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Road Annuity Lot 32 Project in Kenya

$51.44 million
Environmental and Social Review Summary
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Environmental and Social Review Summary

Road Annuity Project in Kenya (Lot 32)

This Environmental and Social Review Summary (ESRS) is prepared by MIGA staff and disclosed prior to the date on which MIGA’s Board of Directors considers the proposed issuance of a Contract of Guarantee. Its purpose is to enhance the transparency of MIGA’s activities. This document should not be construed as presuming the outcome of the decision by MIGA’s Board of Directors. Board dates are estimates only.

Any documentation that is attached to this ESRS has been prepared by the project sponsor, and authorization has been given for public release. MIGA has reviewed the attached documentation as provided by the applicant, and considers it of adequate quality to be released to the public, but does not endorse the content.

A.  Project Description

The ESRS has been updated on June 30, 2022. 

Sinohydro Corporation Ltd (“Sinohydro”), Standard Bank of South Africa Ltd (“Standard Bank”), and Stanbic Bank Kenya Limited (“Stanbic”) (the “Guarantee Holders” or “GHs” or “Project Sponsors”) are seeking MIGA guarantees for their equity and non-shareholder loans into Skar Lot 32 Development Corporation Limited (the “Project Company” or “Project Enterprise”). The requested guarantees are against the risks of transfer restriction, expropriation, breach of contract, and war and civil disturbance, for a period of up to 10 years, for the construction, rehabilitation, upgrading, operation, and maintenance of an existing 66.5 kilometer (“km”) rural road in Kenya, also known as the Lot 32 Illasit-Njukini-Taveta Road (the “Project”). The Summary of Proposed Guarantee for the Project is available here

The Project constitutes part of Phase I of a national road annuity program comprising upgrading of up to 10,000 km of roads in Kenya over five years with total investment estimated at US$2.8 billion (the “Program”). The Program aims to assist the Government of Kenya (“GoK”) to close its infrastructure gap through a number of selected Public Private Partnership (“PPP”) road projects. Phase I of the Program entails the upgrading of 2,000 km of such roads, including this Project (“Lot 32”). The Program will be implemented through individual concessions awarded to investors on a PPP basis. MIGA’s other supported guarantees under this Program include Lots 15 and 18, which include the construction, rehabilitation, upgrading, operation and maintenance of 16 roads that total 80 km in length, that will be upgraded from gravel to asphalt standards, located in Central and Western Kenya.

The Project was awarded to the Project Company in March 2015 following an international competitive bidding process overseen by the country’s PPP Unit and in line with the PPP Act of Kenya, 2017. The Project Company has signed a Project agreement with Kenya National Highways Authority (“KeNHA”, the “Contracting Authority” or “CA”) in May 2019 for implementation of the Project. As a build-operate-transfer Project, it has a ten-year concession period (including two years for construction and eight years of operation). After the ten-year period, the Project will be handed over to KeNHA. Apec Consortium are the design engineers of the Project, while Sinohydro are the Engineering, Procurement, Construction (“EPC”) Contractor and Operations and Maintenance (“O&M”) Contractor

The road connects Illasit centre in Kajiado County to the A23 road at Darajani junction in Taita-Taveta County. While the road will be considered a Class B Road because it links nationally important centers; however, the design elements of the road remain that of a Class D Road.  

Based on the preliminary design, the main elements of the Project include the widening of the existing lanes to include: a carriageway width of 6.5 meters (m), 1-m shoulders, drainage facilities (drainage ditches and a cross fall of 2.5% and 4% slopes for the carriageway and shoulders, respectively), as well as culverts, bridge, footpaths, bus bays and construction traffic diversions. In addition, secondary (or temporary) components of the Project include the following: (i) one workers’ camp; (ii) 19 up to 21 borrow pits; (iii) five spoil sites; (iv) one aggregate quarry; (v) one concrete batching plants; (vi) one asphalt batching plant; and (vii) one fabrication yard. The Right of Way (RoW) ranges between 25 m and 40 m in width. The design of the Project has been optimized such that all the road primary design elements and activities shall be confined within the construction width to minimize environmental and social (“E&S”) impacts.

The Project is expected to employ a maximum of 500 workers during peak construction. The number of workers during the operations phase is yet to be confirmed. Construction is planned to commence in 2022 and there will be several construction crews working simultaneously, including the earth-works team, structure team, base team and pavement team, at different sections in accordance with the work program and milestone requirements.


The Project is classified as Category A according to MIGA’s Policy on Environmental and Social Sustainability (2013).The key environmental and social (E&S) risks/impacts associated with the Project during construction and operation include: (i) the economic displacement of approximately 82 Project Affected People (PAPs); (ii) impacts on the Indigenous Maasai People; (iii) impacts on wildlife due to migratory routes located within the Project area, specifically routes from Amboseli National Park to Tsavo West National Park; (iv) increased human-wildlife conflict; (v) labor influx and working conditions;(vi) community health and safety, including traffic safety; (vii) waste generation; (viii) soil erosion; and (ix) occupational health and safety.

