Delegated legislation committee back new mining royalty rules but demand clarity on community definition and timely disbursements

Tuesday 14th April, 2026. 
Bunge Tower, Parliament Buildings. 
The National Assembly’s Committee on Delegated Legislation has endorsed the proposed Mining (Mineral Royalty Sharing) Regulations, 2026, even as it raised concerns over community definitions and delays in disbursing funds to local beneficiaries.
During a session chaired by Vice Chairperson Hon. Robert Gichimu, the Committee met Cabinet Secretary for Mining, Blue Economy and Maritime Affairs, Hon. Hassan Joho, alongside Mining Principal Secretary Harry Kimtai, to deliberate on the new framework governing royalty sharing.
Kilgoris MP Hon. Julius Sunkuli questioned the clarity of the term “community” within the regulations. “We must be clear on what constitutes a community. This definition is very critical,” he said. Hon. Gichimu echoed the concern, emphasizing that “the definition of community is central to the successful implementation of these regulations.”
Samburu County Woman Representative Hon. Pauline Lenguris underscored the need to prioritise local populations. “The community should be the primary beneficiary of the proceeds of mining before any other benefactors,” she stated.
Lukuyani MP Hon. Innocent Mugabe, however, lauded the regulations, noting their quality. “I am trying to fault these regulations, but I can attest that this is the best regulation drafted,” he said.
Hon. Sunkuli also sought clarification on whether adequate public participation had been conducted before the drafting of the regulations.
The proposed law provides that 10 per cent of royalties will be allocated to local communities, an increase from the previous 2 per cent. The regulations establish a structured sharing formula, with 70 per cent going to the national government, 20 per cent to county governments, and 10 per cent to communities.
“The share of royalties payable to communities shall be used to facilitate projects identified by the community,” CS Joho told the Committee.
The Cabinet Secretary also revealed that the Cabinet has resolved to ban the export of raw minerals. “No mineral shall be exported in its raw form,” he said, adding that value addition would ensure greater returns for the country.
At the same time, CS Joho criticized delays by the National Treasury in releasing funds meant for communities. “The revenues get to the National Treasury but it takes too long to have them disbursed to the local community,” he said.
He noted that it was unjust for communities to remain impoverished while proceeds from resources extracted from their land remain held at the Central Bank of Kenya.
The regulations, anchored in Section 183(5) of the Mining Act, outline mechanisms for the collection and distribution of royalties. They require the Cabinet Secretary to identify and publish beneficiary communities within 30 days of issuing a mining license.
In his closing remarks, Hon. Gichimu called for increased public awareness. “The Ministry must sensitise communities on these regulations and ensure the sharing formula is enforced so that communities receive their rightful share on time,” he said.