RAW DEAL

New revenue sharing formula bad for Mt Kenya region - MP Ndindi Nyoro

MP says densely populated counties, especially in the Mt Kenya region, disadvantaged.

In Summary

• MP criticised the Senate for failing to pass the one man one vote one shilling formula that had been proposed by the Commission on Revenue Allocation (CRA).

• In the new formula, Mt. Kenya region will receive Sh10 billion less.

Kiharu MP Ndindi Nyoro during the burial of James Mwangi Mburu who was violently murdered last week at Muchungucha village.
Kiharu MP Ndindi Nyoro during the burial of James Mwangi Mburu who was violently murdered last week at Muchungucha village.
Image: Alice Waithera

Kiharu MP Ndindi Nyoro has criticised the Senate for failing to pass the one man one vote one shilling formula that had been proposed by the Commission on Revenue Allocation (CRA).

Ndindi has said densely populated counties, especially in the Mt Kenya region, have still been disadvantaged by the new formula.

 

The formula proposed by CRA would have seen 29 counties gain more revenue while 18 lose.

It also proposed fiscal prudence and fiscal efforts as parameters for sharing revenue but it caused sharp differences among senators, hindering its adoption.

The MP said the 11 counties that comprise the region have a population of 10.78 million collectively received Sh77.9 billion, with each person receiving Sh6,800.

This is against the national per capita allocation of Sh7,890.

“Using the national per capita allocation, the region ought to have received Sh84 billion, meaning it received Sh10 billion less,” the MP said.

Out of the Sh53 billion the government will allocate to the counties from the next financial year, the region will receive Sh. 12.1 billion instead of the Sh12.2 billion it should receive.

Ndindi who was speaking on Friday at Muchungucha village during the burial of James Mburu who was murdered metres away from his home last week singled out Murang’a County that has received Sh7.1 billion against its rightful share of Sh8.2 billion.

This is even as sparsely populated counties such as Isiolo, Samburu, Wajir, Mandera, Turkana, Marsabit,  Garissa, Kwale, Tana River that collectively have a population of 5.6 million people received Sh72.2 billion.

"A population half that of Mt Kenya got almost the same allocation with its per capita allocation amounting to Sh12,000," he said.

 
 
 

“These counties also benefit from the equalization fund. Tana River especially has a per capita allocation of Sh20,000 while Isiolo and Samburu each got Sh17,000 yet counties such as Kiambu got only Sh4,500.”

On Thursday, senators who had previously failed to pass the third basis formula 10 times adopted the third basis sharing revenue that ensured no county lost funds.

The new formula has eight parameters and prioritizes the basic share (20 per cent), population (18 per cent), health (17 per cent), poverty level (14 per cent) and agriculture (10 per cent).

Other parameters are weighted at land size (eight per cent), roads (eight per cent) and urban area (five per cent).

Senators, however, voted to retain the old formula through-out the current financial year after which the new one will take effect until 2025.

But Ndindi noted that the one man one shilling one vote formula that many recommended to the Building Bridges Initiative committee has not been achieved.

“Thursday was a sad day for the people of the Mt. Kenya region. The President should sit them down again and ensure they come up with fair formula,” Ndindi said.