry zinajengwa mpya! Hili mtanisamehe sioni logic yake kabla ya kujenga ya Kigali-DRC! at the moment 55% of cargo from a mining DRC comes go through Dar port! These three countries have already signed SGR agreement with us plus they have done a feasibility! Should we leave behind because of Uganda that his position is not known? Where is Uganda's agreement with Tanzania on SGR? Unless Uganda crude oil was to be transported via SGR but there is already a pipeline being worked on! The economics don't make sense for now!

See Uganda plans!







See how Burundi, Rwanda and DRC r committed! Should we leave this aside just because of a costly Uganda's route and yet their plans for SGR r pretty different from ours?




Kwangu mimi the Uganda route should be the last to be acinstructed after routes to Burundi, DRC and Rwanda as they r more resolved and committed to central corridor! We should not leave them in despair!
 

Attachments

  • 1583735392982.jpeg
    8 KB · Views: 2
Kwan whats the essence of mwanza- isaka ..sio kwa ajili ya cargo to portbell?

Sent using Jamii Forums mobile app
 
Kwan whats the essence of mwanza- isaka ..sio kwa ajili ya cargo to portbell?

Sent using Jamii Forums mobile app
Actually to all the ports around Lake Victoria aside Mwanza itself yaani hizo bandari zitahitaji kama 5 km ya SGR kuzipokea electrical passenger/cargo trains! As far as I know there r at least 3 brand new wagon ferries r in cards in the near future by Tanzania ukiachia port expansion n modernization across Tanzania's Lake Victoria!

Hii ndo sababu najaribu kuwaelewesha watu SGR route from Isaka to Kampala via Bukoba, Kyaka, Mtukula n Masaka is not important for now! Hatuwezi kuacha opportunities za mining activities zilizopo DRC Congo zinazowindwa na competitor wetu Kenya na hata Uganda yenyewe! Efforts should be to capture cargo to those committed i. e. Burundi, Rwanda n DRC!
 
Tanzania: the race for regional rail supremacy
By Morris Kiruga
Posted on Monday, 9 March 2020 10:07


A train arrives at Mai Mahiu station in Kenya/ Zhang Yu/Xinhua/MAXPPP

East African countries have rushed to build new railroads and faced many problems. Tanzania is now building its own. Will it learn from Kenya’s and Ethiopia’s troubles?

If you have been to Dar es Salaam lately, you must have noticed the striking pillars under construction that will carry Tanzania’s new railway over the 154-year-old coastal city.

The former capital of East Africa’s most populous country is the launch point of a 1,457km railway line that will, if everything goes according to plan, connect Rwanda, Burundi and the Democratic Republic of Congo to the coast line.

Tanzania entered this side of the logistics infrastructure race a bit later than her neighbours, Kenya and Ethiopia. Both Nairobi and Addis Abbaba are now connected to coastlines by Chinese-built standard gauge railways (SGRs).
While plans for new railway infrastructure in the region go back decades, Dodoma chose to pause and watch her neighbours, as a Kenyan financial journalist wrote in The Standard: “the way a second-born child would do, lurking in the shadows and learning from the mistakes of his elder brother, then retreating to plot how to do a better job when his turn came.”

Kenya’s President Uhuru Kenyatta commissioned the country’s SGR passenger services in mid-2017, followed by its cargo services six months later. The first phase connected the coastal city of Mombasa with the capital, Nairobi, and ran along the older, British-built railway.

The second phase, dubbed “Phase 2A” and launched in late 2019, connects Nairobi to Suswa, an uninhabited expanse of land in the country’s Great Rift Valley. It cost KSh150bn ($1.5bn) and was funded by China, which withheld funding for the rest of the line earlier this year.
Ethiopia had commissioned its 756km railway, which ends in neighbouring Djibouti, in October 2016. These projects were part of a regional master plan, signed in 2008, to build new railways and logistics infrastructure within the next decade.

Different angle
From the outset, Tanzania, which has always gone it alone in the region – by not, for example, signing the region’s railway master plan in 2008 – chose to work on its rail project from a different angle. Unlike Kenya and Ethiopia, both of which ended up heavily indebted to China for their new railway lines, Tanzania sourced part of its railway financing from the Export Credit Bank of Turkey and Standard Chartered Bank.



It also contracted non-Chinese companies: the first two phases are being built by Yapi Merkezi of Turkey and Mota-Engil Africa of Portugal. If it secures financing for the three remaining phases: Makutupora-Tabora (294km), Tabora-Isaka (133km) and Isaka-Mwanza (248km), Tanzania will float separate tenders.

The result, according to Luis Francheschi, dean of Strathmore Law School in Kenya, and other researchers, is a cheaper project that will leave Tanzania far less indebted than her regional counterparts.

