Kenya Ports Authority Handbook 2020 by Land & Marine Publications Ltd.

KENYA PORTS AUTHORITY

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EMAIL: kpamd@kpa.co.ke ca@kpa.co.ke PO Box 95009-80104, Mombasa, Kenya

KENYA PORTS AUTHORITY HANDBOOK 2020

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KENYA PORTS AUTHORITY HANDBOOK 2020

KENYA PORTS AUTHORITY PO Box 95009-80104 Mombasa, Kenya TELEPHONE: +254 (0)41 211 3999 +254 (0)41 211 2999 +254 (0)41 211 3497 Fax: +254 (0)41 211 1867 WIRELESS: +254 (0)20 357 5880/8 MOBILE: +254 (0)72 020 2525 +254 (0)73 431 2211 EMAIL: kpamd@kpa.co.ke ca@kpa.co.ke WWW.KPA.CO.KE

CONTENTS 3 FOREWORD Building for the future

33 TRANSIT OFFICES Transit market liaison offices

4 INTRODUCTION New super-gateways for regional traffic

34 SECURITY Port security gets top priority

MASTER PLAN

Port capacity gets major boost under new Master Plan

8 GROWTH Strong cargo growth is tribute to port investment 9

PORT CHARTER

Helping port community work as a team

10 KENYA PORTS AUTHORITY New port will expand operational role of KPA 12 PORT MAPS

Kenya Ports Authority Handbook 2020-21 is published by:

Land & Marine Publications Ltd 1 Kings Court, Newcomen Way Severalls Business Park Colchester, Essex CO4 9RA, UK Tel: +44 (0)1206 752 902 Fax: +44 (0)1206 842 958 Email: publishing@landmarine.com www.landmarine.com The opinions expressed in this publication are not necessarily those of the editor nor of any other organisation associated with this publication. No liability can be accepted for any inaccuracies or omissions. Printed by Ramco, Nairobi ISSN 1743-5056 © 2020 Land & Marine Publications Ltd

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36 PERFORMANCE Cargo traffic continues to grow 37 ICT Paperless system is key to efficiency in Kenya’s ports 39 OIL TERMINAL New oil terminal set to boost import capacity 40 RAIL AND ROAD Better-than-ever hinterland links by road and rail 41 CORPORATE SOCIAL

RESPONSIBILITY

KPA gives back to local community

14 KENYA MARITIME AUTHORITY KMA’s key role in maritime safety and training

42 CRUISE New dedicated cruise terminal will boost tourism

17 CAPACITY Mombasa targets capacity and efficiency

44 DONGO KUNDU Greenfield site earmarked for new port area

19 CONTAINERS Mombasa expands container handling capacity

46 GREEN PORT Mombasa pursues Green Port policy

22 OPERATORS Private operators’ key role in cargo handling

48 LAMU New flagship port will enhance gateway role of Kenya

23 EQUIPMENT KPA invests in container handling equipment

50 KISUMU Lake port of Kisumu gets new lease of life

26 CFS Off-dock CFS units keep traffic flowing

52 DEMURRAGE Demurrage and container shipping

28 GRAIN HANDLING New facilities on way at grain terminal

54 PORT DETAILS

FOREWORD

BUILDING FOR THE FUTURE W

elcome to the latest edition of the Kenya Ports Authority Handbook. These are exciting times for the Kenya Ports Authority (KPA) and for Kenya as a nation as we work towards fulfilling objectives set out in the government’s Vision 2030 development goals. Thanks to the investments we have made and are currently making, I believe that the KPA will play a key role in Kenya’s economic growth throughout this decade and the authority will cement and enhance its already close relationships with our main hinterland markets. As it is, the Port of Mombasa is already well positioned geographically and is clearly the gateway of choice for shippers across large parts of East Africa – in particular in Uganda, Rwanda, Burundi and South Sudan. Not only has the KPA made tremendous improvements over the last 10-15 years or so constructing major new port facilities, but we have greatly increased our productivity and streamlined our internal management systems. This has greatly benefitted all our customers. Among recent and future developments are: the opening in 2016 of the new Kipevu Container Terminal, the completion of the first and second phases of the Standard Gauge Railway (with track now laid as far as Naivasha), the start of work on a new four-berth oil terminal (Kenya made its first-ever oil exports in 2019) and the opening of the first berths at the new Lamu port now under construction to the north of Mombasa. When complete, Lamu will add significantly to Kenya’s cargo gateway status by opening up new transit markets. In order to enhance regional economic and social integration, we have revamped the Port of Kisumu of the shores of Lake Victoria. Cargo now can cross cheaply from Kisumu to Port Bell, Mwanza and Bukoba on Uganda and Tanzania sides using the revived mv Uhuru of the regular ships on the lake. Plans are underway to revive the other small ports along Lake Victoria including Kendu Bay, and opening of the Mbita causeway for navigation. I am pleased to say that this handbook provides a comprehensive overview of the KPA’s activities and those of the authority’s stakeholders and partners. This publication also outlines our vision of the future – and, in my view, that future is a very positive one.

KENYA PORTS AUTHORITY HANDBOOK 2020

Dr Daniel Manduku Managing Director Kenya Port Authority

INTRODUCTION

Druid007 | Shutterstock.com

NEW SUPER-GATEWAYS FOR REGIONAL TRAFFIC

he Kenya Ports Authority (KPA) is at the forefront of the nation’s march to economic success as key projects first outlined in the Kenya government’s Vision 2030 development plan have come on stream. Central to the success of Vision 2030 has been the expansion of cargo handling capacity in the Port of Mombasa; while the KPA has also committed a significant amount of energy and investment to the creation of the northern Port of Lamu and its associated transport corridor. Ever since it opened for trade in 1895, the Port of Mombasa has played a key role in the economy of Kenya and the wider region.

KENYA PORTS AUTHORITY HANDBOOK 2020

Today, this position has been enhanced and invigorated by two landmark projects: the opening in 2016 of the port’s new Kipevu Container Terminal; and the completion in early 2017 of the new 470 km standard gauge railway (SGR) to Nairobi – a rail link that confirms the gateway role of Mombasa in just the same way as the original metre-gauge line* that opened in colonial times in 1901. The new SGR line is Kenya’s largest infrastructure project since independence in 1963 and represents an investment of US$ 3.8 billion. This railway has already given a major boost to rail freight capacity between the coast and the capital; and now, as the line is further extended to Naivasha and eventually to Kisumu on the shores of Lake Victoria,

INTRODUCTION

it will have far-reaching and beneficial consequences for Kenya’s neighbours. These neighbouring countries are very much committed to this project. There are plans to complement the new SGR line with a new six-lane highway between Mombasa and Nairobi – yet another sign that Kenya means business and has put the focus on moving goods as quickly and efficiently as possible. Meanwhile, the KPA’s new Port of Lamu opened in late o2019 providing a much-needed transport gateway to destinations in northern Kenya, South Sudan and Ethiopia. Until now, these areas have suffered a lack of modern connections to the ocean and have been poorly served by land transport.

UPGRADING The upgrading of Kenya’s ports, railways and roads will ease the flow of freight between the coast and the traditional hinterland markets of Uganda, Burundi, the Democratic Republic of Congo, South Sudan, Tanzania and Rwanda. These nations currently account for some 30 per cent of Mombasa’s throughput. And so the original reasons for building the Port of Mombasa over a century ago are as relevant now as they were then – only, of course, on a much grander scale; and that grand scale is at the heart of Vision 2030.

in 1698. It was briefly British a protectorate from 1824 to 1826 and then Omani rule was restored. In 1887 administration passed to the British East Africa Association. Mombasa was formally handed over to the British in 1898, although Kenya’s coastal strip remained under Zanzibari sovereignty right up until Kenyan independence in 1963. The building of a narrow-gauge railway in the 1890s between Mombasa and Uganda led to a need for harbour facilities in Kilindini Creek. For the first time, this allowed oceangoing vessels to discharge their cargo directly to dedicated shoreside facilities. As construction of the new line continued inland, a supply point was built where the track passed through an area of uninhabited swamp. This became known as Nairobi, derived from the Maasai words Enkare Nyrobi, meaning cold water.

MODERN DAY In 1926 the modern-day port began to take its present shape. Two deepwater berths were constructed and a further three were added in 1931. The Shimanzi Oil Terminal and another two berths were completed during the Second World War. More berths were opened in the 1950s and 1960s as trade continued to grow and as independence was achieved.

HISTORY Mombasa’s role in the region’s transport and logistics chain has evolved over many centuries. The Port of Mombasa has been handling cargo since 1895; but before that it was a busy dhow harbour with vessels calling from as far away as Oman. The Portuguese arrived in 1498 and controlled Mombasa until it came under the suzerainty of the Sultanate of Oman

KENYA PORTS AUTHORITY HANDBOOK 2020

After being administered briefly by the East African Harbour Corporation under an ill-fated trinational association with Tanzania and Uganda, the Kenya Ports Authority was established in 1977 to run the port. The first containers arrived in 1975, leading the KPA to convert existing facilities into dedicated container berths. Later, inland container depots were opened in Nairobi, Kisumu and Eldoret.

* The Uganda Railway, from Mombasa to Nairobi and onwards to the inland terminus at Kisumu, on the eastern shore of Lake Victoria

MASTER PLAN

PORT CAPACITY GETS MAJOR BOOST UNDER NEW MASTER PLAN T

he Kenya Ports Authority has officially launched its Master Plan for the next three decades.

(at present) to 68.8 million tonnes by 2030 and 77.8 million tonnes by 2047.

The 2018-2047 Master Plan was unveiled by Transport and Infrastructure Cabinet Secretary James Macharia at an event in Mombasa on 7 August 2019.

Plans to develop the Dongo Kundu Special Economic Zone were outlined by KPA managing director Dr Daniel Manduku. He said these plans would involve the construction of additional berths at the Port of Mombasa to boost trade.

The 306-page document provides a road map for the Authority as it plans new projects over the next 30 years. It outlines the development strategy for the nation’s major ports, lake ports and small coastal ports as well as for inland container depots.