While all Performance Standards (PSs) are applicable to this investment, information available at the time of MIGA due diligence indicates that the Project will have E&S impacts which must be managed in a manner consistent with the following Performance Standards (PSs):

  • PS1:  Assessment and Management of Environmental and Social Risks and Impacts
  • PS2:  Labor and Working Conditions
  • PS3:  Resource Efficiency and Pollution Prevention
  • PS4:  Community Health, Safety and Security
  • PS5:  Land Acquisition and Involuntary Resettlement
  • PS6:  Biodiversity Conservation and Sustainable Management of Living Natural Resources
  • PS7:  Indigenous Peoples

The Project Environmental and Social Impact Assessment (ESIA) has not identified cultural heritage within the Project site and therefore PS8: Cultural Heritage is not triggered. However, the Environmental and Social Management System (“ESMS”) will include a “chance finds” procedure as a precautionary measure for the construction and operations phase of the Project.

In addition, the following World Bank Group Environmental, Health, and Safety (WBG EHS) Guidelines are applicable to the Project:

  • General EHS Guidelines (2007);
  • EHS Guidelines for Toll Roads (2007)[1]; and
  • EHS Guidelines for Construction Materials Extraction (2007).

The following Guidance Note and Advice may serve as further guidance on E&S risk management

  • Workers’ Accommodation: Processes and Standards. A Guidance Note by IFC and the EBRD (2009).
  • IFC (2020) Interim Advice for IFC Clients on Safe Stakeholder Engagement in the Context of COVID-19.

[1] The EHS Guidelines for Toll Roads include information relevant to the construction, operation and maintenance of large, sealed road projects including associated bridges and overpasses.

In preparing this ESRS, MIGA reviewed a wide range of Project-related information. While a complete list of documents and data reviewed is presented in Annex 1 key documents included:

  • Updated Environmental and Social Management Plan for the Illasit-Njukini-Taveta Road Project, KeNHA, 2019
  • Provision of Consultancy Services for the Feasibility, Environmental and Social Impact Assessment Studies of Taveta-Njukini (D536) Road Final Environmental and Social Impact Assessment Study Report, Kenya Rural Roads Authority, 2014.


Due to the ongoing COVID-19 global pandemic, MIGA was unable to carry out an E&S due diligence visit of the Project.


MIGA’s due diligence review considered the E&S management planning process and documentation for the Project and identified gaps between these and MIGA’s requirements. Where necessary, corrective measures, intended to close these gaps within a reasonable period, are summarized in the paragraphs that follow and in the Environmental and Social Action Plan (“ESAP”) attached to this ESRS.  Through the implementation of these measures, the Project is expected to be designed and operated in accordance with the requirements of the applicable Performance Standards.

Key E&S risks/impacts associated with the Project are summarized in the paragraphs that follow.

PS1:  Assessment and Management of Environmental and Social Risks and Impacts

Environmental and Social Assessment and Management System


Sinohydro has prepared Occupational Health, Safety and Environmental (“OHSE”) Policy (2014), which is applicable to the construction and operation of the Project, sets out the Project’s commitments to protect the environment, health and safety of employees, contractors and the surrounding communities, in compliance with national legislation and international standards.

Identification of Risks and Impacts

An Environmental and Social Impact Assessment (“ESIA’) study was carried out for the Project in 2014, in line with national legislation. At the time of the ESIA, the Project Proponent was the Kenya Rural Roads Authority (“KeRRA”).In addition, the following management plans were prepared for the Project: (i) a Construction Environmental and Social Management Plan (“CESMP”) prepared in 2019 for the Project’s construction phase by the EPC Contractor; and (ii) an Environmental and Social Management Plan (“ESMP”) prepared in 2019 by the CA to integrate the CA’s performance requirements into the Project’s E&S management. The CESMP and ESMP were prepared in compliance with national standards and based on the 2014 ESIA baseline.

Given the time that has passed since the ESIA, and to ensure compliance with the requirements of the PS (which were not considered in the 2014 ESIA), the CA, together with the GH, will update the ESIA, ESMP and CESMP for the construction, operation and decommissioning phases, in line with national legislation and the PSs (ESAP action item #1). As the current ESIA license and conditions therein are the responsibility of KeRRA, the GH will submit the ESIA approvals (and conditions of approval) once granted by the National Environment Management Authority (“NEMA”) to either the Project Enterprise or the CA (ESAP action item #2).The Project Enterprise will also provide MIGA with the ESIAs for the quarry and crusher plant as part of the updated ESIA (ESAP action item #1) and provide MIGA with the approval (and conditions of approval), once granted by NEMA (ESAP action item #2). Potential cumulative impacts were not considered as a part of the original ESIA, and therefore, assessment of potential cumulative impacts will be included as part of the ESIA study (ESAP action item #1).

Kenya predominately has two distinct rainy seasons, the “long rains” from March to May and the “short rains” from October to December.  These rainy seasons are both driven by the Inter Tropical Convergence Zone which results in distinct spatially variable rainfall patterns across Kenya.  Western Kenya and in particular the Lake Victoria Basin region typically receive the highest rainfall totals - Kisumu and Kisii often observe more than 1500 millimeter (“mm”) of rainfall per year. Moving further east and north across Kenya, annual rainfall totals drop with the region in North Eastern Kenya often being the driest.

