In an unprecedented move, Nandi county has increased land rent for multinational tea companies by 5,000 per cent.
Governor Stephen Sang announced his government had increased the annual land rent from Sh100 to Sh5,000 per acre with effect from June this year.
Sang said the move had been approved by the county assembly after the proposal was tabled last week.
He said their action was prompted by a directive by the National Land Commission asking them to increase the rent from the colonial Sh100 per acre.
NLC in a gazette notice issued early this year directed Nandi and Kericho counties to increase annual land rent from the 1920 colonial order.
Kericho Governor Paul Chepkwony has proposed for the increase of rent from the colonial figure to Sh10,000 annually.
Kericho has close to 500,000 acres under multinational tea lease and expects to collect Sh5 billion.
Chepkwony’s proposal is yet to be tabled before the Kericho county assembly for adoption and subsequent implementation.
Nandi county has 140,000 acres of tea under lease by multinational firms that stretches across three constituencies of Tinderet, Nandi-Hills and Emgwen.
Sang said the county has been receiving “paltry” Sh14 million rent annually and will now be raised to Sh700 million.
This will increase his government’s revenue, which will be used in development.
The colonial amount has never been reviewed since Independence, and the governor said the firms have not participated in any meaningful social corporate responsibility.
“They only provide firewood and a water boozer during funerals for their workers and for communities living within the precincts of their farms," the governor said.
He was speaking at Chepterit during the commissioning of street lighting program.
