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PRESS STATEMENT BY COMMUNICATION SECRETARY AND STATE HOUSE SPOKESPERSON ON CABINET MEETING HELD 25 JULY 2013

President Uhuru Kenyatta today chaired a Cabinet meeting at State House Nairobi. Cabinet reached decisions on a wide-range of issues: Housing Cabinet approved a plan by the NSSF to construct 30,000 Housing units on its 1,000-acre farm in Mavoko. This is a Public Private Partnership (PPP) arrangement. A strategic partner will be identified to construct houses and build other amenities. The project is key to Government delivering on its pledge to reduce the acute shortage of houses in our nations capital in line with the Jubilee manifesto. Cabinet also agreed a cabinet sub-committee to explore the creation of an industrial park on a PPP model to produce building materials to cater for lowincome earners. NSSF revenue collection To improve efficiency in revenue collection by the NSSF, Cabinet authorized a request by the Ministry of Labour for Kenya Revenue Authority (KRA) to collect members contributions on behalf of NSSF. This will boost revenues from the current Kshs.600 million to Kshs. 12 billion. Cabinet directed all other State Corporations and agencies that levy charges on their services to partner with KRA in the collection of such levies. Maternal health Cabinet was briefed on the progress made in the implementation of the free maternity services in Public hospitals. Cabinet noted with satisfaction gains made since the programme started 1 June 2013. Preference for delivery in public hospitals has almost doubled to 80 per cent from 44 per cent previously. So far, there has been no deaths reported arising from delivery complications.

Cabinet directed the National Treasury to ensure funds earmarked for the programme are released on time to enable public health facilities cope with the increased number of users. Nurses Cabinet approved the recruitment of 40 new health workers per constituency (including 30 nurses) making for a total of 11,600 officers that accelerate service delivery in this area. The number will be scaled to achieve the ideal number of nurses required in the country. Port of Mombasa Cabinet was briefed on the progress made in improving services at the Port of Mombasa. Cabinet was pleased with improvements achieved in decongesting the Port. It noted the increase in cargo cleared at the port 200,000 tonnes so far in July from 160,000 tonnes in June. There are also improvements in truck movement between Mombasa and Malaba. Cabinet directed that a similar be applied with immediate effect to improve services in the countrys airports and border points in order to ensure a smooth flow of goods, services and passengers. Electricity generation Cabinet approved a proposal by the Ministry of Energy and Petroleum to withdraw charges imposed on electricity generation, transmission and distribution by Local Authorities and other Government agencies as these have had the effect of escalating the cost of power. Cabinet noted that Kenya is focusing on being a low cost energy country as a way of propelling industrialization and attracting investments to the country. Cabinet asked the Ministry to focus on adding an additional 5000kws of power to the National Grid in the next three months. This move will effectively reduce the cost of power to below 10 cents per kilowatt. Air services Cabinet approved bilateral air service agreements between Kenya and Angola, Kenya and Canada, and Kenya and Mozambique. This will allow code sharing between Kenya Airways and national carriers of the three countries.

Media Cabinet approved the Media Bill 2013 which seeks to improve in the regulatory framework for media in country. Manoah Esipisu Secretary Communication & State House Spokesperson