FINANCING CLIMATE CHANGE PROJECTS A PROBLEM

UNMET PROMISES ON CLIMATE FINANCE:

RICH NATIONS SCORE POORLY IN MOST DETAILED ANALYSIS TO DATE

by LUKE KAPCHANGA

 So far, only US$23.6 billion of the US$30 billion promised has been committed as funds to tackle climate change.
And of this, only 20 per cent of the fast start finance has been allocated to projects that will help poor nations adapt to a changing climate.
The most detailed analysis to date of how well rich nations have kept promises to provide poorer ones with funds to tackle climate change which was released late November says.
The research concludes that they have collectively failed to fulfill eight substantive pledges.
Published by the International Institute for Environment and Development — the study comes as countries prepare for the latest round of intergovernmental climate-change negotiations, which begins late November in Doha.
The poor track record of rich nations in meeting their fast start finance pledges has raised serious concerns that these countries will also renege on their bigger promise to ensure that US$100 billion flows to developing nations each year by 2020 to help them to respond to climate change.
The wealthier nations promised in 2009 to provide developing countries with US$30 billion by the end of 2012, and saying this should be “new and additional” finance balanced between support for adaptation and mitigation activities. 
They made additional pledges about transparency, governance and the need to help the most vulnerable nations first.
“Without transparency about how and when rich countries will meet their climate finance pledges, developing countries are left unable to plan to adequately address and respond to climate change,” says co-author Timmons Roberts of Brown University in the United States, whose Climate and Development Lab led the research.
Less than half of the fast start finance is in the form of grants. The rest is loans, which means poor countries must repay with interest the costs of adapting to a problem they have not caused.
And rich nations have not provided enough transparent information to prove that their contributions are really new and not just diverted from existing aid budgets.
David Ciplet, also of Brown University, adds: “Only two of the ten donors we assessed are delivering their fair share of climate finance, based on their ability to pay and how much they have contributed to climate change through emitting greenhouse gases in recent decades.”
To examine transparency in more detail, the researchers evaluated donor nations across 24 measures. On the resulting scorecard, no donor nation scored more than 67 per cent.
On these measures, Norway has performed best, providing five times its fair share. At the other end of the scale, both Iceland and the United States contributed less than half their fair share.
The broken promises will make it harder for developing countries to take seriously what richer nations say at the UN climate change talks, which take place in Doha, Qatar from 26 November to 7 December.

One way to restore trust would be for rich countries to channel their climate finance through funds that the UN Framework Convention on Climate Change set up as they have a governance structure with equal representation from developed and developing nations.
Also critical will be to fulfil the US$30 billion promise by the end of the calendar year, and to ensure that this money is delivered to support projects in a timely manner.
This is something that, in 2010, all rich countries agreed should be a feature of funds through which they channel their climate finance. Yet, so far, rich nations have channelled only two per cent of the climate finance through these UNFCCC funds.
“With trust in short supply, and little time to negotiate a global response to climate change, the UN talks need an injection of goodwill,” says Saleemul Huq of IIED.
“The rich nations can provide this by making good on their past promises and showing the poorer nations that they are serious about working together to tackle this global challenge.”

ECONOMY AND POLITICS

Thursday, August 21, 2008 2:23 PM

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BY  LUKE  KAPCHANGA    DN/ BUNGOMA      21/8/2008   COMMENTARY.

On August 15^th , two functions were simultaneously held in Bungoma, whose purpose was to spur economic development of the people.

One function at the Kenya Industrial  Estate, within Bungoma town, which was to be presided over by deputy prime minister and minister for  trade , Mr. Uhuru Kenyatta had the initiative focusing on Micro and Small Enterprises.

The other held at Mabanga Farmers training centre, to be presided over by minister for Agriculture Mr. William Ruto, was  a framers field day.

Both ministers failed to turn up, for the official opening and in there places delegated junior ministry officials .

The functions turned out to be very low keyed even local MPs did not attend or sent apologies.

Mr. Kenyatta was to launch the Bungoma district Business solution centre, which is to serve as a one-stop-shop for businesses.

The centre is expected  to provide a number of business services to the youths and any other individual or groups , taking up self-employment within  the micro-and small enterprises sector.

The initiative is aimed at ensuring that businesses in the area flourish to create more employment especially among the youths.

