Mandera Urban Economic Plan

Page 15

Mandera Municipality Urban Economic Plan Sustainable Urban Economic Development Programme SUED October 2021

The development of the Mandera Municipality Urban Economic Plan (UEP) has been made possible by funding from the UK government through UKaid’s Sustainable Urban Economic Development Programme (SUED) that is managed by Tetra Tech Company Coffey. This report was developed by Atkins.

MANDERA URBAN ECONOMIC PLAN (UEP )2

SWOT Strengths, weaknesses, opportunities, and threats

WASREB Water Services Regulatory Board WWTP Waste Water Treatment Plant

COVID Corona Virus Disease

CECM County Executive Committee Member

AD Anaerobic Digestion

MANDAWASCO Mandera Water and Sanitation Company KNBS Kenya National Bureau of Statistics KPLC Kenya Power and Lighting Company KURA Kenya Urban Roads Authority MB Municipal Board NIA National Irrigation Authority MM Municipal Manager MRF Materials Recovery Facilities MSW Municipal Solid Waste NCPWD National Council for Persons with Disability

SUED Sustainable Urban Economic Development

UDPF Urban Development Policy Framework UN United Nations UEP Urban Economic Plan VC Value Chain

DNH Do No Harm Approach EIA Environmental Impact Assessment FA Focus Area FGDs Focus Group Discussions

PWD People Living with Disabilities PV Photovoltaic SAPAD Strategies for Agro-Pastoralists Development

GVA Gross Value Added IDeP Municipality Integrated Development Plan

CFSP County Fiscal Development Plan

NGOs Non-Governmental Organisations

AfDB African Development Bank

SIG Special Interest Group

WSP Water Service Provider WB World Bank

FCDC Frontier Counties Development Council

CGoK Central Government of Kenya CIDP County Integrated Development Plan

NMT Non-Motorised Transport NSP National Spatial Plan

MANDERA URBAN ECONOMIC PLAN (UEP ) 3

Abbreviations & Acronyms

Economic Bloc GBV Gender Based Violence GCP Gross County Product GDP Gross Domestic Product GeSI Gender and Social Inclusion

ISWMS Integrated Solid Waste Management Strategy KeBS Kenya Bureau of Standards KeNHA Kenya National Highways Authority KIHBS Kenya Integrated Household Budget Survey KII Key Informant Interview KNCCI Kenya National Chamber of Commerce and Industry KOM Kick off Meeting

TVET Technical & Vocational Education Training

PlwHIV/AIDs People living with HIV/AIDs

ASAL Arid and Semi-Arid Lands CBD Central Business District CBO Community-Based Organisation

1. Introduction 14 1.1 Background 14 1.2 Purpose of the Plan 15 1.3 Approach 16 1.4 Key Principles 18 1.5 Conflict sensitivity 19 1.6 Climate Change, Social Exclusion and Poverty Nexus 20 1.7 Covid-19 Impacts in Kenya 22 1.8 Structure of this Report 24 2. Mandera Urban Diagnostics 26 2.1 Study Area and Regional Context 27 2.2 Planning Context 28 2.3 State of Mandera 29 2.4 Infrastructure Overview 38 3. Development Concept 40 3.1 Overview 40 3.2 Mandera’s Vision 43 3.3 Economic Development Sector Action Plans and the VCs 44 3.4 Development Framework overview 46 3.5 Conflict sensitivity 46 4. Economic Development 48 4.1 Economic Development Plan 48 4.2 Economic Sector Action Plans 51 4.3 Value Chain Projects 65 5. Development Framework 126 5.1 Key Components and Rationale 128 5.2 Infrastructure Proposals overview 128 5.3 Focus Area 1: Neboi Industrial Site 131 5.1 Focus Area 2: New CBD 145 5.2 Beyond the Focus Areas: Enabling Infrastructure 171 MANDERA URBAN ECONOMIC PLAN (UEP )4 Contents

6. Implementation Plan 206 6.1 Introduction 206 6.2 Partners and Institutional Structures 208 6.3 Implementation Costs and Potential Funding Sources 210 6.4 Scheduling 217 6.5 Funding 218 6.6 Recommendations for Capacity-Building 220 6.7 Recommendations for Social Inclusion 221 6.8 Recommendations for Climate Change and Resilience 222 6.9 Recommendations for maximizing peaceful outcomes in the UEP 223 6.10 Next Steps 224 Appendix A - Diagnostics Report 226 Appendix B - Technical Briefing Paper 226 Appendix C - Gender and Social Inclusion Study 226 MANDERA URBAN ECONOMIC PLAN (UEP ) 5

73

Figure 1.1 Purpose of the UEP 15 Figure 1.2 UEP Process 16 Figure 1.3 SUED Principles 18 Figure 1.4 SUED’s relationship to the conflict analysis 19 Figure 1.5 Poverty climate nexus and resource driven conflict 20 Figure 2.1 Mandera within FCDC economic bloc 27 Figure 2.2 Existing land use of the Municipality 29 Figure 2.3 Types of conflict in Mandera 30 Figure 2.4 Overview of conflict actors 31 Figure 2.5 Spatial profile of Mandera’s actors and communities 32 Figure 2.6 The Three Dimension of Inclusion 34 Figure 2.7 GCP per capita in Kenya by County 36 Figure 2.8 Mandera GCP Sectoral Breakdown 36 Figure 2.9 Share of population in work in Mandera and Mandera East 37 Figure 3.1 Economic Development Plan - elements 41 Figure 3.2 Overview of the Mandera development concept 42 Figure 3.3 Timeframe characteristics of Mandera 45 Figure 4.1 Mandera a potential hub for the isolated economies 49 Figure 4.2 Economic Development Plan - Overview and Interactions 50 Figure 4.3 All VC groups by assumed opporational and expansion time frame 66 Figure 4.4 Flow diagram of all VC groups 68 Figure 4.5 Fruit and vegetable cluster processing flows 71

Figure 4.6 employment creation potential of fruit and vegetable cluster Figure 4.7 processing cluster Figure 4.8 employment creation potential of milk processing cluster Source: Atkins, 2021 Figure 4.9

82

Direct

81

Oilseed and grain processing cluster 89 Figure 4.10 Direct employment potential of oil pressing and milling cluster 91 Figure 4.11 Existing tanning and related activities 96 Figure 4.12 Future tanning and related cluster 97 Figure 4.13 Direct employment potential of tanning and related activities cluster 99 Figure 4.14 Gums and resins processing cluster 103 Figure 4.15 Direct employment potential of gums and resins cluster 104 Figure 4.16 Construction blocks and building materials cluster 109 Figure 4.17 Direct employment potential of construction blocks and building materials cluster 110 Figure 4.18 Off-grid power cluster 115 Figure 4.19 Direct employment potential of off-grid power 116 Figure 4.20 Direct employment potential of business incubator 121 Figure 5.1 Overall development framework plan showing the two Focus Areas and individual proposals 130 Figure 5.2 Neboi Industrial Site Focus Area overview 131 Figure 5.3 Neboi Industrial Site and surrounding land 132 Figure 5.4 Phase 1 Neboi industrial park 135 Figure 5.5 Typical infiltration gallery 138 MANDERA URBAN ECONOMIC PLAN (UEP )6 Figures

Direct

Dairy

Figure 5.6 Map of Focus Area 2: New CBD 146 Figure 5.7 Map of proposal areas within the new CBD 147 Figure 5.8 2D map of Urban mixed-use block and adjacent boulevard 148 Figure 5.9 Image of Urban mixed-use block and adjacent boulevard 149 Figure 5.10 Image of Urban mixed-use block and adjacent boulevard 149 Figure 5.11 Street view image of Image of Urban mixed-use block and adjacent boulevard 149 Figure 5.12 TOD and Business Incubator 154 Figure 5.13 Arial view image of TOD and Business Incubator plans 155 Figure 5.14 Arial view image of TOD and Business Incubator plans 156 Figure 5.15 Arial view image of TOD and Business Incubator plans 157 Figure 5.16 Arial view image of TOD and Business Incubator plans 158 Figure 5.17 Street view section images of TOD and Business Incubator plans 159 Figure 5.18 Typical features of an accessible toilet block. 166 Figure 5.19 Flood Storage Options 171 Figure 5.21 Planned land use and dominant street character 192 Figure 5.20 Planned land use and dominant street character 196 Figure 6.1 UEP Development Framework Schedule 217 MANDERA URBAN ECONOMIC PLAN (UEP ) 7

Table 4.1 Agriculture and livestock sector Action Plan 53 Table 4.2 Commerce, Markets and Cross border trade sector action plan 59 Table 4.3 Services sector action plan 63 Table 4.4 Phasing of fruit and vegetable processing cluster 72 Table 4.5 VC group 1 GESI assessment 74 Table 4.6 VC group 1 infrastructure requirements 77 Table 4.7 Phased development of dairy processing cluster 82 Table 4.8 VC group 2 GESI Assessment 84 Table 4.9 VC group 2 infrastructure requirements 86 Table 4.10 Development of oilseed and grain processing cluster 90 Table 4.11 VC group 3 infrastructure requirements 93 Table 4.12 Development of tannery and related processing cluster 98 Table 4.13 VC group 4 GESI assessment 100 Table 4.14 VC group 4 infrastructure requirements 101 Table 4.15 Development of gums and resins processing cluster 103 Table 4.16 VC group 5 GESI assessment 105 Table 4.17 VC group 5 infrastructure requirements 106 Table 4.18 Development of construction materials cluster 110 Table 4.19 VC group 6 infrastructure requirements 112 Table 4.20 Development of off-grid power cluster 116 Table 4.21 VC group 7 GESI assessment 117 Table 4.22 VC group 7 infrastructure requirements 118 Table 4.23 VC group 8 infrastructure requirements 123 Table 5.1 Infrastructure Proposals 129 Table 5.2 Industrial unit space requirements at Neboi Industrial Site 134 Table 5.3 Project 1 Summary Information 136 Table 5.4 Project 1 Basic Analysis and Timeline 136 Table 5.5 Project 2 summary information 139 Table 5.6 Project 2 Basic analysis and timeline 139 Table 5.7 Project 3 summary information 140 Table 5.8 Project 3 Basic analysis and timeline 140 Table 5.9 Project 4 summary information 143 Table 5.10 Project 4 Basic analysis and timeline 143 Table 5.11 Project 5 summary information 151 Table 5.12 Project 5 Basic analysis and timeline 151 Table 5.13 Project 6 Summary Information 162 Table 5.14 Project 6 Basic Analysis and Timeline 162 Table 5.15 Project 7 Summary Information 165 Table 5.16 Project 7 Basic Analysis and Timeline 165 Table 5.17 Project 8 Summary Information 167 Table 5.18 Project 8 Basic Analysis and Timeline 167 Table 5.19 Project 9 summary information 169 MANDERA URBAN ECONOMIC PLAN (UEP )8 Tables

Table 5.20 Project 9 Basic Analysis and Timeline 169 Table 5.21 Project 10 Summary Information 172 Table 5.22 Project 10 Basic Analysis and Timeline 172 Table 5.23 Project 11 Summary Information 175 Table 5.24 Project 11 Basic Analysis and Timeline 175 Table 5.25 Project 12 Summary Information 178 Table 5.26 Project 12 Basic Analysis and Timeline 178 Table 5.27 Project 13 Summary Information 180 Table 5.28 Project 13 Basic Analysis and Timeline 180 Table 5.29 Project 14 summary information 183 Table 5.30 Project 14 Basic Analysis and Timeline 183 Table 5.31 Project 15 summary information 186 Table 5.32 Project 15 Basic analysis and timeline 186 Table 5.33 Project 16 summary information 189 Table 5.34 Project 16 Basic analysis and timeline 189 Table 5.35 Project 17 summary information 193 Table 5.36 Project 17 Basic Analysis and Timeline 193 Table 5.37 Project 18 summary information 197 Table 5.38 Project 18 Basic Analysis and Timeline 197 Table 5.39 Project 19 summary information 199 Table 5.40 Project 19 Basic Analysis and Timeline 199 Table 5.41 Project 20 summary information 201 Table 5.42 Project 20 Basic Analysis and Timeline 201 Table 5.43 Project 21 summary information 203 Table 5.44 Project 21 Basic Analysis and Timeline 203 Table 6.1 Summary implementation costs estimates 210 Table 6.2 Costing overview 211 MANDERA URBAN ECONOMIC PLAN (UEP ) 9

The Municipality has a high population density, with most residents concentrated in Mandera Town. The population of the Municipality has grown over the last decade, in contrast to the County population which has declined. This dynamic can, in part, be attributed to the unique situation of Mandera, whereby it is relatively more developed and secure than the bordering towns in Somalia and Ethiopia, but relatively less developed and secure than the rest of Kenya. This situation and the insecurity threats have driven away many non-local Kenyans, but has attracted residents of Somalia and Ethiopia to take up opportunities in the Municipality.

The UEP is an advisory document that builds on existing work and priorities identified under the County Integrated Development Plan (CIDP) alongside the Municipality’s Integrated Development Plan (IDeP) and Integrated Sustainable Urban Development Plan (ISUDP), as well as aligning and complementing work by other donors, and NGOs. In doing so, it will provide a focused economic plan for the Municipal Board and Municipal Departments to enable them to deliver sustainable economic development within the Municipality and the County.

Chapter 2 sets out the diagnostic assessment of Mandera Municipality, where the social, economic, planning, infrastructure, environmental, conflict and climate risk baseline has provided an understanding of the barriers and drivers to sustainable economic growth.

Mandera Municipality is the administrative capital of Mandera County and located at the northeastern corner of the County, and Country, bordering Ethiopia in the north and Somalia to the northeast. The current planning area has three urban nodes, these are the existing CBD, Neboi and Koromey. Unplanned development and growth in the Municipality has resulted in urban sprawl where it is encroaching on the agricultural land along the River Daua. There is no room for development to the north and east, where growth is restricted by the borders of Somalia and Ethiopia.

The Gender and Social Inclusion Study (GeSI) was a key part of the diagnostic reporting, providing recommendations for meeting the aims of the SUED Programme to advance inclusion of PWDs, youth, women, and PlwHIV/AIDs. These groups are often worst affected by the impacts of climate change, conflict, and insecurity.

The purpose of the plan is to: > Provide an inclusive economic strategy that can guide future development towards increasing prosperity in Mandera Municipality; > Prioritise economic activities and Infrastructure that can maximise benefits and support the development of a sustainable economic future for Mandera Municipality;

WS Atkins International Limited was commissioned to develop the Urban Economic Plan (UEP) for Mandera Municipality as part of the UK’s Foreign and Commonwealth Development Office (FCDO) Sustainable Urban Economic Development Programme (SUED). The aim of the programme is to support market-driven sustainable green growth in emerging towns and cities in Kenya.

> Bring together stakeholders on deciding the economic future of Mandera Municipality and implementing it; and

MANDERA URBAN ECONOMIC PLAN (UEP )10

SummaryExecutive

> Identify and prepare value chain (VC) projects that can be considered further in terms of their feasibility and bankability before SUED seed financing is committed Stakeholders’ interests and insights have been considered throughout the development of the UEP.

> Commerce, markets, and cross-border trade, Mandera’s location at the borders and high footfall makes it well placed to develop this sector; and > Services, Mandera’s infrastructure and services offering is relatively better than that of the bordering communities of the Mandera Triangle, whose residents often utilise the services of Mandera. Kenya’s devolution recognises the importance of municipalities like Mandera Municipality to act as urban growth centres to provide services and Overall,facilities.Mandera’s infrastructure provision lags behind the rest of Kenya; significant infrastructure development still needs to be implemented to provide the necessary basic services and resources to the population. However, Mandera’s infrastructure provision has come a long way since devolution in Kenya, where more national funds and investment have flowed into the wider region, to the point where Mandera’s infrastructure is now significantly better than the bordering towns in the Mandera Triangle.

Chapter 3 presents the Development Concept for Mandera Municipality, overarching the Economic Development Plan and the Development Framework of climate-resilient and inclusive infrastructure projects. This is driven by the economic vision that has been developed with key stakeholders: “A clean and secure, economic and service hub for the isolated communities of the region and the Mandera Triangle, which fosters cohesive communities, and opportunities for all, whilst preserving its natural resources and promoting the health and welfare of its citizens”

There are limited resources in Mandera, but it has access to one of the northeast regions’ most valuable assets, the River Daua. The Diagnostics stage identified three key economic sectors that Mandera Municipality should prioritise for development, they are:

> Agriculture and livestock, the local population largely rely on this sector as the main economic subsistence activity;

Critical for the development of the economy, through these key sectors, will be the improvement of infrastructure, particularly in areas affecting production potential such as roads and transport accessibility, insufficient water supply to support growing the population and businesses, poor solid waste management, sanitation and drainage. The cost of electricity is very high, and the supply is unreliable. Environmental degradation is a key concern across the County, including encroachment into Malkamari National Park due to overgrazing, urban sprawl, and soil degradation due to unregulated quarrying. Major climate change risk factors include increasing temperatures, decreasing annual precipitation, and changes in the onset and cessation of both rainy seasons. It is predicted that rainfall will continue to be highly variable, and drought events are likely to increase in severity. Similarly, rainfall is predicted to increase and be much heavier when it does occur, with rainfall in the Ethiopian highlands increasing the flood risk in the town from the River Daua.

MANDERA URBAN ECONOMIC PLAN (UEP ) 11

> Capacity-building specialists to enhance Municipal and local capacity to implement the projects and ensure revenue generation;

MANDERA URBAN ECONOMIC PLAN (UEP )12

> Investment climate experts to address policy and regulatory constraints; and

Chapter 5 sets out the Development Framework, which structures, prioritises, and phases urban development in a coherent and coordinated manner with respect to the three proposed Focus Areas.

Chapter 4 sets out the Economic Development Plan in response to the economic vision and the sectoral SWOT assessment undertaken at the diagnostic stage, and aims to strengthen synergies between the different areas and activities of the Municipality by creating complementarities rather than competition between them. The Sector Action Plans (SAPs) include economic ambitions and a list of interventions for each of the key sectors. The plans are aligned and support the VCs through developing a resilient and commercial agriculture and livestock sector; supporting the development of the agri-processing and industrial sector; establishing a developed service economy and consolidating the role of Mandera as a business and trade hub for the Mandera Triangle. At the centre of the development concept for Mandera is the VCs, where a total of 23 individual VCs have been proposed for Mandera across 8 activity groups. Across all the individual elements of the development concept their interactions with conflict and insecurity have been assessed. The 8 VC groups cut across a range of economic activities and local products and would cumulatively benefit all communities in Mandera. These are: > Fruit and vegetable processing; > Milk processing; > Milling and oil pressing; > Tanning and related activities; > Gums and resin sorting and processing; > Construction blocks and building materials; > Off-grid power and supporting services; and > Business incubator and support.

Projects have been identified across urban design, transport, waste management, water and sanitation, flood management, and energy. The proposed projects have been assessed against climate vulnerability, with adaptation measures identified to ensure resilience, they include recommendations for social inclusion to ensure access and acceptability for all, and are assessed against interactions with conflict and potential next steps and mitigation. Chapter 6 provides the Implementation Plan, which presents relevant considerations across partnerships, funding and scheduling for the proposed VC, and climate resilient and inclusive infrastructure projects, including estimated delivery costs. This section also presents recommendations for capacity-building, social inclusion and climate resilience as crucial elements for implementing the UEP.

Following the completion of the UEP, during the next phase of the SUED Programme, the identified projects will be developed further by:

> Investment experts to develop feasibility studies, business cases and investment promotion strategies for the projects.

MANDERA URBAN ECONOMIC PLAN (UEP ) 13

1.1 Background WS Atkins International Limited was commissioned to develop the Urban Economic Plan for Mandera as part of the UK’s Foreign, Commonwealth & Development Office’s Sustainable Urban Economic Development Programme (SUED). The aim of the programme is to support market driven growth in emerging towns and cities in Kenya. Supporting these smaller centres provides an environment to create economic opportunities and job creation in a way that balances growth across the country, develops economic sectors that can contribute towards increasing the national output and provide an incentive for minimising uncontrolled migration.

14 1. Introduction

Combining local knowledge and international expertise, the Mandera Municipality Urban Economic Plan (UEP): The UEP is an advisory document that builds on existing work and priorities identified under the Mandera County Integrated Development Plan as well as aligning and complementing work done by other donors. In doing so, it will provide a focused economic strategy for the Municipal Board and Municipal Departments to enable them to deliver economic development within the Municipality, as well as support Mandera Municipality in driving forward an Integrated Spatial Development Plan. The UEP prioritises actions and climate-resilient and inclusive infrastructure projects that can support Mandera’s economic sectors with the greatest potential for inclusive employment generation. Drawing on international best practice, it introduces an integrated multidiscipline approach to planning for economic growth and supports capacity building from an early stage.

Identifies and prepares value chain projects that can be considered further in terms of their feasibility and bankability before SUED seed financing is committed.

1.2 Purpose of the Plan

MANDERA MUNICIPALITY URBAN ECONOMIC PLAN 15

Figure 1.1 Purpose of the UEP Source: Atkins, 2021 Provides an inclusive economic strategy that can guide future development towards increasing prosperity in Mandera;

Brings together stakeholders on deciding the economic future of Mandera and implementing it; and

Prioritises economic activities and climate resilient infrastructure that can maximise benefits and support the development of a sustainable economic future of Mandera and introduce international best practice and innovation;

4321

Anchor projects: Value opportunitieschain

UEP Technical Briefing Phase UEP Phase

TransportationInfrastructureandprovision

Develop ment Framework & climate resilient and infrastructureinclusive

Evaluating

Assessing requirements & impact

16 Figure 1.2 UEP Process Source: Atkins, 2021 Inception Phase

Environmental&Climate change risk profile

Identification of short listed VC opportunities and climate resilient infrastructure

Consultation with Municipal Board, Municipality & County officers, Businesses, Special Interest Groups prioritisingandVCopportunities

Setting the principles for developmenttheof the UEP Diagnostics Phase

> Phase 4 – Development of the Final UEP which sets out in detail economic opportunities and actions and prioritises climate-resilient and inclusive infrastructure projects for implementation. The Mandera Municipality UEP has been developed utilising primary and secondary research and analysis, ranging from the review of local and national strategies and international studies to statistical analyses, focus group discussions with stakeholders and surveys. A key component has been consultation with local stakeholders.

Gather initial comments through

Analysis of Weaknesses,Strengths, Opportunities and Threats of key economicsectors

stakeholder engagement-KOM

Economic and Demographic Setting Vision & key economic sector actions Policy Framework

International/Nationaltrends

1.3 Approach

> Phase 2 – The Diagnostics Phase was developed to provide a comprehensive and wide-ranging assessment of Mandera’s economy, demographics, infrastructure, environment and a local climate change risk profile against the national and international context.

> Phase 3 – The Technical Briefing Paper set out a development framework for Mandera and identified, assessed and prioritised economic growth opportunities and their requirements.

The approach and methodology have been developed in response to the FCDO terms of reference and in consultation with the SUED Team and FCDO and has been tailored to consider local conditions in Mandera. The aim was to enable a collaborative approach between different local stakeholders and the consultant team to assess Mandera’s economy in a systematic way, develop an agreed economic vision and prioritise actions that will have maximum impact and are ready to attract donor co-financing. The preparation of the UEP comprised four main phases: > Phase 1 – Inception Phase which focused on the Kick-off Meeting. The aim was to present the approach of the UEP and capture key opportunities and challenges affecting economic growth in Mandera as defined by local stakeholders.

climateshortlistedofVCopportunitiesEvaluatingresilientandinclusiveinfrastructureopportunities

MANDERA MUNICIPALITY URBAN ECONOMIC PLAN 17

> To ensure that all stakeholders are clear on the purpose, scope, recommendations and outcomes of the Urban Economic Plan as well as meeting key stakeholder’s aspirations and gain buy-in from them;

The PSG under an elected representative also facilitated the dissemination of information on the various components and progress of the UEP and the broader SUED Programme, including liaison with the County Government, the Municipality and the Municipal Board. It includes champions on SUED’s key themes of climate change and social inclusion.

The PSG was also tasked with arranging meetings and workshops as and when required by the SUED team as part of the overall Programme roll out. The PSG was updated on a weekly basis on progress in the UEP process and the following meetings between the PSG and the SUED team took place.

The purpose of stakeholder engagement was to ensure that stakeholders’ interests are taken into consideration throughout development and reflected in the Mandera Urban Economic Plan. More specifically, the aims were:

> To provide a regular flow of information to and from key stakeholders.

The business consultations were undertaken by the local NGO Rural Agency for Community Development and Assistance (RACIDA) using the Kobo Toolbox where the interviewers used tablets to record the answers of the interviewees. Businesses were identified by the SUED team in consultation with the Municipal Manager and other key stakeholders such as the Chamber of Commerce to represent Mandera’s main sectoral activity.

A critical process in developing the UEP report has been stakeholder management including: > Project Steering Group meetings; > Stakeholder workshops; > Formal social inclusion consultations; and > Business consultations. A Project Steering Group (PSG) was formed to enable the exchange of ideas and information between the Municipal Board and the SUED technical team. The PSG was formed of the following members: > Municipal Manager; > County Physical Planner; > Municipal ICT (Information and Communications Technology) Expert; > Representative of Civil Society; > County Engineer; > Municipal Economist; > Special Interest Groups Representative; > Chamber of Commerce Representative; > Youth Representative; > Climate Change Champion- County Environmental Expert; and > Municipal Board Representatives. The aim is to ensure the PSG is representative of the needs and challenges associated with the town whilst being aligned and familiar with existing County and Municipal policies and regulations.

The Mandera stakeholders include: > County Government including the County Director; > Municipal Board including Chairperson, Vice-Chair, Municipal Manager and Board Members; > Business Representatives including Chamber of Commerce (KNCCI), organised business groups, traders and Jua Kali, SACCOs, banks and finance organisations, farmers and milk seller; > Utilities and Service Providers including the MANDAWASCO, and matatu associations.

> To understand better the interests of specific groups and how the Urban Economic Plan can benefit them, and

> To ensure that the development of the Urban Economic Plan is inclusive, will do no harm and is undertaken in a manner that fits with Mandera’s business and diverse community culture;

> Special Interest Groups (SIGs) including representatives for youth , women, Persons Living with HIV/AIDs and people living with disability (PWD), the key informants were the Department of Youth, Gender and Social Services, Mandera County, National Council for Persons with Disability, Mandera, Women for Peace & Development (WFPD), Focused Approach Development Concern (FADC), Mandera Youth Council

The development of the UEP and identification and prioritisation of proposed projects are grounded on key principles that support the Programme’s aim to create market driven growth and build resilience. The Atkins SUED Team has defined these principles as: 1. Sustainability: The UEP will promote green infrastructure that supports the development of the town while minimising the environmental impacts of increased population and economic activity in the future.

4. Resource Efficiency: To preserve the environmental assets of the Municipal and rural areas, the UEP will direct economic growth towards resource efficiency, by integrating the VCs to establish a circular economy promoting minimisation of waste and optimising water and energy use. While these principles are closely linked and overlap in their definition, each one of them emphasises a different aspect that is not fully captured by the others. Thus, it is important that all four principles are embedded and balanced in the UEP and its implementation. In addition to these principles, it is critical to ensure the UEP develops the competitiveness of the town.

18 1.4

2. Social Inclusion: The UEP will be gender and socially-inclusive, building on the stakeholder meetings and focus group discussions. Ensuring that the identified excluded groups of PWDs, Youth, Women and PlwHIV/AIDs are included in the UEP development process, to ensure that their impacts will equitably benefit all members of the community.

SUED Principles Source: Atkins, 2021 At its core the UEP seeks to create employment opportunities accessible to all and set out economic measures and supporting actions and projects that can help directly or indirectly lift local population out of poverty whilst supporting crucial livelihoods such as the informal sector. All proposed projects (VCs and infrastructure projects) contained within the UEP have been screened and refined for their contribution to improving livelihoods by considering availability; accessibility; affordability; acceptability; and adaptability, across special interest groups as well as the low-income groups, the urban poor and informal sector. The aim is to minimize inequalities and improve access to jobs opportunities for optimum benefits to the community.

Resilient Resource Efficient Socially InclusiveSustainable Main palette Secondary palette Sustainable › Low carbon development › Green energy › Green infrastructure Resilient › Shifts in the economy › Adaptive infrastructure to climate change › Smart Solutions Resource Efficient › Circular economy and zero waste › Water and energy management › Rural -urban linkages Socially Inclusive › Socio-economic trends › Vulnerable groups › Immigration/migration

3. Resilience: The prioritised projects will have to be resilient against shifts in the economy, both for domestic and international markets, to remain competitive. They will also need to be adaptive to the particularly challenging climate change impacts in Mandera, while ensuring technological advancement through smart solutions can be introduced where possible.

Key Principles

Figure 1.3

> Making recommendations for building institutional capacity for conflict sensitivity, and recommendations for the integration of conflict sensitivity in the UEP implementation; in order to avoid negative impacts and maximize the positive ones. This has been considered in the Sector action plans, Value Chain opportunities, Infrastructure Proposals, and throughout the development framework.

> Linking the conflict analysis to the UEP by integrating conflict sensitivity throughout the: Sector action plans, Value Chain opportunities, Infrastructure Proposals, and throughout the development framework; and

developmentUEPProfile CausesActorsDYNAMICS DYN A M ICS DYNAMICS Engagement VC infrastructureandproposals

Figure 1.4 SUED’s relationship to the conflict analysis

Conflict sensitivity in the UEP takes a three-step approach that includes: > Conflict analysis – helps us understand the context (headline findings presented in Section 2.3.2, and a more detailed analysis is provided in the Diagnostics Report);

1.5 Conflict sensitivity

MANDERA MUNICIPALITY URBAN ECONOMIC PLAN 19

Mandera Municipality is located in one of the most marginalised areas of the country and has a long history of conflict. Today, it is affected by cross-border conflict with Ethiopia and Somalia, clan-based conflict over resources and political power, violent extremism related to Al-Shabaab, as well as violence against women and girls. The UEP has the potential to influence conflict and insecurity in Mandera on the process or output level. In order to Do No Harm, there is a need to be sensitive to conflict in terms of the engagement process, as well as development and implementation of the value chain projects and urban Practicalinfrastructure.experience

has shown that an intervention’s impact on conflict depends not only on what is being done, but also on how it is being done. To avoid unintended negative impacts therefore, SUED’s development interventions in Mandera have been designed and shall be implemented in a conflict-sensitive manner.

As a minimum, conflict sensitivity means taking into account the mutual influence that exists between the conflict-affected environment and dynamics, and a project’s actions. This is intended to avoid any negative, conflict-aggravating impacts, and to strengthen all positive, de-escalating and peace-promoting impacts.

Source: Atkins, 2021

> Women: In Mandera, women normally engage in farming, small businesses, and sales (e.g. milk). For women who engage in agriculture and livestock, flooding can cause crop damage and loss of livestock, soil erosion, and land pasture degradation. Heat stress in livestock can lead to reduced reproduction, growth rates and milk production affecting food security and the products’ costs. Women’s lack of access to information and financial resources critically affects their ability to recover from these disasters. Road flooding disrupts their access to business premises. Harmful social norms and competing community and domestic responsibilities pose additional challenges.

Climate change is a serious risk to livelihoods, poverty reduction efforts, security, and it is imperative to understand exposure, vulnerabilities and build resilience into future projects through appropriate adaptation measures. There is a nexus between vulnerable groups, livelihoods, and shocks from critical events such as climate change, where vulnerabilities are enhanced in combination. These pressures are also intertwined with conflict and insecurity in Mandera where resource scarcity is one of the main driving forces behind conflict. Figure 1.5 shows the interactions between four negatively reinforcing challenges facing Mandera.

In Mandera, PWDs, youth, women and PwHIV/AIDs have been identified as groups that are often excluded spatially, socially, and economically:

Figure 1.5 Poverty climate nexus and resource driven conflict Source: Atkins, 2021 RESOURCE CONSTRAINTS

Mandera’s already challenging climate and disconnection from Kenya’s key economic centres (Mombasa and Nairobi) mean that the Municipality faces a range of serious resource constraints. Access to, and availability of, water resources is the main resource constraint Mandera faces. Mandera’s challenging climate and water scarcity results in inadequate pasture and decreased milk and animal production. Irrigated agriculture was only carried out by 15% of the population who live adjacent to the river Daua in 2005, this share has increased since then where more residents now engage in agro pastoralism1, while low and inconsistent rainfall limits the opportunity for rain-fed agriculture. This excludes much of the population from making a living from irrigated agricultural production.

20 1.6 Climate Change, Social Exclusion and Poverty Nexus

PovertyClimateNexusResourcescarcity(water) Conflict insecurityand andPovertysocialexclusionThreatclimateofchange

> PWDs: Statistically, PWDs are more likely to have lower levels of education, be illiterate or unemployed. Due to discrimination, they usually lack access to support networks and social capital than their able-bodied counterparts. PWDs also face limitations in their access to infrastructure and mobility, and climate events such as flooding can severely affect their economic activities and daily routines. Reduced mobility also limits their access to water sources at far distances when there are water shortages due to droughts. Extreme temperatures pose particular health risks to some PWDs.

SOCIAL EXCLUSION, POVERTY, AND CLIMATE CHANGE

1. Action Against Hunger. 2005. Nutritional Anthropometric Survey. Accessed 01/07/21: https://www.actionagainsthunger.org/sites/default/files/publications/ACF-NUT-Kenya-Mandera-Central-Khalalio-2003-05-EN.pdf

Poor and marginalised groups are disproportionately affected by the impacts of climate change and the depletion of natural resources. In general, livelihoods, most often in the informal sector, that are reliant on being able to trade every day are more vulnerable to disruption, be it a pandemic, or an environmental disaster. Low-income households that rely on weather-sensitive subsistence livelihoods such as agriculture or livestock are especially vulnerable.

> Youth: Youth dominate the transport sector in Mandera as boda boda, donkey carts or taxi operators. Extreme weather events render roads unpassable and reduce the service demand, thus affecting their income. Many youths also engage in casual labour on farmlands and climate hazards can severely affect their livelihoods. Youth lack involvement in decision-making processes and have reduced access to credit, which further complicates their ability to adapt to the impacts of climate change.

CONFLICT, POVERTY, AND CLIMATE CHANGE

As climate change amplifies extreme events, it destabilizes food and water supplies, resulting in increased competition for basic resources and in some instances, conflict. For instance, stakeholders in Mandera reported that in the past, fights have occurred between traders, and between traders and consumers over commodity prices especially during the rainy season. This is because when it floods commodity prices are hiked to cover the high cost of transportation of goods.2 Scarcity of water, pasture and land have traditionally been the key sources of conflict in Mandera where the community is largely pastoralist and reliant on these resources. Conflict over water resources can occur both at the international transboundary level, between Kenya and Ethiopia over the development of resources in the River Daua, cross-border between communities on different sides of the border, and between communities within the municipality competing over limited Climateresources.changecan act as an additional stressor in conflict contexts, increasing the risk of more conflicts and usually it is poorer community groups that are most at risk. For example, women and girls experience the nexus between climate change and peace and security in direct and profound ways. Women are often the providers of food, water, and energy for their families in Mandera, thus they are likely to face increased challenges in accessing resources due to climate change. This becomes a significant burden in conflict situations, where women may face increased risk of insecurity and violence in carrying out these daily tasks. In addition, women and girls displaced by climate events are more vulnerable to sexual and gender-based violence and other violations of their human rights. With water resources in the Municipality scarce, and changes in temperature and precipitation patterns likely to further reduce water availability, it is critical that adaptation efforts are designed and implemented in a manner that minimizes existing tension and prevents future conflict. Irrigation, greening, and water user-rights adaptation measures proposed in the UEP have therefore been screened to ensure that they are contributing to mainstreaming peace in the Municipality. These adaptation measures need to be appropriate to support income security and ensure the inclusion of marginalised groups. Increasing the resilience of current and future livelihoods and infrastructure is key to poverty reduction and has been addressed systematically throughout the UEP to avoid creating further exclusion and polarisation.

The stigmatisation of these groups reduces their social support networks, a key factor that enables groups to prepare for, respond to, and recover from, climate variability and shocks.

> PwHIV/AIDs: Most PwHIV/aids are involved in businesses and severe weather events and the disruption of roads affect their sales and livelihoods. This can also affect their food security, and their access to hospitals and medicines.

2. Conflict questionnaires 03 July 2021

MANDERA MUNICIPALITY URBAN ECONOMIC PLAN 21

Covid-19 Impacts in Kenya In Kenya, the impact of COVID-19 has been real and devastating. The pandemic has significantly impacted all aspects of life such as health, institutional revenues, and livelihoods. COVID-19 has hit the most vulnerable the hardest, particularly the densely-populated informal settlements and slums, as well as other people lacking access to adequate housing and basic services. The informal economy, employing about 70% of Kenyans, has been drastically affected as lockdowns and curfews were introduced to curb the transmission of the virus. Low-wage earners have been hit the hardest because they rely on the informal sector and daily wages. Mostly, they lack the option to work from home as they are mostly in the service industries and more exposed to the virus. Despite the low wages, some have also received pay cuts, and some have lost their jobs all together. There has been loss of revenue due to reduced activities in other sectors like industry, commerce and hospitality with the effects felt throughout their supply chains.

> Kenya is the world’s number 2 exporter of tea and world’s number 4 exporter in flowers and both these critical industries have experienced a negative impact from COVID-19 related restrictions. For instance, tea prices declined by 18% year-over-year in May, reaching the lowest point since 2014 and fresh cut flower sales declined by about 40% in March versus the previous month.

> Increased awareness of hygiene signifies increased demand for limited resources like water as well as increased demand for disinfectant used for hand cleaning and sanitization with additional costs to society, particularly where access is not straightforward.

Persons with disability have been left without vital support and advocacy due to social distancing. The majority of PWDs in SUED Municipalities operate small businesses in market centres, which have been adversely affected therefore experience livelihood loss. For PWDs that rely on their hands for walking and are sole bread winners, the question of not touching surfaces is not applicable and they therefore are at high risk of being infected with COVID-19. Street families are also highly exposed to the danger of the virus because they lack shelter. Many of them rely on market centres where they ferry goods for a wage, and with the closure of markets they have lost livelihoods.

> Disruptions in global supply chains have also led to shortages or delays for critical inputs for agriculture, ultimately disrupting production and food supply and manufacturing, leading to price increases.

Travel restrictions have led to a sharp and substantial fall in demand for movement and subsequent impacts on supply chains: > Road freight and logistics have been interrupted as long-distance truck drivers are suspected to be a major source of imported infections and transmission. This has had implications for trade and cross-border activities. Goods take longer to reach destinations. For perishable agricultural commodities, post-harvest loses become rampant.

Emerging evidence on the impact of COVID-19 suggests that women’s economic and productive lives has been affected disproportionately by comparison with men. This is because women earn less, save less, and are more likely to be employed in the informal sector. Their capacity to absorb economic shocks is therefore less than that of men. Women are also the majority of front-line health workforce and caregivers and therefore at higher risk. Cultural factors may restrict women’s access to information and services, and some women may be particularly affected e.g. older women living alone, and isolation may lead to an increased risk of violence in the home. Young people are already among the most affected by the socio-economic impacts of COVID-19. In addition to losing employment, closure of businesses, and keeping away from schools and universities, the youth are also at high risk of increased anxiety and mental health problems. Additionally, the youth make up more than 30% of the migrants and refugees’ population who are likely to be disproportionately affected due to limited movement and fewer employment opportunities occasioned by the pandemic. Young women and girls are also at high risk of many forms of domestic and gender-based violence during the pandemic.

The COVID-19 outbreak has affected people differently based on their age, gender, (dis)ability, sexual orientation, health status, migrant status, and ethnicity among other characteristics. Naturally, crises exacerbate existing gender inequalities, exclusion and discriminative practices, and the vulnerable groups are highly likely to be more adversely affected by the outbreak and the consequences of the response.

22 1.7

> Movement of vehicle and stock has been stopped.

It will be important to draw lessons from the current crisis to inform long-term planning and ensure resilience is imbedded in the proposed projects under this UEP. This is an opportunity to get insights into a future fully-fledged climate change crisis and Municipalities have a critical role to play in addressing these challenges. Some initial key lessons include: > Emphasising the need for adaptive, urban integrated plans to ensure sustainable urban development and infrastructure provision including appropriate housing for all that can help minimise impact from high risks.

> Traders have a significantly reduced supply of goods.

> Prioritising policies to confront spatial, social, and economic exclusion with the aim of cushioning the vulnerable in the face of another shock.

> Improving marketing efficiency through adoption of innovative processes that connect buyers and sellers. This may include the adoption of technology to promote marketing and information sharing, and formalizing product delivery services, etc.

> The collapse of border programmes of NGOs and a significant loss of funding.

> Leveraging information technology (IT) systems to better-match the required transport demand with excess supply in real time and provide travel pattern visibility, helping passenger and logistics operations become nimbler, considering a quickly evolving context.

> Making sure public awareness campaigns are consistently available to all in a format and language understandable to all.

In Mandera, the majority of businesses highlighted in the business consultations that their businesses had been negatively impacted by the effects of the COVID-19 pandemic. Where the main challenges it presented were:

> Inputs into other sectors were reduced as a result, for example fertilisers for agriculture.

LESSONS LEARNED FROM COVID-19

> Prices of goods rose.

MANDERA MUNICIPALITY URBAN ECONOMIC PLAN 23

> Overall economic activity and footfall has declined significantly.

> Redefining green spaces and the way city centres are designed for business.

> Many businesses had to close, and many residents lost their jobs. > Reduced medical supplies and drugs to Mandera.

> Strengthening preparedness and emergency response capacity is critical. This means better preparedness in terms of financing, service delivery and business continuity including budgeting for future crises, emergency operations centres, capacity building, drills, and human resources redeployment plans.

> Ensuring resilient supply chains for agricultural and manufacturing sectors focus on local inputs to ensure food security and safeguard export-oriented products.

> Targeting women and girls in all efforts. It will be vital to intentionally apply gender ‘lenses’ to the design of social assistance programmes and economic stimulus programmes to achieve greater opportunities, social protection and meaningful impact.

> The Government of Kenya has banned livestock markets along the border with Somalia.

> School closures meant many of the students have had to find other sources of livelihood, most of the children got married, and others joined labourers.

> The containment measures have caused adverse impacts on food security and livelihoods.

Appendix D - Climate Vulnerability Assessment

This has been undertaken to outline the climate vulnerability context for the selected infrastructure projects to be developed in Mandera. The Climate Vulnerability Assessment will complement associated pre-feasibility and feasibility study.

Section 2 provides a summary of key findings from the Diagnostics Report which forms the basis for the development of the UEP. Summaries of the demographic and economic profiles and the infrastructure and environmental assessments are presented. The section details the key challenges and drivers for growth, identifying Mandera’s key sectors.

This captures the process followed from identification to assessment of growth opportunities for Mandera and provides recommendations on those with the greatest potential to maximise benefits and be developed further. The contents of this report will form the backbone of the UEP.

Appendix C – Mandera Gender and Social Inclusion Report

The report is supported by a series of appendices, in which:

This study was a key part of the diagnostic process and engaged with special interest groups through interviews and focus group discussions. The study identified the groups excluded from socio-economic activities in Mandera. The study made recommendations for the SUED programme to ensure inclusion and address barriers for these groups (communication, physical, attitudinal, and organisational).

Structure of this Report

Appendix B – Technical Briefing Paper

Section 4 set outs the Urban Economic Development Plan. Each of the key sectors are presented with a summary of its SWOT analysis and a Sector Action Plan. The identified Value Chain projects are then set out in detail.

Section 5 outlines the Development Framework and supporting climate-resilient infrastructure projects that have been identified for enabling urban and economic growth within Mandera. Section 6 presents a range of implementation considerations to support the next stages of the SUED Programme.

Section 3 introduces Mandera’s development concept and how it aligns to exiting plans. It is supported by the economic vision developed by the local stakeholders.

The purpose of the report is to assess the current position of the economy and state of infrastructure, alongside the regional, national, and international context, before the consideration of emerging economic growth opportunities and infrastructure needs.

Following this introduction, the report is structured as follows:

24 1.8

Appendix A – Mandera Diagnostic Report

Mandera DiagnosticsUrban Before any proposed interventions are developed it is important to understand the local development context and potential opportunities and barriers to growth. The Municipality’s assessment has been undertaken in the UEP diagnostic process, as presented in Appendix A. The diagnostics phase was a critical process to establish a solid foundation for identifying solutions that can deliver economic, social, and environmental benefits. This section provides a summary of the diagnostic report’s assessment of: > Mandera’s planning and regional context, its socio-economic profile, with urban and economic conditions and trends; > The state of existing infrastructure; > Environmental and climate risks.

26 2.

2.1 Study Area and Regional Context

The geographical focus and study area of this report is Mandera Municipality which is situated within Mandera County and located at the North-Eastern corner of the County and Country, bordering Ethiopia in the north and Somalia in the northeast. In terms of administrative units, Mandera Municipality is defined by Khalalio, Mandera Township and Neboi wards.3 Mandera Municipality is the Administrative centre of Mandera County and home to the County ManderaHeadquarters.Countyshares a long history of political and economic marginalisation. Mandera is also disconnected from Kenya’s key economic centres, where it is located - just under 800km northeast of Nairobi - it can take up to three days to reach Mandera from Nairobi. Still today, the region is largely under-developed with high poverty levels and low economic outputs. Mandera County forms part of the Frontier Counties Development Council (FCDC) - an umbrella for Kenya’s Arid and Semi-Arid Lands (ASALS). 3. IDeP (2019-2024)

MANDERA URBAN ECONOMIC PLAN (UEP ) 27

Figure 2.1 Mandera within FCDC economic bloc Source: Atkins (2021)

The planning context sets the basis for the development of the UEP. The Diagnostic Report (in Appendix A) covers: key international and national trends likely to influence the sustainable growth trajectory of Mandera; national strategies and policies, and Mandera’s own priorities and ambitions. Mandera County is one of the new two-tier governance systems thanks to the devolution process being operationalised since 2013. The County Integrated Development Plan is grounded upon the Vision 2030, the MTP III, the NSP and international targets such as the Sustainable Development Goals. The CIDP sets out a range of development priorities and strategies for the County. They are set out under 14 priority sectors. Each sector has a sector plan with a number of comprehensive sector programmes related to specific objectives, outcomes and targets. The Mandera Municipality Integrated Development Plan 2019-2024 is a policy position to guide the future growth and management of urban areas within the Municipality. As part of the IDeP, the Spatial Development Framework sets four spatial strategies.

The Integrated Strategic Urban Development Plan 2015-2035 operates on a longer timescale than the IDeP and focuses on the urban area within the Municipal Boundary. It includes Digital Maps, Structure Plan, Action Area Plans, Detailed Area Plans, Capital Investment Plan (CIP), and sector plans (including Transportation Plan, Environment Management Plan, Culture and Heritage Conservation Plan and Disaster Management Plan). In addition, it outlines Planning Policies and regulations.

MANDERA URBAN ECONOMIC PLAN (UEP )28

2.2 Planning Context

> Establishing appropriate legal frameworks and incentives to attract investors for opportunities in the exploitation of natural resources, such as minerals, gums and resins, and livestock-processing.

> Improving local value-addition to agricultural produce, for example in dairy production (livestock value chains, oil crops value chains, and the value addition of vegetables and farm produce); and

The CIDP, IDeP and ISUDP identify high-level economic opportunities for Mandera:

> Improving conditions for cross-border trade, for example by improving transportation services such as urban roads, construction of the airport and tarmacking Mandera-Nairobi Road; > Improving agricultural output by utilising River Daua for irrigation agriculture and promoting dry land agriculture by investing in water harvesting, modern technology and value addition;

Mandera has an extremely remote location within the country. It is historically under-developed due to political and economic marginalisation as well as harsh climate conditions that make agricultural production, the main source of livelihoods, very challenging. However, recent policies have made a strategic commitment towards strengthening the northeast region – a development from which Mandera, a key urban centre in this region, can benefit. Today, some of Kenya’s most significant infrastructure projects are being planned and developed within the region, which can have positive spill over effects for the Municipality.

Figure

The current planning area has three urban nodes, these are the existing CBD, Neboi and Koromey. Neboi is a mix of residential and river-irrigated agricultural activity and Koromey is occupied mostly by residential areas, livestock farming, and rain-fed agricultural activity. The existing CBD is mixed-use commercial, public and high-density residential, whereby residential densities are highest within Mandera Town. Public purpose activities are located here including government offices, police posts, a post office, and religious institutions. Unplanned development and growth in the Municipality has resulted in urban sprawl where it is encroaching on the agricultural land along the River Daua. There is no room for development to the northeast where growth is restricted by the borders of Somalia and Ethiopia. There is however a lot of developable land in the municipality in particular to the Thesouthwest.overallgrowth strategy for Mandera Municipality is defined in the ISUDP with a geographic focus on the Planning Area. The direction of growth of the town is planned to take place along three main corridors of B95 Road, A13 and C322, promoting transit-oriented development and connecting smaller urban and trading centres. 2.2 land use of the Municipality Source: Atkins (2021)

State of Mandera

Existing

MANDERA URBAN ECONOMIC PLAN (UEP ) 29 2.3

2.3.1 Municipality Character Mandera County shares a long history of political and economic marginalisation. Still today, the region is largely under-developed with high poverty levels and low economic outputs. However, its location at the borders of Somalia and Ethiopia is also a strategic one, Mandera has been developing its role as a regional hub of business activity, trade and services for the region and Mandera Triangle. Devolution sparked significant urban growth whereby the infrastructure and service offering of Mandera has improved significantly and Mandera is now relatively more developed than neighbouring Gedo (Somalia) and Dolow Odow (Ethiopia).

The Diagnostics Report sets out a high-level analysis of conflict and insecurity in the Municipality. The analysis is based on a literature review conducted for the UK Government in order to inform its policymaking as part of the K4D Emerging Issues Report4, and the findings of a comprehensive stakeholder engagement in Mandera by the National Cohesion and Integration Commission in 2017.5 The following is a high-level summary of the conflict context of Mandera. There are five types of conflict in Mandera, these are highly interconnected and include: (1) ethno-political conflict, (2) cross-border conflict, (3) violent extremism, (4) pastoralist-related, resource and land conflicts, (5) violence against women and girls.

The four broad areas of structural causes for conflict in Mandera have been identified as (1) weak social contract, (2) regional inequality and marginalisation, (3) clan conflict over resources and (4) political power. Scarcity of water, pasture and land have traditionally been one of the key sources of conflict in Mandera where the community is largely pastoralist and reliant on these resources.6 In most cases, the roles these actors play within the conflict is not one dimensional and can lead to division as well as integration.

6. Haider, Conflict Analysis of North Eastern Kenya: K4D Emerging Issues Report, (2020) Figure 2.3 Types of conflict in Mandera Source: Atkins, 2021 Radicalism

BorderCross

MANDERA URBAN ECONOMIC PLAN (UEP )30

4. Haider, H., Conflict analysis of North Eastern Kenya. K4D Emerging Issues Report, (2020)

2.3.2 Conflict profile

5. NCIC, Voices of the People: Challenges to Peace in Mandera County (2017)

politicalEthnoGenderPastoralismRelatedBased

OfficialsMilitaryOfficialsPoliceOfficials

MANDERA URBAN ECONOMIC PLAN (UEP ) 31 Figure 2.4 Overview of conflict actors Source: Atkins based on Haider (2020) DRIVERS OF PEACE DRIVERS OF CONFLICT Government

Local knowledge and legi�macy to drive conflict resolu�on Risk of being perceived as favouring one clan over another Na�onal Task Force for Police Reform to improve accountability

Successful mobilisers for peace in the region O�en excluded from poli�cal decision-making process

Customary and religious leaders play a key role in influencing a�tudes and behaviour in Mandera

InfluenceExternal

Youth forums bring together members from different clans across Mandera County Trends of radicalisa�on amongst Youth through Al-Shabaab

Mistrust amongst the popula�on due to lack of accountability

communityBusinessGroupsReligiousElders

Strong stake in basic peace and security and have thus been ac�ve supporters of local peace commi�ees Business interests some�mes interlink with clan conflicts

Government & Security Agents Civil OrganisationSociety

History of State violence against local popula�on led to mistrust

Suspicion by the Kenyan government of suppor�ng Al-Shabaab, while at the same �me targeted by Al-Shabaab as enemies of the cause

YouthWomen

RefugeesSomalisKenyan

Historically, Elders hold a key role in Somali society as a force for establishing order Mobilising voters along ethnic and clan lines and provoking conflict. Elders tend to reject women’s engagement in poli�cs

BorderCross Clans Al Shabab Al Hijra Clan conflict o�en spills over the borders.

Increasingly be�er representa�on of Kenyan Somalis in Kenya’s poli�cs and economy ‘Othering’ of Kenyan Somali ci�zens An�-refugee sen�ments and discrimina�on against Somali refugees across the North EastKenyan Somalis & Refugees

Main security threat in the region Support to Al Shabaab

Conflict areas 1 Quarry Area

Atkins, based on PSG Workshop 09/10 March 2021 Ethiopia Somalia RoadtoNairobi Neboi TownshipKenya5 1 42 3 Border Point 6 Softu Crossing Point 7 8 Key ManderaRoads Municipality ConservationAgriculturalUrbanCountyHeadquartersQuarrysitesGarre,Degodia&other

• These communities are mainly farmers 3 Marehan Community • Area is occupied by Manhem Community • The community occupies both Somalia & Kenya side • They assist each other even during inter-clan wars 4 Murulle Community • Mainly farmers (livestock keeping)

comer tribes Marehan Community Murulle Community Mandera

• Area experiences Insecurity due to fightscommunityoverquarry sites 2 Garre, Degodia & Other corner tribes

• It is a community of warriors 5 Road to Nairobi through Elwak • It was closed in 2014 due to frequent terror attacks • Very limited business is operated along the road due to terror attacks & proximity to Somalia 6 Border Point Border Fence • Border fence of about 26km • Concrete wire and patrol path for security personnel No mans-land • It has been encroached • Only 200m stretch is left from the fence on both sides Trade • Border is closed so traders mainly smuggle goods across the border • Goods from Somalia are mainly Sugar, Oil, Rice • Mode of transport is mainly donkey 7 Softu Crossing Point • Currently people are crossing the river by use of drums • Bridge is proposed for improvement/ construction by the world bank 8 River Dawa • Disagreement over the use of the river and banks between Ethiopia, Kenya and Somalia

MANDERA URBAN ECONOMIC PLAN (UEP )32 Figure 2.5 Spatial profile of Mandera’s actors and communities

Source:

>

MANDERA URBAN ECONOMIC PLAN (UEP ) 33

>

Socio-Economic and Demographic Profile DEMOGRAPHIC PROFILE Mandera County was the only county in Kenya to experience a population decline between the 2009 and 2019 census.

Conflict and peace dynamics can be described as the resulting interactions between the conflict profile, actors, and the causes, that either drive the situation towards increased conflict or support conflict resolution. Common immediate causes of conflict include: Dispute over land, dispute over access to River Daua, natural disasters, elections, outbreaks of violence across the borders by Al Shabab, changes in border regimes, and foreign investors and donors. The list below is a high-level summary of what has been defined as key conflict and peace dynamics in the literature review:

Historically the northeast region has been marginalised economically, politically, socially, in terms of accessibility, health and education. Roughly 70% of residents in the FCDC economic bloc live in poverty (compared to 58% national average) and have poor access to basic services.

>

7. European Union Emergency Trust Fund For Stability, Cross-Border Analysis And Mapping Cluster 2: Kenya-Somalia-Ethiopia, 2016 8. European Union Emergency Trust Fund For Stability, Cross-Border Analysis And Mapping Cluster 2: Kenya-Somalia-Ethiopia, 2016 2.3.3

> Ongoing cross-border conflict Ongoing process of devolution with ‘double-edged’ impact on peace and conflict Resource depletion and climate change intensifying conflict over resources Radicalisation and violent extremism Common cross-border Somali identity > Shared utilities between communities > Common business interests Common challenges and peace committees

>

Migration from Ethiopia and Somalia: Most of the people who migrate from Somalia and Ethiopia to take up jobs or education in Mandera Municipality stay because opportunities are better.7 For example, a common migration trend where Ethiopians migrate from the towns of Suftu and Doolow Ado into Mandera to take up manual labour opportunities in Mandera Town.8

Short-term employment related migration: Migration from across Kenya to take up employment in military, police, civil service, or service professions such as health and education.

Socio-economic indicators fall significantly below the national average. As well as the historical marginalisation, the economic bloc faces considerable trials going forward such as frequent droughts which threaten the viability of livestock, the main source of food and income for nearly all of the FCDC’s population. Conflict in the neighbouring countries has also had a sizable impact on the economy, labour force and wellbeing of Mandera’s residents.

Population in the County has declined significantly, where recent Al-Shabaab violence has driven away many people who moved to Mandera for work. However, the Municipality experienced population growth and has an estimated population of roughly 138,000, reflecting growth of 3% per annum from the 2009 Census population estimate of 108,000.

The Municipality has a high population density, with most population concentrated in Mandera Town. The population growth in Mandera Municipality can be attributed to a number of factors: Rural-urban migration within the County: Rural residents abandon agro-pastoralism for job opportunities in urban areas as development in infrastructure in Mandera Municipality and Mandera Town attracts people into the Municipality with better access to the markets, hospitals, and schools.

>

> Discrimination – In addition to PWDs being looked down upon, the community also uses offensive labels for them and they face discrimination in employment; the misperception that PWDs are not able to work is a common one.

> Lack of disability-friendly infrastructure – PWDs face challenges in accessing vital spaces and buildings. For physically challenged people, accessing public transport, government offices and other spaces like markets is a challenge as most of these places are not designed inclusively.

Source: Atkins, 2021

> Information barriers – Both the County and national Governments, and projects and programmes do not develop communication plans with PWDs in mind e.g. walk into any meeting, and you’ll find hearing and visually impaired people left out of important conversations due to the lack of Braille material or sign language interpreters. The situation is even more challenging in hospitals, where deaf people or people with speech impairments are treated by doctors who do not understand their language.

