Browsing by Author "Jere, Mlenga"

Now showing 1 - 4 of 4
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    Can trade effluent charges promote compliance and address water security risks in Nairobi’s manufacturing industries?
    (2019) Busolo, Joy; Jere, Mlenga
    This research assessed whether trade effluent charges could promote compliance and address water security risks in manufacturing industries in Nairobi. This is due to the burden of effluent management that Nairobi City Water and Sewerage Company (NCWSC), the largest water supply and sewerage Company in Nairobi, has been having in the management of effluent water despite the existence of comprehensive effluent discharge regulations. The research therefore assessed the water security risks faced by manufacturing companies and assessed the compliance rates of manufacturing companies with effluent waste water discharge regulations, to find out whether there is any effects on water security brought about by the trade effluent charges and to determine the effects of these charges on operational performance of Nairobi City Water and Sewerage Company. A descriptive survey was used to carry out this research targeting a sample of twenty (20) manufacturing companies in Nairobi County spread across different sectors such as textile, agro-processing, oils and refinery and food and beverage. The research results reveal that most industries in Nairobi County consume between 10,001 to 50,000 m3 of water monthly and that most them are compliant with NEMA effluent discharge regulations. The research further showed that compliance with the set regulations have been on a steady increase from the year 2015 to 2017. On water security risks, the research established that manufacturing industries have been discharging a varying amount of effluent into the sewers of Nairobi city and most of them invest in various water efficiency measures to reduce water usage and comply with effluent discharge regulations. The research further established that NEMA effluent discharge regulations have had no effect on their operational performance of most industries in Nairobi County as the cost of effluent discharge is part of their budget. Additionally NEMA effluent discharge regulations had no effect on the water security risks of the manufacturing industries, in most manufacturing industries since most of them invested in drilling boreholes and rain water harvesting before the regulations were enacted to supplement water supply while for the remaining few, the said regulations had increased their water security by encouraging them to recycle water, invest in rain water harvesting and also utilize less borehole water. In conclusion, the introduction of the trade waste effluent regulations has had minimal effect in promoting treatment and recycling of waste water, reduction of costs in operation of municipal treatment plants and their maintenance and mitigation of water security risks. To promote compliance of regulations and investment in waste water treatment and reuse to address water security risks from demand side management, policy makers need to design incentives to compel large water users to invest in demand side management measures. These measures could include waste water treatment and reuse, water reduction interventions, measuring and monitoring water use. On the other hand corporate management need to incorporate water-use efficiency measures, sustainability and environmental protection within their strategies.
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    Development/exploration funding for black junior miners in South Africa
    (2021) Mazibuko, Molebogeng; Jere, Mlenga; Boikanyo, Herman
    The lack of racial transformation in most industries has led the government to craft policies geared towards distributing the pillars of power and influence of all races, especially the previously disadvantaged people of South Africa. A policy is not standalone; hence, on its own will not lead to the materialisation of any of government's plans. It is on the back of this that a solution to any problem needs to be a product of a collaborative system. In 2015, over 80% of all prospecting rights held by black owners expired and changed ownership from blacks to whites. The purpose of this research study is to investigate the proportion of black junior miners holding prospecting rights that manage to advance to obtain a mining license and then to production. Moreover, this study aims to describe and explain attributes that influence the investigated phenomenon to derive mitigations and remedies. It is assumed that since black people could participate in natural resources, economic activity post the apartheid era of the nation, the representation of blacks in this industry regarding ownership of productive assets is still less than 15%. This study uses a qualitative research methodology by examining the funding challenges experienced by black junior miners in taking their projects forward by investigating the proportion of allocated prospecting rights to blacks that reach production. A literature review was undertaken as a backbone to the phenomenon being researched. The researcher conducted qualitative research, interviewing 12 respondents; 8 of whom are middle to senior managers in their prospective companies and 4 of whom are aspiring mining owners with prospecting rights. The research findings revealed predominant themes, among which are the inefficient application process, poor quality applications, little to no government support to help execute their transformation agenda within mineral economics, limited funding allocated towards the development of early-stage mineral resources projects and the nation's deficiency of experienced early-stage funders and funding mechanics. Practical recommendations were provided, and these show a correlation between a participant-private-public relationship that needs to happen to achieve the intended purpose of the study. In absence of funding commitment from private entities, the only option the country has might be to constitute a consolidation policy, forcing majors to financially adopt juniors with a clawback option.