The Lot 32 Illasit-Njukini-Taveta Road occupies regions in which extreme rainfall is projected to increase under accelerated climate change and Sinohydro will adopt Kenyan road design standards   to ensure adequate culverts and drainage channels are constructed to limit the potential for flooding

Management Programs

As mentioned previously, both a CESMP and ESMP were prepared in 2019, and will be updated as part of the process to update the ESIAs. In addition, the EPC Contractor has 16 existing corporate Standard Operating Procedures (“SOP”s) developed in 2015, as well as a Quality, Environment, Occupational Health and Safety Management System (“QESHS”) Management Manual (dated 2010). Furthermore, an Environmental and Social Due Diligence (“ESDD”) was carried out for the Lenders (Standard Bank) in 2018 and Sinohydro is in the process of implementing its ESAP, which is aligned to the MIGA ESAP.

Based on the EPC contractor’s corporate system, the Project will develop and implement an Environmental and Social Management System (“ESMS”) for its construction and operational phases, in line with PS1 requirements (ESAP action item #3). The ESMS will incorporate the updated ESIA, ESMP, CESMP, Lender’s ESAP, SOPs and QESHS manual. Decommissioning plans for the contractor camps and material sites will be developed that include rehabilitation of all material sites, which is the responsibility of the EPC Contractor (ESAP action item #4).

Organizational Capacity and Training:

The EPC Contractor will appoint a suitably qualified EHS Manager that will be responsible for keeping track of overall performance in terms of OHSE (ESAP action item #5). Furthermore, Sinohydro will appoint one Community Liaison Officer (“CLO”) per County (two in total), both of whom will be based in the Project area (ESAP action item #6). The CLOs will report directly to the EHS Manager and support the implementation of the external Grievance Redress Mechanism (“GRM”) and support local recruitment.

The EPC Contractor has provided a methodology for skills transfer that includes considerations for the youth, women and vulnerable groups. In addition, an Environmental, Health and Safety (“EHS”) Training and Awareness procedure will be developed for all staff as part of the ESMS (ESAP action item #7). The procedure will detail the EHS training that will be identified and implemented during the Project and will include both formal and informal training requirements.

Emergency Preparedness and Response

An Emergency Preparedness and Response Procedure will be developed as part of the ESMS (ESAP action item #3). This Procedure will include descriptions of potential emergency scenarios related to construction and operations. The Procedure will also include natural disaster and project-induced emergency scenarios and a description of the roles and responsibilities of emergency coordinators, available local services that can support in an emergency, and a description of the general evacuation and response training that will be required for emergency scenarios. The procedure will apply to staff of both the EPC Contractor and sub-contractors. The ESMS will also include a COVID-19 Risk Management Plan.

Monitoring and Review:

The Project will compile and submit the following annual statutory reports in line with national legislation: (i) environmental audit reports; (ii) fire safety audit reports; and (iii) safety and health audit reports. The Project will also provide MIGA with an Annual Monitoring Report (AMR) that contains copies of these reports as well as reports on compliance with the PSs. In addition, the CA will conduct regular E&S site visits to the Project roads. Findings from the site visits will be raised with the EPC Contractor and shared with MIGA as part of the AMR.

The ESMS will also include a Monitoring and Measurement Procedure (ESAP action item #3), which will describe the overall requirements to ensure that there is adequate control of significant environmental and social aspects as well as compliance with local EHS legislation and requirements and the PSs.

Stakeholder Engagement:

Stakeholder engagement for the Project has been carried out as follows: (i) as part of the 2014 ESIA, that included structured questionnaire interviews and public meetings; (ii) additional public meetings in November 2019 as part of the preparation of the CA’s ESMP; and (iii) additional consultative meetings that were not documented, but reported by both KeNHA and the EPC to have been carried out in January 2020 and facilitated by local chiefs during a road asset condition survey. Concerns raised by Affected Communities were on the following issues: employment opportunities, displacement, disruption of livelihood activities, drainage, noise, material sourcing sites, Corporate Social Responsibility (CSR) programs and the Project schedule.

Extensive stakeholder engagement will be undertaken as part of the updated ESIA and during the development of the Resettlement Action Plan (RAP) as well as in compliance with the IFC (2020) Interim Advice for IFC Clients on Safe Stakeholder Engagement in the Context of COVID-19 (ESAP action item # 1). Therefore, a full range of stakeholders will be consulted to gather local knowledge for determining baseline conditions, understand perceptions of the community regarding impact significance, and propose meaningful mitigation measures. In addition, a Stakeholder Engagement Plan (SEP) will be developed for the ESIA, construction and operation phases of the Project, in line with the PSs (ESAP action item #8).The SEP will outline the Project’s objectives in terms of stakeholder engagement and describe the activities to be conducted with the stakeholders during each stage of the Project’s development. The SEP will also include procedures for documenting engagement activities.

External Communication and Grievance Mechanisms:

As part of the ESMS, the Project will develop and implement a GRM for external grievances. The GRM Procedure will describe the steps to be followed to collect, record, evaluate and respond to complaints and grievances raised by external stakeholders. The means for submitting the grievances will include verbally, in writing and anonymously. As part of the GRM Procedure, the Project will ensure ongoing reporting to affecting communities.  

PS2:  Labor and Working Conditions

As mentioned earlier, the Project is expected to employ around a maximum of 500 workers during peak construction. Local labor will be prioritized for non-specialized tasks. As mentioned previously, the number of workers during operations has not been confirmed yet.  Prior to recruitment, the Project will develop a procedure to confirm that priority is given to the local community members for unskilled and semiskilled labor and develop a register of interested / eligible workers(ESAP action item #9).Workers’ Camps will be provided at two locations along the Project road for management staff and the EPC Contractor will develop a worker accommodation plan in line with European Bank for Reconstruction and Development (EBRD and the International Finance Corporation (IFC) guidelines for worker accommodation (ESAP action item #10)). Construction workers will be hired from the local community and the EPC Contractor will provide a housing allowance for them.

