- He was speaking during the official opening of Nexgen Packaging Kenya EPZ Limited in Athi River.
- He encouraged more industrialists to consider investing in the country stating that Kenya is a highly dynamic economy.
Investors in the manufacturing industry will now enjoy a 50 percent electricity tariff reduction for night production, President William Ruto has said. https://rb.gy/al099t
Image: GEORGE OWITI
Investors in the manufacturing industry will now enjoy a 50 percent electricity tariff reduction for night production, President William Ruto has said.
Ruto said his administration reached the decision following numerous requests and concerns from investors on the high cost of electricity. He said the reduction would take effect as from May 1.
“We are working on how to make sure that the cost of power is investor and manufacturer-friendly. The first step we have agreed with the industry is that those who will produce at night because we have excess power at night, we are going to reduce tariffs by 50 percent,” Ruto said.
He was speaking during the official opening of Nexgen Packaging Kenya EPZ Limited and Tour of Hela Intimates EPZ Limited at the Export Processing Zone in Athi River, Machakos County on Tuesday.
“Initially, it used to be a requirement that for you to benefit from that 50 percent electricity tariff reduction at night, you must produce at full capacity during the day. We have agreed that from May 1, that requirement won’t be necessary,” Ruto said.
He encouraged investors across the country to take advantage of the tariff reduction to increase their production in the manufacturing industry.
The Head of State encouraged more industrialists to consider investing in the country stating that Kenya is a highly dynamic economy characterized by strong, diverse and well-developed institutions in both the public and private sectors.
Ruto said the country is also a global and Pan-African hub for banking, insurance and services sectors as well as a rising fintech and digital technology hub.
“Owing to our advantageous practical situations and extensive infrastructure, we are the gateway to Eastern and Central Africa regions, as well as the continent making Nairobi the ideal headquarters of many dominant global public and private organizations intending to establish a broader continental footprint and presence,” Ruto said.
He urged investors not to import labor into the country stating that the country’s youthful population is well-educated and highly skilled.
The president said Kenyans are known for their motivation drive, innovation and entrepreneurship.
“The young people I saw at your workshop are a cut above many. They are trained appropriately. Whatever skill that you want, you won’t have to import skills, we have all the skills you need here,” Ruto said.
In addition, Ruto noted that the country’s information and communication technology infrastructure is highly developed and complemented by high mobile communication and internet broadband connectivity.
He said they were extending broadband connectivity to 100,000 institutions across the country. This, he said, would enhance connectivity, bring more people into the ecosystem, enhance commerce and spar opportunities for Kenyans both locally and globally.
“Our country is also indulged in abundant renewal energy which makes 93 percent of our national grid with geothermal power contributing to greater portions,” Ruto said.
He emphasized on the importance of Export Processing Zones across the country and their contribution to the nation’s economy.
Ruto said Nexgen Packaging Kenya EPZ Limited was the latest entrant to the EPZ.
He said the textile and apparel sector had greatly contributed to the country’s development through employment and national revenue.
“Nextgen is the most dominant component of our EPZ manufacturers in the textile and apparel sector,” Ruto said.
Ruto said the government had purchased 5, 000 hectares of land in Naivasha for the industrial zone’s establishment.
“We now have an additional 5, 000 hectares in Naivasha to present opportunities to investors, industrialists, entrepreneurs, not only to benefit from our green energy but also all the other incentives including a connected grid system to Naivasha,” Ruto said.
He said the government was also establishing more Export Processing Zones across the country including Sagana, Murang’a, Nakuru, Eldoret and Busia.
On water challenges in Athi River, Ruto said his administration will complete the Nothern Corridor water project to end the challenge not only at EPZ, but the entire Athi River sub county.