Agriculture and Rural Development Strategy by tfk2

REPUBLIC OF KENYA

MEDIUM TERM EXPENDITURE FRAMEWORK 2006/2007-2008/2009

REPORT FOR THE AGRICULTURE AND RURAL DEVELOPMENT (ARD) SECTOR

(Final Draft)

FEBRUARY 2006

TABLE OF CONTENTS LIST OF TABLES ...............................................................................................................................................III ACRONYMS AND ABBREVIATIONS..............................................................................................................V 1.0 INTRODUCTION............................................................................................................................................1 1.1 COMPOSITION OF THE SECTOR............................................................................................................1 1.2 SUB-SECTORSâ&#x20AC;&#x2122; CONTRIBUTION TO THE ECONOMY .......................................................................1 1.2.1 Agriculture......................................................................................................................................1 1.2.2 Livestock Development ........................................................................................................................1 1.2.3 Fisheries Development.........................................................................................................................1 1.2.4 Co-operatives..................................................................................................................................2 1.2.5 Lands ..............................................................................................................................................2 1.2.6 Environment......................................................................................................................................2 1.2.7 Forestry.............................................................................................................................................3 1.2.8 Mining..................................................................................................................................................3 1.2.9 Regional Development....................................................................................................................3 2.0 VISION, MISSION ..........................................................................................................................................4 2.1 VISION ..........................................................................................................................................................4 2.2 MISSION........................................................................................................................................................4 3.0 KEY STRATEGIES AND ERS PRIORITIES FOR THE SECTOR ...............................................................4 3.1 KEY STRATEGIES ..........................................................................................................................................4 3.1.1 Agriculture, Livestock Development, Fisheries Development and Cooperatives ................................4 3.1.2 Lands....................................................................................................................................................5 3.1.3 Environment and Natural Resources ...................................................................................................5 3.1.4 Regional Development .........................................................................................................................5 3.2 PRIORITIES FOR THE SECTOR ........................................................................................................................6 3.2.1 Agriculture ...........................................................................................................................................6 3.2.2 Livestock and Fisheries Development..................................................................................................6 3.2.2.1 Livestock Development................................................................................................................................. 6 3.2.2.2 Fisheries Development.................................................................................................................................. 6

3.2.3 Cooperatives ........................................................................................................................................6 3.2.4 Environment and Natural Resources ...................................................................................................7 3.2.5 Lands....................................................................................................................................................7 3.2.6 Regional Development Authorities ......................................................................................................7 4.0

PERFORMANCE AND ACHIEVEMENT OF THE SECTOR IN 2003/04 TO 2004/05.......................8

4.1 FINANCIAL PERFORMANCE ...........................................................................................................................8 4.2 ACHIEVEMENTS OF THE SUB-SECTORS IN 2003/04 TO 2004/05 ..................................................................10 4.2.1 Agriculture .........................................................................................................................................10 4.2.2 Livestock and Fisheries......................................................................................................................11 4.2.3 Cooperatives Development and Marketing........................................................................................12 4.2.5 Environment and Natural Resources .................................................................................................12 4.2.6 Regional Development Authorities ....................................................................................................13 4.3 CHALLENGES AND CONSTRAINTS ...............................................................................................................13 4.3.1 Agriculture .........................................................................................................................................13 4.3.2 Livestock and Fisheries Development................................................................................................14 4.3.3 Cooperatives ......................................................................................................................................14 4.3.4 Lands..................................................................................................................................................14 4.3.5 Environment and Natural Resources .................................................................................................14 4.3.6 Regional Development Authorities ....................................................................................................15 5.0 OBJECTIVES, TARGETS, EXPECTED OUTPUTS AND OUTCOMES FOR 2006/07 AND THE MEDIUM TERM .................................................................................................................................................15 5.1 SECTOR OBJECTIVES ...................................................................................................................................15

5.1.1 Agriculture .........................................................................................................................................15 5.1.2 Livestock and Fisheries Development................................................................................................16 5.1.3 Cooperatives Development and Marketing........................................................................................16 5.1.4 Environment and Natural Resources .................................................................................................16 5.1.5 Lands..................................................................................................................................................17 5.1.6 Regional Development .......................................................................................................................17 5.2 TARGETS, EXPECTED OUTPUTS AND OUTCOME FOR 2006/07 – 2008/09 ....................................................17 5.2.1 Agriculture .........................................................................................................................................17 5.3.2 Livestock and Fisheries Development................................................................................................20 5.3.3 Cooperatives ......................................................................................................................................22 5.3.4 Lands..................................................................................................................................................22 5.3.5 Environment and Natural Resources .................................................................................................24 5.3.6 Regional Development Authorities ....................................................................................................28 6.0 FINANCIAL REQUIREMENTS FOR MEETING THE SECTOR’S PRIORITIES & PROGRAMMES....31 6.1 RESOURCE REQUIREMENTS FOR THE WHOLE SECTOR, 2006/07 – 2008/09.................................................31 6.2.1 Agriculture .........................................................................................................................................32 6.2.2 Livestock and Fisheries Development................................................................................................34 6.2.3 Cooperatives Development and Marketing........................................................................................35 6.2.4 Lands..................................................................................................................................................36 6.2.5 Environment and Natural Resources .................................................................................................37 6.2.6 Regional Development Authorities ....................................................................................................39 6.2.7 Additional Resource Requirements ....................................................................................................42 7.0 CONCLUSIONS AND WAY FORWARD ...................................................................................................43 7.1 THE WAY FORWARD FOR THE ARD SECTOR ..............................................................................................44 ANNEX I: CORE POVERTY PROGRAMMES.................................................................................................45 ANNEX II: LIST OF STATE CORPORATIONS AND PROPOSED ALLOCATION TO THEM ...................51 ANNEX III: LIST OF DEVELOPMENT PROJECTS AND PROPOSED ALLOCATION...............................55 ANNEX IV: LIST OF PENDING BILLS............................................................................................................62 ANNEX V: LIST OF COMPLETED PROJECTS IN THE SECTOR SINCE THE BEGINNING OF MTEF IN 2001/02.................................................................................................................................................................68 ANNEX VI: LIST OF PROPOSED NEW PROJECTS IN THE SECTOR.........................................................72