The District Business Solution Centre(DBSC), is to provide among such services as :business skills and entrepreneurship development; identification of  potential business opportunities ; provision of facilities for business services ; information on potential markets , investments and technology; development of incubations in support of micro and small enterprises; avenue for accessing financial services and development of rural markets and linkages.

On the other part, the farmers field day at Mabanga , was the only opportunity the local people can access new developments in the farming sector after the closure of the Harambe Agriculture show, when its land was grabbed by mainly politicians.

More so for the sugar cane farmers, the occasion was to meet the minister and ask him in person questions regarding the collapsing Nzoia sugar company.

Currently private sugar cane harvesters are supplying cane to upto Kibos in Kisumu, Lubao, and west Kenya factories in Kakamega ,at throw away prices.

Most of the agricultural produce has no markets and government interventions , when available in assisting farmers mostly on fertilizer normally comes late.

The planting season for maize in Bungoma starts in March , and whenever the minister for agriculture announces reprieve is around May or June, indicating that the people here feel abandoned by government programmes.

What beats logic is the failure by elected leaders to attend the  two meetings and also mobilize the residents to come in big numbers .

Another worry is how comes two senior ministers arrange to come and then fail at the same time, pointing out that possibly local leaders did not approve of their coming.

Leaders from Bungoma, including the minister of foreign affairs Moses Wetangula, assistant ministers Bifwoli Wakoli and Alfred Khangati and MPs Alfred Sambu and David Eseli and nominated MP and Ford-K chairman Musikari Kombo ; are people one could be impressed as development conscious .

More so, Kombo and Wakoli have declared presidential ambitions.

But when they deliberately refuse to mobilize their foot soldiers for a noble cause of economic empowerment , then truly what intentions do they have?

Bungoma is in the category of the Millennium district, implying that its poverty level is high, so one thinks the politics should be about improvement  of living standards.

But this actions by elected leaders is a clear statement that government services coming from people they perceive as political enemies are not encouraged.

Since 1992,  when Bungoma voted almost to the man against retired president Moi, a mistaken believe has been created that until one of their own occupies state house no meaningful development will ever take place.

That stupid notion has created room for the local people to put politics ahead of development . making them to loose opportunities.

PANPAPER CLOSURE

Monday, December 1, 2008 10:54 AM

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BY  LUKE  KAPCHANGA   DN/WEBUYE          1/12/2008       PANPAPER.NEWSFEATURE.

Mismanagement and inefficiency  is the cause of financial troubles at Pan Paper mills.

This revelations comes as the fate of about 1,500 employees hangs in balance , with the closed down mill not re-opening after closure.

The tradition by top management to single source suppliers is behind the fleecing of the company of profits, with no tendering process.

“There is to much inefficiency at the mill”, a highly placed source said.

The source who has been working at the firm as a senior manager for over twenty years, but declined to be named blamed top managers for not having fixed rates for buying of papers at the factory.

Different buyers have different buying prices, with Asians having advantage of discounts and taking papers on credit.

The retaining of retired employees who have no special skills is another avenue from which the company losses money.

The company with about 70 retired employees , who are enlisted as consultants are said to get three pay slips, yet are not productive.

Yet the company management have given the government from which it seeks a package to be salvaged a  different version of reasons behind its financial woes.

“Our recent difficulties have been caused by  external factors , which have  seriously impacted cost of the vital inputs of energy and wood” says the report to the government.

The mill which closed down two weeks ago, was said to be under maintenance by top managers, but employees disputed this saying it was a cover up.

The machinery is obsolete as the spares said to be imported are merely sent from the parent company in India , and indicated as new.

One employee said, that annual maintenance can not take place when there are no spares purchased and already talk of re-opening is gaining currency when no major work has not been seen.

The closure came when the suppliers of fuel oil,  Kobil cut supplies for accumulated debts and demanded down payment for resumption.

For the first time of the company’s history employees are getting their salary in installments, amid heightened fears that retrenchment is on the way. 

The problems which are traced to 2006, are solely attributed to the rising cost of both fuel oil and electricity as the firm is indeed one of the largest consumers in the country.

“Pan paper is forced to depend upon fuel oil and KPLC Power, as there is no alternative energy sources such as coal,  which is available to competitors in South Africa , Egypt and Indonesia etc,”, the report says further.

Management have come up with a five point recovery program, which it has requested for government support,  as a short term measure to take five years.

This includes reducing of wood royalty from shs.700 to shs360.

They urge that 90% of their packaging grades  for the product mix is exposed  to duty free imports mostly from Tanzania paper mills.