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    Experts’ opinion on challenges facing the development of green bonds on the Nairobi Securities Exchange
    (2019) Magale, Eric Gwandega; Jere, Mlenga
    Climate change is arguably biggest challenge for 21st Century. Africa while being the least polluter in the world, is the most vulnerable to the effects of climate change. The Paris Agreement, Sustainable Development Goals (SDGs), African Development Bank’s strategy 2013-2022, Kenyan National Climate Change Action Plan among others all seek to achieve inclusive green growth by building resilience to climate shocks and providing sustainable infrastructure - this will require substantial financial resources. Government funds alone will never be enough to deal with the threat posed by climate change - the private sector must be involved. Green bonds allow both Government private sector to do their part. A green bond is differentiated from a regular bond by its 'Green’ label, which signifies a commitment to exclusively use the funds raised to finance “green” projects and infrastructure. The Climate Bonds Initiative projects that green bonds worth 250 Bn USD will be floated in 2018 compared to 155.5 Bn USD in 2017. In Africa, only South Africa and Nigeria have listed green bonds, signifying a commitment to the Paris agreement. More than a decade after the listing of the first green bond, Kenya is yet to float a green bond. The Kenyan bond market is underdeveloped with corporate bonds accounting for only 1% of all bonds listed with government bonds accounting for 99%. The bond market does not attract international investors which is completely opposite to the equity market. The government has been a key player in the stakeholder engagement process and will be central to by incentivizing issuers and investors. There is however a lack of education on green bonds along the value chain. This qualitative study employed a purposive sample of experts and through structured interviews, sought to pinpoint challenges to and opportunities for development of a green bond market in Kenya. The study concludes that rating of green bonds will be important mostly for international investors and does not hinder floating of green bonds. Reporting is a critical element to development of a green bond market being the only element that distinguishes a green bond from a vanilla bond. As such guidelines on reporting and building capacity in the area of green verification and certification among service providers will be crucial to supporting a local green bond market. Kenya will foreseeably look to international experts to assist in verifying, rating and reporting on green bonds. Kenya presents future opportunities in providing digital green bonds being a world leader in mobile money market.
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    Investigating the causes and effects of weak corporate governance that hinder successful performance of African National Development Banks: a case study of Development Bank of Zambia
    (2017) Kambobe, Chanda; Jere, Mlenga
    Corporate Governance in African National Development Banks is critical to their success or failure. These Banks have complex corporate governance structures with hierarchies comprising both national government representatives and in some cases the private sector. By focusing on election years this study aimed to show how external interventions from the owners of the Banks (governments) can unduly influence their performance and sustainability. Two causes of weak governance were identified, these were non-independence of the board and broad and unclear mandates. The study shows an increase in lending during election years, suggesting evidence of non-independence of the board signifying undue political influence and wide mandates leading to "mission creeps" usually encouraged by politicians. Non independence has its effects, these were identified as crowding out of the private sector, misallocation of funds and low profitability. A positive correlation was found between the African National Development Bank lending and private bank lending an indication that the African National Development Banks compete with the private banks instead of performing their counter cyclical role, this in turn leads to crowding out the private banks. Misallocat ion of funds is demonstrated by an increase in lending during election years followed by an increase in bad debts two years after the election year, an indication that loans where given to unviable projects. Lastly the study proves the low profitability effect by showing that loans given out are negatively correlated to the Banks profitability, showing a reduction in Bank profitability as more loans are advanced and vice versa. The findings suggest that non-independent boards and wide and broad mandates weaken African National Development Banks corporate governance, negatively affecting their performance and preventing them from executing their mandates effectively.