The approach to gender and social inclusion (GeSI) was guided by the SUED Programme’s need for age, gender, Persons with Disability (PWDs) and refugees’ inclusion, and the Consultant’s use of a three-dimensional approach covering social, economic, and spatial dimensions of inclusion as illustrated in Figure 2.6. Three Dimension of Inclusion

Social inclusion is also cognisant of this nexus and this report has looked into how the UEP can adopt inclusive climate adaptation approaches to avoid exclusion of some groups, and how infrastructure and VCs can be made more resilient to climate shocks. This is informed with the understanding that climate impacts hit vulnerable groups the hardest, as well as factoring-in inclusivity in all forms of planning to reduce inequalities and poverty. Mandera Municipality’s status of gender and social inclusivity has also been assessed and evaluated in terms of who the excluded groups are: how, why and when they are excluded; excluded groups’ perception of themselves; economic activities they engage in and the challenges they face; as well as the community’s view of these groups. Despite the County’s plans and successful implementation of some, KIIs and FGDs conducted at the Municipality level established that PWDs, youth, women and PlwHIV/AIDs still feel excluded as explained below.

MANDERA URBAN ECONOMIC PLAN (UEP )34

SOCIAL INCLUSION

Figure 2.6 The

PWDs: > Lack of PWDs’ involvement in decision-making –Often PWDs are hardly involved in planning for projects. They are even left out decision-making on matters that concern them.

> Partial to complete lack of implementation of disability laws – Lack of governments, projects, and programmes’ goodwill to implement disability-related laws that lead to PWDs being left out in job and procurement opportunities allocation, and the use of demeaning language against PWDs.

Women: > Harmful cultural practices and social norms – Women’s exclusion in the Municipality was reported to be propelled by negative cultural practices like female genital mutilation (FGM), a lower valuation of girls’ education as compared with boys, and early marriages etc. that prevent women from fully participating in the development agenda.

People with HIV/Aids:

MANDERA URBAN ECONOMIC PLAN (UEP ) 35

> Challenges accessing capital – most of the PlwHIV/AIDs operate micro-enterprises but face challenges accessing business capital. Mostly they have no support at all as they have been shunned even by their families, and their businesses are at a constant risk of collapsing if customers discover their HIV status.

The four groups face challenges that are either caused by, or lead to, exclusion. It was also established that SIGs are usually the most adversely affected by incidents of conflict and extreme climate conditions (see Section 1.5).

> Corruption – This causes County Government benefits not to trickle down to the youths because there are cartels working in between the governments and youth. On the AGPO procurement opportunities for example, youths’ educational qualifications are used by financially-able persons to win tenders, but once won, the youth are not involved and never benefit.

> Community’s attitudinal barriers – Instances of the community perceiving the youth as destructors were reported. This comes from the youth being associated with violent extremism and drug abuse, and consequently being left out of key development activities.

As such, developing Mandera into a gender-sensitive, socially inclusive Municipality will require that the Municipal leadership, and all stakeholders, consistently make decisions and take actions that promote non-discrimination. These decisions and actions will be social, economic and/or spatial in nature, and will help to address the gender and social inclusion gaps that exist in the Municipality.

Youth: > Lack of involvement in decision-making – Culturally, decision-making is mainly the preserve of elderly men. This leaves out youth, yet they are vital agents of social change in key issues like conflict resolution. This creates a gap between the youth and the government and/or projects because the youth do not get opportunities to express their views about projects or matters that concern them.

> Stigmatisation – Those whose status is known reported that they were facing isolation by their own families, being chased out of their workplace, and not being allowed to mingle with others.

> Lack of involvement in decision-making – Culturally, decision-making is mainly the preserve of elderly men. This leaves out women, despite their great potential to contribute towards economic growth.

> Information barriers – Although highly industrious, women mostly miss out on opportunities as they are too busy with house chores to attend project meetings where key decisions regarding them are made.

> Harsh societal judgment – The community views them as impure, immoral and as ones who brought the illness upon themselves. This leads to people, including their families, not wanting to associate with them in any way.

> Low literacy levels and challenges in accessing business capital – These were also highlighted as some of the challenges to women’s access to economic opportunities.

> High youth unemployment, substance abuse, and high rates of HIV infections – These remain hindrances to achieving an economically thriving youth populace in the Municipality.

The FCDC region contributes towards just 5% of national output, despite covering the largest land mass of all Kenya’s economic blocs. All of the counties in the economic bloc contribute 1% or less of Kenya’s total output. Mandera contributes 0.5% to national GDP, as the 5 th smallest economy in the country9, ranking 43rd of the 47 counties.

> Pastoralism (in the pastoral livelihood zones); > Agro-pastoralism (along the river including irrigated crops, livestock keeping and riverine farming);

> Formal and informal employment concentrated in urban centres, commerce and trading concentrated in urban centres.

9. KNBS, Gross County Product Report (2019 Mandera’s economy, like the economic bloc’s, is dominated by subsistence-based agricultural activity, despite its challenging climate, arid land, and limited water supply. The three main sources of livelihood in the County and Municipality are:

Gross County Product per capita, 2017 (in KSH)

Source: KNBS, Gross

Source: KNBS, Gross County Product (2019)

Figure 2.8 below represents a sectoral share breakdown of Mandera County’s economy, the key sector in the County is agriculture forestry and fishing, followed by public services and technical services. There is no existing manufacturing sector in Mandera.

Nyandarua Nairobi Nakuru Kiambu Machakos Bomet Kisumu Narok 100,000150,000200,000250,000300,000350,000400,00050,0000 Laikipia Meru Kericho Uasin-Gishu Nandi Kisii RiverTana Makueni Isiolo Bungoma Siaya Kitui Garissa Kilifi Turkana Mandera GCP per capita (2017) Kenya average Technical Services Mining & Utilities Public services Retail, hospitality and other services Construction and logistics 10%14% 10%3%40%23% Agriculture Figure 2.8 Mandera GCP Sectoral Breakdown

Mandera’s GCP per capita is the single lowest in the country at 48,000 KES per capita, compared with the national average of 161,499. Figure 2.7 shows that the majority of the counties in FCDC, including Mandera, have a lower GCP per capita than the national average.

Figure 2.7 GCP per capita in Kenya by County

County Product (2019)

MANDERA URBAN ECONOMIC PLAN (UEP )36 ECONOMIC PROFILE

MANDERA URBAN ECONOMIC PLAN (UEP ) 37

High unemployment rates among the young population and few employment options available (the main employer being the County Government) leads to a sense of hopelessness making young people vulnerable to being radicalised. Youth radicalisation has been identified as one of the key concerns in Mandera Municipality by the PSG.12

Northern Kenya has seen a rise in commerce and other business opportunities, with an expanding business community that has a strong but variable stake in peace and conflict.11 Mandera has a strong existing base of businesses, NGOs, cooperatives, financial services and SACCOs which are used by traders in Gedo and Doolow as well as Mandera’s residents.

The main challenges cited by businesses in Mandera face are:

The closure of the border had a significant impact on the supply chains of Mandera’s businesses in particular its livestock market, and many businesses have felt the impact of reduced footfall as a result of the border closing. COVID-19 has reduced supply and demand due to movement restrictions.

11. DDG, Conflict Assessment, Northern Kenya and Somaliland, 2014 12. PSG workshop op 09/10 March 2021

> A lack of capacity and skills; > Environmental factors and climate change; > Poor infrastructure; > Limited access to finance; and > Governance regulation and taxation.

The majority of businesses indicated that they would like to grow the business in the future. The main factors that respondents felt would enable their businesses to grow were access to finance, improved transport, water and energy infrastructure, capacity building and training, and improved border regime and security.

10. World Bank IBRD-IDA Ease of Doing Business Rankings. Available at: https://www.doingbusiness.org/en/rankings (accessed 22/4/2021)

Most businesses operate locally, selling their goods or services in Mandera Town and the wider County. Amongst the businesses consulted, there was also a considerable number of businesses that exported goods outside of Kenya, which is linked to Mandera’s strategic location at the border with Somalia and Ethiopia. Most of the businesses that export outside of Kenya, do so to Somalia and Ethiopia and dominantly to the nearby towns of Belled Hawo (Somalia) and Dolo and Suftu (Ethiopia). Most businesses sell to individual customers (local 46/50 and non-local 34/50). Fewer businesses sell to other businesses (30/50), distributors and intermediaries, and SACCOs (15/50).

The Kenya Integrated Household Budget Survey 2015-2016 highlights that Mandera’s labour force is underdeveloped relative to the rest of Kenya, where relatively low education and conflict are driving this. Before devolution, education was neglected in Mandera, however post-devolution, interventions are changing this.

Mandera Municipality is the commercial centre for the region. This position has been attained as a result of a combination of better medical, education and financial services, and security, than is available over the border in Ethiopia or Somalia. By comparison with its neighbours, Kenya is ranked highly for ease of doing business. In the 2019 World Bank rankings for overall ease of doing business, Kenya is ranked 56th, Ethiopia 159th, and Somalia is last at 190th.10

Consultations were undertaken with 50 businesses, reflecting Mandera’s main sectoral activities, with in-depth interviews to inform the understanding of the business environment and socio-economic inclusion. The businesses consulted in range and size, having from just one to 550 employees. The gender breakdown of employees was close to one third female and nearly two thirds male. All businesses stated that they have employees that are considered youths, over half reported employing women, nearly half of the businesses reported employing PWDs, and only two businesses reported employing refugees.

Figure 2.9 shows that 43% of Mandera County’s and just 31% of Mandera East’s population is working, these are both lower than the national average of 48%. These figures provide only an indication of the employment profile of Mandera, the data does not capture the informal activity of the total population.

THE STATE OF BUSINESS IN MANDERA

The ongoing conflict and insecurity have resulted in fear and uncertainty, and therefore have led to reduced economic activity in Mandera.

Figure 2.9 Share of population in work in Mandera and Mandera East Source: KNBS 2019 Census, Population by socio-economic characteristic Mandera East KenyaMandera 0% 10% 31% 15% 55% 43%43%48% 6% 46% 13% 20% 30% 40% 50% 60% 70% 80% 90% 100% Working Person outside the labour forceSeeking work/ No work available

MANDERA URBAN ECONOMIC PLAN (UEP )38

Infrastructure Overview

Poor drainage and flood protec�on of the town and agricultural land from the River Daua and its tributaries Border crossing to Ethiopia across River Daua by ra�s is not appropriate cross-borderfortrade, Transport Road accessibility to and within the Municipality is poor, Flooding of roads during rainy season and insecurity (conflict) make travelling difficult, NMT is the dominant mode share (90%), but there is li�le NMT serving infrastructure Mandera is not connected to the na�onal grid (Instead, Mandera has its own mini-grid, owned and operated by KPLC) For cooking, people predominantly s�ll use firewood, charcoal and paraffin.

There are no recycling facili�es, with theirburninghouseholdsmostorburyingwaste, Waste is pollu�ng land and rivers Open dumpsite at Border Point 1 is full, with no NEMA license,

No sewer system or treatment works in the Municipality with people using pit latrines, Need for irriga�on to support agriculture, while also reducing the impact of flooding on food produc�on Solid Waste Energy Demand for energy is outstripping supply and electricity costs are high, 70%-80% of households in the Municipality are connected to power, Mandera is not part of the dieselmini-gridtheKPLCandtransmissionKETRACOnetworkisnotservicedbymainnetworks,butCountyhasitsownoperatedbygenerators,

2.4

Drainage

The Municipality’s infrastructure has been assessed and evaluated in its current provision and state to identify strengths and critical gaps. The assessments also reviewed proposed or planned projects for how they respond to Mandera’s infrastructure challenges. Overall, to address the existing infrastructure challenges and barriers to growth, Mandera will need to upgrade existing infrastructure and commit to new projects to support economic growth and development. Key infrastructure gaps identified are: Main water source is the River Daua, which is dry for 3 months of the year Current daily water supply is 720m3, while daily water demand isOnly 6% of the Municipal area is served by piped water (remainder uses boreholes and wells), 5,500m3

Water Wastewater

WATER SUPPLY, WASTEWATER, AND DRAINAGE

> There is no sewer system or treatment works in the Municipality with people using pit latrines;

> Poor drainage and flood protection of the town and agricultural land from the River Daua and its tributaries.

> The border crossing to Ethiopia across River Daua by rafts is not appropriate for cross-border trade.

ENERGY > Demand for energy is outstripping supply and electricity costs are high; > Mandera is not connected to the national grid (instead, Mandera has its own mini-grid, owned and operated by KPLC); > 70%-80% of households in the Municipality are connected to power;

> Main water source is the River Daua, which is dry for 3 months of the year; > Current daily water supply is 720m3, while daily water demand is 5,500m3;

SOLID WASTE > Open dumpsite at Border Point 1 is full, with no NEMA license;

> There are no recycling facilities, with most households burning or burying their waste; > Waste is polluting land and rivers.

> Mandera is not part of the KETRACO transmission network and is not serviced by KPLC main networks, but the County has its own mini-grid operated by diesel generators; and > For cooking, people predominantly still use firewood, charcoal and paraffin.

TRANSPORT > Road accessibility to and within the Municipality is poor;

> The need for irrigation to support agriculture, while also reducing the impact of flooding on food production; and

> The flooding of roads during rainy season and insecurity (conflict) make travelling difficult;

MANDERA URBAN ECONOMIC PLAN (UEP ) 39

> Only 6% of the Municipal area is served by piped water (remainder uses boreholes and wells);

> NMT is the dominant mode share (90%), but there is little NMT serving infrastructure; and

3.1 Overview The UEP provides an overarching development concept to guide the realisation of economic opportunities in Mandera, as defined in the sectoral action plans (Section 4.2), value chain opportunities (Section 4.3), and supported by the development framework of climate-resilient infrastructure projects (Section 5). A number of value chain projects have been identified and assessed to act as potential anchor projects for Mandera Municipality, while the Development Framework (Section 5) prioritises the climateresilient and inclusive infrastructure projects that will be required to support economic growth. This section presents the concept and overview to these elements, as demonstrated in Figure 3.1. 40

ConceptDevelopment

3.

MANDERA URBAN ECONOMIC PLAN (UEP ) 41 Figure 3.1

Economic Development Plan - elements

The model for development for Mandera Municipality is founded on the UEP principles set out in Section 1, and through collaboration with Mandera’s stakeholders. It aims to strengthen Mandera’s economic position as an economic hub for the Mandera Triangle’s communities and beyond, based on its existing strengths and competitive advantages relative to the communities around Mandera, whilst taking into account the unique conflict situation.

The Mandera development concept has a purpose to realise significant socio-economic and place-making benefits for all of Mandera’s residents and businesses through value-addition, sectoral development, infrastructure upgrades and new well-located functions and service provision.

Source: Atkins, 2021

EconomicVisionSector Action Plan & Value Chain DevelopmentOpportunitiesProjectFramework & Priority Infrastructure Projects

Source: Atkins, 2021

Focusing on understanding conflict & resources issues within upstream supply chain to ensure Do no Harm approach (also consider the environmental and social inclusion implications).

Economic Sector Plans

Action Plans supporting key economic sectors and VCs (Agriculture and Livestock, Commerce Markets and Cross Border Trade, Services and Public Sector).

Hub for trade, commerce, social infrastructure & supporting services in the triangle and region (Focus Area 2 - New CBD site)

This list of VCs will be refined through consultation

> Proposes a diverse range of VC opportunities for Mandera to support equitable and peaceful economic growth;

Vision & Objectives

> Consolidates and plans for the future of Mandera’s role as an economic hub for the isolated communities in the Mandera triangle and beyond. This is driven by the development of the commerce markets and trade, and service sectors, and the creation of new employment opportunities;

Development Framework Food security and a Centre for value addition (Focus Area 1 - Neboi Industrial cluster)

> Integrates climate resilience and social inclusion throughout the proposed urban development interventions, infrastructure proposals, VC projects, and sector action plans;

MANDERA URBAN ECONOMIC PLAN (UEP )Informed42 by the Diagnostics Report and engagement with the Mandera PSG and stakeholders, the UEP:

> Applies the Do No Harm approach throughout. The overall development concept to deliver on this purpose is presented right in Figure 3.2 3.2 Overview of the Mandera development concept

Regional and cross border economic hub Value Chain Opportunities 30 individual VCs within 8 VC Groups

> Promotes effective urban regeneration, centred around transport facilities in the CBD as transit-orientated development (TOD) to support the realisation of the new centre of Mandera;

> Delivers a liveable and organised town environment through infrastructure upgrades and place/public realm improvements. This considers safe and inclusive access to public transport travel, green infrastructure corridors, effective solid waste management, flood management, streetlighting and street features, and universal access for all citizens; and

> Lays out the potential of Mandera for investors, and ultimately helps to build Mandera’s reputation as a high potential location to attract investment;

> Considers the opportunities for Mandera within the evolving context of the Municipality, driven by, for example, climate change, the development of dams, conditions at the Somalia border and other nationally-important infrastructure projects such as the Isiolo-Mandera road and LAPSET;

Figure

>

Mandera’s Vision

A vision statement for the UEP was developed and tested with the Mandera PSG and key stakeholders at the UEP workshop (workshop 3) to be articulated as: clean and secure, economic and service hub for the isolated communities of the Region and the Mandera Triangle, which fosters cohesive communities, and opportunities for all, whilst preserving its natural resources and promoting the health and welfare of its citizens”

“A

A visioning exercise was undertaken at the outline UEP workshop. Stakeholders were asked to consider the key elements of a UEP vision, where proposed vision statements were submitted by 30 stakeholders. The team analysed these responses to identify common objectives: Business/economic/commercial hub, > Peaceful city, > Strong supporting infrastructure, > Agricultural centre/food secure, > Integrated and cohesive communities, > Clean city, > Secure city, > Smart town, > Resilient/sustainable/green city, > Centre of development for health and education, > Good quality of life/healthy, > Inclusive.

MANDERA URBAN ECONOMIC PLAN (UEP ) 43 3.2

The realisation of key external developments as noted above within the timeframes will also underpin the implementation of certain VCs and infrastructure projects. Understanding this chain of events gives way to a possible prioritisation and phasing of the identified VCs. It also highlights the extent of economic potential in Mandera, and its limitations, should these major external projects not materialise. This is further considered and set out in the next section.

>

> Business

Thus, indicative timeframes have been assigned as shown in Figure 3.3 which provide a notional development path in the short, medium, and long-term.

MANDERA URBAN ECONOMIC PLAN (UEP )44 3.3

>

DELIVERY TIMESCALES AND PHASING

>

>

The UEP aims to strengthen the Municipality’s economic role, based on its competitive and comparative advantages, while protecting the peace and security of the municipality to realise Mandera’s potential as a regional hub. The Economic Development Plan for Mandera is based on the economic vision presented above which will be supported through the development of different VCs and supporting the strengths and tackling the challenges of Mandera’s key economic sectors.

>

>

Unlike other localities, Mandera’s future economic trajectory is highly reliant on exogenous factors that could influence the direction and scale of development. These include two critical influences: the reopening of the border with Somalia which is currently closed, and the potential arising from the construction of dams. The implementation timeframe for these is currently unknown, however, it would be important to consider the potential implications on Mandera’s future.

The VCs are supported by a set of Sector Action Plans which respond to challenges identified at the diagnostics phase for the Municipality’s key economic sectors – agriculture and livestock, commerce markets and cross-border trade, and services. These were assessed according to a SWOT framework that utilised data gathering, stakeholder engagement and business consultation to identify the opportunities and threats for each sector. These action plans build on the SWOTs, the findings from the VC assessments in Mandera’s TBP, and the stakeholder engagement to ensure the realisation of economic opportunities and the mitigation of threats. The key sectors cut across the activities of all of the 8 VC groups and look to strengthen their potential through recommending a set of soft interventions. Through these interventions the SUED principles have been considered and integrated into their recommendations. As is detailed at the end of this section both the VCs and the SAPs have been developed taking into account the Do No Harm Approach.

Economic Development Sector Action Plans and the VCs

At the centre of the development concept for Mandera are the Value Chain Projects that will promote green economic growth. Despite the harsh climate, the Municipality offers significant potential for value-addition. Section 4.2 presents 23 potential VCs for Mandera categorised into 8 VC groups. Given the unique conflict and insecurity context, and challenging resource dependencies in Mandera, VCs are not shortlisted further, but rather considered in detail in terms of benefits arising from the development and distributional effects across the different communities as well as requirements for a stable upstream supply chain to ensure their long-term viability/ sustainability. The aim is to foster informed dialogue on the most appropriate opportunities to pursue, and their phasing, explained further below. The 8 VC groups are as follows: Fruit and vegetable processing Business incubator and support Milk processing Milling and oil pressing Tanning and related activities Gums and resin sorting and processing Construction blocks and building materials power and supporting services incubator and support

> Off-grid

>

MANDERA URBAN ECONOMIC PLAN (UEP ) 45 Figure 3.3 Timeframe characteristics of Mandera Source: Atkins, 2021 Short Term 0-3 Years Spatial Focus: Neboi and CBD Key VCs that: • Do not require much resources • Focus on local inputs and local excess supply and serving local demand • Focus on building capacity of local labour • Are less likely to trigger conflict Water supply is restricted without access to the Dam Medium Term 4-5 years • BAU with next phase of projects (further processing or new) • Explore wider domestic sources of inputs and domestic markets • WB Climate Smart Agriculture Programme impacts/investments starting to take off • Additional investment in infrastructure realised Long Term Considering the full realisation of potential for Mandera within the Mandera Triangle • A Dam in place that allows reliable water supply and production expansion • Utilise produce from Ethiopia and Somalia • Explore international trade/opening of Somalia boarders, bridge access to Ethiopia • Old CBD regeneration as Export hub

> Provided a Sample Do No Harm Checklist for Projects at the UEP Implementation Phase in Appendix E.

> Acted upon this understanding through mitigation and next step recommendations to limit negative effects and maximize positive effects; and

Development Framework overview

Focus area 2: the New CBD will become the centre for formal commerce, trade, retail, and administration, and create formal employment opportunities in the County. It will also look to include the informal sector (i.e. trade) in its development by maintaining ties to the old CBD. This CBD will look to pull development away from Mandera’s boarders to the southwestern part of the Municipality. The development framework, in particular the individual infrastructure proformas, are also considered in relation to the timeframes set out in Figure 3.3. Section 5 sets out the Development Framework and the proposed infrastructure projects in detail.

The development concept as a minimum applies the Do No Harm Principle, through understanding the context of conflict and insecurity in Mandera and how it interacts with the SUED programme.

The benefits of the VCs will therefore not be limited to any single subset of society in Mandera. Further, the sector plans, and related value chain projects, have been carefully chosen to ensure positive effects for peaceful development. Throughout every stage of consultations with stakeholders, conflict and insecurity has been a key theme of discussion, where the proposals of SUED and their interactions with Mandera’s conflict and insecurity context have been discussed.

In order to realise the economic potential identified the UEP provides Mandera with an overarching Development Framework to guide the development of priority climate-resilient and inclusive infrastructure projects (Section 5.2 - 5.5). The Development Framework highlights two focus areas, which relate to the key economic sectors and VCs as:

> Who/where is impacted directly? (Are groups excluded from the provision/benefit);

Focus area 1: near Neboi Centre will be the industrial and agri-processing centre of Mandera, well located away from urban sprawl, near to the river Daua where a range of products can be processed for value-addition. This will be planned for modular expansion. Through value addition this focus area will aim to provide a reliable income to agro-pastoralist communities in Mandera and the region and improve the food security of the region.

> Who/where is impacted indirectly? (Through the supply chains of the VCs);

The approach of the UEP itself has been developed with conflict and insecurity in mind. A total of 23 individual VC opportunities are proposed to ensure different communities, who engage in different activities as sources of livelihood, are all included in the proposals of this UEP.

To ensure that the proposals within the UEP do no harm, the UEP has: > Understood the context of conflict and insecurity in Mandera; > Understood the interactions between SUED and this context;

The direction and nature of Mandera’s development has also been influenced by the different communities and clans residing in the Municipality. This unique dynamic has been the point of departure for the UEP’s development concept.

> What are the potential mitigation measures? (e.g., design parameters, inclusion etc).

MANDERA URBAN ECONOMIC PLAN (UEP )46

Conflict Sensitivity is acting with the understanding that any initiative conducted in a conflictaffected environment will interact with that conflict and thus influence this conflict positively

To develop the understanding of the conflict and insecurity context, the key questions that were considered included:

There is great potential for the interventions to positively-impact the conflict context with the right planning. Economic development, which mitigates climate change effects along with greater humanitarian aid and other approaches, can help with conflict prevention13. The implementation of the UEP by local actors should look to build on the knowledge of the conflict and insecurity context in Mandera and the interactions with the proposals that are taken forward.

3.4

> Are there risks of triggering conflict or insecurity? (And what type of conflict/insecurity); and

Furthermore, all of the proposals and the direction of development has been considered, and focuses on areas that are neutral, following strategic direction set by the County and Municipality.

13 International Crisis Group, How Climate Science Can Help Conflict Prevention, (2021) 3.5 Conflict sensitivity

4.1 Economic Development Plan Mandera is one of the key economic centres for the Mandera triangle (as shown in Figure 4.2), with approximately 138,000 inhabitants in the Municipality. Mandera offers more services and commerce than towns in its vicinity in Kenya, Somalia and Ethiopia, and as a result the bordering communities often visit Mandera to use its health services, educational institutions, markets, banks, and businesses. While services, trade and commerce are key to Mandera’s economy, and offer great potential for its future, the majority of Mandera’s residents rely on agro-pastoralism as a source of livelihoods. The County’s growing economy suggests that there are opportunities to consolidate the secondary and tertiary sectors and take advantage of the interlinking priorities of the Becausesectors.ofthis, the economic development plan for Mandera Municipality must be integrated and reflect co-dependent interventions. 48

DevelopmentEconomic

4.

11HRS Potential supply chain radius Figure 4.1 a potential hub for isolated economies Source: Atkins, 2021

MANDERA URBAN ECONOMIC PLAN (UEP ) 49

As with every growing economy, sectors are strongly interrelated, and development cannot be thought of in silos. Strong linkages between sectors are essential to achieving this – for instance, the development of agri-processing, whether that is processing per se, packaging, branding, marketing, or export, can only succeed if supported by a reliable agriculture sector and developed service activities. If well-planned, sectoral growth could trigger ‘spill over effects’, whereby skills and sectoral development can foster entrepreneurship. This is particularly important in the case of Mandera, where the isolated location of the town means that it is challenging to source the supporting services and inputs from Nairobi, Mombasa, Mogadishu and Addis Ababa. Figure 4.1 shows that the shortest drive to a capital is the 11+ hours’ drive to Mogadishu. Mandera, and much of the surrounding communities, are in a similar position where they cannot access the supporting services and goods that other communities closer to Nairobi can. However, this gap presents an opportunity for Mandera. Mandera needs to be partially self-sufficient and have developed supporting sectors and services to support the development of its core economic activities. Where none of the surrounding communities have the capacity to process their produce or provide the services that are planned within the VCs, Mandera can, in the longer term, utilise the wider area’s labour, supply chains, produce and customers. The “potential supply chain radius” area shown in Figure 4.1, shows a high-level understanding of the potential area that Mandera can serve in its role as an economic hub. This is based on the existing understanding of the lack of economic hubs in this area.

Mandera

ETHIOPIA KENYA SOMALIA Addis Ababa Negele Dire Moyale Gilgil Baydhabo Jawhar Kismaayo Nairobi County Mogadishu, Somalia Mandera,Mandera,Kenya Marsabit

Mandera Triangle

25HRS25HRS

the

sets out these interactions between sectoral actions and the role of the

The diagram County’s

following

MANDERA URBAN ECONOMIC PLAN (UEP )Mandera50 has a range of different actors and institutions including Cooperatives, SACCOs, IFIs, NGOs, entrepreneurs, educational institutions, financial institutions, and businesses. Fostering strong linkages between these institutions and identified sectors, as well as developing new ones, will also be crucial for the Mandera’s development.

institutions and how they will support the 8 VC groups proposed in Section 4.2. Fruit processingvegetableand Milk processing Milling and oil pressing Tanning and related activities Business incubator and support Gums and resin sorting processingand buildingConstructionblocksandmaterials Off-grid power andservicessupporting Commercialise the agriculture and livestock sector B1 - Make Mandera a more attractive and inclusive place to do business and B2live- Better support for businesses and B3start-ups-Plan for the transition of the existing, CBD A3 — Agri and Livestock sector downstream interventions A4 — Agri and Livestock sector upstream interventions A5 - Support the use of local skills A6 - Support farmers in unlocking finance A2 - Combat against rangeland degradation A1 - Reliable, inclusive water source for farmers Cl - Plan to develop Mandera’s service sector Plan for Mandera to become a service hub for the region More livestockagricultureresilientandsector Develop Mandera as a commerce hub for the region Value Chain Projects Sector Action Plans Figure 4.2 Economic Development Plan - Overview and Interactions Source: Atkins, 2021

The Sector Action Plans consist of a mix of soft interventions such as education and training, changes to systems such as skills development, technology availability, and smaller infrastructure recommendations such as local or household water capturing. These look across the sectors at a more macro level than is done for the VCs.

Mandera County is one of the hottest arid counties in Kenya.16

The agriculture activity in Mandera is a mix of larger irrigated farms along the river Daua and household rain-fed agricultural activity in the more arid areas of the Municipality. The Sector action plan will look at the interventions to help boost the output of the livestock sector and agricultural production.

Livestock production dominates the agricultural sector in the FCDC counties and there is a high potential for irrigated agriculture along the Tana River and Ewaso Nyiro River basins15.

MANDERA URBAN ECONOMIC PLAN (UEP ) 51 4.2 Economic Sector Action Plans 14. CGoK, Agricultural sector development strategy (2018) 15. World Bank, Social Economic Blueprint For The Frontier Counties Development Council (FCDC) 2018-2030 16. DDG, Conflict Assessment, Northern Kenya and Somaliland, 2014 17. CIDP, (2018-2022)

Three key sectors have been identified for further assessment, with an Action Plan formulated for each sector. The Action Plans are premised on the SWOT analysis undertaken at the Diagnostics Reporting stage (Appendix A). Summaries of the SWOTs are presented below for each sector. These Action Plans have been informed through the SUED business consultation exercise (Section 1.3), workshops with local stakeholders and data analyses. Ultimately the aim of these plans is to provide clear actions for the development of sectors in their own right, as well as promoting ecosystems of VCs, and identifying appropriate climate-resilient and inclusive infrastructure proposals to support growth. Sectors are designed to be developed in synergy rather than in silos, meaning that some actions are likely to be cross-sectoral. The sectoral action plans also consider the challenges related to sustainability, climate resilience, inclusivity, circular economy, and conflict sensitivity.

4.2.1 Agriculture and livestock Agriculture is a sector of fundamental importance to Kenya’s economy. It accounts for approximately 25% of annual GDP with a further 25% through the sector’s supply chain and related spending. Agriculture represents 65% of Kenya’s exports and accounts for 70% of informal employment in rural areas14. As such, developing the sector has been identified as a central component of the country’s growth strategy, as clearly reflected in Vision 2030. There is significant emphasis in developing agri-processing nationally, with the aim to create 200,000 new jobs and to triple production, with the higher values on the global market a key incentive. Kenya’s Agricultural Sector Transformation and Growth Strategy (ASTGS) aims to increase the contribution of agri-processing to GDP by 50%.

The FCDC economic bloc relies heavily on the agriculture and livestock sector, with 47% of the economic bloc’s total GCP coming from the agriculture, forestry, and fishing sector.

The County’s economy relies heavily on its agriculture sector, with 40% of the overall GCP derived from these activities. The majority of the County’s population is rural and pastoral, and according to the CIDP, pastoralism contributes approximately 72% of total household income in the County.17 Activities are largely subsistence-based and limited to raw produce and its transporting and selling.

> Training sector players like the Ministry of Agriculture and Livestock, municipal leadership, farmers and pastoralists of all gender and age groups on conflict sensitivity/management, and support peacebuilding actors and activities; and

Opportunities exist for a peaceful development in the sector, including:

Opportunities Threats

MANDERA URBAN ECONOMIC PLAN (UEP )52

› Climate change, flood, drought, locusts › High prevalence of diseases › Poor waste management pollutes soil and water › Export routes are unpredictable › There is a shortage of water for pastoralists › Lack of skilled labour to develop processingagriculturesector › Limited supporting aspects for processing such as marketing, logistics, supply chain links and management › Scarcity of water, pasture and land have traditionally been one of the key sources of conflict in Mandera › Processing constrained by unreliable power sources

AGRICULTURE AND LIVESTOCK, AND CONFLICT

> Distributing opportunities across the VC projects in the sector equally and carefully so that no one feels discriminated against and both farmers and pastoralists feel catered for by the UEP;

> Supporting projects to enhance the resilience of the water, agriculture, and livestock sectors.

› Value addition (a glut of produce yoghurt, milk, fruits)

> Equal resource-sharing, and inclusion of all groups and communities in the various value chain projects under the sector and along their supply chains;

› New export markets and trade routes › Build on interventions of agencies in Mandera › Potential for larger areas to be irrigated › Daua canal Masterplan aims to reach dry inland areas, by storing water allowing the river to flow for 12 months, rather than current 9 months

18. Conflict questionnaires 03 July 2021

The agriculture and livestock sector is not only important for general food security and poverty reduction in the Municipality, it was also highlighted by stakeholders as one that would benefit conflict-prone areas the most. However, the sector is also predisposed to resource-based conflict as it is highly dependent on shared, natural resources such as water and grazing land. Stakeholders reported that in the past, community groups have fought over water and pasture, over water points in Yedo, and resource-based conflict in Banisa.18 Climate change, in the form of higher temperatures, rainfall variability, and the potential for more intense drought will place additional pressure on natural resources, and could exacerbate existing tensions.

› The economic bloc, in particular the northeast has the greatest concentration of pastoral communities in the country › Organisation and cooperation of livestock and agricultural produce in particular milk (excess demand for milk)

› Arid climate and low output › Most output consumed locally leaving little surplus for processing › Inadequate bulking and › Crops highly perishable, and no cold storage › Inadequate water supply and pasture › Limited access to credit, information (know-how) and inputs (seeds) › Gluts in rainy seasons, oversupply to the markets › Sellers have little power in the live animal market, over supply › Inadequate access to abattoirs and tanneries › Hot and windy conditions quickly spread livestock and crop diseases › Border crossing to Ethiopia across River Daua by rafts is not appropriate for cross-border trade

Strengths Weaknesses › Marketing system for live animals is unregulated, but sophisticated › Stable agriculture market due to limited supply and competition › Access to one of the main resourcesirrigationintheregion › Fertile land › Good markets for livestock produce in Mandera

› Utilise invasive Mathenge as feed, as was successful in Turkana21

Reliable, inclusive water source for farmers

› Insurance for farmers who take up solar-powered irrigation systems (e.g. Turkana and Isiolo Counties are encouraging the uptake of financial and insurance facilities for purchase of SPIS).

› Management practices - indigenous vegetation enclosures20.

› Development of clear water and pasture use guidelines by the National/County governments, anchored on inclusive engagement of all the sector players and communities involved.

Mandera needs to develop a plan for water management, which considers climate change risks, the impact of upstream catchment activities on water quantity and quality, and the sector’s requirements, and align these with the Municipality’s water needs. This would look to integrate the water and wastewater proformas contained within the Development Framework (Section 5) and further inclusive, household level interventions such as:

› Expand use of soil conservation techniques. The Livelihoods Fund focuses on land restoration to increase food security and preserve water resources19 (Vi Agroforestry and Brookside).

Organisations such as USAID, Islamic Relief, Kenya Integrated Water Sanitation and Hygiene Project, Kenya’s Drylands Development Programme, and the AfDB’s Kenya Towns Sustainable Water Supply and Sanitation Programme are implementing these measures across Kenya.

A2 –rangelandCombatdegradation

Livestock production is constrained by a perennial challenge of fodder scarcity, which reduces sustainability and increases conflict over grazing. The following are potential mitigation interventions:

› Commercialize grass farming and income, through leasing conserved grazing fields

Promoting these interventions through farmer groups encourages inclusivity. This needs to be accompanied by initiatives such as changing farmer groups and associations’ membership requirements and developing awareness sessions to promote SIGs’ participation in these groups. This will contribute to including them in decision-making processes and enhance their access to information.

› Sustainably-planned community boreholes. These can be implemented quickly, considering groundwater availability.

› Rangeland reseeding to rehabilitate overgrazed rangelands.

A1 –

MANDERA URBAN ECONOMIC PLAN (UEP ) 53 Table 4.1 Agriculture and livestock sector Action Plan Aim Action Description More livestockagricultureresilientandsector

› Influence where farmers graze their livestock through the collection network detailed in Section 4.2.2

› Lining and expansion of existing small-scale water pans.

The FAO, KALRO, World Bank and BORESHA have implemented fodder production and storage programmes across Mandera. Many of the agri-processing VC groups (Section 4.2) also look to produce fodder using bi-products. 19. Farming First,Why Increasing Smallholder Resilience Starts with Soils, 2018. Available at: https://farmingfirst.org/2018/05/why-increasing-smallholder-resilience-starts-with-soils/ 20. Community-Based Conservation: An Emerging Land Use at the Livestock-Wildlife Interface in Northern Kenya | IntechOpen 21. Turkana residents turn Mathenge into animal feed - The Standard (standardmedia.co.ke)

› Commercialisation of fodder and provision of fattening lots; › Increasing water points for livestock.

› Cold storage for milk, slaughterhouses.

› Involve men and women in training on proper milk handling, guarantee their access to cold storage facilities, and incentivize women’s groups to support their access to credit e.g. table banking.

22 Resilience | Mandera

› Understanding and enabling investment in optimal breeds for Mandera, with a particular view to those adapted for increased heat.

Improved storage is particularly important given rising temperatures, while the scaling up of index-based livestock insurance can be an important step to enhancing the resilience of pastoral livelihoods in the face of the increasing likelihood of extreme climate events. Index-based insurance has the benefit of reducing the need to assess losses, something that can be a particular challenge in a dispersed, pastoral environment.

The livestock sector is well-established, and a lot of the tools are already there, the next steps for this sector are the development of downstream supply chains (bulking, collection, and value addition). Potential interventions include:

› Insurance mechanism for crops and livestock (compensation for damage or loss).

MANDERA URBAN ECONOMIC PLAN (UEP )54 Aim Action Description sectorandtheCommercialiseLivestockAgriculture

› Improving the management of different existing extension services for farmer training by NGOs, cooperatives and other organisations in Mandera. Extension services should specifically include climate-smart practices.

› Better and more vet services; the government had proposed the establishment of a regional disease investigation and diagnostic center to serve the County and neighbouring regions in Southern Ethiopia and neighbouring Somalia regions. The laboratory was to be located in Garbakole area near Mandera town22

› Creating sector messaging to attract more young people to participate in farming; engaging youth in the development of Mandera’s key sector will reduce their exposure to radicalisation.

› Better bulking and collection systems for milk (more details on the collection network in the VCs).

› Managing issues around seasonality; in droughts livestock owners lose a lot of stock, but they are also reluctant to sell their stock in the droughts as they don’t want to lose it all.

A3 – Livestock sector There is an opportunity to improve the quality of the outputs through:

› A stable offtake and prices for farmers.

A3 – Livestock sector downstream interventions

› Contract farming, where the market is guaranteed for farmers and availing insurance services encourages farmers to adopt resilient crops through reducing the risk to farmers. Index-based, and micro-insurance products have been successfully trialed as adaptation measures for farmers across Kenya .

› Introduce and subsidise technology that helps farmers to better store and process produce - such as Gunia bags; high costs usually prevent farmers from adopting technology. This action could be complemented with a digital communication strategy to reach smallholders, in particular SIGs, to access information about scheduled collection services, availability of storage facilities, and technology. This strategy could also be used to communicate market opportunities, short-term and seasonal weather forecasts, and training opportunities. Ensure this communication is in formats and languages accessible to all.

Farmers need guaranteed demand to take the leap to new or more resilient crops. This can be helped through:

A4 – Agriculture sector downstream interventions

The crops produced are of high value, however, much of the produce perishes before reaching the market. The markets are often flooded with produce in rainy seasons and sellers have little power. There needs to be better planning around:

› Where appropriate, encourage agricultural mechanization (reports from the County indicates they bought farm tractors, ploughs, harrows and trailer for their Agricultural Mechanization Services station)23. These opportunities and information should be equally accessible to SIGs, remote populations, and other vulnerable groups. The promotion of new technologies needs to be culturally-appropriate and affordable or accompanied by financial and technical support.

MANDERA URBAN ECONOMIC PLAN (UEP ) 55 Aim Action Description sectorandtheCommercialiseLivestockAgriculture

› The VC projects will help to stimulate demand and provide farmers with a consistent market for these projects.

A4 – Agriculture sector upstream interventions A Plan for the sector - The agriculture sector has grown in an unorganised manner, with uptake of agriculture having been promoted by the council and government to encourage diversification. This has resulted in a diverse but unorganised agriculture sector. The next step is greater planning:

› Preserving, cool and dry storage (detailed in VCs), which is particularly important as higher temperatures and more extreme events are likely to increase post-harvest losses.

› A stable offtake and prices for farmers (VCs will support this).

23. Agriculture – County Government of Mandera

› Collection and bulking (detailed in VCs)

› There needs to be an understanding around what are the optimal crops to grow, considering varieties have the optimal output in line with the VCs, and are most resilient to climate change and variability.

A5 – Support the use of local GivenskillsMandera’s remote location, the sector would be more resilient and commercially viable with shorter/more local supply chains.

› Teaching farmers best financial practices, such as saving, borrowing against your savings, and insuring against losses

Maximise use of local labour through training, input provision and raising the aspirations of young people. Most of the existing courses offered are in business and agriculture. Potential training and education interventions include:

› Training in the factory for students (factory workers, administration, sales and marketing, product development, health and safety, business standards and regulations, packaging and labelling requirements, food hygiene).

› The Food and Agriculture Organisation (FAO) supported cooperatives in Niger by providing secure warehouses for local farmers to store end-ofseason surplus. The cooperatives and financial institution retain a storage facility key each, who then negotiate loans for the farmers.

› Facilitating connections of educational institutions in Mandera to national higher education institutions.

MANDERA URBAN ECONOMIC PLAN (UEP )56 Aim Action Description sectorandtheCommercialiseLivestockAgriculture

› Training around climate-smart agricultural techniques, and available inputs/resources.

› Training centres should also consider outreach sessions to local communities. The location, timing, and length of trainings should be compatible to women’s care and community responsibilities. Training formats should be gender-sensitive and accessible to all.

› The agriculture collection network can offer a similar financial model to the Solidarity Fund for Development, a model promoted by an NGO (INADES), where it records the quantities of produce farmers bring to the collection centre. This system also incentivises farmers not to sell to middlemen for quick liquidity.

A6 – Support farmers in unlocking finance Business consultations highlighted that Mandera’s informal workers did not have the collateral for a loan from a financial institution. Some potential measures that may fit the needs of Mandera include:

› Consider developing low-cost and accessible training opportunities for out-of-school youth, low-income communities, and people with low literacy levels.

› Ensure SIGs are communicated to about these training opportunities.

› Kenya’s Agricultural Transformation and Growth Strategy also suggests a vehicle to support access to finance through accelerators and financiers.

› Ensure SIGs are included in this training and these opportunities, and that there are options tailored for their needs. Hold awareness sessions to make the economic and domestic contributions from women visible, and to progressively encourage greater sharing of decision-making and income within the household (e.g. family budgeting, financial management, etc.). These interventions should also plan to be Shariah-compliant. All of these interventions should be done step-by-step and with the support of organisations that are already working towards gender equality and the reduction of gender-based violence.

› Courses at the TVET institute should reflect the planned direction of growth for Mandera. Relevant technical courses that will support the VCs could include engineering, management, and ICT.

Lack of access to finance and credit is frequently highlighted as a major barrier to being able to effectively adapt to climate change, and improving access to finance will increase the options available to communities to adapt to climate change.

Case Study: Agro-pastoral Field School (APFS) In Mandera, hands-on learning methods for producing, managing and utilizing fodder are taught through an APFS – a ‘school without walls’, where groups of 20 to 30 agro-pastoralists engage in experiential and participatory learning sessions. A total of 10 APFS groups have been formed across 5 project sites. The activities are part of a Partnership Programme on drought resilience between FAO and the Intergovernmental Authority on Development (IGAD), implemented since 2016 together with the Agency for Technical Cooperation and Development (ACTED) in Kenya, the Mandera County Government, and funded by the Swiss Agency for Development and Cooperation (SDC). Men, women and youth all take part equally during APFS learning sessions. Shanqaray Hassan Mohamed, Vice Chair of one of the Girissa APFS groups in Mandera, said this has helped overcome traditional barriers: “Women and youth have benefited from experimenting as well as from the learning process as a whole, since initially they were not part of decision-making in the community. With the APFS, women are able to produce, store and sell hay bales and are therefore no longer dependent on men for most of their upkeep. We have successfully replicated fodder production at our farms, improving our output and enhancing our living standards.”

MANDERA URBAN ECONOMIC PLAN (UEP ) 57

24. https://mandera.go.ke/trade-industrialization-cooperative-development(23 July 2021) 25 Conflict questionnaires 03 July 2021

Strengths Weaknesses

The sector has been affected by conflict in the past with some communities, consumers and traders fighting over control of certain business areas, unsettled debts, commodity prices (especially during the rainy season when prices are hiked), business rivalry in Rhamu, and unrest caused by the Somalia/ Kenya border closure.25 The main conflict concerns in the sector are the insecurity threats, and traders’ management of costs of Conflict-sensitiveitems. business practice in Mandera would therefore involve: > At national level, consideration of security measures that do not paralyse legitimate trade. The Mandera leadership has in the past requested for a reopening of the border for resumption of legitimate cross-border trade. Improved security will also attract more investors;

> Equal resource sharing, and inclusion of all groups and communities in the various value chain projects, and their supply chains under the sector; and

.

MANDERA URBAN ECONOMIC PLAN (UEP )58

COMMERCE MARKETS AND CROSS BORDER TRADE, AND CONFLICT

> At Municipal level, training of sector players like the Ministry of Trade, municipal leadership, and business persons of all gender and age groups on conflict sensitivity/management, and support peacebuilding actors and activities;

4.2.2 Commerce, Markets and Cross-Border Trade Trade is an anchor sector in the Municipality. The County’s Trade Development Sector has built market infrastructure, conducted business registration for all businesses and entrepreneurial training, offered business advisory services and counselling to traders and launched the County Trade Development Fund.24 Mandera Town acts as a regional hub for cross-border trade (in particular camel) and for transit trade between Kenya, Somalia and Ethiopia. The economies of the Mandera Triangle are very well integrated and the Mandera/Beledhawo/ Doolow borders are a critical set of corridors for commerce and livestock sales for the entire region. Petty trade is a growing sector and source of livelihood in the cross-border area with wholesalers, middlemen and retailers as key players. Mandera is also a transit zone for goods destined for Ethiopia from Somalia. This trade activity creates significant additional footfall in Mandera Municipality and traders often buy from local traders when they are passing through.

> Provision of climate-resilient infrastructure and flood management solutions, as flooding was reported to result in higher commodity prices.

› Mandera town has and still does act as a regional hub for cross-border trade › Strategic location at the borders › Diverse market and business offering › Significant passing trade › More activity/choice than bordering communities › Access to an airstrip › Border closures create uncertainty for businesses › Roads flooded in rainy seasons › NMT is the dominant mode share (90%) › High prices of goods than rest of Kenya › B95 to Nairobi is in need of repair and threatened by insecurity › Market infrastructure is partly inadequate

Activity in the sector is currently concentrated in the existing CBD, where it is strategically located to access Somalia and Ethiopia’s borders with ease. The existing CBD’s location at the border also leaves it vulnerable to insecurity and conflict and therefore the ISUDP proposes a shift to the new CBD. It is possible that some of the informal activity and cross-border related businesses will remain at the existing CBD.

Opportunities Threats › Develop Mandera as a commerce hub for Triangle/region › Value-addition of Mandera’s raw materials before export › Nationally important transport interventions in the region › Through traffic › Business community functions as a stabiliser in conflict › Plan for livestocknewmarket › Insecurity and conflict are detrimental to business confidence › Supply chains are vulnerable to conflict insecurity › Uncertainty around border status makes it difficult to plan Mandera’s opportunities as a trade hub › Significant smuggling of illegal substances and goods › Mandera is susceptible to changes in Ethiopia/ Somalia trade policy

› New bus terminal › Links to a livestock Market Hub › Green Boulevards suitable for NMT

Plans to support businesses and start-ups in Mandera should look to facilitate:

MANDERA URBAN ECONOMIC PLAN (UEP ) 59 Table 4.2

Commerce, Markets and Cross border trade sector action plan Aim Action Description

One vehicle for facilitating this is cooperatives, which can foster cooperation between different communities within Mandera and across the border (to foster peace). Mandera County Department of Trade Industrialisation and Cooperative Development is setting up a trade and a La-Riba ‘None interest’ cooperative fund facility targeting business and cooperative societies.26

The potential for growth of MSMEs is restricted by inadequate capital, limited market access, poor infrastructure, inadequate knowledge and skills and rapid changes in technology.

It was often cited in the business consultations that there is a lack of knowhow and businesses management knowledge of entrepreneurs (in particular youths) in Mandera.

› Grand Mosque/Central Park › Keeping the centre clean

The new infrastructure should follow principles of inclusive design to ensure easy access, safety, and use for everyone, and climate resilience to reduce disruption from extreme events. There are specific social inclusion and climate resilience recommendations for each infrastructure projects in Section 5.

B2 – Better support for businesses and start-ups

Some of the potential training services to be provided by SME accelerators are highlighted in Kenya’s Agricultural Transformation and Growth Strategy. This activity should seek to include specific support to business to help adapt to climate change and manage business disruption from extreme events.

› Access to knowledge › Access to finance › Access to markets › Knowledge networks

Develop Mandera as a commerce hub for Triangle/region

B1 – Make Mandera a more attractive and inclusive place to do business and live At the moment conflict and insecurity is a significant barrier to attracting non-local Kenyans. Mandera is however a relatively more attractive place to do business that the bordering communities. Mandera lacks sufficient infrastructure to make it attractive to businesses and investors. National and regional-level transport interventions that will improve the connectivity between Mandera and the rest of Kenya, more local place-making, and infrastructure proposals highlighted in the development framework for the new CBD include:

Development of the service sector could include support to entrepreneurs, start-ups, traders and businesses in Mandera.

› Mixed Use (M/U) development blocks

It is recommended to consider additional options that are accessible and affordable to SIGs, particularly to those that might not actively participate in cooperatives. An example of this is the Community-Based Entrepreneurship Development (C-BED) initiative from the International Labour Office (ILO), explained in the VC group 8. 26. https://mandera.go.ke/trade-industrialization-cooperative-development/

Aim Action Description

› Facilitate transport and pedestrian access between the old CBD and the New CBD.

Doing this will mitigate the disruption of livelihoods and economic activities of the small businesses that remain in the old CBD.

MANDERA URBAN ECONOMIC PLAN (UEP )60

It should be acknowledged that much of the existing activity at the border will likely remain there due to its strategic location for cross-border trade.

Plan how to improve the existing facilities available to the traders and business in the existing CBD. The following are some potential interventions that won’t contradict the shift away from the border but support the businesses that remain in the existing CBD:

› Create a plan for the future of the old CBD, in the long-term this could again become a hub for cross-border activity (depending on the development of the border situation and conflict context).

› Support for traders through the business incubator.

› Including traders and informal sector in the development of VCs.

The transition of the existing CBD should be planned and implemented in a timely, participatory manner. Ensure all relevant stakeholders and particularly SIGs are informed and included in this process, and that their preferences and needs are considered.

› As the water, energy and waste infrastructure is being developed in the new CBD look for opportunities to integrate the old CBD into these.

Develop Mandera as a commerce hub for Triangle/region B3 – Plan for the transition of the existing CBD

It is important to get the right balance between encouraging the move away from the borders and not neglecting the remaining activity in the old CBD (for example the Youth Market).

› More formal infrastructure that caters to the needs of traders and businesses, a good example would be Mandera’s Youth Market that has been constructed in the existing CBD.

MANDERA URBAN ECONOMIC PLAN (UEP ) 61 Case Study: LakeHub Kisumu Kenya 27. structuresmakingforeignneedsoutsideastoForinabilityinternet,TheandJavaScriptandFellowshipandprogrammeandSomeandmembersandtoprogrammesNairobi,entrepreneurialLakeHubNyeriKisumusproutedtechnologistslabsMosthttps://qz.com/africa/1059305/kenyas-newest-tech-hubs-are-sprouting-outside-its-silicon-savannah-in-nairobi/oftheinnovationspaces,incubationcentres,accelerators,andmakerinKenyaareconcentratedinNairobiasitisanattractivespotforbothandinvestors.However,overthelastfewyears,techhubshaveupinotherKenyancitiesandtowns,includingMombasa(SwahiliBox),(LakeHub),Eldoret(DlabHub),Voi(SoteHub),Machakos(Ubunifu),and(MtKenyaHubandDeHub).inKisumuisanexampleofasuccessfulbusinessincubatorandhuboutsideofNairobi.LakeHubisoneofthefirsthubsoutsidethisledtosignificantbarriersinbuildingtheecosystemandattractandfunderstosupportthelocalentrepreneurs.Thehublooksprovideasharedspacewhereentrepreneursandmakerscanshareideasindustryknowledge,andsourcecrowdfundingforthestart-upswhoareoftheHub.Itsultimateaimistodecentraliseaccesstotechnologycreategrowthinentrepreneurshipinitiativesandsocialinnovation.ofthesectorsoffocusforthehubareagri-business,thecirculareconomysharedeconomy,andtechandwomenintech.TheLakeHubincubationworkswithearly-stageentrepreneurssuchasstudents,academicstechprofessionalswhoarestartingorgrowingtheirbusiness.Theincludes3monthsofimmersivelearning,2monthsofmentorship,2yearsofpaidjobplacement,wherethecurriculumcoversfull-stackandisdeliveredthroughacombinationofinstructor-led,self-paced,peerlearningexperiences.mainchallengesthesedecentralisedbusinesshubsfaceincludeslowlackofformalregistration,theabsenceofbusinessexpertise,andthetomanagetheirfinancesormarkettheirownproductsandinnovations.theyoungandofteninexperiencedstart-upsusingthesespaces,hubshaveactasaknowledge-buildingspace,trainingmembersonthebasicssucheffectiveuseofsocialmediatopromotetheirwork.Asaresult,techhubsofNairobineedmorefundingthantheircounterpartsinNairobi.Theretobeaconcertedeffortbetweenthegovernment,privatesector,andinvestorstoensurethesehubshaveadequatesupport.Thisincludesiteasyforthemtoaccessfinances,andtosetupalternativebankingthatcouldhelpsustaintheirbusinessmodels. Sources: Silicone Savana Article27

› By comparison to its neighbours, Kenya is ranked highly for ease of doing business › Currently little to no service sector › Poor Wi-Fi › Lack supportingof infrastructure › Small existing labour pool in the knowledge sector › Relatively worse than Kenya’s average offering Opportunities Threats › Mandera and surrounding areas need services to support other sectors › Developing service sector supports Mandera to be more self-sufficient › Develop Mandera’s status as a commerce and service hub for the Triangle/region – supported county HQ location › Sharing services with bordering communities brings communities together through local committees › Service offering is relatively better than that in the border communities › Land allocated for key services (health and education) in the ISUDP and a planned university › Plans for Jua Kali Zone near new CBD › Insecurity and conflict drive away customers and reduce footfall › Demand from Ethiopia and Somalia is blocked due to closed borders › Threats to security drive away skilled workers › The service offering of Mandera lags far behind the national level, a lot needs to be done › Demand from bordering towns leads to overcrowding of the limited services

Private service activities are also relatively important to Mandera’s economy, with all private service activities making up 24% of Mandera’s GCP compared to the economic bloc (18%) and the national average (28%).

4.2.3 Services Kenya’s key documents recognise the important role that trade in services is poised to play in the overall development of the economy. The service sector makes up 60% of GDP and is comprised of tourism, transport and communications, trade and related services, and financial and business services.

Strengths Weaknesses

Risks to this sector mainly relate to insecurity threats, and resource-based conflict, especially over water. Stakeholders reported the sector has in the past experienced unrest when there were disputes between the Public and Government contractors over displacement by infrastructure projects, which have been resolved by giving residents alternative land.

SERVICES SECTOR AND CONFLICT

28. UN, International Trade Statistic data, 2018. 29 European Union Emergency Trust Fund For Stability (2016) Cross-Border Analysis And Mapping Cluster 2: Kenya-Somalia-Ethiopia 30. Conflict questionnaires 03 July 2021

> Inclusive engagement of relevant players in the subsector projects, in particular on project locations;

Communication is Kenya’s 5th highest value service export28 Kenya is already exporting ICT services, it is among the few African countries that is exporting software development services to global technology firms (USA, India, South Africa, Spain, and Germany).

Another case included conflict over a water pipes installation contract that was awarded to only one of the clans.

Stakeholder consultations further revealed that conflict in the sector could also be triggered by lack of thorough, inclusive community engagement in the selection of project sites/location.30 For a peaceful services and public sector in the Municipality, the following is recommended:

> Avoid displacement of persons by projects, where unavoidable plan for transparent communication with the affected persons and provide alternative land/compensation as agreed with them; > Ensure fair sector resource and opportunities allocation to avoid economic exclusion and conflict.

MANDERA URBAN ECONOMIC PLAN (UEP )62

› Relatively better than the bordering community service offering

Mandera Municipality plays a key role in the service offering within the Mandera triangle and beyond, its border location means that communities and economies around the borders are highly integrated with each other. Local populations in Somalia and Ethiopia move across the borders to access Mandera’s social services and markets due to the relatively developed infrastructure. The service offing in Mandera includes schools, health, post offices, banks, air strips and the public sector.29

The main activity in the sector is in health, education, and public administration, defence, and financial services.

Ensure interventions, programmes and shared spaces are all inclusive –Inclusivity is imperative in Mandera where marginalisation and exclusion from activities can exasperate the conflict context. Shared spaces and inclusion can also have a positive impact on the conflict context through collaboration and shared common interests.

› Reliable Wi-Fi in key service areas (CBD)

MANDERA URBAN ECONOMIC PLAN (UEP ) 63 Table 4.3 Services sector action plan Aim Action Description

At the heart of the plan would be the Business Incubator Hub proposed as a Value Chain opportunity. The hub would support growth in Mandera’s existing businesses and SMEs as well as supporting new entrepreneurs to start businesses in Mandera. For more details on the design of the businesses incubator and how it will provide essential supporting services to Mandera’s businesses refer to the VC in 4.3.8.

› Reliable electricity supply › Transport connections to other key service hubs

Mandera to become a service hub for the Triangle and Region Existing assets in Mandera.