They are calling on the government to impose import duty on imported paper upto 35%.

Importers are also accused of enjoying exemptions, by not paying duty on paper used for export packing,  imported paper from COMESA and East African community, Text Book printing papers under UNDP , in addition they do not attract VAT.

They want the duty paid on imported machinery waived.

They are also demanding the KPLC, to charge them special interests.

The last being asking the government to inject in shs.900million.

Shs. 700million is to be used in clearing outstanding overdrafts with various banks and the balance for internal operations.

In the long term program, they are requesting for 80 hectare of land to plant trees for their bio-fuel project as an alternative source of  energy.

“In absence of a level playing field, it is becoming impossible to compete. We there fore request for a rational review of the tariff structure to safeguard the local industry’s interest”, the report urges further.

But the source is of different view, ”the  government should not just respond with a review package without change in management”.

The source called for the government to appoint one of the top managers to oversee restructure program and for purposes of good corporate governance .

The factory is said to be a bottomless pit , which has not been able to make a profit since 2006, yet pays monthly shs.100million as technical fee.

Most bizarre is the writing of shs.1billion debt by Malde transporters, as circumstances behind the accumulation of the debt is suspicious.

The debt was written off, shortly before the current Chief Executive Officer, Mr. N.K. Saha took over.

Since taking over the running of the firm, Mr. Saha  has not managed to to steer the firm to make  a profit  other than sinking deeper and deeper.

Because of single   sourcing suppliers inflate prices and the machinery  delivered are of reconditioned nature.

Pan Paper as a project was conceived by  the government in the late sixties to utilize the vast forestry plantations and develop socio- economic status of the Western region.

Orient Paper & Industries Ltd(OPIL),  provided technical know-how and management services to the company since inception.

The Paper mill commenced production in 1974 with rated capacity of  45,000 tons of paper per year.

It has gone through several diversified expansions raising its rated capacity to 120,000 tones per year. 

Fixed assets of the company are currently re-valued at over shs.15.5billion compared to original value of shs.360million.

Pan paper is a large industrial complex, catering to fragmented domestic paper and board requirements.

It houses chemical and mechanical pulp mills, waste paper recycling and Deinking plant, four paper machines, Chloro-Akali plant including power generation plant and workshop.

Its been accredited with ISO 9001 for product quality and ISO 14001 for ensuring and environmental friendly operations.

Webuye mayor Dinah Wattimah is worried about the changing fortunes of the paper mill and does not want to see its demise.

“Webuye is pan paper, and Pan paper is Webuye”, she said in her office.

The government she stressed has no option but come to the rescue of the paper mill because of its economic importance not only to the people of Webuye nut the country at large.

“According to the records the company contributes shs.6billion to the government , by paying taxes in various ways, and it can not be allowed to sink”, she added.

Her greatest worry, is the lose of livelihoods of thousands of town residents , whose income revolve around the activity of the company.

Insecurity will increase , she says, if the company is to retrench workers most of whom are causal and rent house within town

Small business she laments may also suffer, and single mothers who are vendors on the streets will be affected

The municipal council gets most of its revenue from the company in from of rates, but currently owes it shs.1.3million.

The town came into existence due to the presence of the mill, in 1974 and most of the town estates are owned by the company.

SIKHEBO

Monday, July 26, 2004 1:14 PM

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BY LUKE KAPCHANGA    DN/WEBUYE             OPINION        24/7/04

The Bukusu and Tachoni of Bungoma and Trans-Nzioa districts are in a festive mood as the month of August arrives.

This is the month of sikhebo or circumcision period and where everybody is involved in one way or the other.If there is any religious tenets carried forward from the Dini ya Msambwa teaching for its followers to adhere to then -simply its embalu-to under go circumcision.

If you are a visitor, then do not be suprised to find the pastor, teacher or aperson of any high standing in society mingling freely and listening keenly to a comon villager on issues of  initiation.

Sikhebo is a rite of passage for the youth to enter adulthood from childhood and is not merely the removal of the penis foreskin.

The occasion is so ecstatic and full opf of funfare that food and drinks flow freely and endlessly.

Literaly none is spared the hectic period and everybody gets involved in one way or the other either by condemnation of the practice or participating in its rich cultural values.

The event has stages through which the initiates  go to be regarded as men capable of fending for  their families and defend the community.

The first stage where by boys move arround villages coverring valleys to inform close relatives about the date of the actual circumcision is  significant for them to know maternal and paternal cousins.