LIST OF TABLES TABLE 1: TOTAL SECTOR BUDGETS AND ACTUAL EXPENDITURES DEVELOPMENT + RECURRENT, 2003/04-2004/05 (IN KSHS. MILLIONS) .........................................................................8 TABLE 2: TOTAL SECTOR BUDGETS AND ACTUAL EXPENDITURES (RECURRENT) 2003/04 – 2004/05 (IN KSHS. MILLIONS) .................................................................................................................9 TABLE 3: TOTAL SECTOR BUDGETS AND ACTUAL DEVELOPMENT EXPENDITURES 2003/04 – 2004/05 (IN KSHS. MILLIONS) .................................................................................................................9 TABLE 4: MOA – ACTIVITIES, EXPECTED OUTPUTS/OUTCOME ...........................................................17 TABLE 5: LIVESTOCK PRODUCTION DEPARTMENT - SUB-VOTE19.....................................................20 TABLE 6: VETERINARY SERVICES DEPARTMENT SUB VOTE 193 ........................................................21 TABLE 7: FISHERIES DEPARTMENT – SUB-VOTE 192 ..............................................................................21 TABLE 8: COOPERATIVES – ACTIVITIES, TARGETS.................................................................................22 TABLE 9 : LANDS – ACTIVITIES, TARGETS ................................................................................................22 TABLE 10: MENR – ACTIVITIES, EXPECTED OUTPUT/OUTCOME .........................................................24 TABLE 11: MRDA – ACTIVITIES, EXPECTED OUTPUT/OUTCOME FOR 2006/07 - 2008/09..................28 TABLE 12: SUMMARY OF TOTAL RESOURCE REQUIREMENTS FOR THE SECTOR, 2006/07 – 2008/09 .......................................................................................................................................................31 TABLE 13: RECURRENT RESOURCE REQUIREMENTS (SECTOR WIDE), 2006/07 – 2008/09...............31 TABLE 14: DEVELOPMENT RESOURCE REQUIREMENTS (SECTOR WIDE), 2006/07 – 2008/09 .........32 TABLE 15: MOA –RECURRENT RESOURCE REQUIREMENTS, 2006/07 - 2008/09.................................32 TABLE 16: MOA –DEVELOPMENT RESOURCE REQUIREMENTS, 2006/07 - 2008/09...........................33 TABLE 17: MOA – TOTAL RESOURCE REQUIREMENTS, 2006/07 - 2008/09 ...........................................34 TABLE 18: MOLFD –RESOURCE REQUIREMENTS (RECURRENT & DEVELOPMENT), 2006/07 2008/09 .......................................................................................................................................................34 TABLE 19: MOCDM – RECURRENT REQUIREMENTS, 2006/07 - 2008/09 ..............................................35 TABLE 20: MOCDM – DEVELOPMENT RESOURCE REQUIREMENTS, 2006/07 - 2008/09.....................35 TABLE 21: MOCDM – TOTAL RESOURCE REQUIREMENTS, 2006/07 - 2008/09 .....................................36 TABLE 22: MOL – RECURRENT RESOURCE REQUIREMENTS, 2006/07 - 2008/09 .................................36 TABLE 23: MOL – DEVELOPMENT RESOURCE REQUIREMENTS, 2006/07 - 2008/09 ...........................36 TABLE 24: MOL – TOTAL RESOURCE REQUIREMENTS, 2006/07 - 2008/09............................................37 TABLE 25: MENR – RECURRENT RESOURCE REQUIREMENTS, 2006/07 - 2008/09 ..............................37 TABLE 26: MENR – DEVELOPMENT RESOURCE REQUIREMENTS, 2006/07 - 2008/09.........................38 TABLE 27: MENR – TOTAL RESOURCE REQUIREMENTS, 2006/07 - 2008/09.........................................39 TABLE 28: MRDA - RECURRENT BUDGET FOR THE MINISTRY HQS....................................................39 TABLE 29: MRDAS - RECURRENT TRANSFERS TO REGIONAL DEVELOPMENT AUTHORITIES ....40 TABLE 30: MRDA – RESOURCE REQUIREMENTS (DEVELOPMENT ACTIVITIES), 2006/07-2008/09.41 TABLE 31: MRDA – TOTAL RESOURCE REQUIREMENTS, 2006/07-2008/09 ..........................................41 TABLE 32: MOA – PROPOSED DONOR FUNDED PROGRAMMES, 2006/07 - 2008/09 ............................42 TABLE 33: MENR – RESOURCE REQUIREMENTS (DEVELOPMENT BUDGET - NEW 100% GOK) ....42 TABLE 34: MRDA – ADDITIONAL RESOURCE REQUIREMENTS ............................................................43 TABLE 35: MOA – PROPOSED ALLOCATIONS TO CORE POVERTY PROGRAMMES (KSHS) ................................45 TABLE 36: MOLFD – PROPOSED ALLOCATIONS TO CORE POVERTY PROGRAMMES BOTH RECURRENT AND DEVELOPMENT (KSHS) .......................................................................................46 TABLE 37: MOCDM – PROPOSED ALLOCATIONS TO CORE POVERTY PROGRAMMES.......................................46 TABLE 38: MENR PROPOSED ALLOCATIONS TO CORE POVERTY PROGRAMMES (RECURRENT)47 TABLE 39: MENR – PROPOSED ALLOCATIONS TO CORE POVERTY PROGRAMMES (DEVELOPMENT) ....................................................................................................................................48 TABLE 40: MOL - PROPOSED ALLOCATIONS TO CORE POVERTY PROGRAMMES...........................48 TABLE 41: MRDA – PROPOSED ALLOCATIONS TO CORE POVERTY PROGRAMMES ..........................................49 TABLE 42: MOA – PROPOSED TRANSFERS TO STATE CORPORATIONS, 2006/07 – 2008/09 ...................................................................................................................................................52 TABLE 43: MOLFD – PROPOSED TRANSFERS TO STATE CORPORATIONS, 2006/07 – 2008/09 ..52 TABLE 44: MOCDM – PROPOSED TRANSFERS TO STATE CORPORATIONS, 2006/07 – 2008/09........52 TABLE 45: MENR – PROPOSED TRANSFERS TO STATE CORPORATIONS, 2006/07 – 2008/09............53 TABLE 46: MRDA – PROPOSED TRANSFERS TO STATE CORPORATIONS (RECURRENT), 2006/07 – 2008/09 .......................................................................................................................................................54 TABLE 47: MRDA – PROPOSED TRANSFERS TO STATE CORPORATIONS (DEVELOPMENT), 2006/07 – 2008/09 ....................................................................................................................................................54