The plan for Mandera’s service sector should look to build in the short-term on its existing strengths and offerings such as: hospitality and hotels, healthcare, education, and banking and financial services. In the longer-term Mandera can expand its offering and build on its status as a service hub for the triangle with potential to develop Off-grid power systems (VC).

A developed service sector needs reliable supporting infrastructure to support existing activity and attract new businesses, such as:

› A safe and secure environment › Place making measures highlighted in the Commerce, Markets and Cross-Border Trade SAP

There is an opportunity to specifically support businesses that offer products and services that support climate resilience; for example, water-saving technology, or agricultural monitoring systems.

Utilise and develop local skill base - Many non-local skilled workers have been driven away by insecurity, to sustain this sector in a conflict context labour will need to be sourced locally. This requires education and training tailored to the sector, such as those detailed in the Agriculture and Livestock SAP.

There is potential to develop the range of jobs in Mandera, the service sector in particular can offer ‘white collar’ jobs to the youth. There is however a need to develop the tertiary education offer in Mandera so that local labour can meet the demand for these jobs.

There is also potential to attract other service sector businesses to Mandera, the off-grid power systems and supporting services group, highlighted in Section 4.2.7, has the potential to attract solar companies such as Bboxx to Mandera, previously barriers relating to transport and security have prevented these companies from operating in Mandera.

C1 – Plan to develop Mandera’s service sector Mandera has a small existing base of services in its existing and new CBD. These services are utilised by Mandera’s residents and the communities in bordering towns. There is an opportunity to take maximise this comparative advantage.

In their paper “Voices of the People: Challenges to Peace in Mandera County” Inter Peace highlights drivers of resilience in Mandera, these include: > Shared cultural, historical and religious ties; > National Government as a symbol of unity; > Interdependent commercial interests; > Shared developmental and security challenges; and > Common sharing of social facilities Across Mandera different communities and clans share common utilities and facilities, such as public spaces like boreholes, markets, schools, and hospitals. These facilities are run by local committees such as the Parent Teacher Association (PTA) or the Water User Association, these allow the voices of different communities to influence the vision for improving the Oneservices.example of a shared community space in Mandera is the Mandera community centre in Belet Hawa which is used by the Garre, Marehan, Murulle, Degodia and Corner Tribe communities to engage in cross border dialogue meetings (USAID et al., 2013).

This inclusive approach to shared spaces and services prevents destruction and mismanagement of the services, provides a platform for different communities to work together, creates a positive narrative between communities and reduces the need for conflict over the resources.

The Sector Action Plans look to support development across the municipality, in particular the two focus areas Neboi and the New CBD (detailed in the development framework - Section 5). The agriculture and livestock SAPs look to grow the output potential of the inputs to Neboi’s proposed agri- processing facilities and strengthen the ties between different actors along the sectors supply chains. The service, and commerce markets and trade SAPs support the growth of the new CBD into a business and service sector hub, while considering the future of the old CBD.

MANDERA URBAN ECONOMIC PLAN (UEP )

As a minimum standard for conflict sensitivity the SUED programme looks to apply the Do No Harm Principle, however the above case study shows that that there is potential for the interventions to also improve the conflict context in Mandera, with careful planning.

Another example in Mandera is the The Buruburu Primary School located at border point 1, this school is attended by children from all communities from both sides of the border. It has enabled cooperation amongst the cross-border communities through improving mutual interaction between the children and their communities (USAID et al., 2013).

64 Case Study: Resilience factors for conflict in Mandera

The 8 VC groups cut across a range of economic activities and local products and would cumulatively benefit all communities in Mandera. These are: > Fruit and vegetable processing > Milk processing > Milling and oil pressing > Tanning and related activities > Gums and resin sorting and processing > Construction blocks and building materials > Off-grid power and supporting services > Business incubator and support

The individual VCs within these VC groups have been assessed against climate resilience and inclusion, scoring highly. The individual VCs that have been detailed in the following sections have been assessed to have higher readiness for investment than the other individual VCs assessed in the long list of VCs.

Identifying the Value Chain opportunities for Mandera

Municipality involved a three-stage process: > Long-list process: an extensive list of economic opportunities, reflecting government policies, VC studies, exports and imports assessment, inputs requirement, outputs and processes, linkages with key policies and programmes, and market linkages; > Diagnostic alignment: the long-list was assessed against the SWOT analysis and other factors identified in the Diagnostics stage. The resulting list was presented to stakeholders; > Evaluation: the SUED evaluation framework was used to sift the opportunities, including criteria for the SUED principles (included within Appendix B). The PSG, the Municipal Board and other stakeholders identified the relative importance of each criteria for Mandera, to provide weightings for final evaluation and identification. The analysis resulted in the identification of 23 VC opportunities of high potential. These have certain commonalities in their processes, supply chains and requirements, and therefore have been categorised into 8 groups (VC groups). The particularly complex conflict context in Mandera means there is a risk of excluding certain communities and exacerbating conflict therefore the UEP focuses on identifying potential conflict risks for each VC group, wider economic linkages, while ensuring appropriate mitigation measures can be put in place for their successful implementation. The aim of this approach is to ensure that any individual VC selected for implementation both under the SUED programme and later on by the Municipality and County Governments will going forward have been considered within the context of climate-resilient, resource constraints, geopolitical context and distributional effects.

Some of these VCs will be viable and optimal, implemented immediately or in the short term (0-3 years), others will require more supporting infrastructure and a wider range of inputs and will be viable in the medium term (4-5 years) and some will require more transformational changes to Mandera to be viable in the long term (6+ years). A breakdown of the theoretical timeframes for Mandera’s development can be seen in Figure 3.3. Figure 4.3 presents the 8 VC groups and some of their individual VCs by assumed time frame. This helps to prioritise which of the VC can be implemented first.

MANDERA URBAN ECONOMIC PLAN (UEP ) 65 4.3

Value Chain Projects

MANDERA URBAN ECONOMIC PLAN (UEP )66 Value Chain Group Short term Medium term Long term Fruit and processingvegetable Milling and oil pressing, and biproductResinsprocessingDairy Fruit and vegetable bottling focus on tomatoes Resin processing - commiphora myrrha Milk processing - camel Aloe processing Resin processing - gum Arabic / acacia gum Milk processing - shoats Milk processing - cow Food processingdehydrated products Feed mill Food processing - MREs Food processing - MREs Fertiliser production - organic Tamarind processing Beauty and healthcare products Powdered products Oil processing - mixed Grain milling - mixed Sesame (simsim) seed processing (not if mixed processing goes ahead) Figure 4.3 All VC groups by assumed opporational and expansion time frame Source: Atkins, 2021

MANDERA URBAN ECONOMIC PLAN (UEP ) 67 Value Chain Group Short term Medium term Long term Livestock Construction Tannery - finished andcrusted leather Leather goods - high value Abattoir / Meat processing Abattoir / Waste processing Livestock feedlot Off-grid power andservices Solar system integrated services Solar-chiller units Solar pump systems Servicing and repair centre Business incubator Business incubator Tannery - finished andcrusted leather Solar system integrated services Solar-chiller units Solar pump systems Servicing and repair centre Business incubator Construction blocks: interlockingcompressed earth or bonded Polymer-wrapped pressedfibre roof tiles Earth-oil flooring

MANDERA URBAN ECONOMIC PLAN (UEP )There68 are several interactions between each of the 8 VC groups and their 23 individual VCs, these have been considered in Figure 4.4. The Technical Briefing Paper (Appendix B) included a detailed assessment for each of these VCs and at times the individual VCs. The 8 select VC groups are detailed in turn below. Figure 4.4 Flow diagram of all VC groups Source: Atkins, 2021 Dairy goats Milk processing UHT packs, yoghurt, cheese, kefir Dairy cows Dairy camel Off grid solar services Building materials Business incubator Fertiliser Animal feed mill Fish farming PastoralistsTannery GumsLeatherworkingandresinsprocessingLivestockSlaugherhousesfattening Irrigation farmers Fruit and oilseedBottling,processingvegetablecanning,Drying,PackingGrainmillingandprocessingDryland farmers Soft GreenFruitVeg Processing waste Processing waste TamarindAloes networkcollectionScheduled

> Juice bottling: preserving soft fruit in juice form in cartons (Tetra Pak or similar) that have been UHT-processed to be shelf-stable. Flat pack cartons can be shipped in at relatively low transportation costs, but need regular volumes of identified produce for carton printing. Target crops include melon, mango, pawpaw, and aloe.

The key outcomes of this VC include:

BASE ASSESSMENT Current production

> Reducing post-harvest losses, especially during gluts;

A wide range of fruit and vegetables are grown in Mandera and the surrounding region, with almost all of them dependent on irrigation. As a result, most crops are grown on the farmlands along the southern shore of the River Daua, in some of the fertile valleys and at other irrigation sites such as Koromey. Key crops that could be targeted for value addition processing include mango, lemon, pawpaw, melon, guava, tomato, spinach, kale, peppers, squash, root crops, and herbs. Other collectable produce include tamarind and aloe.

> Aloe processing: initial processing to focus on production of drinks and pastes, with potential to expand into soaps, shampoos and other health and beauty products in the medium to long-term. Currently there is little harvesting or processing of wild aloe, and no cultivation in the County. The VC would source managed wild aloes as well as supporting dryland farming of aloes.

> Supporting investment in farming, through stable prices and offtake;

Processing VCs Based on the potential in Mandera, 8 individual fruit and vegetable processing VCs have been identified. These all focus on the production of shelf-stable goods which will be of value throughout Mandera and the surrounding region where stable chiller storage distribution is impractical. While each of these VCs has potential to succeed on its own, they would benefit from co-location and sharing of resources. The VCs are:

MANDERA URBAN ECONOMIC PLAN (UEP ) 69 4.3.1 VC group 1: Fruit and Vegetable Processing OVERVIEW

> Tamarind processing: initial processing includes destoning, pressing into blocks and producing pastes. Currently local produce is either left on the trees or just collected and bagged for sale to traders, with little local value added. With sufficient volumes there is potential for processing the stones for oil seed, as well as secondary processing of the pulp for sweets, drink concentrates, etc. There is potential in the longer term to support replanting and management of tamarind woodland.

> MREs and ration packs: this option takes the production of dehydrated products one step further with the creation of full meals (MREs – meals ready to eat), soup mixes and ration packs. Widely used in food aid programmes, there is strong demand throughout the region and across the borders.

> Providing a base for additional value-added processing of food products, such as sauces, ketchups, soups, etc;

> Bottling of fruit and vegetables: suitable for a wide range of fruit and vegetables. Using bottles or jars provides greater flexibility than canning which works better with relatively high volumes dedicated to a single product (vegetable or fruit). Using glass jars or bottles supports return and re-use, making the venture less dependent on supplies of raw materials from outside the region. Bottling offers a high level of flexibility in terms of product range. The target crops include tomatoes, mango, guava, capsicum, green beans. Use of standard containers allows other processors to re-use the same jars (e.g. honey bottling).

This VC group focusses on processing a range of fruit and vegetables to produce shelf-stable packaged foods for the local market. There is currently a lot of waste on the sub-sector in particular in rainy seasons where there are gluts of the produce. There is demand for these processed products locally to help improve food security and build Mandera’s self-sufficiency and for export to neighbouring countries Somalia and Ethiopia.

> Generating economic volumes of processing waste that could support an animal feed mill; and > Substantial direct employment, with high potential for employing special interest groups (SIGs) and people with disabilities (PWDs).

> Providing a secure offtake for a wide range of fruit and vegetables from across the County;

> Improving overall food security;

> Tomato processing: producing tomato-based ketchups and pastes. Making these concentrates on a commercial scale works best with continuous production, and therefore requires significant produce volumes. This then represents a good VC to be established once output in the region has expanded.

> Drying and packing: simple sun/air drying and packing offers a low-cost option for preserving a range of fruit and leaf greens. Target crops include mango, banana, kale, spinach and citrus.

> Dehydrated products: this covers processing of dried fruit and vegetables into powders, flours and flakes for cooking ingredients. Target crops include root vegetables, banana and plantain, onion, and pumpkin.

> Fertiliser: the remainder of the solid processing waste would be suitable for fertiliser/compost production, and this could be processed centrally for trucking back to the farms.

MANDERA URBAN ECONOMIC PLAN (UEP )70

FRUIT AND VEGETABLE PROCESSING CLUSTER

The geographical scope of the network could ensure that all communities benefit. The collection network allows the VCs to pay farmers directly (with no intervention by middlemen), and secures full quality control over the handling, storage and processing of fruit and vegetables from farm to final dispatch. In terms of delivery of the collection network, this would likely need to be facilitated by the government (County or National) either directly or through local intermediaries in the interim, as part of piloting and attraction of interest and investors. At the moment a private sector model of deliver, such as the Twiga model, may not be suitable for Mandera due to perceptions around insecurity.

The network could be expanded along with the development of new arable land as farming areas and expansion in irrigated land. Where practical, the system could also be used to dispatch fodder or fertiliser to farms.

> Training and the provision of back-office services (accounts, HR, etc); and > Marketing, with potential for selling under a common brand. The cluster would provide substantial waste by-products, which would be of value in the following areas:

> Fodder: processing wastewater (mainly from washing fruit and vegetables), could be piped to a suitable site nearby for fodder production to support zero-graze dairy sector and livestock fattening.

> Final packing and dispatch, including carton labelling and storage of finished products;

Fruit and vegetable collection network

Figure 4.5 presents the different flows of inputs, process and outputs involved in this VC group, its individual VCs and other VC groups. It looks to understand the interactions between them and opportunities to cluster activity within the VC group as well as with other VC groups.

> Animal feed: much of the processing waste (such as peel, seeds and stones) have a high nutritional value and are suitable for using in animal feeds. These by-products could be dried for dispatch to a nearby feed mill.

> Joint water supply and reuse facilities for processing;

Clustering the VCs also allows for the sharing of services and facilities, and further reduces costs:

> Joint power generation (e.g. from rooftop PV) and coordination of any power-hungry activities in order to moderate overall demand on the grid;

This VC cluster comprises a group of fruit and vegetable processing operations that will benefit from co-location and have the potential to share resources that will then help to lower costs. The relationships between the individual VCs are highlighted in the figure below.

> Grouping waste across the different VCs can be used for AD, fertiliser or feed;

A major supporting requirement for the cluster is a scheduled collection network. The cost (and time) of transporting relatively small quantities of produce to market can be prohibitive. To overcome this, a collection network would need to be established. This would be comprised of pick-up/drop-off points with cold storage that serve the producing areas, together with a regular scheduled collection.

MANDERA URBAN ECONOMIC PLAN (UEP ) 71 Bottling fruit vegetablesand Poultry Mandera Town Juice production Fish farming Mandera County Tomato ketchup and pastes Livestock fattening Regional markets TamarindandDryingprocessingfruitvegetables Dairy National / exports High value/low weight Aloe processing networkcollectionScheduled facilitiesstoragecoldCommon Processing Soft fruitAloes Waste solids GreenRootsveg MARKETS Tamarind Animal feed millFertiliser dispatchandpackingfinalCommon Irrigation farmers Cross border trade Cross border trade Dryland Irrigationfarmersfarmers rationDehydratedproductsMREsandpacksFodderirrigationproductionProcessingwastewater Figure 4.5 Fruit and vegetable cluster processing flows Source: Atkins (2021)

Phasing of fruit and vegetable processing cluster

Tomato ketchup and paste 2,500t/y with Irrigation Master Plan

Juice bottling - Tetrapak 500 to 1,000t/y dependent on establishing supplies

Food processingdehydrated products Dependent on range of vegetable drying

FRUIT AND VEGETABLE PROCESSING

Vegetable drying and packing 100t/y (input) supported by current production 500t/y with some expansion in irrigation and sourcing

Source: Atkins, 2021

> Short-term: based on sourcing available produce and targeting surpluses. Focusing on primary processing of existing fruit and vegetable output, taking account of potential volumes from Koromey.

> Irrigation Masterplan for the River Daua, identifies the potential for over 19,000 hectares of new irrigation land between Mandera Town and Rhamu;31

> Medium-term: expansions in the collection network and increasing harvest volumes (resulting from improved farm management and stable offtake) supports increased throughput for established VCs.

Food processing - MREs Dependent on range of vegetable drying, milled produce, etc.

> Long-term: large-scale processing supported by the high-volume production from the new irrigation areas along the River Daua and dams and, potentially, trade flows from Ethiopia. 31. National Irrigation Board, Irrigation development masterplan for the Daua River basin - draft, (2014) Table 4.4

Fruit and vegetable production in Mandera County is currently somewhat limited, due in part to the lack of processing offtake, but there is great potential to expand as a result of the:

Aloe processing Limited volumes for processing at present. Large-scale dependent on establishing aloe farming Full range of products: soaps, shampoos, etc.

MANDERA URBAN ECONOMIC PLAN (UEP )72 POTENTIAL AND PHASING

> Trade – there is potential for this Mandera cluster to become a regional processing hub for fruit and vegetables, using products from Ethiopia and eventually Somalia. In identifying the potential phasing for the cluster, account should be taken of these developments, as well as dependencies between some of the VCs. For example, the MREs and ration pack VC would require inputs of dehydrated products VC. The cluster would then be developed in three distinct phases:

"Fruit and vegetable bottling focus on tomatoes" 500 to 1,000t/y supported by current production 2,000 to 3,000t/y with completion of Koromey Up to 10,000t/y with Irrigation Master Plan Tamarind processing 100t/y sorting, pressing and packing. "500 t/y with planting and Productionmanagement.ofpastes."

> Development of the Koromey irrigation scheme, this project is well underway, and full production from the 600 hectares of new irrigation land is expected in the next one or two years;

> General growth in production as a result of secure offtake and stable prices supporting investment;

Value Chain Short term Medium term Long term

MANDERA URBAN ECONOMIC PLAN (UEP ) 73 POTENTIAL BENEFICIARIES

Figure 4.6

Fruit & Vegetable processing

Direct employment creation potential of fruit and vegetable cluster

> Dairy farmers, poultry and pond fish farmers will benefit from the increased supply of animal feed;

GENDER AND SOCIAL INCLUSION ASSESSMENT

The direct employment beneficiaries will be those who are directly employed in the facilities created by this VC, who will work in, or for, the processing facilities. This could include, for example, managerial roles, maintenance, or in processing. The largest employment impact for this VC group will be along the supply chains. Direct employment: > Employment in the food processing sector is usually dominated by women and is also amenable to PWDs, provided that the workspace is accessible; > Employment in the collection network is generally dominated by young men; > Ethnic majority access better education than the minority. For instance, some communities may have an unfair opportunity to access direct employment in this opportunity without mitigation.

Overall employment Special interest groups Of which: PWDs Of which: Youth Of which: Women Source: Atkins, 2021 Supply chain: > The processing cluster, with its dedicated collection service, will benefit small-scale fruit and vegetable farmers, as well as dryland farmers (for aloe and tamarind);

> Arable farmers will benefit from increased volumes of fertiliser/soil improver; > Fruit and vegetable traders could benefit from an offtake for ripe, unsold produce; > Producers of fruit and vegetables along the Ethiopian side of the River Daua could benefit in the long term from volume offtake and stable prices, with easy access across the border.

SUED interventions in fruit and vegetable processing VCs will contribute to reducing post-harvest losses, increasing productivity, and making smallholders more resilient to the impacts of climate change. The current situation, with lower access to agricultural information, training, finance, and storage, among others, all means that women and youth are less able to adapt to climate change, and suffer disproportionately during climate extremes. Better practices when handling produce during transportation and improved roads will enhance sales. Better infrastructure, equipment, and training will contribute to better income and increased food security. Scheduled collection services will reduce overall collection costs and result in better prices for farmers (net of cost of transporting to market).

All these measures should be implemented step-by-step, and they should always be accompanied by specific awareness sessions targeted at women and men (parents, spouses) to avoid negative consequences within the household. These sessions should aim at making the economic and domestic contributions from women visible, and encourage greater sharing of decision-making and income within the household (e.g. family budgeting, financial management, etc). It might be useful to consider different entry points for these measures, such as community and economic benefits, which might be less sensitive.

35. OECD (2018) The Future of Rural Youth in Developing Countries: Tapping the Potential of Local Value Chains, OECD Publishing, Paris.

34. REACH (2018) Guidance for inclusive irrigation interventions. Available at: https://reachwater.org.uk/wp-content/uploads/2018/12/Gender-Toolkit-IFPRI.pdf (Accessed 28/07/2021)

33. International Finance Corporation, Investing in Women along Agribusiness Value Chains (2016)

Engage with existing youth organisations that might be able to provide additional support, such as Mandera Youth Empowerment and Mandera Youth Network Initiative.

› Access to information: it is recommended to implement an inclusive communication strategy to support farmers, and target SIGs in particular, to access market information (i.e. weather forecasts, production schedules, emerging market opportunities, etc). Use platforms and spaces women and other vulnerable groups already use, such as digital/mobile campaigns, radio, markets, and/or community events.

Fruit farmingvegetableand

› Extension services, technology, and skills development: ensure everyone has access to training on farming techniques, storage facilities and irrigation. Prioritise the use of peer educators for trainings (e.g. young educators for youth)35, target women and men directly in training communications, and consider timings, locations and materials that are compatible with SIGs’ needs and everyday activities.

MANDERA URBAN ECONOMIC PLAN (UEP )74 Table 4.5

While youth and women are actively involved in vegetable and fruit farming in Kenya, their work is often invisible and unpaid as it is considered family work. SIGs often lack access to agricultural information and opportunities (i.e. training, technology) and are not involved in decision-making processes (e.g. cooperatives and associations)32. For most women, access to land comes through their spouses and this limits their participation in agricultural associations and their access to finance.

› Participation in decision-making processes: support SIGs groups and their participation in existent agricultural associations.

› Access to financial services and capital: facilitate access to credit or link SIGs with existing funds. This support should be aimed at men and women of all age groups in the sector, regardless of whether they are living with a disability, are HIV positive or not. Encourage SIGs to engage in table banking.

Work with existing organisations such as Women for Peace and Habiba International.

Tilling land Focus group discussions have shown that youths have organised themselves into different groups to till land for farmers and in return they divide the produce in equal proportion.

Women are also less likely to practice irrigation34 and those who do, usually deploy labour intensive methods. Women often lack access to this type of opportunities due to restricted mobility, low literacy levels, and competing community and domestic obligations.

VC group 1 GESI assessment Sub activity Context Recommendations

Women often lack access to storage opportunities, and they are particularly affected by post-harvest losses. This situation also forces them to sell their produce when market prices are lower.33

Other SIGs face similar barriers in their access to land, agricultural and market information, capital, and resources.

› Support the development of existing youth groups: facilitate credit for their organisation so these youth groups can also engage in other agricultural activities. Doing this might incentivise similar initiatives and this is particularly helpful to minimise risks of radicalisation (see next section) and substance abuse.

Young men dominate the transport sector in Mandera. The scheduled collection services represent new job opportunities, particularly for young men who already work in the transportation sector.

› Enhanced safety and service quality: it is recommended to develop training on safety and on how to adequately handle produce and weights. Consider developing a certification system for transport operators.

Addressing these issues would significantly increase the capacity of women to adapt to climate change.

If the collection services are to be booked online, it is recommended to liaise with local organisations workings towards closing the digital gap. To make these opportunities accessible to vulnerable groups without mobile phones or digital skills.

32. Smallholder Horticultural Commercialization: Gender Roles and Implications for Household Well-being in Kenya, Beatrice W. Muriithi, ICIPE (2015)

andcollectionScheduledtransport

Due to social stigma, PWDs are more likely to have low levels of education, be unemployed or have low self-esteem. The development of awareness training could contribute to their empowerment and help them see themselves as capable of participating in the VC and other economic activities (see Case Study 1).

Focus group discussions have also identified that PwHIV/ AIDS are discriminated in markets. PWDs also face constraints to participate in these spaces since there infrastructure is often inadequate for their needs.

› Skills development: ensure training on soft skills (e.g. business and entrepreneurship skills) are available and accessible to SIGs, people with low literacy levels and other vulnerable groups (see Action 4.2.3). Consider training on functional literacy and numeracy, and financial literacy.

› Increased social capital: promote SIGs and their participation in existing cooperatives. Develop sensitisation sessions that could progressively contribute to integrating SIGs into leadership positions.

36. IFC (2021) Investing in Women along Agribusiness Value Chains. Available at: https://www.ifc.org/wps/wcm/connect/02c5b53e-420f-4bf4-82bb-6f488ff75810/Women+in+Agri+VC_Report_FINAL.pdf?MOD=AJPERES&CVID=m0JfSbv (Accessed 13/07/2021)

Sales Women and PWDs often work in sales. This link in the value chain offers a flexible schedule, compatible with other responsibilities and activities.

› Ensure an inclusive workplace: quotas for PWDs’ inclusion should be implemented according to Kenya’s Persons with Disabilities Act (2003). To successfully include PWDs, the adequate equipment and infrastructure should be provided (i.e. PWD-friendly toilet facilities, access ramps, adequate space to work and circulate, handrails, etc). Information such as health and safety and other important communications should be in a format and language accessible to all people.

SUED interventions will contribute to making markets more inclusive, accessible, and safer for SIGs.

Sub activity Context Recommendations

› Skills development: develop on-the job apprenticeships that are accessible to all (see SAPs in Section 4.2.1).

Mobile use is quite widespread in Kenya and mobile banking can contribute to the empowerment of SIGs, particularly women. As with the other links of the VC, this needs to be accompanied by gender and social inclusion awareness sessions.

andpackingProcessing,dispatch

As indicated for processing, develop gender and social inclusion trainings to complement these measures.

› Skills development: develop training on digital, administrative and management skills that are accessible to all (see Action4.2).

It is also important that these opportunities do not discriminate against PwHIV/AIDS. Organisations such as OPAHA-All could support the development of awreness sessions.

The processing of vegetables and fruit represents employment opportunities for youth, women and PWDs inclusion. The main barriers to inclusion are related to inadequate infrastructure and equipment, and lack knowledge, skills, and training.

Whenever possible, direct payments should be encouraged. There is often a gap between the work women do and the benefits they receive from it since they often lack control over income. The World Bank has identified that direct payments (for example though systems such as M-pesa) can contribute to women’s empowerment36.

There are several barriers for inclusion related to mobility restrictions (physical impairments or cultural norms); lack of social capital (reduced participation in cooperatives or lack of access to market information which lead to receiving lower revenues from their sales); and lack of soft skills. This is worsened by often low literacy levels in these groups, and financial illiteracy.

Liaise with local advocacy organisations such as This Ability Trust, United Disabled Persons of Kenya (UDPK), National Council for Persons with Disability (NCPWD), and the Association for the Physically Disabled of Kenya (APDK).

Back-office This represents employment opportunities for SIGs. In Mandera, youth were particularly interested in being included in non-physical jobs. The main barriers are related to lack of skills.

Tackling discrimination and harmful social norms that act as barriers to social inclusion is also key This can be achieved through awareness campaigns that include SIGs, and their parents, spouses, and/or caregivers. These sessions should explain the socio-economic benefits for communities and households when women, youth and PWDs are fully included in farming and agri-businesses.

SUED activities should not result in women’s time poverty. Women’s increased access to the labour market should not represent an additional burden on women’s domestic and community responsibilities. Providing mothers’ rooms at the workplace or linking women to community day-care facilities might be necessary.

MANDERA URBAN ECONOMIC PLAN (UEP ) 75

PWDs’ inclusion: The involvement of PWDs starts in the production stage, engaging PWDs and disability organisations. For the processing of raw materials, PWDs work with equipment that is accessible. For marketing and trading, PWDs and PWoDs (people without disability) are organised as economic groups. The programme trains PWDs in soft skills such as leadership, entrepreneurship and business skills. It also links them to providers of financial and business development services, and existing government programmes.

The project, currently under implementation, aims at: a) providing PWDs with sustainable livelihood opportunities, b) improving PWDs’ access to markets, and c) generating awareness about the importance of PWDs’ inclusion at the community level.

> Inclusive hiring process for processing facility.

MANDERA URBAN ECONOMIC PLAN (UEP )76

Infrastructure will be required at Neboi to support the functions of the processing facilities; these are listed as direct infrastructure requirements in Table 4.6, these only provide high-level figures on the scale of the requirements. There will also be infrastructure required to support the supply chains of this VC group. The requirements of the VC are highlighted here, however the potential infrastructure interventions will be detailed in the Infrastructure proformas in Section 5.2.

Social awareness: sensitisation campaigns, guided by Behavioural Change Communication (BCC) strategy, were developed to overcome the preconception that PWDs cannot successfully engage in agriculture and livestock, targeting the general public and PWDs themselves. Moreover, the project implemented awareness campaigns to develop solidarity among PWDs.

Planning for peace in this VC aims at reducing the likelihood of exclusion and disenfranchisement of groups in Mandera from the benefits the VC could bring. It should also aim to mitigate risks of the infrastructure becoming a target for insecurity and attacks as follows: > The agriculture sector has, in the past, faced conflict over water resources. With the project required processing water estimated at 50,000 to 120,000m³ per year, and further along its supply chains. Going forward there will need to be thorough, inclusive community engagement over the source of the water (especially if shared), and over the location of water storage and treatment plants. Locations that cause displacement are to be avoided, and if unavoidable proper communication with affected persons and provision of alternative land must be planned for pre-project implementation.

The main beneficiaries will be influenced by the upstream supply chains of the processing, where certain communities could be excluded from the supply chains of this VC. There is also the risk that demand for produce grown along the River Daua (mainly horticultural) would increase the value of irrigated land. Exclusion disenfranchisement, and competition over resources, if not mitigated, have the potential to translate to frustration of communities and potentially exasperate the conflict context. As well as the potential conflict that could arise as a result of these VCs, there are potentially positive implications for conflict. Common business interests or investments across clan lines can serve as a force for cross-clan collaboration and security. It also has the potential to improve food security in Mandera and reduce post-harvest losses. Stakeholders anticipate that this project is among those that will benefit conflict-prone areas the most, through the creation of youth employment, and by keeping them from radicalisation.

INFRASTRUCTURE REQUIREMENTS

> Smart security provisions at the industrial site for site and staff safety. > Good public transport linkages so it is feasible for communities across Mandera to work in the plants.

Case Study: Promoting inclusion of people with disabilities in cocoa, coffee and palm oil VCs in Tanzania

Do No Harm considerations:

Finally, the programme also learned that local knowledge is key to developing successful inclusion measures, for example, sign language might not be used in rural areas, but family members can act as interpreters.

CONFLICT SENSITIVITY

> Potential direct employment beneficiaries will work in or for the processing facilities, and positions here require some level of education. Considering the ethnic majority accesses better education than the minority, there is potential for minority and corner tribes with little to no education to feel excluded in employment, and therefore conflict. VC-specific capacity building or training of minority, less educated, tribes is a viable proposal that will increase their employability and chances of gainful participation in the project.

KEY PROGRAMME ELEMENTS

Source: Trade Craft, 201837 37. Trade Craft, 2018, Available https://traidcraftexchange.org/project-disability-inclusionat:

Capacity › Total produce processed up to 20,000 tonnes per year.

› Other waste streams: › Organics (peel, stones, seeds, etc.): c. 5,000 tonnes per year Packaging: card, paper, glass and some plastics.

Energy Electricity demand for the buildings, process load, borehole and water treatment plant, could be in the region of 300-320kW, depending on the type and efficiency of equipment installed.

› Good end-to-end safe and universally accessible pedestrian facilities and public transport connection for both the employees and traders delivering the produce.

Required transport interventions include:

The facility may not be located close to any existing power infrastructure, so a suitable 11kV grid supply may need to be extended to the site.

Water › Processing water requirement for the VC group estimated at 50,000 to 120,000m³ per year (based on average use of 2.5 – 6.0m³ per tonne input). 38

Waste Wastewater estimated at 40,000 to 100,000m³ per year. Potential to use for fodder irrigation.

› A paved road with good provision of storm water drainage.

› Indirect water use (for irrigation) estimated at up to an additional 22 million m³ per year (based on Master Plan for River Daua).

Transport Based on full capacity an estimated 8 to 10 trucks (25 tonne) per day for incoming produce and dispatch of processed food.

Organic waste to be used to produce animal feed and/or compost. Other wastes will be separated and sorted for recycling.

Battery storage with a capacity of around 320kWh should be included, to help with fluctuations in supply. Lead-acid batteries are appropriate.

› A treatment plant to ensure the water is of sufficient quality for food production. It is assumed that a maximum of 85% of water used will be discharged as wastewater.

MANDERA URBAN ECONOMIC PLAN (UEP ) 77 Table 4.6 VC group 1 infrastructure requirements

38. Giner Santonja, G. et al, Best Available Techniques Reference Document for Food, Drink and Milk Industries, 2019

Infrastructure Direct requirements

› The size of these will depend on space and costs.

Diesel transport fuel use is estimated at 35,000 to 50,000 litres per year.

› A temperature-controlled vehicle with good packaging units.

› There is a need to develop: › Water storage to cover interruptions in supply (recommend a reserve capacity of 5 days of water supply.

Infrastructure Direct requirements

Solar PV should be installed on the site. An appropriate installed capacity would be around 75kW. This would require an area of about 485m² and could reduce the cost of grid electricity by up to KES 30,000 per week.

Climate Impact Parameters

Sensitivity

39. National Environment Management Authority (NEMA), Environment Impact Assessment (EIA) (2003)

An EIA is required to ensure the development does not cause detrimental effects to the environment39.

MANDERA URBAN ECONOMIC PLAN (UEP )78

The major climate impacts for this VC group relate to drought, extreme temperatures, and erratic rainfall. Temperatures will continue to increase, including minimum, average, and maximum temperatures. Average annual temperatures will increase in the range of 1-2.5°C by 2050. Rainfall will continue to be highly variable, and drought events are likely to increase in severity. The additional challenges to the agricultural sector that this will cause, mean that overall impact of climate change is assessed as negative.

Vulnerability Rating

The following issues should be further considered during the decision-making process:

CLIMATE RESILIENCE ASSESSMENT

There are many adaptation options available to strengthen resilience of the agricultural supply chains needed for this VC group, These include: > Use of heat and drought tolerant varieties > Use of irrigation systems where practical. > Strengthening of climate information services for farmers. > Collection and storage systems to reduce post-harvest losses before produce reaches the processing plant.

ENVIRONMENTAL ASSESSMENT

ADAPTATION OPTIONS

The vulnerability of this VC group is potentially high, given the nature of inputs and climate impacts. If specific opportunities are carefully chosen, then it will be possible to ensure the resilience of the processing operations. This is particularly the case if a selection of adaptation measures, as summarised below, can be rolled-out across the supply chain for this VC grouping.

This VC group has medium sensitivity to climate change. It relies on agricultural inputs, and as such supply can be affected by periods of drought, or flood damage. The specific fruits to be used in the bottling and canning, however, are relatively flexible, and once the processing plant is established it can take a greater range of inputs.

> The demand for a variety of fruit and vegetables could encourage fruit tree planting, contributing to the long-term greening of Mandera; > The fruit and vegetable processing facility will reduce post-harvest waste; > The waste from the fruit and vegetable processing facility would predominantly be organic and would be processed for animal feed or composted to produce an environmentally friendly fertiliser; > Animal feed produced could reduce the demand for open grazing; > The potential for increased demand of vegetables and fruit could increase expansion of farmlands, leading to the clearance of bushlands, incursion of riparian areas and open grasslands; and > The project could increase pressure on the harvesting of indigenous species (e.g. aloe and tamarind) leading to overexploitation and the depletion of plants, resulting in environmental degradation through loss of biodiversity. Conservation efforts should be directed at ensuring better conservation of indigenous species.

MANDERA URBAN ECONOMIC PLAN (UEP ) 79

Processing VCs Given the current production levels and potential in Mandera, several individual milk processing VC opportunities have been identified. To minimise costs and capture economies of scale, the dairy processing cluster should target milk from camels, cows and shoats.

> Powdered products: produced by a spray-dry process to retain taste and colour, dried milk powders are widely used as they provide a shelf stable alternative to fresh milk, with lower bulk and longer shelf life than UHT.

Most of the milk is from camels, which accounted for an average of 56% of total marketed production, this is followed by cow milk (24%) and then shoat milk (20%).

Current production Milk production in Mandera County is substantial. An estimated 0.9 million litres of cow, shoat and camel milk combined is sold in across the County each year, with much more being produced and consumed within the home. With little investment in improved livestock or fodder, annual production has remained stable in recent years40.

The key outcomes of this VC group include: > Reducing spoilage of milk and improved hygiene along the collection chain; > Reducing loss of surpluses by producing shelf-stable products; > Providing a secure offtake with stable prices; > Supporting investment in the sector (improved breeds, use of fodder, etc.); > Improving local food supplies and overall resilience; > Reducing time and cost of taking milk to market for small dairy farmers; and > Good direct employment opportunities, including for PWDs and other SIGs.

42. Kenya Diary Industry Status and Outlook, Presentation by the Kenya Dairy Board August 2019. Available at: https://dairyafrica.com/afda/wp-content/uploads/2019/08/MARGARET-KIBOGY.pdf

This VC group focusses on processing milk from cows, camels and shoats (sheep and goats), to produce shelf-stable products as well as some chilled items.

40. Mandera County Statistical Abstract

4.3.2 VC group 2: Milk processing

41. Boresha: Value chain analysis on livestock, livestock products and alternative livelihoods in the cross-border area between Kenya, Ethiopia and Somalia (2018)

BASE ASSESSMENT

> Production of UHT: this is a standard bulk product whereby the milks are subjected to an ultra-high temperature (of 135°C or above for 2 to 5 seconds), cooled and then packed in bottles or cartons. UHT milk does not require refrigeration and has a shelf-life of six months to a year.

> Fermented products: there is potential for a range of fermented products (yoghurt, kefir, cheeses, etc) to be produced on a batch basis. Some will require refrigeration.

> Milk concentrates: there is a range of evaporated and condensed milks that can be produced by dehydrating raw milk. The final products are then bottled or canned and are all shelf stable.

43. Ref Boresha: Value chain analysis on livestock, livestock products and alternative livelihoods in the cross-border area between Kenya, Ethiopia and Somalia (2018)

Volumes produced fluctuate substantially throughout the year. This is due to a combination of natural lactation cycles, weather and livestock herding migration. This variation is most noticeable in camel milk41 Milk production and marketing in Mandera County is highly fragmented. Some sales are made directly by farmers to consumers, while local traders control most of the sales to consumers in towns. There are no large-scale producers and no large trading operations. In addition, there is no commercial-scale processing of milk in the County. Indications are that demand for milk in the County exceeds supply, especially during the dry season. Average consumption in the County is around 75 litres per person per year, well below the national average of 110 litres42. To meet the shortfalls in local supplies, powdered milk is imported from Sudan. In addition, due in part to concerns over hygiene, the milk provided in hotels is often chilled or UHT cow’s milk brought in from Nairobi43.

The opportunities for processing options are then:

OVERVIEW

> Sampling and testing milk on delivery; > Cold storage tanks; > Heat treatment processing (UHT/pasteurisation);

> Joint power generation (e.g. from rooftop PV) and coordination of any power-hungry activities in order to moderate overall demand on the grid;

Collection points would have cold storage capacity such as a solar-powered container stores and could form the hub of zero-graze dairy centres. To improve handling, milk churns would be provided to dairy farmers. After emptying, these would be cleaned at the processing facility, prior to being switched with the full churns during collection the following day. There is potential for the milk collection system to be linked to fruit and vegetable processing cluster to further spread the costs.

> Chiller and dry storage for finished products; > Final packing and dispatch, including carton labelling and storage of finished products;

> Marketing, with potential for selling under a common brand; and > Joint water supply and reuse facilities for processing.

Figure 4.7 presents the different flows of inputs, process and outputs involved in this VC group, its individual VCs and other VC groups. It looks to understand the interactions between them and opportunities to cluster activity within the VC group as well as with other VC groups.

The key to this cluster will be the development of a scheduled collection network, which will reduce the cost and time of transporting milk to market and ensure best practise hygiene along the supply chain. This network would seek to build on any established collection, improve hygiene standards, introduce full recording of provenance and testing, and pay farmers on collection.

> Training and the provision of back-office services (accounts, HR, etc);

In addition to a joint collection system, there is potential for sharing services and facilities, and further reducing costs, such as:

DAIRY PROCESSING CLUSTER

The collection network (pick-up points, collection schedule, vehicle size, etc) would be developed with reference to location of dairy farmers, road access, inclusion and security considerations. There is also potential for using the location of collection points to influence farmers decisions on where to locate their lactating livestock to reduce overgrazing.

This VC group comprises milk processing and products production that will benefit greatly from co-location. Co-location supports the potential to share resources and thereby reduce costs.

The main waste material from the cluster will be process wastewater. There is then potential for using this wastewater in field irrigation for fodder production, which can then be used to support additional zero-graze dairy production.

In terms of delivery of the collection network, this would likely need to be facilitated by the government (County or National) either directly or through local intermediaries in the interim, as part of piloting and attraction of interest and investors. At the moment a private sector model of deliver, such as the Twiga model, may not be suitable for Mandera due to Perceptions around insecurity.

DAIRY COLLECTION NETWORK

MANDERA URBAN ECONOMIC PLAN (UEP )80

MANDERA URBAN ECONOMIC PLAN (UEP ) 81 Dairy Cows UHT milks Dairy Camels Fermented products Dairy Goats CondensedPowderedproductsmilks Dryland farmers Irrigation farmers networkcollectionScheduled testingbatchandDelivery processingtoprior–storageCold networkJoint Mandera Town Mandera County RegionalMARKETSmarketsdispatchstorage,packing,Final Fruit and veg. processing Fodderirrigationproduction Animal feed mill Process wastewater DirectDirectDirect Figure 4.7 Dairy processing cluster Source: Atkins, 2021.

MANDERA URBAN ECONOMIC PLAN (UEP )82 POTENTIAL AND PHASING

> Medium-term: expansions in the collection network and investment in zero-graze supports increased UHT production and production of fermented products; and

Short term Medium term Long term Milk processing - camel 1,000 lt / day average throughput for UHT, mixed milk processing. 10,000 lt / day for UHT, cheese and yoghurt, mixed milk processing. 20,000 lt / day for UHT, cheese and yoghurt, mixed milk processing.

> Employment in the collection network is generally dominated by young men; and

> Short-term: based on sourcing available produce and targeting surpluses. Focussing UHT production from camel, cow, and shoat milk;

The direct employment beneficiaries will be those who are directly employed in the facilities created by this VC, they will work in or for the processing facilities. This could include, for example managerial roles, maintenance, or processing. The largest employment impact for this VC group will be along the supply chains. Direct employment:

> Ethnic majority access better education than the minority. For instance, some communities may have an unfair opportunity to access direct employment in this opportunity without mitigation.

Milk processing - shoats Milk processing - cow Powdered products 100 tonnes per year 250 tonnes per year Concentrates 100 tonnes per year Source: Atkins, 2021 POTENTIAL BENEFICIARIES

Figure 4.8 Direct employment creation potential of milk processing cluster Milk Overallprocessingemployment Special interest groups

> Long-term: development of additional irrigation lands and investments in zero-graze supports production of full range of milk products including concentrates and powders. There may also be potential for processing bulk milk brought in from Ethiopia and/or Somalia.

Table 4.7 Phased development of dairy processing cluster DAIRY Value Chain

With an offtake for milk providing stable prices, there is potential for investment in the dairy sector in fodder, improved stock, and better management techniques, to increase output substantially in the medium to long-term. This increase would be supported by further expansions in irrigated agricultural land resulting from completion of the Koromey irrigation scheme and in the longer term, the Irrigation Masterplan for the River Daua. In identifying the potential phasing for the cluster, account should be taken of this potential for staggered investment and the expected increases in milk volumes. The cluster could then be developed in 3 distinct phases:

> Employment in the milk processing sector is usually dominated by women and is also amenable to PWDs given good accessibility to workspace;

Of which: PWDs Of which: Youth Of which: Women Source: Atkins, 2021

GENDER AND SOCIAL INCLUSION ASSESSMENT

MANDERA URBAN ECONOMIC PLAN (UEP ) 83

Supply chain: > Many households (both in farming and pastoralists) produce some milk for market, and these will be the main beneficiaries of this cluster, supported by the collection network; > All communities across Mandera engage in pastoralism; > It is common practice for women to be responsible for milking and keeping revenues from sales; > Arable farmers should benefit from increased demand for fodder; and > Existing milk traders would have a new outlet for their products, or could form part of the cluster.

SUED interventions such as cold storage facilities will increase productivity and increase resilience to climate change, which would otherwise cause post-harvest losses. Better infrastructure, equipment, and training will contribute to better income and increased food security. Scheduled collection services will reduce overall collection costs and result in better prices for farmers (net of cost of transporting to market). If implemented considering social inclusion, collection services will particularly benefit women and PWDs who might have restricted mobility, freeing-up time and increasing revenues.

MANDERA URBAN ECONOMIC PLAN (UEP )84 Table 4.8

Extension services, technology, and skills development: Since women are heavily involved in milk production, women’s empowerment is key to the development of this VC. Ensure everyone has access to training on better milk handling, technology, and facilities such as cold storage. Better and more hygienic handling of milk can contribute to setting up MSMEs.

Participation in decision-making processes: support SIGs and their participation in existing agricultural associations. Promote individual memberships and support this with awareness sessions on gender and social inclusion. Progressively encourage the participation of women in leadership roles.

Focus groups also demonstrated that there are several barriers to women who would be interested in adding value (e.g. producing yoghurt), particularly due to a lack of access to credit and equipment, which in turn limits their possibility of getting appropriate certifications.

46. CGIAR (2018). Gendered participation in informal milk markets in Kenya: Implications for low emissions dairy development. Available at: https://cgspace.cgiar.org/bitstream/handle/10568/97553/Gendered participation in informal milk markets in Kenya_Implications for low emissions dairy development_updated.pdf?sequence=1&isAllowed=y (Accessed 29/07/2021)

47. Odero et al. (2009) Value added milk products: Constraints to women in milk micro enterprises in Kenya. Available at: https://academicjournals.org/article/article1379606406_Odero-Wanga et al.pdf (Accessed 29/07/2021)

Similar to the fruit and vegetables processing VC, these measures should be implemented step-by-step, and they should be always accompanied by specific awareness sessions targeted at women and men (parents, spouses) to avoid negative consequences within the household. Greater access to information, and participation in training, and decision-making processes, will enable women and SIGs to better adapt to climate change.

Moreover, spouses are often the members of agricultural associations45 This can limit access to training and technology opportunities such as cold storage facilities.

Sales Focus group discussions have shown that many women in Mandera engage in the sale of milk. The income they receive from it is an important contribution for the general wellbeing of all household members. However, due to their lack of organisation, prices tend to be relatively low.

Access to financial services and capital: facilitate access to credit or link SIGs with existent funds.

Fodder production Focus group discussions showed that young men are usually engaged in fodder production. With an offtake for milk providing stable prices, there is potential for investment in fodder.

Access to information: it is recommended to implement an inclusive communication strategy to support farmers, and target SIGs in particular, to access agricultural and market information (i.e. training opportunities, emerging market opportunities, etc). Use platforms and spaces women and other vulnerable groups already use, such as digital/mobile campaigns, radio, markets, and/or community events.

Contractual work opportunities: young men already engage in fodder production, and this could represent additional job opportunities for them. Ensure these are communicated widely and in formats and languages accessible to different ethnic communities. Youth inclusion is particularly beneficial to avoid their radicalisation (see next section) and substance abuse.

VC group 2 GESI Assessment Sub activity Context Recommendations

Encourage SIGs, SIG-led cooperatives, and participation in existing cooperatives: considering women’s key roles in the dairy sector, it is imperative to promote their participation in decision-making processes (see Case Study below). PWDs and youths also face similar constraints and should be also included in these efforts. Aggrupation will also contribute to obtaining better prices.

Gender-sensitive approaches to milk sales: the development of this link of the VC needs to consider women’s needs and preferences and be implemented in a way that does not negatively affect their agency and control over sales.

Recent studies have shown that married women prefer to participate in informal markets (working as hawkers) to increase their chances of controlling the income from sales46. A formalisation of this VC, if not planned correctly, could negatively impact women’s lives.

44. International Livestock Research Institute (ILRI), Best practice guide to socially and gender inclusive development in the Kenyan intensive dairy sector (2016)

Dairy production In Kenya, women tend to be responsible for most management tasks around dairy production, including animal husbandry (i.e. fodder and water provisioning, veterinary health, manure removal), and milking. Yet, despite their contributions to dairy labour, women are often marginalised in the control of the resource (e.g. cow ownership), and decision-making processes.44

Promote the development of MSMEs47: it is imperative to contribute towards women’s professionalisation in the sector. However, to do this requires certain barriers to be tackled such as lack of access to credit, lack of knowledge on how to develop high-quality value-added milk products, and lack of soft skills such as marketing.

45. USAID. A Guide to Integrating Gender into Value Chains. Available at: https://agrilinks.org/sites/default/files/resource/files/gender_agriculture_value_chain_guide.pdf

Encourage SIGs to engage in table banking. Increased participation in cooperatives could also facilitate access to credit.

This project will benefit conflict-prone areas through the creation of youth employment and will keep will them away from radicalisation.

CONFLICT SENSITIVITY

> Cooperatives/organisations involved in collection would need to plan for mechanisms to ensure inclusion;

Do No Harm considerations:

Source: Siuna, Nicaragua48 48. AgriProFocus Learning Network, Available (Accessedupload/ToolkitENGender_in_Value_ChainsJan2014compressed1415203230.pdfat:https://agriprofocus.com/13/07/2021)

> Adoption of an inclusive hiring process for the project;

With the project estimated water use at 45,000m³ per year, and further indirect water use, project development going forward will need thorough, inclusive community engagement over the location of the proposed borehole, any treatment plant, and other facilities. Locations that cause displacement are to be avoided, and if unavoidable proper communication with affected persons and provision of alternative land must be planned for pre-project implementation;

As is the case for most of the VCs in Mandera this VC has the potential to improve the socio-economic status of a significant number of Mandera’s residents. It will also foster collaboration between different communities in Mandera, which has the potential to positively impact the conflict context in Mandera.

Recommendations for collection services and transport, milk processing, and back-office activities are the same as for the fruit and vegetable processing VC.

Potential direct employment beneficiaries will work in, or for, the processing facilities, and positions here require some level of education. Considering ethnic majority access has better education, there is potential for minority communities to be excluded from this VC’s employment opportunities. The main beneficiaries will be influenced by the upstream supply chains of the processing facility, where certain smaller communities with less political influence could be excluded from the supply chains of this VC. There is also the risk of increased demand for livestock produce which would increase competition for already limited pasture and water. Resource depletion, an unfavourable climate, and forced displacement have resulted in increased competition between different pastoralist groups. Exclusion disenfranchisement, and competition over resources, if not mitigated, have the potential to translate to frustration of communities and potentially exasperate the conflict context.

> Provision of security at the industrial site.

> An inclusive collection network to benefit all communities in the sector;

Case Study: Dairy Value Chain in Siuna, Nicaragua In Nicaragua, the diary VC has a strong masculine representation since men have the ownership of land and livestock. It is consequently assumed that women are not actively engaged in this VC and men are involved in trainings and participate in agricultural associations and cooperatives. In a meeting for the MASRENACE (GTZ) and the PRODER (Oxfam GB) programmes with members of a dairy cooperative and their wives, it was discovered that women in fact carried out several activities of this VC, for example related to the hygiene of the milking process. This meeting helped raised awareness about the importance of women’s roles in the VC and in the final quality of the product. This self-awareness also gave them leverage to negotiate aspects related to the VC such as participation in cooperatives. The result of this initiative was an increase in the percentage of women participating in the dairy cooperative.

> In the past, conflict in the livestock sector was reported to have been over grazing land and/or water points between pastoralists and farmers along the River Daua.

MANDERA URBAN ECONOMIC PLAN (UEP ) 85

> VC-specific capacity building/training of minority, less educated tribes is a viable proposal that will increase their employability and chances of gainful participation in the project. Transport and accessibility proposals should also consider how to reduce the effective distance between these communities and the key education institutions in Mandera.

Table 4.9 VC group 2 infrastructure requirements

Infrastructure Direct requirements Capacity 30,000 to 40,000 litres milk per day input.

The current public water supply would be insufficient to support milk processing.

› Rainwater harvesting from the available building rooftop area to increase resilience of supply.

There is an opportunity to generate electricity or biogas from the AD plant mentioned above.

Water and wastewater Requires water predominantly for cleaning of the processing equipment, cooling water, and staff hygiene and sanitation. Processing requires 0.3 and 3m³ of water per tonne of milk49. Total use estimated at up to 45,000m³ per year.

Battery storage with a capacity of around 280kWh should be included, to help with fluctuations in supply.

› Water recycling for non-potable uses, e.g. a ‘Clean in Place’ (CIP) system.

The facility may not be located close to any existing power infrastructure, so a suitable 11kV grid supply may need to be extended to the site.

Solid waste Likely wastes to be generated are unused milk or dairy products, paper and other office and staff wastes. There is a potential for the facility to have a micro-AD plant as is proposed in Section 5.3.4.

› Water storage in the system to cover interruptions in supply.

Transport All-weather access roads is needed between the collection centres to support movement. The VC group site would need to be served by a paved road access, with good storm water drainage.

Source: Atkins, 2021

› A treatment plant would allow wastewater to be reused for irrigation.

Infrastructure will be required at Neboi to support the functions of the processing facilities; these are listed as direct infrastructure requirements in Table 4.9. There will also be infrastructure required to support the supply chains of this VC group. The potential infrastructure interventions will be detailed in the Infrastructure proformas in Section 5.2. Giner Santonja, G., Karlis, P., Stubdrup, K. R., Brinkmann, T., Roudier, S., Best Available Techniques (BAT) Reference Document for Food, Drink and Milk Industries (2019), Available at: https://eippcb.jrc.ec.europa.eu/reference/ (Accessed: 07/05/2021)

INFRASTRUCTURE REQUIREMENTS

Good end-to-end, safe, and universally-accessible pedestrian facilities and public transport connections will be needed between the collection centres and milk processing plant for both its potential employees and traders.

Other wastes to be upcycled, recycled or disposed at the town landfill site.

49

Solar PV with a capacity of 70kW should be installed on the site, requiring an area of about 455m². The grid supply will cover the peak demand; however, PV could reduce the cost of grid electricity by up to KES 28,000 per week.

Energy Based on the anticipated size of the facility, the general power and lighting demand for the buildings and process load could be in the region of 260-280kW.

Production chain features UHT heat treatment, which requires process heat.

Indirect water use (for livestock) estimated at up to an additional 1.5 million m³ per year (at an average of 100 litres of water per litre of milk).

MANDERA URBAN ECONOMIC PLAN (UEP )86

There is a need for: › A water source for any proposed plant (likely borehole).

> Some of the water demand can be reduced by treating wastewater on site and reusing. There is also potential to utilize wastewater for irrigation, specifically fodder production;

The input for this VC group is 100% agricultural, however, there is a large volume of milk produced in the county compared to the inputs needed for the VC and as such, there is a degree of resilience provided against reductions in supply. The potential to use goat and camel milk as well as cow milk also decreases the sensitivity of the proposed VC grouping, and as such overall sensitivity is rated as medium. Climate Impact Parameters Milk production is negatively affected by high temperatures, which increase water requirements for animals and also reduce production, as well as drought, which increases mortality, and decreases production. In addition, higher temperatures increase the risk of spoilage. Climate change will lead to more extreme temperatures. As such, the overall impact of climate change on the VC group can be classified as negative.

> A stable price for milk would provide an incentive to investors to invest in milk production, translating into better livestock management; > The commercialisation of milk processing would generate low levels of solid waste;

CLIMATE RESILIENCE ASSESSMENT Sensitivity

ENVIRONMENTAL IMPACT

The environmental benefits of this VC group include the production of low levels of pollutants and solid wastes and the promotion of pastoralist livelihoods through the offering of a stable prices and an outlet for milk products. An EIA is required, to ensure the development does not cause detrimental effects to the environment50. The following issues should be considered further during the decision-making process:

> To increase milk output, pastoralists may adopt a semi free-range centralised livestock rearing system. The centralized system would aid the collection of manure, which would enhance soil conditioning and improve moisture retention, which is particularly important in water scarce areas;

> Given the high level of energy demand required for milk processing, the adoption of alternative energy systems is encouraged to supplement the grid supply; and

MANDERA URBAN ECONOMIC PLAN (UEP ) 87

> Considering Mandera County’s inadequate rainfall, the inclusion of camel milk (besides cow or goat milk) makes the project more resilient to water shortages.

50. National Environment Management Authority (NEMA), Environment Impact Assessment (EIA) (2003) Vulnerability Rating Milk processing has a medium to high vulnerability to climate change, however, the ability to use camel milk as an input provides a degree of resilience. This VC group could play an important role in strengthening the resilience of livelihoods in the livestock sector, by providing a clear route to market for milk production. Adaptation Options Adaptation measures primarily relate to ensuring that livestock have access to adequate water, fodder, and shade, and reducing milk spoilage before it reaches the processing plant: > Pasture conservation and management; > Fodder production; > Provision of additional watering points; > Rainwater harvesting and storage along key livestock routes; > Ensuring that pastoralists have access to traditional migration routes; and > Cool storage facilities for milk.

> Supporting development of zero graze livestock, poultry and pond fish farming, through the supply of animal feeds;

Based on the potential in Mandera, 4 milling-related individual processing VCs have been identified, all of which would benefit from co-location and sharing of resources. This VC group then covers the following activities:

> Oil pressing: targeting sunflower as well as simsim (sesame), soya, groundnut, papaya, and other oilseeds and nuts. Producing a range of oil packaged for the consumer market, with husk and seedcake by-products for animal feed processing; > Grain milling: targeting maize as well as sorghum, beans and rice. Processing would include the splitting, de-husking/ polishing, and production of flours and meal, brans, wheat-germ, etc. The flours would be packaged for the consumer market;

CURRENT PRODUCTION Mandera County produces significant volumes of maize and sorghum, and more recently farmers have been growing higher value crops such as sunflower and simsim (sesame). However, local processing options are limited, and farmers are exposed to selling to traders at below-market prices. Some farmers have resorted to investing in their own oil presses, but these are small scale and inefficient.

MANDERA URBAN ECONOMIC PLAN (UEP )88

> Reducing post-harvest losses through good handling techniques (e.g. correct drying and reduced infestation by animals and insects);

Maize and other grains and oilseeds are grown along the River Daua and other irrigated areas, as well as along seasonal streams. While production of most crops has generally been increasing in recent years as more land is brought under irrigation, there can be substantial variation between years due to flooding, drought, pests and disease. In good years, maize production exceeds local needs, but with limited storage and offtake, farmers resort to cutting it for animal feed.