INVESTMENT Total investment in these new projects is currently estimated to be KES 360 billion (US$ 3.6 billion). Mr Macharia says the Master Plan will enable the management and board of the KPA to undertake significant investments that will position the Port of Mombasa among the world’s leading seaports. According to Mr Macharia, the projects outlined in the Master Plan will boost container handling capacity at the Port of Mombasa from 1.65 million teu (the present-day level) to 3.5 million teu by 2030 and ultimately to 5.9 million teu by 2047. In terms of tonnage, total capacity in the Port of Mombasa is projected to grow from 40.6 million tonnes

KENYA PORTS AUTHORITY HANDBOOK 2020

“We shall also have expansion and modernization of existing infrastructure, specifically the construction of new berths in the westerly direction at the Port of Mombasa,” said Dr Manduku. He said the KPA was also developing a modern oil handling facility by relocating the current Kipevu Oil Terminal to a more suitable location to allow for expansion. (Kenya exported in 2019 its first shipment of crude oil from the Kipevu Terminal). The Port of Lamu, still under construction but close to opening, is projected to grow, with new berths for general cargo, liquid bulk and dry bulk. The first three berths at Lamu will be ready by October 2020. “Ultimately, the Port of Lamu will have a capacity of 76 million tonnes by the year 2047,” said Dr Manduku. Meanwhile, the Port of Mombasa has seen a steady growth in cargo and container traffic over the past 10 years.

Last year, the KPA’s container traffic grew to 1.3 million teu. “By the year 2027 we are looking to handle 2.9 million teu and 5.5 million teu in 2037 and 9.8 million teu in 2047,” said Dr Manduku Similarly, total cargo throughput is projected to increase from 30.92 million tonnes in 2018 to 61.4 million tons in 2027 to 111.3 million in tons in 2037 and 188 million tons in 2047. The inland container depot in Nairobi has recently been revamped and its annual capacity increased to 450,000 containers. “Following the construction and operationalisation of the SGR [Standard Gauge Railway], the use of freight trains has greatly increased traffic to the ICD in Nairobi,” said Dr Manduku. “It is recommended that the facility’s capacity be expanded to handle up to 1 million teu annually.”

PROJECTED The amount of container traffic being carried by the SGR is projected to grow to 732,000 teu in 2022 to 909,000 teu in 2027 to 1.33 million teu in 2037 and to 2.2 million teu in 2047. “Plans are also under way to put up other ICDs proposed to be near major economic and logistics centres and national borders to facilitate trade,” said Dr Manduku.

GROWTH

STRONG CARGO GROWTH IS TRIBUTE TO PORT INVESTMENT T

he Port of Mombasa has continued its positive performance in recent years, with containerised cargo still the main driver of its success. The port, which is served by more than 40 shipping lines with links to over 80 ports worldwide, handled just over 29.8 million tonnes of cargo between July 2018 and May 2019 including 1.26 million teu of containers. The level of container handling in Mombasa was up by 13.1 per cent in that period while overall cargo growth was 6.3 per cent.

STRATEGY This upward trend is a reflection of the Kenya Port Authority’s long-term investment strategy, which has seen the construction of new facilities along with the purchase of modern cargo handling equipment. This has been underpinned by dramatic improvements to other aspects of the port’s operations. Since 2005, in response to growing demand, the KPA has added new berths, refurbished existing berths and rededicated others as well as driving up productivity and investing in new technology. Perhaps the best example of this progress is the port’s

KENYA PORTS AUTHORITY HANDBOOK 2020

second container terminal, opened in 2016. This state-of-the-art facility will enable the KPA to take Mombasa to the next level in terms of container capacity – a key investment, since the authority does not expect to see any slowdown in traffic in the years ahead. By any measure, the growth in cargo traffic across a wide range of commodities has been impressive and continues to be so. Overall, Mombasa handled a total of 30.92 million tonnes in 2018 compared with 30. 34million tonnes the previous year – an increase of 1.9 per cent. A sure sign of success for the Port of Mombasa is the efficient handling of ever-higher levels of containerised cargo. Mombasa has seen an increase in annual container handling figures from just 436,671 teu in 2005 to an impressive 1,303,862 teu in 2018 and to 1,059,879 teu for the first nine months of 2019 with 1,400,000 teus expected for 2020. These comparative figures help to underline Mombasa’s status as one of Africa’s leading container ports. In addition to the new container terminal, Mombasa has benefited from the opening in 2017 of the new Standard Gauge Railway (SGS) to Nairobi and the additional capacity

this has created. The port is now able to use its hinterland rail and road connections and inland container depots to achieve a very much more efficient transport chain. These two projects – the new container terminal and the SGS – show how Kenya in general, and the KPA in particular, are carefully planning ahead and putting in place long-term solutions to the demands of cargo owners. This clearly illustrates the KPA’s commitment to the government’s Vision 2030 development plan. Growth has not been confined to container traffic, however. Dry bulk commodities such as exports of soda ash and imports of grain and cement have grown significantly, too, while a new oil terminal is under construction in the Port of Mombasa to handle the ever-rising levels of liquid bulk traffic.

HINTERLAND In general, the KPA expects future growth in Mombasa to be driven by cargo traffic on its way to and from the port’s vast natural hinterland. By contrast, the level of transhipment traffic has continued to grow and last year the port handled 1.4million tonnes of such in-transit cargo.

PORT CHARTER

HELPING PORT COMMUNITY WORK AS A TEAM T

he Mombasa Port Community Charter aims to improve communications between those involved in the handling and movement of cargo in and out of Mombasa and along a transport corridor stretching from the port to Burundi, Rwanda and Uganda. The Charter was formed in 2013 by a broad range of interests from within the maritime, freight and transport communities. The Kenya Ports Authority played a vital role in forming the Charter and performs the duty of secretariat. Other key public sector signatories include the Kenya Revenue Authority (KRA), the Kenya Railways Corporation (KRC), the Kenya National Highways Authority (KeNHA), the Kenya Trade Network Agency (Kentrade), the Kenya Maritime Authority (KMA), the National Police Service, the Kenya Pipeline Company (KPC), the National Transport and Safety Authority (NTSA), the Kenya Plant Health Inspectorate Service (KEPHIS), the Port Health Service and the Kenya Bureau of Standards (KEBS). These are supported by private-sector organisations such as the Kenya Ships Agents Association (KSAA), the Kenya Private Sector Alliance (KEPSA), the Kenya National Chamber of Commerce & Industry (KNCCI), the Kenya Shippers’ Council (KSC), the Kenya International Freight & Warehousing Association (KIFWA), the Kenya Transporters Association (KTA), the Container Freight Stations Association (CFSA) and the Shippers Council of East Africa (SCEA).

CHARTER’S PRINCIPAL AIMS • To establish a permanent framework of collaboration that binds the port community together to specific actions, collective obligations, targets and timelines

• To complement the individual services charters so as

to address the challenges and improve seamless trade facilitation

• To introduce, educate and publicise to other players and the

public best practice to influence acceptable behaviour by all

• To develop and implement a self-monitoring and evaluation mechanism.

The port community will seek to benchmark itself against other successful operations worldwide. It has set ambitious but achievable long-term goals that include streamlining operations, increasing capacity and changing cargo flows. It is hoped that this will help to dramatically reduce the cost of moving goods across East Africa. Perhaps the Charter’s greatest achievement has been to integrate the disparate systems of all port community members into Kenya’s National Electronic Single Window System.

The Port of Mombasa has been growing rapidly with new infrastructure. The forecast is that Mombasa will be handling 44 million tonnes of cargo per year by 2025. The new Port of Lamu has also come on stream. One of the key aims of the KPA is to ensure that growing levels of traffic do not lead to bottlenecks or strained capacity when it comes to transport links with inland destinations. The Charter brings all players together, leading to closer cooperation between the various organisations and interests.

KENYA PORTS AUTHORITY HANDBOOK 2020

KENYA PORTS AUTHORITY

NEW PORT WILL EXPAND OPERATIONAL ROLE OF KPA

he Kenya Ports Authority (KPA) has sole responsibility for the management and administration of the nation’s ports and harbours. It is a publicly held body established under an Act of Parliament in January 1978. The KPA is also charged with maintaining navigation aids, pilotage, towage, mooring, stevedoring and shoreside handling. Until now these responsibilities were confined largely to the Port of Mombasa and a few small harbours* along the coast, plus two potential port sites at Takaungu and Ngomeni. This situation is set to change with the opening towards the end of 2019 of the first berths of the KPA’s new commercial port at Manda Bay, Lamu.

KENYA PORTS AUTHORITY HANDBOOK 2020

The Port of Mombasa is the gateway to East and Central Africa. It is one of the busiest ports on the East African coast, linked directly to over 80 ports worldwide. The port’s natural hinterland takes in Uganda, Rwanda, Burundi, the eastern Democratic Republic of the Congo, northern Tanzania, South Sudan, Somalia and Ethiopia. The new Lamu port will improve connections to South Sudan and Ethiopia. KPA is planning to move to a landlord status as envisaged under the Port Master Plan. However for now, KPA is still the main operator of the Port and more emphasis has been placed on enhancing the Authority’s own capabilities by raising productivity, eliminating delays and bottlenecks and working closely with port users, both in Kenya and in key neighbouring states. The aim is to speed up transit times to Nairobi and beyond. *Lamu, Malindi, Kilifi, Mtwapa, Kiunga, Shimoni, Funzi and Vanga.

PORT MAPS A109 Momba sa

Road

to Nairobi

A109

Kis

Changamwe oad ort R Airp

A109

Chaani Moi International Airport

Makupa KPA Headquarters

New Second Container Terminal

Shimanzi 14

Kipivu Oil Terminal

10 N

MOMBASA

8 7

Port Reitz

Proposed location of Oil Terminal

4 3

Control Tower

2 1

Moi Aven ue

Makadara Fort Jesus

Proposed location of LNG Terminal Proposed Free Trade Zone (Dongo Kundu)

Kilindini Port

Kizingo

Mkunguni

Shipyards

Mzimle

3 2 1

Likoni Ferry

Dong o Ku

ndu b y-

pass (Und er Co nstru ction )

Likoni

PORT OF MOMBASA Fenced Port Area Proposed Areas

PROPOSED NETWORK

KPA Land 1

Berths

Anchorage Beacons & Buoys

Proposed high capacity standard gauge railway network in Kenya and connections to the region Tarmac Roads

