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Governor faults State on remission of royalties

Governor faults State on remission of royalties
Kwale Governor Fatuma Achani. PHOTO/Print

Kwale Governor Fatuma Achani has strongly criticised the national government for the ongoing delays in disbursing mineral royalties remitted by Base Titanium.

Achani said that the royalties worth over Sh1.2 billion, which are critical for local development projects and community welfare, have not been released as scheduled.

The county chief said it is very unfair that Base is winding up and that no mineral royalties have been disbursed to the community by the national government.

“It is unacceptable that throughout Base’s time here, no mineral royalties have been distributed despite the promises.”

Base Titanium Company acquired the Kwale Mineral Sands Project in 2010. Construction began in 2011, and mining on the Central Dune commenced in October 2013.

The first product shipment left the Company’s dedicated Likoni port facility in February 2014. The company primarily specialises in mining mineral sands, including zircon, rutile and ilmenite. The minerals are used in various everyday products such as paint pigments, refractory materials, titanium metal for aerospace and joint replacements, and tiles.

Lease extension

In 2023, the company relocated to the final mining blocks in Mafisini and Bumamani following a special mining lease extension, which extended operations through to the end of December.

Since the start of mining activities, the Sand harvesting company has been giving the national government a lot of money through taxes, licences and mineral royalties.

Achani described the delay as a grave injustice, noting that the people of Kwale are suffering at the expense of others. She pointed out that although minerals have been mined in Kwale, the local communities remain impoverished because they do not receive the direct benefits.

Achani also raised concern that this financial year, Kwale was to get Sh600m as mineral royalties but was squashed in the national assembly.

The governor said Kwale people won’t settle for less demanding immediately release of the funds.“We must receive what is rightfully ours. The national government must disburse this money because it is our entitlement,” she said.

She said Kwale people deserve better like everyone else and receive the same treatment.

Achani said they have been very quiet on the issue but won’t accept further delay in the disbursement of the mineral royalties. The governor called for immediate action from the national government to address the issue and ensure timely payments. She warned that continued delays could undermine public trust and stall crucial development initiatives on mining in the near future.

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