The type of gifts they are given as they move arround also shows the attachment of the community to the boys parents and clan.

Singing and dancing which accompany the initiates is more about joy as they praise greate personalities in society, important events or scorn on individuals whose ways and behavours are not approved.

This is one way in which the community passes on its historical and social past to future generations.

The initiates develop a distinct difference of their maternal uncles and those of their respective clans depending on the roles played during the passage rites.

The slaughtering of  abull by the maternal uncles is to appreciate their sisters efforts in creating wealth to them in form of dowry paid.The second aspect is to welcome the nephew as their own blood.

Slaughterring of bulls is manifestation ofn a people who value wealth and are from a culturally rich ancestry and they do it to share with the community.

The large quantities and volumes of busaa is mostly to entertain visitors throughout the night of khuminya when the boys are not required to sleep as they under go the rite the following morning.

This is a period when women test their brothers and clan members to gauge the affection and value bestowed on them  by relating to  gifts their sons are given.

There are rules to observe and follow before th initiates are circumcised, like longdistance running and dancing half naked is to prepare and harden the body, which makes it near impossible for them to feel the pain as the mskin is removed.

Lukembe the knife used by bakhebi is  sacred made only by blacksmith of repute when the circumciser himself is present.It can not be used for any other purpose other than circumcising fullstop.

Lubiito is perfomed to initiates who were cirmucised by Lukembe and this is when they are presented with a code of conduct of the community and how to behave responsibly in society.

The fallacy being propagated that each boy one knife to curb the spread of AIDS among the initiates does not hold water for several reasons.

There is enough prove that rarely to blood of the boy come into contact with Lukembeas the special dust applied is quiet effective.

Tradition has it that. and can be supported by scientiffic research- children who are male under the age of 12 rarely engages in sex-therefore the initiates are unlikely to carry the virus.

Going to hospital to have the penis fore skin removed can not be equatedn as circumcision because here its a simple operation and this rules out modern or traditional circumcision.

Circumcision in its true sense is an elaborate chain of acitivities an events bonding together the past, present and future.

The advocates who are calling to have the boys taken to hospital for operations are mostly members of evangelistic churches and are using the campagn to be funded.

During the period those who posses the will to circumcise can never fall sick and are able to run for miles an d miles without getting tired.

There is no college to train circumcisers an dthat is a wonder of its own how they come about and at the same time not required to invest the fee payments recieved to continue in the profession and prosper.

This are guys who survive on meagre resources but dine as  lords when Sikhebo arrives as they call the shots.They carry with them blessings and curses for the initiates, they are an authority on such matters.

Considering those advocating for change in the practice one sees bankruptcy in cultural expresion and conmanship to get funding from donors to improve on their economic status.

The fact that all have their boys to be circumcised during the month of August is testimony enough that they are by practice followers of Dini ya Msambwa.

They hold the rite of passage in high esteem because the same proponents throw parties for the boys after taking them to hospitals, which is sharing the joy with the community.

There is this stupid urgement about failing to raise fees for the boys who have had bulls slaughtered during their circumcision.The boys who get circumcised are in primary schools between std  5-7, now where in hell is the noise about a parent not affording fees payment.

More so the size of calves slaughtered in the ceremonies can not by themselves be able to pay fees for the boys to complete secondary education.

This also brings about the blight of girls who drop out of school for lack of fees yet  there is never anything traditional to waste on resources in their honour and prestige.

The best thing the ant-traditionalist groups should focus on for now is how easily to make quick money from the Global fund to fight Hiv/Aids and tuberclosis.

Because circumcision has been cited as a good way to slow down the rapid spreading of  Hiv/Aids virus, let them get down to business and set up NGOs to popularise the practice among communities which do not circumcise.

Otherwise for the two communities they are getting geared for merry making  with lots of eating irrespective of time day or night unending flow of drinks but no attending funerals- it is taboo to mix funerals with circumcision ceremonies.

DELAYED PAYMENTS

Tuesday, November 16, 2004 5:21 PM

Resigning her fate to divine intervetion,to get paid she threw the delivery documents to her councillor Mr.Eric Soita of Sitikho to take them the management at the company.
But Mr Soita has problems of his own when it comes to cane payments at Nzoia.He say 6 cane fields of his for the crop he harvested 2001 were among the skipped cases and management has failed to explain why he can not be paid.