iii

TABLE 48: MOA – DEVELOPMENT PROJECTS AND PROPOSED ALLOCATIONS................................55 TABLE 49: MOLFD (LIVESTOCK PRODUCTION DEPARTMENT) – DEVELOPMENT PROJECTS AND PROPOSED ALLOCATIONS ...................................................................................................................55 TABLE 50: MOLFD (VETERINARY SERVICES DEPARTMENT) – DEVELOPMENT PROJECTS AND PROPOSED ALLOCATIONS ...................................................................................................................56 TABLE 51: MOLFD (FISHERIES DEPARTMENT) – DEVELOPMENT PROJECTS AND PROPOSED ALLOCATIONS.........................................................................................................................................57 TABLE 52: MOCDM – DEVELOPMENT PROJECTS AND PROPOSED ALLOCATIONS..........................57 TABLE 53: MOL – DEVELOPMENT PROJECTS AND PROPOSED ALLOCATIONS ................................58 TABLE 54: MENR – DEVELOPMENT PROJECTS AND PROPOSED ALLOCATIONS..............................59 TABLE 55: MRDA – DEVELOPMENT PROJECTS AND PROPOSED ALLOCATIONS .............................60 TABLE 56: PENDING BILLS FOR THE ARD SECTOR..................................................................................62 TABLE 57: MOA - PENDING BILLS ................................................................................................................62 TABLE 58: MOLFD – PENDING BILLS...........................................................................................................63 TABLE 59: MOCDM - PENDING BILLS..........................................................................................................63 TABLE 60: MOL – PENDING BILLS (DEVELOPMENT)...............................................................................64 TABLE 61: MENR – PENDING BILLS .............................................................................................................64 TABLE 62: MRDA – PENDING BILLS.............................................................................................................67 TABLE 63: MOCDM – LIST OF COMPLETED PROJECTS SINCE 2002/03 (A) ..........................................69 TABLE 64: MOCDM – LIST OF COMPLETED PROJECTS SINCE 2002/03 (B)...........................................69 TABLE 65: MOA - PROPOSED PROGRAMMES (100% GOK FUNDED)..........................................72 TABLE 66: MOA - PROPOSED PROGRAMMES (DONOR FUNDED)................................................72 TABLE 67: MOLFD - PROPOSED PROJECTS (DONOR FUNDED)..............................................................72 TABLE 68: MOLFD – PROPOSED PROGRAMMES (NEW 100% GOK).......................................................73 TABLE 69: MOCDM – PROPOSED NEW PROJECTS ....................................................................................73 TABLE 70: MENR – PROPOSED PROJECTS ..................................................................................................74 TABLE 71: MRDA – PROPOSED NEW PROJECTS, 2006/07 - 2008/09.........................................................74

ACRONYMS AND ABBREVIATIONS AIA ARD ASCU CAIS CDA DEAP EC EEC EIA ENNDA ENSDA ERS FAO GDP GoK HCDA HIV/AIDS IFAD IP-ERS KAPP KARI KCC KEPHIS KFA KVDA LBDA LVEMP MCS MENR MOA MOCDM MOL MOLFD MRDA MTEF NDTDB NEAP NEMA NEPAD NMK NSDI PCPB PEAP PER RDAs v

Appropriations in Aid Agriculture and Rural Development Agricultural Sector Coordination Unit Central Artificial Insemination Service Coast Development Authority District Environment Action Plan European Commission European Economic Commission Environment Impact Assessment Ewaso Ng’iro North Development Authority Ewaso Ng’iro South Development Authority Economic Recovery Strategy for Wealth and Employment Creation Food and Agriculture Organization Gross Domestic Product Government of Kenya Horticultural Crops Development Authority Human Immunodeficiency Virus/Acquired Immune Deficiency Syndrome International Fund for Agricultural Development Investment Programme for Economic Recovery Strategy for Wealth and Employment Creation Kenya Agricultural Productivity Project Kenya Agricultural Research Institute Kenya Cooperatives Creameries Kenya Plant Health Inspectorate Service Kenya Farmers Association Kerio Valley Development Authority Lake Basin Development Authority Lake Victoria Environment Management Project Monitoring, Control and Surveillance Ministry of Environment and Natural Resources Ministry of Agriculture Ministry of Cooperatives Development and Marketing Ministry of Lands Ministry of Livestock and Fisheries Development Ministry of Regional Development Authorities Medium Term Expenditure Framework National Digital Topographical Database National Environment Action Plan National Environment Management Authority New Partnership for Africa’s Development Njaa Marufuku Kenya National Spatial Data Infrastructure Pest Control Products Board Provincial Environment Action Plan Public Expenditure Review Regional Development Authorities

SACCOs SRA TARDA

Savings and Credit Cooperatives Strategy for Revitalizing Agriculture Tana and Athi River Development Authority

1.0 INTRODUCTION 1.1 COMPOSITION OF THE SECTOR The Agriculture and Rural Development Sector is comprised of the following sub-sectors: • Agriculture • Livestock Development • Fisheries Development • Cooperatives • Lands • Environment • Forestry • Mining • Regional Development 1.2 SUB-SECTORS’ CONTRIBUTION TO THE ECONOMY The role of each of the sub sectors in economic growth and development is as outlined below. 1.2.1 Agriculture The role of agriculture in the Kenyan economy is very significant. About 80% of the population derive their livelihood from agricultural activities. Agriculture directly contributes 26% of GDP and a further 27% indirectly through linkages with manufacturing, distribution and other service related sectors. About 45% of government revenue is derived from agriculture while the sub-sector contributes over 75% of industrial raw materials. Of more importance is its contribution to achievement of national food security, foreign exchange earnings and as a stimulus to create off-farm income generating activities. 1.2.2 Livestock Development The livestock sub-sector is estimated to account for about 7 percent of GDP in addition to contributing to national food security. The sub sector accounts for about 40% of the Agricultural GDP and about 30% of the farm gate value for agricultural commodities. It employs about 50% of the agricultural labour force. Within the ASAL areas, it accounts for nearly 90% of the employment opportunities and nearly 95% of the family incomes. 1.2.3 Fisheries Development The fisheries sub-sector is estimated to contribute about 3% of the GDP and is the major source of livelihood for communities living around Lake Victoria and the coastal regions of Kenya. Fish provides an alternative source of protein to a large portion of the population in addition to emerging as an important source of revenue to the government as a result of improved surveillance activities and resultant license fees. It employs over 60,000 fishermen directly. Indirectly, over 600,000 people depend on this sub sector for their livelihood through fish processing and trade. Kenya is currently earning an average of Kshs 4 billion

