PROCUREMENT NOTICE NATIONAL INDIVIDUAL CONSULTANT Country: Kenya Description of the Assignment: Request for Recruitment of National Individual Consultant to carry out a “Value Chain Analysis of the Extractives Industry in Kwale County, with a special focus on Silica Sands and the Duruma (Mazeras) Slates”. Duration: 40 days assignment over a period of 2 months. Background The management of extractive industries is one of the most critical challenges facing many resource-dependent developing countries today. Rather than stimulating broad-based economic development, reliance on resource extraction has tended to concentrate wealth and power in the hands of a few, exacerbate corruption and inequalities, lead to environmental degradation and pollution, while doing little to reduce poverty, economic disparities and generate employment. Worse still, in many countries extractive resources have fuelled violent conflicts1. In addition, gender equality and ensuring women`s issues especially, have not been given a visible arena within the extractive industries. In such contexts, there are thus several challenges for developing sustainable human development, and gains made over years of progress with respect to meeting the Millennium Development Goals (MDGs) and democratic reforms can easily be undone. The recent announcement of oil discovery and other minerals has propelled Kenya as a new player in the global market for hydrocarbons and valued minerals. The International Monetary Fund (IMF) projects that oil production in Kenya is expected to start in six to seven years from now, giving the country time to prepare to manage its endowment to the achieve its development goals as stipulated in the 2030 Vision. In addition to oil, Kenya is also rich in gas, rare earth metals, coal, iron ore, gold, limestone, gypsum, soda ash, gemstones, manganese ore, fluorspar, diatomite, titanium, zircon, chromite, niobium and silica sand. Most recently, Cortec Mining Kenya Limited has announced that Mrima Hills in Kwale County has one of the largest rare earth mineral deposits in the world with a potential in-ground value of up to $62.4 billion. Kwale County Profile – A Brief 1 Nicholas Shaxson (2007) Poisoned Wells: The Dirty Politics of African Oil Kwale County is one of the six counties in the coastal region. Politically, Kwale County has four constituencies namely Matuga, Msambweni, Lunga Lunga and Kinango which follow the county administrative boundaries. The county is positioned in a strategic location which could assist in acceleration of economic growth in the Kenyan coast. The county has four major topographic features namely the coastal plain, the foot plateau, the coastal uplands and the Nyika Plateau. Altitudes range from sea level to 462 meters above sea level in Dzombo. Kwale County is inhabited mainly by the Digo and Durumas who are the natives but other communities such as the Kamba, Kikuyu, Watharaka, Luo, and even whites have a significant presence. Settlement patterns in the county are influenced by infrastructure network (Roads, Water, Electricity), high agricultural zones dictated by nature of soils and the coastline. The county population as per 2009 Kenya Population and Housing Census (KPHC) is 649,931 persons and is projected to increase to 713,488, 783,261 and 833,527 persons in 2012, 2015 and 2017 respectively. Extractives Industry in Kwale Kwale County has a huge potential for mineral exploitation. Some of the already discovered minerals include Titanium (rutile, ilmenite, zircon) at Nguluku and Shimba Hills; Gemstones at Kuranze; Rare Earth Elements (niobium, phosphates) at Mrima Hills and Samburu; Silica Sands at Waa, Tiwi and Ramisi; Zinc, Lead and copper at Mkang‘ombe, Mwache, Dumbule and Dzitenge; Baryte at Lunga-lunga; Coal at Maji ya Chumvi; Sandstones at Mariakani; Limestone at Shimoni and Waa; Coral rocks at coastline and a potential for offshore oil and gas. The county has several on-going mining activities such as exploitation of limestone at Waa and Titanium at Nguluku and Maumba by Kenya Calcium Limited and Base Titanium Limited respectively. Prospecting activities for niobium at Mrima Hills have found huge deposits of a rare mineral sparking a race for exploitation. Milli Glass Limited, Kenya Breweries Glass Limited and Eastern Chemicals are exploiting Silica Sands in the county as well. Other small scale mining of gemstones is ongoing in the county. There has been consistent opposition to the exploitation of minerals in Kwale County. Local leaders, organized groups and the communities have opposed exploitation for various reasons including environmental considerations due to its perceived high radioactivity, the issue of compensation for communal or individual land as well as community benefits-sharing amongst the various stakeholders. Silica sands and the Duruma Slates are currently the most commonly mined minerals amongst the communities in Kwale, especially amongst the youth and women. Scope of Study The consultant will carry out a Value Chain Analysis of selected minerals in Kwale County, with a special focus on Silica Sands and the Duruma (Mazeras) Slates. The proposed study shall provide a comprehensive assessment of the different players, the opportunities, challenges and risks of the above mentioned value chains in Kwale County and beyond. Outputs The key output from this assignment will be a report on the “Value Chain Analysis of selected minerals in Kwale County”. The list of outputs expected from the consultant includes the following: Outputs Inception report including draft structure of final report and assessment criteria for analysing the SMSEs as suppliers to the Extractives Industries First draft of final report sent to UNDP for comments Facilitation of stakeholder consultation workshop (s) Final report (after incorporating comments and feedback) Competencies and Qualifications of Consultant The consultant should have the following minimum qualifications and competencies. Minimum MA/MSc in Economics, International Development, Public Policy or other relevant field, a PhD will be an added advantage At least 10 years of experience in research, socio-economic work, development policy research, gender related work or related fields Experience in value chain analysis, especially on the mining sector Highly developed analytical skills with ability to produce high quality analytical reports and policy papers Excellent ability to communicate in English and Kiswahili Must fulfil the requirements of Chapter Six of the Constitution of Kenya on integrity. Evaluation Criteria (only candidates obtaining a minimum of 70 points will be considered) Criteria 1. 2. 3. 4. 5. Weight Max. Point Technical 100% 100 Minimum MA/MSc in Economics, International Development, Public Policy or other relevant field At least 10 years of experience in research, socio-economic work, development policy research, gender related work or related fields Experience in value chain analysis, especially on the mining sector in the Coastal region of Kenya Highly developed analytical skills with ability to produce high quality analytical reports and policy papers Language proficiency in English and Kiswahili and any local languages 30% 30 20% 20 20% 20 20% 20 10% 10 Payment Terms Payment to the consultant will be made in three instalments upon satisfactory completion of the following deliverables: 1st instalment: 20% upon production and presentation of inception report 2nd instalment: 30% upon submission of first draft report 3rd instalment: 50% upon submission of the final report with all deliverables APPLICATION PROCESS 1. Qualified and interested candidates for this consultancy are hereby requested to send in their applications addressing them to: Procurement Unit UNDP Kenya Country Office Email: consultants.ken@undp.org Please quote “Value Chain Analysis - Kwale County” on the subject line. 2. The application should contain the following: A brief technical proposal (approach and methodology, list of personnel and their CVs, timelines and schedule) UNDP Personal History Form (P11) for the lead Consultant Individual Contract Proposal Form Deadline for Submission: Thursday, 4 September 2014 at 2.00 P.M Kenya Time. ANNEXES ANNEX 1 - TERMS OF REFERENCES (TOR) ANNEX 2 - IC PROPOSAL FORM ANNEX 3 - P11 TEMPLATE ANNEX 4 - INDIVIDUAL CONSULTANT GENERAL TERMS AND CONDITIONS