He gave the example of field no.33408106404 and 33408206501 where the cane was delivered on 18/8/2001 , this he says the company has failed to trace the records . The civic leader wonders who should keep the farmers records BY LUKE KAPCHANGA DN/WEBUYE NZOIA 16/11/2004

her cane she delivered to the factory in 2001.
She says the purpose which forced her to plant cane is over due and sees no need to pursue the payments and yet she is securely if management at the company does not want to be blament.
Mr. Eluid Khisa has slightly different complain against the sugar company, his is the case of underpayment and management have elluded permitting him audience to ask about the remaining money.
Mr.Khisa field cane no.is 33304205382,he delivered 36 tonnes of cane to the factory and was paid for only 12 tonnes and has never got any explanation on the mode used to deduct his cane.
The list of farmers complaining against poor payment procedure at Nzoia sugar company grows by the day and both farmers represantatives and political leaders seem to have run outn of steam to fight for their cause.
The farmers led by Mr.Joshua Wepukhulu last week convened a meeting at Makhele market from where they gave the management 14 day notice to clear payment of skipped cases or they disrupt operationsof the company.
The farmers insist that shs.300million released by the government last May has not benefited them fairly because the manner in which screening exercise to verify them was done.
They claim that the board of directors was ill advised by management to go out to register farmers affresh with the sole purpose of weeding ghost farmers.
Mr. Wepukhulu says that his cane field no.36201307771 has been paid without getting the statements of account and does not know whether he was paid less or more. The efforts to inquire about the statements are frustrated by what he calls hostile company employees.
The employees at Nzoia sugar factory he says treats farmers with suspicion and are very arrogant to attend to any problem raised by the farmer.
Mr.Francis Mapesa whose cane field no. is 36204502010 was notified to be paid on 23/7/2004 by the agriculture manager bMr.Maclean Wasike but he has not received any money.
Mr. Mapesas cheque no was 026236 he was on list 2016 were others have been paid and tracing the cheque has become a problem.
On her part Mrs.Ruth N Richard field no 33303203811 was paid and deducted shs.6000 and allegedly took the money to Nzoia outgrower company -SACCO, where she is not a member.
Mr. Wepukhulu who is a victim of the the deductions on field no3330345720 does not understand how the company management reached the decisions.
"We as farmers suspect collusion among senoir managers in the racked of deducting non-noco-sacco members their money which never goes to sacco offices" he said
The farmers claim that when they go to noco-sacco to ask about their money they are reffered back to Nzoia where they fail to get audience with management.
Mr. Protus Manyonge field no.36107940300 ,list 0319 had his cane harvested in December 2003 which is in the current payment has not yet been paid but is told that his name is not in the records.
The cane farmers are annoyed with the managing director Mr. Josephat Akoyo for repeatedly saying that the old cases of accumulated debt has been cleared.
At the Makhele meeting they resolved thatmanagement without further delay address the issue of advanced loans which are being deducted but they ,farmers never took the money.
They demanded refund of the money deducted from farmers who are not members of noco-sacco and to give out statements of account before effecting any payments.
There were also complain of senting cheques to outreach offices without a payroll and management of refusing to explain how farmers were getting negative pay from their crop.
Mr. Akoyo has announced that the 12 regional managers have been given orders to screen farmers zone by zone hearing complains.
The MD said claims would be compared to the firms current records before payments are made to end bickering among famers. H e said they are through with the mop-up exercise to establish who is exactly owed by the company and the list of genuine casesv released to mthe public.
The company board of directors chairman Mr. Burudi Nabwera has on his part said that those claiming to have been skipped are the ghost famers who should be arrested.
Mr.Nabwera mantains that no genuine cane famer could deliver the crop and fail to appear anywhere in the company records and said investigations were still going on .
But the director of Kenya sugar board representing the Nzoia zone, Mr.Saulo Busolo accuses both the management and the companys board of directors of protecting corrupt employees.
Mr.Busolo mantains that the issue of ghost famers was created by the management to confuse farmers on payments.
He insists that the management knows the people behind missing records but does not want to punish them because of vested interests.
He says both the board and management uses missing file problem to hide their failures as it has taken too long to clear shs.300m .

the end.