annually through fish exports. Fisheries have a growth potential if the activities are fully commercialised. 1.2.4 Co-operatives The co-operative movement cuts across the entire economy as cooperatives have been formed to take care of agricultural production, processing and marketing; and service industry through SACCOs. The major benefits that accrue to Kenyans through cooperatives include creation of employment, settlement of the people, generation of income and acquisition of property. Indeed, there are over 10,642 cooperative societies with a membership of over 6.0 million. The co-operatives have been able to mobilize domestic savings which are currently estimated to be Kshs. 105 billion. Today, over 250,000 people are employed in co-operatives besides co-operatives providing opportunities for self-employment. A significant number of Kenyans, approximately 63% draw their livelihood either directly or indirectly from cooperatives-based enterprises and cooperatives contribute to supply of agricultural and livestock inputs, participate in marketing of commodity outputs besides providing opportunity for introduction of new technologies. 1.2.5 Lands The sub sector contributes directly to poverty reduction, socio-cultural, economic and political growth and development through facilitation of housing needs, informal settlements improvement, security of tenure, and access to land by the poor and efficient land management practices. Land also plays a significant role in the socio-economic development of the country since most of its services benefit landless, poor, small-scale farmers, investors and urban development agencies. The Lands sub-sector contributes indirectly to food security, on and off-farm employment, foreign exchange earnings, agro-based industries and socio-economic growth through guaranteeing security of tenure to the landowners and territorial integrity of the Nation. Land as a factor of production is a necessary resource for development and all efforts should be made to make it available together with its quality services and management. 1.2.6 Environment Economic development and environment are inseparable. Consequently, for sustainable development environmental issues have to be taken into account. Degradation of the environment in the country due to development would compromise the same development and the livelihoods of the people. Environmental conservation in the country is a sure way of having a healthy nation (due to a lower incidence of diseases), increased food production, industrial growth and increased foreign exchange earnings, among others. Benefits to be derived from these include employment creation, increased incomes and poverty reduction. The Government is committed to environmental management and sustainable development as demonstrated by the enactment of the Environmental Management and Coordination Act (1999) and the establishment of the National Environment Management Authority (NEMA) 2

in 2002. Through the Sessional Paper No. 6 on Environment and Development (1999), the Government has emphasised the need for conservation, sustainable utilization and management of environment and natural resources. 1.2.7

Forestry

The forest sub-sector is often overlooked in resource allocations despite its enormous contribution and support to other economic activities such as agriculture, rural and urban water supply, power generation, tourism, building, construction, herbal medicine and food security. It is estimated that forest products and services contribute about Kshs 7 billion annually to the economy and employ directly 50,000 and indirectly another 300,000 people. The timber industry alone is estimated to have investments of over Kshs 44 billion. In addition, over 530,000 households living within a radius of five kilometres from the forest estates depend on forests for cultivation, grazing, fishing, fuel wood, honey, herbal medicine, water and other benefits. Gazetted forests managed by the Forest Department currently contribute 80 per cent of timber, 93 per cent of poles and posts, and 25 per cent of fuel wood requirements. Sale of these forest products from gazetted forests generates about Kshs 320 million annually to the Exchequer. In addition, the value of the 24 million cubic metres of fuel wood materials sourced from farmlands is estimated at Kshs 4.8 billion. Sustainable utilisation of these farmland resources would require improved extension support by the Forest Department, which is only possible through improved funding. 1.2.8 Mining Minerals contribute less than one per cent of the GDP. However, mineral exports contribute 2-3 per cent of total export earnings. In 2003, soda ash accounted for over 60 per cent of the mineral production followed by fluorspar. The planned Titanium mining in Kwale District will increase its contribution to the sub-sector and also enhance mineralsâ&#x20AC;&#x2122; contribution to the economy. The minimal performance of the sub-sector can be attributed to limited official attention. However, this is now set to change as the Government embarks on the formulation of a minerals and mining policy together with a comprehensive review of the Mining Act. 1.2.9 Regional Development The sub-sector contributes to poverty reduction in Kenya through effective planning and implementation of multi-sectoral programmes and projects that create a regional balance in development. In support of this, the Ministry of Regional Development Authorities provides policy guidance, support capacity building and management of Regional Development Authorities. The RDAs were established by the Government from the 1970s with a common mandate to plan and coordinate the implementation of regional development activities, ensure mobilization of resources and promote regional socio-economic development through integrated planning and management. These RDAs are: Tana and Athi River Development 3

Authority (TARDA), Kerio Valley Development Authority (KVDA), Lake Basin Development Authority (LBDA), Ewaso Ng’iro North Development Authority (ENNDA), Ewaso Ng’iro South Development Authority (ENSDA) and Coast Development Authority (CDA). 2.0 VISION, MISSION 2.1 Vision To be the engine of growth of economic recovery through appropriate land use, conservation methodologies and integrated regional development for increased production and marketing. 2.2 Mission To promote consolidation and conservation of land, the environment and coordination of regional development for enhanced production and marketing of agricultural products for increased income and employment creation. 3.0 KEY STRATEGIES AND ERS PRIORITIES FOR THE SECTOR 3.1 Key Strategies The strategies for the various sub-sectors are indicated below. 3.1.1 Agriculture, Livestock Development, Fisheries Development and Cooperatives The Ministries of Agriculture, Livestock and Fisheries Development, Cooperative Development and Marketing and Regional Development Authorities have commenced implementation of the Strategy Revitalising Agriculture. An implementation framework has been developed and adopted. Work plans have subsequently been developed, especially to ensure implementation of the following six fast track activities: • • • • • •

Reviewing and harmonizing the legal, regulatory and institutional framework. Improving delivery of research, extension and advisory support services. Restructuring and privatising non core functions of parastatals and ministries to bring about efficiency, accountability, and effectiveness. Increasing access to quality farm inputs and financial services. Formulating food security policy and programmes. Taking measures to improve access to both domestic and external markets including improvement of rural roads and negotiation for a favourable external tax regime.