Lamu to Lokichogio

Tarmac Roads

Murram Earth Roads

Mombasa to Malaba/Kisumu

Murram Earth Roads

Railway Line

Nairobi to Moyale

Railway Line

Roads

KENYA PORTS AUTHORITY HANDBOOK 2020

Rongai to Lodwar

Bamburi B8

Cor al R oad

KENYA PORTS AUTHORITY

Nyali Road

sauni

Mo mb asa Bea ch

A F R I C A BAMBARI DOUALA

d Roa

Ny ali Be ac h

Lin

JUBA

BANGUI

YAUNDE

NAIROBI

LAMU MOMBASA

Nyali

The Great Equatorial Land Bridge, Africa

JUBA

to Addis Ababa

SOUTH SUDAN

Lokichogio

Moyale

rkana

Tu Lake

SIBILOI NATIONAL PARK

Lodwar

Gulu

MARSABIT NATIONAL PARK

DEM. REP. OF THE

CONGO

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KENYA

A ke La

to Kisangani

MOUNT ELGON

UGANDA

Kitae

KAMPALA

Eldoret

Malaba Kisumu

Wajir

Archerâ&#x20AC;&#x2122;s Post

Rongai MOUNT KENYA

Garissa

Lake Victoria

NAIROBI

RWANDA

KIGALI Lamu Kipini Ungama Bay

BURUNDI

Watamu

BUJUMBURA

Malindi

Kilifi

anyika Lake Tang

TANZANIA

MOMBASA

INDIAN OCEAN Pemba Island

KENYA MARITIME AUTHORITY

KMA’S KEY ROLE IN MARITIME SAFETY AND TRAINING T

he Kenya Maritime Authority (KMA) is responsible for the regulatory oversight of the local maritime sector. It was established in 2004 as a semi-autonomous agency. The KMA works closely with the Kenya Ports Authority and its offices are located close to the KPA’s own headquarters. Maritime safety and security are among the key functions of the KMA along with maritime training. Its main objectives are:

• Enhancement of regulatory and institutional capacities for safety and security

• Effective implementation of international maritime

conventions and other mandatory instruments on safety and security

• Promotion of maritime training • Coordination of search and rescue • Prevention of marine pollution • Preservation of the marine environment • Facilitation of trade and maritime investments. The Merchant Shipping Act of 2009 enhanced the delivery of services by the KMA in all of these areas. Foreign vessels calling at the Port of Mombasa are inspected by KMA ship surveyors in accordance with the Indian Ocean Memorandum of Understanding on Port State Control, of which Kenya is a member. This ensures that visiting ships comply with safety of life and safe manning regulations, protection of the marine environment regulations and load line regulations.

KENYA PORTS AUTHORITY HANDBOOK 2020

The KMA is also responsible for running the Regional Maritime Rescue Co-ordination Centre, also known as the Mombasa Information Sharing Centre (ICS). Seafarers are able to use this facility to call for help in the event of distress at sea. The ICS covers a large area comprising Tanzania, Seychelles and Somalia and also responds to piracy alerts and requests for information or assistance.

MARITIME TRAINING The KMA has led the way in promoting local maritime training and education. Kenya has International Maritime Organization White List status, which means its maritime education system is up to international standards. This much-prized status opens the way for Kenyan seafarers to compete for jobs on foreign-flagged vessels. As the pacesetter of Kenya’s maritime industry and in line with the IMO’s ongoing effort to encourage young people to seek a career at sea, the KMA has been actively supporting cadet recruitment among young women as well as young men. As the pacesetter of Kenya’s maritime industry and in line with the IMO’s ongoing effort to encourage young people to seek a career at sea, the KMA has been actively supporting cadet recruitment among young women as well as young men. The organisation also gives its full backing to IMO programmes aimed at the integration of women in the maritime sector as part of an overall campaign to promote gender equality and empowerment of women in the maritime sector. In this context, the KMA hosts the Association of Women in the Maritime Sector in East & Southern Africa (WOMESA), whose aim is to promote the role of women in the maritime sector. By regulating and overseeing the orderly development of merchant shipping and related services, the KMA aims to make a positive impact on trade facilitation and on the promotion of maritime investments in Kenya.

CAPACITY

MOMBASA TARGETS CAPACITY AND EFFICIENCY K

30.92 million tonnes of cargo in 2018 of which 9.605 million tonnes was freight moving to and from the transit market.

Aware of the need to cope with the significant traffic growth arising from this economic expansion, the Kenya Ports Authority has taken steps to ensure it has the required additional capacity to handle future cargo flows.

The port has also worked hard to reduce both vessel waiting and container dwell times within the area administered by the KPA. The port authority has boosted the overall efficiency of Mombasa as well as providing fresh capacity. This increase in capacity also extends to inland transport.

enya has enjoyed a period of sustained economic growth over the past decade as a result of significant political, structural and economic reforms.

In the Port of Mombasa there has been an almost continuous expansion of capacity since 2005 and the KPA has aimed to boost the port’s handling efficiency, improve storage and ease documentation burdens. As part of a planned development programme, Mombasa has added new berths, dredged access channels and facilitated the growth of off-terminal storage capacity.

CAPACITY BOOST In early 2016 Mombasa increased its container handling capability by 50 per cent with the opening of a second container terminal, 900 metres in length with three berths. Once phased construction is complete in the coming years, this new terminal will eventually boost the port’s throughput capacity by about 1.5 million teu.

The opening of the new Standard Gauge Railway from Mombasa to Nairobi – with a further extension on the way – has greatly improved transport links between Mombasa and upcountry destinations both within and beyond the borders of Kenya. This has been a key step in dealing with the challenge of additional freight flows. In addition to containers, other types of cargo have continued to grow in volume. They include imports such as cereals, petroleum products and vehicles as well as traditional exports such as tea, coffee and soda ash. A new oil terminal is under construction to deal with the increase in imports of petroleum products.

Previously, Mombasa’s container capacity was expanded by opening a new berth in the existing port area and introducing new handling equipment. For example, 250 metres of new berthing was completed at Berth 19 in 2013, providing an extra 250,000 teu of annual capacity. The original container terminal covered Berths 16 to 18. Container traffic has been growing steadily year on year. In 2018 this represented a 9.6 per cent increase over the previous 12 months. Taking all cargoes in to account, the overall growth rate was 1.9 per cent. Mombasa handled

KENYA PORTS AUTHORITY HANDBOOK 2020

CONTAINERS

MOMBASA EXPANDS CONTAINER HANDLING CAPACITY

ontainer handling is the foremost activity in the Port of Mombasa and container throughput has been growing steadily in recent years. Container operations in Mombasa involve the discharging and loading of vessels, the stacking and unstacking of containers in the yard and the delivery and receipt of import and export containers. The Port of Mombasa handled 1,303,862 teu in 2018 compared with 1,189,957 teu in 2017. The port’s annual container handling capacity has grown from 1.1 million to 1.65 million teu.

KENYA PORTS AUTHORITY HANDBOOK 2020

TWO CONTAINER TERMINALS The Port of Mombasa has two container terminals: the original Mombasa Container Terminal and the new Kipevu Container Terminal, with an annual capacity of 1.65 million teu.

MOMBASA CONTAINER TERMINAL The Mombasa Container Terminal spans Berths 16 to 19 and has a capacity of 1.1 million teu. The terminal is equipped with seven ship-to-shore (STS) gantry cranes of 40 tonnes capacity and 22 rubber tyred gantry (RTG) cranes.

CONTAINERS

Containers are also handled at Berths 12 to 14 using ship’s own gear and mobile harbour cranes.

NON-STOP OPERATIONS

The container yard has a total of 197,000 square metres of stacking space.

The Container Operations Department is active 24 hours a day throughout the week. There is a Terminal Operations System (TOS) in place to ensure quick and effective handling of cargo and timely processing of documentation.

KIPEVU CONTAINER TERMINAL The new Kipevu Container Terminal, which entered service in April 2016, is located on the west side of Kipevu Oil Terminal. This terminal is being developed in a phased project, with Phase 1 having been completed in March 2016. Phase 2 is currently under construction and is expected to be completed in 2022. The terminal now has a berth with 15.0 metres depth alongside, allowing it to receive vessels of more than 6,000 teu capacity. The project involves reclamation of land from the sea to create a terminal with three main berths with a fourth small one, offering depths alongside of up to 15.0 metres. When all three phases are complete, the Kipevu Container Terminal will have an annual handling capacity of 1.5 million teu. It will cover a total area of 100 hectares with 900 metres of quay and six ship-to-shore gantry cranes. This final phase will involve dredging work along with the creation of additional stacking yards and the provision of equipment.

The container terminal staff are mostly housed in the One Stop Centre together with all government agencies involved in the delivery and receipt process of containers. These government agencies are:

• Kenya Revenue Authority • Rwanda Revenue Authority • Uganda Revenue Authority • Tanzania Revenue Authority • Burundi Revenue Authority • Kenya Bureau of Standards • KEPHIS (Kenya Plant Health Inspectorate Service). The following cargo conveners, not stationed at the One Stop Centre, have access to TOS through a web portal for monitoring cargo in exercising their mandate.

• KWS (Kenya Wildlife Service) • Rift Valley Railways • Container freight station (CFS) operators in Mombasa. The One Stop Centre acts as a central clearing-house for the delivery of cargo to consignees.

The terminal currently has two berths: Berth 20, with a length of 210 metres and a depth alongside of 10 metres, suitable for panamax vessels; Berth 21, with a length of 350 metres and a depth of 15.0 metres, for post panamax vessels. The terminal has a total yard capacity of 4,135 ground slots.

Handling equipment at Kipevu includes 78 terminal tractors, 30 lowbed trailers, 128 skeletal trailers and 15 goosenecks. Items of equipment from Mombasa Container Terminal are also available for use at Kipevu.

KENYA PORTS AUTHORITY HANDBOOK 2020

Druid007 | Shutterstock.com

Phase 2 has involved the construction of Berth 22 with a length of 250 metres and a depth of 15.0 metres. Phase 3 will see the construction of Berth 23, with a length of 300 metres and a depth of 15.0 metres.

OPERATORS

PRIVATE OPERATORS’ KEY ROLE IN CARGO HANDLING P

rivate-sector facilities play a significant role in cargo handling in the Port of Mombasa.

While the Kenya Ports Authority (KPA) has overall control of the berths in Mombasa, there are various private-sector interests operating in the port. Another key player is the United Nations International Children’s Emergency Fund (Unicef). One of the largest of these operators, in volume terms, is Grain Bulk Handlers Ltd (GBHL), which exclusively handles imports of cereals for merchants in Kenya and neighbouring states. GBHL has a modern terminal at Berth 3 and dedicated storage facilities, with 85,500 tonnes of capacity in transit silos and a flat-storage shed and a further 55,000 tonnes of long-term bulk storage. Tata Chemicals Magadi (formerly Magadi Soda) deals with exports of soda ash from Mombasa. The soda ash is transported in dedicated hopper wagons from Lake Magadi to the terminal (Berth 9) in Mombasa, where it is bagged in 50 kg or 1 tonne bags or is shipped in bulk form. VTTI (Kenya) operates a jetty for gasoil and diesel products along with 111,000 cubic metres of storage capacity. It is the only privately owned terminal to link Mombasa directly with the state-owned Kenya Pipeline Kenya Pipeline Company. The pipeline takes product from Mombasa to Nairobi and then on to Nakuru, Eldoret and Kisumu and ultimately provides access to markets in Uganda and other landlocked countries further west. Unicef, too, has its own dedicated regional storage sheds in the Port of Mombasa. They allow the agency to deal quickly with ongoing and emergency situations in East Africa. The sheds are used to store grain and also ready-to-use therapeutic food of the Plumpy’Nut variety.