> Improving local food supplies and overall resilience; and

> Fertiliser production: there is potential composting some of the organic waste materials (maize husk, stalks, etc.) to produce an organic fertiliser/soil improver. Low-protein waste material from the fruit and vegetable production could be included in this processing.

This VC group combines oil pressing and milling activities to increase the value of oilseed and grains grown in the County.

> Animal feed mill: the oil seedcake provides a high protein base for the production of animal feed. The feed mill will combine seedcake with other waste materials (brans, husk and possibly peel and fruit stones from the fruit and vegetable cluster) to produce a range of formulated feeds for fish, poultry, cattle and shoats; and

4.3.3 VC group 3: Oil pressing and milling OVERVIEW

PROCESSING VCS

To maximise the value of these crops, especially oil seed, greater processing capacity is required. Given the uncertainties over future harvest volumes and the balance between crops (which can vary substantially by season due to a range of factors), there is potential for establishing a flexible oil pressing and milling operation.

> Providing good direct employment opportunities, including for PWDs and other SIGs.

The need for maize milling capacity in Mandera Town has already been identified as a flagship project by the County Government. With the expansion in farmed irrigated land, the production of oilseeds and grains are set to rise substantially, further increasing the need for pressing and milling capacity.

> Supporting investment in the sector (including switching to oilseed crops, using improved seeds and harvesting techniques, developing new irrigation areas, etc.) by providing a stable local offtake;

The key outcomes of this VC group include:

Figure 4.9 presents the different flows of inputs, process and outputs involved in this VC group, its individual VCs and other VC groups. It looks to understand the interactions between them and opportunities to cluster activity within the VC group as well as with other VC groups.

> Joint power generation (e.g. from rooftop PV) and coordination of any power-hungry activities in order to moderate overall demand on the grid;

Co-locating these related VCs provides potential for sharing services and facilities, such as:

Oilseed and grain processing cluster

Figure 4.9

farmersArable Fertiliser / Soil improver CrossfarmersfarmersfarmersDairyArablePoultrybordertradeFishfarmers MARKETSManderaManderaTownCountyRegionalmarketsdispatch&StoragebeanGrainpressingOilseedandmilling OilPackingbottling Drying and storage silos feedAnimalmill Fruit & veg. pro cessing HuskPeel/seedStalkscakeOilseed HuskBran Pith/stalks

MANDERA URBAN ECONOMIC PLAN (UEP ) 89

OIL PRESSING AND MILLING CLUSTER

> Collection, if undertaken by the VCs. There is potential to link into the collection network for fresh fruit and vegetables;

> Proximity for the by-product feeds into animal feed and fertiliser production;

> Joint handling and monitoring of silos and driers (for grain and oilseed operations);

> Training and the provision of back-office services (accounts, HR, etc.); and

> The feed mill and fertiliser operations would also benefit from locating alongside the fruit and vegetable processing for ready access to their by-product streams.

Source: Atkins, 2021

The cluster would then be developed in three distinct phases:

MANDERA URBAN ECONOMIC PLAN (UEP )90 POTENTIAL AND PHASING

Table 4.10 Development of oilseed and grain processing cluster

With the development of commercial-scale milling and oilseed processing providing a secure offtake and price stability, it is expected that investment in grains and oilseed will increase in the medium-term. In the longer-term, the expansions in irrigation farming resulting from a dam on the River Daua is expected to raise production substantially. With the potential to open up the development of 19,000 hectares of farmland, the dam could see a more than doubling of the land used for grain and oilseed production. Together with investments in fertilisers and improved seed stock, overall harvests could more than triple in the longer-term. In developing potential phasing for the cluster, account is taken of the above growth potential, as well as some natural sequencing: for example, the animal feed mill and fertiliser operations are dependent on the oilseed pressing and grain milling being established.

MILLING AND OIL PRESSING, AND BIPRODUCT PROCESSING

> Long-term: increased milling and oilseed processing supported by the higher volumes of produce from the new irrigation areas along the River Daua and, potentially, trade flows from Ethiopia.

Value Chain Short term Medium term Long term Oil processing - mixed 500 t/y (input) 1,000 t/y with secure offtake supporting investment 7-10,000 t/y with Irrigation Master Plan and expansion in crops "Sunflower oil processing (not if mixed processing goes ahead)" 750 t/y with secure offtake supporting investment 5,000 t/y with Irrigation Master Plan "Sesame (simsim) seed (notprocessingifmixed processing goes ahead)" 250 t/y with secure offtake supporting investment 2,000 t/y with Irrigation Master Plan Grain milling - mixed 1,500 t/y 3,000 t/y with secure offtake supporting investment 10,000 t/y with Irrigation Master Plan Feed mill Dependent on milling, oil pressing and fruit and vegetable processing

Fertiliser production - organic Dependent on milling, oil pressing and fruit and vegetable processing

> Medium-term: expansion of the collection network and increasing harvest volumes (resulting from improved farm managements and stable offtake) supports increasing grain and oilseed throughput, sufficient support feed mill and fertiliser operations; and

Food processing - dehydrated products Dependent on range of vegetable drying Food processing - MREs Dependent on range of vegetable drying, milled produce, etc.

Source: Atkins, 2021

> Short-term: based on sourcing available produce and targeting surpluses, with as focus on mixed oilseed and grain processing. Includes integrating with existing processors and linking to established storage operations, taking into consideration the potential volumes from Koromey;

Women’s and youth inclusion: After a gender assessment, SIMLESA developed training and sensitisation workshops and encouraged participation of youth and women in agricultural platforms and farmer groups. The latter contributed to improving access to information and productivity. Sensitisation helped promote household conversations about resources management and contributed to women’s inclusion in decision-making processes. Better farming practices and mechanisation freed-up time for other activities outside the farm.

Direct employment: > This can be a highly physical activity; > Employment in the processing side of the milling business is usually dominated by men; > Employment in the grain and oilseed collection network is generally dominated by young men; > Employment opportunities for PWDs would generally be limited to administrative positions; and > Ethnic majority access better education than the minority.

As it happens in other regions, women and youth are usually involved in planting and harvesting grain and bean crops. However, they normally use physically-intensive methods, have less access to extension services, and less access to credit and technology. As it was reflected in focus group discussions, this also makes them more vulnerable to the impacts of climate change. Many women also sell grains to markets, but with reduced mobility, competing responsibilities and lack of participation in groups or cooperatives makes them less competitive. Recommendations for the oil and milling VC group are consequently similar to the fruits and vegetables VCs, particularly for production and harvesting, transportation services, back-office activities, and sales.

The direct employment beneficiaries will be those who are directly employed in the facilities created by this VC, they will work in, or for, the processing facilities. This could include, for example managerial roles, maintenance, or managing equipment. The largest employment impact for this VC group will be along the supply chains, the indirect employment.

Supply chain: > Arable farmers (mainly irrigation, but also some rain-fed farms) will be the main direct beneficiaries;

(Accessed: 20/07/2021).

As indicated before, processing can be a highly physical activity and employment in the processing and collection side of the milling business is usually dominated by men.

Case Study: Sustainable Intensification of Maize-Legume Cropping Systems for Food Security in Eastern and Southern Africa (SIMLESA) – promoting women and youth participation

KEY PROGRAMME ELEMENTS

Source: SIMLESA, Promoting women and youth participation52 52. SIMLESA, Promoting women and youth participation in agricultural value chains improves food security and livelihoods. Available at: (Accessed:wp-content/uploads/MozambiqueGender.MO_RA-Policy-Brief-08.01.2019-002.pdfhttps://simlesa.cimmyt.org/05/07/2021).

> Animal feed production will benefit from volumes supplies of bran, chaff, oil seedcake and maize germ; and > A range of livestock farmers (especially poultry, pond fish, and zero graze dairy) will benefit from increased supplies of animal feed.

MANDERA URBAN ECONOMIC PLAN (UEP ) 91 POTENTIAL BENEFICIARIES

Figure 4.10 Direct employment potential of oil pressing and milling cluster Oil processing and milling Overall employment Special interest groups Of which: PWDs Of which: Youth Of which: Women Source: Atkins, 2021 51. USAID. A guide into integrating gender into Value chains. Available at: https://agrilinks.org/sites/default/files/resource/files/gender_agriculture_value_chain_guide.pdf

This case study focuses on the programme’s interventions in Mozambique and its aim to integrate women and youth in value chains. The intervention identified the following barriers: a. they are less-informed about maize conservation than men; b. they have more difficulties to access land, capital, and inputs; c. they develop labour-intensive farming activities (and women have additional care responsibilities); d. they are often engaged in lower links of the value chain (for women, this is worsened by social norms that restrict mobility); among other challenges.

The case study below provides a good example of how to better-integrate women and youth and recognise their current contribution in this VC group. Similar programmes that focused on social inclusion in VCs have also worked towards making access to credit more flexible, for example by considering storage grains as collateral51.

For instance, some communities may have an unfair opportunity to access direct employment in this opportunity without mitigation.

GENDER AND SOCIAL INCLUSION ASSESSMENT

> Inclusion of Youth in supply chains and employment, to work against radicalisation.

Do No Harm considerations:

> Cooperatives/organisations involved in collection to plan for mechanisms to ensure inclusion;

> Provision of security at the industrial site; > Adopt an inclusive collection network that benefits all communities;

The main beneficiaries will be influenced by the upstream supply chains of the processing, where certain communities could be excluded from the supply chains of this VC. The main beneficiaries will be arable farmers and livestock owners, both of these groups are spread across a range of communities and areas in Mandera. There is also the risk of demand for produce grown along the River Daua (mainly horticultural) would increase the value of irrigated land. Exclusion disenfranchisement and competition over resources, if not mitigated, have the potential to translate to frustration of communities and potentially exasperate the conflict context. This VC has the potential to improve the socio-economic status of a significant number of Mandera’s residents, and foster collaboration between different communities in the Municipality, thus positively impacting the conflict context. Stakeholders expect this project to fairly benefit conflict-prone areas by creating jobs and boosting business, thus reducing competition over resources and ultimately keeping Mandera’s youth from radicalisation. This VC also has the potential to support development of the zero-graze livestock sector, which would benefit the conflict risks of the other VCs including milk, and fruit and vegetable processing.

MANDERA URBAN ECONOMIC PLAN (UEP )92

> Adoption of an inclusive hiring process for the project; and

> The agriculture sector has in the past faced conflict over water resources. With the project’s indirect water use (irrigation) estimated at up to 50 million m³ per year, project development going forward will need thorough, inclusive community engagement over the source(s) of the water (especially if shared) and over the location of water storage and treatment plant. Water point locations that cause displacement are to be avoided, and if unavoidable proper communication with affected persons and provision of alternative land must be planned for pre-project implementation. Works contracts related to water supply or related project services will also need to be fairly awarded to avoid conflict between communities;

> Potential direct employment beneficiaries will work in, or for, the processing facilities, and positions here require some level of education. Considering the ethnic majority has access to better education than the minority, there is potential for minority and corner tribes with little to no education to feel excluded in employment and therefore conflict. VC-specific capacity building/training of minority, less-educated tribes is a viable proposal that will increase their employability and chances of gainful participation in the project;

CONFLICT SENSITIVITY

The facility may not be located close to any existing power infrastructure, so a suitable 11kV grid supply may need to be extended to the site.

INFRASTRUCTURE REQUIREMENTS

Infrastructure will be required at Neboi to support the functions of the processing facilities; these are listed as direct infrastructure requirements in Table 4.11. There will also be infrastructure required to support the supply chains of this VC group. The requirements of the VC are highlighted here, however the potential infrastructure interventions will be detailed in the Infrastructure proformas in Section 5.2.

Waste Main waste from the VC group is husk, chaff, stalks oil processing cake and unsuitable or waste seeds and grains. These by-products can be used to produce animal feed and/or composted onsite for solid fertiliser. Other wastes (small volume of packing) will be upcycled, recycled or disposed at the town landfill site.

Potential to connect to the water treatment plant should be examined.

Transport Delivery of the oilseed and grains from farms in the region will require about 10 large truck trips per day, with similar trips for finished products.

Source: Atkins, 2021

Table 4.11 VC group 3 infrastructure requirements

Water Expected the plant will crush and cold press the oil, therefore no process water needed.

53. Kenyan Ministry of Water and Irrigation, Practice Manual for Water Supply Services in Kenya (2005)

Water use estimated at around 2m³ per day (1m³/day for cleaning equipment, with employee use at around 25 litres/person/day53.

Good public transport connection needed to the facility for both the employees and farmers.

MANDERA URBAN ECONOMIC PLAN (UEP ) 93

Expected that water demand can met by the existing supply system. May be a need for minor infrastructure investments (e.g. pipe network extension).

Solar PV with a capacity of 60kW should be installed on the site, requiring an area of about 390m². The grid supply will cover the peak demand; however, PV could reduce the cost of grid electricity by up to KES 24,000 per week.

Infrastructure Direct requirements Capacity Up to 10,000 tonnes per year of grains and similar volumes of oilseed.

All weather access roads to farming areas and facility needed.

Energy Based on the anticipated size of the facility, the general power and lighting demand for the buildings and process load could be in the region of 200-250kW.

Indirect water use (irrigation) is estimated at up to an additional 50 million m³ per year (based on Master Plan for River Daua).

Battery storage with a capacity of around 250kWh should be included, to help with fluctuations in supply.

MANDERA URBAN ECONOMIC PLAN (UEP )94

Vulnerability Rating

This VC group is dependent on agricultural inputs and as such, supply is sensitive to climate impacts on production. As much of the planned inputs for the VCs come from irrigated farming, and a range of different crops can be used as inputs, including some particularly suited for hot and dry conditions, both of which reduce the impact of rainfall variability and drought, the overall sensitivity of the VC group is rated as medium.

There are many adaptation options available to strengthen resilience of the agricultural supply chains needed for this VC group, these include:

> Measures should be put in place to prevent the centralized grain storage and processing facility from attracting pests and vermin; > Milling machines create noise and dust pollution and should not be in proximity to air and noise sensitive receptors (human settlements); and

Climate Impact Parameters

54. CGIAR, Climate risk profile for Madera County (2018) 55. National Environment Management Authority (NEMA), Environment Impact Assessment (EIA) (2003) Environmental Impact

> An increase in demand for irrigated land could lead to the clearance of bushlands, encroachment of riparian areas and open grasslands that are used by pastoralist for livestock production. It would also increase water demand for agriculture; > Imported inputs should be subjected to rigorous border inspections, by government agencies (e.g. Kenya Plant Health Inspectorate Services - KEPHIS), to prevent the importation of biohazards;

The environmental benefits of this VC group include the reuse of organic wastes/by-products for either livestock feed or solid fertilizer, ensuring low levels of waste are produced that require disposing. An EIA is required to ensure the development does not cause detrimental effects to the environment55. The following issues should be considered further during the decision-making process:

Sensitivity

The major climate impacts relate to drought, extreme temperatures, and erratic rainfall.54 Rainfall will continue to be highly variable, and drought events are likely to increase in severity. The additional challenges to the agricultural sector that these eventualities will cause mean that overall impact of climate change is assessed as negative.

> The organic wastes produced by the facility could be used in the production of livestock feed, this would lower the demand for grazing land. They could also be recycled and used as fertilizer.

Adaptation Options

CLIMATE RESILIENCE ASSESSMENT

The vulnerability of the Value Chain group is potentially high, given the nature of inputs and climate impacts. If specific opportunities are carefully chosen, however, and focus on inputs that are either more resilient, or those under irrigated production, then it will be possible to ensure the resilience of the processing operations.

> Use of heat and drought tolerant varieties; > Use of irrigation systems where practical; > Strengthening of climate information services for farmers; and > Collection and storage systems to reduce post-harvest losses before produce reaches the processing plant.

PROCESSING VCS Based on the potential in Mandera, 5 interlocking VC projects have been identified. These VCs are:

> Abattoir and meat processing: commercial-scale abattoir providing carcasses and processed meats for the local, Kenyan, and export markets;

Livestock is central to the economy of Mandera County but value added in the County is low. The County’s total herds comprises around 1 million camel, 0.9 million head of cattle and 4.5 million shoats. However, with no export abattoir, slaughter and meat processing the County is limited and production is largely just for local consumption. In general, live cattle from the County are taken to Nairobi for processing, while camel and shoats go into Ethiopia. There is a strong tradition of leatherworking in Mandera and the region, with production focused on handbags, prayer mats, belts and wallets. However, this is at an artisanal scale, and there is no commercial-scale tannery from which to expand this Withactivity.limited leatherworking, and only small-scale tanning, an estimated 50,000 to 60,000 unprocessed hides are traded out of the Mandera region each year. There is then an opportunity to develop a tannery in Mandera to process these skins and supply and expand the local leatherworking sector.

The individual components of this VC group provide a range of complimentary benefits:

4.3.4 VC group 4: Tanning and related activities OVERVIEW

> Raising the local value added from the County’s core livestock sector; > Improving returns to herders and other livestock owners;

Abattoir and meat processing: > Increases net revenues to herders and livestock owners;

> Provides high direct employment potential, including for PWDs and other SIGs.

> Waste processing: a biogas digestor to process the waste streams from the abattoir and tannery. The digestor would produce gas (which could be bottled for domestic use or used to power the chillers and other operations in the abattoir), and also produces a rich bio-fertiliser. More details are provided on this opportunity as an energy proforma in Section 5.3.5; and

> Supports further food processing activities (e.g. meat canning). Feed lots: > Improves condition and value of livestock; > Supports livestock market expansion and bulk sales; and

This VC group focuses on the tanning of hides and skins and related activities from feedlots and slaughter, to leatherworking. The overall benefits from this cluster include:

CURRENT PRODUCTION

> Raises overall local value added from the County’s core livestock sector; > Supports Mandera as a centre for the livestock sector; and

> Builds resilience and sustainability of the sector. Tannery: > Provides reliable, stable prices and local outlets for skins and hides; and > Supplies quality leather to support expansion of the leather working sector.

> Providing a high level of direct employment opportunities, including for PWDs and other SIGs.

> Improving resilience of the sector by supporting investment in fodder production, better breeds, improved management, etc; and

> Tannery: a tannery using natural tannins (avoiding use of metal chrome processing and related issues with pollution), producing quality finished and crusted leather, for local and export markets. To avoid any possible problem with over-exploitation of natural resources, the tannery be developed in tandem with a programme of tree planting and sustainable management;

Overall cluster:

> Supports centralised waste processing, producing biogas and fertiliser; > Provides the tannery with stable supply of skins; and

> Leather goods: expansion of the existing leatherworking sector, using leather from the tannery and targeting high value markets in Kenya and abroad;

> Supports fodder production and investment in animal feeds; Leatherworking: > Builds on existing artisanal activities; and

> Livestock feedlot: commercial-scale feed operation to support livestock going to the slaughter in Mandera or trucked to an abattoir elsewhere. The focus would be standard 3-month fattening programme for cattle, using locally grown fodder, with the potential to also use feeds from the animal feed mill VC.

MANDERA URBAN ECONOMIC PLAN (UEP ) 95

Livestock trade from Mandera Shipment to Nairobi / MogadishuExportsThikatoBulk hidestraders:&skinsCamelCattleSheepGoat Small-scaletanning Householdslaughter Artisanworkersleather Leather goods Hides / skins Hides / skins Meat for local market and households Meat for local market and householdsforlocalmarketslaughterSmallslabs Herders and Farmers

The current flow of products and value added in leather tanning and related activities, is outlined in Figure 4.11. VC activity in Mandera is limited to small-scale slaughter, tanning of some of the available skins and hides, and artisanal leatherworking. The outlook for the cluster is outlined in Figure 4.12, with a commercial-scale tannery central to the development of a leatherworking industry and expansion upstream into slaughter and meat processing.

Figure 4.11 Existing tanning and related activities

MANDERA URBAN ECONOMIC PLAN (UEP )96

Source: Atkins (2021)

TANNING AND RELATED PROCESSING CLUSTER

MANDERA URBAN ECONOMIC PLAN (UEP ) 97 Figure 4.12 Future tanning and related cluster Source: Atkins (2021) Herders and Farmers Livestock trade from Mandera Leather goods: Kenya and export Meat: Local, region and ManderaBiogas:exportManderahouseholdsBio-fertiliser:farmersMARKETS Feed lot Shipment to Nairobi / MogadishuExportsThikatoSheepCamelCattleGoat Household slaughter Bulk hidestraders:&skins Small slaughter slabs LeatherworkingTanneryAbattoir and meat FattenedAnaerobicprocessingdigester Tannedleather goodsLeather Meat and meat products Biogas and bio-fertiliser cattle Hides / skins Hides / skins Hides / skins Waste products

Table 4.12 Development of tannery and related processing cluster

The key first step in developing this cluster is to establish the tannery, targeting skins and hides currently traded away from the County. Developing a pool of skilled leather workers will take time, therefore building on the existing artisan leatherworking base should be started early. The establishment of the other VCs in the cluster are dependent on the abattoir, which is a longer-term development, partially dependent on the capacity utilisations at other abattoirs (e.g. Isiolo, Garissa, Marsabit and Wajir). This cluster would then be developed in three distinct phases:

MANDERA URBAN ECONOMIC PLAN (UEP )98 POTENTIAL AND PHASING

Source: Atkins, 2021

> Medium-term: expansion in the range of goods produced, and improvements in quality through further training; and

LIVESTOCK Value Chain Short term Medium term Long term Tannery - finished and crusted leather 12,500 skins and hides per year 60,000 skins and hides per year Leather goods - high value Developed artisanal leather working. Expansion in product range. Large-scale processing of leather in addition to artisanal working. Abattoir / Meat processing "New abattoir with half capacity of Isiolo (60,000 head per year). Daily throughput of 50 cow, 30 camel and 160 shoat. 60,000 skins and hides per year."

> Long-term: full development of the processing cluster, with a commercial-scale abattoir supplying the tannery, supported by feed lots and bio-digester for waste processing. Scaling up of the leather working VC to make full use of enhanced supplies from the tannery.

Abattoir / processingWaste "c. 5,000t/y of waste producing: 0.27mnm³/y biogas 2,500t/y dry biofertiliser"

> Short-term: develop the tannery, sourcing skins and hides that are currently traded out of the County. Introduce sustainable management of natural tannins (tree planting if necessary, combined with imports). Developed the existing leather working sector;

Livestock feedlot "Feedlot developed with abattoir. Target cattle: 3 months fattening."

EMPLOYMENT AND BENEFICIARIES

Figure 4.13 Direct employment potential of tanning and related activities cluster Tanning and related activites

> Existing slaughter slabs and traders will benefit from a secure offtake for their skins and hides;

Direct employment: > Work in tanneries, abattoirs and feedlots is generally highly physical and employment in these areas is usually dominated by men; > Meat processing provides opportunities for direct employment of a range of SIGs, including PWDs;

The direct employment beneficiaries will be those who are directly employed in the facilities created by this VC, they will work in, or for, the processing facilities. This could include, for example managerial roles, maintenance, or managing equipment. The largest employment impact for this VC group will be along the supply chains, the indirect employment.

> Across the VC group there would be employment opportunities for all in administrative roles, including sales and marketing; and > Ethnic majority access better education than the minority. For instance, some of these communities may have an unfair opportunity to access direct employment in this opportunity without mitigation.

Overall employment Special interest groups Of which: PWDs Of which: Youth Of which: Women Source: Atkins, 2021 Supply chain: > All owners of shoats, cattle and camels, (both pastoralists and farmers) will benefit from increases in animal values due to local processing;

> Leatherworkers will benefit from increased supplies of quality tanned leather; and. > Traders in all products will benefit from increased local supplies.

MANDERA URBAN ECONOMIC PLAN (UEP ) 99

> Leatherworking is often an activity traditionally undertaken by men, but it is suitable to a range of SIGs, including PWDs, with proper training;

(smallleatherworkingTraditionalbusinesses)

In focus group discussions, PWDs have indicated that they work with shoe-making and repair.

› Awareness sessions: it is important to work towards making women contributions to this VC visible which could progressively help them have a more active role and participation. This could progressively contribute to women’s increased control over livestock. Strategies to make this VC more inclusive need to be implemented cautiously and involve men and women at all stages.

andproductionLivestockmanagement Men still dominate large livestock-related markets across Africa, and gender inequality continuously hinders women’s participation along the entire livestock value chain – including in tanning activities. This can be primarily attributed to multiple constraints such as access to capital, cultural values and norms, limited skills, decision power and restricted mobility faced by women in accessing, managing, and controlling livestock assets and production.56 Despite this, women are often involved in the care of the livestock (depending on the ethnic minority they belong to). Increased professionalisation, better access to markets, and participation in extension services and trainings, can contribute to transforming this activity into an economic opportunity. However, doing this might face resistance from communities with rooted traditions.57

As described above, work in tanneries, abattoirs and feedlots is usually considered a masculine activity. However, meat processing provides opportunities for direct employment of a range of SIGs, including PWDs. Recommendations for processing and transportation services are the same as in the previous VCs. Below there are some specific recommendations for this ExclusionVC.disenfranchisement and competition over resources, if not mitigated, have the potential to translate to frustration of communities and potentially exasperate the conflict context. Stakeholders expect this project and other livestock-related projects to benefit conflict-prone areas the most because pastoralism is widespread in conflict-prone areas and is climate-resilient, and also because it will create jobs for the youth, reducing their predisposition to conflict activities.

GENDER AND SOCIAL INCLUSION ASSESSMENT

57. AgriProFocus Learning Network, Available at:https://agriprofocus.com/upload/ToolkitENGender_in_Value_ChainsJan2014compressed1415203230.pdf

› Certification of local leather artisans: consider providing a certification to artisans that assist to trainings. This could provide a good incentive for people to engage in leatherworking.

› Access to credit and financial services: Assist household/village level dealers in accessing financial services/capital and encourage formation of groups/ cooperatives so that they can increase output. This support shall be aimed at men and women of all age groups in the sector, regardless of whether they are living with a disability, are HIV positive or not.

Table 4.13 VC group 4 GESI assessment Sub activity Context Recommendations

As explained above, leatherworking is an activity traditionally undertaken by men, but it is suitable for a range of SIGs, including PWDs.

› Skills development and transfer: As most of the artisans in Mandera are men who use indigenous knowledge and skills to make leather products like handbags, wallets, belts and prayer mats for sale, the Municipality should support transfer of appropriate tanning and leather-making technologies. The objective should be to enable current artisans and people involved in the tanning to transfer skills to other men and SIGs, while at the same time introducing complementary technologies to make the tanning and manufacturing of leather products more efficient. This training can be offered for a fee, representing additional income opportunities for artisans.

MANDERA URBAN ECONOMIC PLAN (UEP )100

(Accessed 13/07/2021)

Source: Atkins, 2021

56. Understanding gender relations in livestock value chains, Michèle Mbo’o-Tchouawou, (2013), https://pim.cgiar.org/files/2013/11/06_MbooTchouawou_Gender-relations-in-Livestock-ValueChains.pdf Accessed 28/04/2021

Solar PV with a capacity of 70kW should be installed on the site, requiring an area of about 455m². The grid supply will cover the peak demand; however, PV could reduce the cost of grid electricity by up to KES 28,000 per week.

> Cooperatives/organisations/NGOs involved in collection plans to ensure inclusion;

The requirements of the VC are highlighted in Table 4.14; however, the potential infrastructure interventions will be detailed in the Infrastructure proformas in Section 5.2.

> Potential direct employment beneficiaries will work in, or for, the processing facilities, and positions here require some level of education. Considering ethnic majority access better education than the minority, there is potential for minority and corner tribes with little to no education to feel excluded in employment and therefore conflict;

Waste Waste from abattoir and tannery (guts, fleshings, splits, hair, grease, etc.) estimated at 5,000 tonnes per year.

Other wastes will be upcycled, recycled or disposed at the town landfill.

Infrastructure Direct requirements Capacity 60,000 skins per year for tannery. 60,000 head per year through abattoir.

> Adopt an inclusive collection network that benefits all communities;

› Up to 48,000m³ per year for tannery (based on 25 to 80 litres of water per 1kg of hide58.)

Abattoir and feedlot: animals will be sourced locally, being either trucked in or trekked.

MANDERA URBAN ECONOMIC PLAN (UEP ) 101

Table 4.14 VC group 4 infrastructure requirements

> Further, VC-specific skills’ development of minority, less-educated tribes is a viable proposal that will increase their employability and chances of gainful participation in the project;

> Provision of inclusive transport linkages for workers to increase chances of their participation in the VC and education.

Source: Atkins, 2021

Do No Harm considerations:

Water Process water estimated at up to 60,000m³ per year: › 12,500m³ per year for the abattoir/meat processing

Transport The industry will need good road access for both motorised and non-motorised transport. A good public transport connection will be needed to the facility for both the employees and visitors to the plant.

Battery storage with a capacity of around 250kWh should be included, to help with fluctuations in supply.

INFRASTRUCTURE REQUIREMENTS

Tannery: hides and skins can be sourced directly from pastoral farmers or rural based traders who buy raw hides from farmers and sell to traders in the local towns and markets.

Indirect water use for irrigation of inputs estimated at an additional 2 million m³ per year for feedlot fodder production.

> Provision of security at the industrial site;

The AD plant mentioned above could supply some of the heat and energy required on site.

It is unlikely that water for the tannery will be available from the public water supply. There is therefore a need to develop a water source (probably a borehole). A treatment plant would also be needed. There will be a need for water storage in the system to cover interruptions.

The facility may not be located close to any existing power infrastructure, so a suitable 11kV grid supply may need to be extended to the site.

Energy Based on the anticipated size of the facility, the general power and lighting demand for the buildings and process load could be in the region of 350kW.

> Inclusion of Youth in supply chains and employment will most likely prevent radicalisation;

> Cooperatives/organisations involved in collection would need mechanisms to ensure inclusion; and

> In the past, conflict in the livestock sector has been over grazing land and/or water points, between pastoralists and farmers along River Daua. The required process water is estimated at up to 60,000m ³ per year, and there will be additional water requirements along the supply chains. Project development going forward will need thorough, inclusive community engagement over the location of the proposed water source (borehole), any treatment plant or other facilities. Project facilities locations that cause displacement are to be avoided, and if unavoidable proper communication with affected persons and provision of alternative land must be planned for pre-project implementation;

Infrastructure will be required at Neboi to support the functions of the processing facilities; there will be direct infrastructure requirements needed to support this VC group.

Potential to process in an onsite AD plant, producing biogas and a dry fertiliser.

Feedlot: short distance to abattoir of benefit. Town markets and slaughterhouses should be targeted as collection centres for the aggregation network.

> Adoption of an inclusive hiring processes for the project;

58. Swartz, C.D., Jackson-Moss, C., Rowswell, R.A., Mpofu, A.B. and Welz, P.J., Water and Wastewater Management in the Tanning and Leather Finishing Industry: NATSURV 10 (2nd Edition), 2017

> The project would require an environmental conservation and commitments to reforestation if a large-scale natural vegetable tanning model is adopted.

The vulnerability of the VC group is medium overall. Climate change will pose additional challenges for livestock production, however, the high volume of hides currently produced provides a buffer against any reductions in supply. Adaptation measures as outlined below could help to increase the resilience of the livestock sector:

MANDERA URBAN ECONOMIC PLAN (UEP )102

> The use of 100% natural tannins could result in overexploitation of the preferred species, putting more pressure on local trees leading to deforestation with negative environmental consequences.

The key outcomes of this VC include:

> The tanning process has a higher water requirement61.

This VC group is dependent on a consistent supply of hides, supply should not be a major issue in the event of extreme events as there is a large volume of hides currently exported from the county. The sensitivity of the VC group is rated as low to medium.

Climate Impact Parameters Higher temperatures increase the need to preserve hides, both drought, and extreme temperatures, can lead to poorer body condition amongst the animals and affect the quality of the hides produced. Extreme temperatures will become more common, and drought and erratic rainfall pose significant risks to livestock production. Increased heavy rainfall could temporarily reduce supply to the tannery, however, it would be unlikely to stop production with the right storage facilities in place. Overall, the impact of climate change is negative.

The environmental benefits of this VC group include the addition of value to by-products (hides and skins) from the livestock industry. An EIA is required59. The following issues should be considered further during the decision-making process:

> Raising local value added from a natural local resource;

> Providing good direct employment opportunities, including for PWDs and other SIGs.

BASE ASSESSMENT

A range of resin and gum producing trees grow wild across the ASAL of Kenya. In the northeast of Mandera County and along the River Daua the most common species, in order of coverage are: > Commiphora myrrha > Commiphora holtziana (hagar resin)

This VC group focuses on processing a range of natural gums and resins that can be tapped from trees across the region.

> The site selected should not be at close proximity to air and noise sensitive receptors (human settlements). This is due to odours expected to emanate from the plant.

ENVIRONMENTAL IMPACT

These gums and resins have a range of applications, with gum arabic being widely used as a chewing gum and ingredient in pharmaceuticals, confectionery, adhesives, paints and printing. Hagar resin has a range of medicinal uses, while Myrrh is chewed as a gum and used in herbal medicine but is mainly used as an essential oil in perfumes, cosmetics and food flavourings.

4.3.5 VC group 5: Gums and resins sorting and processing OVERVIEW

Sensitivity

Vulnerability Rating

Adaptation Options > Pasture conservation and management; > Fodder production; > Provision of additional watering points; > Rainwater harvesting and storage along key livestock routes; and > Ensuring that pastoralists have access to traditional migration routes. 59. National Environment Management Authority (NEMA), Environment Impact Assessment (EIA) (2003) 60. Clapp, R.N, Chemical Hazards in the Tanning Industry, 2018 61. Gutterres, M, Aquim, P.M, Passos, J.B, Trierweiler, J.O, Water reuse in tannery beamhouse process, Journal of Cleaner Production, Volume 18, Issue 15, 2010

> A commercial-scale tannery, if not properly managed and maintained, could be the source of nuisance such as bad odour. Odours can be minimised by using enzymes for the dehairing processes.

> If not well-handled, solid waste could become an environmental concern. Most of the wastes could be composted or used in an anaerobic digester for energy (reducing pressure on trees for charcoal).

Current situation

> Tanning using industrial chemical processes (with chrome as the main tanning ingredient) is highly polluting60. The alternative vegetable tanning process removes the need for chromium from the process and has a reduced environmental impact.

> Providing higher and more stable prices to pastoralists as well as other collectors and traders; > Supporting the potential to manage local resources more sustainably, including scope for re-planting; > Supporting additional downstream processing of a range of perfumes and cosmetics; and

CLIMATE RESILIENCE ASSESSMENT

> Gum arabic/acacia gum

> Consolidated purchasing and sorting by grade of gum arabic, hagar and myrrh; > Production of granules; > Production of spray-dry powder; > Production of a range of healthcare products (shampoo, soaps, balms, etc.) using local resins and gums; and

Potential production in Kenya is estimated at around 10,000 tonnes per year of gum arabic and a further 8,000 tonnes of other resins. Gum and resin processing

Source: Atkins, 2021 Table 4.15 Development of gums and resins processing cluster RESINS

Value Chain

Figure 4.14 presents the different flows of inputs, process and outputs involved in this VC group, its individual VCs and other VC groups. It looks to understand the interactions between them and opportunities to cluster activity within the VC group as well as with other VC groups. These VCs would source gums and resins directly from pastoralists and other collectors, as well as from traders. In the short to medium term, the activities would focus on grading, sorting, cleaning and trading. As the skills base is built up, volumes processed could be raised and secondary processing undertaken. In parallel with these activities, the resource base needs to be strengthened through replanting. Processing of gums and resins is a project that has been targeted by the County Government in the latest CIDP, though, Wargadud has been identified as the preferred processing centre.

Figure 4.14 Gums and resins processing cluster

RegionalMiddleExports:East,EuropeprocessorsKenyanprocessorsMARKETSTraders processingresourcesManagedPrimaryGradingSpraysGranules SecondaryCosmeticsprocessingSoapsPerfumes dispatch&Storage

Gums are harvested by making a series of cuts in mature tree trunks to allow the resin or sap to bleed out, and then returning several months later to collect the lumps of resin.

Short term Medium term Long term

Resin processingcommiphora myrrha c. 100t/y sorting, cleaning, grading, trading. 500t/y sorting, cleaning, grading, trading. 500t/y with production of granules spray-driedandpowders

> Replanting and sustainable management of resin and gum producing trees.

MANDERA URBAN ECONOMIC PLAN (UEP ) 103

Resin processing - gum Arabic / acacia gum Beauty and healthcare products

Source: Atkins, 2021 Pastoralists

Limited production of products Wide range of beauty and healthcare products - linking to aloe prodcessing.

Based on the potential in Mandera, a cluster of VCs focusing on processing gums and resins is proposed. These activities would include:

The direct employment beneficiaries will be those who are directly employed in the facilities created by this VC, they will work in or for the processing facilities. This could include, for example, managerial roles, maintenance, or managing equipment. The largest employment impact for this VC group will be along the supply chains, the indirect employment.

> There will be community-wide benefits from replanting and resource management (e.g. pastoralists, beekeepers, etc).

Direct employment potential of gums and resins cluster Gums and resis sorting and processing

Overall employment Special interest groups Of which: PWDs Of which: Youth Of which: Women Source: Atkins, 2021 Supply chain: > Collectors of gums and resins will be the main beneficiaries. These are often poor pastoralists (those with few or no animals), predominantly women and girls;

Employment and beneficiaries

Figure 4.15

MANDERA URBAN ECONOMIC PLAN (UEP )104

> Existing trader/consolidators will benefit from a local offtake; and

Direct employment: > Processing gums and resins is generally undertaken by women and is suitable for PWDs;

> Replanting and resource management is a community-wide activity; and > Ethnic majority access better education than the minority. For instance, some of these communities may have an unfair opportunity to access direct employment in this opportunity without mitigation.

› Access to information and participation in decision-making processes: include both men and women in gum and resin producer associations as these have been found to be one of the most successful approaches for improving the economic profitability of gum production for those involved. Processing Studies in Ethiopia indicated that technologies and methods for value addition in the gums and resins VCs have remained unchanged for years. It is expected that the situation is similar in Kenya.64

Sub

› Improved access rights to forests: the training to manage resources more sustainably needs to be accompanied by enhanced access to forests. In the region, access to forests is often restricted unless collectors are registered in cooperatives or groups.63

Frequent droughts and conflicts are key challenges faced by nomadic pastoralists in Kenya's drylands, and few options exist for alternative livelihoods. Households in Kenya’s drylands like Marsabit, Turkana, Isiolo and Mandera currently collect and sell plant gums and resins as an alternative to livestock production. Collectors include pastoralists, poor people, women and children and some Further,opportunists.inanassessment of the roles played by women and the benefits they obtain from their involvement in gums and resin value chains in Ethiopia, Zambia and Burkina Faso, it was established that women perform a variety of functions at different stages in the gums and resin value chains. However, their roles tend to be poorly visible and inadequately acknowledged, largely because they are either operating in the informal sector, are part-time employees, or carry out their activities at home between family responsibilities. Where women's roles are more prominent, this is primarily due to gender-orientated interventions by external agencies.62

Do No Harm considerations:

> Conflict issues in the VC relate to the general threats to security in the Municipality, as such security provisions at the industrial site will be key;

Source: Atkins, 2021 62. Shackleton, S., et al, Opportunities for Enhancing Poor Women's Socioeconomic Empowerment in the Value Chains of Three African Non-Timber Forest Products (NTFPs) (2021)

GENDER AND SOCIAL INCLUSION ASSESSMENT

63. Kassa et al. (2011). Preliminary value chain analysis of gum and resin marketing in Ethiopia. Available at: https://www.cifor.org/publications/pdf_files/infobrief/3422-infobrief.pdf (Accessed 30/07/2021)

As described above, gums processing is generally undertaken by women, and it represents employment opportunities for all SIGs. Recommendations for processing are the same as in the previous VCs. Below there are some specific recommendations for this VC. Table 4.16 VC group 5 assessment activity Context Recommendations

CONFLICT SENSITIVITY

› Skills development: training should include best practices in handling, storage and transportation, including ways to avoid adulteration so as to build a strong reputation, gain a sustainable market and compete with other producing markets globally. This will potentially become an effective tool for enhanced biodiversity conservation and therefore gains for the environment and other Value Chains as well.

› Carry out research and provide technologies to improve the processing of gums and resins: this will particularly improve the livelihoods of those who are already involved in the VC. The study in Ethiopia suggests, for example, doing research on attributes such as oil content and trees species to improve their marketing. Ensure this knowledge is available and accessible to all.

Gums and productionresins

The main beneficiaries will be livestock owners and residents with little to no income. There is scope for anyone to benefit from this VC where the trees are often not owned or grown by Throughindividuals.offering higher prices for purchases of resins and gums there is potential to exacerbate existing conflict over the resource. Such pressures have already resulted in overexploitation in some areas and theft of resin. There is a risk that through increased activity, a lack of ownership and control over resources could lead to disagreements over harvesting the resin, and theft of tapped resin in Kenya has been identified as a significant issue. Local processing may however provide some scope for management of the resources. Currently there is little information for end-user industries on the provenance of gums and resins. There might be an appetite in the industry for gums and resins of known provenance from well-managed resources. This VC has the opportunity to support the incomes of some of the poorer communities and residents of Mandera, and positively impact the poverty cycle, where poverty is one of the drivers of conflict and insecurity in Mandera.

> Adoption of an inclusive hiring process for the project;Planning and regulation over the use of communal trees to avoid disagreements between users; and

> Inclusion of Youth in supply chains and employment.

> Inclusion of different communities in resin producer associations;

GESI

MANDERA URBAN ECONOMIC PLAN (UEP ) 105

64. Kassa et al. (2011). Preliminary value chain analysis of gum and resin marketing in Ethiopia. Available at: https://www.cifor.org/publications/pdf_files/infobrief/3422-infobrief.pdf (Accessed 30/07/2021)

Transport Most collectors do not have the means or ability to access markets and often sell to traders or their agents who transport and bulk the product to markets to sell to exporters in Nairobi or Mombasa.

Source: Atkins, 2021

The product will need to be transported to Nairobi from where it can be airlifted to international markets. The Isiolo - Mandera road which is currently being developed will be a critical corridor for this VC group.

A network of collection and storage facilities located close to the pastoral routes can provide better market access for the collectors and maintain the quality of the product. These networks of collection and storage locations would need to be connected to the facility with good all-weather access roads.

Battery storage with a capacity of around 200kWh should be included, to help with fluctuations in supply.

For small quantities of organic waste, this should be transferred to AD plants associated with other VCs. Other wastes should be upcycled, recycled or disposed at the town landfill site.

The facility may not be located close to any existing power infrastructure, so a suitable 11kV grid supply may need to be extended to the site.

Water A limited volume of water will be required for processing (cleaning and dissolving gums).

It is likely that this demand can be met by the public water supply.

Infrastructure will be required at Neboi to support the functions of the processing facilities; these are listed as direct infrastructure requirements in Table 4.17. There will also be infrastructure required to support the supply chains of this VC group. The requirements of the VC are highlighted here, however the potential infrastructure interventions will be detailed in the Infrastructure proformas in Section 5.2. Table 4.17 VC group 5 infrastructure requirements Infrastructure Direct requirements Capacity To be scaled-up to process available volumes.

Solar PV with a capacity of 40kW should be installed on the site, requiring an area of about 260m². The grid supply will cover the peak demand; however, PV could reduce the cost of grid electricity by up to KES 16,000 per week.

The facility will need to provide good access for both motorised and non-motorised transport from the main road as well as good public transport facilities and loading and unloading facilities.

Energy Based on the anticipated size of the facility, the general power and lighting demand for the buildings and process load could be in the region of 160-200kW.

Waste The likely wastes to be generated from the processing in this VC group are minimal.

INFRASTRUCTURE REQUIREMENTS

It is likely that wastewater will need to be treated on-site. Treated wastewater can be discharged into the environment or recycled.

MANDERA URBAN ECONOMIC PLAN (UEP )106

Climate Impact Parameters

The harvest is from wild trees, and there is potential to explore whether planting additional trees could help to bolster supply. Alternatively, the selection of resins from particularly drought-tolerant species would also increase resilience.

This VC group has low sensitivity to climate change. The gums and resins come from wild tree species that are well-adapted for the climatic conditions, and the potential volume is high in relation to the inputs required.

This VC group has a low vulnerability to climate change.

> Natural products from gums and resins could ease demand on synthetic products (some of which are non-biodegradable and take a long time to decompose, creating long-term pollution69; and

65. National Environment Management Authority (NEMA), Environment Impact Assessment (EIA) (2003) 66. FAO, Gums, resins and latexes of plant origin, (1995) 67. Siri, E. Gums and resins: potential for supporting sustainable adaptation in Kenya’s drylands, ( 2011). 68. FAO, Guidelines on sustainable forestry management in the drylands of sub-Saharan Africa, (2010).

Severe drought can kill the tree species that produce gums and resins, however, many of these species are well-adapted to hot and dry conditions, and therefore, although erratic rainfall and severe drought represent a risk, these impacts are unlikely to impact significantly on production. The impact is rated as neutral.

The environmental benefits of this VC group include the promotion of alternative livelihoods and alternative use local of trees (as opposed to cutting down trees for charcoal). The project is also considered a ‘green scheme’, with environmental benefits such as low water usage, low waste produced, and very little pollutants produced other than wastewater and sludge. An EIA is required, to ensure the development does not cause detrimental effects to the environment65. The following issues should be considered further during the decision-making process:

. Ziye S, et al, Evaluating the environmental impact of artificial sweeteners (2014)

Sensitivity

CLIMATE RESILIENCE ASSESSMENT

69

Adaptation Options

MANDERA URBAN ECONOMIC PLAN (UEP ) 107

70. FAO, Gums, resins and latexes of plant origin, (1995)

> Gums are harvested by making a series of cuts in mature tree trunks, to allow the resin or sap to bleed out. The extraction is often considered to be a pathological response to plant injury ("tapping")66. The harvesting of these plants can affect the plant on several biological levels, including the plants genetic diversity and structure;

ENVIRONMENTAL IMPACT

> Gum and resin trees are already under pressure from poor and excessive tapping67. Education in good forestry management would help secure the resources for future generations68;

> The project could also assign a higher value to trees (such as Acacia Senegal which reportedly has better quality "gum Arabic" than other species70) and promote tree planting.

Vulnerability Rating

The key outcomes of this VC include: > Reducing building material costs, benefiting a range of construction work and supporting the development of affordable housing;

> Providing a valuable use for ash (construction blocks), waste plastics (roof tiles) and plant fibres (such as maize stalks);

> Reducing the use of cement (construction blocks and flooring), which is relatively expensive and imported into the region; > Reducing demand for baked clay bricks (construction blocks), which entails the burning of wood/charcoal;

MANDERA URBAN ECONOMIC PLAN (UEP )108

CURRENT SITUATION

Mandera County has limited raw materials for formal building construction. While there are stone quarries in the County, there is little by way of natural timber resources, no cement production, and no steel works or plastics fabrication for door and window frames. The relative isolation of the County and long distances to major commercial centres results in the high cost of materials. This situation has been further exacerbated by the closure of the border with Somalia which had previously provided much of the County’s building materials. COVID-19 has also restricted trade of these goods with Ethiopia. For example, a bag of cement can cost 70% to 100% more in Mandera than Nairobi, Addis Ababa or Mogadishu72 73.

This Group comprises VCs focusing on the production of low-cost building materials, targeting the housing sector, but also suitable for other low-rise buildings (clinics, schools, etc).

> Supporting the potential to reduce the harvesting of sand along the Daua River (construction blocks and compound flooring); > Providing good direct employment potential in both the production of the blocks and other building materials, as well as the construction teams. All work that fits well with young people.

72. Source: Business Daily Africa 2018 report. Available online at: https://www.businessdailyafrica.com/bd/news/counties/mandera-county-pays-the-economic-cost-of-somali-border-closure-2208066.

As with all areas of Kenya, there is a shortage of affordable housing in Mandera. In addition, the quality of much of the existing housing stock is poor, though generally it is better in the urban areas. In urban areas, an estimated 59% of houses have walls of brick, block or concrete, while only 20% of homes in rural areas have walls made of other materials (other materials include mud with cement, wood or straw). Roofing material is almost exclusively corrugated iron sheeting (80% in rural areas and 94% in urban) with the rest being thatch71.

Based on the potential in Mandera, three individual processing VCs have been identified. Each of these has potential on their own, but all three would benefit from co-location and being developed as a cluster. The VCs are: > Interlocking construction blocks: these blocks can be made from a range of locally available sands, earth, clay, ash, etc. Depending on the materials available, either no or very little binding agent (cement) is needed. The interlocking blocks do not need mortar, and provide good insulation and a waterproof seal. Building walls with the blocks can be undertaken by those without traditional block/brick laying skills, and construction can be rapid, further reducing overall build cost.

> Compacted earthen floors: these are made from compacted layers of laterite, fine earth mix and a topping of an oil sealant. This provides a dust and water resilient flooring, comparable with concrete but at much lower cost. In addition, it can be readily repaired or extended as needed.

> Modular roofing panels: these are interlocking panels (roughly 3cm thick and 50 x 100cm) made from a compressed waste fibres core (e.g. straw or corn husks) coated in a thick veneer of recycled plastics. The panels are waterproof and provide good thermal insulation.

73. Online discussion: https://twitter.com/mohamed_dubo/status/1307561949001953280?lang=en

71. Source: Ministry of Energy and Petroleum / Atkins: Renewable Energy Resource Assessment in 44 Counties (2017)

4.3.6 VC group 6: Construction blocks and building materials

Accessed 17-07-2021

PROCESSING VCS

OVERVIEW

Accessed 17-07-2021.

MANDERA URBAN ECONOMIC PLAN (UEP ) 109

The drive to provide affordable homes is a key part of the Big 4 Agenda, and is a policy being pursued in Mandera at both the County and Municipality level.

Overgrazing, charcoal burning and quarrying activities are the leading means through which environmental degradation has occurred in Mandera County. Poor waste disposal in settlement areas and towns (especially polythene bags and plastic packages) is also a big menace.

Municipal

Clustering of these VCs provides the potential for sharing services and facilities, and further reducing costs.

Specifically, there is scope for sharing: > Training of construction teams; > Supporting teams in providing a complete build; > Delivering materials to construction sites; > Providing back-office services (accounts, HR, etc.); > Transport (trucks) for collection of raw materials and deliveries to site; > Offices and other buildings; and > Sales and marketing, with potential for selling under a common brand.

processing teamsbuild/deliveryCommon Building Projects Earth, strawAgrisandclay,fibre:/huskAsh

Furthermore, in the CIDP the County Government recognise four environmental threats to Mandera:

The cluster has strong links to two other activities: > Agri-processing and/or arable farmers for sourcing plant fibres/stalks; and > Municipal solid waste collection/processing facility for sourcing plastic waste and ash (if waste-to-energy capacity is developed).

power Waste plastics optionalCement Roof InterlockingAgri-processingproductionpanelclusterblockproduction constructionFlooringRoofingteamsteamsBlockteams

Figure 4.16 Construction blocks and building materials cluster Source: Atkins, 2021 BUILDING MATERIALS CLUSTER

This VC group will help to reduce three of the four by reducing the degradation from charcoal burning and quarrying, while also providing an offtake for plastic waste. solid waste from waste to

Direct employment: The production of the construction blocks, and to a lesser extent the other processes, are highly physical activities, and tend to be dominated by men, including youths. Direct employment for PWDs would largely be in administration, including marketing and sales.

MANDERA URBAN ECONOMIC PLAN (UEP )110 POTENTIAL AND PHASING

The first step in developing the cluster if taken forward would be the block production. The technology is relatively easy to master, and building teams can be trained quickly. The other VCs require a higher level of technical skills, and would be developed in a second phase in the medium-term, with capacities to match the block-making.

Construction blocks: interlocking compressed earth or bonded "10,000 blocks per day (2.5mn/yr) Targeting 500 houses per year"

The direct employment beneficiaries will be those who are directly employed in the facilities created by this VC, they will work in, or for, the site facilities. This could include, for example, managerial roles, maintenance, or managing equipment. The largest employment impact for this VC group will be along the supply chains.

Construction blocks and building materials

In the longer term, the capacity of all the VCs could be expanded to meet local needs.

Polymer-wrapped pressed fibre roof tiles "31,250m² per year Targeting 500 houses per year" Earth-oil flooring "25,000m² per year Targeting 500 houses per year" Source: Atkins, 2021 EMPLOYMENT AND BENEFICIARIES

CONSTRUCTION Value Chain Short term Medium term Long term

Figure 4.17 Direct employment potential of construction blocks and building materials cluster

Overall employment Special interest groups Of which: PWDs Of which: Youth Of which: Women Source: Atkins, 2021 Supply chain: > Contractors and individual housebuilders will benefit from additional supplies of local materials; and

Table 4.18 Development of construction materials cluster

> There will be community-wide benefits from the supply of low-cost construction materials.

> While certain links of the construction industry are traditionally male-dominated, the development of this VC brings additional employment opportunities associated with managerial and administrative positions, and marketing and sales. Ensure these positions are available and accessible for SIGs; and > For an increased participation of women in the construction industry, it is important to tackle the unconscious bias that limits the employment of women in the sector. Women should be informed about the different employment and business opportunities associated with the sector beyond construction sites. Work with construction companies to generate awareness about gender inclusion and to create working environments that support women’s professional development and empowerment.

Primary data collection established that residents of Mandera prefer not to be involved in hard labour like quarrying and construction, and that they import such labour from other parts of Kenya and from Ethiopia. This value chain opportunity presents numerous sources of income for both the Municipality and local communities. There are also opportunities associated services such as materials supply, electrical wiring, and hardware shops.

GENDER AND SOCIAL INCLUSION ASSESSMENT

MANDERA URBAN ECONOMIC PLAN (UEP ) 111

There are ongoing disagreements over the ownership of existing quarry land, creating more demand for these materials could also exasperate these existing tensions. Ethiopia claims ownership of the River Daua as its property and has in the past taken action against sand harvesting activity on the Mandera side of the river. A more detailed assessment would be required to understand the impacts of this VC and any additional sand harvesting, on the conflict context.

CONFLICT SENSITIVITY

DO NO HARM CONSIDERATIONS: Conflict sensitivity in the VC will as a minimum: > Engage relevant players to ensure ownership rights to quarries are clarified pre-project implementation; and > Apply inclusive hiring procedures to ensure fair allocation of employment opportunities and works contracts.

CLIMATE RESILIENCE ASSESSMENT

Sensitivity

Table 4.19 VC group 6 infrastructure requirements

For the non-processed wastes, these should be segregated and sent to be upcycled, recycled or disposed at the town landfill site.

Energy Based on the anticipated size of the facility, the general power and lighting demand for the buildings and process load could be in the region of 250-300kW.

Waste

Battery storage with a capacity of around 300kWh should be included, to help with fluctuations in supply.

> The proposed polymer coated compressed straw roof sheeting, made of sand and recycled plastics, provide a good avenue for recycling of plastic wastes; and

This VC group is not dependent on climate-sensitive materials.

The resource could come from a private borehole supply and mixed with recycled greywater as available from nearby industry.

Infrastructure Direct requirements Capacity Capacities to support construction of 500 houses per year: › 2.5 million blocks per year › 31,250m² fibre roof tiles per year › 25,000m² oil-earth flooring per year Water Process water for mixing and curing the blocks. Estimated at 6m³/day based on an average of 1:2 water to dry mix ratio74.

The building material industry is expected to serve mainly local and regional markets. The final product would mean two to four trips a day by a 15-tonne truck (of 20 tonne gross vehicle weight).

Environmental Impact

MANDERA URBAN ECONOMIC PLAN (UEP )112

Solar PV with a capacity of 75kW should be installed on the site, requiring an area of about 485m². The grid supply will cover the peak demand; however, PV could reduce the cost of grid electricity by up to KES 30,000 per week.

75. National Environment Management Authority (NEMA), Environment Impact Assessment (EIA) (2003)

While the number of trips is not very high, it is preferable that the heavy goods vehicles do not travel through the town centre.

The design of the VC group plant will need to take into account heat stress for workers, and site-specific flood risk, however, the vulnerability of the VC group itself is low.

> The project would require the use of sand, which is abundantly available in the Municipality and County.

The environmental impacts of sand extraction are more manageable than stone quarrying. Furthermore, the technology is less sensitive to the quality of sand being used than standard cement-sand blocks, and over-exploitation at specific sites can be avoided;

> This VC produces air (dust) and noise pollution (machines in use) and therefore the site selected should not be at close proximity to air and noise sensitive receptors (human settlements).

The likely wastes to be generated from this VC group are minimal as most wastes from processing construction materials can be re-processed into new products.

This VC requires a good connection to the Isiolo - Mandera road which will be needed for access to local and regional markets.

INFRASTRUCTURE REQUIREMENTS

Source: Atkins, 2021 74. https://civiconcepts.com/blog/concrete-to-water-ratio-calculate-proper-amount-of-water-for-concrete

The facility may not be located close to any existing power infrastructure, so a suitable 11kV grid supply may need to be extended to the site.

Infrastructure will be required to support the functions of this VC; these are listed as direct infrastructure requirements in Table 4.19. The requirements of the VC are highlighted here; however, the potential infrastructure interventions will be detailed in the Infrastructure proformas in Section 5.2.

An alternative to public transport would be for the facility to operate dedicated shuttle services between the town and the facility for its employees.

> Interlocking construction blocks are alternatives to mainstream stone quarrying that degrade the landscape (leading to dereliction);

Transport

The environmental benefits of this VC group include the provision of low-cost building materials as alternatives to traditional materials such as quarry stones that have higher environmental impacts. An EIA is required, to ensure the development does not cause detrimental effects to the environment75. The following issues should be considered further during the decision-making process:

Potable water and sanitation services will be required for the 150 employees. Based on a design water consumption per employee per shift is 25l/day. The water requirement for the employees is 3.75m³/day this will need to be treated and could come from the public water supply when the improvements are made due to the AfDB.

> Solar water pumps for household use and irrigation.

> Reduction in overall repair and servicing costs through local provision; > General improvement in living standards for people currently off the grid; > General improvements in business and other operations through local repair operations; > Offering other solar power products, e.g. solar-powered grain mills; and > Good employment potential, with good scope for PWDs and other SIGs.