In order to ensure effective implementation of the SRA, the three Ministries in 2004 set up an Agricultural Sector Coordination Unit (ASCU) whose duties include coordinating implementation of the SRA, facilitating identification of priority areas for policy reform, identifying gaps for capacity building within the departments, and proving technical support to the whole process.

3.1.2 Lands • Preparation of a comprehensive National Land Policy • Establishment of an integrated National land Information System based on National Spatial Data Infrastructure (NSDI) and involving as may stakeholders as possible • Introduction of professionalism in the management of the land resource planning , management and service delivery • Review and harmonization of land laws and regulations • Re-establishment and training of land boards and Tribunals to manage land disputes at district level • Revitalization of the land adjudication programme in trustland and settlement of the poor landless 3.1.3 Environment and Natural Resources • • • • • • • • • • •

Institutional, legal and policy reforms Protection and conservation of catchments areas Sustainable management and utilization of forests and forest resources Forestry technology development and information dissemination Conservation, sustainable utilization and management of the environment and natural resources Regulation of mining activities related to the sustainable utilization of known mineral deposits for the benefit of the nation Development of geo-scientific database which will facilitate responsible utilization of natural resources and enhance safety Implementation of national plans and enforcement of environmental legislation Awareness creation on the environment Coordination of International Conventions, Agreements & Treaties on environment Resource surveys

3.1.4 Regional Development Authorities • • • • • • •

Formulation of a Regional Development Policy Review of legislation of the six RDAs and undertake Institutional Reforms and Restructuring Promote catchments conservation, rehabilitation and protection in order to enhance sustainable utilization of the natural resources and thereby sustain biodiversity in the regions Implement integrated development programmes and activities to create employment opportunities and wealth and thereby reduce poverty levels in the regions Conduct studies and draw up to date long range development plans for the area to facilitate and coordinate project implementation in the region. Clear backlog of statutory pending bills for RDAs Coordinate dry lands (ASAL) development programmes

3.2 Priorities for the Sector 3.2.1 Agriculture The following sectoral priorities in agriculture are stipulated in the SRA. It is expected that they will facilitate a quick recovery of the economy and stimulate generation of more jobs and incomes to the rural poor: • • • • • •

Improving delivery of research, extension and advisory services; Review and harmonization of legal, institutional and regulatory framework; Restructuring and privatization of non-core functions of parastatals and other government departments to bring about efficiency, accountability and effectiveness; Increasing access to quality inputs and financial services; Formulating food security policy and programmes; and Measures to improve access to markets.

3.2.2 Livestock and Fisheries Development Policy priorities of the sub-sector are stipulated in the Ministry’s Strategic Plan (2005 -2009) and in the Strategy for the Revitalizing Agriculture and are meant to enable the sub-sectors to realize the objectives as set in the ERS and Millennium Development Goals No. 1 of reducing poverty and hunger by half by the year 2015. 3.2.2.1 Livestock Development

Improved extension delivery services particularly in the ASAL areas Disease and Pest control Quality assurance and promotion of export trade in livestock and livestock products

3.2.2.2 Fisheries Development • • •

Management, conservation, control and utilization of fishery resources to support economic growth through the establishment of a monitoring, control and surveillance (MCS) system. Promotion of aquaculture development to increase fisheries resource base. This will reduce over-reliance on the existing natural water bodies. Management and control of fish quality and safety; and promotion of fish marketing systems to reduce post harvest losses.

3.2.3 Cooperatives The main policy objective for the development of the cooperative sub sector is to revitalize the cooperative movement to spur sustainable socio-economic growth and development in Kenya. The focus is on achieving desired outcomes through strengthening cooperative management, improving cooperative extension service delivery, and improving corporate governance of cooperatives. Therefore priority areas of expenditure in the sub sector that are included in the IP-ERS include;

• • • • • •

Streamlining of co-operative society’s management – through the cooperatives Societies Act (revised 2004) and revised cooperative development policy. Improving corporate governance in the operations of the cooperative movement. Streamlining education and training in the movement. Regulation of SACCO societies Improving market access and marketing efficiency of co-operatives by building their capacity to undertake effective marketing. Promotion of cooperative ventures and research for value addition processing.

3.2.4 Environment and Natural Resources • • • • • • • • •

Sustainable management, conservation, protection and development of the environment and natural resources; Institutional, legal and policy review and formulation and regulation of a new mineral policy and legislation to promote mining and geological activities. Development of geo-scientific database which will facilitate responsible utilization of mineral resources; The protection, management conservation and rehabilitation of water catchment and natural forest areas as well as Dry land forestry and forestry plantations; Restructuring the Forest Department and retraining the staff. Forest Research for sustainable forest management and development Seedlings production and procurement of planting materials Promote development of agro-forestry and encourage community participation in efficient management of forests Develop a mining policy to guide decisions on project proposals, compensation for people displaced by mining projects, environment protection, technology transfer requirements and determination of efficient royalties to cover the costs of mining

3.2.5 Lands • Preparation of a comprehensive National Land Policy • Establishment of an integrated National land Information System based on National Spatial Data Infrastructure (NSDI) and involving as may stakeholders as possible • Introduction of professionalism in the management of the land resource planning , management and service delivery • Review and harmonization of land laws and regulations • Re-establishment and training of land boards and Tribunals to manage land disputes at district level • Revitalization of the land adjudication programme in trustland and settlement of the poor landless 3.2.6 Regional Development Authorities The main priority areas for the sub-sector that aim to strengthen and facilitate focused regional development and enhanced service delivery are: • 7

Formulation of a regional development policy

• • • • •

Review of legislation and the institutional reforms and restructuring Catchment management and conservation Rural Micro enterprise development and marketing services Clear huge backlog of pending bills for Regional Development Authorities particularly statutory obligations ASAL resources promotion and development for drought mitigation and food security

4.0 PERFORMANCE AND ACHIEVEMENT OF THE SECTOR IN 2003/04 TO 2004/05 4.1 Financial Performance The Sector received a total of Kshs.15.69billion in 2003-04 and utilized Kshs. 13.22billion – a share of 84.28% of the total resources allocated to the Sector. In 2004/05 the Sector utilized 73.75% of the Kshs.19.63billion for its activities under both recurrent and development. This therefore means that the unexpended resources on the Sector were Kshs.2.46billion and Kshs.5.15billion in the last two financial years respectively with over 98% of these funds being development resources. Table 1 shows the total sector budgets and actual expenditures for both recurrent and development votes for 2003/04-2004/05. Table 1: Total Sector Budgets and Actual Expenditures Development + Recurrent, 2003/04-2004/05 (in Kshs. Millions) 2003-04 Ministry