Working Conditions and Management of Worker Relationship

Sinohydro will develop a Human Resource (HR) policy and procedures in line with PS2 requirements for the construction and operations phase of the Project and ensure that any day laborers also have written contracts (ESAP action item #11). The HR policy and procedures will include provisions for working conditions; terms of employment; non-discrimination and equal opportunity; grievance mechanism; occupational health and safety; and the prohibition of child and forced labor.

The Project will produce and actively use a project labor commitment (policy statement) in line with PS2, including a specific gender commitment (ESAP action item #12). The Project will also develop and implement a code of conduct and action plan to help prevent gender-based violence (“GBV”) both at management and worker level (ESAP action item #13). As part of the HR Policy, the Project will develop and implement a sexual harassment policy according to PS2 requirements (ESAP action item #14).

Occupational Health and Safety:


During construction, the workers will be exposed to hazards and risks including from moving machinery; noise, dust and exhaust emissions; confined spaces and excavations; working at heights; working over water bodies; hazardous and flammable materials; and hazardous waste. Additional risks include road accidents and as such the Project Enterprise will ensure that the following mitigation measures are applied: safety signs, barriers, speed limits appropriate for construction zones, traffic calming measures and visible Personal Protective Equipment (PPE).


As part of the ESMS, the QHSE Manual will be incorporated into a Health, Safety, Social and Environmental (HSSE) Aspects and Risk Assessment Procedure will be developed. Prior to the commencement of work, an assessment of the proposed impacts associated with the intended activities on the receiving environment will be undertaken.  In addition to the HSSE aspects/hazards under direct control of the Project, the scope will include an assessment of the aspects/hazards that the Project cannot influence.


There will be safety officer and trained first aider on site with separate first aid room, liaison mechanism with local hospitals and other institutions will also be established in case of any emergency. A COVID-19 epidemic prevention and control measures will also be planned and implemented by the EPC Contractor.


Workers Engaged by Third Parties:

The EPC Contractor will include EHS provisions in contracts with other sub-contractors providing services to the Project’s operations (ESAP action item #15) and similarly for its primary suppliers (ESAP action item #16). These provisions will include as a minimum: compliance with labor legislation and the Performance Standards, terms of OHS management, and access to a workers’ grievance mechanism including review and response to anonymous complaints. The Project will monitor third-party compliance with approved EHS requirements.

PS3:  Resource Efficiency and Pollution Prevention

The potential environmental impacts from construction and operational activities for the Project identified during the ESIA process include impacts on air quality; noise and vibrations; waste generation; and material sites and borrow pits. The relevant recommendations and mitigation measures suggested in the ESIA will be incorporated into the construction contract documents and monitored by Sinohydro.

Resource Efficiency

The Project will require several resources including approximately: 13,506 tons of cement; 65,418 cubic meters (“m³”) of aggregate; 17,001 m³ of quarry dust; 2,326 m³ of sand; 755 tons of steel bars; 3,727 tons of bitumen, 330, 723 liters of kerosene; 5,099,129 liters of diesel; and 1,704 m³ of water. The fuel will be stored in the Contractor camp and at the quarry during the construction phase.

 All required resources will need to be used efficiently, and all wastes managed in accordance with the waste management hierarchy, where avoidance of waste generation is the first priority to avoid or minimize pollution as much as possible. Baseline ambient conditions soil, water, air and noise, as well as water resource use and availability, will be measured as part of the ESMP for construction phase (ESAP action item #1), to inform the management plans and risk assessments.

In addition, and as per the ESAP, the Project’s SOPs will be incorporated into the ESMS. The Project will also monitor greenhouse gas (GHG) emission continuously and including emissions in its reporting to MIGA.

As per the preliminary design, construction materials will include gravel material for application as sub-base; material for embankments (fill and improved subgrade); quarry stone for production of crushed stone and concrete; water for compaction and concrete (as well as dust control); sand for concrete and mortar works; and bitumen slurry and hot-mixed asphalt. There will be two industrial camps, managed by the EPC Contractor. The industrial camps will include the batching plants, equipment maintenance areas as well as offices.

The Project proposes to obtain construction materials (soil, gravel and aggregates) from existing commercial and licensed sources, specifically one aggregate quarry and borrow pits within the Project area. An Environmental and Social Due Diligence will be carried out by an independent E&S Consultant for the existing quarry (ESAP action item #17) and if new quarries and/or borrow pits will need to be developed, the Project will conduct the necessary assessments (including ESIAs) and obtain the required permits or licenses prior to their use (ESAP action item #18). Quarry management and rehabilitation of the quarries will remain the responsibility of the EPC Contractor, once construction concludes (ESAP action item #19). The Project will also: (i) assess available water sources to select the optimal one; and (ii) develop and implement a Water Management Plan for the construction and operations phase (ESAP action item #20) to reduce water consumption in line with PS3 requirements.

Pollution Prevention:

Most of the waste will be produced during the construction phase. These wastes will include earth material from excavations, hazardous waste and domestic waste that will be generated during the construction process. In addition, effluent waste will be generated in form of both grey and black water by the construction workers. As part of the ESMS, the Project will develop and implement a Waste Management Program for solid waste, spoil and effluent in line with PS3 (ESAP action item #21).