“Kenya’s and Ethiopia’s SGR projects impacted significantly the amount of their debt to China and generally their ratio of debt relative to GDP,” researchers wrote in the Daily Nation in December 2019, “As of 2017, Ethiopia and Kenya ranked the second and third highest Chinese debtors on the continent respectively. Their debt relative to GDP has also risen exponentially compared to Tanzania’s.”

Further complicating matters is the fact that, despite accumulating debt and government focus over the past decade, Kenya and Ethiopia’s SGR’s have not delivered what they promised.

One reason was the choices both countries made on the route, financing, and repayment of the loans they took to build the railway. For example, the Kenyan and Ethiopian SGRs force passengers and freighters to seek last-mile connections, because the start and end stations were built away from urban centres.

The plan in both countries failed for many reasons, chief among them being an economic downturn in both Kenya and Ethiopia after a long period of spectacular growth.

Without requisite additional economic incentives to use the new line, for example, the Kenyatta administration has struggled to balance between debt repayments and missed revenue targets. Before and since the launch of the first phase in the lead up to the 2017 general elections, questions have lingered over the entire project’s cost, viability and economic impact.

In Ethiopia, the political upheaval that escalated around the same time the new railway became operational meant it was not the main focus of the ruling party. But unlike Kenya which has road access to the sea, Africa’s second most populous country is landlocked, and worked faster to provide the link roads and other infrastructure needed to make the railway work.

During the second Belt and Road Forum for International Cooperation (BRF) in April 2019, Beijing cancelled all accumulated interest rate repayments owed by Addis Ababa up to 2018. At the same time, it declined to sign funding for the $3.6bn third segment of Kenya’s SGR, which would have brought the line closer to Uganda.

In 2018, China had asked Kenya and Uganda to do a commercial viability study of the entire project, after it became clear that the first phase had not met expectations and was making a loss of $7.4m a month during its first year of operations.

Cheaper alternative
The absence of a funding deal means that Uganda will wait even longer to build its railway. In October 2018, the landlocked East African country suspended its plans to extend the SGR from Malaba, located on its eastern border with Kenya, to Kampala.

Now starved of the capital to complete the railway line, both Kenya and Uganda are seeking funding to revamp their old metre-gauge railways as a short-term solution.
If the new plan works, cargo will have to be transported from Mombasa to Suswa on the new railway, by road to a new inland port in Naivasha, and then onwards on the old railway to the border with Uganda.

But that plan might also be hard to achieve. After Nairobi decided to go for the cheaper alternative, its first choice of contractor quoted a price triple the government’s original estimate of Shs.21 billion. By February 2020, The Daily Nation reported, the new inland port that was launched in December 2019 remained idle.

One saving grace might be the African Union’s decision in January this year to adopt another of the region’s major plans, the Lamu Port-South Sudan-Ethiopia-Transport (LAPSSET) Corridor project, as a regional project.

While the project is separate from the SGR, it could make Kenya a more attractive route to and for Uganda, and other landlocked Great Lakes countries.

Profitability matters
Another lesson Tanzania will learn from Kenya is how not to try and make its new railway profitable. The Dar es Salaam equivalent in Kenya, the coastal city of Mombasa, has been the hardest hit by Kenyatta’s administration’s attempts to improve the railways’ revenues. It, for example, issued a short-lived directive to have all inbound cargo hauled by the SGR, cutting off primary business for road freighters and others.

Tanzania has also learnt from the financing mistakes of its regional peers.

It is, for example, working with the Africa Trade Insurance Agency (ATI) on a plan that would see the insurer provide a ‘credit wrap’ for sovereign bonds and other international financing structures. ATI, already involved in the SGR project and other sectors, has helped Dodoma attract more than $2bn, but said in early February that it wants to do much more.

According to the project manager, Machibya Masanja, the first phase of the new line was 72% finished by early February 2020 and would be completed by April.

The initial plan was to cross into the new decade with the first phase complete, but heavy rains, which caused flooding throughout East Africa, disrupted construction of vital sections in Morogoro. Heavy rainfall is expected again in March and April, and may affect plans to begin formal testing in May.

When it does become operational, it will be the third such project in East Africa. It will also be the cheapest so far, and carry the hope of the region that it will fare better than its peers.

Tanzania: the race for regional rail supremacy | The Africa Report.com

MY TAKE
Tanzania has not taken loan from Eport Credit bank of Turkey!
 
