Government Allocates Sh17 Billion for Land Compensation in Major Infrastructure Projects

The government has set aside Sh17 billion to compensate landowners whose properties are affected by major infrastructure projects. This funding falls under the National Securitisation Programme aimed at unlocking resources for development.

The National Land Commission has already disbursed Sh15.8 billion for 31 road projects nationwide. Another Sh2.3 billion remains pending. For 11 dam projects, Sh6.8 billion was allocated with Sh6.5 billion paid out and Sh228 million still outstanding.

NLC Chief Executive Officer Kabale Arero said the commission is committed to clearing all pending claims by April 2027. Most delays stem from family disputes and missing documentation.

Several high-profile roads feature in the compensation schedule. The Mombasa-Mtwapa-Kilifi Road received Sh4.2 billion with Sh3.6 billion already paid. The Kenol-Sagana-Marua Road was allocated Sh2.3 billion. The Nairobi Western Bypass got Sh817 million with nearly all disbursed.

Other projects include the James Gichuru-Rironi Road (Sh1.7 billion allocated), Kibwezi-Kitui-Migwani-Mbondoni Road (Sh1.5 billion) and Kwa Jomvu-Mariakani Road (Sh1.55 billion). Smaller allocations cover roads such as Chebilat-Ikonge-Chabera and Isebania-Kisii-Ahero.

On the water side, the Karimenu II Dam project received Sh3.49 billion while several water supply schemes have smaller but significant allocations. Arero noted that some payments remain stalled due to unresolved issues on specific sites.

Compensation processes for infrastructure projects have often faced criticism over delays, inadequate amounts and disputes. Timely and fair payments are critical to maintaining public support for major developments such as roads, dams and other public works.

The National Land Commission plays a central role in valuation and disbursement. Its ability to clear backlogs by the 2027 target will be key to smooth implementation of ongoing and planned infrastructure initiatives.

These compensation efforts come as Kenya continues to invest heavily in transport and water infrastructure. Successful land acquisition remains one of the biggest challenges to timely project delivery across the country.