A coalition of Kenyan legislators is pressing for a fundamental restructuring of how revenues from the country's extractive sector are divvied up, challenging regulations that would channel the lion's share of mining royalties to the national government while leaving host communities with the smallest portion.
At the heart of the dispute are the Mining Mineral Royalty Sharing Regulations 2026, which outline the mechanism for distributing proceeds generated from Kenya's mining industry. Under the current formula embedded in the Mining Act, 70 per cent of royalties flow to the national government, 20 per cent to county governments, and a mere 10 per cent to the communities on whose land extraction operations occur.
Members of the Committee on Delegated Legislation, currently examining the proposed regulations, have roundly condemned the arrangement as fundamentally inequitable. The lawmakers argue the distribution fails to account for the localized impacts of mining, including environmental degradation, involuntary displacement, and health hazards that directly affect populations living near extraction sites.
Samburu County Woman Representative Pauline Lenguris confronted Mining, Blue Economy and Maritime Affairs Cabinet Secretary Hassan Joho during the deliberations, questioning why the government should retain the dominant share when all operational activity—from mineral discovery through environmental impact assessments—unfolds within county boundaries.
"Everything is happening in the counties, from the discovery of the minerals to the impact assessments," Lenguris stated. "Chair, I think this framework should be reversed for counties to get the 70 per cent."
Committee chair Samuel Chepkonga flagged additional deficiencies in the proposed framework, pointing specifically to the absence of provisions addressing revenues from mineral deposits that span multiple county borders. The loophole, if left unaddressed, could create prolonged disputes over how proceeds from cross-border resources would be divided.
Lawmakers warned that adopting the current distribution model risks intensifying already simmering tensions in mining regions across the country. Conflicts over land rights, fair compensation, and equitable benefit-sharing have grown increasingly common, and legislators contend that sidelining directly affected communities in the revenue formula will only deepen those grievances.
"Minerals are found on community land, and it is the people who suffer the consequences of extraction," Lenguris added. "We cannot sit here and legalise unfairness."
The push for revision comes as Kenya seeks to balance attracting mining investment with ensuring local populations derive meaningful economic benefits from resources extracted in their backyards. The outcome of the parliamentary review could substantially reshape the financial architecture of the country's mining sector.