More installations are planned across the County under the current CIDP, and recently Islamic Relief started a programme for delivering 3,000 solar irrigation systems to small-scale farmers over three years. In expanding the use of solar power across Mandera, there are two significant impediments: affordability and maintenance (and general technical know-how). This VC group seeks to address both of these issues by combining: > Local assembly, maintenance, and repair of solar systems, with > Financing options.

76. Off-grid solar market assessment brief for 14 underserved counties of Kenya, USAID, (2020)

Furthermore, even where grids are available many households are not connected: it is estimated that only 15.2% of households have a grid electricity connection. In addition, the power grids are unstable with frequent outages: Council officers reported that the power in the Municipality is on for about 60% of the time, resulting in many businesses and homes having diesel generators as back up. With little rain and few clouds, most parts of Mandera County experience long hours of sunshine each day (around 11 hours), and there is great potential for harnessing solar energy (CIDP). In the USAID 2020 assessment of off-grid solar power potential, Mandera County had the highest score (joint with Isiolo County) for development of off-grid solar, with 26 settlements comprising 129,782 households having high potential.

Current situation Electricity grids in Mandera County have limited coverage, with an estimated 76% of the population living off-grid76

4.3.7 VC group 7: Off-grid power and supporting services OVERVIEW

The County and Municipal Governments have recognised the potential for solar power, and developments are underway. During the 2018-22 CIDP planning period, installations included: > Solar-powered fridges for medical clinics;

MANDERA URBAN ECONOMIC PLAN (UEP ) 113

BASE ASSESSMENT

This VC group covers the supply, installation, maintenance and repair, and financing for a range of off-grid solar power systems and products.

> Reduction in the use of diesel for power generators and water pumps; > Lower cost power generation for farmers, households and others; > Expansion in the use of irrigation, with related increase in food production; > Reduction in post-harvest losses through wider availability of chiller storage like recommended in Section 5.5.8;

> Solar streetlighting - over 600 installed to date in Mandera town and a further 1,000 to be installed as part of a WB project; > Solar power systems for schools and public buildings; and

The key outcomes of this VC include:

> Maintaining a good supply of parts for core equipment, supported with 3D printing capability; and > Taking a stepped approach to extending the life of equipment: maintain, repair, refurbish, cannibalise for parts for re-use, and finally separate by material for selling for recycling.

> Focusing on sourcing standardised components to minimise the parts required and allow them to be interchanged;

> Conversion of items where required (e.g. converting existing diesel pumps to solar). To minimise costs to consumers, the focus would be on providing standardised products for key applications such as home systems (for fridges, mobile chargers and lighting) and irrigation water pumps. The assembly operations would be similar to those of Bboxx in Kisumu. 77

There is potential for developing the VC group with existing providers of solar solutions in Kenya (e.g. Bboxx, M-Kopa, etc) who do not currently serve Mandera due to a combination of low population density, long distances from recognised distribution centres, and security issues.

With Mandera Town being the commercial centre for the region, there is potential for providing the solar equipment, systems and repair and maintenance services to customers in Ethiopia and possibly Somalia.

> Testing components, in particular solar panels; > Combining components (solar panels, pumps, pipework, supporting frames, timers, wiring, switches, etc.); and

To back up the provision of affordable solar systems, there is a need to provide good local maintenance and repair services. It is expected that the maintenance and repair side of this VC group would support the kit and systems supplied by the VC group as well as others. This would help support a commercial-scale operation. Standardisation of the systems supplied would help reduce the amount of stock items required for repair and replacement, and in the longer term this could be backed up by the use of 3D printing of parts.

> Work with manufacturers to facilitate repair and refurbishment; > Sourcing equipment that is open to repair where possible (many systems are sealed boxes, have built-in obsolescence, and/or warranty restrictions that limit repair);

Details of the VC

For financing a number of options should be considered including pay-as-you-go, regular loans and repayments, shariah-compliant financing (reducing equity), etc, with a flexible approach to any loan security.

This VC group then covers the following activities: > Testing of solar components and products (panels, coolers, water pumps, etc); > Assembly of domestic solar power systems, utility scale solar components/ systems, streetlighting, etc;

MANDERA URBAN ECONOMIC PLAN (UEP )114

The overall approach would then include: > A centralised distribution centre; > Supporting existing Mafundi that specialise in solar products and including them in the VC group if possible; > Considering providing a “solar service” rather than just a “product”, thereby maintaining ownership of the equipment (and repairing and replacing as required);

> Installation and repair services; > Recycling; > Financing services; and > Wider repair services for related equipment. Given the potential size of the market for solar equipment (pumps, lighting, mini-grids, grain mills, coolers, etc) both in Mandera and in the wider Mandera Triangle, there is scope for local assembly operations which would help to reduce costs.

The assembly operations would comprise:

In supplying off-grid solar power systems, there is an increasing concern over what happens when the products reach their end of life. While this is an important consideration for all consumer products, it is of particular concern for waste from electrical and electronic equipment (WEEE), as these are generally hard to recycle. In an assessment of waste from off-grid power in Kenya, good repair and re-purposing services were identified as a key factor in reducing overall volumes of waste77. Across Kenya there is an established network of Mafundi (repair shops), supporting repair of a wide range of items, and there is then potential to build on this and reduce overall waste.

MANDERA URBAN ECONOMIC PLAN (UEP ) 115 Figure 4.18 Off-grid power cluster Source: Atkins, 2021 Solar water pumps Solar HouseholdcoolerssystemsStreetlightsUsers Separation of broken components NewRefurbishedRepairssystems Disassembled parts for recycling partsWorkingforreuse systemsIrreparable Kenyanpipework,panels,Sourcing:pumps,switches,frames,bulbs,brackets,wire.wherepossible AssemblymaintenanceRepairoperationsandworkshop

Short term Medium term Long term Solar system integrated services Focuss on the supply core solar systems for households and solar pumps and chillers for agriculture.

Repair and serving of other electrical and systems.mechanical Solar-chiller units

OFF-GRID POWER AND SERVICES Value Chain

Figure 4.19 Direct employment potential of off-grid power Construction blocks and building materials

Solar pump systems Servicing and repair centre

The direct employment beneficiaries will be those who are directly employed in the facilities created by this VC, they will work in, or for, the workshop facilities. This could include, for example, managerial roles, maintenance, or managing equipment. The largest employment impact for this VC group will be along the supply chains.

Focus on repair and servicing of solar systems.

Direct employment: > This is the most technically demanding of the VC groups in terms of skill levels;

Overall employment Special interest groups

Source: Atkins, 2021 Supply chain: > There will be community-wide benefits from local supply and support for a range of solar equipment and systems; and > Existing Mafundi could benefit from inclusion/collaboration with the VC group.

> Employment in all areas is suitable to all, though there may be some constraints on PWDs employed in installation and on-site servicing; and

> Ethnic majority access better education than the minority. For instance, some communities may have an unfair opportunity to access direct employment in this opportunity without mitigation.

In developing this VC group, the first stage would focus on provision and support for standard solar systems, pumps and chillers. As the skills base is developed, the range of products covered by the cluster could be expanded together with the overall volumes and geographical reach. Table 4.20 Development of off-grid power cluster

Of which: PWDs Of which: Youth Of which: Women

MANDERA URBAN ECONOMIC PLAN (UEP )116 POTENTIAL AND PHASING

Supply broad range of solar systems across Mandera County neighbouringand regions.

Source: Atkins, 2021

POTENTIAL BENEFICIARIES

› Skills development: develop training on soft skills such as business and entrepreneurship skills, and marketing. Ensure trainings and materials are also accessible for PWDs and do not discriminate against PwHIV/AIDS

This VC group represents employment opportunities for all. However, it is the most technically demanding of the VC groups in terms of skill levels and it will thus require specific trainings and skills development to be inclusive.

Case Study: Shramik Bharti in collaboration with TERI (The Energy & Resources Institute)’s project on renewable energy in underprivileged communities The project is implemented across rural India and aims to a) promoting renewable energy use across rural communities, b) support the livelihoods of the low-income households and PWDs c) promote women’s role in energy provisioning.

Institutional empowerment: the project worked to create a network of local grassroot organisations and other local groups to become promoters of renewable energy within their local communities. The network of local organisations was headed by the NGO Shramik Bharti who was also appointed the local energy-enterprise by TERI. As an energy-enterprise, Shramik Bharti’s local partners were trained and skilled as mobilisers of the renewable energy programme.

MANDERA URBAN ECONOMIC PLAN (UEP ) 117

Source: Atkins, 2021 78. Integrating Gender Consideration into Energy Operations, the World Bank, (2013)

The minimisation of costs for consumers and possible financing mechanisms have already been considered, but it is also recommended to implement mechanisms to facilitate vulnerable groups and poor households’ access to the new energy services. Likewise, as women are the main users of energy of the household, it would be important to develop sensitisation workshops about energy efficiency measures that explicitly target them. This VC will also contribute to agricultural productivity and food security of the region, by expanding the use of irrigation and wider availability of cold storage (and thus reducing post-harvest losses). It is important to ensure these opportunities are available to SIGs.

Individual empowerment: women were nominated as leading mobilisers from within the participating groups, acknowledging their role as more than energy recipients. PWDs, widows, or socially or financially-challenged women were chosen for the leading roles to promote renewable energy. The nominated women were trained and participated in capacity building workshops in order to best fulfil their assigned roles.

› Skills development: develop training and on-thejob apprenticeships for women and men of all ages. Training could particularly target local students. Ensure training and materials are also accessible for PWDs and do not discriminate against PwHIV/AIDS.

Table 4.21 VC group

andmaintenance,installation,Supply,repair

Women and men have different roles, responsibilities and voices within households, markets, and their communities, which leads to differences in their access and use of energy, and the impact of energy services on their lives.78 In Mandera Municipality, demand for energy is outstripping supply, electricity costs are high, and women, who are culturally tasked with cooking, still predominantly use firewood, charcoal, and paraffin. While the proposed off-grid power systems will help solve the energy availability challenge, inclusion dimensions of this intervention especially regarding access and affordability will need to be addressed. 7 assessment Sub activity Context Recommendations

GESI

GENDER AND SOCIAL INCLUSION ASSESSMENT

andMarketingsales

KEY PROGRAMME ELEMENTS

Sources : Shramik Bharti (n.d.) Promotion of Renewable Energy.

The marketing and sales of these new systems might require certain soft skills and knowledge (i.e. why this equipment is better than traditional energy provision systems)

Since this VC might require certain levels of education, it is important not to exclude ethnic communities that have lower education levels.

In Mandera, a good all-weather road connection between the facility and key networks will be needed.

> Adoption of an inclusive hiring process to avoid economic exclusion, a potential trigger for conflict; and

Opportunities for peaceful development and implementation of this VC lie in: > Improved security in the Municipality and on the chosen site;

Do No Harm considerations

A good connection to the Isiolo- Mandera road will also be needed for access to local and regional markets.

CONFLICT SENSITIVITY

While the number of trips required for this VC is not very high, it is preferable that the heavy goods vehicles do not travel through the town centre or at least, are restricted to off peak periods.

Energy Based on the anticipated size of the facility, the general power and lighting demand for the buildings and process load could be in the region of 250-300kW.

MANDERA URBAN ECONOMIC PLAN (UEP )118

> VC-specific capacity building/training of minority, less educated groups and SIGs to increase their employability and chances of gainful participation in the project;

> Inclusion of youth in supply chains and employment.

INFRASTRUCTURE REQUIREMENTS

Waste The likely wastes to be generated from this VC group are electrical waste, packaging, paper and other office waste.

A public transport connection and good end-to-end safe and universally accessible pedestrian facilities will be required for both the employees and visitors to the facility.

Infrastructure Direct requirements

For international orders, these can be delivered through the Isiolo - Mandera road and a bridge at Suftu border with Ethiopia, where an operational border stop with Somalia will be required.

Transport The logistics operation of the facility would need to cover the entire lifecycle of the product from its delivery, installation, operation, maintenance, and disposal, including recovery of used materials.

All other wastes should be segregated and sent to be upcycled, recycled or disposed at the town landfill.

The main beneficiaries of this VC will be farmers, pastoralists, households, and anyone who can afford the cost in general. These groups are spread across a range of communities and areas in Mandera. This VC has the potential to open up greater economic activity in Mandera through the provision of reliable and affordable energy. This in itself, through supporting the livelihoods of Mandera’s residents, has the potential to improve the conflict context in Mandera.

Table 4.22 VC group 7 infrastructure requirements

79. http://weeecentre.com/

For electrical waste, this should be inspected and repaired before it is considered for disposal. Where repair is not possible or has been exhausted, electrical waste should be sent to a specialist recycling or disposal facility (there is a specialist WEEE centre in Nairobi).79

The facility may not be located close to any existing power infrastructure, so a suitable 11kV grid supply may need to be extended to the site.

Water It is likely that minimal or no water is required, nor wastewater generated, for this VC group.

Battery storage with a capacity of around 300kWh should be included, to help with fluctuations in supply.

Infrastructure will be required to support the functions of this VC are detailed in Table 4.22, however the potential infrastructure interventions will be detailed in the Infrastructure proformas in Section 5.2.

Source: Atkins, 2021

Solar PV with a capacity of 75kW should be installed on the site, requiring an area of about 485m². The grid supply will cover the peak demand; however, PV could reduce the cost of grid electricity by up to KES 30,000 per week.

ENVIRONMENTAL IMPACT

> The utilization of solar and wind energy systems in rural communities would also increase access to energy for farmers and reduce post-harvest losses through wider availability of storage facilities;

> Solar energy batteries are potentially hazardous materials, requiring proper handling and disposal to avoid serious environmental impacts; > Depending on scale, the project could require a large expanse of land, interfering with existing lands used for agricultural and grazing land purposes. This could be avoided, by situating the project on a brownfield site; and > The site selected should not be at close proximity to noise sensitive receptors (human settlements), to limit noise disturbances.

CLIMATE RESILIENCE ASSESSMENT

MANDERA URBAN ECONOMIC PLAN (UEP ) 119

> The adoption of solar and wind energy systems would lead to a reduction in the use of diesel-powered generators and water pumps, reducing the carbon footprint of Mandera. Furthermore, household use of alternative energy sources would reduce the need to cut down trees for charcoal;

There will be no significant impact on potential energy production from changes in solar radiation or cloudiness, with solar potential in Mandera remaining high. Extreme temperatures may mean a greater need for regular maintenance, and an increase in dustiness is possible as climate change leads to hotter and dryer conditions. Flood risk needs to be considered in site selection but does not pose a major issue. There is a small negative impact from the increase in temperature and dust.

Solar energy is sensitive to changes in incoming solar radiation, cloudiness, and dust – which can reduce the efficiency of solar panels. As such this VC group has a medium sensitivity to climate change.

Vulnerability Rating

Sensitivity

Climate Impact Parameters

Overall, climate change will not affect the viability of this VC group, and it represents a good opportunity to harness Mandera’s natural resources. Care should be taken in the selection of solar technology that has appropriate temperature specifications, and consideration given to the frequency of maintenance.

80. National Environment Management Authority (NEMA), Environment Impact Assessment (EIA) (2003)

The environmental benefits of this VC group include the provision of renewable energy as an alternative to the diesel-powered generators commonly used in the Municipality and County. An EIA is required, to ensure the development does not cause detrimental effects to the environment80. The following issues should be considered further during the decision-making process:

> Workshop space: designed for supporting focus activities;

This VC group is for the creation of a business incubator in Mandera Town. The incubator would provide support and guidance for new businesses serving Mandera and the surrounding region.

83 Kenya Economic Outlook, Deloitte and African Guarantee Fund Annual Report (2019) 84. https://hotbreadkitchen.org/facilities/#.YKJMoi9Q1Zg

82. Paul M. Muthaura, Chief Executive, Capital Markets Authority, Kenya. London Stock Exchange Group, commentaries. Available at: https://www.lseg.com/resources/companies-inspire-africa/expert-commentaries/smes-can-help-kenya-realise-its-vision

The incubator would provide a physical workshop space, where support could be provided for example training or product development. This approach has been used by several successful business incubators, such as the Hot Bread Kitchen incubator in New York which provides a full range of commercial kitchen facilities to support entrepreneurs in experimenting and learning84. The workshop space at the Mandera incubator would be focused on potential areas of growth e.g. food processing or the supply chains involved.

> Office space: open plan to encourage collaboration, lockers, private meeting rooms;

In terms of physical support, the incubator would provide a safe space for all types and sizes of businesses development that would include:

The potential for growth of MSMEs in Kenya is restricted by inadequate capital, limited market access, poor infrastructure, inadequate knowledge and skills, and rapid changes in technology 83. The role of a business incubator is then to help companies bridge those gaps, by accessing finance, training, market knowledge, technology, etc.

The key outcomes of this VC include: > Supporting people, in particular youth and SIGs, to develop new businesses; > Supporting the existing business and SME base in Mandera; > Growing value added and employment in a range of sectors, and the future VCs; and

There is potential to build on this position, through the creation of a business incubator that will nurture and support new commercial ventures.

> Strengthening the role of Mandera as the region’s economic hub. 81. World Bank IBRD-IDA Ease of Doing Business Rankings. Available at: https://www.doingbusiness.org/en/rankings (accessed 22/4/2021)

BUSINESS INCUBATOR

This VC is for a business incubator that serves Mandera and the wider region. Given the resource base available in Mandera and the surrounding region, it is expected that a lot of business start-ups will be based around agriculture and livestock, and agri-processing. As a result, there is a need to understand climate change risk, and the incubator would provide training and awareness of these risks (as well as other more general business risks) together with information on abatement measures and new technologies.

Business incubators target micro, small and medium-sized enterprises (MSMEs), which are now seen as the key driver behind economic growth and employment creation. Together, micro, small and medium-sized enterprises account for over 30% of Kenyan GDP and over 82% of total employment according to the Kenya National Bureau of Statistics economic survey 2019. MSMEs and particularly SMEs are widely regarded as the key economic drivers of future growth: “The SME sector stands out as the key driver of Kenya Vision 2030, standing at the forefront of poverty eradication, employment creation and, more instrumentally, inspiring future entrepreneurs to build on the SME sector’s current contribution.”82

BASE ASSESSMENT Mandera Municipality is the commercial centre for the region, where it has relatively better medical, education, financial services, and security than that of the bordering communities of Ethiopia or Somalia. By comparison to the neighbours, Kenya is ranked highly for ease of doing business. In the 2019 World Bank rankings for overall ease of doing business, Kenya is ranked 56th, Ethiopia 159th, and Somalia is last at 190th.81

> Reliable high-speed internet; > Access to utilities; and > Office support: printing, answering service, common facilities, and a postal address.

OVERVIEW

MANDERA URBAN ECONOMIC PLAN (UEP )120 4.3.8 VC group 8: Business Incubator

Construction blocks and building materials

Of which: PWDs Of which: Youth Of which: Women Source: Atkins, 2021 Supply chain > The key beneficiaries will be the people of Mandera that want to develop their own business; and > There will be community-wide benefits resulting from the economic growth and employment generated by successful business start-ups and expansions.

While some general services could be provided in person, there is potential for linking with existing incubators, thereby raising the capacity and providing advice in many specialist areas.

MANDERA URBAN ECONOMIC PLAN (UEP ) 121

> In the short-term the business incubator services would be focused on agri-business and processing activities in and around Mandera; and > In the longer-term, the services would be expended to cover a broad range of activities in Mandera County and neighbouring region.

POTENTIAL AND PHASING

The incubator would also provide a full range of supporting services, including: General business support > Training and workshops; > Mentoring; > Networking opportunities; and > Legal support including IP (Intellectual Property) Business development > Support in developing plans (markets, resources, finance, etc); > Monitoring plans; > Links with business accelerators; and > Educating and promoting businesses to consider inclusivity, environmental impacts and conflict.

Funding > Support in identifying sources of seed funding, grants, crowd funding, loans, etc;

Overall employment Special interest groups

> Links to financing partners including investors, potential partners, aid agencies, etc, with a focus on shariah-compliant finance (e.g. diminishing musharakah); and > Assistance with financial pitches. Market development > Links with potential buyers and distributors; and > Guidance on information sources.

Direct employment potential of business incubator

POTENTIAL BENEFICIARIES

This VC would be developed in two distinct phases:

The direct beneficiaries will be those who are directly employed in the Business Incubator facilities created by this VC. This could include, for example managerial roles, maintenance, or business consultation roles. There indirect beneficiaries will be the businesses who utilise the facility. Direct employment > Direct employment in this VC will be limited to a few experienced business experts and enablers; and > Ethnic majority access better education than the minority. For instance, some communities may have an unfair opportunity to access direct employment in this opportunity without mitigation.

Figure 4.20

> Promote internships and on-the-job training to support skills development of local students. It is recommended to set participation rates for PWDs, youth, women, and vulnerable groups.

Always prioritise locations and timings that are compatible with SIGs’ everyday lives and economic activities. Training materials should be accessible to all;

> Consider developing additional outreach training to facilitate access to remote communities and people with restricted mobility due to physical impairments or cultural norms.

Case Study: Learning entrepreneurship without a trainer: C-BED programme

> Young people in Mandera indicated in focus group discussions that they would be more interested in agriculture, livestock and related activities if they could see them as attractive, economically profitable activities. Engage with existing young producers and youth-owned businesses in the region to showcase the benefits of being involved and start agri-businesses and agri-processing;

The programme is therefore action-based and combines local insights with analysis. All C-BED resources are free to access.

> Liaise with, and inform local communities about, existing government opportunities and funds to support local entrepreneurs, start-ups or MSMEs. Aim particularly at targeting SIGs. This will help address the most common challenges faced by SIGs’-owned start-ups in Mandera (limited access to capital); and

> Develop low-cost and accessible training options for out-ofschool youth, women and PWDs with low literacy levels (see C-BED programme below). For example, business and marketing trainings should be available to support those who already own businesses and those who would like to start one regardless of their education levels. These alternatives will also benefit women and PWDs in Mandera who often face barriers to access these opportunities due to low literacy levels, domestic and community responsibilities, and lack of access to information;

The Community-Based Entrepreneurship development (C-BED) is an International Labour Office (ILO) initiative that provides training programmes to help entrepreneurs and micro-businesses improve their businesses.

As indicated above, this VC group will support the incubation and development of new businesses in Mandera. Focus group discussions have identified that the business sector provides livelihoods for the majority of the SIGS, including PWDs, PLwHIV/AIDs and both men and women. Hence, if the planning and implementation of this VC group considers social inclusion, it will significantly benefit SIGs and local communities in general. To maximise social benefits, however, it would be important to:

122 MANDERA URBAN ECONOMIC PLAN (UEP )

The key aspect of C-BED is that training can be carried out without external trainers or resources and has been designed to be used by marginalised and vulnerable communities. Only a facilitator is required, and participants work together in small groups to solve problems and share existing knowledge and experiences.

GENDER AND SOCIAL INCLUSION ASSESSMENT

> Actively communicate about all business development opportunities in local media, universities and local TVET centres. Ensure communication formats and languages are accessible to all;

Source:85 85. CB-TOOLS.ORG | Community-based Enterprise Development

CONFLICT SENSITIVITY

Infrastructure will be required in the new CBD to support the functions of the processing facilities; these are listed as direct infrastructure requirements in Table 4.23. The potential infrastructure interventions will be detailed further in the Infrastructure proformas in Section 5.2.

Do No Harm considerations

> Developing good transport links to the site so it is accessible for everyone.

86. Kenyan Ministry of Water and Irrigation, Practice Manual for Water Supply Services in Kenya (2005) INFRASTRUCTURE REQUIREMENTS

Table 4.23 VC group 8 infrastructure requirements Infrastructure Direct requirements Water Office facilities and a workshop are proposed for this VC group. It is estimated that office and workshop employees will use approximately 25 litres of water per person per day86. It is likely that this demand can be met by the public water supply.

Waste The likely wastes to be generated from this VC group are minimal, with small quantities of paper and other office waste.

Solar PV with a capacity of 40kW should be installed on the site, requiring an area of about 260m². The grid supply will cover the peak demand; however, PV could reduce the cost of grid electricity by up to KES 16,000 per week.

The main beneficiaries will be entrepreneurs and potential start-ups in Mandera. This VC has the potential to open up greater economic activity in Mandera. This in itself, through supporting the livelihoods of Mandera residents has the potential to improve the conflict context. In order to run a successful business, business owners have to collaborate with different groups within Mandera and often across borders. Also, the training and education of the incubator will put inclusion, resilience and conflict mitigation at its heart and pass these principles onto the businesses it supports. The provision of a physical space which allows business owners from different communities to hold discussions in a safe environment can also be a driver for peace. Careful planning and equitable distribution of the hubs’ resources across communities is needed to ensure the impacts on the conflict context remain positive.

Opportunities exist to maximise peace in the project by: > Including different communities in the skilling-up of workforce to be employed in the VC; > Planning for security provisions for the incubator; > Adopting inclusive hiring processes as economic exclusion is a trigger for conflict;

Transport The centre would need to be fully accessible by residents and visitors travelling by all modes. Infrastructure provision to support this should comprise of universally accessible pedestrian facilities, pedestrian crossings and street lighting, public transport facilities and an all-weather access road linking the site and nearby facilities.

The wastes should be segregated into different streams to be upcycled, recycled or disposed at the town landfill site.

MANDERA URBAN ECONOMIC PLAN (UEP ) 123

> The training and education of the incubator will put inclusion, resilience and conflict mitigation at its heart and pass these principles onto the businesses it supports.

> Including the youth in the project’s supply chains and employment; > Avoiding incubator sites that result in displacement of persons, and where unavoidable plans made for transparent communication with the affected persons and provision of alternative land or compensation; and

Battery storage with a capacity of around 200kWh should be included, to help with fluctuations in supply.

Source: Atkins, 2021

> Integrate safety and security into the design of the business incubator and surrounding area.

Energy Based on the anticipated size of the facility, the general power and lighting demand for the buildings and process load could be in the region of 150-200kW. The facility may not be located close to any existing power infrastructure, so a suitable 11kV grid supply may need to be extended to the site.

MANDERA URBAN ECONOMIC PLAN (UEP )124

This VC group is not climate-sensitive. The design of the building for the incubator will need to take into account heat stress, and site-specific flood risk, however, the vulnerability of the VC group- itself is low. The advice and services the business incubator provides will also help build the resilience of the businesses and supply chains across Mandera. There is a good opportunity to design this VC group in a way that specifically supports innovation for climate resilience and supports technologies and services that can help increase resilience of the municipality more broadly. This will be explored further in the development of the UEP if this VC group opportunity is taken forward.

Environmental Impact

This proposed VC group would not have a direct environmental benefit. However, some of the indirect environmental benefits of the project include the creation of an alternative source of livelihood for the community, thus reducing the pressure on their demand for natural resources. An EIA of the incubation site is required, to ensure the development does not cause detrimental effects to the environment 87. 87. National Environment Management Authority (NEMA), Environment Impact Assessment (EIA) (2003)

CLIMATE RESILIENCE ASSESSMENT

Sensitivity

MANDERA URBAN ECONOMIC PLAN (UEP ) 125

FrameworkDevelopment

126 5.

Historically, Mandera’s development has occurred in an unplanned manner, where relatively low-density residential development and urban sprawl has encroached on the agricultural hinterland and pushed towards its Manderaborders.now has a well-developed spatial development and land-use plan in its ISUDP which looks to address and manage these challenges. The Development Framework is a mechanism within the UEP to build on the propositions of Mandera’s ISUDP whilst directing proposed urban development, climate-resilient infrastructure and VC projects into the most appropriate areas, in order to create a foundation for future sustainable urban and economic development across the Municipal area.

The urban development and infrastructure projects will be identified as short, medium, or long-term proposals. These will align with the timeframes detailed earlier in Figure 3.3. High-level cost estimates have been done for the projects and these have been assessed in terms of the likely funding sources required, be it public, private or a public/private partnership. Certain projects within the public funding orbit are proposed due to their potential catalytic effect of unlocking broader private investment opportunities within the areas they are implemented. Section 6 sets out the approach to implementation of the projects within the Development Framework in more detail.

The Development Framework structures, prioritises, and phases urban development in a coherent and coordinated manner with respect to two proposed focus areas. VC and infrastructure projects are then sequenced based on optimising their individual and collective impacts whilst aiming to minimise costs.

Whilst each proposal may be implemented as a standalone project, effective linking and sequencing will create the highest impacts for future private and public investment potential.

MANDERA URBAN ECONOMIC PLAN (UEP ) 127

Based on the diagnostics of Mandera’s socioeconomic conditions, urban typology, character and levels of infrastructure provision, as well as the economic sector priorities that have been set out, this chapter brings together project proposals that can support economic growth, maximise the impact of infrastructure provision and tackle the most urgent needs of the municipality in responding to the pressures of urban growth, whilst building climate resilience, sustainability, inclusivity, and applying the ‘doing no harm’ approach within the context of potential conflict.

The Climate Vulnerability Assessment and Social Inclusion Study are appended to this report. Through engagement with the PSG and stakeholders, efforts have been made to understand the potential interactions of the projects within Mandera’s conflict context, and a set of questions has been developed to be asked at the pre-feasibility and implementation phases of each of the projects.

Taking into consideration the urban growth plans of the ISUDP and the significant spatial constraints of the planning area, (‘no go’ conflict zones, movement away from border, ‘no go’ flooding zones and the protected agricultural corridor) the development framework considers 2 specific focus areas: > Focus Area 1 – Neboi Industrial Site; and > Focus Area 2 – New Central Business District

A number of urban development and infrastructure projects have been identified to address challenges across the wider Municipal area. The proposed projects have been assessed against social inclusion, and climate vulnerability, with a number of adaptation measures identified to embed resilience and suitable approaches for including Mandera’s SIGs and providing opportunities and income security across all groups.

Mandera is a hub for activity in the Mandera triangle, it gets significant footfall and passing trade. The town has grown significantly in terms of population and urban development in the past decade as a result of the benefits of devolution.

In order to support the development of Mandera as a service, commerce, and trade hub, there needs to be significant enhancements in order to bring Mandera to a level of development similar to other secondary cities across Kenya. This includes the following supporting infrastructure such as public and non-motorised transport, water, waste, drainage, reliable energy, a reliable communications network with internet connection, and urban management. This will create an environment capable of supporting the existing commerce, trade and service activity in Mandera, and attracting new businesses. Focus Area 2, Mandera’s new CBD, is identified as the ideal location to cluster commerce and service activity, as well as other urban centre functions.

MANDERA URBAN ECONOMIC PLAN (UEP )128 5.1

The bankable, climate-resilient and inclusive infrastructure projects are detailed within each Focus Area with their rationale, sub-components, impacts, estimated costs, delivery mechanisms, challenges and timelines. These proposals have been tested with the Mandera PSG and key stakeholders, utilising the SUED engagement process to inform their development. The Infrastructure Proposals have been developed to build on, enhance and refine ongoing works and current plans by the Municipality, County, IFIs and other organisations. These proposals, as Development Framework elements, can enable Mandera to meet its vision and provide sustainable socio-economic opportunities, as set out in Section 3. These opportunities will be more resilient in being framed within an integrated planning approach to development, climate change and social inclusion. Table 4.4 below sets out the reference list for these proposals.

Focus area 1, Neboi Centre, is situated away from the existing residential and commercial activity and has been identified within the ISUDP as an appropriate location to cluster industrial activity. Here, the benefits of co-location can be realised, and value chain and industrial developments can catalyse further opportunities as there is land availability and opportunity to provide additional to-scale infrastructure. This area is in close proximity to the Daua River, and its existing horticultural production areas. It is also located along the C322 road which has connections to the A13 corridor and to other high-production areas across Mandera. The Neboi location will ultimately support the agri-processing and value addition aspects of 5 of the 8 VC groups identified for Mandera, including fruit and vegetable processing, milk processing, oil pressing and milling, tanning and related activities, and gums and resins. However, as there is no supporting infrastructure in place at Neboi, there will be significant initial upfront costs for transport, energy, water, sanitation and solid waste infrastructure.

Key Components and Rationale

5.2 Infrastructure Proposals overview

The urban context plan in Figure 2.2 (Section 2) provides an overview of the spatial and land use distribution of activities within the Municipal area. The town has an existing CBD situated on the A13 road, which provides a range of commercial uses as well as informal retail and market trading areas. A new CBD is being developed further away from the Somalia border along the A13 road, this centre currently is made up of more formal activity such as the County Government offices. Beyond the new CBD there are peripheral low-density residential areas, and a few commercial and service businesses. There is no room for further development to the north and east where growth is restricted by the borders of Somalia and Ethiopia. There is however a lot of developable land in the Municipality in particular to the south and west. The UEP proposes measures and projects that support the ISUDPs planned growth away from the international borders and along two of the key road corridors (C322, and A13).

FA2 New CBD 5 Urban mixed-use buildings and adjacent boulevard Urban development

Infrastructure Proposals

FA2 New CBD 8 Accessible public toilets in the new CBD Water, Wastewater and Sanitation

FA2 New CBD 9 Bus station and supporting facilities Transport

Beyond the Focus Areas 10 Natural floodwater management Flood Management Beyond the Focus Areas 11 Formalise collection of Municipal and County waste Solid Waste Beyond the Focus Areas 12 Material recovery facilities and composting plants Solid Waste Beyond the Focus Areas 13 New landfill built to NEMA standards Solid Waste Beyond the Focus Areas 14 Solar PV power generation Energy Beyond the Focus Areas 15 Solar streetlighting Energy Beyond the Focus Areas 16 Solar refrigeration (cold stores) Energy Beyond the Focus Areas 17 Urban street improvements paired with Isiolo – Mandera road project Transport Beyond the Focus Areas 18 Transport - Increased network density of all-weather roads Transport Beyond the Focus Areas 19 Border management Transport Beyond the Focus Areas 20 Suftu Bridge Transport Beyond the Focus Areas 21 Donkey management Transport

FA1 Neboi Industrial Site 1 Urban development of industrial park Urban development

FA1 Neboi Industrial Site 4 Biogas plant Waste and Energy

FA1 Neboi Industrial Site 2 Water supply at Neboi Industrial Site Water, Wastewater and Sanitation

FA2 New CBD 6 TOD and business incubator Urban development

Table 5.1

FA2 New CBD 7 Water supply for low-income households Water, Wastewater and Sanitation

MANDERA URBAN ECONOMIC PLAN (UEP ) 129

FA1 Neboi Industrial Site 3 Wastewater treatment works at Neboi Industrial Site Water, Wastewater and Sanitation

Focus Area Project No. Project Title Category

MANDERA URBAN ECONOMIC PLAN (UEP )130 Figure 5.1 Overall development framework plan showing the two Focus Areas and individual proposals Source: Atkins, 2021

> Away from the eastern border for security purposes; and

> Location near to the River Daua and access to irrigated produce;

Focus Area overview

The site presents an opportunity for Mandera Municipality and Mandera County to cluster all potential VCs and other industrial businesses at the same location to allow for economies of scale, where water, energy, waste and transport infrastructure can all be used by the different developers and operators. Co-locating VC groups and associated industrial development opportunities in Neboi will also allow the capture of wider supply chains outside the County and eventually across borders. Given that there are 23 potential VC for Mandera proposed in Section 4.2, the development of the park would need to be phased. 5.2 Industrial Site

> The park is proposed on unregistered community land. The development of an industrial park has the potential to build the food security, resource efficiency and the livelihoods of Mandera’s communities, along with the wider triangle and region in the long term. Neboi Industrial Site can set high-quality standards and become an example of best practice and innovative development. The following proposals, like the VCs, look to consider integration of these economies where relevant.

> Located close to town and its traders;

Figure

Neboi

5.3

MANDERA URBAN ECONOMIC PLAN (UEP ) 131

Focus Area 1: Neboi Industrial Site

> Well-placed at the Ethiopia border to utilise imports for processing expansion; > Located along the C322 (good connectivity);

Source: Atkins, 2021

Neboi is mostly unoccupied with a few very small settlements in the area. Its location, in a relatively greenfield area, means that there is little existing infrastructure. It also presents a prime opportunity to adopt and implement innovative and sustainable development and operational principles right from the offset. The Neboi site has been identified in the ISUDP as the optimal location for industrial developments in Mandera for its strong strategic ties:

phasing will depend on which of the VCs are taken forward first, more detail on this can be found in the implementation plan in 6.4.

MANDERA URBAN ECONOMIC PLAN (UEP )

2. Sustainable infrastructure; and 3. Inclusiveness for people. Such values articulate how the Eco- Industrial Park is arranged, how it develops and what uses are the ‘best fit’ for the site88. This could take inspiration from the industrial symbiosis model used at Kalundborg (Denmark) where exchanges of energy, water and materials in closed loops could shift Mandera’s agri-processing towards a more sustainable circular economy89. The following Infrastructure proformas begin to explore the synergies with each other and the VCs, however further planning would be required once the VCs have been chosen.

The132

The park will be located away from the proposed new CBD development and planned for incremental modular expansion.

A poorly planned and operated industrial area could overuse or waste natural resources and negatively impact the environment, employees and people living nearby. In order to avoid inefficient use of resources, and limit pollution and damage to the natural environment, the Industrial Site should be developed as a green and eco-friendly industrial park.

The resources constraints Mandera experiences, its remote location, and the identified range of VC opportunities present a strong case to develop Neboi’s industrial cluster as an Eco-Industrial Park. Eco-Industrial Parks revolve around 3 fundamental pillars and values: 1. Plan, design, and resilience.

88. See The World Bank, An International Framework for Eco-Industrial Parks (2017) 89. Ellen Macarthur Foundation, Case Study: Kalundborg Symbiosis Effective industrial symbiosis, available at: https://www.ellenmacarthurfoundation.org /case-studies/ effective-industrial-symbiosis Figure 5.3 Neboi Industrial Site and surrounding land Source: Atkins, 2021

The overall industrial site area of approximately 45 hectares spreads across greenfield land with Jirma Hill to its west and the Daua River to its north. A phased development is proposed whereby a smaller pilot site of roughly 7.24 hectares will be developed as phase 1. This is described in Section 5.3.1.

> Project 11 Solid Waste – Formalise collection of Municipal and County waste Project 12 Solid Waste – Material recovery facilities and composting plants Project 13 Solid Waste – New landfill built to NEMA standards Project 14 Energy – Solar PV power generation Project 16 Energy – Solar refrigeration (Cold stores)

The following proformas presented for Neboi are specific only to the development of the Neboi Focus Area, however there are infrastructure proformas that are captured in Section 5.5, beyond the focus areas, that are essential to the success of the Neboi Industrial Park as an industrial development. These include the following Infrastructure proformas that are detailed in Section 5.5:

MANDERA URBAN ECONOMIC PLAN (UEP ) 133

studies > Site clearance > Feasibility study > Detailed master plan > Sustainable Design and Cleaner Production Principles > Climate resilience and passive design principles > Shared utilities and logistics > Water management > Sustainable transport > Local and inclusive community employment > Cleaner production guidelines and principles > Renewable energy and energy efficiency > Resource efficiency and circular economy > Clean air and low pollution

Prior to this pilot development, feasibility studies need to be undertaken, such as geotechnical, hydrological and environmental assessments. Moreover, guidelines on infrastructure requirements, cleaner production methods and design principles have been outlined to ensure the site is developed as a green industrial park. These guidelines will already be applied to the Phase 1 – Development of the Pilot Site to demonstrate how to approach development in a sustainable way to safeguard Mandera’s environment, and its constrained natural resources. The following design principles have been detailed in Appendix F: survey and technical

> Site investigation

Source90 91 90. Making Industrialization in Africa Sustainable | United Nations 91. Hawassa Industrial Park goes fully operational as Ethiopia pushes to become manufacturing hub | Embassy of Ethiopia, London (ethioembassy.org.uk

>

>

>

>

Case Study: Hawassa Industrial Park in Ethiopia was designed, constructed and operated as a Green Industrial Zone Hawassa is a large industrial park (1.3 million m²) developed 200 miles south of the Addis Ababa with a specialisation on textile and apparel. The park has been designed to be environmentally-friendly and limit its impact on the local ecosystem. For instance, textile activities tend to be water-intensive and generate large amounts of wastewater that is polluted with chemicals and is too often unsafely released in the environment. At Hawassa, 85% of sewerage disposal water will be recycled through their Zero Liquid Discharge programme. What is interesting with this case study is that the design of the park and its infrastructure is directly driven by the activities that are planned to take place on the site, making sure that the right type of sustainable approach is adopted.

Solar PV power generation site 1 plot of 20 hectares Water treatment plant 1 plot of 1,200m²

The pilot site for Phase 1 is located 5.7km from the new CBD and 10km from Mandera Airport, on a relatively level section of the Neboi site. It is 7.24 hectares in size and a further 20 hectares is allocated for a Solar PV farm. This site has been chosen due to its location close to the C322 access road and being unoccupied it is available for immediate development. The site has scope to expand further westwards as identified as future development in Figure 5.3. The pilot site will accommodate 7 of the 8 VC groups and will also allow for future expansion of these VCs. Phase 1 development identifies land requirements for utilities such as wastewater treatment, etc.

The Neboi industrial site takes advantage of its strategic location and links with the Focus Area 2 Urban Developments. It proposes to include the upgrade of a 600m section of the access road C322 in conjunction with the new green boulevard link to the New CBD that runs north-south (shown in Figure 5.3). The pilot site includes a total of 9 industrial plots. They are split as shown in Table 5.2. The rest of the site is reserved for future expansion.

5.3.1 Project 1: Development of industrial infrastructure for phase 1 of Neboi Industrial Park

MANDERA URBAN ECONOMIC PLAN (UEP )134

Table 5.2 Industrial unit space requirements at Neboi Industrial Site VC group 1: Fruit and Vegetable Processing 1 ofplot4,500m² VC group 2: Milk processing 1 plot of 4,500m² VC group 3: Oil pressing and milling 1 plot of 4,000m² VC group 4: Tanning and related activities 1 plot of 2,500m² VC group 5: Gums and resins sorting and processing 1 plot of 4,000m² VC group 6: Construction blocks and building materials 3 plots of 8,000m² VC group 7: Off-grid power and supporting services 1 plot of 4,000m²

Phase 1 Development of Pilot Site

Source: Atkins analysis

The site will benefit from the opportunity of lying along the C322 growth corridor and the junction of the new green boulevard into the new CBD. The industrial zone will benefit from a primary frontage along these two main roads which will allow for smaller-scale retail, office, and light industry units to be included in the zone and further contribute to business vibrancy in Mandera as it grows. Further amenities can be provided by employing green-blue infrastructure features such as landscaped open space, integrating detention ponds and swales, which will enable a desirable and attractive business and working environment, which further attracts investors and ensures that natural site features are integrated within the development plans.

MANDERA URBAN ECONOMIC PLAN (UEP ) 135 Figure 5.4 Phase 1 Neboi industrial park

› On-site internal roads and ICT,power,infrastructurenetwork(water,sanitation,drainage) Included in costing are the New Roads and Industrial Units

> Drainage across the site to integrate SuDS principles where possible, and to be designed to account for increases in extreme rainfall; > Integrate greening and landscape as a key element to provide shade and relief from heat, as well as increasing amenity value; and

Total cost = KES 185 m › Enhances the local economy with mixed-usemanufacturing,modernandamenities Opportunity for immediate investment and development Introduces a strong value addition to the industrial zone in Mandera › Opportunity to provide local employment Private investor: Design Build Operate Maintain (DBOM) Publicinfrastructure:EnablingAuthorities

Estimated cost (KES range) Benefits and impacts Financing options and delivery mechanisms agency and stakeholders

CLIMATE CHANGE INTERACTIONS AND APPROACH

> Inclusion of water management and water efficiency measures, including implementing rainwater collection, storm water retention and harvesting techniques and wastewater recycling; From an operational perspective it would be prudent to develop a heatwave management plan for the site, detailing how operations could be affected, and measures to protect workers against heat exposure.

MANDERA URBAN ECONOMIC PLAN (UEP )136 LINKAGES > Project x Transport – Urban street improvements Table 5.3 Project 1 Summary Information Sub-components

› privatepartner:agency/Implementationleadinginvestor › responsibilityMaintenancestakeholders:Supporting of Municipal Government

Source: Atkins, 2021

Source: Atkins, 2021 Table 5.4 Project 1 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies Masterplan to be developed for the wider site before progressing › Funding › Pre-feasibility study › Site surveys and technical studies › Market study › Short to medium-term to facilitate early stages of VC projects and enable further development

Implementation

> Promote the design of passive buildings to reduce electrical cooling, ventilation and lighting while guaranteeing comfortable conditions for all users, taking account of increasing average and maximum temperatures;

The industrial site will need to be designed to accommodate several important climate risks; namely flooding from the River Daua, surface water flooding from heavy rainfall events, and high temperatures and heat stress. The design process for the site should incorporate a flood risk assessment to clearly outline the areas of the site adjacent to the river that should not be built on, and can be planned as green space. This needs to explicitly account for likely changes in flood frequency and magnitude, as highlighted in Appendix D. Key principles that should be incorporated into the design of the site include:

> Ensure a good relationship with the community. Develop programmes to improve social aspects within the local community and provide accessible communication platforms;

Potential threats to peaceful outcomes at the Neboi Industrial Park relate to land requirements, security and its location along the C322, and distribution of employment opportunities.

> Thorough, inclusive community consultation with the current occupants of the land, regardless of the number. Again, the Community Land Act (2016) is specific as to the requirements of investors who want to access community land, including that access is subject to consultation and agreement with the host community, and with payment of compensation and royalties, should an agreement be reached. The Act also recognises women as worthy of equal treatment as landowners and right holders in such matters. This is a key point to remember given women were identified as some of the excluded groups in the Municipality. Distribution of resources and employment opportunities If the employment opportunities created are shared unfairly this could be a trigger for conflict. Stakeholders have reported conflict in the past triggered by perceived favouritism of some clans over others in award of works contracts.94

There are several ways to ensure that the industrial park adopts an inclusive approach. Ultimately, the park should aim to provide equal opportunities to all residents, support local entrepreneurs and boost education and training development. To summarise, some actions to support this include:

Considerations for peaceful development of the industrial park include: Land requirements While Neboi is largely unoccupied and has only a few settlements, many rural communities in Kenya resent involuntary land losses, and the proposed project is likely to result in displacement. This has potential to cause conflict between project-affected persons and the developer, as land disputes between the public and contractors have been reported in the past in Mandera.93

> Formalization of the currently unregistered land area of 45 hectares. Registration is strongly recommended to double-lock tenure security and ensure smooth operations. Kenya’s Community Land Act (2016) provides procedures for registration of community land.

SOCIAL INCLUSION INTERACTIONS AND APPROACH

> Engage, throughout the development of the industrial site and after phases or sub-zones have been developed, with local workers, local businesses, SIGs and other users of the park, to ensure all views have been transparently taken into consideration;

> Provide social infrastructure (e.g. accessible toilets and infrastructure, childcare services, and mother’s rooms, etc) and follow social performance standards in relation to social inclusion, gender equality, labour conditions, and community dialogue;

> Provide opportunities for skills development, particularly targeting SIGs, people with low literacy levels, and other vulnerable groups;

> Develop user’s satisfaction and complaints forms as feedback mechanisms for stakeholders within the park and for the local community (e.g. complaint boxes or hotlines); 92. Parliament of Kenya, Persons with Disabilities Act, 2003 (Section 13) 93. Conflict questionnaires 03 July 2021 94. Conflict questionnaires 03 July 2021 > Ensure adequate working conditions in line with national and local laws and standards. Guarantee equal working opportunities for all people (e.g. respect the 5% quota for PWDs’ inclusion92). Provide accessible infrastructure and equipment. Maintain health and safety; and

Security Just like the rest of Mandera, the Park’s proximity to Somalia and to C322 predisposes it to terror attacks. Stakeholders noted that in the event of insecurity incidents attacks on programmes or projects usually target project plants, machinery and equipment. Mandera has successfully designed much of its new infrastructure to protect its users against this threat, and the same is recommended for the Neboi Industrial Site where the implementing agency should work closely with the government and security agencies to plan for effective security measures.

> Provide support to local entrepreneurs, by setting procurements target and developing shared space that they can have access to on the park;

In addition, as much as will be possible, skills development is recommended to improve SIGs and minority tribes’ employability as they may be disadvantaged by low literacy levels.

MANDERA MUNICIPALITY URBAN ECONOMIC PLAN 137

> Ensure there are regular affordable transportation services to the industrial site from different communities in the Municipality. These services should provide affordable accessibility for PWDs.

DO NO HARM AT THE NEBOI INDUSTRIAL PARK

To mitigate against this, the following is proposed:

> Working in partnership with local education providers (TVTE, schools) develop inclusive programmes that are tailored to the needs of local businesses in the park;

> Supply water for VC projects, the plans would need to be aligned with what VCs are taken forward as some are more water intensive than others;

to include a water storage facility to enable the industrial park to operate for five days in order to build resilience into the system to enable continuous supply to the industrial park in the event of abstraction or treatment failure. The water can also be used in the event of a fire. The water treatment plant should be designed to use low energy treatment processes where possible and look to use renewable energy power when required.

> Supporting the Sector Action plans aim to make Mandera a more attractive business location; and

> Supply water to provide water for the industrial park at Neboi;

5.3.2

LINKAGES

Project 2 - Water Supply at Neboi Industrial Park OVERVIEW

> Supporting the Sector Action plans aim to build the resilience of and commercialise Mandera’s agriculture and livestock sector through supporting the VCs at Neboi.

MANDERA URBAN ECONOMIC PLAN (UEP )138

Figure 5.5 Typical infiltration gallery Source:96

There is an ongoing AfDB-funded project for construction of a water supply system abstracting, treating and distributing water from the River Daua. Located at Neboi it is designed to supply 33,000m³/day across Mandera. At the time of writing the construction is reported to be at 25% with an expected completion date of mid-2022. This project is expected to provide water to supply the town’s domestic population until the year 2040. Given the water scarcity in the area, to reduce competition for this public resource and to ensure continuity of supply, it is proposed to provide a new water treatment plant exclusively for Neboi Industrial Site use. Neboi Industrial Site water demand for the short run developments are estimated to be between 60-155m³/day.

https://repository.lboro.ac.uk/articles/figure/Cross-section_of_an_infiltration_gallery_and_collector_well/8095175/1Itisrecommended

95. Source: CSAG Climate Information Portal (2021) www.cip.csag.az.za 96.

> Supports key SUED Principals or resilience and sustainability; > Would require the infrastructure highlighted in the energy proformas to power the pump (Section 5.5.5);

It is recommended that the water supply is initially developed to meet this requirement, with an allowance to serve surrounding communities with poor access to clean water. The design should allow for expansion as the industrial park is developed in the medium and long run. Raw water will be abstracted from the River Daua using infiltration galleries, these are suitable for abstraction of highly silted water, they are resilient to flooding, they minimise the need for treatment and are suitable for abstraction in the dry months when the river flow is sub-surface95. The abstracted water will need to be treated to drinking water standards to meet the requirements for food processing. The water quality will need to be tested to determine the exact treatment required.

Source: Atkins, 2021 Table 5.6 Project 2 Basic analysis and timeline Challenges Data gaps Time frame, key dependencies

Table 5.5 Project 2 summary information

Source: Atkins, 2021 CLIMATE CHANGE INTERACTIONS AND APPROACH

Intake works and treatmentWater plant KES 35 million › Reliable water supply for VC projects › Community waterpoints to supply residents nearby that don’t have good access to water › Private donors/sector/IFI › World Bank SME for management

› Data on river flows to be obtained at design stage › Water quality data › Short term – to be developed early in industrial park development as basic infrastructure to attract investment.

For continued Do No Harm, inclusive community consultations should be conducted over the siting/location of the community water points. Project sites that result in economic and/or physical displacement are to be avoided, and where unavoidable transparent communication with project affected persons done, and alternative land or compensation provided to them.

Implementation agency and stakeholders

The infiltration system chosen is inherently more resilient to flooding, and also provides a degree of resilience to low flows, as sub-surface abstraction is possible. Water availability is very limited, however, and there is a large number of competing demands on the water in the river. Although overall rainfall in the Ethiopian highlands, the source of the River Daua, is likely to increase, higher temperatures, and increasing upstream demands mean availability will remain an issue. Drought is one of the major climate change risks for Mandera with drought events expected to increase in severity. There may be challenges in maintaining adequate water supply during drought events, with risks on both water quantity and quality. Water efficiency and reuse measures on the site can help to offset supply challenges. Metering of key industries could help to improve water use efficiency.

SOCIAL INCLUSION INTERACTIONS AND APPROACH

MANDERA URBAN ECONOMIC PLAN (UEP ) 139

RESOURCES AND BENEFICIARY CONSIDERATIONS

Water provision will contribute to the development of the economic activities in the new industrial site, supporting the different VC groups. Since local communities near the industrial park do not have access to water, community water points will be provided. Better water provision at the industrial site and surrounding communities will contribute to reducing water-borne diseases and improving public health.

› Dealing with a very constrained resource can be sensitive

› Climate change risk on the River Daua

Sub-components Estimated cost (KES range) Benefits and impacts Financing options and delivery mechanisms

Having a water supply system independent of the municipal supply reduces the possibility of conflict over the scarce water resource especially in dry months of the year.

There is an ongoing AfDB-funded project for the construction of a sewerage system and wastewater treatment plant for Mandera near Border Post 1 of capacity 12,000m³/ day. Construction of Phase 1 of the works is ongoing, and completion is expected mid-2022. The area around Neboi Industrial Site will not be sewered in the ongoing phase of the project. Therefore, we recommend that the industrial park develops an onsite wastewater treatment facility. The new wastewater treatment plant will be constructed to treat all wastewater produced within the site to required NEMA standards. The plant should look to use low-energy technology and use renewable energy where possible. The treated wastewater should be re-used for irrigation, flushing toilets, cleaning, and other general uses on the site. Recycling wastewater preserves the River Daua as a natural resource by reducing the volume of fresh raw water abstracted by the industrial park. The sludge could be treated with organic matter in the proposed composting facilities (Section 5.5.3). A feasibility study would be required to check if there would be odour issues and if composting facilities are sufficient to destroy all harmful pathogens contained in human waste. The treated waste can then be reused as fertiliser, compost or fuel briquettes. The sale of these types of products can provide an additional income stream and reduces the environmental damage caused by charcoal and firewood. A community sensitization plan will be required to ensure acceptability of the new products from human waste. The operation of the WWTP, manufacture and sale of human waste by-products provides employment more opportunities for the local community.

Table 5.7 Project 3 summary information

CLIMATE CHANGE INTERACTIONS AND APPROACH

Climate change can have a variety of impacts on wastewater treatment processes and infrastructure. Significant climate change risks for Mandera are higher temperatures and increased precipitation intensity. Higher temperatures can cause increased operational challenges to biological and chemical processes of treatment facilities, and as such appropriate treatment processes need to be chosen.

› Private donors/sector/IFI

> Supports the Programme’s aim of creating employment opportunities; > Supporting the Sector Action plans aim to make Mandera a more attractive place to visit and do business; and > Would require the infrastructure highlighted in the energy proformas to power the pump (Section 5.5.5)

The projected increase in precipitation intensity poses the risk of flood damage to the treatment plant and the processes of pumping, conveyance, and outfall. Heavy rainfall and flooding pose an increased risk of untreated sewerage overflows contaminating water supply sources. There may also be changes in quantity and quality of water shed runoff and in the resulting non-point source pollution loads to receiving waters.

The site selected needs to be out of the flood zone of the River Daua, and drainage included so that surface water flooding is not an issue.

OVERVIEW

> Reuse of human waste provides income opportunities selling fertiliser, compost or briquettes; > Supports SUED principal of resource efficiency and sustainability;

treatmentWastewaterplant KES 30 million › Preserve the River Daua by reducing volume of fresh water abstracted

Sub-components

Table 5.8 Project 3 Basic analysis and timeline Challenges

Project 3 - Wastewater Treatment Works at Neboi Industrial Site

› Climate Funds SME for management

Implementation agency and stakeholders

› Reduce fromimpactsenvironmentalofpollutionwastewater

Linkages: > Recycle treated wastewater to save on fresh water abstracted from environment;

Data gaps Time frame, key dependencies

Buy-in from local community on use of briquettes Market for briquettes manufactured Short term – to be developed early in industrial park development as basic infrastructure to attract and facilitate investment

MANDERA URBAN ECONOMIC PLAN (UEP )140 5.3.3

Estimated cost (KES range) Benefits and impacts Financing options and delivery mechanisms

MANDERA URBAN ECONOMIC PLAN (UEP ) 141

Pressed briquettes are spread onto drying racks and dried in the sun for 3 days. The briquettes are checked in quality control process for burn time, water boiling time, and resistance to breaking when dropped from a height of 1 meter.

As with the project above, improved wastewater management will support the development of VCs and the development of all the economic activities at the industrial site, while enhancing public health. Since there is usually community distrust and preconceptions about the use of treated waste as fertiliser or compost, it is recommended to liaise with existent environmental organisations to develop sensitisation workshops at the community level. Involve local organisations and NGOs.

Case Study: Solid Fuel Briquettes as a reuse product in Kakuma, Kenya Sanivation has developed a briquette production system for human waste, and it is used in Kakuma, Kenya. Treated faeces has a high energy content and can be utilized as a biomass fuel like charcoal and wood. In the Sanivation system the faeces act as a binder for other biomass waste streams such as charcoal dust, agricultural residues, and carbonized prosopis (a woody invasive weed in East Africa).

SOCIAL INCLUSION INTERACTIONS AND APPROACH

Treated faeces mixed with crushed high-carbon co-waste (other bio-mass as above) at a ratio of around 10-30% wet faecal sludge by mass. Water is added as required to produce the required consistency for mixing and pressing. When it reaches the required consistency, it is transferred to a roller press, which presses the mixture into briquettes.

Source: Solid Fuel Briquettes as a Reuse Product in Kakuma, Kenya

Small-scale treatment and reuse system comprising of treatment tank, mixer, roller press, drying beds and burning briquettes. Source: Sanivation and UNHCR Sanivation briquettes have been shown to have a calorific value higher than wood and with less smoke emissions than Comparisoncharcoal.of Sanivation briquettes to wood and charcoal Charcoal Wood briquettesSanivation valueCalorific 29 MJ/kg 15 MJ/kg 22 MJ/kg Burning time 3 Hours 1 Hour 4.5 Hours (COEmissionsppm) 118 ppm NA 82 ppm (PM2.5Emissionsppm) 213 ppm NA 196 ppm In Kakuma briquettes are sold for US$ 0.20 per kg which is equvilent to the cost of charcoal. The cost per year was estimated at US$ 172 per year per houshold and revenue at US$ 210.