DELAYED CANE PAYMENT

Thursday, December 30, 2004 10:42 AM

BY LUKE KAPCHANGA DN/WEBUYE CANE 30/12/2004
The minister of agriculture Mr Kipruto Kirwa has been challenged to make his position clear on the payment crisis at Nzoia sugar company.
Mr Kirwa was asked yesterday to intervene on behalf of farmers who were left out from benefiting from shs.300million given by the government to clear the arrears in April.
The national chairman of the Kenya national sugarcane growers union Mr Joseph Nato Muleme said the minister should state his stand clearly as the situation is becoming restless.

Mr Muleme complained that farmers are becoming impatient and may turn violent to disrupt factory operations and this could be averted by the minister.

The union boss dismissed the Nzoia sugar company managing director as incompetent and lacks skills to serve farmers adequately.
In November, Mr Muleme wrote a letter to Mr Kirwa demanding payment of shs.415million to farmers by the company as interest. The interest he claimed was as a result of the waiver of interest rates to loans advanced to the factory by the Kenya sugar board.
He urged that charges on sugar development fund had been reduced from 10% - 5% ,while managemant continued deducting the interests on farm preparations and inputs which are given as soft loans.
But ambassador Jack Tumwa called on farmers to give the Nzoia management time as they sort out the mess in skipped cases. Mr Tumwa said the threat to close down the factory in order to force management to clear all the outstanding debts will hurt both farmers and employees.
Speaking in Webuye town Mr Tumwa who is a member of the electoral commission,told farmers to put more pressure on management but they should not use force and violence in their demands.
He asked the management to accept the fact that the records were tampered with and the issue of ghost farmers should be addressed keenly as one way of seeking a solution to the crisis.
Nzoia outgrower company chairman Mr John Musakali has threatened to mobilise his members to close the factory on January 15 if all the skipped cases are not cleared.
Mr Musakali said farmers patience has waned with the claim by the MD Mr Josphat Akoyo that the arrears for 1999 - 2002 had been cleared and were remaining with few cases.
The chairman has maintained that they are owed over shs.100million according to copliled list of skipped farmers whose cane was delivered in the same period.
The farmers are also demanding for the removal of Mr Akoyo accusing him of giving misleading information regarding the payments and evading to meet their representatives.

They say that they will boycott cane harvesting to disrupt the factory operations if the money is not paid byn the set date.

CORRUPTION AT NZOIA

Tuesday, March 8, 2005 10:16 AM

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BY LUKE KAPCHANGA  DN/WEBUYE    CORRUPTION    8/3/2005
The government should move in and investigate management of Nzoia sugar company over its continued
deduction of presumptive tax which was abolished in the year 2000.
The chairman of Nzoia outgrower company (NOCO), Mr John Musakali called on the anti-corruption authority
to probe the company because farmers are being deducted the presumptive tax.
Mr Musakali said farmers have lossed close to over shs.120million in the abolished tax to the factory which has to be
repaid with immediate effect.
He complained that the management has been deducting the money against the governments directive and those
behind the scandal should be prosecuted.
Speaking at the NOCO offices, the chairman gave the management at Nzoia 7 days to start refunding the money to farmers
or they take action to paralyse operations at the factory.
The official said the presumptive tax which is 2% of the gross pay of cane proceeds was supposed to go to the government
but as the miller continued deducting the money it remained with management.
He accused the management for stealing farmers money due to ignorance and were going to use all means to get it back.
Mr Musakali complained that since the government released shs.300million in April last year to clear the farmers accumulated debts
the records have been tampered with and the payment system is in a mess.
He claimed the farmers files got lost to confuse them from getting the correct payments of their cane proceeds and this also
gave way for them not to complain about illegal deductions.
He blamed the managing director and chairman for not giving right information on the disapearance of the records leading to the
farmers suffering and poor pay.
At the same time trouble erupted at Nzoia factory when cane cutters boycotted harvesting and torched cane to protest against being
hired by contractors.
A company employee was stripped naked and beaten by angry canecutters at the companies nuclieus estate when she told them to register
with new contractors.
The mob of canecutters mobilised their collegues in other farms to boycott the harvesting as they set the crop on fire.
Last week over 100 hectares of under age cane was burnt and is rotting on the ground because it could not be crushed.
Sources at the company said that management is revising the contracts of cane cutters so that they are recruited and hired
by sub-contractors to have them not answerable to the company.
There are claims that top managers have won the tender of hiring and supplying canecutters who are also opposed to the arrangement.
The managing director Mr Josphat Akoyo told the nation when they sought comment through his secretary that there is no problem.
He refused to talk to the press saying that he was busy with the board members.