KENYA PORTS AUTHORITY HANDBOOK 2020

EQUIPMENT

KPA INVESTS IN CONTAINER HANDLING EQUIPMENT T

he Kenya Ports Authority has invested heavily to provide the Port of Mombasa – and the new Port of Lamu – with the latest cargo handling equipment. Much of this new equipment has been installed at the new Kipevu Container Terminal in Mombasa.

GANTRY CRANES In its first phase, the new container terminal is operating with two Mitsuibuilt ship-to-shore gantry cranes with a span of 30.4 metres and four Mitsui-built rubber tyred gantry (RTG) cranes. A further four RTGs are on order. Toyota Tsusho Corporation and Mitsui Engineering & Shipbuilding Co won the contract to supply gantry cranes at the new terminal.

Mombasa’s original container terminal (Berths 16-19) is served by seven 40-tonne capacity ship-to-shore gantry cranes and supported by a fleet of RTGs.

installation of three new Liebherr gantry cranes. These units were all assembled at the Comarco Supply Base in the Port of Mombasa. The last of the trio was placed in position in May 2016.

VERSATILE

Back in 2014 the KPA took delivery of 12 Kalmar E-One2 hybrid RTGs for use at Berth 19 in an investment worth EUR 17 million.

Supplementing the rail-mounted gantry cranes are two versatile Gottwald HMK 170 E mobile harbour cranes, delivered in 2012.

The conversion of Berth 19 – previously a multi-use berth – into a dedicated container facility saw the

In addition to shore-side handling, KPA has made similar investments in tugs and pilot boats.

KENYA PORTS AUTHORITY HANDBOOK 2020

Druid007 | Shutterstock.com

More container handling equipment will be purchased in the second and third phases of the project.

CFS

OFF-DOCK CFS UNITS KEEP TRAFFIC FLOWING T

he free flow of container traffic in Mombasa is greatly assisted by the strategic location of its container freight stations. These privately operated CFS facilities provide storage, stripping, cargo inspection and reloading services. They are located off-dock, well away from the portâ&#x20AC;&#x2122;s two busy container terminals. The off-dock CFS units were introduced in 2007 and have proved their worth. Previously, freight station activities were carried out within the port area, thus adding to terminal and yard congestion and hindering the flow of containers. Mombasaâ&#x20AC;&#x2122;s CFS facilities are, in effect, bonded extensions of the area administered by Kenya Ports Authority. They allow containers to be removed from inside the port for processing before being delivered to their final destination.

CHANGAMWE There is now an array of some 20 CFS units located near the Port of Mombasa. They are mostly in the mainland area of Changamwe, with ready access to the main A109 Mombasa to Nairobi highway. The CFS units tend to handle mainly domestic cargo, although one unit deals with cargo in transit to Uganda. Inbound containers are discharged from vessels and taken quickly by truck or tractor to the designated CFS. Each container can then be cleared for oncarriage to final destination or, in the case of LCL containers, stripped into a warehouse for customer collection or groupage. Each CFS is a self-administered area containing government agencies such as customs, police, sanitary inspectors, the Kenya Revenue Authority and the Kenya Bureau of Standards. As well as containers, these freight stations deal with new and used cars and out-of-gauge cargoes such as machinery. Most of the CFS units operate 24 hours a day and all must comply with strict KPA tariffs and regulations.

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LEADING CONTAINER FREIGHT STATIONS • Mombasa Container Terminal (MCT), wholly owned by

Bolloré Africa Logistics, is located at Port Reitz, off the Airport Road, in Changamwe, 3.5 km from the Port of Mombasa. It has a container stacking area of over 33,000 square metres plus 1,785 square metres of bonded warehousing. There is also a dedicated area for customs X-ray scanners. MCT has a large transport fleet with HF communications and ample cargo handling equipment. As an ISO 9001:2000 certified organisation, MCT offers a guaranteed quality of service.

• Compact Freight System provides a modern, secure and efficient transhipment facility with a CFS, a customsbonded warehouse and a vehicle storage yard. As well as core CFS services, the company provides storage services for containers, bulk cargo and loose cargo.

• Awanad Enterprises is located at Mikindani, on the

Mombasa to Nairobi road. The Awanad CFS is about 6 km from Mombasa Port and provides 15,000 square metres of open storage for containers and vehicles as well as over 920 square metres of warehousing for stripping operations. As well as standard containerised cargo, the freight station handles refrigerated containers with capacity for 1,000 units, bulk cargo and groupage and has extensive warehousing for bulk cargo. Awanad is ISO 9001:2008 certified.

• Focus CFS, just 500 metres from the port gates, has 13.5

acres of hardstanding for 3,000 cars and 5,000 teu simultaneously. There is also just over 1,000 square metres of warehousing for container stripping and repacking operations. The modern yard is equipped with four reach stackers as well as fork-lift trucks. As an added benefit to customers, Focus has extended its free dwell time from five to 10 days.

• Mitchell Cotts CFS is a modern inland container depot

at Kibarani on the Mombasa Road between Changamwe roundabout and Mombasa Island and just 500 metres from Gate B. The depot has 23,225 square metres of open

yard and nearly 14,000 square metres of warehousing and provides efficient offloading, clearing and delivery of cargo from a secure site.

• Portside Freight Terminals operates a well-equipped CFS

of 10 acres at Shimanzi, just 1 km from the port gate. It has 8,360 square metres of warehousing. In addition, Portside operates a 15,330 square metre transit shed inside Kilindini Port. An on-site customs station makes the legal aspects of import and export easier and faster, with goods being secured and stored under customs control at the bonded warehouse. Portside Freight Terminals offers a ‘one stop’ service in a convenient location with top quality service. The whole facility is protected by Kenyan Customs-approved fencing; both the interior and exterior are fully alarmed, with CCTV monitoring of the entrances and interior.

GRAIN HANDLING

NEW FACILITIES ON WAY AT GRAIN TERMINAL he Port of Mombasa’s only dry bulk discharge terminal is owned and operated by Grain Bulk Handlers Ltd (GBHL). The facility is located in the Shimanzi area of the port and is linked by overhead conveyor to Berth 3. The grain handling facility was completed in 2000 at a cost of US$ 35 million. It consists of a bulk transit terminal, a bulk storage terminal, warehousing for bagged cargo and local transport operations. Two Bühler Portalino ship unloaders with a combined capacity of 600 tonnes per hour are used for the main vessel handling aspect of GBHL’s operations. There are two fixed-belt conveyors linking the berth to the transit silo complex as well as two automatic scales to record the weight of discharged cargo, a 50 tonne mobile crane for general lifting and seven Bobcat utility vehicles for trimming the hold as the vessels discharge their cargo. The bulk transit terminal has 24 silos with a total storage capacity of 67,500 tonnes; a flat-store shed of 18,000 tonnes capacity; two bagging sheds with four bagging plants each with a combined capacity of 400 tonnes per hour; two calibrated bulk delivery hoppers for road and rail traffic; a 140 tonne rail weighbridge; two road weighbridges and two standby generators covering full terminal operations, both discharge and delivery.

LONG TERM The bulk storage terminal has 14 long-term storage silos with a total capacity of 55,000 tonnes; a bagging shed with four bagging lines with a combined capacity of 200 tonnes per hour; a calibrated bulk delivery hopper for road traffic; and road weighbridges. There is ample off-road parking for customers’ trucks.

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GBHL plans to increase bulk storage capacity by 50,000 tonnes. There will also be a new bagging shed and a further four bagging lines, a calibrated bulk delivery hopper for road and rail traffic and another 140 tonne capacity rail weighbridge. In addition, the company has a total of 75,000 tonnes of bagged warehousing capacity at various locations together with 15 trucks and trailers for moving this bagged cargo. The terminal is recognised by Kenya Revenue Authority as a designated customs area with permission to receive un-entered cargo.

TRANSIT Using road and rail transport and in conjunction with the Kenya Ports Authority, the terminal provides transit and transhipment services for the immediate hinterland. The key location of the Port of Mombasa is well recognised by customers of GBHL. They include millers, traders and non-governmental organisations in East and Central Africa including the Great Lakes region, South Sudan and Somalia. By virtue of its strategic position and its large storage capacity, GBHL is well able to respond rapidly to regional food emergencies. GBHL complies with ISO 9001:2000 quality management standards and with the ISPS Code and is also a member of the International Association of Ports & Harbors (IAPH). The company employs about 175 full-time personnel and contracts up to 750 additional workers on a daily basis.

Image courtesy of Grain Bulk Handlers Ltd

TRANSIT OFFICES

TRANSIT MARKET LIAISON OFFICES T

he Port of Mombasa is the main gateway for cargoes in transit to and from a vast hinterland that embraces Kenya, Uganda, Rwanda, Burundi, the Democratic Republic of Congo, northern Tanzania, South Sudan and southern Ethiopia. Mombasa is connected with the wider region by way of the Northern Corridor rail and road network.

Transit cargo owners can now be sure of a personalised, real-time and immediate response to queries and requests in relation to cargo services within their home country without the need to travel all the way to Mombasa â&#x20AC;&#x201C; thus greatly reducing the time and cost of doing business.

Jennifer Sophie / Shutterstock.com

The transit market is a vital and much valued customer sector for the KPA. As part of its marketing strategy, the Authority has established liaison offices regionally in Kampala, Kigali and Bujumbura in order to bring its seaport services closer to the clients.

WHERE TO FIND KPA LIAISON OFFICES UGANDA: Crested Towers (Short Tower), 5th Floor, Kampala RWANDA: Grand Pension Plaza, 6th Floor, Kigali BURUNDI: Ultimate Tower, 6th Floor, Bujumbura.