The WWTP supports the success of VC projects by providing reliable supporting infrastructure. The ongoing AfDB-funded sanitation project will provide water-borne sanitation to the community and therefore, the park can use this WWTP along with the local community. Interventions to improve sanitation in the local community have also been provided in the proformas in Section 5.5.

There are opportunities for the project to ensure sustainable peace by: > Ensuring job opportunities created by the project are shared fairly as inequitable distribution of opportunities has been identified as one of the potential causes of conflict in the Programme; and > Thoroughly consulting the host communities about the location of the proposed WWTP. WWTP sites opposed by the community or those that cause displacement impacts are to be avoided, and where unavoidable transparent communication with project affected persons are undertaken, and alternative land or compensation will need to be agreed on with them.

RESOURCES AND BENEFICIARY CONSIDERATIONS

Mandera has an ongoing waste management problem. Recently the existing landfill site at Border Point 1 was closed, and a new site was opened further from the border, where the primary method of dealing with the waste is through incineration. There exist a number of options to utilise waste, but given the likely scale and composition of waste, particularly including the inputs eventually from the tannery and abattoir, biogas is a suitable option. The biogas plant will produce a methane-rich gas through the fermentation of suitable organic waste products, such as manure, food waste or animal by-product. The gas is collected then partially treated before being burnt in an engine to produce heat and power. The heat is reused in the plant to speed up the fermentation process. This infrastructure project aims to: provide a biogas to power plant to help deal with existing waste streams but also those specifically from the tannery, and potential associated abattoir, and the fruit and vegetable processing plant. This project will provide a single biogas plant located near to the tannery or fruit and vegetable processing centre, and will act as hubs to local industry and waste collectors.

The project will be located in Neboi, ideally near the tannery or fruit and vegetable processing plant.

> The technical design of the plant and associated financial modelling to ensure viability of plant;

> Initial social and environmental analysis and planning, selection of location, Development of procurement and deployment plan; > Capacity-building with selected locals to manage the facilities; and > Capacity-building with selected locals to ensure maintenance and operation of systems.

LINKAGES > This proforma will be key to some of the VCs proposed in Section 4.3, such as the VCs relating to fresh fruits and vegetables and the tannery; and > Supports SUED principles of sustainability, resilience, and social inclusion.

This project has five proposed components:

MANDERA URBAN ECONOMIC PLAN (UEP )142 5.3.4

Project 4 Energy - Biogas plant PROJECT OVERVIEW

> A detailed study of the waste streams (but general and abattoir specific waste) to understand waste type and volumes that are suitable and available for use in a biogas plant. This study should be regularly reviewed and updated to reflect changing waste practices and growth of abattoir and general waste volumes;

Effort needed to obtain comprehensive data on situation with respect to current practices, available facilities and demand for refrigeration services

Primary funding would be expected from project developer › Public sector or donor funding may be available from numerous sources Coordination with Municipality, County Government and other interested parties and abattoir operationtobuildingMaintenancecommercialtechnicaltobiogasregionalPartneringoperatorwithlocal,orinternationalsolutionprovidersdetermineappropriateandsolutions–capacityprogrammeensurecontinuedofsystems

The environmental and social analysis that is suggested above should incorporate consideration of drainage, and increased flood risk to the plant. Additionally, as per the recommendations for all building on the site, principles for cooling, and passive design should be included where possible so as to minimise the risk from overheating and heat exposure.

Table 5.9

Develop training plan, for management, operation and maintenance

› Provides additional source of power generation

Sub-components

Table 5.10 Project 4 Basic analysis and timeline Challenges Data gaps Time frame, key dependencies

Detailed study of waste streams and abattoir to determine suitable waste volumes and potential energy Technicaloutputs*design and financial modelling of plant Initial social environmentalandanalysis and planning, selection of location, Development of procurement and deployment plan

Obtaining land and funding Limited knowledge of current situation around Knowledgewasteof suitable operators able to work in region Long-term, 6-10 years Time needed to build suitable waste volume

SOCIAL INCLUSION RECOMMENDATIONS

Job opportunities created by the project should be shared fairly as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme.

Benchmark: KES 375k per kW power output Actual cost: KES 70-95 million depending on size › Alleviates issues around abattoirwithparticularlymanagement,wastehazardouswaste

Source: Atkins, 2021 *waste to power is one option that should be considered, however other options such as waste to liquid fuels should also be evaluated.

RESOURCES AND BENEFICIARY CONSIDERATIONS

Project 4 summary information

Implementation agency and stakeholders

Source: Atkins, 2021

Estimated cost (KES range) Benefits and impacts Financing options and delivery mechanisms

MANDERA URBAN ECONOMIC PLAN (UEP ) 143

This new source of power generation has the potential to particularly benefit women since biogas can be used to provide cooking gas. This could free up the time that women dedicate to look for charcoal/firewood, which are also a threat to the environment and to their health. This greater freedom will open up new potential for women in Mandera.

CLIMATE RESILIENCE RECOMMENDATIONS

MANDERA URBAN ECONOMIC PLAN (UEP )144 Case Study: St Martin/Innkrels slaughter facility biogas plant, Austria 97. Biogas from slaughterhouse waste: Towards an energy self-sufficient industry, accessed 16th Sept 2019case,themethaneProvidedTheanimalandheatbiogastheby-productsbiogasapproximatelyinThehttp://www.iea-biogas.net/files/daten-redaktion/download/Success%20Stories/st_martin.pdfStMartin/Innkrelsslaughterfacilityislocatedthenorth-eastofAustria.Thefacilityprocesses2,000pigsperday.Ithasanadjacentplantthatoperatesusingonlyanimalfromthefacility.Theinitialcostofplantwas1.8millionEuros.Theuseoftheplantallowsthefacilitytocovermostofitsdemandandsomeofitselectricitydemand,alsotoreducethedisposalcostsofthewaste.plantproduces5,000m³ofbiogasperday.thebiogasplantisfedcontinuously,isproducedataconstantratethereforeproducedelectricitymaybedelivered,inthistothepowergrid,ataconstantrate.Theheat initially couldn’t be used for two-thirds of the day due to lack of demand, however a 200m³ hot water store was added, which uncoupled heat demand from supply, and allowed hot water to be better utilised across the day. Currently the plant produces 525kW of electricity and 525kW of heat. It sells 3.6 million kWh of electricity to the grid and earns a feed-in tariff of 11cents/kWh meaning the plant is economically viable.

St Martin/Innkrels slaughter facility biogas plant, Austria97

5.1

Focus Area 2: New CBD

MANDERA URBAN ECONOMIC PLAN (UEP ) 145

There is little existing urban development in the New CBD area. Some of the Municipality’s formal activity, including public sector jobs, are currently based in the area, this existing formal activity will be the basis upon which the new CBD will be developed and expanded. The New CBD is already served by two of the key transport corridors in the County, as well as solar street lighting, and the County Government offices. Its location, in a relatively green field area, offers the Municipality and stakeholder community the prime opportunity to adopt and implement innovative and sustainable urban development principles right from the outset. Focused urban development in this area will transform this ‘blank canvas’ into the new town centre of Mandera and build its unique urban character. The proposals for developing this focus area will look to build on and optimise the existing land use plan proposed in the ISUDP, ensuring that it is resilient and inclusive. Where the existing CBD in Mandera has been deemed inappropriate due to its proximity to the Somalia border and insufficient space for expansion, the New CBD is planned to grow in a northerly and westward direction from the A13. This plan relies in part on a voluntary shift of some of the businesses and commercial activity currently based in the existing CBD, combined with the creation of new activity and entrepreneurship in the new CBD. Although the UEP looks to support and encourage this shift of activity away from the border, it also includes softer interventions in the SAPs, along the supply chains of the VCs, and through linkages in the development framework, that look to support the activity that remains in the existing CBD.

The Municipality currently has a very detailed urban development, plotting and land use plan. However, it doesn’t necessarily reflect some of the key urban design principles that need to be implemented to ensure its future sustainability and resilience. The new CBD and surrounding areas are planned on a very rational grid iron system but there is no apparent hierarchy in the road network or planning layout. For example, if the plots under commercial land use are considered, there is no evident distinction of small, medium or large-scale commercial plots. This method of planning follows through other areas of the urban development plan as well. The design assumes important planning elements such as plot access, car parking, and location of green spaces all happen in a consistent way. However, that is not the case. It needs to respond to the spatial aspects of the landscape such as landform, rivers, topography along with best practice design principles. Although the plan includes a standard set of spatial planning elements it is not best suited to Mandera. Such poor spatial design can hamper development, discourage investors and water down placemaking.

The plan has considered all the various elements required to form a successful development strategy however the following proposals and interventions will help improve the design. It is proposed that the masterplan be taken under review to incorporate urban design principles outlined in Section 5.4.1.

There are various opportunities such as making all the three transport corridors climate resilient which can be done by incorporating SUDs elements, planting trees, managing water run-off, and using sustainable construction materials. The plot arrangement can be reshuffled into a more compact urban form. This can be done by decentralising and diversifying land uses and creating mixed use districts which can become sustainable and self-sufficient neighbourhoods. These can potentially reduce the demand for mobility requirements helping to reduce carbon emissions, as well as encourage integration and diversity from a social demographics perspective. The natural features such as the seasonal river combined with the allocated park locations allows for a formation of green-blue network of streets and public realm. These links can be developed into alternative pedestrian priority and ‘safe’ streets away from the busy vehicular traffic.

It highlights the three main transport corridors namely C322, A13 and B95. It shows the north south connection between Focus Area 1 and Focus Area 2. It identifies the green spaces and parks proposed in the new plan. It recognises the important urban centres such as the New CBD, Koromey, Garba Qoley and Neboi. It identifies the seasonal stream that runs east-west to the south of the A13 corridor. It also highlights some key land uses such as the proposed Grand Mosque site, bus terminus, livestock market, Devolution Park, the New CBD and Neboi Industrial Cluster.

Figure 5.6 Map of Focus Area 2: New CBD Source: Atkins, 2021

MANDERA URBAN ECONOMIC PLAN (UEP )As146indicated earlier the Municipality has taken a strategic approach within their urban development plan to relocate the CBD at a location further away from the international borders. This plan at its current stage, needs some key catalytic projects to draw investment and growth direction towards this new location. Some of these are illustrated in the vision diagram as seen in Figure 5.6.

The vision shown in Figure 5.6 uses the Municipality’s urban development plan as a base and highlights some key areas that will help catalyse and support its overall development.

The design layout also adopts the “secure by design” principle which looks at minimizing vulnerability of facilities, structures, and public spaces to direct threat (terror attack or accidents). The proposed schemes, for example adopt a pedestrianisation approach of public spaces and minimise the interface between public spaces and vehicular routes. Interfaces with bus stops and drop-off points are filtered, where appropriate by intelligent safety systems ranging from street furniture and bollards to gated access. Where possible, a courtyard arrangement of the built masses contributes to creating “non perceived” compounds and controls point of access.

MANDERA URBAN ECONOMIC PLAN (UEP ) 147

Figure

The following proposals for Focus Area 2 aim to enhance the urban environment and catalyse the development of a new town centre with a range of both formal and informal activity. Mandera is the fastest growing urban area in the Mandera Triangle and already serves as a hub of economic activity, the aspiration for the new CBD is to consolidate this role and ensure it maximises the potential through future development. It also aims to becoming the sustainability benchmark for modern towns across Kenya, and beyond. To demonstrate this, two projects are chosen. They include a TOD and business incubator and a reconfiguration of a sample urban block that follows the urban design principles. 5.7 Map of proposal areas within the new CBD

The selected sample urban block is a typical component of an intriguing and interesting boulevard. The review aims to plan multiple units that face a central high quality small piazza and overlooks the new CBD boulevard. Visitors are delighted to come here, dropped off at the plaza entrance as they make their way through a variety of shops, market stalls, and restaurants through attractive and safe public realm. A buzzing feeling of activity is in the air, group of friends and families mingle and relax after a day of work or for a weekend get

Figure 5.8 2D map of Urban mixed-use block and adjacent boulevard Source: Atkins, 2021

Project 5 - Urban mixed-use block and adjacent boulevard

MANDERA URBAN ECONOMIC PLAN (UEP )148 5.1.1

Thetogether.blockaccommodates some car parking on the perimeter and in the lower ground floor for visitors to the neighbourhood. Locals can just stroll or cycle around the neighbourhood and visit the central piazza or hop on the matatu and buses such is the ease of access to this centre. A modern and beautiful boulevard sits on one side of the centre and accommodates trees, and ample footpaths, cycle lanes and comfortable crossings. This thoroughfare is to be one of the nicest streets in the new CBD area in Mandera. Through sustainable design principles impacts of flooding would be minimised as it will have SuDS features integrated into the public realm, whilst congestion is mitigated as there is plenty of parking in an organised manner. Cyclist and pedestrians would make their way along cycle lanes and comfortable pavements. The boulevard forms part of wider CBD and Municipality wide network of soft mobility routes that connect important areas of the town and allows for better and safer walks.

MANDERA URBAN ECONOMIC PLAN (UEP ) 149 Figure 5.9 Image of Urban mixed-use block and adjacent boulevard Figure 5.11 Street view image of Image of Urban mixed-use block and adjacent boulevard

Figure of mixed-use

Urban

block and adjacent boulevard

5.10 Image

>

> Local and

Source: Francis Kéré, 2015 Linkages > SUED Transport, SuDS and Drainage, VCs, all infrastructure.

> Landscape and

Urban Design Principles to Guide Future Development

The proposed principles reinforce the need for this review to be conceived as “inclusive neighbourhoods”, where daily activities can be fulfilled and therefore accommodate a range of uses for everyone to access. The pilot review of the demonstrator urban block above will contribute to fulfilling the vision of a well-planned urban area and set an example for the urban growth in Mandera. The UEP has accounted for both the local plan directions and stakeholders’ aspirations, as well as integration with innovative urbanism concepts and best practices, namely the “15-minute neighbourhood” and principles in a way that high aspirations find an immediate application on the ground and benefit people’s day-to-day lives. The following design principles guide the development of infrastructure proposals and the “15-minute neighbourhood” concept is naturally weaved across projects; these are detailed further in Appendix G: Compact urban form and mixed use Climate resilience and passive design design biodiversity transport sustainable materials diverse and healthy communities

> Flexible

> Clean energy > Zero-waste > Sustainable

MANDERA URBAN ECONOMIC PLAN (UEP )150

>

> Water management > Inclusive,

withbusinessesincubatorLinkedandandLightMunicipalresponsibilityMaintenanceimprovementBIDsMunicipality(Businessdistrict)ofGovernmenttouchmaintenanceanimation:NGOsCBOtotheBusinessandanyaffiliatedit

MANDERA URBAN ECONOMIC PLAN (UEP ) 151

Estimated cost (KES range)

› Opportunity to provide more efficient operations such as access and safety › Will add value to adjacent land

CLIMATE CHANGE INTERACTIONS AND APPROACH

Benefits and impacts Financing options and delivery mechanisms

Implementation agency and stakeholders

Table 5.11

Source: Atkins, 2021

› Opportunity to adopt the DistrictImprovementBusinessapproach

Challenges Data gaps Time frame, key dependencies

Sub-components

› MC or a mixed entity between Public and Private where Public body privateandrealinfrastructurefundsandestateisbuiltoperatedbyinvestors

Ongoing Local Plan projects need to be carefully considered May require a detailed review of the entire urban development plan funding Pre-feasibility study Flash flood risk assessment Site PublicSurveyConsultation Medium to long-term

The design of the block will incorporate SuDS features in order to reduce flood risk, however, in addition there is a need to make sure that conventional drainage can accommodate heavy rainfall events. The emphasis on trees and green space built into the fabric of the block will help to provide shaded areas and reduce urban heat stress. In this way the project will provide an example of how the urban environment can be designed to increase resilience to climate change.

Project 5 summary information

Source: Atkins, 2021 Table 5.12 Project 5 Basic analysis and timeline

› Delivery via MC in coordination with MM, local landowners, and stakeholdercommunitygroups

Feasibility study to be undertaken to assess the scope of improvement Concept masterplan to be developed for the pilot area Paved (Footpaths/PermeableSurface Paving) Pergola Walkway BuiltParkingup Space Green Area KES 6 bn › Opportunity futureaccommodatetogrowth

For the new public spaces, inclusive design standards should be adopted that allow easy access and use for everyone:

> Footways should consider materials that are firm and non-slippery, particularly during wet weather.

The project also incorporates soft landscaping that, while functional, provides a sense of relaxation.

RESOURCES AND BENEFICIARY CONSIDERATIONS

> Install appropriate lighting for people with visual impairments to create a safer environment for all;

Developed on inclusive design principles to allow everyone access, run on fair distribution of job opportunities during construction and operation, and supported by robust security measures, this project will certainly achieve peaceful outcomes for the Municipality.

Leave space alongside benches for wheelchair users to seat next to their companions;

It also considered best practice for lighting, seating, ramps and planting, and an accessible water feature.

> Consider PWD-friendly parking spaces with adequate space alongside them; and > Liaise with local cooperatives, local SMEs, or with the National Hygiene Program (NHP) Kazi Mtaani for the maintenance of the new public spaces. This implementation schedule of these projects should be communicated to local residents and adjacent businesses to mitigate the disruption of traffic, everyday life, and economic activities. This communication should be timely, and in formats and languages that are accessible for all.

The mixed-use block and boulevard are connectors because they are important shared spaces in the Municipality that will bring different groups and communities together.

Avoid reflective material that could cause confusing glare;

This project has been designed by Gustafson Porter + Bowman as part of the Woolwich Masterplan (Royal Borough of Greenwich). The project’s vision was to create an accessible public space for all that, at the same time, it is particular to the historic background of Woolwich. The squares were designed to enhance the experience of local communities and respond to their needs. To ensure the accessibility and usability of the square, the design incorporated terracing with level routes.

> Avoid graded routes and when changes in level are unavoidable, include ramps.

Source: Gustafson Porter + Bowman, Woolwich Squares98 & Designing Buildings Wiki, New Woolwich Squares (2020)99

From the design phase, the project team had regular meetings and consultation with key users e.g. PWD organisations, and youth groups, to inform decision-making processes and to accommodate different needs. During the construction, these groups were invited to test the usability of the space.

SOCIAL INCLUSION INTERACTIONS AND APPROACH

> Implement signage that is appropriate to people with hearing and visual impairments or learning disabilities. It is recommended to utilise easy-to-read text or simple symbols.

MANDERA URBAN ECONOMIC PLAN (UEP )152

Inclusive public spaces are fundamental for communities’ social cohesion, recreation, civic participation, and sense of belonging. The boulevard and green links (Project 6) will incentivise walking and cycling, which contributes to improving sustainable mobility and the overall health and wellbeing of the local community. There are opportunities of increased access to shared mobility services, such as bicycle sharing, which represent affordable mobility options.

For Mandera, it is recommended that local communities and SIGs are consulted about their preferences and needs throughout this project cycle. This will contribute to an increased sense of belonging and social cohesion, and to make these spaces accessible to all.

> Include tactile pavings at crosswalks;

> Install benches in every circulation route for people with mobility impairments to rest. Consider benches that are appropriate for the elderly and people with reduced mobility.

Case Study: Inclusive Squares: Woolwich Squares, London

98. Gustafson Porter, Bowman, Woolwich Squares. Available at: http://www.gp-b. com/woolwich-squares/ (Accessed: 19/06/2021) 99. Designing Buildings Wiki, New Woolwich Squares (2020) Available at: (Accessed:www.designingbuildings.co.uk/wiki/New_Woolwich_Squares#Inclusive_Designhttps://18/06/2021)

5.1.2

The designated site covers a large area and has the potential to develop over a series of phases and adjust according to market demand. Other elements such as some existing structures on site will require further assessment and consultation. With respect to climate risks, although the general environment is dry the adjacent river is prone to flash floods which need to be considered.

Project 6 - TOD and Business Incubator A multi-modal hub at a well-planned location can potentially kick start the relocation and provide a great opportunity to move one step closer to achieving the aims set out in their urban development plan. A site has been identified for a bus terminus with their plan. The allocated site is used as a location for this project with some addition of land along the seasonal river that runs along the south of the site. The proposed plot covers an area of 1.2km x 0.6km (approx. 80ha). The designated new transport hub is located on a strategic development corridor along the Isiolo-Mandera Road (A13). It sits across the road from the new CBD and is adjacent to the site allocated to the livestock market. The development of this project on this site can also lead to the creation of a more efficient articulation of the uses across the new urban node. It will facilitate the relocation of the CBD by moving the transport functions adjacent to the Isiolo-Mandera Road which can also help improve and simplify buses operations. Its proximity to the seasonal river integrates the proposed green links and natural amenities within the urban node.

The hub faces the main highway and facilitates the public transport operations that demonstrates a streamlined arrangement. Retail and transport pods face an inner linear public space, a pedestrian corridor, allowing for pedestrians to freely move southward toward the market and east/west along the green link. Adjacent to the linear plaza, arranged across multiple pavilions, the “knowledge quarter” is articulated in thematic clusters: “Start-up incubation”, “training and education” and “Business”. Public realm enveloping these clusters is conducive of exchange, interaction, collaboration and innovation.

This project aims to provide the best-in-class training and business support available in the county. The multimodal hub will be accessible via public transport, along the east/west and north/south green links (pedestrian priority) and will revolve around four functions, namely: multimodal transport station; Start Up incubator; business spaces and training zone.

This proposal aims to create a self-sufficient, community focused business district with the best amenities available to the community at walkable distances. A highly accessible “community uplifting” district that will facilitate community access to training, business start-up development, vocational as well as education and will enable bringing them together.

MANDERA URBAN ECONOMIC PLAN (UEP ) 153

The district ultimately benefits from a more natural open space. The riparian park faces the river to the south of the site is the ideal escape into nature on the neighbourhood doorstep and acts as a buffer for future flood events.

MANDERA URBAN ECONOMIC PLAN (UEP )The154 details for the bus terminus can be found in the proforma in Section 5.4.5 and the details of the business incubator hub can be found in section 4.3.8 Group 8 VC. Figure 5.12 TOD and Business Incubator Source: Atkins, 2021

MANDERA URBAN ECONOMIC PLAN (UEP ) 155 Figure 5.13 Arial view image of TOD and Business Incubator plans Source: Atkins, 2021

MANDERA URBAN ECONOMIC PLAN (UEP )156 Figure 5.14 Arial view image of TOD and Business Incubator plans Source: Atkins, 2021

MANDERA URBAN ECONOMIC PLAN (UEP ) 157 Figure 5.15 Arial view image of TOD and Business Incubator plans Source: Atkins, 2021

MANDERA URBAN ECONOMIC PLAN (UEP )158 Figure 5.16 Arial view image of TOD and Business Incubator plans Source: Atkins, 2021

MANDERA URBAN ECONOMIC PLAN (UEP ) 159 Figure 5.17 Street view section images of TOD and Business Incubator plans Source: Atkins, 2021

MANDERA URBAN ECONOMIC PLAN (UEP )Example160 of modular, sustainable and reusable architecture Source: Architectus, 2018

MANDERA URBAN ECONOMIC PLAN (UEP ) 161 Examples of material and finishes for the Business incubator and TOD Source: Francis Kéré, 2015

Reallocating some of land use for use as multi-modal hub Design business incubator Integration of bus terminus into wider design strategy for this plot. Paved (Footpaths/PermeableSurface Paving) Pergola Walkway TOD Phase 1 Built GFA (3 floors) TOD Phase 1 Bus Boarding Walkway TOD Phase 2 Built GFA (3 floors) TOD Phase 2 Bus Boarding Walkway TOD Phase 3 Built GFA (3 floors) Phase 3 Bus Boarding Walkway Road Area (Calculation based on all 3 phases complete) Areas Incubator Cluster GFA (3 floors) Cluster GFA (3 floors) Cluster GFA (3 floors) Total cost = KES 11.6bn multi-modalWell-plannedhub will act as a catalyst for the CBD relocation drainageImprovedfrom the SuDS elements Improved land value adjacent to the park Higher revenue from increased footfall Space for seasonal activities such as pop-up markets Enhances quality of life and communitieshealthier Typically, public funded projects Potentially: in partnership with local business Private sector funding for Improvement(e.g.:developmentBusinessDistricts) project will carried out phases

MANDERA URBAN ECONOMIC PLAN (UEP )162 LINKAGES > SUED Transport, SUDS and Drainage, VCs, all infrastructure Table 5.13 Project 6 Summary Information

› Training

› The

in 3

Source: Atkins, 2021 Table 5.14 Project 6 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies

Benefits and impacts Financing options and delivery mechanisms agency and stakeholders

Existing structure on site may require further Fundingconsultation. Pre-feasibility study Site AppropriateSurvey Market Study Short to medium-term

> A flood risk assessment to ensure that the site, which is adjacent to the river, is designed so as to minimise river flood risk > Onsite drainage to accommodate heavy rainfall, and/or building design that reduces the impact of any surface water flooding. > Design of buildings and site to maximise cooling potential, drawing on principles for passive design, traditional architectural practices, and the use of green space where possible.

Implementation

› Park

› Business

Sub-components

› TOD

Source: Atkins, 2021

For the infrastructure itself, there are several issues that need to be considered, in particular:

(KEScostEstimatedrange)

CLIMATE CHANGE INTERACTIONS AND APPROACH

› TOD

› Parking

The hub provides an opportunity to support and nurture business and start-ups that can provide products and services that help to increase the resilience to the wider economy in Mandera, as well as a central location to deliver the training programmes needed to build the capacity of private sector businesses to adapt to climate change.

be

andLightwasteEmployofMaintenanceimprovementBIDsMunicipality(Businessdistrict)responsibilityMunicipalGovernment:localSMEsforservicestouchmaintenanceanimation:NGOsandCBO

RESOURCES AND BENEFICIARY CONSIDERATIONS

SOCIAL INCLUSION INTERACTIONS AND APPROACH

> Develop a timely, well-informed, participatory strategy for the implementation of the pop-up market and to assign stalls. Ensure SIGs and SIGs-owned businesses are not discriminated against the allocation of stalls.

The hub provides an opportunity to support and nurture business and start-ups. This will potentially encourage interaction of different people from diverse groups and clans thus increased tolerance for each other and peace. Works contracts, training and employment opportunities created by the project in incubator design, and infrastructural development among others should be shared fairly as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme.

MANDERA URBAN ECONOMIC PLAN (UEP ) 163

There are existing structures on the proposed project site which will require further assessment. Thorough community consultation will be required pre-project implementation. Project sites that cause displacement impacts are to be avoided, and where unavoidable transparent communication with project affected persons done, and alternative land or compensation provided as agreed with them.

This project will contribute to better connect local communities to training and business support via public transport and pedestrian links. This will facilitate business start-up development, and access to education and TVET centres. These urban interventions will be particularly beneficial for local students and youths who would like to start businesses. > Actively communicate all business development and training opportunities at the County level. Ensure communication formats and languages are accessible to all. > To make these opportunities inclusive, recommendations in Section 4.2 should be considered. This project will also increase pedestrian movement, which will benefit adjacent businesses. In addition, new spaces for pop-up markets represent an affordable way for vendors to get exposure and enhance livelihoods.

The Government of Kenya has received funding from the African Development Bank (AfDB) under the Kenya Towns Sustainable Water Supply and Sanitation Programme and intends to use part of this funding to finance the Construction of Mandera Town Water Supply and Sanitation Project100. The Project scope involves the construction of intake works along the Daua River, 5 wells, water treatment works, 9 storage tanks and 316km of treated water transmission and distribution mains. The Project aims to benefit 400,000 people101. The water supply components described above are designed to the ultimate year 2040; however, the water treatment works will be constructed in 2020 to meet demand in 2030 while space and facilities are made available to enable planned expansion by the year 2030 to meet demand in 2040. It is proposed that the water company considers subsidising last-mile connections or developing a loan system to support low-income households to connect to the piped water supply system. This will ensure that low-income households benefit from the AfDB Project described above. Low-income areas include Busle, Quracley, Border Point 1, Handadu, Bula Garay and Kamor102. Most of the houses in these areas are traditional Somali huts made up of strong bendable branches covered with leaves or tents103.

There are currently 14 water kiosks in Mandera Town, but only 2 are functioning (in Busle and Handadu)105. 10 new kiosks are planned under the AfDB Project described above106. Careful consideration should be given to the location of new water kiosks; one of the reasons the majority of water kiosks are not functioning is because they are located in areas which in recent years have become gentrified, meaning residents can now afford water supplied by private water bowsers or have connected to the piped water supply system107. Another reason is low revenue collections, especially during the dry season (Jan-Mar), when the river dries up and the volume of water available for public water supply significantly diminishes108

100. Northern Water Services Board & Tana Water Services Board. 2017. Supervision of Mandera Ware Supply and Sewerage Project – Draft Design Review Report. 101. https://tanawwda.go.ke/project/mandera-water-supply-project-mandera-county/ 102. Information sourced through stakeholder engagement. 103. Information sourced through stakeholder engagement. 104. Information sourced through stakeholder engagement. 105. Information sourced through stakeholder engagement. 106. Information sourced through stakeholder engagement. 107. Information sourced through stakeholder engagement. 108. Information sourced through stakeholder engagement. In some areas the cost to connect even when subsidised may be unaffordable to some residents. It is understood that the connection fee is currently KES 6,000 and the average cost of a connection (materials and labour) is about KES 30,000 to 40,000104. It is therefore recommended that the water company also include water kiosks. In this type of kiosk system, the water company supplies bulk water (at a reduced cost) to the kiosk owner, who then sells it on at an agreed affordable rate to consumers in the area. This creates employment for the kiosk operator and provides a clean water supply close to people’s homes. However, this type of system may cause challenges for PWDs who are unable to carry water from the kiosk to their homes and therefore the water company should consider alternative initiatives such as greatly subsiding home connections for PWD.

MANDERA URBAN ECONOMIC PLAN (UEP )164

5.1.3

Project 7 Water - Water supply for low-income households OVERVIEW

The project proposes subsidizing of last-mile connections or developing a loan system to support low-income households; and greatly subsiding home connections for PWDs.

Source: Atkins, 2021 CLIMATE CHANGE INTERACTIONS AND APPROACH

RESOURCES AND BENEFICIARY CONSIDERATIONS

Rolling loan fund to support the connection of 1,000 low-income households 11KESmillion 5 kiosks 5KESmillion

Implementation agency and stakeholders

> It is recommended to integrate water vendors in the project, since they might lose their livelihoods with the expansion in the public water supply; and

Sub-components (KEScostEstimatedrange)

> Links to the AfDB-funded Construction of Mandera Town Water Supply and Sanitation Project.

Project 7 Summary Information

It is assumed that the AfDB-funded project has conducted appropriate due diligence to ensure that it can maintain an adequate water supply during drought events, and that any river intakes are designed to be resilient to flooding. The last-mile connections planned under this investment would need to be designed, and routes planned, to ensure that they are resilient to flooding. The project has clear climate resilience benefits for poorer and marginalised groups, providing care is taken to include the social inclusion considerations below.

SOCIAL INCLUSION INTERACTIONS AND APPROACH

Table 5.15

> Ensure there are strategies (subsidies or loans) to support low-income populations. Specifically consider greatly subsidising PWDs, and other vulnerable groups with the connection to the piped water system.

Access to water is critical for socio-economic development and the improvement of public health. The provision of better-quality water should reduce the occurrence of water-borne diseases, which largely impact children under 5 years old, alongside people who are frail, elderly and the urban poor, who often struggle to afford healthcare, and therefore suffer Collectiondisproportionately.ofwaterisoften a women’s duty. By providing better access closer to homes through affordable connections or kiosks, women free-up time for other activities such as income generation or caring for families. Closer services will also benefit PWD. If kiosks are implemented, there are new employment opportunities for kiosk operators. This also offers a clean water supply close to people’s homes, particularly when last-mile connections are difficult or extremely costly.

Household connections for 1,000 households 19KESmillion Improve public and environmental health and ensure low-incomethatareas have access to water › IFI or Water Sector Trust fund Water company Small theopportunitybusinesstorunkiosks

Source: Atkins, 2021 Table 5.16 Project 7 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies Availability of public land for water kiosks A status update on the AfDB-funded project Medium-term; this project cannot be implemented until the completion of the AfDB project which will ensure there is enough water resource to expand distribution

MANDERA URBAN ECONOMIC PLAN (UEP ) 165 LINKAGES

Ensuring all including the urban poor can access water is a connector-action to peace as it reduces competition over the resource.

Benefits and impacts Financing options and delivery mechanisms

110. UNICEF, WaterAid and WSUP. 2018. Female-friendly public and community toilets: a guide for planners and decision makers. WaterAid: London, UK. Available at: https://www.wateraid.org/us/sites/g/files/jkxoof291/files/Female_friendly_toilet_guide.pdf

109. UNICEF, WaterAid and WSUP. 2018. Female-friendly public and community toilets: a guide for planners and decision makers. WaterAid: London, UK. Available at: https://www.wateraid.org/us/sites/g/files/jkxoof291/files/Female_friendly_toilet_guide.pdf

Source: jkxoof291/files/https://www.wateraid.org/us/sites/g/files/Female_friendly_toilet_guide.pdf

5.1.4 Project 8 Sanitation - Accessible public toilets in the new CBD OVERVIEW

Figure 5.18 Typical features of an accessible toilet block.

Source: http://nazirnazi2016.centerblog.net/ 312-creation-de-lanouvelle-societe-de-l-eau-sonede

The development of Mandera’s new CBD is an opportunity to ensure that accessible public toilets are constructed in the new bus station and proposed market to meet the sanitation needs of people travelling into the area for business and leisure activities. The toilets must be safe and private, be accessible to all users, be affordable and available when needed, be well-maintained and managed, and meet the requirements of caregivers and parents.

There is an opportunity for the toilets to be run by a small business whereby an operator is appointed and collects an affordable fee per use, and pays for running costs such as the water, the sewerage fees and maintenance. This means the toilets have funds to continue functioning and providing a service to the community. The County may want to further subsidise particularly vulnerable or low-income people or give them a free pass.

There are plans to build a sewerage system in the centre of Mandera but in the short-term the toilets should be connected to a septic tank with a view to connection to the sewer system once this is built. Given the shortage of water, they should seek to put in water efficiency measures such as water -saving flushes and recycling handwashing water to flush toilets.

MANDERA URBAN ECONOMIC PLAN (UEP )166

Case Study: Loan scheme for water connection In Tunisia, the water company, Société Nationale d’Exploitation et de Distribution des Eaux (SONEDE), has managed to expand by around 70,000 connections a year through the use of a connection loan scheme. Customers can pay the cost of the connection on a quarterly basis over 5 years. New customers, who opted for a credit connection, receive a bill each quarter that includes the tariff for consumption during the previous quarter, and a loan repayment instalment.

Public toilets in the County typically do not meet the requirements of women and girls, nor people living with disability (PWD)109. Failing to plan, design or manage public toilets to ensure they are female-friendly and accessible to all users restricts the movement of women and girls, as well as older people and PWD, and limits their ability to participate in public life110.

Information on the current provision of public toilets within the new CBD Medium-term; the primary projects to enable the development of the new CBD must be completed before the public toilet blocks can be constructed

INTERACTIONS AND APPROACH

2 public toilet blocks KES 17 million Enables women and girls, as well as older people and PLWD to participate in public life Makes Mandera a more attractive to businesses

Table 5.17 Project 8 Summary Information

> Supporting the Sector Action plans aim to make Mandera a more attractive place to visit and do business;

> Linked with solar streetlighting proforma.

111. UNICEF, WaterAid and WSUP. 2018. Female-friendly public and community toilets: a guide for planners and decision makers. WaterAid: London, UK. Available at:

Source: Atkins, 2021 Table 5.18 Project 8 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies

Ideally, the planning of these facilities should link with the rehabilitation of key roads in order to ensure that access for exhauster trucks is maintained even during periods of heavy rainfall.

> Ensure toilet facilities have a baby-changing station, and that PWDs toilets have enough space for them and their caregivers. Facilities should be well-illuminated, which could contribute to reducing crime and the risk of crime in the surrounding area;

> Develop a participatory process to establish opening times, user fees and special needs from SIGs111. If there is a maintenance fee to access toilets, ensure this is affordable to low-income populations. The toilet use fee should be waived for people who say they cannot pay (see Case Study); and > Ensure toilet facilities are well-managed and maintained. If there is not an SME operating the facilities, liaise with local NGOs or programmes such as Kazi Mtaani for toilets’ maintenance.

Failing to plan, design or manage public toilets to ensure they are female-friendly and accessible to all users restricts the movement of women and girls, elderly people, and PWD, and limits their ability to participate in public life.

> This is tied to the business incubator VC which is proposed in the New CBD;

RESOURCES AND BENEFICIARY CONSIDERATIONS

Construction works contracts and maintenance job opportunities created by the project should be shared fairly, as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme.

On site sanitation uses less water than conventional sewerage systems and is therefore more resilient to water shortages that may become more common due to climate change. The design of public toilets and ablution blocks should take into account areas prone to surface flooding, and likely increases in the frequency and magnitude of heavy rainfall events.

SOCIAL INCLUSION INTERACTIONS AND APPROACH

Well-designed, affordable, and accessible public toilets will improve access to the public space to all, particularly for women, elderly people, and PWDs. This project also represents employment opportunities for small businesses as toilet facilities’ operators, and for local NGOs or community groups for the toilets’ maintenance.

Sub-components

> Other SUED infrastructure/ urban projects: None; and

Source: Atkins, 2021 CLIMATE CHANGE

Estimated cost (KES range) Benefits and impacts Financing options and delivery mechanisms Implementation agency and stakeholders

MANDERA URBAN ECONOMIC PLAN (UEP ) 167 LINKAGES

› The water company through the Water Sector Trust Fund Women and girls, elderly people, PLWD, the water company

Establishing ownership and maintenance of the public toilet blocks

> It will also support Mandera’s role as a hub of activity;

For a new bus station to be transformative, the station must deliver both function and experience. This means the station must have the capacity to manage expected interchanges and throughputs with minimal congestion and delay. At the same time, it should feature attributes that drive value for users through the integration of opportunities for retail, leisure and commercial enterprises.

The design should actively shape the surrounding environment, transforming it into a high quality and pleasant public space. These interventions would contribute to greater coverage, more direct and shorter journeys and a more efficient public transport system.

The city municipalities decided to start reversing this problem by increasing the number and quality of public toilets to meet the requirements of all, especially women, girls and people with disabilities. They committed to build 100 new public toilets in partnership with WaterAid and other NGOs. As part of the Sunrise project, WaterAid has helped build dozens of female-friendly and accessible public toilets. They have separate male and female sections and features, including handwashing facilities, showers, safe drinking water, reliable water and electricity supplies, CCTV cameras and professional male and female caretakers. Users pay 5 taka (US$ 0.06) for defecation and urination, 10 taka for a shower and 10 taka to buy a sanitary pad.

168 Case Study A 2011 study of public toilets in Dhaka, Bangladesh, showed that the city had only 47 public toilet blocks serving around 7 million people. 75% of the blocks did not have female-friendly and child-friendly features, and more than 30% were in very unsafe locations. Furthermore, almost 60% of the blocks did not have a reliable water supply, and more than 80% had no lighting, making them impractical, undesirable and unsafe for women and girls.

5.1.5 Project 9 Transport - Bus station and supporting facilities OVERVIEW With the development of a new CBD, there is an opportunity to ensure its development is hinged on a high-quality and accessible public transport facility to support equitable access. The new CBD region is planned to support a range of land uses, a well-designed bus park can support economic vitalisation and growth.

It is proposed that the bus station is located on the south-west side of the new CBD town at the intersection of Isiolo Mandera road and Neboi link road, to accommodate the new CBDs’ future growth. The new location will enable planning for more efficient operations such as dedicated pedestrian footpaths and crossings, a feeder service for minibuses to link the bus terminal with rest of the urban areas and routes for larger buses which can avoid travelling through the town centre.

MANDERA URBAN ECONOMIC PLAN (UEP )

The space available also presents opportunities to add amenities to service the nearby livestock market. As the public transport network develops, it will be more viable to connect other similar nodes and growing urban centres such as Rhamu and El Wak.

The toilet use fee is waived for people who say that they cannot jkxoof291Source:pay.https://www.wateraid.org/us/sites/g/files//files/Female_friendly_toilet_guide.pdf

Table 5.19

› KUSP › County government › Development partners

Source: Atkins, 2021

The bus park design and development must involve everyone with a stake in its success: municipal government as main asset owner, tenants, local authorities, local landowners and developers, and the community that will use it

The design of the bus station needs to include good drainage which has been designed to manage increases in heavy rainfall events, or to minimise their effects, and this should also extend to immediate access roads for the bus station.

Project 9 summary information

Sub-components Estimated cost (KES range) Benefits and impacts Financing options and delivery mechanisms Implementation agency and stakeholders Development of masterplan for new bus station outlining auxiliaryBusforgrowthresilienceoperations,proposedtoandspacebusinessesparkandfacilities

Additionally, given extremes of temperature there is a need to include shading where possible in order to reduce heat stress on passengers waiting, or staff working at the bus station.

It is likely that this initiative will require both public and private interventions Process to be led by the Municipality with coordination through local business groups, property owners and vendors

> Communicate to local residents about the implementation schedule of the project to mitigate the disruption of traffic and economic activities. Involve and consult communities about the different phases of the project. All communication should be timely, and in a format and language that is accessible for all; and

Table 5.20 Project 9 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies

› Relocation of bus station will need further consultation

› Funding Pre-feasibility study Site survey required Public consultation This would need to be developed in the medium term and implemented together with the proposed new CBD development

CLIMATE CHANGE INTERACTIONS AND APPROACH

> It is recommended that the bus park improvements follow principles of inclusive design to ensure easy access and use for everyone (e.g. consider parking lots for PWDs and adequate space alongside them; provide public PWDs-friendly toilet facilities; install ramps, seating and shelter; tickets in Braille; install lower ticket windows; develop adequate signage; etc).

> This proposal complements FA 2 by incorporating infrastructure interventions that maintain equitable access to the development; and > With planning can support the equitable worker access to the new potential employment sites in the new CBD and Neboi.

› Installation likely to interrupt traffic flows

MANDERA URBAN ECONOMIC PLAN (UEP ) 169 LINKAGES

Masterplan –KES 10-20 million Bus developmentpark –KES 200 million Supports resident access and town’s sustainable growth Creates a Centrepoint for the town with year-round activities encouraging more visitors Opportunity to define and enhance public transport system and routes and pedestrian access Has the potential to regenerate the surrounding area and increase value of the local economy

Good quality, accessible public transport facilities support access to jobs, education, and health for all residents irrespective of gender, age, or (dis)ability. In particular, it improves transport links and accessibility to important urban spaces. The project will also support job creation with the enhanced space for retail at the bus park, and with an increased capacity for matatus and new routes.

› Will cause disruption to public transit

Source: Atkins, 2021

SOCIAL INCLUSION INTERACTIONS AND APPROACH

RESOURCES AND BENEFICIARY CONSIDERATIONS

Public transport has been a target of attacks in the past. Security mitigation measures will need to be considered, such as employing a full-time bus stage manager to coordinate operations and monitor the security situation, or utilising a reporting and response app like “Ushahidi.” The platform crowdsources and analyses incident information to give insights on trends that enable governments to respond more effectively.

To maximize peace outcomes in the project, the Developer should ensure that: > Works contracts and job opportunities such as managerial, security, hygiene posts created by the project are shared fairly, as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme; > They work closely with the government and security agencies to plan for effective security measures. Public transport has been a target of attacks in the past, and is still highly vulnerable to terrorist attacks; and

> The project proposes a bus station relocation, this is likely to result in temporary economic displacement rattling the affected businesspersons. To avoid conflict, thorough community consultation is recommended before project implementation to ensure affected persons are aware and that likely adverse impacts are mitigated.

Case Study: Relocation of Ubungo Bus terminal (UBT) to Mbezi Luis area in Dar es Salaam, Tanzania

In 2020 the Tanzania’s city centre Ubongo Bus Terminal moved its inter-city bus services to the newly-constructed modern bus terminal at Mbezi, now Mafuguli Bus Terminal. The preparation of the Magufuli Bus Terminal project took a long time due to various government procedures including land acquisition and compensation. The Magufuli Bus Terminal now accommodates all the inter-city buses that were previously at UBT and serves over 3,000 buses daily. The cost of the project was reported at US $22 million (Source: Construction Review Online) Source: Construction Review Online

170 MANDERA URBAN ECONOMIC PLAN (UEP )

MANDERA URBAN ECONOMIC PLAN (UEP ) 171 5.2

Project 10 - Natural Floodwater Management to Alleviate Flooding in Settlements and Farms Along the Riverbanks

To prevent the losses associated with flooding and drought as well as allowing for irrigation all year round, a holistic catchment management solution using nature-based solutions114 should be employed. These can be by utilising upstream management techniques to create flood storage areas: > Creating bunds across runoff pathways to intercept water runoff, redirected and slow it down; > Creating buffer strips adjacent to watercourses to slow overland runoff and improve soil infiltration; and

5.2.1

The previous sections have considered and proposed climate-resilient infrastructure projects which either directly support the proposed value chain opportunities, or further enable the town to respond to immediate needs with regards to improvements in traffic and pedestrian circulation, public realm, solid waste management and extensions to the sewerage and sanitation network. This section outlines other proposed infrastructure projects which will assist with issues which are located in the wider municipality and will promote climate-resilient approaches to the introduction of power, irrigation, water and the development of a recycling and waste treatment stream to service the town and its wider communities. Most of these wider area proposals are aimed at providing enabling infrastructure across water/sanitation, waste, energy and transport to support urban growth in Mandera. However, some of the proformas proposed here will also have elements that will be integral to the development of Mandera’s two key focus areas. For example, the solar PV power generation VC will be instrumental to the provision of energy to the Neboi industrial site. Where this is the case, details have been provided in the description of these proformas.

Beyond the Focus Areas: Enabling Infrastructure CIDP 2018-2022 113. CIDP 2018-2022 114. Flood Management Measures – a practical guide for farmers, 2017

Flooding and drought are key challenges for Mandera, and this is likely to be exacerbated with climate change, deforestation, and the associated environmental degradation.112 Rainfall is low and unpredictable, averaging 191.7mm annually.113 It is reported that flooding is associated with the river tributary running through Mandera Town into the River Daua. Heavy rainfall events cause flash floods from the Daua River and damage crops and livestock. There are also smaller streams known as Lagahs that are susceptible to floods. Figure 5.19 Flood Storage Options

> Constructing online or offline storage areas to store water during flood events. These are beneficial during times of droughts, see Figure 5.19.

OVERVIEW

112.

Source: https://www.newground.co.uk

> Providing sustainable solutions to slow and retain flood water from the river to be used for irrigation and support food and animal fodder production during the dry season. The reservoirs should be sized to support these activities during the time when the river is dry which is around 3 months a year. In the initial assessment the size of the storage has been calculated for irrigation 115 and cattle water requirements for the medium-term VC plans (6,000m³ plus 50% redundancy equalling 9,000m³) with a view to expanding to meet the requirements of the long-term investments (12,000m³ plus 50% redundancy equalling 18,000m³).

115. Tomato | Land & Water | Food and Agriculture Organization of the United Nations | Land & Water | Food and Agriculture Organization of the United Nations (fao.org)

Restricting development within flood prone areas river crossing international borders. Work to address flows in the river tributaries flowing through Mandera Town and causing flooding are hampered as they flow from Somalia Flood Risk Assessment will be required for ponds on the flood plain

Source: Atkins, 2021 Table 5.22

> Alleviating the flood and drought associated problems;

› IFI or Water Sector Trust fund Water company Local Council Land Authorities and Landowners

Topographic information to locate suitable areas for floodwater storage utilising natural low spots Medium to long-term

The reservoirs are assumed to be small earth dams. A study is needed to establish the most efficient number and location of dams based on the topography of the area and the location of farms;

The local council and relevant land authorities should be consulted on the suitability of the pond location as part of the outlined and detailed design

Table 5.21 Project 10 Summary Information

Source: Atkins, 2021 CLIMATE CHANGE INTERACTIONS AND APPROACH

Project 10 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies

Benefits172 of using an array of nature-based solutions:

Natural flood management solutions are a sustainable way to manage flood and drought risk caused by climate change. Not only do they intercept and direct the flow to locations where it can be stored and used during droughts, but they can also improve river capacity to convey additional flows by trapping and removing silt upstream, that otherwise ends up in the watercourse. Given likely increases in flood frequency and magnitude there are clear climate resilience benefits from the project.

MANDERA URBAN ECONOMIC PLAN (UEP )

Sub-components Estimated cost (KES range) Benefits and impacts Financing options and delivery mechanisms

> Reduce sediments reaching the watercourse by trapping and removing them upstream. This in turn will increase capacity in the river channel to reduce flooding during heavy rainfall; and > Produce clean energy by utilising the surface area of the pond/offline storage area to float solar panels which will also reduce the evapotranspiration by providing a cover to the water body – refer to Section 5.5.5. LINKAGES > Links to the sustainable energy solutions as the reservoirs are potential locations to install solar panels; and > The initiative will provide water for irrigation and cattle that form the supply chain for the VC opportunities.

90 million More resilient farming and livestock herding Protects existing and new infrastructure from flood damage Reduces losses and rising costs to farmers, when transporting goods to markets in rainy seasons.

Implementation agency and stakeholders Provide small earth dam /bunded reservoir with a ofstoragemedium-termcapacity9,000m³

A permanent water storage area has been created with extra capacity to store flood water and outflow pipes to store more water during large storms. It is fed by high level overflow from an agricultural ditch. The base flow of this ditch has been maintained and only flows above 15cm are directed to the pond.

RESOURCES AND BENEFICIARY CONSIDERATIONS

Stakeholder consultations established that flooding indirectly contributes to conflict in the trade sector. In flood events, it was reported that the cost of goods’ transportation goes high resulting in hiked costs of commodities which is often a cause of disagreements between importers and traders. Improved flood management will potentially put an end to these types of conflict in the business sector as with no floods, prices of commodities will likely remain stable.

MANDERA URBAN ECONOMIC PLAN (UEP ) 173

SOCIAL INCLUSION INTERACTIONS AND APPROACH

This project aims to work with landowner to deliver solutions to slow the flow of water and provide water storage.

Source: West Cumbria Rivers Trust accessed: https://thefloodhub.co.uk/wp-content/ uploads/ 2020/08/ West-Cumbria- Rivers- Trust-Water- storage- Area-Case- Study.pdf The pond has been constructed on a 3.7 hectares of wet and species poor grass land that provided a low-quality grazing land. The permanent water body has been created by digging into the field and an 8-12m wide x 1m high bund was used to provided additional 3,500-4,000m³ of additional flood water storage.

Construction of online or offline storage areas to store water during flood events, will increase the amount of water available for use during droughts. This will reduce competition for the scarce resource, and the associated resource-based conflict. The proposed reservoirs (assumed to be small earth dams) will require land. Thorough community consultation will need to be conducted, pre-project implementation. Project sites that cause displacement impacts a potential cause of conflict, and are to be avoided - where unavoidable, transparent communication with project-affected persons will be required, and alternative land or compensation provided as agreed with Worksthem.contracts and job opportunities such as in detailed design, flood risk assessment, reservoirs installation etc. created by the project, should be shared fairly, as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme.

Case Study: Natural flood management: West Cumbria Rivers Trust Water Storage Area

Focus group discussion have shown that flooding and droughts severely affect agro-pastoralist communities in Mandera. The impacts of climate change affect SIGs disproportionally, exacerbating their existent vulnerabilities. This project will reduce the negative impacts of these weather events on these groups and local communities and will consequently contribute to reduce conflicts.

OVERVIEW

The improved system will be integral to the development of the Neboi Industrial Site. The system would need to be planned in a way that allows it to expand capacity capabilities in parallel to development and expansion of the Neboi Industrial Site. Specialised containers and vehicles will also be required to collect and transport particular types of industrial waste, (e.g. hazardous waste), which will require transportation to other areas of the country for management and/or safe disposal. The industrial area is also likely to need a further transfer station of its own in the medium-term.

> The waste collection system relies on a good transportation network therefore there are links between this project and transportation Infrastructure Proposals.

Waste transfer stations are light industrial facilities where municipal solid waste is temporarily staged in the course of its eventual journey to the landfill or waste-to-energy facility. They will require staff and offices to manage collection operations and logistics, alongside public awareness and education campaigns to encourage recycling/reuse, and proper waste disposal.

Currently waste collection is inconsistent and unreliable, where the poor condition of roads often prevent refuse collection vehicles from accessing all of Mandera’s households and businesses. As a result, households and businesses have to use alternative methods of managing their solid waste such as burning, burying or dropping it of at collection points. The waste from open dumping often accumulates in storm water drains exacerbating flooding. This proforma looks to create a better system for the collection of waste across Mandera, discouraging informal dumping and open-burning, and its associated health and environmental impacts. An improved waste collection system would include procurement of new waste receptacles for households and businesses, which encourage source segregation (organic, recyclables, residual). Waste receptacles should be evenly distributed across the Municipality including the markets, bus parks, high-commercial activity areas, urban nodes, industrial areas and high-density residential areas. The project would also include the purchase of new waste collection vehicles. These can be a mix of larger vehicles, as well as a combination of bicycles with trailers, boda bodas with trailers, three-wheeled rickshaws. The waste receptacles and the waste collection vehicles will need to be compatible.

Project 11 Solid WasteFormalise collection of Municipal and County waste

MANDERA URBAN ECONOMIC PLAN (UEP )174 5.2.2

LINKAGES > The project would support the VCs’ and broad Municipal goals by reducing/eliminating open dumping and burning of waste as well as reducing the volume of waste going to the dumpsite due to the segregation of waste; > Supports SUED principles of sustainability and social inclusion; and

Implementation agency and stakeholders

› Obtaining funding for new collection infrastructure

Improved waste collection is needed as soon as possible but will take time to construct waste transfer stations, purchase equipment and establish collection routes and change public behavior on burning and dumping waste.

Project 11 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies

CLIMATE CHANGE INTERACTIONS AND APPROACH

> Engage with existent collection groups and waste pickers operating in the area and integrate them into the new system (providing secure income and reducing occupational risks). Involve and consult them throughout the project cycle;

> Engage local communities and NGOs and develop sensitisation campaigns to generate awareness about the importance of source segregation and appropriate waste disposal. Ensure women and men participate in these sessions.

› Support from NGOs, community groups, waste pickers › responsibilityMaintenance of Municipal Government › Employ local SMEs for waste services KES 375 million Construction of waste stationstransfer(6) KES 120 million Ongoing operations KES 10 million per annum Source: Atkins, 2021 Table 5.24

› Employment and training by Municipality or private entity/ CBOs › Funding for Personal Protective Equipment (PPE), collection carts, training and wages for the CBOs › Revenue from charging business and the industrial areas for collection

› Current capacity of system unable to serve future community needs and waste quantities.

andwastePurchasingequipmentmachinery

› Raising public awareness to segregate waste streams › Waste generation and compositional study to identify how many waste receptacles and collection vehicles would be required. Short-term, 0-3 years Short-term achievable but long-term operational capability

> Waste collectors should receive training in safe working methods, road safety, and receive the adequate PPE; and

Sub-components

Benefits and impacts Financing options and delivery mechanisms

Construction of waste transfer stations should occur first so that routes can be established around them Source: Atkins, 2021

SOCIAL INCLUSION INTERACTIONS AND APPROACH

bulkPurchasingcontainers

› No household separation of waste occurs at present

There are no direct climate risk considerations for the project. There is, however, a clear benefit that the reduction in wild dumping will reduce the amount of waste which is swept into drainage systems and rivers and streams, and which can cause blockages, and localised flooding. As such, a solid waste collection system should help to increase resilience to Asflooding.mentioned above, the collection system is dependent on a strong road network, and ideally the roads used should undergo upgrades in both road surface and drainage to ensure that they remain passable, and collection can continue, even during heavy rainfall events.

Improved waste management practices and the discouragement of informal dumping will bring significant benefits in public health. This project also has the potential to generate new job opportunities, particularly for SIGs. Many young men work in transportation (boda bodas, small trucks) and they could engage in waste collection. Youth, women and PWDs could be engaged in back-office activities to manage collection operation and logistics. Ensure these employment opportunities do not discriminate against PwHIV/AIDS.

KES 168 million › Reduced wild dumping of waste › Encourage source-segregation therefore reducing volume of waste to dumpsite › Improves flood and surface water management ability › Segregates higher quality materials which can be sold to recycling brokers › Introduction of Private Public Partnership (PPP) and/or private waste services into waste collection effort

Estimated cost (KES range)

Project 11 Summary Information

MANDERA URBAN ECONOMIC PLAN (UEP ) 175 Table 5.23

176 MANDERA URBAN ECONOMIC PLAN (UEP ) RESOURCES AND BENEFICIARY CONSIDERATIONS

> Works contracts and job opportunities created by the project are shared fairly, as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme;

> Host communities are consulted about the location of proposed waste transfer stations; and > Formalisation strategies plan to integrate current waste collectors into the formal system as their exclusion will cause economic displacement and is a potential source of conflict.

To prevent people losing their income from informal work, these should be the first people considered for formalised employment as part of either waste collection or waste sorting and management at the material recovery facilities and composting plants. Aspects of the waste collection and management of the wastes can be focused on youth groups with some back-office tasks and potentially some sorting being able to be accessed by PWDs and other SIGs in the Municipality. To achieve a peaceful project environment, it is recommended that:

As a result of the Integrated Waste Management System, a strategy was developed to identify, inform and consult stakeholders; clear objectives and measurable targets for education and knowledge-sharing were created; activities were undertaken to educate waste pickers; a new contract was developed to ensure that new landfill operators would formally integrate registered waste pickers; and CBOs were encouraged to form partnerships with the KCCA in order make the system more integrated.

Case Study: Developing an integrated Waste Management System, Kampala, Uganda In Kampala, Uganda, the development of an integrated waste system was prompted by the lack of formalisation in the waste sector. Much of the waste was disposed informally by dumping, burning or burying. Only 55% of the city’s solid waste was officially collected and transported to the city’s landfill by the Kampala Capital City Authority (KCCA). Several standalone Community Based Organisations (CBO) existed offering financial incentives to informal settlements for the collection of recyclable materials, however, the KCCA were not aware of many of these organisations. The KCCA developed a new Kampala City Integrated Waste Management System to improve the collection, transportation and treatment of the city’s waste and incorporate the informal sector (predominately the landfill pickers and CBOs) as part of an integrated approach across the waste management value chain.

