Written by UDF Party Monday, 02 July 2012
The UDF Government's Strategic Plan
Upon the assumption of power and leadership of the nation the UDF Government shall execute and fast track this compact so as to realize immediate new constitution Dividend.
1. Abolish KCPE immediately so as to secure for every child, 14years of basic education as provided in the Constitution of Kenya, 2012.
2. To upgrade 1000 Youth Polytechnics to Certificate and Diploma level colleges. To invest in the building and establishment of further 500 colleges to bring our global training capacity in science and technology and entrepreneurship to 500,000 per year by 2017. TIVET (Technical, Industrial, Vocation and Entrepreneurship Training) education will shed its stepchild status immediately. This massive expansion will create 2000 jobs during construction and 20,000 teachers will be engaged.
3. To confront, head-on, hunger and famine that still stalks the nation through establishment of 5 centers for storage and distribution of cereals and other food equals to 4 months of annual requirements. After all it is 8 times cheaper to handle these scourges this way rather than on an emergency basis. These centers will be located at Kitale for Pokot/Turkana region, Marsabit for North Eastern region, Nanyuki for Laikipia and Isiolo region, Machakos for Ukambani region and Mariakani for the coast region. 1000 jobs will be created during construction and 250 permanently.
4. To put 3million acres under sunflower and other oil crops to produce 600,000 tons of vegetables oil and ceases importation of palm oil that is now consuming US$0.5billion (Ksh. 40billion) every year. The 2 million jobs that have been exported to other lands must be repatriated immediately.
5. Reduce the cost of bread and other wheat products by 40 per cent through derogation of its status from Sensitive List attracting special 60 per cent import tariff. Wheat will henceforth be imported normally as an intermediate input and strictly in accordance with Common External Tariff (CET) of the East African Common Market and COMESA Customs Union.
6. We aim to beat New Zealand in milk production through intensified and enhanced Al services. CAIS (Central Artificial Insemination Services) Kabete will be fully empowered to scale up Al services from 800,000 to 4 million inseminations per year. Using superior genetics we aim to raise productivity from 5 liters per cow per day to 20 liters within 10 years so as to produce a total of 15 billion liters every year and dominate COMESA region in milk trade. Over this 10 year period the proportion of processed milk would rise to 80 per cent creating some 500000 on farm and off-farm jobs.
7. Allocate 1.5 per cent (Ksh.60 Billion) of GDP to Research and development so as to create adequate scientific and technologies depth necessary for realization of Vision 2030. We aim for a complete paradigm shift in our Agricultural Research because we have hitherto put heavy funding on temperate crops research involving wheat, barley, Irish potatoes, pulses, sunflower and maize. Climatically handy crops such as sorghum, millet, cassava, sweet potatoes, collectively baptized as ‘orphan’ crops have been relegated to marginal status. This approach has led to lack of national flexibility in meeting livelihood challenges in times of poor rains. This must change and adequate funding will henceforth be allocated to the ‘orphans’. Industry university linkages shall receive priority funding for breakthrough research in ICT, engineering and biotechnology as a base for rapid industrialization.
8. Kenya has taken and commanding competitive leadership in software application development. The ICT world has been awed by M-Pesa, Jitihada and other ICT products which have been locally developed. We have become mobile phone application wizard in this region. Multinational companies such as Nokia and Infosys have rushed to set up operations and research laboratories in Nairobi. To support and to secure this beachhead advantage in this sub-sector, the UDF government will allocate Ksh. 2 Billion per year for competitive grants to institutions engaged in software applications development. Success in this sub-sector can create hundreds of jobs; for example M-Pesa now has over 35,000 agents who have moved $7 Billion in 2011.
9. To revitalize and greatly enhance our Development Finance Institutions (DFIs) to enable them provide adequate medium and long term finances from small and Medium Scale Enterprises which are the real job creators. Additional share capital amounting to Ksh. 10 Billion per year for 5years will, properly leveraged, enable them lend up to Ksh. 200 billion so as to achieve a self sustaining investments portfolio size. At Ksh. 2.5 Million per job, these institutions should create 60,000 jobs per year.
10. We aim to pursue privatization with vigor and determination in order to unlock resources for reallocation to more efficient uses. The parastatals currently number 150 with an annual expenditure of Ksh. 150 billion. Our target is to reduce them by 50 per cent within 5 year. In regards we note, with dismay, the dismal failure of the privatization commission, with only one job done since its foundation more than 5 years ago.
11. We aim to reverse the privatization of Kenya Power and Lighting Company (KPLC).Where the law relating to receivership, bankruptcy and liquidation is not a practical option for curing commercial failure, where the government cannot stand aside and see Gitaru, Kindaruma or Sondu Miriu being disposed off, under the auctioneers hammer, because the operators have gone bankrupt or where profits are secured not through risk-taking but periodical upward revision of the of the applicable “cess”, then private shareholding in such “public assets” is unethical because it puts the Treasury in an inbuilt bail-out bind since liquidation will not be allowed to work in case of commercial failure. We may also note, in passing, that Adam Smith’s country itself, Great Britain, the earliest and the oldest of the liberalizers, is already very busy re-installing command-and-control economic model for their energy sector. The bill to that effect was published on May 22, 2012. A command-and-control economic model would enable the government apply sufficient long term financing options and price power accordingly. This would currently be Ksh.15-22 that emergency supplies have been costing over the last three years.
12. UDF recognizes that Vision 2030 constitutes our overarching functional platform. Therefore the Flagship projects as elaborated in the Vision shall be pursued with vigor from timely executions particularly because they underpin the economic and social pillars of the Vision. Further a UDF government shall immediately execute all the necessary laws and protocols relating to exploitation of our oil and gas resources including creation of sovereign fund, and a commitment to subscribe to the requirements of the Extractive Industries Transparency Initiative (EITI)