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SECURITY

PORT SECURITY GETS TOP PRIORITY container terminals, the car handling area and the container freight station

• Barriers and speed bumps at port gates to deter entry and ensure proper checks by security staff

• A ‘ramp tally’ of imported cars. Each

car must be inspected and docketed at the ship’s ramp before being handed over to the KPA. This allows staff to determine responsibility in the event of damage or vandalism

• An updated and strengthened port facility security plan has been applied to Mombasa and Lamu in compliance with the ISPS Code

• All ships calling Mombasa and Lamu

he security of people and goods moving through Mombasa and other Kenyan ports is a matter of highest priority for the Kenya Ports Authority. In recent years, the KPA has taken steps to increase the level of security checks and supervision in all sectors. In addition to cargo security, there is a major focus on the safety and security of everyone visiting KPA ports and using their facilities. These measures are in compliance with the security rules of the International Maritime Organization. Safety and security measures at the Port of Mombasa include:

• Electronic surveillance using closed circuit TV and other equipment as advised by international consultants

KENYA PORTS AUTHORITY HANDBOOK 2020

• Coastguard surveillance of waters in the port area • A modern search and rescue centre,

set up jointly with the IMO to supplement maritime surveillance

• Plain-clothes and uniformed secu-

rity officers on patrol in and around port areas

• Strict controls on port entry for all

port users, with visitors required to display security passes at all times

• Restricted entry to the container

terminals and other key sections of the port

• A rapid response team to deal with urgent security matters in or near the port

• Centralised verification areas at the

must submit their detailed pre-arrival information to the harbour master or the port security officer 24 hours before arrival.

• On arrival, the ship is boarded by a

port security officer to verify the pre-arrival information. The ship security officer (SSO) or the master then completes the ISPS Code interface checklist.

• A declaration of security form is

filled in and signed by the SSO or the master and the facility boarding port security officer which is needed for the period the ship will be at the facility.

PORT APPROACHES • Vessel to notify Kenya Navy on VHF

Channel 16 when entering Kenyan territorial waters or at least 20 miles from the port entrance.

â&#x20AC;˘ Vessel to notify Ras Serani Signal

EXCLUSION ZONE

ARMED PATROLS

â&#x20AC;˘ Kenya Navy patrol boat to be on

A 50 metre exclusion zone at Berths 1 and 2 and on the waterfront, enforced by police boat patrols.

At least four armed police officers and three undercover detectives to patrol the ship on the berth every 24 hours.

KPA divers on standby to carry out bottom search if necessary. No small boat, barge or vessel to be allowed alongside or near the ship without permission from the berthing manager.

GATE PATROLS

Station on VHF Channel 12 or 16 when 20 miles from entrance. standby and listening on VHF Channels 12 and 16.

Screening and searching of all persons at the port entry and exit points.

PERFORMANCE

CARGO TRAFFIC CONTINUES TO GROW FOR MOMBASA T

TEA EXPORTS

In the year 2018, the Port registered throughput of 30.923 million tonnes of cargo up from 30.345million tonnes registered in 2017. This is an overall growth of 1.9 percent.

CONTAINER TRAFFIC

he Port of Mombasa has seen a significant growth in cargo throughput recently as a result of higher efficiency and greater capacity along with a strong demand for cargo handling services.

In terms of container traffic, the Port handled 1.303million teus in 2018 up from 1.189 million TEUs in 2017. This represented an increase of 113,905 TEUs or 9.6 percent growth. This year, already signs are beginning to show an even bigger increase. During the first nine months of the year, January â&#x20AC;&#x201C; September 2019, the port realized a growth of 2,090,024 tonnes or 8.9 %, recording 25,447,872 tonnes against 23,357,848 tonnes handled in the same period in 2018. This growth in total volumes is contributed by increases in most of the cargo categories including containerised cargo, conventional cargo and liquid bulk, which improved by 24.3%, 5.6% and 8.3% respectively.

The tea commodity market has generally experienced an upsurge from last year to date with exports recording volume increases of 171,692 tonnes or 86.1%.

During the period of January-September 2019, container traffic registered 1,059,879 TEUs compared to the same period in 2018 when the port handled 957,568 TEUs. This translates to an increase of 102,311 TEUs or 10.7%

TRANSIT TRAFFIC During the period of January -September 2019, total transit cargo recorded 7,322,291 tonnes against 7,325,107 tonnes registered in the same period in 2018, representing a marginal volume decline of 2,816 tonnes or 0.04%. The performance is mainly attributed to the sharp decline in clinker importation for Uganda during the month of September.

TRANSHIPMENT TRAFFIC During the January to September period, the port handled 1,873,772 tonnes of transshipment traffic compared to 791,257 tonnes recorded in the corresponding period in 2018. Consequently, the segment increased its market share from 3.4% recorded in the period of January â&#x20AC;&#x201C; September 2018 to 7.4% in the corresponding period in 2019.

KENYA PORTS AUTHORITY HANDBOOK 2020

ICT

PAPERLESS SYSTEM IS KEY TO EFFICIENCY IN KENYA’S PORTS I

n common with other major port operators around the world, the Kenya Ports Authority has made effective use of information and communications technology (ICT) in recent years to boost the efficiency of its operations. Today, the process of transforming the KPA and its principal port into a paperless e-system is complete. In addition to the Port of Mombasa, the same technology will be applied to operations at the fledgling Port of Lamu. The introduction of modern ICT technology has been the key extra ingredient in the KPA’s ongoing investment in new hardware and additional facilities. In common with other port operations, it’s the quality of the software that makes all the difference. Full automation has been applied to containers, conventional cargo and marine operations using the Kilindini Waterfront Automated Terminal Operations System (KWATOS). This auto-mated system also covers the inland container depot in Nairobi. The KWATOS system was installed by the KPA back in 2008.

UPGRADED Both the physical and functional aspects of the systems have been upgraded in recent years (from 2010 to 2013). In particular, a functional upgrade of the SAP software system was carried out, with new modules for a general ledger, financial supply chain management, employee and manager self-service and supplier relationship management.

KENYA PORTS AUTHORITY HANDBOOK 2020

Members of the KPA staff have been fully integrated into the modern ICT system. All workers have access to terminals throughout the port. They are able to obtain information and check their payslips online as well as making leave requests.

access for all external trade-related services. Importers have to submit only one manifest online and, as a result, clearance can be obtained very quickly.

The Kenya National Electronic Single Window (KNESW) system has been installed by the Kenya Trade Network Agency (KenTrade). Based on the Singapore single window system, KNESW is part of the Kenya Vision 2030 initiative to facilitate trade, customs clearance and competitiveness and to reduce the cost of trade in order to boost the economy.

Eliminating the old inefficiencies from the clearance process has dramatically reduced the cost of cargo handling thanks to the reduction in delays. These cost savings are passed on to the importer or exporter, helping to boost trade throughout the country.

Introduction of the single window system has boosted efficiency across the port and beyond. It provides Kenya’s trading community and stakeholders with a single point of

CLEARANCE

An important aspect of the ICT update has been to unite the many stakeholders in the pursuit of a single goal to the benefit of every stakeholder and cargo handler in Kenya. It marks the beginning of a new growth in trade within the country.

OIL TERMINAL

NEW OIL TERMINAL SET TO BOOST IMPORT CAPACITY A

new oil terminal is under construction in the Port of Mombasa to deal with growing volumes of imported petroleum products. The new Kipevu Oil Terminal is expected to enter service in 2022 and will replace the existing facilities at Shimanzi and the old Kipevu Oil Terminal. The China Communications Construction Company (CCCC) has been contracted to build the US$ 400 million terminal in an agreement with the Kenyan government. The project involves decommissioning the existing Kipevu terminal and installing a new offshore jetty near Dongo Kundu. The replacement terminal will be connected by subsea and land-based pipelines to the bulk storage facilities at Kipevu. The new facility will be a four-berth island terminal, capable of loading and discharging five different hydrocarbon products: crude oil, heavy fuel oil and three types of white oil product (DPK aviation fuel, AGO diesel and PMS petrol).

EXISTING The existing terminal at Kipevu can handle only one vessel of up to 35,000 tonnes at a time. Kipevu currently handles about 90 per cent of oil imported to Kenya and petroleum products being transported to neighbouring countries as well as the nationâ&#x20AC;&#x2122;s first-ever crude oil exports. The new terminal is designed to accommodate four tankers of up to 100,000 dwt. Its discharge capacity will be 10 times greater than the existing facility. It will be able to store up to 400,000 tonnes of products compared with 35,000 tonnes at present. Facilities at the new terminal will include a pipeline for liquefied petroleum gas (LPG).

KENYA PORTS AUTHORITY HANDBOOK 2020

RAIL AND ROAD

BETTER-THAN-EVER HINTERLAND LINKS BY ROAD AND RAIL T

ransit times for cargo moving through the Port of Mombasa have improved dramatically as a result of major infrastructure projects in Kenya and across East Africa. The jewel in the crown of these projects in the new 472 km Standard Gauge Railway (SGR) from Mombasa to Nairobi, begun in October 2013 and completed in early 2017. The first fare-paying passengers boarded the ‘Madaraka Express’ on 1 June 2017 (Independence Day) while commercial freight services commenced in January 2018. By November 2018 the SGR was operating 30 freight trains and four passenger trains per day. Passenger travel time between Mombasa and Nairobi has been effectively halved, from over 10 hours to about five hours. It is hoped that the rail line will be complemented by an equally impressive and greatly expanded highway between the port and the nation’s capital. Mombasa has always played a vital role in East Africa’s transport chain as a result of the freight corridor that connects Mombasa with as many as seven East African states.

KENYA PORTS AUTHORITY HANDBOOK 2020

In the past, this freight corridor was subject to bottlenecks that hampered the free flow of imports and exports. The original narrow-gauge railway between Mombasa, Nairobi and Kampala, opened in 1901, was unable to cope with present-day traffic requirements and in the recent past only a small percentage of freight was going by rail to and from Mombasa. By contrast, the new SGR, which generally runs parallel to the old line, has already had a dramatic impact on traffic figures. The SGR between Mombasa, Nairobi and Naivasha has been built by the China Road & Bridge Corporation (CRBC) at a cost of around US$ 5.2 billion, mostly funded by loans from the Chinese government.

EXTENDED The SGR has been extended beyond Nairobi in further phases of the project. Phase 2, the 120 km stretch from Nairobi to Naivasha, is complete. In Phase 3 the line will be further extended to Kisumu and onwards to the Ugandan border town of Malaba. But the line from Nairobi is not the only major rail project on the horizon. The Chinese also plan to construct another line from the new Port of Lamu, now

under construction, to Lokichogio. It is hoped that this line will eventually be extended to Juba in South Sudan. The main Mombasa-Nairobi highway has already been improved. More work is in progress to relieve congestion at certain key points, especially in the Changamwe area close to the port. This road handles about 50 per cent all goods traded in East Africa.