At present, without a formalised collection system, waste can remain on the streets and in the environment for a prolonged amount of time, giving people the opportunity to sort through the waste and pick out potentially valuable metals and plastics or items that can be reused or sold. A formalised system would ideally mean waste is containerised (which in itself would make sorting more difficult) and collected regularly to be taken to waste transfer stations and onwards to the material recovery facilities, composting plants and/or the landfill.

Source: Waste Pickers Alliance, Uganda

The first part of this project covers the construction of municipal waste MRFs alongside the transfer stations, to enable the safe recycling in the informal sector. It aims to maximise the extraction of valuable and recyclable material such as plastics, glass and metal. Once segregated, these can be sent for processing or sold on to recycling facilities. Currently these are taken to recycling facilities in Ethiopia. The MRFs will be small/modular and simplistic in the short run, with basic sheltered sorting tables for the segregation of different recyclables. They can then be built up over time with sorting equipment, plastic shredders, aluminium can shredders, cardboard balers and sheltered areas for workers. These will be located around Mandera Municipality and the County, alongside transfer stations.

LINKAGES

Project 12 Solid Waste - Material recovery facilities (MRFs) and composting plants

> Supports all of the proposed VCs in particular those involving agri-processing where the organic wastes from the plants can be used as fertilisers;

> Can feed in as an input into the construction materials VC;

> The need for these facilities is set out in the ISWMS;

OVERVIEW

The second part of this project provides a solution to manage organic solid waste and reduce the volume of waste sent to the dumpsite. This in turn would reduce the impact on the environment through degradation of land and pollution. This project relies on organic waste being segregated at source and collected separately from other waste streams such as markets/agri-processing sites, other businesses, and Oncehouseholds.theorganic waste is collected it can be composted and used as a fertiliser. It is important to consider future space requirements for organic waste processing to support potential future growth in the VC and improvements to the waste collection system. As such, land purchased for the composting plants should be larger than what is initially required to accommodate future expansion in operations.

> The MRFs and composting plants rely on a good transportation network therefore there are links between this project and transportation Infrastructure Proposals.

5.2.3

A Key MRF will be located alongside a transfer station in Neboi and will require the above equipment from the outset. Additionally, a dedicated composting plant will be required at Focus Area 1 to support VCs. The MRF, transfer station and composting plant at Neboi will need to have clear management practices in place that prevent any hazardous waste from being accepted there which could put workers’ health at risk and damage equipment. Such waste will need to be taken directly from the industrial site itself or from the transfer station to dedicated management or disposal facilities elsewhere in the country. Future purchasing of equipment for the MRF at Neboi will need to take into consideration the current and future waste types and quantities being generated.

MANDERA URBAN ECONOMIC PLAN (UEP ) 177

> Cross-cutting with the SUED principals of resilience, sustainability, social inclusion and resource efficiency through circular economy; and

Project 12 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies

Capital assets such as material recovery facilities have a long lifespan, as they are expected to be operational for decades. Climate change is already affecting waste management processes and operations that are subject to weather-related impacts and its impacts are expected to increase over the coming decades. Given Mandera’s location, the materials recovery facilities are expected to be sensitive to changes in temperature and fluctuations in precipitation.

› Need to integrate waste staff (informal or formal) into new MRFs and IVCs

MANDERA URBAN ECONOMIC PLAN (UEP )178

Project 12 Summary Information

› Obtain funding › Secure markets for recyclates and soil improver

› Use of local SMEs for waste services › Support from NGOs, community groups › Collaboration with farmers to secure local end markets for soil improver compostingIn-vessel (6)

Source: Atkins, 2021 Table 5.26

Table 5.25

› Exact volumes and types of waste generated in order to procure correct type and quantity of sorting equipment and composting equipment Short-term, 0-3 years Short-term achievable but long-term operational capability

Sub-components Estimated cost (KES range)

CAPEX KES 450 million › Reduces the volume of waste going to the dumpsite › Increased formal employment in the waste sector › Higher quality materials which can be sold to recycling brokers

Construction of small/ FacilitiesMaterialsmodularRecovery(6)

Higher temperatures could reduce workers’ productivity and in extreme cases adversely affect workers at risk from heat stress. Higher temperatures may require changes to equipment due to increased potential of dust, odour, bioaerosol release and combustion risk in both waste receptors and processing areas.

› Reduces methane production in the landfill › Supply of fertiliser to local agricultural market › Introduction of Private Public Partnership (PPP) and/or private waste services into waste collection effort › Employment and training by Municipality or private entity/ CBOs › Funding for Personal Protective Equipment (PPE), collection carts, training and wages for the CBOs › Revenue from sale of wastes for recycling and fertiliser

CLIMATE CHANGE INTERACTIONS AND APPROACH

CAPEX KES 300 million

Benefits and impacts Financing options and delivery mechanisms

› Exact location of the MRFs and IVCs will need to consider future developments

Improved waste sorting and management is needed as soon as possible but will take time to construct the MRFs and composting plants, construction should be in parallel with the transfer stations however markets for recyclables and fertiliser should be secured before construction is finished Source: Atkins, 2021

Precipitation decrease may reduce water availability for site management (e.g. dust suppression). On the other hand, flash flood occurrences on site can adversely affect operations in cases of inundation of site facilities (e.g. weighbridge, roads and offices depending on site location). Site location and design should account for potential surface water flooding.

Implementation agency and stakeholders

> Thorough community consultation over the siting/location of the materials recovery facilities and composting plants.

MANDERA URBAN ECONOMIC PLAN (UEP ) 179

Waste segregation and recycling at the new facility represent formal employment opportunities, providing salary, equipment, and training.

For continued Do No Harm, the implementing agency will need to ensure: > Works contracts and employment opportunities such as managerial, security, hygiene posts created by the project should be shared fairly, as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme; and

Case Study: Heron In-vessel Composting (IVC)

The Heron IVC is a containerised South African composting technology that takes unwanted food waste and turns it into a soil improver. The technology shreds waste to increase its surface area before being mixed and fed into the composting vessel. The temperature of the material in the IVC reaches 60 degrees plus. The process reduces the net weight of the incoming feedstock by around 30%.

A 24 cubic meter Heron IVC machine costs around Rand 1.2 million and can process 2 tonnes of food waste a day. The plant is currently being effectively utilised in South Africa. Using this system reduces methane emissions from organic waste going to landfill and by having a system like this located near the VCs that generate organic waste, it reduces the carbon emissions from transport of the organic waste by road. Use of the composted waste as soil improver by local farmers who provide the VC with raw materials also supports the circular economy. Barriers to using this system include needing to carefully screen the organic waste to make sure plastics or other waste don’t enter the process and finding end-markets for the soil improver.

Source: www.cempre.org.br

RESOURCES AND BENEFICIARY CONSIDERATIONS

This proforma also has the potential to generate a new revenue stream and employment opportunities. There is however potential for conflict amongst communities living in the Municipality over where new materials recovery facilities and composting plants should be located because of increased traffic and odour.

SOCIAL INCLUSION INTERACTIONS AND APPROACH

> Ensure informal waste pickers’ livelihoods are not disrupted by integrating them in the new waste management system and consulting their preferences and needs; and

> As recommended above, engage local communities and NGOs and develop sensitisation campaigns to generate awareness about the importance of source segregation and appropriate waste disposal.

Benefits and impacts Financing options and delivery mechanisms

Construction of new sanitaryengineeredlandfill

Implementation agency and stakeholders

› Exact location of the new engineered sanitary landfill will need to consider future developments

› Exact volumes and types of waste generated in order to correctly size the landfill

Estimated cost (KES range)

Short-term achievable but long-term operational capability

The current practice of open waste burning at the Garba Qoley dumpsite can cause air, soil and water pollution and consequently food contamination. It is contributing to the town’s GHG emissions through the production of carbon dioxide and methane. Commissioning a new engineered sanitary landfill that is properly managed will help to reduce GHG emissions and pollution.

Project 13 Summary Information Sub-components

CAPEX KES 215 million › Improved ground and water quality › Improves local air quality › Provides employment › Provision of a sanitary and engineered landfill for future management of residual waste › IFI/ Donor Finance › Private PartnershipPublic(PPP) › Private investor: Design Build Operate Maintain (DBOM) › Waste charities such as Waste Aid › Employment, training and maintenance by Municipality or private entity

5.2.4

Source: Atkins, 2021 Table 5.28 Project 13 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies

MANDERA URBAN ECONOMIC PLAN (UEP )180

It is recommended that the new engineered sanitary landfill be located next to the current Garba Qoley dumpsite as collection routes are already established there, and the area was already chosen as it is situated away from existing settlements.

LINKAGES > The need for a new engineered sanitary landfill is set out in the ISWMS & ISUDP; > Supports the VCs and adjacent communities; > It supports the SUED principals around sustainability and resilience; and > The location of the new engineered sanitary landfill requires a well-managed feeder road for transport of waste to the site.

This project is for a new engineered sanitary landfill to be built to NEMA standards. This requires the landfill to be lined, and for frequent spreading, compacting and covering of waste with soil or any other appropriate material to avoid environmental pollution and deter scavengers/vermin.

› Cutting off revenue stream for those that make a living from picking over waste at the dumpsite › Ensuring new engineered sanitary landfill does not become uncontrolled/ unmanaged

› Obtain funding for construction of new engineered sanitary landfill

Table 5.27

Short-term, 0-3 years

Project 13 Solid Waste - New landfill built to NEMA standards

OVERVIEW

A sanitary landfill is needed as soon as possible but will take time to construct to NEMA standards including lining and piping to capture landfill gas Construction should be closely aligned with the transfer stations however there is a little more time as a current dumpsite exists however practices of burning waste there are not encouraged Source: Atkins, 2021

Case Study: Remediation of open dumpsites in South Asia

MANDERA URBAN ECONOMIC PLAN (UEP ) 181

Open dumping is common in South Asia with most open dumpsites lacking any form of leachate collection and treatment, landfill gas collection and many also lack any form of liner. However, the remediation of existing dumpsites and the construction of new engineered landfills is underway with the newer official and well-operated landfills generally being privately operated.

Waste management is increasingly recognised as not only a social, health, and environmental issue, but an economic one, in which waste recovered and land used wisely can generate financial savings.

The Maldives is currently mitigating dumping of its waste by improving waste collection systems and constructing new engineered disposal sites that can serve a number of Manyislands.cities are establishing central authorities to plan and operate their waste management sector. The focus is on developing waste disposal strategies that include locally tailored and approaches. Depending on the locality, cities are navigating varied constraints related to land, capacity, availability of local operators, financing, and alignment of waste technology and waste composition, and more than one solution is often needed.

SOCIAL INCLUSION INTERACTIONS AND APPROACH

Source: What a Waste 2.0, World Bank Group, 2018

Site investigations for the new landfill sites should take into account increases in the risk of surface flooding, as well as the potential destabilising effect of increases in heavy rainfall.

Landfill sites need to be designed to minimise flood risk, and to ensure that heavy rainfall events do not lead to excess leaching, and contamination of water resources.

RESOURCES AND BENEFICIARY CONSIDERATIONS

CLIMATE CHANGE INTERACTIONS AND APPROACH

Well-engineered landfill facilities contribute to the improvement of public health. They also have the potential to contribute to social inclusion and economic development through new employment opportunities and the involvement of local communities and NGOs. > Inform and consult the needs and preferences of local communities, informal waste pickers, NGOs and cooperatives, and other relevant actors about the landfill site and implementation schedule; and > Integrate waste pickers and other relevant stakeholders in the economic and employment opportunities of the new landfill.

There is potential for conflict amongst communities living in the Municipality over where a new engineered sanitary landfill should be located because these communities maybe at an advantage or disadvantage being close to the landfill.

There are opportunities for the proposed landfill to maximize positive impacts on peace by: > The implementing agency thoroughly conducting inclusive community consultation over the location of the project pre-implementation. Sites that cause economic and/ or physical displacement impacts are to be avoided, and where unavoidable transparent communication with project affected persons should be undertaken, and alternative land or compensation to be agreed with them; and Properly engaging with the regulator (NEMA), and meeting all the required environmental and social obligations for installing a landfill. This will help to ensure there is no conflict between the project/implementing agency and the regulator.

> This Proforma will be central to the development of every VC proposed to be located at Neboi Industrial Site.

This will include:

This project has four main proposed components:

› Deployment plan – upskilling of local marginalised groups to work as contractors; and > Development of maintenance plan, focusing on upskilling of local marginalised groups to work as maintenance staff. This project will provide enough renewable energy to support the SUED projects and the municipality’s general development aspirations. The proposal is to develop a number of separate solar photovoltaic (PV) sites, phased over a number of years to meet growing demand. This will improve the resiliency of the power system. Each plant would have a capacity of 6 to 8 MW, incorporating energy storage. Each site would require approximately 20 hectares. A total of four plants is recommended, each geographically separated, with a total capacity proposed to be between 24 and 30 MW.

Project 14 Energy - Solar PV power generation PROJECT OVERVIEW

The preferred location for the initial plant is at the Neboi industrial site. This will directly support the 8 VCs proposed in the plan but also provide power to the municipal area.

Currently Mandera town has very limited and unreliable energy infrastructure that does not support the town’s current requirements or plans for future development. The power system relies on a single diesel engine plant that is prone to failure in numerous ways, such as mechanical breakdown, lack of spare parts, delay in fuel deliveries etc. Dependence on an unreliable mini grid that has frequent and unpredictable power outages leaves it vulnerable to insecurity and limits the efficiency and capabilities of businesses across all sectors. If Mandera is to fulfil its vision of becoming a safe and attractive centre of business, it needs a reliable supply of energy.

The distribution network would be designed to interconnect each plant to ensure that the failure of one plant would not affect the provision of power to the town. These projects will be located in the Mandera municipal area.

> Design of solar parks, including design of the electricity distribution network to connect plants to town;

> Development of procurement and deployment plan.

> A feasibility study to determine the current and future demand for power, required plant sizes including phasing, preferred potential locations, technical arrangements including preferred technology, local network connections and commercial arrangement options;

5.2.5

The final locations and phasing for the remaining 3 PV plants will need to be determined at a later stage via a detailed feasibility assessment. There is the potential to utilise one or multiple reservoirs that are being created as part of the water intervention projects to accommodate floating solar installations. Using floating solar has a number of advantages. It will reduce the amount of evaporation from the reservoir by around 15,000 to 25,000m³ per year for each 1 MW of PV installed. Also, by utilising the reservoir, using an equivalent area of land for PV can be avoided.

> Supports SUED principles of urbanization, environmental resilience and climate change resilience.

› Procurement route – best options for engagement with solar solution providers/ contractors

> Mandera ISUDP identifies the opportunity for the development of a 100 hectare solar park (Section 6.1.2 Energy). This project would directly replace the currently proposed solar park.

MANDERA URBAN ECONOMIC PLAN (UEP )182

LINKAGES

Implementation agency and stakeholders

This will Procurementinclude:route – best options or engagement with solution providers/ worklocalplan,DevelopmentworkofDeploymentcontractorsplan–upskillinglocalmarginalisedgroupstoascontractorsofmaintenancefocusingonupskillingofmarginalisedgroupstoasmaintenancestaff

Source: Atkins, 2021

Benefits and impacts Financing options and delivery mechanisms

Challenges Data gaps Time frame, key dependencies

› A safer town less vulnerable to energy outages

› No knowledge of suitable solar solution providers Short-term, 0-3 years

Solar photovoltaics have an operating lifetime of 20 or more years and their vulnerability to climate change includes wind and extreme temperatures. Mandera’s diagnostics report has identified increasing temperatures and an increased intensity of rainfall in the coming decades.

billionKESApprox.solarcomplete–KESstudy/toKESBenchmark:15millioncompletedesign,850million1.1billiontoeachinstallation3.4-4.4total

> Use designs that improve passive airflow beneath photovoltaic mounting structures, reducing panel temperature and increasing power output; and

Higher temperatures have a variety of impacts on Solar PV systems. Lower cell efficiency and energy outputs are associated with increased temperatures, with some studies indicating that at a temperature of 50ºC on the panel (which can be achieved at much lower air temperatures) Solar PV outputs can be 12% below rated output. The capacity of underground conductors may be lower, again due to higher ambient temperatures. The inverter on the other hand, which converts direct current power output into alternating current is not usually directly exposed and is not especially vulnerable to climate change. Mandera can consider the following adaptive measures in addressing the identified climate change impacts:

Improvement in power situation urgently needed, solar power plants can take time to be built and become operational, initial stages including feasibility study should be addressed immediately

› Implementing agency will be the Municipality › They will complete the pre-feasibility study and provide the land to the developer

A pre-feasibility study to determine preferred potential locations, required size including phasing, technical arrangements including preferred technology, and local network connections, commercial arrangement options Outline design of solar park Development of procurement and deployment plan

MANDERA URBAN ECONOMIC PLAN (UEP ) 183 Table 5.29

› Developing a sound technical and commercial proposition that will ensure participation from suitable solar solution providers and funders

Project 14 summary information

Sub-components Estimated cost (KES range)

› Solar power plants are typically financed using a Build, Own Operate model, whereby a solar developer such as Globeleq (refer to case study) provide the finance to design and build the solar plant and negotiate a power purchase agreement with the utility (KPLC) to buy all generated power.

› Securing necessary land; › No knowledge of proposed solar plant or other sector stakeholder development plans

> Choose modules with more heat-resistant photovoltaic cell and module materials designed to withstand short peaks of very high temperatures.

Source: Atkins, 2021 Table 5.30 Project 14 Basic Analysis and Timeline

› Reliable, resilient and green energy supply for the town. › Reduced uncertainty and aroundvulnerabilitypowercuts › Make Mandera a more attractive place to do business

CLIMATE RESILIENCE RECOMMENDATIONS

increasinglocallyexpectedunder6.6bn.plantGlobeleqhttps://www.cdcgroup.com/en/news-insight/news/cdc-and-globeleq-to-develop-solar-power-plant-in-south-east-kenya/2020andCDCaredevelopinga40MWsolarpowerapproximately50kmwestofMalindi,costingKESItwillprovidepowerdirectlyintothenationalgrida20-yearpowerpurchaseagreementwithKPLC.Itisthoughthatmostofthepowerwillbeconsumedasthisareahaslimitedcurrentenergysupply,andemandandexpandingpopulation.Thepowerstation

This project will have an indirect effect on improving social conditions. By improving the provision, reliability and resiliency of power in Mandera this will contribute to reducing power outages which will in turn contribute to improved commercial activity, improved ability to deliver services and education. There is also the potential for the creation of jobs, some of which could be targeted at employing youths through an upskilling programme. The Proforma should also ensure the new system is affordable and that there are financial mechanisms to support low-income households connect to the new energy system.

RESOURCES AND BENEFICIARY CONSIDERATIONS

Case Study: Malindi Solar Power Station, Kenya 116. CDC and Globeleq to develop solar power plant in Malindi, accessed 20th June has created 250 direct jobs during construction, comprising 200 unskilled jobs and 50 skilled jobs. For the unskilled jobs, Globeleq have created a capacity building program to train unemployed locals to fill these positions. This project will also support a further 5,600 jobs in the wider economy.

SOCIAL INCLUSION RECOMMENDATIONS

Source: Malindi Solar Power Station, Kenya116

184 MANDERA URBAN ECONOMIC PLAN (UEP )

By providing reliable, resilient and green energy supply for the town, the proposed project will improve the safety of all including for women and SIGs. Improved security is key to a thriving economy. For continued Do No Harm, works contracts and employment opportunities created by the project should also be distributed equitably across different communities and groups across Mandera as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme.

Traditional grid-powered streetlights provided by KPLC are high in cost and their upkeep is a drain on a municipality’s finances. They are also affected by the limited and unreliable energy supply from the grid. Solar streetlights will be higher in capital costs but more reliable and cheaper to operate and maintain than those powered from KPLC’s grid. However, the risk of deploying solar streetlights is that they are vulnerable to theft and vandalism, although this doesn’t appear to be the case in Mandera.

The vision for Mandera captures inclusivity and security where streetlighting is a crucial provision for safety and access alongside the existing and proposed urban and transport interventions. This project would support the continued safety of residents in more locations and the operation of Mandera’s businesses past daylight hours. The streetlighting programme identified in the ISUDP aims to provide solar streetlighting along all of Mandera’s major roads. This proposal aims to compliment and build on the current programme by providing solar streetlighting to secondary roads and proposed areas of development. This project has 4 proposed components:

MANDERA URBAN ECONOMIC PLAN (UEP ) 185

> Augment the plans to ensure coverage of all main streets, markets and areas of public congregation, as well as secondary public streets and proposed areas of development; > Review technology choices for lamps in new and existing streetlights; and > Review/update current maintenance plans, cost expenditure and level of trained staffing to ensure ongoing operation of streetlights.

> Review of current municipality streetlighting plans to ensure coordination with proposed urban development plans;

LINKAGES > New streetlighting installation identified in the Mandera ISUDP to provide lighting to all urban nodes and major roads. This project will coordinate with the ISUDP project to coverage to all primary and secondary roads; and > Supports SUED principles of sustainability, resource efficiency and social inclusion.

5.2.6

Project 15 EnergySolar Streetlighting PROJECT OVERVIEW

Part of this project is to optimise the technology solution (particularly with respect to finding a robust solar solution) and implementation model for the municipalities to ensure climate resilience, financial and operational sustainability. The proposal also includes a review of the overall maintenance budgeting and procedures to ensure that all installed streetlighting is adequately maintained to remain operational.

› Improved finances for municipalities. › Improved safety and security › Longer operational hours commercialat centres › Financing can be sourced from a number of options, including World Bank funded Kenya Urban Support Programme, which has funded streetlighting in Thika, Ruiru and Limuru118 › The World Bank also offers advice, sample legal documents and further reading on using a Public Private Partnership route for streetlighting, detailing projects completed in Brazil, Mexico and India119 › Climate Funds › Site selection – municipalities › Equipment selection – street lighting design specialist › Construction -implementationandmunicipalities.

The project contributes directly to Municipal security and safety. Additionally, the implementing agency should ensure works contracts and employment opportunities created by the project are shared fairly, as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme.

Project 15 summary

117. Africa and solar powered street lights, accessed 29th July 2019 <https://www.engoplanet.com/single-post/2019/07/22/Africa-and-Solar-powered-Street-lights>

› Current municipality,arrangementscommercialbetweenKPLC,KENHA Medium-term, 4-5 years

› Currently selected technology

Sub-components

Estimated cost (KES range)

Implementation agency and stakeholders Review implementationcurrent plan Review current commercial and technical arrangements Design study to ensure suitable coverage of target area Equipment review and selection

Source: Atkins, 2021 Table 5.32 Project 15 Basic analysis and timeline Challenges Data gaps Time frame, key dependencies › Finding suitable robust solar streetlighting technology › Achieving buy-in from municipality, KPLC, KENHA › Protecting from theft and damage › Detailed maps showing current street lit areas; › Detailed scheduleimplementationfornewstreetlighting;

MANDERA URBAN ECONOMIC PLAN (UEP )186 Table 5.31

› Operation ofresponsibilitymaintenanceand–municipalities

roadonmillionKESActualexistingreworkingnewcoveragebasedEstimatedonperkm3.75poleKESBenchmark:150kper117,KESto5milliondependingspacingtotalonparttoareas,partofareastotal:37.5to50based10kmofcovered

The municipality has some streetlighting programmes in place, so this programme isn’t as essential, so could slot in after current programmes to provide lighting to any remaining areas not already covered.

The potential to use solar-powered light fittings will reduce the use of grid electricity and therefore reduce greenhouse gas Increasesemissions.inextreme temperatures, and potential increases in solar radiation may cause the streetlight assets to decay more rapidly, requiring more regular maintenance. This should be considered when planning operational maintenance for the project.

SOCIAL INCLUSION RECOMMENDATIONS

CLIMATE RESILIENCE RECOMMENDATIONS

Source: Atkins, 2021

RESOURCES AND BENEFICIARY CONSIDERATIONS

Benefits and impacts Financing options and delivery mechanisms

information

Development of new commercial plan (procurement, deployment, implementation, installation and maintenance)

118. Municipality street lighting projects, accessed 17th June 2021<https://kiambu.go.ke/2020/06/municipality-street-lighting-projects/>

119. Energy-efficient street lighting PPPs, accessed 17th June 2021, <https://ppp.worldbank.org/public-private-partnership/energy-and-power/energy-efficient-street-lighting-ppps>

The increase in the provision of streetlighting has a number of positive effects on social inclusion. Street lighting reduces street harassment, crime, and fear of crime, contributing to the safety of women, PWDs and other vulnerable groups. Better lighting also allows markets and businesses to operate for longer hours, improving the economic outlook of vendors and market traders.

MANDERA URBAN ECONOMIC PLAN (UEP ) 187 Case Study: Malindi Solar Power Station, Kenya 120. Proven delivery models for LED public lighting: Municipal financing delivery model, Quezon City Case Study, accessed 14th June inchargedtoAelectricityadditionalnetwork.programmeQClookwasstreetsimplementingQuezonhttps://www.esmap.org/sites/esmap.org/files/DocumentLibrary/Quezon%20City%20-%20Proven%20LED%20Delivery%20Models8_Optimized_Final.pdf2021City(QC)hasbeenactivelyexploringandupgradestoitsstreetlightingsystem.Manyandroadswerenotlitatnight,andpublicsafetyanongoingconcern.TheMayorcreatedaTaskForcetoatinstallation,repairandmaintenanceofstreetlighting.subsequentlyembarkedonacitywidestreetlightingtoilluminate80percentofthepublicroadItinvolvedinstalling3,000newstreetlights,withan1,000streetlightsretrofittedbyMeralco,aprivateutility.constraintarisingfromtheconversionofQC’sstreetlightsLEDswasthesplitownershipoftheassetsandtheflatratebyMeralcoonaportionoftheassets,asidentifiedthestudy.

Source: Quezon City, Public Lighting Delivery Models, Philippines120 To solve this, the Mayor of Quezon City signed a Memorandum of Agreement with Meralco that turned over the nearly 3,000 ornamental streetlights owned by the utility to the QC government for a price of PHP 5.7 million (KES 12.6m). Meanwhile, the City installed meters on all of the ornamental streetlights so that savings from the retrofit of LEDs would yield energy cost savings. For the remaining pole-mounted streetlights that are owned by Meralco, the utility on its own authority has undertaken a project to convert the streetlights in its ownership to LEDs. Since QC continues to pay Meralco a flat rate per pole, the LED retrofit undertaken by Meralco increases their profit, and the city benefits from better lighting.

> Preparation of designs for solar refrigeration systems as well as a procurement and deployment plan;

> Supports SUED principles of sustainability, resilience, and social inclusion; and > This proforma will support the development of Mandera, in particular its new CBD into a safe, inclusive, and attractive place to live, work, and do business.

> This proforma will be key to some of the VCs proposed in Section 4.2, such as the VCs relating to fresh fruits and vegetables and dairy products, in particular to minimise tomato spoilage, and milk spoilage;

This infrastructure project aims to: provide solar-powered cold store systems in strategic hub locations to support local farmers who currently have no access to a cold store and therefore lose part or all of their product due to spoilage.

Post-harvest losses are a significant problem across the agricultural sector. Cold stores can extend the shelf life of perishable food by between 2 and 21 days, reducing postharvest losses by up to 80% and increase small farmers’ income by 25%121. Cold storage facilities in hub locations across Mandera County as part of a comprehensive cold supply chain are critical in improving rural economies.

> A baselining exercise to determine the number, size and location of arable farms and livestock holdings producing fresh fruit and milk, their seasonal outputs, produce sales practices and current refrigeration needs, as well as the current status of local storage facilities;

> Deployment of systems to selected agricultural holdings; > Capacity building with selected locals to manage the facilities, and > Capacity building with selected locals to ensure maintenance and operation of systems. These projects will be located County-wide, aiming to assist micro, small and medium-sized farms in rural areas where provision of refrigeration services is currently non-existent or too expensive for the farmer. Potential locations could be near farms or markets, in small towns or at transport hubs.

121. Cold Hubs solution and social impact, accessed 30th July 2019 https://www.coldhubs.com/ This project has 6 proposed components:

LINKAGES

MANDERA URBAN ECONOMIC PLAN (UEP )188 5.2.7

Project 16 Energy - Solar refrigeration (Cold stores)

PROJECT OVERVIEW

Modular solar powered refrigeration systems or cold stores are becoming popular in small farming communities where grid electricity is not available or expensive. They work on a subscription model where farmers pay a flat daily rate for each crate of food they store. Some providers use mobile apps to communicate to farmers about the availability of space in the store and to process payments. The revenue created goes towards maintenance of the facility and employment of a facility manager. Many providers target job creation for Thiswomen.project will provide a number of small solar-powered refrigeration systems (a half to full size shipping container) that will act as hubs to local farmers who currently have no access to a cold store and therefore lose part or all of their product due to spoilage. All farmers can use the facilities whether they are linked to the value propositions or not.

> An exercise to determine the towns, villages or other locations that would benefit from a small solar refrigeration system;

Table 5.33

Implementation agency and stakeholders

Benchmark: KES 750k per system Actual cost: KES 11.25 15basedmilliononmaxsystems

› Donor funding is available Africaincludingnumerousfromsources,SelfHelpandAgra › Public andoftheviacentralavailablefundingsectormaybefromthegovernmentfundingfromMinistryAgricultureIrrigation

› Obtaining funding

› smallrevenuestoleadingcropReducedspoilagehigherforfarmers

› Site selection –municipalities with assistance from national agricultural specialists › Equipment selection – municipalities with assistance from cold chain specialists › Construction -implementationandmunicipalities.

Develop training plan, for management, operation and maintenance

Project 16 Basic analysis and timeline Challenges Data gaps Time frame, key dependencies

Estimated cost (KES range) Benefits and impacts Financing options and delivery mechanisms

RESOURCES AND BENEFICIARY CONSIDERATIONS

› Operation and maintenance –ofresponsibilitymunicipalities

Sub-components

› foropportunitiesEmploymentwomen

Source: Atkins, 2021 CLIMATE RESILIENCE AND SOCIAL INCLUSION RECOMMENDATIONS

MANDERA URBAN ECONOMIC PLAN (UEP ) 189

Preparation of design brief for refrigeration Developmentsystemsofprocurement and deployment plan

› Effort needed to obtain comprehensive data on situation with respect to current practices, available facilities and demand for refrigeration services

Mapping of ownership of all local agri and livestock holdings and their product outputs, mapping of current distribution hubs and status of their product storage facilities

› No knowledge of current situation Short-term, 0-3 years Issues with crop wastage are already an urgent concern so this project will have an instant impact

Providing a refrigeration solution that is powered by renewable energy and targets small-scale farmers will help increase the resilience of these farmers to climate change, and as such strengthen their livelihoods. Care should be taken to place storage facilities in areas not at risk of flooding.

To maximize economic inclusion and positive impacts on peace, works contracts and employment opportunities created by the project in managerial, maintenance, and supplies should be shared fairly, as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme.

Source: Atkins, 2021 Table 5.34

SOCIALLY INCLUSIVE IMPLEMENTATION SHOULD FOCUS ON: > Ensuring communication strategies about the availability of space in the store are available and accessible to all people, particularly to SIGs and SIGs organisations engaging in agriculture; and > Ensuring the employment opportunities associated to the project are available for SIGs and other vulnerable groups.

Project 16 summary information

Establishment of needs for solar refrigeration systems

Additionally, extending the shelf-life of produce provides resilience to flooding which can block roads and access to market, by increasing the amount of time that produce is able to ‘wait’ before going to market, and as such providing more time for roads to become passable again.

Improving the financial sustainability of agriculture could provide significant improvements to the livelihoods of the local agriculture community and an expanding sector could lead to increased employment opportunities across the community.

This project contributes to both climate change and social inclusion objectives. The project targets smallholder farmers who currently suffer losses in potential earnings, and adverse effects on their livelihoods, from spoilage of produce before it can reach market. As both extreme, and average, temperatures in Mandera have increased, the incidence of high temperatures causing food products to spoil is likely to increase.

MANDERA URBAN ECONOMIC PLAN (UEP )190 Case Study: Solar cold stores in Wakatobi and Pacitan, Indonesia 122. Renewable energy and reducing food loss and waste in fish value chains, accessed 23rd April smallItfish-2ºC,Thecombinationfacilitiesstand-alone,Containedhttp://www.fao.org/flw-in-fish-value-chains/flw-in-fish-value-chainsresources/articles/renewable-energy-and-reducing-food-loss-and-waste-in-fish-value-chains/es/2021,Energysuccessfullydevelopedanddeployedoff-grid,100%solar-poweredcoldstoragewiththermalenergystoragetechnologyinwithultra-efficientcompressorpackages.20cubicmetreunitwasdesignedtokeep500kgoffishatwiththecapacityofaddingandcooling200kgof‘un-iced’perday(foratotalcoolingloadof30kWhperday).ispoweredbya6.4kWsolararraybackedupbyarelatively10kWhvalveregulatedlead-acidbatterybank.Theuniquefeatureofthesystemisthatit deploys a large volume of Phase Change Material in the ceiling, capable of storing and releasing 15 kWh of cooling capacity at -4ºC. This thermal energy storage technology allows the compressor package to do most of its ‘cooling work’ during the day, when the solar power is available, saving a substantially larger quantity of battery storage that would otherwise be required. The cold storage helps local fishermen to keep their catch fresh for longer once they’ve returned from fishing.

Solar cold stores in Wakatobi and Pacitan, Indonesia122

> Access restrictions can be paired with routing of freight vehicles to parts of the network that allow the HGVs to bypass the town centre. The ring roads identified under the network density project could form part of these routes. A truck route by law would be required to restrict and enforce HGV movement to this specific parts of the network;

> Restricting town centre access to certain times of the day, preferably off-peak hours, to redistribute the traffic demand and maximize the use of the road network;

The A13 road is set to be redeveloped under the World Bank’s Horn of Africa Gateway Development Project (HoAGDP) to enhance the regional connectivity and stimulate economic growth. Within the existing CBD, the road serves as the main urban street and provides access to critical urban functions such as commercial amenities, residential areas and civic centres. The A13 also connects the A13 to the Neboi road, another critical growth corridor. A clear transition in design will be required as the road approaches the urban centre to support both the existing and planned land uses. Urban street infrastructures that reflect the mobility, accessibility and transport needs and functions of the new CBD, whilst supporting the existing functions of the old CBD will be essential. As illustrated in Figure 5.20, the urban section has 3 dominant planned uses; commercial, residential and town centre, whose character will need to be reflected in the design. These sections of the network and adjoining streets will need to provide safe and universally accessible street features such as pedestrian facilities, traffic calming, and trees. The design philosophy should also be extended to the adjoining streets that link to Neboi to ensure inclusive access to proposed new CBD and industrial site. This will be important as the future priorities for Neboi entail increased concentrations of medium-to high-intensity, mixed-use developments. To reflect these uses a pedestrian-and transit-oriented development will be required along the corridor to enhance the attractiveness and commercial value of the area.

Project 17 Transport - Urban street improvements OVERVIEW

MANDERA URBAN ECONOMIC PLAN (UEP ) 191

5.2.8

> Encouraging delivery of light weight time critical shipments by small light goods vehicles or cargo bikes.

The industrial cluster located at Neboi will also be a generator and attractor of heavy goods vehicles. A combination of measures will be needed to ensure this traffic does not interfere with normal traffic circulation. These can entail:

> Provision of clear road signage and traffic signs to help drivers navigate the network and adhere to permitted routes and times for HGVs movement;

> Manage the loading and unloading of goods in town centre by providing dedicated zones preferably behind buildings to minimise transport disruption; and

> It would improve the accessibility and inclusivity of the proposed business incubator VC.

Source: Atkins, 2021

Their design should be guided by the land use, character and scale of surrounding development to create and reinforce the urban context.

> These street redesign and improvements target to enhance the economic vitality of existing CBD and promote growth of new CBD; > They will support Mandera’s role as an economic hub for the Mandera triangle, making it a more attractive place to live, work and do business; and

Planned land use and dominant street character

The A13 and Neboi link roads are critical entry points into the town centres and together provide opportunities for enhancement and place-making that strongly reflect Mandera’s development aspirations. With the anticipated economic growth and poverty reduction from the HoAGDP road corridor development, investment in quality streets can cement the town’s regional role as the most desirable residential and commercial location. To realize this potential, a total, 22km of road network will need to be designed to support urban street functions. This will include 15km along A13 within the new CBD and 7km along A13-Neboi road.

LINKAGES

MANDERA URBAN ECONOMIC PLAN (UEP )192 Figure 5.21

> Thorough, inclusive community consultation is carried out before implementation. Project sites that cause economic or physical displacement impacts are to be avoided, and where unavoidable transparent communication with project-affected persons is done, and alternative land or compensation provided to them as applicable; and > Works contracts and employment opportunities created by the project be shared fairly, as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme.

This project will provide safe, accessible, and public transport facilities that will enable equitable access for all, addressing inequalities associated with motorised transport. They will provide basic mobility, are affordable and have health and recreation benefits (for example by incentivising walking and cycling).

Implementation agency and stakeholders

For continued Do No Harm in the project, it recommended that:

Upgrades with NMT facilities, streetlights, integration of SuDS, permeable surfaces and rain gardens Street trees planting and street furniture to improve aesthetics

16controlHGV440(Total,22kmtotalperKESimprovementsstreet20millionkm,fortheproposedofroad.KESmillion)access–million

Estimated cost (KES range)

SOCIAL INCLUSION INTERACTIONS AND APPROACH

Source: Atkins, 2021 Table 5.36 Project 17 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies › Existing buildings and public realm may need to be removed or altered › Installation likely to interrupt traffic flows › Funding › Pre-feasibility study › Detail site survey required and land ownership information › Extensive engagementstakeholderrequired Isiolo – Mandera road is first focus, using planned works as an opportunity – in the short term Other selected streets in CBD in the medium term

HGV access control: Road signage, dedicated loading and offloading bays, enforcement officers

Benchmark for street design plan – KES 10 -30 Benchmarkmillion for complete

The street redesign principles outlined above will help to increase resilience to both flooding and high temperatures. Key principles include: > Promoting the design of passive buildings and districts to reduce electrical cooling, heating, ventilation, and lighting while guaranteeing comfortable conditions for all users; > Integration of improved drainage and SuDS into the urban streetscape; and > Providing ways to facilitate management of risks and disaster reduction through smart technologies, inclusive to all, in order to achieve resilient and sustainable developments.

> It is recommended that NMT and transport facilities follow principles of inclusive design and ensure PWDs’ accessibility; and > Timely communication to local residents and adjacent businesses about the implementation schedule of the different projects to mitigate the disruption of traffic, everyday life, and economic activities. This communication should be in formats and languages that are accessible for all.

RESOURCES AND BENEFICIARY CONSIDERATIONS

Benefits and impacts Financing options and delivery mechanisms

Create an urban street design plan for CBD section of Isiolo Mandera road and link road to Neboi that follows complete street design principles

MANDERA URBAN ECONOMIC PLAN (UEP ) 193

› Kenya SupportUrbanProgram › Private initiative of local businesses › Potential for a Business Improvement District levy on owners and traders › Business community › Local residents and road users

Table 5.35

Sub-components

Source: Atkins, 2021 CLIMATE CHANGE INTERACTIONS AND APPROACH

› Support wellbeing and encourage walking and cycling › Increase attractiveness and enjoyment of the streets, improving liveability › Land value appreciation › Ensure compatibility with surrounding neighborhoods › Improved accessibility to and between key economic hubs › Expand the growth potential of the VCs › Funded by WB or other potential IFI partners under the Isiolo Mandera road development › Fund matching by County forparticularlyGovernmentmaintenance

Project 17 summary information

Source: https://www.itdp.org/ 2021/ 03/17/ kisumu-puts-pedestrians-first/123

MANDERA URBAN ECONOMIC PLAN (UEP )194 Case Study: Kisumu city thoroughfares 123. Renewable energy and reducing food loss and waste in fish value chains, accessed 23rd April “Kisumuand1.5kminProgram,Inhttp://www.fao.org/flw-in-fish-value-chains/flw-in-fish-value-chainsresources/articles/renewable-energy-and-reducing-food-loss-and-waste-in-fish-value-chains/es/2021,2019,undertheWorldBank-financedKenyaUrbanSupportKisumucityreconstructedmajorthoroughfaresthecentralbusinessdistrict.ThisinvolvedintroductionofwalkwaysalongOgingaOdingaStreet,Ang’awaAvenue,JomoKenyattaHighwaywhichcollectivelyarecalledtheTriangle”.Theprojectincludedstormwaterdrainage improvements, installation of utility ducts, installation of solar streetlights, and construction of public toilets, all features necessary for a comfortable and safe pedestrian environment. One important safety feature was added: tabletop pedestrian crossings. These raised crosswalks to prioritize pedestrians and discourage speeding from cars, providing safe, universally accessible crossing points for pedestrians. Phase Two is already underway: where a further 8km of improvements is planned for streets within the Central Business District.

Already, the ISUDP provides a road network scheme based on planned land uses, which forms the critical set of links that need to be developed. The most important of which being a link road to Neboi industrial cluster and Koromey livestock market. These connections will be vital to enhancing supply chain linkages for the planned VCs and supporting growth of new CBD.

A prioritisation and phasing programme for implementing the rest of the road network will be required. This could be developed through a simple transparent assessment that ranks priority links from a cost benefit point of view with due consideration of social and environmental concerns. Consultation with local communities and representatives of local government will be essential throughout the process. This will be essential in identifying critical priority links that also target improving access conditions for disadvantaged areas and communities. These will also need to be forward-looking to understand the potential to support the supply chain linkages of the proposed VC opportunities for OnceMandera.thephasing programme is determined, proposed engineering interventions would need to be decided in line with the budget available, traffic type and traffic volume that will utilise the road. Preference should be given to interventions that increase the roads’ design life and optimise their whole life cost while maximising use of locally-sourced materials and local labour.

MANDERA URBAN ECONOMIC PLAN (UEP ) 195 5.2.9

Project 18 Transport –

Mandera has a low level of paved roads with only 2km of its 1,185km road network paved to bitumen standards. Devolution has allowed the County Government to invest more in improving the inter-county road network, however, the majority of the road network remains in poor condition. Poor roads constrain access to markets and services causing high transport costs, higher incidences of post-harvest losses, community isolation and deprivation.

Priority road connections and expanded road network OVERVIEW

Figure 5.20

MANDERA URBAN ECONOMIC PLAN (UEP )196

Source: Atkins, 2021 LINKAGES

> This proforma should also be considered alongside the proposed SUDs interventions.

Planned land use and dominant street character

> The intervention will support agri-processing VCs, through supporting access of those involved in their supply chains. The collection points would benefit from been considered in conjunction with this proforma; and

Project 18 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies

A road investment programme will need to be developed in the short-term to inform prioritisation and phasing and investment would follow in the medium-term

Flooding due to extreme rainfall events may affect the operation of the roads. Storm drainage provision and management can reduce flood risks and lessen infrastructure damage and associated maintenance costs. The frequency and intensity of heavy rainfall events is likely to increase, and as such, in order to increase resilience to climate change, and ensure that the new roads remain passable, drainage features will need to be designed to accommodate more extreme rainfall events. High temperatures can cause bitumen surfaces to melt and buckle, and as such there is a need to select heat-resistant surfaces.

› Key stakeholders impacted by road improvements that need to be consulted include a range of individual farmers from different socio economic and cultural backgrounds, livestock owners and relevant cooperatives, businesses and local communities

› Most parts of the road network are still rural, and the roads fall under KERRA and county government. With development of urban centers these roads, particularly links to Neboi and Koromey would need to be reclassified under KURA

Source: Atkins, 2021

MANDERA URBAN ECONOMIC PLAN (UEP ) 197 Table 5.37 Project 18 summary information

Source: Atkins, 2021 Table 5.38

Estimated cost (KES range)

Implementation agency and stakeholders

› Road investments need to be sensitive to diverse community needs and avoid perception of favoritism. They need to ensure the inclusion across different socio economic and cultural groups across Mandera › Incomplete information on road network coverage, condition and traffic data › Road classification of planned roads not available › Need further information on the spatial distribution of different communities across Mandera Cost benefit analysis needed

Poor road condition currently limits access to market and increases post-harvest losses, with knock-on effects on agricultural livelihoods. It also limits mobility for other segments of the population. There are clear climate resilience benefits to upgrading the road system, however there is a need to account for changes in heavy rainfall, and maximum temperatures.

Benefits and impacts Financing options and mechanismsdelivery

› Funding andgovernmentandpartnersdevelopmentthroughCountyKERRA

› LevyMaintenanceRoadthroughMaintenanceKenyaBoard–RoadFuelFund(RMLF)

Preparation of road sector andlinkPrioritiseraiseofIncreaseprogrammeimprovementnetworkallseasontoRAIdevelopmentroadtoNeboiKoromey

KES 20 million to complete BenchmarkstudyKES 50 million perkm for Neboi and Koromey link roads Assuming the two-priority links are 7km – Neboi Link, 2km for Koromey, an estimate cost would be KES 450 million However, these are new alignments which need to undergo some prefeasibility and preliminary costing to determine final length and cost › Improved access to basic services and markets › lossespost-harvestReduced › Reduce transport cost › Supports expansiontheof ruralchainwithparticularopportunitiesVCinthosesupplylinkagestoareas

Sub-components

› Most parts of the road network are still rural and the roads fall under KERRA and county government

CLIMATE CHANGE INTERACTIONS AND APPROACH

198 MANDERA URBAN ECONOMIC PLAN (UEP )

SOCIAL INCLUSION INTERACTIONS AND APPROACH

> Works contracts and employment opportunities created by the project are shared fairly, as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme.

Case Study Investing in low-cost rural roads has been found to generate larger marginal returns, raise more people out of poverty per dollar invested, and reduce regional development disparity more sharply than investing in urban roads. For instance, in China, investment in rural roads has been found to have benefit-cost ratios for national GDP that are about 4 times greater than the benefit-cost ratios for high-quality urban roads and yield 1.57 yuan worth of agricultural GDP for every yuan invested. This implies investments in rural roads fosters more broadly distributed economic growth.

There are remote communities that are excluded from educational opportunities since they are far from education institutions, and they lack access to adequate roads. Improving rural roads could contribute to supporting these communities. Information on the general locations is provided in Figure 2.5, where this information will need to be further developed for the implementation phase.

Source: Road Development, Economic Growth, and Poverty Reduction in China, IFPRI 2005

> The implementing agency is wary of elite capture, and that they conduct independent public consultation for projects while avoiding subjective influence from politicians or other quarters in determining project locations, alignments, prioritisation and/or beneficiaries;

To achieve continued positive impacts on peace it is recommended that:

RESOURCES AND BENEFICIARY CONSIDERATIONS

Improved transport infrastructure is essential to support community livelihoods and socio-economic development. Good transport infrastructure improves access to markets for traders, residents, and vehicles, as well as agricultural productivity. Improved road infrastructure reduces costs of vehicle and motorbike maintenance, which may particularly benefit people engaging in transportation services.

> Ensure there is a meaningful consultation process with local communities and relevant stakeholders about the prioritisation and phasing program for implementing the rest of the road network. As explained above, will be key to improving access conditions for disadvantaged communities;

> The displacement of communities and economic activities should be avoided whenever possible. When resettlement is unavoidable for the expanded road network, a Resettlement Action Plan (RAP) should be prepared to mitigate adverse socio-economic impacts and the disruption of social safety nets; > Considering climate resilience recommendations for the design of roads facilities is fundamental to ensure the security of farmers’ incomes and households’ food supplies; and > Prioritise the employment of local communities for the construction and maintenance of roads.

Project 19 TransportBorder management

Table 5.39 Project 19 summary information

› Border porosity makes it hard to monitor flows of people across borders and can ultimately lead to insecurity

Implementation agency and stakeholders

MANDERA URBAN ECONOMIC PLAN (UEP ) 199 5.2.10

› The country has a customs and border control responsible for the management of border crossings and can take the lead in formation of a Joint Border Committees (JBCs) backed up by strong national coordination at the policy level

environmentandImprovedtradeofDevelopmentcross-borderstrategypolicyregulatoryfor cross border andcustomsmanagementImprovedtradeborderandproceduresoperations

› Kenya can spearhead the development of these facilities in the region as well as developing bilateral managementcross-bordersystems

Strategy – Benchmark price KES 10 – 30 million Regulatory framework and border management and custom procedures to be determined by strategy › Cross border trade promotion and stable socialeconomicandforcreatingtoactenvironmentbusinesscanasadeterrentconflictbyincentivescooperationdeepeningandintegration

A medium-term timeline would be pragmatic Source: Atkins, 2021

Source: Atkins, 2021 Table 5.40 Project 19 Basic Analysis and Timeline Challenges Data gaps Time frame, key dependencies

OVERVIEW

Sub-components Estimated cost (KES range)

› Bilateral concerted effort needed to implement and manage › Volume of trade between the countries not clear due to smuggling

Cross-border trade is a major pillar of Mandera’s economy. Its location along long common borders with Ethiopia and Somalia, means many small-scale traders carry goods across these borders each day. However, due to the lack of infrastructure, insecurity and border closures, most of this trade is informal and illegal. Many challenges arise as a result of the informality and lack of control over border movements. Differing levels of regulation and enforcement of tax regimes create distortions in the prices of goods and compromised quality standards which create uncertainty for businesses in Mandera. Tackling these cross-border trade challenges requires an integrated approach, addressing several border constraints at once. A one-stop border post that harmonises and consolidates border control regulations and procedures of neighbouring countries can result in benefits to security, trade facilitation and human mobility. Already, two locations, Rhamu and Mandera border post, have been identified and are set to be developed under the Horn of Africa Gateway development programme. A potential third location can be located at Suftu together with the proposed Suftu bridge. These infrastructure improvements can act to restore physically severed market links, but their success will ultimately be dependent on the degree to which borders can be effectively regulated and managed. Thus, combining the interventions with corresponding improvement in border management practices will be paramount. LINKAGES > This proposal would support trade of products developed by VCs. It is dependent on the development of the Isiolo Mandera road; and > Would support the development of key economic sectors through price stabilisation and quality standardisation.

› Regional dialogues on cross border management modalities can be supported through theonIntergovernmentalorganisationsmultiregionalsuchasauthoritydevelopment(IGAD)andAfricanUnion

The development of the cross-border strategy and infrastructure take time to complete as government buy in is required from all parties

› Working on both sides of the border is critical to ensuring cross border activity is streamlined

Benefits and impacts Financing options and delivery mechanisms

CLIMATE CHANGE INTERACTIONS AND APPROACH

Source: Trademark East Africa, Article,124 124 https://www.trademarkea.com/press-release/moyale-one-stop-border- point-osbp-launchedby-h-e-president-uhuru- kenyatta-ethiopian-prime-minister-h-e-dr-abiy-ahmed/

To promote peaceful outcomes in the project, tripartite agreements will have to be reached backed up by strong national coordination at the policy level in all three countries to allow for harmonized border control. Multiregional organisations such as IGAD and the African Union will play a critical role in convening and coordinating regional dialogues on unifying cross border management practices. Further conflict considerations for the sector are highlighted in the Commerce, Markets and Cross-Border Trade SAPs in Section 4.2.2.

Trade is a major source of employment for many residents in Mandera and is often an essential source of vital goods and services for those living further inland. Women account for a higher percentage of traders and consequently, and cross-border trade is source of livelihoods and empowerment for them. Women face unique challenges at the border and interventions, whilst being the most active participants in trade. It is thus recommended to have a gender-sensitive approach while planning and implementing cross-border interventions to particularly consider and address challenges that women face and take their needs into consideration.

SOCIAL INCLUSION INTERACTIONS AND APPROACH

There are no climate change interactions for the proposed sub-components.

200 MANDERA URBAN ECONOMIC PLAN (UEP )

RESOURCES AND BENEFICIARY CONSIDERATIONS

Women’s participation in and women’s focused trade associations should be encouraged in Mandera to ensure they get fair representation in the sector. Further social inclusion measures for the sector are highlighted in the Commerce, Markets and Cross-Border Trade SAPs in Section 4.2.2.

Case Study Moyale the only gazetted border crossing point between Ethiopia and Kenya was inaugurated in December 2020 by the President of Kenya and Prime Minister of Ethiopia. The one stop border post was created to reduce border crossing time by 30% between the two countries. The border is part of the LAPSSET program and entailed development and harmonisation of border procedures, harmonisation of legal instruments, capacity building programme for border agencies operating at the border point, awareness creation targeted at women traders as well as development and operationalisation of Cross Border Trade Charter. The OSBP is expected to bolster trade and cooperation between the two countries. Its development was part of interregional roads infrastructure program that entailed the construction of a 438km road from Merille River to Moyale in Kenya, a 300km road in Ethiopia and an Integrated Border Management (IBM) Procedures and Systems on both sides of the border.

A new bridge can foster better connectivity between the two countries, boost trade and lower the transport costs of goods.

Benefits and impacts Financing options and delivery mechanisms

Development of bridge across River Daua at Suftu and improvement of approach roads KES 600 million › Cross-border trade on River Daua is a vital source of goods for communitiesisolatedlivingin the interior of Mandera

› IFI funding › Bilateral funding from both governments of Kenya and Ethiopia › Kenya has a Customs and Border Control responsible for the management of border crossings and can take the lead in formation of a Joint Border Committees (JBCs) backed up by strong national coordination at the policy level

Project 20 Transport - Suftu Bridge

LINKAGES > The development will also be dependent on the cross-border management strategy identified as under the Border management proposal to foster bilateral collaboration and inclusion of VCs Table 5.41 Project 20 summary information Sub-components Estimated cost (KES range)

The longer-term potential of the VCs particularly around agri processing will rely on inputs from Ethiopia. The inclusion of Ethiopia is therefore critical t to foster corporation that can also support the incentives for peaceful shared use of constrained resources such as water from the River Daua.

› Regional dialogues on bridge development and cross border management modalities can be supported through multiregional organisations such as (IGAD)authorityIntergovernmentalondevelopmentandtheAfricanUnion

Source: Atkins, 2021 Table 5.42 Project 20 Basic Analysis and Timeline

Challenges Data gaps Time frame, key dependencies

MANDERA URBAN ECONOMIC PLAN (UEP ) 201 5.2.11

The free flow of goods and services is impeded by the lack of crossings over the River Daua on the Ethiopia border. Crossings take place over the river through traditional rafts reinforced with oil drums. This low capacity means of transport imposes limitations on the volume of goods and services that can move across the border. The river’s is also prone to seasonal variations, where it dries up to 3 months a year and floods during the rainy season. Goods such as wheat, beans, natural herbs and cement mostly arrive in Mandera from Ethiopia. Mandera is also a transit zone for goods such as tea leaves, sugar, and processed products destined for Ethiopia from Somalia. Lack of infrastructure to support crossing constrains growth in trade especially for communities that are not adjacent to the crossing location. This also contributes to increased transport costs which comprises a significant mark up to the price of commonly traded goods. This means producers receive a low share of the final price, and consumers pay more for basic commodities than necessary.

Implementation agency and stakeholders

› Border porosity makes it hard to monitor flows of people across borders and can ultimately lead to insecurity.

› Trade promotion and stable business environment can act as a deterrent to conflict

OVERVIEW

› Potential for more inputs into VCs from Ethiopia in the Long term › Opens up more opportunities for export with Ethiopia. › Potential to foster further cooperation and integration with Ethiopia and its bordering towns Supports Mandera’s plan to become an economic hub for the Mandera triangle

› Lack of data on volume of traffic and goods transiting at crossing Medium-term as bilateral agreements have to be reached Source: Atkins, 2021

› Will require coordinationinterregionalwithEthiopia

Flood peaks on the River Daua are expected to increase, and as such the design process for the proposed bridge needs to explicitly consider increases in peak flood magnitude, with the bridge designed accordingly. This means explicit use of flood modelling that incorporates climate change, and not simply relying on historical data. Higher temperatures can also increase the risk of deterioration of bridges due to higher temperatures and increased heavy precipitation. Temperature changes can cause expansion and contraction of bridge structures, leading to degradation due to thermally induced stresses.

In 2013, the Rwandan and Uganda governments began upgrading and modernising the River Mirumba bridge to facilitate access to the Kagitumba and developed a one-stop border post (OSBP) at the Kagitumba and Mirama hills border. The project involved the development of two 12m wide composite bridges across River Mirumba to replace the old 6m bailey bridge. Together with the OSBP, the development decreased travel time and increase volume of vehicles using the Mirama Hills route. The Mirama Hills road route offered a shorter and less-difficult route to Rwanda than passing through the Katuna/Gatuna border post which was congested. The bridge and OSBP is expected to increase traffic volumes between the two countries and boost trade and economic activity along the Mirama route. The bridge construction works was completed in May 2016, costing approximately KES 200 million while the OSBP was implemented in 2017 by Rwanda Revenue Authority and Uganda Revenue Authority at a cost of approximately KES 600 million.

The bridge will contribute to boosting trade and the economic development of the region, lowering the transport costs of goods between both countries and improving agricultural productivity and prices. As explained, it will particularly benefit communities that are not adjacent to the crossing location. This crossing will also provide a safer way of crossing for PWDs, as an alternative to the floats that are currently used to cross the border to Ethiopia.

202 MANDERA URBAN ECONOMIC PLAN (UEP )

CLIMATE CHANGE INTERACTIONS AND APPROACH

Case Study: Upgrade and Modernization of River Mirumba bridge at OSBP at Kagitumba Rwanda and Mirama Hills Uganda and development of one-stop border post 125. https://www.terraingroup.org/index.php/civils-projects/item/36-mirama-hills, https://www.trademarkea.com/project/one-stop-border-post-at-kagitumba-rwanda-mirama-hills-uganda/.

RESOURCES AND BENEFICIARY CONSIDERATIONS

Source: Atkins 2011 & TMEA One stop border post article125

AfterBefore

The bridge will improve better, safer connectivity between the two countries, boost trade and lower the transport costs of goods, where hiked cost of commodities, especially in rainy seasons, have caused conflict in the past. Improved linkage to Ethiopia through this bridge is a possible connector that can support the incentives for peaceful, shared use of constrained resources such as water from the River Daua.

SOCIAL INCLUSION INTERACTIONS AND APPROACH

Improving donkey management will increase the overall health of the animals and will mean that they are better-placed to withstand issues such as heat stress which is one of the climate risks identified for Mandera. The registry will also help to identify any new and emerging diseases that could enter the County as temperatures and precipitation patterns change, at an early stage. There are no climate risks related to the implementation of the programme itself.