During construction, air emissions will consist of combustion gases from vehicles used for construction activities, and dust/particles generated from vehicle movement. Control measures to minimize emissions will be applied, including water spraying on access roads and areas with bare soil, enforcement of speed limits, covering trucks transporting soil and other materials prone to dust dispersion, and preventive maintenance and monitoring of the construction vehicle fleet.


Noise will be generated during the Project’s construction stage by vehicles, machinery used for installing the Project’s components, and building of internal and external roads. Construction activities are expected to be limited to daylight hours.

Excavated material, if not properly managed, will be eroded during the rainy seasons and may potentially flow into rivers and other surface water bodies within the Project area and cause sedimentation. Other potential sources of water contamination will be from small scale leaks and spills of fuel and oils from machinery and storage tanks. To avoid siltation, soil stockpiles and spoil disposal sites will be located away from the surface water bodies.

Hazardous Materials Management:

Hazardous material waste during construction will include contaminated containers, used paint, engine oils, hydraulic fluids and waste fuel, spent solvents from equipment cleaning activities and spent batteries or spent acid/alkali from the maintenance of machinery on site. As part of the ESMS, the Project will develop and implement a Hazardous Material Management Procedure which sets out the requirements for a proper system for hazardous materials storage and management at site to avoid any accidental spillages, documentation and record keeping of hazardous materials and wastes, which will be periodically reviewed by the Project’s HSE manager. Heavy machinery maintenance will be carried out at designated workshops.

As mentioned earlier, the Project will develop a Waste Management Plan (WMP) with provisions for hazardous waste storage, handling, transport, and disposal. As part of the ESAP, the WMP will be developed and implemented in line with the requirements of PS3.

PS4:  Community Health, Safety and Security

The Project generally traverse rural areas with some settlements, social infrastructure and commercial activities.

Community Health and Safety

Potentially negative community health risks and impacts during construction stem from dust and noise due to the movement of heavy equipment, materials and project personnel, traffic accidents, influx of workers, increased demand for natural resources, soil erosion as well as pollution and hazardous materials. During operations, negative impacts are expected to be related to noise, air emissions, traffic and potential emergency scenarios.  


Mitigation measures for noise and air emissions are described under PS3. A Community Health and Safety Plan for construction and operation will be developed and implemented as part of the ESAP (ESAP action item #22) including provisions for traffic safety management (including pedestrian and cyclist safety), emergency response procedures, coordination with traffic police, security and the safety of other road users. Traffic safety measures will include speed limitations, speed reduction systems, traffic control signs, pedestrian crossings and Project driver training. In terms of emergency response, the Plan will also include identification of potential emergency scenarios, how to address them, steps for setting up lines of communication for external liaison and reporting, and coordination between the Project’s internal, and external emergency services.


As per the ESAP, in locations that have black spots (areas where road traffic accidents have historically been concentrated), and sensitive traffic risk receptors (e.g., schools and town centers) the Project will collaborate with traffic police and KeNHA to determine feasible mitigation measures (ESAP action item #23). The Project will also collaborate with KeNHA to monitoring traffic safety statistics for these sections of roads during construction and operation.


In addition, and in line with the Worker Code of Conduct, the Project shall ensure all workers and sub-contractors have access to free HIV/AIDS consultation, screening, retroviral medication and means of protection to avoid the spread of the disease, and coordinate any awareness and communication campaign among sex workers and the population in general. The Project road will have and maintain the appropriate safety features, signs and markings.

The Project will conduct a flood mapping assessment to ensure that the road and drainage design prevent the erosion and flooding of properties in the Project area and those areas immediately downstream or at the outflows of the Project drainage areas (ESAP action item #24). The assessment will include ensuring that the drainage channels and culverts have sufficient capacity to minimize present-day and future flood risk as rainfall patterns shift under accelerated climate change.

Security Personnel

As part of the ESMS, a Security Management Plan will be established in line with the requirements of PS4, providing clear commitment by the Project in terms of recruitment, vetting and appropriate training of security contractors, as well as a Code of Conduct with respect to use of force (ESAP action item #25). The Plan will include incident reporting and follow-up procedures, and response measures for any security-related complaints received through the external grievance mechanism.


The Project will ensure that Grievance Procedure is sensitive to GBV concerns (ESAP action item #26) and implement a code of conduct for employees and contractors that helps to prevent GBV (ESAP action item #13).


PS5:  Land Acquisition and Involuntary Resettlement


Project Design


The Project involves the construction, rehabilitation, upgrading, operation, and maintenance of Lot 32 Illasit-Njukini-Taveta Road (further described in the Project Description). While the RoW ranges from 25 – 40 m,the Project has been designed to confine all the road primary design elements and activities within the construction width to minimize land acquisition. Initial review of RoW indicated that there were 855 PAPs within the RoW; however, through optimization of the construction corridor within the RoW, the Project has been able to significantly minimize the number of PAPs affected.

In line with local requirements and MIGA PS5, an Abbreviated Resettlement Action Plan (ARAP) was developed for the Project. The ARAP sets out the extent and scale of economic displacement, engagement activities, eligibility and entitlements of PAPs, and implementation, monitoring and evaluation requirements.