UPGRADED Eventually, the highway will be upgraded from two to six lanes – and even 12 in some places – along its entire 485 km length. Closer to Mombasa, work has commenced on the Dongo Kundu bypass that will link the south coast of Kenya with the Port of Mombasa and the main Mombasa to Nairobi Highway. It will also provide a new link to Tanga in northern Tanzania. Beyond Nairobi, various road improvement schemes are planned or under way in order to provide faster links to Kigali, Kampala, Juba and even Addis Ababa. It is estimated that around 13,000 km of roads are being built across East Africa. Total size of the road network is put at 160,000 km, of which only 14,000 km is currently surfaced.

CORPORATE SOCIAL RESPONSIBILITY

KPA GIVES BACK TO LOCAL COMMUNITY T

he Kenya Ports Authority has brought widespread benefits to people living in the Coast Province through its Corporate Social Responsibility (CSR) programme.

Other recent projects include the Gede Dispensary in Malindi; and a 40-bed-capacity girls’ dormitory at Pwani School for the Deaf in Kilifi.

It’s a way of giving back to the local communities and recognising the key role they play in supporting and contributing to the success of the KPA’s operations.

One aspect of the CSR programme that has enhanced the daily life of hundreds of people in Mombasa has been the rehabilitation of the historical Uhuru Gardens in the city centre. The programme also pays for year-round maintenance of the gardens, thus providing a place where people can relax and enjoy the natural environment.

These benefits have included not only relief and hardship funding but also physical construction projects. The KPA allocates one per cent of its profits – typically about KES 30 million each year – to needy causes. The main beneficiaries are the education sector and health projects, which receive about 65 per cent of the CSR funding, while the remaining 35 per cent is earmarked for charities, disaster and relief funds and other worthy causes.

EDUCATION In terms of education spending, the KPA has allocated funds to infrastructure projects such as new school buildings as well as books, computers and other key items. Recent projects include a dining hall for Kibarani School for the Deaf in Kilifi County; a girls’ dormitory for the same school; and a classroom block for Mokowe Arid Special School in Lamu County. The funding programme also includes health care clinics and dispensaries. Since the programme began, the KPA has helped with the construction or expansion of over a dozen primary and secondary schools as well as building four dispensaries.

STRONGER TIES Through its Corporate Social Responsibility programme, the KPA aims to create and maintain a strong bond with the community and its stakeholders. Each financial year, a committee appointed by the KPA’s managing director considers the applications received. Once a scheme has been successfully proposed, the KPA will oversee the project through each stage until it is finally handed over to the community.

The CSR programme has benefited communities as far apart as Faza in Lamu County and Mwaluphamba on the south coast.

KENYA PORTS AUTHORITY HANDBOOK 2020

CRUISE

NEW DEDICATED CRUISE TERMINAL WILL BOOST TOURISM C

ruise tourism has been growing steadily in recent years, with East Africa a popular destination for calls on Indian Ocean itineraries.

Mombasa has previously been voted Africa’s best cruise port by World Travel Awards – a welcome vote of confidence in the destination from the international tourism industry.

As a unique destination with its own set of colourful attractions, Mombasa is very much at the heart of this increasingly popular cruise area.

For those stepping ashore from cruise ships, Mombasa offers a variety of attractions in the near vicinity. They include the city itself, with its historical buildings and intriguing Arab quarter, as well as some of Africa’s top beaches: Nyali, Bamburi and, to the south, Diani. The city’s Bombolulu Workshops and Cultural Centre and the mustvisit Haller Park nature reserve (in Bamburi) are equally popular with passengers.

The Kenya Ports Authority has made a significant effort to pursue this market segment because of the many affluent visitors it brings to Mombasa in the course of shore excursions. Accordingly, it has invested in a new dedicated cruise passenger terminal in the Port of Mombasa, and was completed in December 2019. The new terminal is located at Berths 1 and 2. In the past, these two berths have received cruise ships, but have also been used for cargo and other maritime traffic. With the completion of the new terminal, the two berths will be dedicated to cruise calls. The berths have a depth alongside of 11.0 metres. The KPA has invested KES 250 million in this project, with a further KES 100 million being provided by Trade Mark East Africa. Work on the new terminal began in December 2016. It involved modernising an old building at Berth 1. The new airport-style terminal will provide cruise passengers with a welcoming first glimpse of Mombasa. It features passenger arrival and departure areas together with a passenger lounge, an immigration office, reception counters for cruise operators, restaurants and souvenir shops.

KENYA PORTS AUTHORITY HANDBOOK 2020

WILDLIFE There is also an opportunity to visit prestigious wildlife areas such as the Tsavo East and Tsavo West national parks and even Shimba Hills, with its famous sable antelopes, as well as Mwalughanje Elephant Sanctuary. Tsavo is only two hours by road from Mombasa – or a very short flight by chartered light aircraft from the city’s Moi International Airport. In fact, Mombasa is probably the best port in Africa in which to combine a cruise call with a day-long safari. The two Tsavo parks cover nearly 22,000 hectares. This is one of the largest conservation areas in Africa, justly renowned for its impressively high elephant populations and range of other plains game. Kenya Ports Authority is a member of the Cruise Indian Ocean Association (CIOA) and appears regularly at international cruise industry events.

PASSENGER NUMBERS The number of cruise ship passengers set to visit the Port of Mombasa is expected to grow. Kenya has benefited from Indian Ocean cruise itineraries with calls on the African mainland. Most passengers opt for short safaris and excursions and this is good news for Kenyaâ&#x20AC;&#x2122;s tourism sector, especially on the coast.

EXPERIENCED STAFF A cruise call is only as good as the people whose job it is to ensure that each visit is highly personalised, safe and well organised. Many local destination management companies (DMCs) have dedicated cruise divisions, with experienced staff who can arrange tailored shore excursions in Mombasa. These Mombasa-based DMCs want cruise passengers to get the most out of their visit to the Kenyan gateway â&#x20AC;&#x201C; one of the key reasons why Mombasa has earned the praise of the international travel industry.

DONGO KUNDU

GREENFIELD SITE EARMARKED FOR NEW PORT AREA A

3,000 acre greenfield site to the south of Mombasa has been earmarked for a new port area together with a Special Economic Zone (SEZ) offering free trade and industrial facilities. The chosen site is Dongo Kundu, a largely uninhabited area located across Port Reitz Bay, well away from the existing island city of Mombasa.

such as agro-processing and furniture making. These labour-intensive industries are expected to create thousands of jobs. Once built, the first-phase port facilities will consist of a container yard, a container freight station, gantry cranes and other cargo handling equipment. Construction of the second berth is expected to commence in mid-2022.

Development plans include the Dongo Kundu Free Trade Zone (FTZ), with space for about 10,000 businesses, along with the Dongo Kundu Industrial Area and various smaller specialist zones. The aim is to create an economic engine and production hub for the coast region.

INFRASTRUCTURE

The SEZ will also provide a bonded area next to the Port so that imported goods can be exempted from duty. Resident businesses will benefit from relaxed regulations and exemption from many taxes. This will also allow importers of raw materials and those producing goods in the SEZ and then exporting them through the Port to trade at internationally competitive prices thanks to reduced handling time and cost.

Other planned zones include an enterprise area, a zone for MICE-based tourism, a residential area and a utility area for an electricity substation and other basic utilities. These will be developed in phases. The SEZ should be fully operational by 2030.

Sectors thought likely to be attracted to the SEZ include steel mills, machine and motor vehicle assembly, pharmaceutical industries, mineral processing and light industries

The project’s basic infrastructure is expected to take three years to complete, including construction of the berth and the creation the FTZ.

The SEZ will be served by a new road network. China Civil Engineering Construction Corporation won the contract for the new road, which is being built in three phases at a cost of about US$ 250 million. The project is funded by the Japan International Cooperation Agency (JICA). Meanwhile, construction work has begun on the new Dongo Kundu Bypass, which will allow traffic to avoid both congested Mombasa and the busy Likoni ferry. This new 19.85 km link road will greatly improve road links with Kenya’s south coast area and with northern Tanzania via the existing A14 (the Malindi to Bagamoyo highway). Mombasa is about 440 km from Bagamoyo. The bypass is also connected to the 5.7 km Kipevu Link Road, providing road access to Mombasa’s second container terminal.

KENYA PORTS AUTHORITY HANDBOOK 2020

Luvin Yash / Shutterstock.com

GREEN PORT

MOMBASA PURSUES GREEN PORT POLICY green agenda is in place at the Port of Mombasa with the aim of tackling the environmental challenges that have beset the port and its staff over many years. The Kenya Ports Authority is involved in an ongoing programme to bring Mombasa into line with international environmental standards, regulations and emerging commercial trends. The US$ 36 million Green Port Policy project is financed by TradeMark East Africa (TMEA) and is being implemented by the KPA through various consultants. In spite of measures already introduced by the KPA to ease the environmental problem in Mombasa, there was clearly an urgent need for interventions. The partnership with TMEA is designed to address this need.

GREENHOUSE GASES Mombasa currently emits about 400 tonnes of carbon dioxide greenhouse gases each year – an untenable level compared with internationally recommended standards. Without the Green Port inter-ventions, this figure would have been expected to double in the next 10 years to about 700 metric tonnes. This is due to the significant rise in cargo throughput at Mombasa in recent years, with still higher levels being forecast in the coming decade. Out of the of greenhouse gases emitted at the Port of Mombasa, only five per cent can actually be controlled by the KPA, hence the need for an intervention policy of the kind now being implemented. Carbon dioxide accounts for something like 99 per cent of gas emissions.

KENYA PORTS AUTHORITY HANDBOOK 2020

The TMEA project has identified key areas of intervention. One is the roofing of port structures. Many of the old buildings in or near the port were roofed with harmful asbestos. Workshops in the Kapenguria area of the port estate were reroofed with aluminium sheets which have now been replaced with safer materials. One of the workshops has been fitted with solar panels and connected to a nearby electricity substation with a capacity to generate 400 Kilowatts. The handling of dusty cargo, coal and clinker has been a contentious issue at Mombasa because of the possibly harmful effects of dust on those working at sheds near berths that handle these cargoes. According to international standards, clinker and coal should to be handled by special equipment that Mombasa currently lacks. Imports of clinker through Mombasa have grown by 40 per cent per year in recent years. Currently handled using hoppers, it is one of the port’s biggest source of air pollution. The Green Port Project has plans for a closed conveyor system of the type used in other developed ports around the world. In the meantime, four eco-friendly hoppers have been procured to offload clinker from the ship to waiting trucks. The use of the new Eco-hopper reduced quayside pollution by almost 50% compared to the old hopper. In a joint initiative, the KPA and TMEA commissioned a study on the energy required for port activities with a view to identifying alternative sources of energy. They have also been looking at the need for shore power. Currently, ships keep their generators running

while loading and discharging. With shore power available, they will no longer need to do so. Under the Green Port scheme, the Port of Mombasa is developing ISO 14001 certification in relation to its environmental management system and ISO 45001 for occupational Safety and health and management.

