Decision was made after Kenya failed to raise 15% of the project cost.
The region had 61 mega infrastructure projects valued at Sh5.8 trillion in 2015.
Some of the major negative effects of the SGR on the Kenyan economy.
The upgrade will enable the airport to handle large aircraft such as Boeing 767 and Boeing 467.
Treasury has been releasing funds meant for the project periodically.
The State has shortlisted three firms from a pool of five contractors that bid for the work.
It will replace the 14-inch pipeline that has existed for 36 years.
A total of 12 locomotive engines have been delivered to Mombasa for the project.
The 940km road will link Eldoret to Juba through the Nakodok/Nadapal border.
The project is said to be running behind schedule due to the absence of political will.