Kidero protests Ngilu's levy for new city houses

 

By NATION REPORTER

Nairobi Governor Evans Kidero has protested a decision by the Lands ministry to impose a 0.5 per cent levy on new constructions in the city.

In a letter addressed to Cabinet Secretary Charity Ngilu, Governor Kidero said the new regulations were ratified without consultation with county governments.

“This levy affects the housing sector that falls within the jurisdiction of the county governments and it should have been prepared with our participation and concurrence," Kidero said in the letter.

The letter was copied to Senator Abu Chiaba, chairperson of the Senate Committee on Energy, Roads and Transport, and Maina Kamanda, chairperson of the Transport, Public Works and Housing Committee in the House.

The governor noted that the capital city has a serious housing deficit and the new levy will discourage development of affordable housing.

“There are already numerous levies and charges imposed on the housing and construction sectors and this latest move will only serve to discourage investment in the sector," he said.

Governor Kidero now wants the national government to revoke imposition of the new construction levy as contained in the National Construction Authority Act, 2014.