WASTE In common with many other parts of Mombasa County, the port is not connected to a sewerage system. Instead, the KPA processes the waste at the site, both in the port and in port workers’ houses, and a significant amount of raw waste finds its way into the sea. To address this challenge, the Green Port Project seeks to develop a strategic waste management plan, a water supply and reticulation plan and a water storage system. Eco terracing has become a common concept in ports around the world. Although Mombasa has many hillsides, the port has not yet created green areas that would not only improve the facility’s outlook but would also absorb carbon waste. One of the key ingredients of the project is tree planting; but due to space limitations, less than 10 per cent of the port is available for such an undertaking, so this will be extended to the five coastal counties as a corporate social responsibility exercise and some 8,000 trees were planted. More tree planting programmes have been implemented in 2018/2019 especially in Mombasa where more than 12,000 have been planted.

Druid007 | Shutterstock.com

LAMU

NEW FLAGSHIP PORT WILL ENHANCE GATEWAY ROLE OF KENYA T

aking shape in Manda Bay close to the Unesco World Heritage Site of Lamu is a new flagship port – one that is poised to transform Kenya’s transport and logistics sector while enhancing the nation’s position as a key regional cargo gateway and Indian Ocean transhipment hub. This is a major project for Kenya and for East Africa. When complete, the planned 32-berth port will have cost over US$ 5 billion. The new port will be managed and administered by Kenya Ports Authority. The site at Manda Bay was chosen by the KPA because it has a deep, natural and sheltered harbour and a wide navigable access channel. Planning began for the new port after hydrographic and geotechnical surveys confirmed in 2012 that the area was suitable for construction. The inaugural vessel is scheduled to call late 2019 after completion of the first commercial berth. The port will open progressively through 2020 with two additional berths becoming operational. Work on these first three berths was undertaken by China Communications Construction Company as part of a US$ 689 million contract funded by the Kenyan government. Finance for the remaining 29 proposed ocean-fronting berths will be via public-private partnerships. When complete, the initial three berths are expected to handle up to 1.2 million teu per year and the whole port will eventually have a handling capacity of 20 million teu. Berths are expected to have an alongside water depth of 17.5 metres, allowing them to receive the latest post panamax containerships. The government plans to concession the three berths to a private-sector operator. It is envisaged that the remaining 29 berths will be concessioned to the private sector for both construction and operation. In essence, the building of Lamu Port will create much-needed additional cargo handling capacity on the Kenyan coast. It will be the terminus of an alternative and more efficient freight corridor for landlocked African states such as Ethiopia and South Sudan. This is known as the LAPSSET (Lamu Port South Sudan Ethiopia Transport) Corridor project – a key part of the government’s Kenya Vision 2030 ambitions.

KENYA PORTS AUTHORITY HANDBOOK 2020

The LAPSSET corridor is likely to cost in excess of US$ 20 billion. The project is managed by the Nairobi-based LAPSSET Corridor Development Authority (LCDA). The proposed road, standard-gauge rail line and pipeline corridor will also have a positive impact on underdeveloped parts of central and northern Kenya. The main focus will be the logistics terminal to be built at Isiolo, connecting other important regional centres in Kenya such as Garissa, Maralal, Lodwar and Lokichogio. The corridor will branch at Isiolo to Moyale at the border with Ethiopia before proceeding to the border with South Sudan.

CORRIDOR The corridor will also involve the construction of three new international airports at Lamu, Isiolo and Lake Turkana. Meanwhile, LAPSSET will have wider economic and political benefits for the subregion and will improve – or enable for the first time – the movement of dry and liquid bulk commodities such as oil and coal. Lamu Port expects to attract a share of the cargo that would traditionally pass through ports in Sudan and Djibouti as well as drawing some freight away from Mombasa. Traffic forecasts suggest that the LAPPSET Corridor could be handling nearly 25 million tonnes by 2030. The port and corridor project faces competition for southern Ethiopia-bound cargo from others in the region – Eritrea, Sudan and Djibouti – but the KPA and LCDA are both confident that once the corridor is complete this scheme will prove popular with importers and exporters. This development will include the long-term physical expansion of the Lamu metropolitan area to create specific areas for complementary cargo handling facilities such as a rail terminal, godowns (warehouses), container freight stations, tank farms, an oil refinery, truck terminals and also social facilities for port workers. Once operational, the new port will create significant and high-value job opportunities for local people and will increase job opportunities in allied sectors such as transport, logistics and manufacturing.

SOUTH SUDAN

NAKODOK Lokichogio

ETHIOPIA

MOYALE

Lodwar UGANDA

Eldoret

KENYA

Wajir

ISIOLO

Kisumu Garissa

NAIROBI PROPOSED NETWORK

LAMU

LAPSET Railway

OCE

LAPSET Highway Oil Pipeline

TANZANIA

IND IAN

Northern Corridor

MOMBASA

KISUMU

LAKE PORT OF KISUMU GETS NEW LEASE OF LIFE P

lans are under way for the construction of a new port in Kisumu to allow larger vessels to dock at the once-vibrant facility on Lake Victoria. This was announced in January 2019 by former prime minister Raila Amolo Odinga at the launch of a programme to dredge and remove water hyacinth from the lake. Mr Odinga, who is the African Union’s High Representative for Infrastructure Development, also announced plans by the Kenya Railways Corporation (KRC) and the KPA to rehabilitate the railways from Nakuru to Kisumu and to refurbish the port. The Standard Gauge Railway has now reached Naivasha. The railway will bring cargo up to the Port of Kisumu to be loaded for shipment by lake to Uganda. But that was only a temporary measure, said Mr Odinga, who announced that the SGR would be coming to Kisumu as well. He said work would be starting soon and a new port would be constructed. In days gone by Kisumu was a busy port, with ships docking hourly to discharge goods from Mwanza, Bukoba, Port Bell and Jinja.

WATER HYACINTH Mr Odinga regretted the loss of thousands of jobs following the lull of the Kisumu Port and that for lack of activities the water hyacinth had found its way into Lake Victoria. “There’s a lot of dumping in the lake polluting the environment which attracts hyacinth hence the gulf here has become very shallow, it is confounded by the Mbita causeway which was constructed and blocked the flow of water in the main way. Now they have built a bridge in Mbita but did not remove the boulders underneath and water is not flowing properly. Last week we talked with President Uhuru Kenyatta and the Cabinet Secretary for Transport and instructions were given that all those boulders below the Mbita Bridge will be removed for water to flow suitably,” added Mr Odinga. The Kenya Pipeline Company already has a jetty on the other side of the Kisumu Pier, which means that oil could be transported from Kisumu to Uganda by ship, a more cost-effective option than road haulage.

KENYA PORTS AUTHORITY HANDBOOK 2020

Dredging work is due to be carried out in the old port and beside the KPC pier using the 4,000 tonne dredger ‘Mango Tree’. This will be followed by construction of a 63 km canal, with a width of 80 metres and a depth of 6.0 metres, up to Mbita to allow larger vessels to berth. Harvesters will be used to clear the water hyacinth in a project that is expected to take three months.

HIGHWAY The rehabilitation of the Port of Kisumu is a key part of the Trans-African Highway project to establish a practical route from Lagos to Mombasa to Kisumu to Port Bell to the Democratic Republic of Congo to the Central African Republic to Cameroon and back to Lagos. This is regarded as a sure way of promoting intra-African trade, which is currently at a low level compared with Europe and Asia. “Kisumu has the biggest dry dock inland in the entire African continent,” said Mr Odinga. “All the ships that used to ply here, including the ‘Usoga’, ‘Nyanza’, ‘Victoria’ and ‘Uhuru’, were manufactured here in one of the biggest workshops.” KPA managing director Dr Arch. Daniel Manduku said the Authority was keen for Kisumu to regain its status as a trade hub. He said: “We are committed to the rehabilitation of Mombasa Port as well as Kisumu Port. We are here to launch the first phase of the rehabilitation project, which is specifically the removal of the water hyacinth. After that we shall start the actual construction work of the pier, extension of the quayside to 900 metres, a new office block, workshops and a slipway. This project is a priority for us.” The dredging and the removal of the water hyacinth are part of the great transformation of the lake-related activities, which include the construction of the new port as well as the rehabilitation of the related infrastructure. Works will also be carried out in Muhuru Bay, Kendu Bay, Asembo Bay, Karungu, Sori, Port Victoria and Sio Port. Besides the KPA, other participating agencies in the initiative include Kenya Railways, Lake Victoria Basin Commission, Kenya Pipeline Company, Kenya Maritime Authority, Lake Region Economic Bloc, National Environment Management Authority and the County Government of Kisumu.

DEMURRAGE

DEMURRAGE AND CONTAINER SHIPPING By Katy Aldrick, chairman of Kenya Ships Agents Association

n view of recent issues regarding demurrage claims in Kenya, this article seeks to provide an insight into the economics of container shipping, focusing on what demurrage and detention charges are and why these exist in the container shipping industry today. Container shipping refers to a regular and scheduled service between fixed ports and although there are ro-ro, steel and other liner services, container shipping is generally considered the king of liner shipping. Unfortunately, inefficient supply chain systems, which significantly increase the cost of doing business, give importers a negative experience of the shipping process.

STUDENTS Having recently attended a meeting of Institute of Chartered Shipbrokers examiners in London at which it was revealed that around half of all students taking the Liner Trades exam were based in Kenya, I can say there is definite room for improvement in the exam pass rates. This highlights a gap in the understanding of the shipping industry, in particular the container shipping industry. The concept of demurrage first came about when ship owners and charterers (owners of the cargo) signed agreements to transport cargo between two ports. These agreements, known as charter parties, existed long before container shipping arrived on the scene in the late 1950s. Both parties had to agree to terms; and if they failed to adhere to these terms, compensation for breaking these terms was required. Demurrage, in this case, is the charge payable to the owner of the chartered ship in the event of failure to load or discharge the ship within the time agreed as per the contract. The time allowed for the charterer to discharge his cargo is known as laytime and if the charterer exceeds

KENYA PORTS AUTHORITY HANDBOOK 2020

the time allowed, he is required to pay demurrage charges, being liquidated damages for breach of contractual terms. Since the proliferation of container shipping, the concept of demurrage has been extended to compensate shipping companies when containers are not returned within the contractually agreed laytime (also known as â&#x20AC;&#x2DC;free timeâ&#x20AC;&#x2122;). Today, shippers (cargo owners) who want to transport goods will enter into a contract with the shipping line. This is known as a contract of carriage and covers goods from the place of loading to its final destination as agreed between the shipping line and the customer. This contract stipulates the terms of the transport including the description or particulars of the goods to be transported, the mode of transport (sea freight, inland haulage and/or any other agreed mode of delivery of the relevant cargo to the agreed destination), the packaging of the consignment for transport purposes and the handling of the goods from the time they are received by the shipping line to when delivered to their prescribed destination. All these terms, including the type of packaging to transport the relevant cargo (in this instance, containers) constitute a carriage contract, which is the service rendered by the shipping lines.