Budgeted

Actual

MOA MOLFD MENR MRDA MOL MOCDM TOTAL

6,560 2,938 6,145 695 1,615 743 15,696

5,039 2,563 2,847 665 1,460 652 13,228

2004/05 % variance 76.81 87.24 46.33 95.68 90.40 87.75 84.28

Budgeted

Actual

6,263 6,022 2,689 630 2,049 1,977 19,630

5,129 2,762 2,237 781 1,911 1,658 14,478

% Variance 81.89 45.87 83.19 123.97 93.27 83.86 73.75

As Table 2 below indicates, under the recurrent budget, the sector has been able to utilize well over 95% of its allocated budgets.

Table 2: Total Sector Budgets and Actual expenditures (Recurrent) 2003/04 – 2004/05 (in Kshs. Millions) 2003/04 Ministry

Budgeted

Actual

MOA MOLFD MOCDM MOL MENR MRDA TOTAL

3,403 2,419 683 1,454 2,598 646 11,203

3,404 2,398 602 1,361 2,391 617 10,773

2004/05 % variance 100.03 99.13 88.14 93.60 92.03 95.51 96.16

budgeted

Actual

3,561 2,024 532 1,773 2,233 630 10,753

3,425 2,267 544 1,711 2,198 616 10,761

% variance 96.18 112.01 102.26 96.50 98.43 97.78 100.07

Table 3: Total Sector Budgets and Actual Development Expenditures 2003/04 – 2004/05 (in Kshs. Millions) 2003/04 Ministry

Budgeted

Actual

MOA MOLFD MENR MRDA MOLS MOCDM TOTAL

3,121 519 546 48 161 59 4,454

2,645 164 456 48 101 49 3,463

2004/05 % variance 84.75 31.60 83.52 100.00 62.73 83.05 77.75

Budgeted

Actual

2,786 3,992 456 44 275 1444 8,997

1,623 495 399 165 200 603 3,485

% variance 58.26 12.40 87.50 375.00 72.73 41.76 38.74

Table 3 above shows that utilization levels for the development budgets within the Sector has not been good due to several factors as in the rest of government. Whereas during 2003/04 the Sector utilized over 77% of the total development budget, this high level of utilization dropped significantly in the subsequent year when the Sector only utilized just over 38% of the allocated budget. This trend is indeed worrying as the implications on the development momentum may not be favourable. The reasons are varying from one sub-sector to another. However, the following are some of the reasons for the reduced utilization of development funds: • • • •

Under-utilisation of budgeted funds on projects where delays in procurement and recruitment of personnel resulted in low utilisation of funds for both revenue and direct payments (especially in Ministry of Agriculture). Lack of adequate information on expenditures under direct payments by development partners. The information necessary in budget process was not readily available and this affected the timetable and quality of reports. Weak understanding of the budget process especially the PER and MTEF exercise.

•

The mechanism of capturing the expenditures is weak hence allowing a possibility of orders to be processed and approved without confirming the availability of funds. Of significance is the inability to evaluate the expenditure element of the budget implementation process.

•

The mechanism for allocating resources at itemization stage is weak: it is still influenced by past allocations thus departments are inward looking making objective planning difficult. Allocations are also motivated by the need to distribute resources equitably among the spending units rather than address unique situations at the District level.

•

Bottle necks in the procurement process to requisition core items.

•

Inadequate human capacity to implement programmes identified during the budget process thus undermining budget absorption capacity District allocations not reflected in the budget requested for due to uncoordinated work plans Cash float problems especially at the District Treasuries

• •

4.2 Achievements of the Sub-Sectors in 2003/04 to 2004/05 4.2.1 Agriculture • Reviewing the institutional structure of the Ministry with the aim of setting up a more effective institutional framework. This review has been completed and is being implemented. So far, the post of Agriculture Secretary has been created and competitively filled. At the same time the new posts of Directors of: Land and Crop Management; Extension, Technical Training, and Research Liaison Services; Agribusiness, Markets Development and Agricultural Information; and Agricultural Policy and Development Coordination have been created and competitively sourced; • Improving extension delivery services to ensure that the rate of adoption of new technologies is enhanced. This will also ensure that productivity and competitiveness in production is increased. This was done through increased funding to the field offices to facilitate their mobility. Consequently, extension activities were scaled up in all districts and divisions. The extension staff were also provided with uniforms to enhance their visibility; • Setting up agricultural information desks and re-engineering the Agricultural Information Resource Center (AIRC) to effectively provide information services to the sector. This has already been achieved. However, the AIRC still requires funds to enable them purchase equipments that will facilitate improvement of their services; • Review of legal and institutional framework – this includes looking into modalities of harmonizing over 163 statutes to come up with fewer umbrella legislation for the sector. This harmonization is ongoing under the Agricultural Sector Coordination Unit (ASCU); • Popularization of the Strategy for Revitalizing Agriculture (SRA) with the aim of ensuring that stakeholders adopt it for implementation. This exercise has been undertaken in all regions of the country; • Restructuring and review of policies in the coffee, pyrethrum, sugar, cereals and cotton industries to ensure that these sub-sectors are completely revitalized and are back on the right footing. The draft policies and Bills were produced for these commodities, discussed with the Parliamentary Committee of Agriculture and now await presentation to the Cabinet; and 10

•

Promoting food security initiatives, including completing and implementing the draft National Food and Nutrition Policy. This document is still under discussion with the stakeholders.

