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High Court Halts Government’s Ksh7 Increase in Road Maintenance Levy Fund

Lorren AliwaBy Lorren AliwaAugust 15, 2024No Comments2 Mins Read
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A High Court in Mombasa issued a temporary injunction on Thursday, halting the government’s recent increase in the Road Maintenance Levy Fund (RMLF) by Ksh7.

The court’s decision follows a legal challenge by George Odhiambo Juma, who argued that the increase was implemented without adequate public participation.

The ruling grants a conservatory order preventing the enforcement of the Road Maintenance Levy Fund (Imposition) Order 2024 until the case is fully heard and determined.

The court’s decision effectively suspends the government’s move to raise the levy from Ksh18 to Ksh25 per litre, which was enacted in July 2024, marking a 39 percent increase.

The government had justified the increase as a necessary measure to address a significant backlog in road maintenance, which they estimated at Ksh727 billion.

The increase was intended to generate an additional Ksh115 billion to improve and maintain roads across the country.

However, the public outcry over the sudden rise prompted legal action, highlighting concerns about insufficient consultation before the decision was made.

The Energy and Petroleum Regulatory Authority (EPRA) had implemented the increase, aiming to boost the fund dedicated to road maintenance.

The court’s suspension will remain in effect until further judicial review, giving stakeholders time to address the issues raised by Juma’s challenge.

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