A dispute has erupted in the Senate over the Sh16.8 billion Equalisation Fund, as lawmakers disagreed on which counties should benefit from the fund earmarked for marginalised regions.
The conflict emerged after the number of beneficiary counties was controversially increased from the original 14 to 34 devolved units.
There are now fresh concerns that the fund has been hijacked to benefit politically connected regions at the expense of genuinely marginalised areas.
During a heated debate in the House, senators accused each other of manipulating the fund for local gain, undermining the original intent of the constitutional provision.
“What happened? How did you, as senators, increase the number of beneficiary counties from 14 to 34?” posed Kakamega’s Boni Khalwale.
Article 204(1) of the constitution establishes the Equalisation Fund, which mandates that 0.5 per cent of all national revenue be allocated to uplift marginalised areas by improving access to basic services such as water, roads, electricity and health facilities.
Originally, the fund targeted 14 counties, primarily in the Northeastern region.
However, the Commission on Revenue Allocation and the previous Parliament revised the framework to include 34 counties, identifying marginalised sublocations and wards across these areas.
The standoff now threatens to derail the passage of the Equalisation Fund Appropriation, 2025 to unlock Sh16.8 billion allocated to the kitty in the current fiscal year.
Khalwale criticised the then-Finance committee for its recommendation to expand the list, saying it unfairly included well-off regions.
“Among the counties added was Kericho, which enjoys rainfall 11 months in a year. They want to fight with Turkana over money meant to provide water for its people,” he said.
“I say this with maximum respect – no tribalism in my heart. Even back home in Bungoma, we are now beneficiaries of this fund, but we are not supposed to be. That must be re-examined.”
Mombasa Senator Mohamed Faki lamented that the fund, which started with noble intentions, had been compromised.
“The Equalisation Fund was created with a clear purpose, but its implementation has been marred by unfortunate decisions that have hindered its impact,” he said.
Faki noted that 20 more counties were added after regulations were passed, many claiming marginalisation.
“Even Kiambu was deemed marginalised.”
Senate majority leader Aaron Cheruiyot, who was part of the committee that expanded the list, defended the move, saying it was based on broader criteria of inequality.
“It’s like assuming everyone in Karen is wealthy, yet within Karen lies the Kuwinda slum,” he argued.
Cheruiyot added that the Senate had received petitions from the public challenging the CRA’s initial marginalisation policy.
“Yes, Kericho gets rainfall most of the year, but in places like Soin and Soliat, the land is 90 per cent stone. What good is rainfall if you can’t access water?”
Nairobi Senator Edwin Sifuna, however, rejected the expanded list, terming it a betrayal of the constitution and the spirit of the fund.
“How do you drag water money from Mandera to Bungoma? There’s no justification for that,” he said.
“We have the largest solar power plant in Loiyangalani, Marsabit, but the locals don’t have power. They just watch the cables fly overhead to Suswa in Narok. And now the rest of you want to share their funds? We must be serious.”