Compensation and Benefits for Displaced Persons

According to the ARAP, most of the land required for the construction width (372.63 acres, 99.71%) lies within the existing road reserve. However, the remaining 1.08 acres of land (0.29%) has to be acquired from 13 landowners. Physical displacement is not anticipated and none of the affected landowners will lose more than 10% of their land.

The Project may potentially result in the economic displacement (temporary and permanent) of approximately 82 Project Affected People (PAPs) and may cause:

  • Loss of income from impact on business (35 PAPs), fruit trees (3 PAPs), and perennial crops (3 PAPs)
  • Loss of 51 fences, market stalls, and shops/kiosks used and/or owned by 48 PAPs
  • Loss of 0.52 acres of crops (annual and perennial), 219 non-fruit trees, and 86 fruit trees

In case changes in Project design are implemented, specifically a reduction in the Right-of -Way (RoW), the asset inventory and census survey will be updated to reflect any changes in the RoW width (ESAP action item #31).

The ARAP defines eligibility criteria and entitlement packages for eligible PAPs whose land, assets, and livelihood will be affected. The entitlements will be applied consistently to all eligible PAPs depending on the Project impact (e.g. temporary impact, loss of land, structure, crops and trees). An additional 15% of the compensation will be provided as statutory disturbance allowance. Aside from monetary compensation and allowances, the Project also offers assistance to access compensation, livelihood restoration, and food vouchers, which are targeted at vulnerable PAPs.

In line with the ESAP, the Contracting Authority, together with the Project Sponsor will ensure that all negotiations and agreements are conducted in line with the PS5 definition of informed consent and fair compensation based on full replacement cost (ESAP action item #33). The Project Sponsor will also collaborate with KeNHA to ensure that there will be no forced eviction (ESAP action item #28) and that compensation is paid in line with PS5 requirements (ESAP action item #34).

Community Engagement

The Project has a Resettlement Stakeholder Engagement Plan (RSEP), which specifies engagement objectives, relevant stakeholders (including vulnerable groups), and consultation activities. The key areas of the stakeholder engagement activities include project description and impacts, objectives of the RAP, legal and policy framework, survey process, valuation and compensation, livelihood restoration, grievance redress procedures, cut-off date, disclosure of information, future engagements and stakeholder issues and concerns. The detailed information about the consultations is contained in the agenda items, minutes of meetings and attendance registers.

The engagement activities were conducted when the ROW width is still being finalized and the degree of the project impact (number of PAPs) still has to be confirmed. To date, ten meetings (phone, in-person), seven community barazas, ten focused-group discussions, eight key informant interviews, and individual PAP interviews were conducted. The cut-off date was announced at the community barazas. As recommended by the stakeholders, Kiswahili was the language used for all engagement activities. Some of the RAP concepts were presented in local dialects (mother-tongue) through a translator.

The Project Enterprise will disclose the RAP to the Project Affected Households (PAHs) and hold meetings with the PAPs to finalize the compensation packages (ESAP action item #32). Also, it will collaborate with KeNHA to ensure that a robust and exhaustive stakeholder engagement is carried out and documented for the RAP in both English and Swahili (ESAP action item #29).

Grievance Mechanism

A grievance redress mechanism particularly for the RAP/LRP implementation, has been developed for the Project. Consistent with PS 1 requirements, it specifies reporting and resolution channels, responsible entities, and procedures to address and manage PAPs’ grievances and claims. The Local Community Implementation Committee and the Resettlement Implementation Unit, which both include representatives from PAPs, community representatives/leaders and CSOs, will be established to resolve disputes related to resettlement and livelihood restoration.

Resettlement and Livelihood Restoration Planning and Implementation

Within the ARAP, a Livelihood Restoration Plan (LRP) has been developed for the Project. Based on the needs and characteristics of the PAPs and the project impacts, strategies to re-establish and optimize livelihoods have been identified. The key livelihood restoration activities include provision of potable water, potential employment in project activities, and capacity building on sustainable agriculture, food preservation, business management, and financial management. The Project Enterprise will ensure that the vulnerable population is identified and that mitigation measures are carried out during the implementation of the LRP (ESAP action item #30).


Monitoring and evaluation of the resettlement and compensation processes and measures will be implemented regularly and as part of the ESIA compliance review. After completion of the RAP and LRP mitigation measures, the Project will commission an external completion audit of the RAP and LRP to assess whether the provisions have been met and implement supplemental measures, where applicable, as well as any additional livelihood restoration measures (ESAP action item #35). Findings of the regular monitoring, compliance review audits and completion audit will be reported to the relevant stakeholders.

The Project Enterprise will collaborate with KeNHA to facilitate the land acquisition process and outcomes consistent with MIGA PS5 requirements for government-managed resettlement. If necessary, the Project Enterprise will prepare supplemental measures to complement government actions (ESAP action item)

PS6:  Biodiversity Conservation and Sustainable Management of Living Natural Resources


The Project is located within the Northern Acacia–Commiphora bushlands and thickets ecoregion which is home to outstanding populations of large mammals.  The Tsavo-Mkomazi ecosystem lies to the east and the Amboseli-West Kilimanjaro ecosystem to the west. Most water from Mount Kilimanjaro flows underground, emerging in the form of springs and swamps that go on to feed rivers.  The areas within 1km of the existing Illasist-Taveta road have however been subject to very high levels of anthropogenic pressures, which contrasts with the wider more intact rangelands.

