CS Lee Kinyanjui hails progress of Taifa Gas project in Dongo Kundu SEZ and Base Titanium in Kwale

CS Lee Kinyanjui hails progress of Taifa Gas project in Dongo Kundu SEZ and Base Titanium in Kwale

Cabinet Secretary for Investments, Trade and Industry Lee Kinyanjui has commended significant progress at the Taifa Gas project within the Dongo Kundu Special Economic Zone (SEZ), noting that the facility is approximately 80 percent complete and expected to be operational in the next two months.

CS Kinyanjui said the development will add 30,000 metric tonnes of Liquefied Petroleum Gas (LPG) storage and distribution capacity.

It was during his tour at the port of Mombasa, Taifa gas plant at Dongo kundu by pass and Base Titanium in Kwale county that he highlighted the commitment and strides the government has made in making Kenya a country of choice with attractive incentives for investors to do business.

He explained that the move will position Kenya not only to meet domestic demand but also to supply the regional market, including neighboring countries.

“We visited here about a year ago when it was at foundation level, but today we see commendable progress. In the next two months, by around March or April, we expect completion, enabling Kenya to have an additional 30,000 metric tonne capacity here, making it not just distribution for the country but also for the entire region,” CS Kinyanjui stated.

Kinyanjui said that on the environmental benefits of expanded LPG use, the project will encourage a shift from charcoal and firewood, thereby protecting forest cover and reducing depletion due to energy demands.

The CS further noted that affordable energy sources like gas are vital for businesses, including restaurants and manufacturing firms.

He pointed to government efforts to promote conversion from petroleum to cleaner alternatives such as gas and electricity, including the adoption of electric vehicles.

The CS described the Dongo Kundu SEZ as a flagship initiative of President William Ruto’s administration aimed at boosting value addition, manufacturing, and export-oriented investments.
Located strategically near the port, the zone is designed to attract investors targeting regional and international markets.

“This Taifa Gas project is one of many coming here. We are already in discussions with a glass company for pharmaceutical bottles and others in the steel industry. In another five years, we expect this to be a thriving industrial hub supporting thousands of jobs for Kenyans and reducing our dependence on imports,” he added.

He emphasized that the project exemplifies a whole-of-government approach to facilitating investments.

Earlier in the day, CS Kinyanjui paid a courtesy call on Kenya Ports Authority officials to discuss port efficiency, turnaround times for ships and trucks, and challenges affecting cargo clearance.

He expressed optimism that ongoing engagements with relevant agencies, including the Kenya Revenue Authority on scanning processes, will make Mombasa the port of choice for East Africa.

The visit also addressed preparations for the avocado export season, with emphasis on expanding cold chain infrastructure to enable cheaper sea transport for perishable goods, potentially halving costs compared to air freight.

On his part, Dr Kenneth Chelule, Chief Executive Officer of the Special Economic Zones Authority (SEZA), said the Dongo Kundu SEZ continues to attract quality investors from the region and beyond, including Tanzania and Japan.

“SEZ, as you have witnessed, is attracting some of our good investors from around the region. This investment is from Tanzania. We have others coming as far as Japan. This is as a result of good measures put together by the Kenya government to attract and make Kenya competitive for investment,” Dr Chelule said.

He noted that the authority focuses on vetting investors capable of large-scale employment and foreign currency inflows. SEZA also incentivizes investors to contribute infrastructure, such as the ongoing berth construction at the port to ease goods movement.

Dr Chelule described Kenya’s SEZ incentives as among the best in Africa, comparable to top destinations on the continent. He said the focus has shifted from establishing new zones to filling the existing 35 SEZs, including public ones like Dongo Kundu and Naivasha, and private facilities across the country.

“The road to Singapore has begun and we are on course through SEZ,” Dr Chelule said.

He added that several projects were in the pipeline and would be rolled out in phases over the next five years, signaling increased industrial activity within public and private SEZs nationwide.