Hello

Your subscription is almost coming to an end. Don’t miss out on the great content on Nation.Africa

Ready to continue your informative journey with us?

Hello

Your premium access has ended, but the best of Nation.Africa is still within reach. Renew now to unlock exclusive stories and in-depth features.

Reclaim your full access. Click below to renew.

Caption for the landscape image:

Fury over Sh4bn compensation money withheld from landowners by NLC

Scroll down to read the article

Senate Committee on Roads and Transportation and Housing Chairman Karungo Wa Thang'wa is flanked by Senator Peris Tobiko (L) and Senator Stewart Madzayo (R) during a meeting with KPA management. The meeting was called off after the KPA MD failed to appear. He was summoned to Nairobi to meet the Committee on July 2, 2024.


Photo credit: Wachira Mwangi/ Nation Media Group

The National Land Commission (NLC) is on the spot for holding onto at least Sh4 billion compensation money for Kenyans displaced from their land to allow for the construction of roads and other projects.

The development comes after MPs summoned NLC chairperson Gershom Otachi to appear before the Senate Committee on Roads on Thursday to explain the delayed payments.

The move came after Mr Otachi failed to appear before the committee with the NLC boss writing to the panel Tuesday morning asking to show up at a later date as he had a scheduled event with Head of Public Service Felix Koskei.

The lawmakers were concerned that the commission is still holding onto at least Sh2.98 billion compensation money for project-affected persons (Paps) in the James Gichuru-Rironi Road project.

Non-payment

The committee chaired by Kiambu Senator Karungo Thangwa heard that the Kenya National Highways Authority (KeNHA) had already released at least Sh10 billion to the commission for compensation of the individuals affected by the project.

However, only Sh6.52 billion has so far been released to 1,338 Paps out of the 2,444 individuals with another Sh587.5 million owed to 313 Paps being processed.

According to documents submitted to the committee, only 65 percent of the affected individuals have been compensated.

KeNHA, on the other hand, is yet to remit some Sh791.22 million out of the total compensation amount of Sh10.09 billion.

“Owing to the fact that this is an important meeting because the government took people’s land and did not compensate them, we need to crack the whip,” said Mr Thang’wa.

“Giving any excuse to delay the appearance will be delaying justice to the people. I am summoning the chairman of NLC to appear before this committee on Thursday,” he added.

The committee chairperson put on the spot the commission for sitting on billions of shillings meant to compensate Kenyans who surrendered their land, including homes, to allow for the implementation of state projects.

NLC is mandated to compensate project-affected persons upon confirmation of ownership of the parcels.

Senator Thang’wa said that out of the Sh1.9 billion the land owners in Kiambu are supposed to receive for their land used to construct the Western bypass, only about Sh600 million has been released by the commission.

Another case involves the Kibwezi-Mutomo-Kutui-Migwani Road project where residents were supposed to be compensated to the tune of Sh694.98 million.

The senator said the committee has been informed by the KeNHA, which implemented the project, that some Sh281 million was released to NLC two years ago to compensate the locals.

However, only Sh180 million has been paid out, leaving the commission holding onto Sh101 million with 2,000 individuals identified for compensation.

“Why is the commission not paying the locals? The money has been there since the financial year ending June 2021,” Mr Thang’wa said.

Kitui Senator Enoch Wambua complained that the NLC has failed to pay the lot despite receiving funds from the project implementing agencies.

Senator Wambua termed NLC’s action as frustrating to the locals demanding answers on the whereabouts of the money.

“We are beginning to wonder whether there is no way out of this. KeNHA told us that they gave NLC Sh280 million but only Sh180 million has been paid. Why is NLC still holding onto this money?” posed Mr Wambua.

“It is a very frustrating thing. This Sh100 million has been held by NLC for more than two years going into three years now. In which account does this money exist? Who is benefiting from the interest?” he posed.

The Kibwezi-Mutomo-Kitui-Kabati-Migwani road project was launched by President Uhuru Kenyatta in 2017.

The project was undertaken by the Chinese firm, Sinohydro Corporation and was set to be completed in May 2022.

In yet another revelation, the committee noted that the construction of the Sh38.82 billion Mombasa Gate Bridge has not started due to delayed compensation of those affected by it.

Often, NLC has cited delayed release of funds by the project implementing agencies, lack of land ownership documents by the claimants, family feuds and court cases for the delayed payments.

The committee seeks to know from NLC the status of compensation of project-affected persons by infrastructure projects across the country.