Counties rue lost revenues in war against illicit brews
A man pours buckets of water on a burning house after locals set it on fire, claiming it was an illegal brewery, in Chandera village, Molo, Nakuru County, November 2023.
The crackdown on illicit liquor in the Mt Kenya region significantly impacted revenue collection in nine counties, resulting in a loss of nearly Sh500 million.
According to the Controller of Budget’s County Governments Budget Implementation Report for the first nine months of the 2023/2024 financial year, Kiambu, Kirinyaga, Meru, Embu, Murang’a, Nyandarua, Nakuru, Laikipia, and Tharaka Nithi earned just Sh250 million, a substantial drop from the approximately Sh700 million they generated in previous years.
Governors in these counties have faced a headache balancing the need to support the fight against illicit liquor with the demands of revenue collection to fund development projects. Despite this, many governors have drastically reduced the number of alcohol outlets in their counties.
The result of these efforts is a significant decline in revenue. According to the report, Kiambu County collected Sh90,354,097, Kirinyaga (Sh49,844,500), Nakuru (Sh51,811,270), Nyandarua (Sh10,125,964), and Nyeri (Sh51,262,410).
Out of the Sh3.35 billion it generated in own-source revenue, Kiambu County minted Sh306 million from business permits, including liquor licences. Governor Anne Waiguru's Kirinyaga County generated only Sh49,844,500 from liquor licensing, or 11 percent of the total own-source revenue of Sh472 million collected in the nine months of the 2023/2024 financial year.
Governor Irungu Kangata's Murang'a County generated a total of Sh173,153,837 from licences with liquor licensing contributing about Sh10 million, while Nyandarua collected Sh10,125,964 representing three percent of its Sh332 million own-source revenue collection.
Nyeri Governor Mutahi Kahiga also managed to collect Sh51,262,410 from liquor licences ,which was five percent of the Sh1.02 billion generated during the period under review. Laikipia,Tharaka Nithi and Meru generated a total of about Sh60 million from liquor licensing.
"The Controller of Budget advises county governments to fully exploit and at the same time diversify revenue sources,build the capacity of key staff involved in collection and implement revenue enhancement programmes to realise the OSR [own-source revenue] potential,"the report says in part.
Dr Kang'ata has announced a reduction of the alcohol outlets from 2,971 to about 1,032.
In Laikipia, Governor Joshua Irungu says he is set to reduce the establishments by half. He said there were over 3,000 new liquor licence applicants last year, but the county administration intends to reduce operating outlets to less than 1,500.
"My administration is committed to eradicating drugs and substance abuse and alcoholism, which is hurting the young generation,"he said in a recent interview.
In Kirinyaga, Ms Waiguru early this year ordered the closure of all liquor outlets in the county following the deaths of 17 people after consuming illicit brew. Ms Waiguru said the businesses would be vetted afresh. She announced the move during a mass funeral for the 17 illicit brew victims at Kangai Primary School.
Application procedures
In Tharaka Nithi,Governor Muthomi Njuki has introduced strict licence application procedures for operators,in line with the Tharaka Nithi County Alcoholic Drinks Control Act 2021.
In the whole county, only four towns — Kathwana, Chuka, Marimanti and Chogoria — are allowed to have a night club.
The war against illicit liquor was intensified following the death of about 17 people in Kirinyaga County after they consumed poisonous illicit liquor at California bar in Kangai village, an outlet authorities have since revealed was not licensed.
Some of the victims first turned blind before they died.
The illicit brew is suspected to have been laced with ethanol.
Toxic brew
In Nakuru County, consumption of toxic brew has in the past led to loss of dozens of lives. In 2021, 16 people died in Bahati and Njoro sub-counties after taking the lethal drinks.
On August 8, 2021,several residents in Hodi Hodi in Bahati drank illicit brew with 10, among them a pregnant woman, dying.
Five of the victims died within 24 hours while five others days succumbed days later while receiving treatment in different hospitals in Nakuru. Barely three months later, on December 6,2021, six other people died in the Jawatho area of Njoro after consuming liquor suspected to have been poisonous.
