NAIROBI, Kenya – The standoff between Kajiado County and Tata Chemicals over its Magadi operations has intensified, with Governor Joseph Ole Lenku claiming the soda ash producer owes the county government Sh13 billion in unpaid land rates.
Lenku accused Tata Chemicals of failing to meet its financial obligations to the county while also doing little to improve livelihoods in the community surrounding its vast Magadi operations.
Speaking during an interview with Citizen TV, the governor said Tata Chemicals was the only company he knew of that had refused to pay land rates despite occupying a huge tract of land in Kajiado.
“We in the county government are supposed to get our land rates. Tata Chemicals Magadi, I’ve said this before, is the only company that does not pay for land rates in this country,” Lenku said.
He added that the company also did not pay for water.
Tata Chemicals occupies 224,991 acres
Lenku said Tata Chemicals occupies 224,991 acres in Kajiado and has resisted county efforts to collect land rates.
According to the governor, the county took the matter to court, with the court ruling that some of the land was rateable while areas directly covered by mining activities, including the lake, as well as offices and other facilities, would fall under the Mining Act.
“They owe the county government Sh13 billion as we speak now,” Lenku claimed.
The governor also questioned why Tata Chemicals should continue occupying such a large area when other companies could potentially participate in mining activities in the region.
Lenku described the dispute as part of what he termed a historical land injustice affecting the Magadi area.
Governor accuses firm of neglecting local community
Beyond the land rates dispute, Lenku accused Tata Chemicals of failing to invest sufficiently in the development of the local community.
He said residents should have benefited from skills development, knowledge transfer, workforce training and technical education linked to the company’s operations.
“The community ideally should have had some level of skills development, knowledge transfer, workforce development, building a technical institution around it, you know, developing water infrastructure. They never did that. 100 per cent no,” he said.
Lenku linked the alleged shortcomings to the continued poverty in the area.
“That is why it is the poorest community there,” he said.
Mining royalties separate from land rates
The governor also distinguished land rates from mining royalties, which are governed by the Mining Act.
He said royalties from mining activities are shared between the national government, county government and local community, with 70 per cent going to the national government, 20 per cent to the county and 10 per cent to the local community.
Ruto orders Tata Chemicals to leave Kenya
The latest accusations come amid an escalating confrontation between Tata Chemicals and the national government.
President William Ruto on September 3 ordered the company to “pack and leave” Kenya, accusing it of unlawful operations and failing to adequately benefit the local community.
Ruto said the government had decided to end the export of raw materials and instead promote local processing of Kenya’s mineral resources.
“Whether we are talking about Magadi Soda or oil or all our minerals, we have taken the decision that we will no longer export raw materials. We are going to process all minerals available in Kenya,” the President said.
He said local processing would create jobs and increase the value of Kenya’s natural resources.
Lenku recalls 2019 confrontation
Lenku said previous attempts to force Tata Chemicals to address the county’s concerns had faced resistance from the national government.
He recalled a 2019 confrontation when thousands of community members protested at the Magadi facility.
“I have been fighting this single-handedly. In 2019, we stormed the Magadi Tata Chemicals industry with 5,000 strong community members,” he said.
Lenku alleged that the national government responded by deploying police and removing officials involved in the confrontation.
He said the intervention reinforced the perception that Magadi was “untouchable” after more than a century of operations.
Joho forms committee over Tata Chemicals dispute
The dispute has now moved to the national level, with Mining Cabinet Secretary Hassan Joho forming a committee to address outstanding compliance issues surrounding Tata Chemicals’ suspended operations.
The committee was formed after Joho met executives of the soda ash manufacturer last week.
The developments leave Tata Chemicals facing pressure from both the county and national governments over land rates, mining compliance, local community benefits and the future of its Magadi operations.
