What You Need to Know
A group of Kenyan MPs is advocating for a significant change in the mining revenue-sharing framework to allocate more funds to local communities. The current model, which gives 70% of royalties to the national government, has faced criticism for being inequitable, as communities bear the brunt of mining’s negative impacts. The debate highlights ongoing tensions in mining areas over land and profit
Africa-Press – Kenya. A section of MPs are pushing for a radical overhaul of Kenya’s proposed mining revenue-sharing framework to increase the amount allocated to local communities.
At the centre of the push is the Mining Mineral Royalty Sharing Regulations 2026, which outline how proceeds from the country’s extractive sector are distributed.
The current formula, anchored in the Mining Act, allocates 70 per cent of royalties to the national government, 20 per cent to county governments and just 10 per cent to host communities.
However, a section of members of the Committee on Delegated Legislation, reviewing the regulations have sharply criticised the arrangement as inequitable, arguing that it fails to reflect the realities on the ground where mining activities take place.
Samburu County Woman Representative Pauline Lenguris sought to know from Mining, Blue Economy and Maritime Affairs CS Hassan Joho, why in the current proposal the government is taking up the majority.
“Everything is happening in the counties, from the discovery of the minerals to the impact assessments, chair I think this framework should be reversed for counties to get the 70 per cent,” said Lenguris.
Lawmakers argued that communities bear the brunt of mining’s negative impacts, including environmental degradation, displacement and health risks, yet receive the smallest portion of the benefits.
“Minerals are found on community land, and it is the people who suffer the consequences of extraction, we cannot sit here and legalise unfairness,” added the women representative.
The debate comes against the backdrop of increasing tensions in mining zones across the country, where disputes over land, compensation, and benefit-sharing have become more frequent.
Committee chair Samuel Chepkonga pointed to loopholes in the proposed model pointing out that natural minerals falling across county borders, were not adequately addressed on how the revenues will be distributed.
Lawmakers warned that the current distribution model risks exacerbating these conflicts by sidelining communities that are directly affected by mining operations.
In several regions, residents have complained of polluted water sources, deforestation, and limited economic opportunities, even as valuable minerals are extracted from their land.
CS Hassan Joho defended the formula, noting that it is already provided for under the Mining Act and cannot be altered through regulations alone.
Joho who was accompanies by Mining PS Harry Kimtai emphasised that the proposed rules are intended to streamline the disbursement process, ensuring that communities receive their allocated 10 per cent more efficiently and transparently.
“Historically, delays in releasing funds have meant that some communities waited years before seeing any benefit from mining revenues. The new regulations aim to address this by establishing clear mechanisms for collection, allocation and oversight,” said Kimtai.
In addition, the ministry held that other financial flows have been benefitting communities, including corporate social responsibility programmes, local content requirements and a separate 1 per cent gross revenue allocation for community development agreements.
“Taken together, officials argued, these contributions represent a substantial investment in local development beyond the statutory 10 per cent royalty share,” said Kimtai
Despite these assurances, the committee remained unconvinced, arguing that supplementary benefits such as CSR projects are often inconsistent, discretionary and insufficient to offset the long-term impacts of mining.
They stressed that royalty sharing is a legal entitlement, not a voluntary contribution, and should therefore reflect a fairer balance of interests.
The Mining Act of Kenya has long dictated the distribution of revenues from the extractive sector, favoring the national government significantly. This has led to growing discontent among local communities who feel marginalized despite facing the adverse effects of mining activities. Recent discussions among lawmakers reflect a shift towards addressing these inequities and ensuring that communities receive a fairer share of the benefits derived from their natural resources. The push for reform is indicative of broader calls for more equitable resource management in Kenya.