As a fundamental term of the carriage contract, a key clause is the specification of the amount of time allowed for loading, unloading of cargo and return of the empty container to the nominated empty depot (the grace period referred to as laytime or free time). The shipping line does not raise any charges to customers for containers held for this time period. Nor does it charge for the use of the containers during the sea voyage.

COMPENSATION However, if the laytime is exceeded, the importer compensates the shipping line in the form of demurrage payment, which is liquidated damages for the shipping line not being able to use the containers while they are in the possession of the customer. It is not in any way a payment for the use of containers. It should be noted that demurrage does not constitute rent for use of property as there is no leasing contract between the shipping line and its customers. As demonstrated above, the contract is one of transport of goods whose elements comprise packaging, loading, carriage, unloading, handling, return of storage material and, to the extent applicable, liquidated damages payable by an importer to the shipping line for any delay in returning the containers used in transporting the goods. In a perfect container supply chain the ‘free days’ are never exceeded and the shipping line does not need to be compensated by the shipper/consignee. When shippers/ consignees agree to freight rates and free days they need to understand the impact of these contractual terms — that is, how many days they have been allocated to return the empty containers. Where infrastructure or country administration systems cause delays in container pick-up or return, it may be worth shippers looking at less risky options such as using through bills of lading (TBLs) rather than ‘merchant haulage’.

Although the initial freight costs may be higher, demurrage rates are likely to be reduced as most of the risks associated with infrastructure delays are transferred to the shipping lines. This is because with merchant haulage the responsibility of the shipping line ceases upon discharge of the container at the port and time/risk will be on the shipper/ consignee’s account from this point. If we consider that prevention is better than cure, then clear import and export processes and infrastructure development are key contributors to creating transport efficiencies and facilitating the movement of goods in the supply chain. What Kenya needs are clear procedures and systems covering all departments (the Customs Department, the Kenya Bureau of Standards, the Kenya Ports Authority, the Standard Gauge Railway, etc) that encourage trade. By reducing barriers to trade, the cost and risk of bringing ships or containers to Kenya will also be lower and Kenyan consumers will benefit significantly from reduced demurrage charges.

PORT DETAILS

MOMBASA Includes Kilindini Harbour, Port Reitz, the Old Port and Port Tudor. The port is the main outlet for the landlocked East African countries of Uganda, Rwanda, Burundi and the Democratic Republic of Congo.

LAMU Airport Manda Airport, 2 km from Lamu, is used by light aircraft only.

Accommodation Secure port with three anchorages for vessels of 91.43 metres LOA and 5.18 metres draught to enter the harbour at LWST. Spring tide rise is 3.35 metres.

Development Construction of the first three berths (of 23) for a new mega port for the Indian Ocean commenced in 2013 for completion late 2019 (first berths)

Position Lat 2°18’S, long 40°55’E.

Towage Tugs of up to 4,626 hp available from Mombasa.

Airport Moi International Airport is about 30 minutes’ drive from the Port of Mombasa.

Accommodation The port has two harbours: Kilindini Harbour on the south-west side of Mombasa Island and, on the east side of the island, Mombasa Old Port, which is entered between Ras Sereni and Mackenzie Point about 0.8 km NNE. The Old Port is used only by dhows, small coasters of up to 53.33 metres LOA and bulk cement carriers of up to 145.08 metres LOA and 7.92 metres draught. These moor off the bulk cement loading installations on the mainland side of the Old Harbour at Ras Kidomoni (English Point). The port has a total of 3,284 metres of deepwater quays with depths of 9.45 metres to 15.0 metres LWOST. Berths are numbered from 1 to 21. There are two berths for handling bulk/bagged cement at Mbaraki with a total of 315 metres length and 10.5 metres depth. A depth of 10.97 metres may be achieved by placing additional Yokohama fenders. A new terminal is in operation at Berths 20 and 21. Berth 20 has a depth of 12.0 metres and quay length of 210 metres. Berth 21 has a depth of 15.0 metres and 350 metres of quay. The North and South lighterage wharves, with a total length of 412 metres, are also available. Berth 9 is used for loading of soda ash by

KENYA PORTS AUTHORITY HANDBOOK 2020

dedicated cruise terminal has been installed at these two berths.

Fresh water Fresh water is always available from shore hydrants at Berths 1 to 3. Average rate is 20 tonnes per hour. Fresh water available at anchorage and other berths by barge (max 300 tonnes per trip) and by harbour tug (max 150 tonnes per trip).

Imports and exports Main imports are crude oil, fertilizers, salt, sugar, paper, iron and steel, motor vehicles, farm machinery, wheat and maize. Main exports are coffee, tea, soda ash, cement and canned fruit.

Largest vessel

conveyor. There are two tanker berths and one oil jetty.

Bunkers

Approach

Container facilities

Entrance channel to Old Port has a minimum depth of 11.6 metres. Entrance from the sea to Kilindini Harbour is by an approach channel 7 nautical miles long and 300 metres wide with 15.0 metres depth on a transit of 301° (Ras Serani leaders), thence directly to the harbour between Ras Mwa Kisenge on the mainland south and Ras Mzimili on the south of Mombasa Island about 0.6 km SW of Ras Serani lighthouse.

Mainly at Berths 16, 17, 18, 19, 20 and 21 (total length of 1,400 metres) with a back-up area for stacking and handling containers.

Anchorage Kilindini is a fine sheltered harbour with anchorages for oceangoing vessels of between 6.0 and 12.0 metres draught. Anchorage for coasters and fishing vessels also available. Anchoring outside the port area is not recommended because of poor holding grounds and strong currents.

Available by barge.

Cranes Quays and port areas are served by travelling cranes of 5 to 20 tonnes capacity; three electric portal cranes of 5 to 20 tonnes; and 11 mobile cranes. Berths 16 to 21: equipment includes 12 rail mounted ship-to-shore gantry cranes (five of 45 tonnes capacity and four of 40 tonnes). Two rail mounted gantry cranes, 38 rubber tyred gantry cranes plus mobile yard cranes of 5 to 35 tonnes. Various mobile cranes and rail mounted cranes from 5 to 25 tonnes operate in the port area.

The port can accommodate vessels of up to 15,0 metres draught and 300 metres LOA.

Local holidays Labour Day (1 June) and Christmas Day (25 December) are normally the only holidays on which the port is closed, except for necessary pilotage of ships in and out of harbour and for dealing with mail, passengers, baggage, livestock and perishables. On other public holidays, restricted working may be carried out at overtime rates.

Medical aid Private and public hospitals in Mombasa.

Pilotage Compulsory for all vessels except pleasure boats and small fishing vessels. VHF Channels 16 and 12.

Position Lat 4°04’S, long 39°41’E.

Cruise terminal

Provisions

Cruise ships are usually accommodated at Berths 1 and 2. A new

Fresh meat, fruit and vegetables available. ISSA members on hand.

PORT DETAILS

Radio Available 24 hours a day on VHF Channels 12 and 16.

Ro-Ro facilities Ro-ro cargo handling facilities are available at Berths 5 and 13.

Ship repair African Marine and General Engineering Company Ltd (AMGECO) operates a dry dock, 180 metres in length, with an entrance width of 24.75 metres and a maximum water depth of 7.9 metres. Most types of repair work undertaken. Southern Engineering Co Ltd (SECO) also has repair facilities.

Stacking Total stacking area at the container terminal is 137,000 square metres.

Storage Eight main quay transit sheds with a total floor area of 62,890 square metres and three other transit sheds with 36,952 square metres of floor area.

Tanker terminals Kipevu Oil Terminal (KOT), at Port Reitz, can accommodate crude oil tankers up to 100,000 dwt and 259 metres LOA. Depth alongside is 13.41 metres at LOWST. Shimanzi Oil Terminal (SOT) can accommodate vessels up to 35,000 dwt, 198.0 metres LOA and 9.75 metres draught. Slop tank facilities available. Cased Oil Jetty between Berth 10 and Shimanzi Oil Terminal can accommodate vessels up to 73 metres LOA and 6.0 metres draught. Currently not in use. Work has started on a new KES 40 billion four-berth Kipevu Oil Terminal and which will handle both liquid and gas products.

Tides Tidal range is 0.4 metre maximum at spring tide and 2.5 metres at neap tides.

KENYA PORTS AUTHORITY HANDBOOK 2020

Towage Compulsory. Tugs up to 4,626 hp (3,450 kW) and 57.8 tons bollard pull available. Marine operations: four berthing tugs, four pilot boats (one for security patrols) and two mooring boats. There are new multipurpose tugs of 55 to 60 tons bollard pull. The refurbished tug â&#x20AC;&#x2DC;El Lamyâ&#x20AC;&#x2122; is also in service.

Traffic The port handled a total of 30,923,862 tonnes of cargo in 2018.

Waste reception Ship agents appoint waste collectors licensed by the National Environment Management Authority (NEMA) and the KPA.

Working hours 07.00 to 15.00 and 15.00 to 23.00. Extension of regular hours, Saturdays, Sundays and public holidays all constitute overtime.

KENYA PORTS AUTHORITY

TELEPHONE: +254 (0)41 211 3999 +254 (0)41 211 2999 +254 (0)41 211 3497 Fax: +254 (0)41 211 1867

WIRELESS: +254 (0)20 357 5880/8 MOBILE: +254 (0)72 020 2525 +254 (0)73 431 2211

EMAIL: kpamd@kpa.co.ke ca@kpa.co.ke PO Box 95009-80104, Mombasa, Kenya

KENYA PORTS AUTHORITY HANDBOOK 2020

Kenya Ports Authority Handbook 2020

Articles inside

KENYA MARITIME AUTHORITY

FOREWORD