The Project footprint does not intersect any nationally or regionally protected areas or Key Biodiversity Areas (KBAs), but the existing road does pass between Kilimanjaro National Park and KBA to the south and west, Tsavo West National Park and KBA and Chyulu Hills National Park and KBA to the northeast, and Amboseli National Park and KBA and Loitokitok Forest Reserve to the northwest. These protected areas support high concentrations of wildlife, some of which move through adjacent unprotected areas looking for food and water. The existing road also passes through the Lake Chala and Lake Jipe catchments, an Alliance for Zero Extinction (AZE) site.

Protection and Conservation of Biodiversity

An appropriate area of influence (AOI) was defined as the direct area of land take for the road upgrade and additional area to take account of the proposed construction camps. A 10km buffer was included around this to accommodate ecological patterns and processes and possible indirect effects. Within this wider AOI, an ecologically appropriate area of analysis (EAAA) was defined for each biodiversity feature that potentially triggered Critical Habitat. The EAAA was related to the availability of suitable habitat that falls within the 10km buffer of the road. A Critical Habitat Assessment (CHA) was then undertaken to establish whether any of these areas represented Critical Habitat for particular biodiversity values.

The majority of the existing and upgraded road corridor passes through Modified Habitat, intensively farmed agricultural land that still contains some large Acacia tortilis trees. Other areas support Acacia-Commiphora deciduous wooded grassland, bushland and thicket which is assessed as Natural Habitat but are degraded to varying degrees. Also present are several ephemeral watercourses and one permanent watercourse, the Lumi River, which supports riparian vegetation, along with a number of permanent or seasonal wetlands (or edaphic grasslands). A section of the Tsavo West National Park is included in the wider AOI, and this area is assessed as Critical Habitat.

A number of species of concern (threatened and range restricted species) have ranges that overlap the AOI. Whether or not these species will occur in the vicinity of the road is largely dependent upon whether the area supports suitable habitat for them or whether the area forms part of a dispersal or migration route.  As stated above, agricultural expansion, has blocked off many of these routes, and has reduced habitat connectivity. Species of concern include the African Savanna Elephant Loxodonta africana, assessed by the IUCN Red List of Threatened Species as Endangered (EN), the fringed eared Beisa Oryx, Oryx beisa subsp. callotis and Masai giraffe, Giraffa camelopardalis ssp. Tippelskirchi both assessed as (EN), the cheetah, Acinonyx jubatus, the lion Panthera leo, and leopard, Panthera pardus all of which are assessed as (VU). The AOI also supports habitat for the Grey Crowned Crane Balearica regulorum (EN). None of these species reaches the quantitative thresholds that would trigger Critical Habitat in the AOI. The possible exception to this is the Abbott's Duiker Cephalophus spadix (EN) whose range clips the edge of the road corridor to the north of Mount Kilimanjaro. This species is normally found in mature montane and submontane forest on Mount Kilimanjaro so is very unlikely to be present near the road. The only flora species of conservation concern that was recorded during the field survey in March 2021 was Mimusops riparia, a riparian tree (VU) found in gallery and riparian forests along the Lumi River.

Animals may move on a daily basis or change habitat seasonally (migration and dispersal) due to patchiness of resource distribution in their home ranges. Elephant migrations are known to occur within the region, predominantly between Amboseli National Park, Chyulu Hills NP and Tsavo West. Additionally, elephants have been reported to move from Tsavo West National Park to Kilimanjaro National Park.  Consultation with the NGO, Big Life Foundation (BLF), identified two crossing areas along the road upgrade, one between Maili Tatu and Ol Girra (Rombo corridor)

Regarding aquatic Critical Habitat, the road does pass through the Lake Chala and Lake Jipe catchments AZE site. Lake Chala is Critical Habitat for the Critically Endangered Lake Chala Tilapia Oreochromis hunter and freshwater crab Potamonautes platycentron (EN). The area is classified as an AZE site as it is the only known location that supports Potamonautes platycentron. This was confirmed by surveys conducted by a leading expert in freshwater crabs in 2022 in the upper Pangani River basin, which included Lake Chala, the Lumi River, Lake Jipe, and various springs in the catchment.  Potamonautes platycentron was only recorded from within Lake Chala. The Lumi River which is not part of the AZE, is precautionarily assessed as Critical Habitat for the Critically Endangered Jipe Tilapia Oreochromis jipe and Endangered and range restricted fish Enteromius Amboseli. Hydrogeological studies were also undertaken to understand the source of water for Lake Chala, and whether there was any potential impact of the Project on the water source.  These studies confirmed that the groundwater systems are complex, and that Lake Chala is groundwater fed. The Project will not impact groundwater.

The road upgrade will not directly impact terrestrial Critical Habitat within the AOI except for one hectare of riparian habitat, nor will the Project impact the groundwater fed Lake Chala which hosts the AZE freshwater crab. The Project is in discussion with the AZE Secretariat to see whether the boundaries of the AZE site, which were likely established based on the previous understanding that the Lake was fed from surface water, can be adjusted, given the lake is groundwater fed. Those discussions are ongoing.  

