This archive report was first published on 26 September 2019.
Kenya has been investing heavily in infrastructure projects, with a focus on transport and energy. However, land acquisition issues have cast a shadow on the actualization of these projects.
The Land Control Act requires parties to obtain consent for the sale, transfer, lease, or subdivision of agricultural land, which is a common requirement for energy infrastructure projects. However, the Act also prohibits non-citizens or private companies with non-citizen shareholders from acquiring land, which can be a challenge for foreign investors.
One suggestion to ease land acquisition is for the government to exempt infrastructure projects from the Land Control Act. This would allow developers to acquire land more easily and reduce the complexity of the process.
Another challenge is that non-Kenyans cannot hold freehold land titles, but can hold leasehold interests for up to 99 years. This is a common restriction on the continent, but countries like South Africa and Egypt allow foreigners to own land on freehold titles.
Community engagement is also a critical issue in land acquisition. Inadequate or inconsistent consultation with local communities can lead to disputes over compensation, project impacts, and perceived benefits. Developers must consult with communities to ensure legitimate land rights, assess project impacts, and establish a productive relationship.
Finally, developers must consider easements and other land rights for transmission and distribution networks. This challenge affects both the private sector and government agencies.
Kenya's decentralized and manual land registry system has made it difficult to verify title documents, and conflicting judicial interpretations of property rights have made investing in land a risky business. However, the digitization of the land registry is a welcome move in addressing these issues.
While land acquisition challenges are not unique to Kenya, the country's small parcels of land and community land ownership structures exacerbate the issue. Neighboring countries like Tanzania and Uganda have more streamlined land acquisition processes, which Kenya can learn from to reduce its current difficulties.