4.2.2 Livestock and Fisheries Dairy Industry • The implementation of reforms in the dairy sub-sector that includes regularization of informal milk sector, revival of KCC and improved extension services has led to a growth of milk out put by 3.5% in 2005. The dairy cattle farmers produced milk worth Ksh. 42 billion. The country also exported 125 dairy cattle to Uganda earning the farmers Ksh. 9 million. • Dairy Commercialization Project to be funded by IFAD was formulated to facilitate operation of dairy production as a business, enhance milk value addition among others. The project is scheduled to be implemented in 2006/07 financial year • The Government has initiated the review and formulation of various policies and bills aimed at streamlining the dairy industry. Reviewing of most policy documents has been done and is in third draft status, namely: the Dairy policy and Dairy industry bill, Animal feed policy and bill and National Livestock Development policy. Beef Industry • A significant progress was made in enhancing local and international market access. At local level two international level abattoirs were constructed (one at Mombasa and another at Lokichogio). An aggressive promotional exercise was launched by the ministry in order to improve external markets, particularly Middle Eastern Markets. In 2004, the country produced beef valued at Ksh. 73 billion. As a result, the country sold 5,128 beef cattle to Middle East earning the farmers Ksh. 112 million. • Disease free Zones that are to improve access to international markets were also created at Coast and Rift Valley. • The lifting of KMC receivership was done in September 2005. A Board of commissioners is in place and a Managing Commissioner was appointed in December 2005. The process of rehabilitating the facility is ongoing and is scheduled for completion by June 2006. Disease Control • Control and eradication of notifiable epizootic diseases in collaboration with stakeholders was undertaken to facilitate local and international trade. Achievement of 89% of the planned target was recorded in the reduction of Foot and Mouth Disease (FMD). • Vaccination against FMD was carried out and only 10% of the set target of 20% decline was achieved. This was due to shortage of FMD vaccine in the country. • 90% of the proposal on creation Disease Free Zones was done and the remaining 10% will be done in the current financial year. Fisheries Development • Under fisheries a number of activities were implemented to improve on fisheries development. These included: Monitoring, Control and Surveillance of the Exclusive Economic Zone been intensified. The department acquired 9 patrol boats during the reporting period. This translated into increased collection of AIA from the previous 30 11

million to 117 million by June 2005. The target set for 2004/05 was 104 million and 117 million was collected. • The developments of the fisheries sub-sector policy preparations have also been ongoing. Several taskforce meetings were held and a draft fisheries review document is ready. 4.2.3 Cooperatives Development and Marketing • Draft Cooperative Development Policy finalized; awaits submission to Sessional Committee of Parliament • Co-operative Societies Act No. 12 of 1997 amended vide the CSA (Amendment) Act No. 2 of 2004 and New Societies Rules 2004 made there-under. • Draft SACCO bill developed and presented to AG chambers for legal drafting • Establishment of 8 Provincial Tribunal Registries in all administrative provinces • Governance & Ethics Secretariat Established/Ethics Code of Conduct for cooperatives societies developed. • Rationalization of Cooperative Audit Services done. Up to date audits were performed in over 65% of cooperative societies done. • Cooperative Marketing Department established/Rudimentary cooperative market surveys conducted country wide • Policy reforms in Coffee Marketing • Kshs. 842,203,547 KFA debt to Government written off in April 2005 • Government transitory acquisition of New KCC formalized upon payment of 547 Million to KCC 200 Holdings. 4.2.4 Lands • • • • • • •

National Land Policy drafted National Land Information System initiated 16 Adjudication sections, (20,291 parcels, 54,319.34 hectares) completed Two Settlement schemes completed and 3713 families settled 600 members of land boards trained Ksh. 1.57billion revenue collected 269,593 transactions (titles issued, transfers registered, leases and searches) accomplished.

4.2.5 Environment and Natural Resources • • • •

Enactment of the Forest Act (2005) Forest Policy was submitted to Parliament and some amendments were proposed; the revised policy will be submitted to Parliament in 2006 Environmental Impact Assessment Regulations published by NEMA Environmental Management and Coordination Act (1999) operationalized and various institutions various institutions under the Act established, namely: the National Environmental Council, NEMA Board of Management, Public Complains Committee, National Environmental Tribunal, Standards Review Enforcement Task Force, Technical Advisory Committee on EIA, Provincial and District Environment Committees, and National Action Plan Committee (NEAP)

• • •

During the Financial Year 2004/2005, the Forest Department raised 46,235,975 seedlings countrywide and an area of 5,970 ha. was planted in gazetted forests The Minerals Policy and review of the Mining Act are in the final stages of drafting with assistance of from the Commonwealth Secretariat A mining lease of Kshs 10 billion investment in Titanium was issued by the Ministry

4.2.6 Regional Development Authorities The ministry through the RDAs was able to attain achievements in the following areas:• Implemented catchment conservation programmes covering Upper Turkwel (KVDA), Upper Masinga/ Kiambere(TARDA) and Mau Summit (ENSDA). CDA has trained communities in afforestation and management in Kwale, Kilifi and Mombasa. ENNDA has successfully negotiated for financial support from ADB to facilitate conservation programmes covering natural resource catchment areas in the Northern ASAL parts of the country. • Initiated long range integrated Regional Development master plan for mapping resources and integrated coastal area management covering Mombasa and Kwale with regard to landing scaping, establishing of market centre, fish landing sight and development of fish depot in Kwale. • Provided clean drinking water to the local communities in Mwingi District through the support of Italian government. CDA has constructed 25 demonstration water tanks for communities in Kwale districts. KVDA has constructed Kimao water dam in Baringo district, one water pans in East Pokot, two water pans in Koibatek and piped water supply in Keiyo and Chemeron. • Promoted high quality and certified seed production where Wei Wei supplies over 2 million kilograms of seed to Kenya Seed Company, 1,200 ha in seed bulking for cane by TARDA and cotton seed in parts of Nyanza and Western province. • Established technology transfer centres related to Agriculture in West Pokot where Wei Wei project supports about 365 households. Established two centres in Nyamira and Isiolo districts on brick manufacture supporting about 2000 people. Honey production of about 10 tonnes supporting over 10,000 people and supplies over 1000 modern beehives annually. One fingerling production centre in Kisumu supporting 2000 people. • Initiated irrigation schemes for instance the Tana Delta irrigation scheme with the potential of enhancing food security through increased agricultural activities such as rice and sugarcane production covering 28,000 hectares of land area.