Due to the predominance of agricultural land, the loss of natural habitat which is degraded to varying degrees is limited to approximately 50ha.  Although neither of the mammal crossing points are thought to be particularly important, the upgraded road would likely present a barrier to migration and there could be an increase wildlife mortality from animal-vehicle collisions (AVCs). There is also likely to be an increase in disturbance and displacement of fauna through habitat degradation from noise, dust and light pollution, further fragmentation of populations and an increase in invasive species. Indirect effects such as an increase in hunting/poaching and further habitat loss due to an increase in demand for natural resources are also likely. The Lumi River, will lose a 1ha of riparian and instream Critical Habitat for a new road crossing through a tributary of the Lumi River. Other potential impacts include erosion and sedimentation near watercourses due to clearing of vegetation and altered hydrology due to increased run off.

A Biodiversity Action Plan (BAP) has been prepared which both describes both the potential impacts and associated mitigation measures. With good mitigation many of the potential impacts are considered of low significance. The key mitigants are as follows: good design and management of the proposed stormwater drainage; implementation of a water management plan to prevent a deterioration in water quality; rehabilitate and address the severe erosion and gullies/dongas that have formed along the existing road; conduct surveys along the Lumi River, to determine whether the river is Critical Habitat; undertake high resolution imagery of the Rombo corridor and prepare habitat maps to ensure the area is carefully managed during the construction phase, and that no unnecessary road development activities occur there; hold awareness training for construction staff on the importance of wildlife crossings and adopt a strict ban on hunting for all construction teams and personnel; develop crossings similar to the one at Kimana on the Emali-Oloitokitok road for the two wildlife corridors and conduct safe driving training and awareness campaigns for preventing AVCs and install warning signs; implement speed calming measures and enforce speed limits; ground-truth the extent of riparian forest habitat in the vicinity of road crossings and mark out no-go areas for during construction; and include appropriate buffers. A monitoring and evaluation of the Illasit-Taveta road upgrade project has also been prepared to ensure that BAP is successfully implemented, as well as to allow for adaptive feedback and management in response to new information and changing situations. 

A code of conduct that includes zero-tolerance policy on possession, collection, and hunting of wildlife with conservation status will be developed and implemented (ESAP action item #36). In addition, an updated BAP (ESAP #37) will address how the loss of terrestrial Natural Habitat and any loss to riverine and riparian Critical Habitat will be offset to ensure no net loss and net gain.  The BAP will also take account of potential indirect effects to Critical Habitat in the wider area of influence and assess potential impacts from the proposed borrow pits.

Management of Ecosystem Services

Ecosystem services will not be significantly impacted by the Project. With respect to loss of crops, a Livelihood Restoration Plan (LRP) has been developed and strategies to re-establish and optimize livelihoods have been identified.

PS7: Indigenous Peoples:


The Project’s ESIA and CESMP as well as consultation with Area Chiefs indicate the presence of members of the Maasai ethnic group in the Project’s Area of Influence (AOI). Nomadic Maasai pastoralists are understood to be present occasionally, as they migrate through the Project’s AOI in the dry seasons, specifically January to March as well as May to October. In addition, the RoW includes areas used for grazing by PAPs who rear livestock. These grazing areas are predominantly located in the section traversing a Group Ranch and which measures approximately 78.2 acres in area. However, there are no long-distance pastoralists/nomads in the Group Ranch. The Maasai who live in the Ranch only move within it, inside an approximately 5-km radius.

Avoidance of Adverse Impacts

However, the Project comprises the upgrading of an existing rural road from gravel to asphalt standards. No land acquisition will take place as the land is legally owned by KeNHA, and as such the Project footprint will remain the same. The upgrade to the Project road will not have an impact on the land currently being used and will not result in any restriction of access to resources. In addition, the Project will not result in: (i) impacts on lands and natural resources subject to traditional ownership or under customary use; (ii) relocation of indigenous peoples from lands and natural resources subject to traditional ownership or under customary use; and (iii) impact on critical cultural heritage. However, the CA and Project Enterprise will ensure that the stakeholder engagement process includes consultation with the Maasai, and that appropriate mitigation measures are carried out throughout the RAP, as well as during the implementation of the Project (ESAP action item #38).




Broad Community Support is not applicable for this project.


MIGA supports its clients (as defined in MIGA Policy on Environmental and Social Sustainability) in addressing environmental and social issues arising from their business activities by requiring them to set up and administer appropriate grievance mechanisms and/or procedures to address complaints from Affected Communities.
In addition, Affected Communities have unrestricted access to the Compliance Advisor/Ombudsman (CAO), the independent accountability mechanism for MIGA. The CAO is mandated to address complaints from people affected by MIGA-guaranteed business activities in a manner that is fair, objective, and constructive, with the goal of improving environmental and social project outcomes and fostering greater public accountability of MIGA.
Independent of MIGA management and reporting directly to the World Bank Group President, the CAO works to resolve complaints using a flexible, problem-solving approach through its dispute resolution arm and oversees project-level audits of MIGA’s environmental and social performance through its compliance arm.
Complaints may relate to any aspect of MIGA-guaranteed business activities that is within the mandate of the CAO. They can be made by any individual, group, community, entity, or other party affected or likely to be affected by the environmental or social impacts of a MIGA-guaranteed business activity. Complaints can be submitted to the CAO in writing to the address below:

Compliance Advisor/Ombudsman

International Finance Corporation

2121 Pennsylvania Avenue NW

Room F11K-232

Washington, DC 20433 USA

Tel: 1 202 458 1973

Fax: 1 202 522 7400