Donkey management OVERVIEW

Table 5.43 Project 21 summary information Sub-components Estimated cost (KES range) Benefits and impacts Financing options and delivery mechanisms Implementation agency and stakeholders

KES 20 million annual budget for andtrainingcampaign

SOCIAL INCLUSION AND BENEFICIARY CONSIDERATIONS

donkeyDevelopmentregistryBylawtrainingawarenesswelfareandcampaignsrequiringofdonkeysofsanctuary

The project presents opportunities for continued economic inclusion and positive impacts on peace if it ensures that works contracts and employment opportunities created by the project in policy development, public sensitization and in donkey rehabilitation centres are shared fairly, as inequitable sharing of opportunities has been identified as one of the potential causes of conflict in the Programme.

MANDERA URBAN ECONOMIC PLAN (UEP ) 203

Source: Atkins, 2021 CLIMATE CHANGE INTERACTIONS AND APPROACH

Challenges Data gaps Time frame, key dependencies › No current systems in place for registering and managing donkey population, health and safety

Source: Atkins, 2021 Table 5.44 Project 21 Basic Analysis and Timeline

› Improved donkey welfare and management › Annual budget allocation by county government for sensitisation and management initiatives › Support from donkey welfare NGOs › Municipal Government to pass bylaws that donkeymandateregistration

Donkeys are the main mode of transport used for carrying goods such as timber, metallic items, steel, iron sheets, paints across the border to and from Somalia. Owners of these donkeys also derive income from these activities either by hiring out their donkeys or through using them to transport goods. They therefore serve a very important economic role. Despite their obvious service as a source for livelihood donkeys face many challenges ranging from disease, theft for slaughter, abuse, malicious injuries and drugging. There are serious welfare issues due to the high prevalence of animal abuse and a lack of protection against mistreatment. Cases of donkey cruelty typically involve drugging of the animals with marijuana or opium to enhance their performance or over exertion. As the use of donkeys increases, specific management practices need to be devised that allow them to fully maximize their health and utility and avoid conflict with human activity. Improving donkey management would entail addressing safety and welfare issues through a combination of good care practices, training of owners and providing veterinarian services and sanctuaries for sick or neglected animals. Sensitisation campaigns around proper handling of the animals, proper feeding, appropriate working conditions and general donkey welfare can serve as a start in improving management practices amongst owners. Maintaining a registry of donkeys after inspection by a registered veterinary can ensure donkeys are healthy and capable of undertaking the work required of them. Such a registry would also aid tracing ownership of stray or abandoned donkeys.

› Donkey livestock population and owners Short-term/ongoing

5.2.12

Donkey

Project 21 Transport -

› Support from trading community › Community groups and NGOs such as Heshimu punda and Tunza punda should be engaged in the development of trainings and awareness on good animal husbandry

)

MANDERA URBAN ECONOMIC PLAN (UEP

Source: https://kendat.org/heshimu-punda-programme/

Heshimu Punda is a programme that currently runs in eight counties namely, Kirinyaga, Nairobi, Kiambu, Nyandarua, Laikipia, Meru, Tharaka Nithi and Embu counties. The programme aims at improving the welfare of working donkeys through positive change in behaviour and practices of donkey-owning communities, improved quality of animal health services, and the creation of a conducive policy and legislative environment that support donkey welfare and community livelihood development. Since 2001, the project has trained and mentored over 2,000 veterinary professionals on animal welfare, donkey health and husbandry practices, trained over 35,000 donkey owners, supported improved healthcare for 50,000 donkey owners through vaccination campaigns and built over 110 secure and lockable donkey shelters in Kiambu, Nyandarua and Kirinyaga which has provided shelter for over 296 donkeys. Their activities are helping improve donkey welfare and management practices.

204 Case Study

MANDERA MUNICIPALITY URBAN ECONOMIC PLAN 205

206 6.

PlanImplementation

6.1 Introduction Effective urban and economic planning by strong, empowered municipal governments is critical to the success of cities in responding to current and future challenges. The Municipality Government’s central role in the coordination of actors that shape urban development and economic growth is becoming even more important as devolved governments are required to address increasingly complex challenges. Planning plays a critical role in directing and controlling land use, urban form, infrastructure, and service delivery as well ensuring resilience of the urban system.

> A safer more peaceful town: the UEP has understood the challenges and risks around conflict and insecurity. It has built on the existing knowledge of the conflict context and its interactions with the VCs, the SAPs, and the Development Framework. Throughout the UEP potential mitigation measures and next steps have been highlighted.

> Increase in the variety of formal employment in the sectors of industrial/agricultural processing, retail and trade, and services. Improve socio-economic opportunities across society, providing employment opportunities and accessibility to facilities to those from SIGs who currently face a lack of income security, in particular Mandera’s youth.

> Improved access to the constrained resources. The Infrastructure proformas look to support existing provision, meet the current demand, and expand to provide for the future demand for resources in Mandera. This includes Water, Waste, Energy, and Transport.

The UEP is an advisory document aligned with the existing regulations and planning policy framework and is built upon the priorities of both the County and Municipality to boost development. The UEP will then support the realisation of benefits, including: > Improve resilience to climate change: the UEP has understood the main climate risks and has integrated resilience building into the VCs, the SAPs, and the Development Framework and its individual Infrastructure proformas.

MANDERA URBAN ECONOMIC PLAN (UEP ) 207

A number of other factors also have an impact on the ability of cities to respond to risks and development needs. These include the skills available in the workforce and within the local authorities, an effective and transparent governance structure, issues shaped by national and regional economic policies and dynamics, as well as access to global financial markets and the global governance of environmental issues. It will be critical to identify potential risks to the implementation of the UEP, including risks and impacts from the current COVID-19 crisis or other external shocks, as well as increasing stresses from the effects of climate change. This will need to be a continuous process of reviewing identified risks starting from planning and design to implementation stages. The proposed UEP and projects within the GBI Development Framework have considered the existing and emerging economic and urban context including institutional and financial capacity of the County and Municipality. The Mandera Municipality Integrated Development Plan 2019-2024 is the guiding instrument to deliver basic services, promote investment with greater socio-economic impact and endorse environmental protection. However, this plan needs to be aligned with a long-term spatial strategy to ensure optimisation of limited developable land, well-coordinated infrastructure delivery and economic development. This long-term plan is in the Integrated Strategic Urban Development Plan 2015-2035 and aims to guide future growth, providing an integrated physical development by setting out the zoning and proposed land uses. The following sections discuss relevant considerations across partnerships, funding and scheduling for the proposed VC and GBI projects and the wider economic development plan. Crucial aspects to the implementation of these are capacity-building, and recommendations for social inclusion, and climate resilience, which are provided further below.

> Value uplift of the agricultural sector and better income security for farmers, with training centres for additional skills and diversification of produce, access to shared resources and service groups with optimal machinery, and best practice techniques that enhanced production, better storage facilities and collection centres, to increase shelf life of perishable products.

> Value uplift to the commerce, markets, and cross border trade through better market infrastructure in the new CBD, better planning around the future of trade, greater integration between the key sectors of Mandera, targeted training and business support.

> Supporting Mandera’s role as a hub for the Mandera Triangle and the wider region, through developing the sectors that pull people in, attracting new businesses to Mandera, and supporting the existing businesses through the VCs and SAPs.

6.2

Mandera and its departments maintain good relations with the County Government and various communication channels exist vertically and horizontally since the municipality is a department on its own and works closely with other departments. Nonetheless, it is imperative for the Municipality to use the good working relationship it enjoys at the county to keep the County Government appraised of progress and developments on SUED projects and to ensure that efforts are coordinated across the County. Failure to put such structures and processes in place will cause significant delays in project formulation and implementation, along with direct impacts on the future roll-out of supporting climate-resilient and inclusive infrastructure and their associated costs.

MANDERA URBAN ECONOMIC PLAN (UEP )208

The following are likely to support the effective implementation of the UEP:

VERTICAL GOVERNANCE RECOMMENDATIONS

HORIZONTAL GOVERNANCE RECOMMENDATIONS

> Other thematic working groups or project teams could be established, drawn from representatives from the government and community stakeholders to develop actions and track its implementation. These groups could be formed around the key sectors and urban elements, such as: markets and trade, waste management, sustainable transport, land use and planning permissions, environmental protection. These working groups and project teams should report back to the Municipality.

Devolution is the backbone of Kenya’s planning policy to transfer power, funds and resources to accountable, transparent and inclusive local governments. Mandera County is one of the two-tier governance systems with granted powers in terms of overarching planning and development within the County territory and in relation to management and governance of Mandera Municipality. The municipal board administers and manages the Municipality on behalf of the County government. The Municipal Manager is the secretary to the board, and he/she oversees day-to-day management of the municipality and implements decisions made by the board in accordance with Urban Areas and Cities Act 2011 (Rev 2017).

Partners and Institutional Structures

The strength of urban governance is one of the biggest issues affecting the ability of cities to respond to major economic and environmental challenges. There are two different aspects of multi-level governance: 1. Vertical governance which refers to the strength of coordination across multiple levels of government at national, regional and local levels; and 2. Horizontal governance referring to the coordination of activities across different sectors of society from local governments to the private sector, civil society, academia and grassroots organisations.

>

Involvement of stakeholders in steering committees and working groups: the MB and a continued PSG should involve a broad range of stakeholders throughout the lifecycle of any SUED VC and infrastructure projects, sharing information and monitoring progress on intended outcomes for different stakeholders.

There are a range of NGOs that are currently operating in Mandera, including: Pastoralists Assistance Group (EPAG) Suisse

National government, IFIs, multilateral institutions and NGOs have ongoing programmes within Mandera County which will provide synergy with the SUED programme and potential for partnerships. For instance, the World Bank is currently undertaking 10 projects that will impact Mandera as part of its NEDI programme which aims to boost shared prosperity for the north and northeastern Counties of Kenya. These include the: > Off Grid Solar Access Project, > Climate Smart Agriculture Project, > Horn of Africa Gateway Transport Improvement Project, > Kenya Devolution Support Programme, > Kenya Urban Support Programme, > Kenya Secondary Education Quality Improvement Project, > Transforming Health Systems Project, > Regional Pastoralist Livelihood Resilience Project, > Kenya Accountable Devolution Program.

> Kenya Red Cross > Habiba International > CERSVI > Solidarity > ALDEF > ADREA > VSF

MANDERA URBAN ECONOMIC PLAN (UEP ) 209 SYNERGIES WITH OTHER DEVELOPMENT PROGRAMMES

> Islamic Relief > CARE > COOPI > HornAid > NAPAD > AMREF > Save the Children > Practical Action > Emergency

The FAO, KALRO, World Bank and BORESHA have also all implemented fodder production and storage programmes across Mandera. A mapping exercise should also be undertaken to identify the existing relationships and partnerships that exist at both Municipality and County level. Existing relationships with multilateral institutions, bilateral institutions, NGOs and think tanks can all be leveraged to support SUED projects. The mapping exercise will also be conducive to building greater coordination between the existing partnerships as well as identification of opportunities for partnerships with new and emerging entities. Existing relationships with multilateral institutions, bilateral institutions, NGOs and think tanks can all be leveraged to support SUED projects. The mapping exercise will also be conducive to building greater coordination between the existing partnerships as well as identification of opportunities for partnerships with new and emerging entities.

Total estimated CAPEX for the UEP Development Framework:

MANDERA URBAN ECONOMIC PLAN (UEP )

The success of the value chain opportunities outlined in 4.3, depends on building strong connections along the supply chains, establishing close partnerships with suppliers of the required inputs to each of the VCs. Close collaboration with farming cooperatives to establish collection networks could support both VCs facilitating and formalising the relationship between VC facilities and those supply inputs to the VCs such as farmers. In terms of delivery of the collection network, this would likely need to be facilitated by the government (County or National) either directly or through local intermediaries in the interim, as part of piloting and attraction of interest and investors. At the moment a private sector model of deliver, such as the Twiga model, may not be suitable for Mandera due to perceptions around insecurity. All of the VCs would benefit from collaborating with the relevant cooperatives in Mandera. There are 32 registered co-operatives in Mandera County, of these cooperatives 18 are currently active These co-operatives cover the key sectors of Mandera including urban, transport, crop and livestock marketing, consumer products, multi-purpose, ‘Jua Kali’, investment and building and construction.

Table 6.1 summarises the implementation costs and delivery for the Infrastructure Projects across the main FAs and the wider Mandera area. Each project is considered by its sub-components; delivery partners and funding sources; capital costs and key cost elements; expected benefits to be realised; and timescale. This brings together from the project information set out in Section 5. It is important to note that these costs do not include various cost items including land acquisition, design, and planning (unless stated, where this could reflect 10-30% of the CAPEX costs). Inflation and optimism bias have not been included at this stage, where this would uplift the cost estimates. There will also be often sizeable operational expenditure which will need to be factored in. At a development concept level, the project implementation is summarised below.

210 VALUE CHAIN PARTNERS

There is a total of 1,524 members in these cooperatives, where just 4% are youths and 16% are women.

Table 6.1 Summary implementation costs estimates

Municipality-wide CAPEX: KES 7.8 billion In terms of the funding scale between private (PPP), public and other sources, the following is provisionally estimated: 75% public sector led (County, CGoK, providers and donors), 20% private and PPP, 5% IFI and donor funding.

There is also need to further consider the role of local and International Somali / Mandera business networks; which have a huge impact in Mandera.

In terms of the cost scale over time, the following breakdown is estimated given the individual project schedules:

Short term CAPEX: KES 17.8 billion Medium term CAPEX: KES 8 billion Long term CAPEX: KES 95 million Source: Atkins, 2021

6.3 Implementation Costs and Potential Funding Sources

Focus Area 2: New CBD CAPEX: KES 17.8 billion

Focus Area 1: Neboi Industrial Site CAPEX: KES 345 million

Private Sector/ Donors/ IFI Climate Funds Total - KES 30 million Short term 4 Biogas plant Waste and Energy Detailed study of waste streams and abattoir to determine suitable waste volumes and potential energy Technicaloutputs*.design and financial modelling of plant. Initial social and environmental analysis and planning, selection of Developmentlocation, of procurement and deployment plan. Develop training plan, for management, operation and maintenance.

Timescale

Enabling infrastructure: Public Authorities KES 185 million Short Medium– term 2 Water Supply at Neboi Industrial Site Water, Wastewater and Sanitation Intake works Water treatment plant Storage tanks Employ local SMEs for the operations and maintenance of the water and wastewater services.

Costing overview Project Title Category Project Sub-Components Implementation Agency and Stakeholders Potential Sources of Financing / Funding and Delivery Mechanisms Estimated Costs (in KES)

Private Sector/ Donors/ IFI World bank KES 35 million Short term 3 TreatmentWastewaterWorks at Neboi Industrial Site Water, Wastewater and Sanitation Wastewater treatment plant Employ local SMEs for the operations and maintenance of the water and wastewater services.

Private investor: Design Build Operate Maintain (DBOM)

Coordination with Municipality, County Government and other interested parties and abattoir operator. Partnering with local, regional or international biogas solution providers to determine appropriate technical and commercial solutions. Maintenance – capacity building programme to ensure continued operation of systems.

Primary funding would be expected from project developer Public sector or donor funding may be available from numerous sources Benchmark - KES 375,000 per kW power output Totaldepending70m-95mKESon size Long Term

MANDERA URBAN ECONOMIC PLAN (UEP ) 211 Table 6.2

Focus Area 1: Neboi Industrial Park 1 infrastructureofDevelopmentindustrial for phase 1 of Neboi Industrial Park Urban regeneration On-site internal roads and network infrastructure (water, power, sanitation, ICT, drainage). Implementation agency / leading partner: private Investor. Supporting Maintenancestakeholders:responsibility of Municipal Government.

Urban Development Feasibility study Concept masterplan to be developed for the pilot area Municipality BIDs Light touch maintenance and animation: NGOs and CBO. Business incubator and any businesses affiliated with it. MC or a mixed entity between Public and PublicPrivate.body funds infrastructure and real estate is built and operated by private Deliveryinvestors.viaMCin coordination with MM, local landowners, and community stakeholder groups. KES 6 billion Medium to Long term 6 TOD businessand incubator Urban Development Reallocating some of land use as multi-modal hub. Design business incubator. Integration of bus terminus into wider design strategy for this plot. BIDsMunicipality(Business improvement district) Maintenance responsibility of Municipal Government: Employ local SMEs for waste services. Light touch maintenance and NGOsanimation:andCBO

9 Bus station and supporting facilities Transport Development of masterplan for new bus station outlining proposed operations, resilience to growth and space for businesses. Bus park and auxiliary facilities. The bus park design and development must involve everyone with a stake in its success: municipal government as main asset owner, tenants, local authorities, local landowners and developers, and the community that will use it.

Focus Area 2: New CBD 5 Urban adjacentbuildingsmixed-useandboulevard

CountyKUSP Developmentgovernmentpartners Masterplan - KES 10 - 20 million Bus developmentparkKES 200 million Total – KES 220 million Medium term

Typically, public funded projects. Potentially: in partnership with local business. KES 11.6 billion Short medium-termto

7 Water supply for householdslow-income Water, Wastewater and Sanitation Household connections for 1000 Rollinghouseholds.loanfundto support the connection of 1000 low-income households. 5 kiosks Water company IFI or Water Sector Trust fund Total - KES 19 million Medium term

Potential Sources of Financing / Funding and Delivery Mechanisms

MANDERA URBAN ECONOMIC PLAN (UEP )212

8 Accessible public toilets in the new CBD Water, Wastewater and Sanitation 2 public toilet blocks Women and girls, the elderly, PLWD, the water company. The water company through the Water Sector Trust Fund. Total - KES 17 million Medium term

Estimated Costs (in KES)

Project Title Category Project Sub-Components Implementation Agency and Stakeholders

Timescale

Project Title Category Project Sub-Components Implementation Agency and Stakeholders

Private investor: Design Build Operate Maintain (DBOM) Waste charities such as Waste Aid Total – KES 215 million Short term

MANDERA URBAN ECONOMIC PLAN (UEP ) 213

facilities compostingandplants

Potential Sources of Financing / Funding and Delivery Mechanisms Estimated Costs (in KES)

Mandera wider municipal and county area 10 managementfloodwaterNatural

KESTotalperKESOperations120stationWaste375Machinerymillion-KESmilliontransfer-KESmillion-10millionannum–67million

12 Material

13

IFI or Water Sector Trust fund 90 million Medium term 11 Formalise collection of Municipal and County waste Solid Waste Purchasing bulk containers. Purchasing waste equipment and Constructionmachinery.of waste transfer stations (6). Ongoing operations. Support from NGOs, community groups, waste pickers. Maintenance responsibility of Municipal Government. Employ local SMEs for waste services. Introduction of Private Public Partnership (PPP) and/or private waste services into waste collection effort. Employment and training by Municipality or private entity/ CBOs. Funding for Personal Protective. Equipment (PPE), collection carts, training and wages for the CBOs. Revenue from charging business and the industrial areas for collection.

Bulk containersKES 168

Timescale

New landfill built to NEMA standards

Flood Management Provide small earth dam /bunded reservoir with a medium-term storage capacity of 9,000m3. Water company Local Council Land Authorities and Landowners

Solid Waste Construction of small/ modular Materials Recovery Facilities In-vessel composting Use of local SME’s for waste services. Support from NGOs, community Collaborationgroups.withfarmers to secure local end markets for soil improver. Introduction of Private Public Partnership (PPP) and/or private waste services into waste collection effort. Employment and training by Municipality or private entity/ CBOs. Funding for Personal Protective. Equipment (PPE), collection carts, training and wages for the CBOs. Revenue from sale of wastes for recycling and fertiliser. Construction - KES 450 Compostingmillion - KES 300 750Totalmillion–KESmillion Short term

Short term recovery

Solid Waste Construction of new engineered sanitary landfill Employment, training and maintenance by Municipality or private entity. IFI/ Donor Finance Private Public Partnership (PPP)

Implementing agency will be the Municipality. They will complete the pre-feasibility study and provide the land to the developer.

Timescale

Financing can be sourced from a number of options, including World Bank funded Kenya Urban Support Programme.

Project Title Category Project Sub-Components Implementation Agency and Stakeholders

Climate Funds Per poleKES 150,000 Per Km depending on spacing – 3.75 –5 Totalmillionbased on 10km of road cover - 37.5 –50 million Medium term

Potential Sources of Financing / Funding and Delivery Mechanisms Estimated Costs (in KES)

Solar power plants are typically financed using a Build, Own Operate model, whereby a solar developer such as Globeleq (refer to case study) provide the finance to design and build the solar plant and negotiate a power purchase agreement with the utility (KPLC) to buy all generated power.

14 Solar powerPVgeneration Energy A pre-feasibility study to determine preferred potential locations, required size including phasing, technical arrangements including preferred technology, and local network connections, commercial arrangement options Outline design of solar park Development of procurement and deployment plan. This will include: Procurement route – best options or engagement with solution providers/ Deploymentcontractorsplan–upskilling of local marginalised groups to work as Developmentcontractorsof maintenance plan, focusing on upskilling of local marginalised groups to work as maintenance staff

Study/designKES 15 million Each instillationsolar - KES 850m – 1.1b Total - KES 3.4 – 4.4b Short term

15 Solar Streetlighting Energy Review current implementation plan Review current commercial and technical arrangements. Design study to ensure suitable coverage of target area. Equipment review and selection. Development of new commercial plan (procurement, deployment, implementation, installation and maintenance). Site selection – municipalities Equipment selection – street lighting design

Constructionspecialist.and implementationOperationmunicipalities.andmaintenance –responsibility of municipalities.

The World Bank also offers advice, sample legal documents and further reading on using a Public Private Partnership route for streetlighting.

MANDERA URBAN ECONOMIC PLAN (UEP )214

Key stakeholders impacted by road improvements that need to be consulted include a range of individual farmers from different socio economic and cultural backgrounds, livestock owners and relevant cooperatives, businesses and local communities

Create an urban street design plan for CBD section of Isiolo Mandera road and Link road to Neboi that follows complete street design UpgradesprincipleswithNMT facilities, streetlights, integration of SuDS, Permeable surfaces and rain gardens Street trees planting and street furniture to improve aesthetic HGV Access control: Road signage, Dedicated loading and offloading bays, Enforcement officers

Isiolo MediuminsectionsOtherShortroadMandera–-termCBD-term

Potential Sources of Financing / Funding and Delivery Mechanisms Estimated Costs (in KES)

16 Solar refrigeration (Cold stores)

Transport

17

Private initiative of local businesses Potential for a Business Improvement District levy on owners and traders Street design plan - KES 10 –30 Completemillion

Timescale

Funding through development partners and County government and KERRA Maintenance through Kenya Road Board – Road Maintenance Fuel Levy Fund (RMLF) Study - KES 20m Per km - KES 50m Total – KES 450 million (Assuming the forNeboilinkstwo-priorityare7km–Link,2kmKoromey)

MediuminvestmentandPrioritisation-developmentProgramShortterm-term

Site selection – municipalities with assistance from national agricultural specialists. Equipment selection – municipalities with assistance from cold chain Constructionspecialists.and implementationOperationmunicipalities.andmaintenance –responsibility of municipalities. Donor funding is available from numerous sources, including Self Help Africa and Agra. Public sector funding may be available from the central government via funding from the Ministry of Agriculture and Irrigation. Per systemKES KESonActual750,000totalbased15systems-11.25million Short term

Energy Mapping of ownership of all local agri and livestock holdings and their product outputs, mapping of current distribution hubs and status of their product storage facilities. Establishment of needs for solar refrigeration systems. Preparation of design brief for refrigeration Developmentsystems.ofprocurement and deployment plan. Develop training plan, for management, operation and maintenance.

Project Title Category Project Sub-Components Implementation Agency and Stakeholders

18

Increase network of all season to raise PrioritiseRAI development link road to Neboi and Koromey Rural road networks fall under the responsibility of national road agencies such as KeRRA and the county government authorities.

MANDERA URBAN ECONOMIC PLAN (UEP ) 215

streetUrban improvements

486Total16controlHGVKES22kmimprovementsComplete20perimprovementsstreetkm-KESmillionstreetforofroad-440millionaccess-KESmillion–KESmillion

Business community Local residents and road users Funded by WB or other potential IFI partners under the Isiolo Mandera road development Fund matching by County Government particularly for maintenance Kenya Urban Support Program

Priority roadandconnectionsroadexpandednetwork Transport Preparation of road sector improvement program

Timescale

20 Suftu Bridge Transport Development of bridge across River Daua at Suftu and improvement of approach roads. Will require interregional coordination with Ethiopia.

Potential Sources of Financing / Funding and Delivery Mechanisms

Project Title Category Project Sub-Components Implementation Agency and Stakeholders

MANDERA URBAN ECONOMIC PLAN (UEP )216

19 Border management Transport Development of Cross Border Trade Improvedstrategy.policy and regulatory environment for cross border trade. Improved border management and customs procedures and operations. Working on both sides of the border is critical to ensuring cross border activity is streamlined Kenya can spearhead the development of these facilities in the region as well as developing bilateral cross-border management systems.

IFI Bilateralfundingfunding from both governments of Kenya and Ethiopia. Kenya has a Customs and Border Control responsible for the management of border crossings and can take the lead in formation of a Joint Border Committees (JBCs) backed up by strong national coordination at the policy level.

Regional dialogues on bridge development and cross border management modalities can be supported through multiregional organisations such as Intergovernmental authority on development (IGAD) and the African Union.

Regional dialogues on cross border management modalities can be supported through multiregional organisations such as Intergovernmental authority on development (IGAD) and the African Union Strategy – KES 10 – 30 million Medium term

The country has a Customs and Border Control responsible for the management of border crossings and can take the lead in formation of a Joint Border Committees (JBCs) backed up by strong national coordination at the policy level.

Estimated Costs (in KES)

Total - KES 600 million Medium term

Annual budget allocation by county government for sensitisation and management initiatives. Support from donkey welfare NGOs. KES 20m annually Short term

21 Donkey management Transport Donkey welfare awareness and training campaigns. Bylaw requiring registry of donkeys. Development of donkey sanctuary. Municipal Government to pass bylaws that mandate donkey registration. Support from trading, community.

MANDERA URBAN ECONOMIC PLAN (UEP ) 217 6.4 Scheduling Section 5 sets out timeframes for the delivery each respective Focus Area. The synergies for each Focus Area are also described in relation to the whole Development Framework. Figure 6.1 demonstrates the full set of proposed VC and infrastructure projects, showing where implementation would suitably begin. Figure 6.1 UEP Development Framework Schedule Source: Atkins, 2021 Focus Area Short term Medium term Long term Focus Area 1: Neboi Industrial Park Focus Area 2: New CBD Mandera wider municipal countyandarea (1) Development of industrial infrastructure for phase 1 of Neboi Industrial Park (4) Biogas plant (5) Urban mixed use block and boulevard (10) Natural Floodwater management (6) TOD and business incubator (11) Formalise collection of Municipal and County waste (7) Water supply for low-income households (12) Material recovery facilities and composting plants (8) Accessible public toilets in the new CBD (13) New landfill built to NEMA standards (9) Bus station and supporting facilities (14) Solar PV power generation (16) Solar refrigeration (Cold stores) (21) Donkey management(17)Urban street improvements (18) Priority road connections and expanded road network 15) Solar Streetlighting (19) Border management (20) Suftu Bridge (3) Wastewater Treatment Works at Neboi Industrial Site (2) Water Supply at Neboi Industrial Site

Projects will also benefit by blending in non-financial support in the form of social capital, such as volunteer efforts from the community. Actions to build social capital include mobilising community organisations and volunteers to be involved with the development and implementation of projects. The most successful mobilisation of human and social capital resources occurs for projects where there is a demonstrated, direct and visible relationship between the project and the future benefits for community and volunteer stakeholders. Examples of projects could include raising awareness campaigns for more efficient use of water and solid waste collection and management.

Green Climate Fund (GCF): The GCF seeks to promote a paradigm shift to low emission and climate-resilient development, taking into account the needs of nations that are particularly vulnerable to climate change impacts including Africa and Small Island Developing States (SIDs). The GCF aims to deliver equal amounts of funding to mitigation and adaptation and its activities are aligned with the priorities of developing countries through the principle of country ownership. The financial instrument/delivery mechanism for the GCF is grants, loans, equity or guarantees.

The National Treasury: This is the Kenyan National Designated Authority (NDA) for the GCF and developed the Kenya National Green Climate Fund (GCF) Strategy126 which has a vision to increase financial flow from the GCF for a climate-resilient society and low-carbon economy.

Examples of projects could include tree planting, provision of, or access to, recreational facilities such as green spaces and SuDS development also aligned with the GBI approach.

The Strategy identifies County governments as critical co-financiers who can take the role of Executing Entities and/ or Implementing Entities of climate-resilient and low-carbon initiatives. The Strategy provides a roadmap for stakeholders in harnessing resources from the GCF.

The Adaptation Fund (AF): The AF finances projects and programmes that help vulnerable communities in developing countries adapt to climate change. Initiatives are based on country needs, views and priorities. The financial instrument/ delivery mechanism used by the Adaptation Fund is grants.

NEMA is the is the National Implementing Entity (NIE) for Adaptation Fund in Kenya.

The World Bank’s Kenya Urban Support Programme (KUSP) has also been identified as a source of potential funding support for some of the UEP projects, including public realm improvements and urban drainage solutions. Private sector finance for a range of sectors is available in East Africa from both local and international sources. Existing investors in the region include impact investors, venture capitalists and private equity funds that are able to provide relevant instruments for the value chain projects such as equity, quasi-equity (mezzanine finance) or concessionary debt. Access to private finance will be contingent on the concrete demonstration of viable business models and strong governance structures.

Funding 126. The Kenya National Green Climate Fund (GCF) Strategy https://www.gcfreadinessprogramme.org/sites/default/files/GCF%20Coordination%20Strategy%20Report.pdf

MANDERA URBAN ECONOMIC PLAN (UEP )218 6.5

Grant funding can help improve the financial viability of projects which have significant, upfront capital expenditures, improving the overall investment appeal of a project and attracting additional private investment as a result. The proportion of grant finance of the total project finance amount should be carefully justified, as simply seeking a maximised grant finance proportion can seed doubts in the private sector about the long-term financial sustainability of the project. Grant funding is also available to less commercially-viable projects with significant socio-economic or environmental benefits, particularly relating to climate change and resilience. They may also be focused on certain activities such as technical assistance in project preparation or capacity development.

The investment experts, as part of the SUED programme, will develop feasibility studies for the proposed projects which will include estimated capital expenditure and operating expenditure requirements. It will likely be necessary to blend and combine a range of different sources of financial and non-financial support to meet the projects’ expenditure requirements. Careful consideration will have to be given to the differing eligibility criteria of the various sources in order to successfully structure blended finance arrangements.

Philanthropic and NGO grant funding could also be leveraged through initiatives such as businesses dedicating 1% of profits to corporate social responsibility (CSR) initiatives.

The Climate Change Act, 2016 requires that deliberate Climate Change considerations are made to ensure mainstreaming in all government plans, policies and programmes, resulting into inbuilt public climate financing of all sectors of the economy. The Climate Change Act, 2016 further created a Climate Change Fund to facilitate climate action. The National Treasury is the National Designated Authority (NDA) for climate finance in Kenya and oversees the implementing entities for various climate finance streams.

The Kenya County Climate Change Fund (CCCF)

The Africa Climate Change Fund (ACCF): the ACCF aims to support African countries transition to climate-resilient and low carbon mode of development, as well as scale-up their access to climate finance. The ACCF serves as a catalyst with a scope broad enough to cover a wide range of climate-resilient and low-carbon activities across all sectors.

MANDERA URBAN ECONOMIC PLAN (UEP ) 219

The Pilot Program for Climate Resilience (PPCR): The PPCR provides funding for climate change adaptation and resilience building. It aims to pilot and demonstrate ways in which climate risk and resilience may be integrated into core development planning and implementation by providing incentives for scaled-up action and initiating transformational change. It is a targeted program of the Strategic Climate Fund (SCF), which is one of two funds within the Climate Investment Funds (CIF) framework. The financial instrument/delivery mechanism for the PPCR is grants and loans. The CIF Secretariat is housed at the World Bank.

The Least Developed Countries Fund (LDCF): The LDCF was established to meet the adaptation needs of least developed countries (LDCs). Specifically, the LDCF has financed the preparation and implementation of National Adaptation Programs of Action (NAPAs) to identify priority adaptation actions for a country, based on existing information. The financial instrument/delivery mechanism used by the LDCF is grants. The Global Environment Facility (GEF) administers the LDCF and Operational Focal Points (OFPs) are responsible for coordination in country. The Ministry of Environment and Forestry is Kenya’s GEF Operational Focal Point.

Mechanism: This improves a County’s readiness to access and disburse national and global climate finance to support community-prioritised investments to build climate resilience, and 5 Counties have so far established CCCFs. The CCCFs are aligned with national priorities set out in Kenya’s National Adaptation Plan (NAP) and enable these County governments to strengthen and reinforce national climate change policies while delivering on local adaptation priorities. The expansion of the CCCF across the country is one of the priorities in the Kenya National Climate Change Action Plan, 2018-2022.

Priority for funding is given to the following themes: supporting small-scale or pilot adaptation initiatives to build resilience of vulnerable communities; and supporting direct access to climate finance. The ACCF gives grants and launches calls for proposals periodically. The Secretariat is housed at the African Development Bank. The financing of climate action is anchored on the Kenyan constitution.

The Special Climate Change Fund (SCCF): The SCCF was established to address the specific needs of developing countries under the UNFCCC with respect to covering incremental costs of interventions to address climate change relative to a development baseline. Adaptation to climate change is the top priority of the SCCF and in addition to this, it finances projects relating to technology transfer and capacity-building in the energy, transport, industry, agriculture, forestry, and waste management sectors. The SCCF is administered by the GEF and its financial instrument/delivery mechanism is grants. The Ministry of Environment and Forestry is Kenya’s GEF Operational Focal Point.

ECONOMIC OPPORTUNITIES AND VALUE CHAINS

Strengthening preparedness and emergency response capacity is critical. This means better preparedness in terms of financing, service delivery and business continuity including budgeting for future crises, emergency operations centres, capacity building, drills, and human resources redeployment plans. This capacity building is recommended for Mandera, where a cross-sector taskforce would be a recommended structure.

The need to work with the private sector for the delivery of urban services and projects is increasing in importance and requires knowledge and skills to support effective implementation of market-driven solutions including PPP mechanisms. The UEP promotes an integrated approach to development and there is a need to ensure silo thinking is removed from planning and delivery. This enables an understanding of what needs to come first in the development process, and the wider dependencies and synergies involved.

COVID-19 LESSONS AND EMERGENCY RESPONSE

Recommendations for Capacity-Building

It will be important for the Municipality to develop an understanding of climate change impacts across different sectors, and exposure to risks and vulnerabilities. Such knowledge should be mainstreamed throughout services and projects to ensure resilience is embedded.

PROJECT IMPLEMENTATION

DATA AND DIGITAL TOOLS

Several areas are recommended for capacity-building for the UEP implementation, with the Municipality and departmental upskilling alongside partnerships and institutional structuring. These would support the effective and integrated approach to sustainable and inclusive economic sector development; infrastructure delivery, operation, and maintenance; and climate resilience future-proofing development.

MANDERA URBAN ECONOMIC PLAN (UEP )220 6.6

Capacity building in project preparation, project management, and delivery and maintenance from the Municipality, particularly when it comes to revenue-generating activities and how to ensure revenue is received and used, is recommended.

Effective data gathering and analysis will support the monitoring of strategic objectives for the Municipality, including UEP project implementation, where capturing stakeholder information can be a key element of this. Data management of Municipality services, such as waste management, public transport service and open space maintenance, will support the Municipality in responding to its resident and business needs as well as monitoring the impact of these services. It is also recommended that digital platforms be developed, with business and community involvement, to better coordinate and deliver in the first instance, boda boda services and support online trading and supply chain linkages.

More specific recommendations are provided in Section 6.8

SOCIAL INCLUSION

The Economic Sector Action Plans (Section 4.2) present recommendations around institutional structures and capacity to successfully develop the key sectors and realise the opportunity from the VC projects. Capacity building for the Action Plans incorporates the County’s educational facilities, the County Government and Municipality, the business community, local community, and sectoral partners, where an Entrepreneurship Centre is aspired to, as local capacity is built.

It will be critical for the UEP implementing agency and its partners to develop an understanding of conflict management and mainstreaming peace-building efforts in their daily development work; including the need for them to have conflict specialists, and sufficient budgets to enable them integrate conflict sensitivity throughout UEP implementation, and monitoring and evaluation.

CLIMATE RESILIENCE

It is recommended that the Municipality and its departments are supported in their understanding and upskilling around social inclusion, including social inclusion awareness creation for the Municipality and its stakeholders to embed a shift in attitudes and reduce discrimination. This is important to open up socio-economic opportunities and infrastructure and services to all groups, improving social cohesion and addressing the significant outcomes of exclusion. This capacity-building within the Municipality would suitably support the better application of inclusive contracts such as the Access to Government Procurement Opportunities (AGPO) policy. More specific recommendations provided further in Appendix D.

CONFLICT SENSITIVITY

Opportunities might take the form of attracting investment for climate-resilient investment programmes, or proactively identifying and supporting new business ventures which respond to changing conditions and consumer demand.

Future developments in Mandera need to be designed to be resilient to climate change, or they risk not meeting development objectives. This requires the establishment of a clear process for including climate risk assessment within development decisions. We recommend targeted capacity-building to increase knowledge and skills of the relevant departments and developing simple approaches that can be used to ensure that climate risks are well-considered in future development. Building capacity among key planners and decision-makers so that climate change can be more widely integrated into County sector and development plans will help ensure that climate risks are adequately considered, and that the Municipality is well-positioned to identify any potential opportunities arising.

> Ensure quotas for PWDs (established by the Persons with Disabilities Act, 2003) are implemented and prioritise SIGs for the programme’s employment and capacity-building opportunities. Ensure employment opportunities do not discriminate against PwHIV/AIDS. If possible, determine target participation of SIGs in the different components of the programme. Ensure all infrastructure adopts inclusive design standards.

> Establish a Gender and Social Inclusion Implementation Unit, which will work under the leadership of the UEP implementation manager to ensure inclusivity proposals in the UEP are implemented and monitored. These recommendations go hand-in-hand with considerations in Section 6.8 and 6.9. The full GeSI Report is provided in Appendix C.

> It would be particularly important to mainstream gender into all stages of the programme and its interventions. This will contribute to better understanding and addressing the programme’s implications for men and women, and to better integrate them to minimise negative impacts over them and maximise the programme’s benefits. The key aim of the programme is to work towards gender equality.

> The introduction of new climate-resilient approaches and technologies that support income generation should be accessible to low-income groups. It is recommended to prioritise culturally appropriate and affordable options, or to provide financial and technical support to these groups. Green jobs should also be available to SIGs by providing them the adequate training.

Considerations for social inclusion have been embedded into the development, design, prioritisation and proposed implementation of the Development Framework and the Economic Development Plan and VC projects. Apart from the specific recommendations for the different projects, key recommendations include:

> Ensure participation of all in the UEP planning, development, implementation, monitoring and decision-making processes. Stakeholder engagement should be a live process of the programme.

MANDERA URBAN ECONOMIC PLAN (UEP ) 221 6.7 Recommendations for Social Inclusion

> Commit to always engage SIGs and vulnerable groups and give them a chance to be informed, to contribute to decision-making, and actively give views on, and participate in, different matters, especially those that affect them. This needs to consider that SIGs are not homogenous groups and that they face different challenges according to their age, gender, ethnicity, religion, education levels, (dis)ability, etc.

> Always communicate to local residents and adjacent businesses about the implementation schedule of the different infrastructure and urban development projects to mitigate the disruption of livelihoods and everyday socio-economic activities. Provide accessible channels to receive and address complaints that might emerge from the development and implementation of the programme.

> Ensure all communication is timely, and in formats and languages that are accessible for all. This may include material for the visually-impaired people (audio, Braille), for people with learning disabilities and literacy difficulties (audio, easy-to-read written material), for people with hearing impairments (written material, sign language), and for people with co-ordination difficulties (easy-to-read written material, audio). The material should also consider people with low-literacy levels.

It is clear that a climate-resilient agriculture and livestock sector will be essential both for driving growth in the County, as well as improving livelihoods and reducing poverty.

We recommend that the County explores whether it is feasible to establish a similar fund for Mandera, or a body designed to attract inward investment of climate and sustainable finance.

> Reducing post-harvest losses

Initiatives such as the Kenya Climate Smart Agriculture Programme provide important learning opportunities and can start to lay the foundations for a resilient agricultural sector. Scaling-up the lessons from this and similar programmes will require a coordinated programme of investment, with potential Focus Areas on: > Training programmes on Climate Smart Agriculture;

The projects and recommendations outlined in this report will help to strengthen the resilience of the Municipality to climate change. While the projects and interventions outlined represent strong foundations on which to build, much more will be needed, both in terms of infrastructure investment, and strengthening institutional capacity, to ensure that Mandera can reach its goals despite the very challenging climate conditions.

Recommendations for Climate Change and Resilience

MANDERA URBAN ECONOMIC PLAN (UEP )222 6.8

Neighbouring Isiolo was one of the pilot counties to develop a County-level climate change fund designed to be used to finance key climate change activities in the County, and deliver locally on the priorities of Kenya’s National Adaptation Plan.

> Enhancing the resilience of pastoralist communities;

There is a need to establish the mechanisms so that traditionally-marginalised groups are included in decisions about both the development and implementation of the development framework, the development concept and the wider decision-making processes on climate risk and resilience. Ensuring that there is representation from groups particularly vulnerable to climate change will reduce the risk that activities designed to increase resilience have unintended consequences and exacerbate existing vulnerabilities and Thereinequalities.arearange of VCs that have been selected across agriculture, livestock, construction, and services individually some of these VCs are vulnerable to climate change, however the diversity across these VCs will in itself be a source of resilience for Mandera. Further to this, there are opportunities to integrate appropriate adaptation measures, as detailed for each prioritised VC in Section 4.3.

Any such fund would need to consider conflict and inclusion, but if designed in the right way, could reduce tensions by helping to support livelihoods and reduce the depletion of natural resources.

This report has highlighted important linkages between poverty, exclusion, climate change, and conflict.

> Improved access to seasonal and 10-day forecasts; > Increased awareness of appropriate insurance products (e.g. weather-based index insurance); and

Key to increasing the resilience of Mandera is the ability to attract funding to implement climate adaptation projects, alongside overcoming barriers to implementation.

The projects presented here have undergone a climate screening process and are designed to meet the basic funding criteria for climate finance, although specific requirements will vary, and full project concepts would be needed. Mandera already has a hot, dry climate, and experiences extremes of temperature. Recent events around the world have demonstrated that there is a significant risk of unprecedented temperature extremes, which may well be more severe than climate models currently capture. For Mandera specifically, there is a risk of extreme heat events that pose a threat to life, and it is therefore important to develop an emergency heat response plan, with clearly identified roles, and measures to reduce the risk of heat-related mortality during possible extreme events.

Initial evidence shows that these funds are effective not only in terms of finance, but also for the coordination of climate resilience programmes among different actors, and there are important lessons that could be applied from the experience in Isiolo in particular.

In Mandera, shared utilities between local communities, such as hospitals, schools, and markets bring different communities together. These facilities have local committees like the Parent Teacher Association (PTA), the Water User Association etc, which comprise members of the various clans that live in the area, and thus share a common vision of improving the services rendered to the public. Markets can be important shared spaces that bring different groups and communities within and across borders together. SUED working with peace committees, water user associations, market committees to build peace through shared utilities under the programme is a feasible approach to ensuring water, waste, energy projects in the Programme are instruments of peace.

> Conflict sensitivity capacity building – train the UEP implementing agency and its partners on conflict management, including the need for them to have conflict specialists and sufficient budgets to enable them mainstream conflict sensitivity and peace-building during and after UEP implementation.

As Mandera is set in a context of ongoing conflict and a tightened security situation, conflict sensitivity that applies the Do No Harm approach has been adopted throughout the UEP development, and must be carried forward to the implementation phase.

Recommendations for maximizing peaceful outcomes in the UEP

> Implementation of conflict sensitive, inclusive climate adaptation measures – climate change events such as floods and droughts are potential conflict triggers in Mandera, given the high competition for water and pasture. As such, adaptation measures such as the development of irrigation schemes, sinking of boreholes etc should all be screened for peace-building impacts.

MANDERA URBAN ECONOMIC PLAN (UEP ) 223 6.9

> Development of a conflict – sensitive Monitoring and Evaluation (M&E) system – the system should cover intended and unintended project results which affect peace in the Municipality. Some of the key questions to be answered by the M&E would be: How is the security situation in the Municipality, and what security risks do project staff members, partners and target groups face? How is the peace and conflict situation most likely to develop and how will this affect the project? What are the unintended results of the project which affect the peace and conflict situation in the Municipality? What are the intended results of the project which affect the peace and conflict situation? How is the security situation in the Municipality?

> Project locations with land take impact – projects that cause economic or physical displacement of residents have triggered conflict in the Municipality in the past, and still can for SUED. Project sites likely to cause displacement must therefore be avoided, and where unavoidable, alternative land or compensation should be planned for before project implementation.

Considerations for mainstreaming peace-building have been embedded into the development, design, prioritisation and proposed implementation of the UEP. This has been done throughout to ensure: conflict-sensitive infrastructural development; conflict-sensitive economic development planning and value chain projects and; conflict-sensitive climate adaptation measures. In addition to the specific recommendations made for the different projects in-UEP, overarching recommendations include:

> Strengthening legitimate local groups and institutions (e.g., markets) – identified as connectors/drivers of peace.

> Equitable resource distribution – development investments such as SUED’s are possible triggers of conflict, if they are perceived to only benefit sections of the community. For peaceful implementation of the UEP projects therefore, job opportunities, works contracts, capacity-building opportunities etc. that emanate from the programme will need to be shared fairly among Municipality residents.

> Skills development and employment promotion along the Municipality’s value chain projects and infrastructure proposals. The aim of skills development and employment promotion is to facilitate everyone’s but more specifically, SIGs’ access to decent employment and income. Skills development will enhance individuals’ employability, improving the match between the labour market demand and supply, and job creation initiatives. Young people are the main target group for skills development and employment promotion. They are a key asset for the Municipality from a social and economic point of view, despite the challenges they face currently with unemployment, substance abuse and radicalisation.

> Managing the risk of elite capture of infrastructure projects e.g. selecting or prioritising road alignments or water supply points that benefit only certain groups while excluding others. The implementing agency should conduct independent public consultation for projects and should avoid subjective influence from politicians or other quarters in determining project locations and/or beneficiaries.

Following the completion of the UEP, during the next phase of the SUED Programme the proposed projects will be developed further by: Capacity building specialists to help: > Enhance municipal and local capacity to implement the identified projects, and; > Enable revenue generation to ensure financial sustainability beyond the programme. $ $ Investment climate advisers: > Will help remove or amend policy and regulatory constraints to private sector led urban development and growth. Investment experts to help: > Develop feasibility studies and business cases for specific projects to establish their bankability, and; > Develop investment promotion strategies to draw in investment (including seed financing through the programme).

MANDERA URBAN ECONOMIC PLAN (UEP )224 6.10

Next Steps

Source: Atkins, 2021

Report Appendix B - Technical Briefing Paper Appendix C - Gender and Social Inclusion Study Appendix D - Climate Change Vulnerability Assessment Appendix A, B, C and D have been submitted as separate documents.

Appendix - Diagnostics

MANDERA URBAN ECONOMIC PLAN (UEP )226

A

MANDERA URBAN ECONOMIC PLAN (UEP ) 227 Appendix E - Sample Do No Harm checklist

> Why? Why is the project keen on the DNH approach? Is the reason for applying the approach still significant?

> When? Is the time chosen for the implementation of this specific project or activity the right one? What aspects of the current situation make ‘now’ the right time for our intervention? Why us, now? How long is our project going to last? How will we know when our project is finished? What criteria do we apply for this? What will have changed and how will we know? Do we have an exit strategy?

> What? What are the specific resources that are transferred with the implementation of this project/ activities? Is the content of the project in line not only with economic needs of the community but also with peacebuilding needs?

Do we have a conflict-sensitivity Lead/Champion? How exactly do we do our work? How exactly do we act? Are all human resources in the project conflict-sensitive? Do they lead by example?

What were the criteria for hiring these people? Are certain (ethnic, social, political, religious, clan, gender, disability, generation) groups left out because of existing disadvantages in their qualification?

Do we still have a well-defined relation to peacebuilding needs? What do we hope to stop or change through applying the DNH approach to this specific project? What is the added value that the Municipality brings to addressing this need in this project?

This is a list of questions that the UEP implementing agency can customise to specific Value Chain projects, infrastructure or development projects during implementation to ensure they keep the Do No Harm Approach alive at the implementation phase.

> With Whom? Who are the beneficiaries? Who is left out and why? Who else benefits from this project?

> By Whom? Who are our staff? How were they selected?

> How? What is the delivery mechanism of this project?

Has the DNH rationale and strategic approach changed?

> Where? Why did we choose this project area/location? What criteria did we use? Are the criteria still valid? Which region and which groups did we leave out and why? Why did we rent these buildings? From whom? Why do we drive this route? Why do we buy these resources here?

PRODUCTION PRINCIPLES

SITE CLEARANCE

SUSTAINABLE DESIGN AND CLEANER

SITE INVESTIGATION SURVEY AND TECHNICAL STUDIES

DETAILED MASTER PLAN

SHARED UTILITIES AND LOGISTICS

127. SEZ Authority website, accessed at: Developer-Road-Map | Special Economic Zones Authority (sezauthority.go.ke)

This should be carried out to include a market demand analysis, a conceptual master plan, an economic impact assessment, a financial model, a Strategic Environmental Assessment (see below) and any other applicable regulation or guidelines including SEZA regulations if required.127

> The clustering of business and industries within the park promotes the shared use of facilities such as warehouses and logistics, training and meeting facilities, and parking areas. This allows the park to benefit from economies of scale and achieve efficient infrastructure services and economic gains by reducing overhead costs; and

MANDERA URBAN ECONOMIC PLAN (UEP )228 Appendix F - Sustainable Design Guidelines for Green Industrial Park

> Promote tailored strategies for the industrial park in order to take advantage of its unique characteristics and address local climate risks; for incorporating flood risk in the planning process, and using trees and green space to reduce heat exposure;

FEASIBILITY STUDY

This should include key ancillary facilities and land uses, buildings layout, plot sizes, utilities provision, parking and loading bays, infrastructure including buffer zones to protect environmental assets bordering the site, with a phased action plan to guide the development of the site. This may be accompanied by a Strategic Environmental Assessment (SEA) in line with the local regulations.

Vegetation of no biodiversity and ecological value should be cleared from the site and could be composted or used for charcoal or briquettes rather than sent to the dumpsites. No waste is to be burned or buried on site or dumped in the rivers. Any other waste or materials identified could be used in construction of the industrial park, such as bricks and rubble that can be crushed and used as aggregate.

> Promote the design of passive buildings to reduce electrical cooling, ventilation and lighting while guaranteeing comfortable conditions for all users; > Integrate greening and landscape as a key element to provide shade and relief from heat, and help improving the air condition and pollution; and > Inclusion of water management and water efficiency measures as outlined below.

A walkover survey should be carried out to identify if there is any particular area of environmental sensitivity and ecological value within the site, if any hazardous waste has been dumped there in the past, and to remove it before main site preparation. Although the site is relatively flat, a topography analysis, geotechnical and hydrogeological studies as well as flood risk assessment from the Daua River should be carried out to identify the characteristics and properties of the soils and ground conditions, and drainage patterns, to support the future infrastructure. Both the drainage and flood risk assessments should explicitly account for climate change driven changes in rainfall intensity, and the size and frequency and floods on the Daua River.

> To foster the implementation of smart technologies to achieve a good and efficient management of the shared facilities, such as providing sustainable public transport for employees.

A well-planned and organised green industrial park is defined by a set of principles that should guide the planning and design, construction, operation and maintenance of the park. These principles are grouped under a) sustainable design principles and b) resource efficiency and cleaner production.

CLIMATE RESILIENCE AND PASSIVE DESIGN PRINCIPLES

RESOURCE EFFICIENCY AND CIRCULAR ECONOMY

> To design an urban layout which optimises the network infrastructure, reducing vehicle movements while promoting walking and cycling and the use of electric vehicles within the industrial park;

> The urban design needs to focus on improving the public space network with a streetscape which promotes healthy and active lifestyles where residents and workers are encouraged to walk rather than travel by car; and

To be followed by industries and businesses on the site during the industrial process, products and services: RENEWABLE ENERGY AND ENERGY EFFICIENCY

> Waste to be appropriately disposed and treated.

> To encourage industries to generate as little as possible of hazardous materials; and

LOCAL AND INCLUSIVE COMMUNITY EMPLOYMENT TO ENHANCE THE SOCIAL PERFORMANCE BY

> To promote sustainable urban water cycles by implementing rainwater collection, storm water retention and harvesting techniques and wastewater recycling;

> To promote the use of smart technologies to digitalise transport infrastructure allowing the exchange of information in between vehicles, drivers, passengers, and transfer hubs. An example of these are streetlights capable of monitoring parking spaces as well as traffic patterns.

> To encourage industries to reuse and recycle water to reduce water consumption;

> Waste generated in the production to be recovered when possible through sorting, cleaning, conditioning, that can be used as raw material for other industries and businesses; and

> Creating local jobs; > Providing better working and labour conditions; > Fostering gender, age and (dis)ability sensitivity in the green industrial park’s operations; > Providing better security by embedding security features in the park’s design; > Providing social infrastructure to the workers and community; and > Improving occupational health and safety.

> To re-use the by-product from one industry as an input for another

URBAN DESIGN PRINCIPLES TO GUIDE FUTURE DEVELOPMENT

CLEANER PRODUCTION GUIDELINES AND PRINCIPLES

> To use renewable energy sources such as solar energy, wind power, biomass or hydroelectric power; and > To identify opportunities for common energy and heat exchange networks. For example, at some point in the future this area could be a potential location for an incinerator that would reduce miles that waste is transferred from the industrial park as well as providing heat and electricity, if it is a combined heat and power incinerator.

> To encourage the use of smart technologies and automation to achieve an efficient use of natural resources and industry outcomes;

SUSTAINABLE TRANSPORT

> To promote the efficient use of water resources and ensure good water quality while protecting environmental assets.

> To encourage sharing facilities resulting in a reduction of private car usage;

MANDERA URBAN ECONOMIC PLAN (UEP ) 229

CLEAN AIR AND LOW POLLUTION

> To support industries which minimise emissions;

> To foster industries which reduce industrial environmental footprint by minimising waste and emissions;

WATER MANAGEMENT

> Maximise the resilience of the ecosystems through landscape, using plants for cooling and air purification. Increase the number of tree planting to absorb CO2

LANDSCAPE AND BIODIVERSITY

> Polycentric and diversified land uses by creating mixed use neighbourhoods which become sustainable and self-sufficient.

> Provide ways to facilitate management of risks and disaster reduction through smart technologies, inclusive to all, in order to achieve resilient and sustainable developments.

FLEXIBLE DESIGN > Foster the design of flexible uses and spaces to create resilient cities to physical, social and economic challenges.

> Invest in green and open spaces to increase public safety and quality of life for the community.

> Utilise local renewable energy sources such as solar energy, wind power, biomass, or hydroelectric power to reduce the demand of fossil fuels.

> Smart integrated renewable energy systems should be implemented to achieve an efficient use of natural resources by distributing surpluses based on demand.

SUSTAINABLE TRANSPORT

> Promote responsible consumption to residents.

> Mixed use and compact urban development will reduce the demand for motorised mobility requirements, helping to reduce carbon emissions and from a demographic perspective will encourage social integration and diversity.

MANDERA URBAN ECONOMIC PLAN (UEP )230 Appendix G -

> Rethink the waste management system to turn waste into resources.

> Measures including recycling, up-cycling and composting waste to produce energy, i.e. plant and animal waste to produce energy sources, biomass. Special attention and studies need to be given around the reuse of industrial waste.

ZERO-WASTE

Future Development

The following design principles guide the development of infrastructure proposals and the “15-minute neighbourhood” concept is naturally weaved across projects:

Cities are able to face and adapt to local but also global changes and dynamics, such as current social distanced measures due to the COVID-19 pandemic which require a flexible use of space.

CLIMATE RESILIENCE AND PASSIVE DESIGN

> Promote and prioritise public transport, cycling and pedestrian circulation over vehicular.

> Promote tailored strategies for each localised development and take advantage of their unique characteristics and to address local climate conditions, such as reducing urban heat island (UHI), and mitigating global climate change effects.

Urban Design Principles to Guide

> Promote the use of smart technologies by using information to digitalise transport infrastructure allowing the exchange of information in between vehicles, drivers, passengers and transfer hubs, optimising traffic flows. An example of these are streetlights capable of monitoring parking spaces as well as traffic patterns.

> The urban design should focus on improving the public space network and designing cities with a streetscape which promotes healthy and active lifestyles where residents are encouraged to walk rather than travel by car.

> Promote the design of passive buildings and districts to reduce electrical cooling, heating, ventilation, and lighting while guaranteeing comfortable conditions for all users.

COMPACT URBAN FORM AND MIXED USE

CLEAN ENERGY

> Encourage the urban revitalisation and regeneration in favour of the new development.

WATER MANAGEMENT

> Data driven smart city technologies should be part of the water management strategy improving its resilience.

> Promote social equity by providing affordable housing and student accommodation.

MANDERA URBAN ECONOMIC PLAN (UEP ) 231

> Promote a sustainable and efficient manufacturing and agricultural industry, fostering innovation.

> Promote the use of smart technologies to achieve healthy and inclusive communities. Examples of these are apps on phones which support people to navigate within cities and buildings, and the use of street lighting that can monitor air quality and temperature.

> Encourage the shortening of supply chains by using local materials and food, manufacturers and techniques, activating the local economy, minimising transport requirements, and promoting local knowledge and experience.

INCLUSIVE, DIVERSE AND HEALTHY COMMUNITIES

> Promote sustainable urban water cycles by implementing rainwater collection, storm water retention, harvesting techniques and wastewater recycling.

LOCAL AND SUSTAINABLE MATERIALS

> Promote efficient use of water resources, such as in drip irrigation, and ensuring good water quality while protecting environmental assets.

> Integrate a diverse range of economic and cultural activities maximising social diversity and interaction of users within each zone. This could be achieved by promoting mixed-used districts, which can benefit from 24-hour liveable cycles.

MANDERA

URBAN ECONOMIC PLAN (UEP )

Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.