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How Kenya can sidestep pitfalls of mega projects

How Kenya can sidestep pitfalls of mega projects

Large infrastructure projects in Kenya often generate political and public interest due to their potential for economic growth and development.

The mega projects such as new roads, railways, irrigation schemes, dams, airports, ports also play a symbolic role, capturing the imagination of the public and carrying their hopes for future prosperity.

However, a troubling track record reveals a consistent pattern of failure by the government to successfully implement these large-scale initiatives.

The pitfalls of mega projects in Kenya are not merely the common criticism of underperformance and cost overruns—although these issues are significant and cannot be overlooked.

An impartial analysis of the failure of our mega projects as highlighted in the recent Adani-JKIA controversy reveals that the challenges extend beyond financial mismanagement and reflect deeper systemic issues that ought to be addressed for Kenya to achieve successful development outcomes.

Two key reasons emerge for the failure of mega projects in recent time. The first one is the lack of public participation, a failure that has been cited by the courts while declaring most of the mega projects or even laws unconstitutional.

One of the shortcomings of mega projects in Kenya is the lack of meaningful public participation in the planning and execution phases. They fail to involve stakeholders including local communities and relevant interest groups. This exclusion leads to misaligned project objectives, resistance from critical stakeholders and ultimately, derailment.

There is also the failure to follow the project cycle process. There has been a consistent failure to adhere to the legal frameworks governing public projects in Kenya. Effective project management requires rigorous planning, stakeholder engagement, and compliance with regulatory processes.

However, many mega projects are characterised by inadequate planning and ineffective project management practices. This includes insufficient feasibility studies, lack of adherence to project timelines, budget overruns, and failure to follow legal frameworks, all of which undermine their execution and sustainability.

Step one in fixing the mega project paradox for both private investors and the government is gaining an understanding of the law. The Public Finance Management (Public Investment Management) Regulations 2022 are the legal guide for the implementation of public investment projects.

The PFM (PIM) Regulations 2022 provide the national and county governments with “a standardised approach in project cycle management” and provide “a legal framework for efficient and effective public investment management that includes project identification and planning, pre-feasibility and feasibility, selection for budgeting, implementation, monitoring, evaluation and reporting, closure, sustainability and impact assessment to ensure value for money and optimal use of public resources.”

The PFM (PIM) Regulations 2022 serve as a crucial framework for ensuring that mega projects are planned, implemented, and evaluated effectively.

By establishing clear guidelines for each stage of the project lifecycle, from initial concept notes to project closure, these regulations promote accountability and transparency. Furthermore, these regulations emphasise the importance of sustainability and impact assessments, ensuring that projects deliver long-term benefits and optimise use of public resources.

By mandating rigorous monitoring and evaluation processes, the regulations enable continuous improvement and learning from past experiences. This comprehensive approach ultimately aims to maximise the effectiveness of public investments, fostering economic growth and social development while safeguarding taxpayer interests.

A step in the right direction would be to demand that all mega projects follow the law to the letter. This is because, successful implementation of public investment projects hinges on a structured and transparent approach guided by established regulations.

By prioritising stakeholder engagement, conducting thorough feasibility studies, and adhering to robust project management practices, we can mitigate the risks associated with project failures. This not only enhances accountability but also fosters public trust in government initiatives.

Dr Saroni is an international trade and investment expert

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