- Government targets full operation of 290 industrial centres
- Power connections emerge as a major hurdle facing the centres
- CIDCs have already supported thousands of jobs and MSMEs
The government is stepping up efforts to operationalise Constituency Industrial Development Centres (CIDCs) across the country as it seeks to take manufacturing, value addition and business opportunities closer to local communities.
Principal Secretary for Micro, Small and Medium Enterprises Development Susan Mang’eni appeared before the National Assembly Departmental Committee on Trade, Industry and Cooperatives to brief MPs on the implementation of the 290 CIDCs and progress towards making the centres fully operational. Kenya Power Managing Director and Chief Executive Officer Dr Eng. Joseph Siror also attended the session.
CIDCs are designed to provide shared production facilities, equipment and other business support services to micro, small and medium enterprises (MSMEs). In this way, entrepreneurs can process local resources, add value to their products and create jobs within their communities.
According to the State Department, 235 of the targeted 290 centres had been developed by the end of the 2024/25 financial year. However, the government continues to face infrastructure and funding challenges that have slowed the operationalisation of some facilities.
Electricity emerged as one of the major hurdles. The State Department said it had paid Kenya Power Ksh40.2 million to facilitate electricity connections to various CIDC sites, while alternative renewable energy arrangements have also been explored.
Kenya Power has, however, attributed some delays to the late submission of mandatory electrical wiring certificates. Speaking before the committee, Siror explained that the certificates are necessary before the utility can safely connect a facility to the power grid.
Beyond electricity, some CIDCs are affected by land disputes, lack of title documents, vandalism and poor accessibility. To address this, the State Department said it is working with the National Land Commission, county governments and other agencies.
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Meanwhile, it is targeting completion of the already built centres by the 2027/28 financial year, while the remaining 58 are expected to be completed by 2028/29.
Mang’eni also told the committee that demand for modern machinery and value addition facilities is growing, particularly among young entrepreneurs. The State Department had sought about Ksh1 billion in the current financial year to respond to the rising demand, although the allocation was not sufficient.
More than 200 CIDCs have so far created over 12,600 jobs and supported the formalisation of more than 1,200 MSMEs, according to the department.
Once fully operational, the 290 CIDCs are expected to strengthen local value chains by enabling communities to add value to resources produced in their areas instead of selling them in raw form. The push is also expected to create more opportunities for small-scale manufacturers, artisans and young entrepreneurs while helping drive industrialisation beyond Kenya’s major urban centres.
Nevertheless, Mang’eni cautioned that the investment in the centres will have limited impact unless the supporting infrastructure, particularly reliable and affordable electricity, is addressed.
For that reason, the government is seeking closer collaboration with Kenya Power and other agencies to clear the remaining bottlenecks and turn the CIDCs into commercially productive centres that can deliver tangible benefits to local enterprise.
By Lizzy Aluga
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