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Tea growers in Sh234m power project

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Published on Thursday, 03 February 2011 22:36

Small-scale tea growers in Kisii have started a contribution towards the construction of a hydro-electric power station to run their ten tea factories.

Nyansiongo KTDA factory’s outgoing Board Chairperson Clare Omanga said each of the nine factories has contributed at least Sh15 million towards the project which will be built at Rianyakwara along the River Gucha.

Omanga said each factory is supposed to contribute Sh26 million, making a total of Sh234 million.

She said the project would tap electricity for their factories and sell the excess to the national grid.

In an interview after the factory’s Annual General Meeting, the chairperson said already, a feasibility study had been undertaken and the construction is due to start in the course of the year.

She said the factories took the move due to high electricity costs charged by Kenya Power and Lighting Company.

The factories to benefit from the power generation scheme include Nyansiongo, Nyankoba, Kebirigo, Tombe, Giachore, Sanganyi, Nyamache, Ogembo, Kiamokama and Rianyamwamu.

Omanga said Nyansiongo factory’s over 12,000 members agreed to contribute Sh3 yearly towards the construction of a satellite factory to cater for the increased production.

Meanwhile, the factory registered impressive sale results in the financial year ended June 30, last year. Its financial statements indicate that the company was able to pay Sh609,693,000 to farmers for the green leaf delivered, compared to Sh410,885 the previous year.

Although crop production increased by 1,463,634 kgs compared to the previous year, the factory could have posted better results were it not for tea hawking which continues to deny the company millions of green leaf annually.