The Vihiga County government is proposing to introduce hefty levies in the lucrative mining, quarrying and sand harvesting sector as it seeks to fill a Sh700 million financing gap in its Sh5.8 billion 2022/23 budget.
The plan, contained in the proposed Vihiga County Finance Bill, 2022 undergoing public scrutiny, comes as the devolved unit has raised its revenue generation target to Sh199.1 million.
The levies in the natural resources sector will be imposed in the form of penalties.
The proposal comes about a week after Governor Wilber Ottichilo lamented unregulated quarrying and sand harvesting.
Individuals or firms that fail to restore mined quarry sites to environmentally accepted conditions will attract a penalty of Sh5,000 per cubic metre per quarrying or mining site, the bill proposes.
Another penalty of Sh100,000 will also be imposed on an individual or firm that fails to secure a quarry site.
If enacted in its current form, miners will also pay a Sh30,000 penalty if they fail to mitigate environmental damage in the quarrying areas.
Last week, Governor Ottichilo said legislation was needed to check unregulated sand harvesting, quarrying and transportation in Vihiga County so as to protect the environment.
He said quarrying activities in the devolved unit had caused massive land degradation in riparian areas amid the biting effects of climate change.
Keep a register
The devolved unit also wants to introduce natural resources permits and fees so as to enable it to keep a register of individuals and firms allowed to undertake lawful quarrying and mining within its borders.
If the bill is approved by the county assembly, miners will be required to pay an annual fee of Sh50,000 for exploration of natural resources.
Small mining or natural resources extraction operations with up to 10 employees will pay Sh12,500 per annum while medium-sized ones with between 11 and 50 employees will pay Sh30,000 to the county government every year.
Firms with over 50 employees will be charged a fee of Sh100,000 every year and an additional Sh20,000 for a business permit for mining and transporting sand, ballast, murram and foundations stones (hardcore).
Transporting sand, ballast, murram and hard core of up to seven tonnes will attract charges of between Sh200 and Sh400 per trip.
The Nation has established that the plan is to outlaw mining activities at night by prohibiting the harvesting, extraction or scooping of sand between 6pm and 6am.
Transporting sand between 8pm and 6am will also be outlawed and truckers will have to use designated roads.
In the 2022/23 financial year, the county will receive Sh5.1 billion as its equitable share to run a Sh5.8 billion budget, hence the push to expand own-source revenues.
The county will also seek grants and loans totalling Sh417.3 million to address the deficit. BY DAILY NATION