Yes..maana standard chartered kila mtu kajua...why turkey wasijitangaze ....any ways opinion ..on thise..is that will kigali and drc be able to construct sgr to DRC...? ...remember Rwanda and Burundi(which have no finacial power for now)dont have much cargo..the most important is DRC...on the equation

Where as Uganda has much more cargo...imo..we should start construction of wagon ferries ..we can gurantee uganda delivery of goods within -36hrs to 48hrs from Dar port via Lake to port bell if we will be that efficent and at lesser cost than Kenya for a container ..we cant build a SGR to kampla via kagera if at all we are not certain of Uganda

Sent using Jamii Forums mobile app
 
kwani hujaona committment ya DRC kwenye ku-extend SGR kwenda kwao? Unajua wengi wenu hamfahamu jinsi Uganda ilivyo kizingiti kwenye hili suala, Uganda japo ni landlocked ina ambitions zake ambazo kiukweli si blind na si economic feasible mfano bifu la Uganda na Rwanda linatokana na Rwanda kukataa kuiunga mkono Uganda kujenga Railway ambayo ingefanya Uganda hub lakini kuongeza urefu na muda kufikisha mzigo bandarini! sasa kwa mtu anayeelewa hii maneno hawezi kushangaa kwanini Tanzania ipo zaidi upande wa Rwanda na Burundi maana hawa ni shorter gateway to DRC na wote hawa wanataka shoter route na only Tanzania offers that in the region!

Hii opportunity si ya kuzembea hata kidogo! Uganda wana interest za binafsi ambazo zitachukua muda kuji-align na nchi zenye bahari yani Kenya na Tanzania kwa mfano Uganda huyuhuyu ali-sabotage makubaliano ya mwanzo ya kujiunga na Kenya SGR akitaka South Sudan ijiunge kwanza na route yake ya Kampala kabla ya kwenda Malaba! Ukiangalia vizuri hata pipeline ni Total ndo wameamua wapi ipite na si Uganda as such! Uganda walitaka iende Mombasa port huku Kenya wakitaka ijiunge na Lamu ili wafaidike na refinery waliyotaka kujenga Lamu!
 
great article.. nimesoma kila kitu hadi nukta.. sema dah kenya wana mipango [emoji119].. waliplan vyote SGR na LAPSSET.. anyway tukaze buti at least tuwawin Uganda through Isaka-Mwanza SGR
usiwe na wasi plan iliyopo sasa is the best! inahitajika phase ya Mwanza-Isaka na Isaka-Keza-Kigali zianze mwaka huu kumaliza ubishi! usafiri Lake victoria hatuna mpinzani ukiacha upanuzi wa bandari za Butiama, Bukoba na Chato, MV Victoria na MV Butiama zinaingia majini then MV Mwanza hapa Kazi by January 2021 then kuna wagon ferry iko on drawing board! na Uganda nao wanafufua zao at least mbili! Kumbuka kuna plan ya wagon ferry pia Lake Tanganyika ukiacha meli Indian Ocean!
 
Uganda kama hawajielewi bado ...na hawana commitment ..let us see kama rwanda watapata loan at least 1bn usd wanahitaji

Sent using Jamii Forums mobile app
 
Why East Africa’s Next Railways Won’t be Built With Chinese Money
March 10, 2020
by Eric Olander

A general view shows the Standard Gauge Railway (SGR) train (R) constructed by the Chinese Communications Construction Company (CCCC) and financed by Chinese government stopping at the Nairobi Terminus, on October 16, 2019. SIMON MAINA / AFP

From Ethiopia to Kenya and soon Tanzania, thousands of kilometers of new railways are coming online. And if Tanzanian President John Magufuli is successful, Dar es Salaam will emerge as the hub of a hugely ambitious regional railway network that will stretch across half a dozen countries.


But the Key Question Remains: Who Will Pay for It?

The Chinese were instrumental in the first phase of East Africa’s railway development, providing billions of dollars in concessional loans to the Ethiopian, Djiboutian, and Kenyan governments to build Standard Gauge Railway lines.

But it increasingly appears that Beijing has lost its appetite to fund more railway construction in the region. This week, the China Exim Bank (for a second time) rejected Uganda’s request for a $2.3 billion loan to build a new SGR. This effectively removes China as a potential financier of the project. Similarly, China also turned down Kenya’s request to provide concessional financing for Phase 2B of its SGR, which would connect the inland port city of Naivasha with the Lake Victoria port city of Kisumu.

In both instances, Chinese officials declared, after conducting feasibility studies, that the projects are just not financially viable.

So, if the dream of international railways crisscrossing East Africa is to come true, it’s very likely that somebody other than the Chinese will underwrite it. But given the huge expense, particularly at a time of tremendous economic uncertainty due to the worsening COVID-19 outbreak, it’s not immediately clear where that kind of money will come from.

Why East Africa’s Next Railways Won’t be Built With Chinese Money
 
Jamani mwenye idea ya jinsi Dar station itakavyo ezekwa hasa ambapo abiria watasimama kupanda treni daraja la juu


Sent from Gnet Phone using JamiiForums
 
Cookies are required to use this site. You must accept them to continue using the site. Learn more…