4.3 Challenges and Constraints The challenges and constraints experienced by each sub-sector in the period under review are shown below 4.3.1 Agriculture • Lack of effective monitoring and evaluation system in the Ministry. This is coupled with inadequate reporting on outputs of planned activities; • Inadequate funding of extension service, especially provision of basic facilities such as transport, ICT, agricultural database, and office accommodation; • Lack of adequate office accommodation both in the headquarters and the districts/divisions/locations; 13

• Sudden freezing of expenditures by Treasury due to lack of liquidity; • Cumbersome financial and procurement procedures; • Inadequate reporting on expenditures by development partners; and • Prevalent top-bottom approaches in project identification. 4.3.2 Livestock and Fisheries Development • Diseases and pest control affecting livestock; these are mainly due to inadequate capacity for diagnosis and surveillance of major livestock diseases; • Cyclical droughts and predictability of droughts threatening livestock farming; • Livestock marketing due to lack of sustainable livestock markets and dilapidated livestock marketing infrastructure; i.e., stock roots and holding grounds; • Maintaining quality standards for fish products to remain unrestricted in the international markets ; • Increasing access to credit to the pastoralists; and • Monitoring and Evaluation being ineffective. 4.3.3 Cooperatives • Strict Budgetary ceilings by the Treasury meant that often resource allocations are far much outmatched by the Ministry’s resource requirements. This leads to inadequate funding of the Ministry’s operation across board; • Cumbersome procedures relating to release of Development Exchequer and subjecting reimbursement to payments after certificates have been issued. This often delays implementation of development activities. Overall, there have been unclear procurement procedures often affecting the efficiency in the utilization of the voted resources; and • Weak Financial control systems leading to diversion of resources to non- budget work. There has been a tendency for the Ministry to spend on ad hoc basis without due regard to set policy objectives and departmental work-plans. 4.3.4 Lands • Lack of a well institutionalized monitoring and evaluation system for projects and activities; • Inadequate human capacity in terms of skills and numbers; • Inconsistent cash flow of funds from the Treasury under the Development Vote; • Resource Requirements for 2004/05 to 2006/07; and • Lack of adequate data and project reports to undertake monitoring and evaluation of programmes within the Ministry. 4.3.5 Environment and Natural Resources • Weak monitoring and evaluation mechanisms; • Inadequate transport facilities; • Under-provisions in the budget on major items that support operations and maintenance e.g. transport expenses, telephone, etc.; • Liquidity problems in the Districts; • Low Operations & Maintenance provisions; • Uncompleted policies, and institutional frameworks; • Lengthy tendering procedures; and • Inadequate institutional and human capacities for example in NEMA and Mines and Geology Department. 14

4.3.6 Regional Development Authorities • Lack of a Regional Development Policy leading to having resources too thinly spread over many projects/projects which take long to complete with little impact on the ground; • Weaknesses in financial allocations to meet statutory obligations such as NSSF, NHIF, PAYE, insurance cover for assets and pension contributions, operations and maintenance; • Accumulating pending bills due to poor financial management, inadequate and untimely exchequer releases, arbitrary budget cuts and lack of bills repayment mechanisms leading to accumulation of pending bills amounting to Kshs 1,104,511,831; • Weak record keeping where extra budgetary receipts are not captured in the estimates as A-in-A but expended by the Authorities; and • Delayed exchequer releases towards the end of the quarters/financial year resulting to delayed implementation of projects and programmes and non-attainment of performance contract targets as planned.

5.0 OBJECTIVES, TARGETS, EXPECTED OUTPUTS AND OUTCOMES FOR 2006/07 AND THE MEDIUM TERM 5.1 Sector Objectives The broad objectives of the Agriculture and Rural Development Sector are as follows: • • • • • • •

Raising agricultural productivity and profitability through efficient allocation of resources and improving access to productive resources such as farm inputs and credit; Commercializing agricultural activities by encouraging private sector participation; Creating an enabling environment through policy and legal framework; Protection, conservation and management of environment and natural resources Improving market access for enhanced incomes; Guaranteeing security of land tenure; and Promoting balanced development across the country through the Regional Development Authorities

Specific sub-sector objectives are as follows: 5.1.1 Agriculture • • • • •

Raising agricultural productivity through an efficient allocation of resources and improving access to productive resources such as farm inputs and credit; Commercializing agricultural activities by encouraging private sector participation in line with the ERS; Making agriculture profitable in order to attract private sector investments; Stabilizing the growth of the sector by encouraging farmers to diversify into nontraditional high value products; Working with relevant Government Departments and other stakeholders in improving governance in key agricultural institutions, and putting in place a comprehensive legal

• •

framework to guide development in the sector; Reducing the prevalence of HIV/AIDS in collaboration with other organizations, especially by improving nutrition and creating awareness; and Promoting closer regional cooperation in the management and regulation of the transboundary activities that foster growth of the sector.

5.1.2 Livestock and Fisheries Development The goal of the sub-sectors is to improve food security in the country and increase incomes to Kenyans. In line with this, the sub-sector has two-tier objectives, namely: To develop and implement an enabling policy and legal framework for investment and sustainable management of livestock and fisheries resources; and, To provide, jointly with stakeholders, efficient technical services for increased production, value addition and marketing of livestock and fisheries products. 5.1.3 Cooperatives Development and Marketing The overriding policy objective for the development of the sub-sector is to revitalise the cooperative movement to stimulate cooperative growth for wealth and employment creation. Accordingly, the key policy priorities for the development of the sub sector are espoused in the Ministry’s Strategic Plan and focus towards improving the performance of cooperatives to foster growth in the sub sector. They include:

Streamlining Cooperative management through strengthened cooperative extension service delivery to ensure compliance with the amended Act and subsidiary legislation; Improving Corporate governance of cooperatives by formulating and implementing best management practices and prudential standards; Streamlining cooperative education and training policy; and Improving market access and marketing efficiency by cooperatives and developing institutional capacity for the cooperative movement to meet the challenges of a liberalized economy.

5.1.4 Environment and Natural Resources • • • • • • • • •

Policy, legal and regulatory reforms to incorporate communities, private sector and other stakeholders in the management of environment and natural resources; Protection , conservation and sustainable management of environment and natural resources; Enhanced exploitation of mineral resources for national development; Development and advocacy of a regional and global agenda for sustainable management of environment and natural resources; Mainstreaming gender in environment and natural resources management programmes Prevention and control of HIV/AIDS; Institutionalizing reforms in the Ministry ; Improving the management and dissemination of information in the management of environment and natural resources; and Monitoring and evaluation of Ministry’s projects/programmes.

5.1.5 Lands • • • • • • •

Finalization of the formulation of the National Land Policy Review and streamline legal framework in land Provision of National Digital Topographical Database (NDTDB) Preparation of appropriate spatial framework to guide socio-economic Facilitate and enhance settlement of poor landless families by 2008 Accelerate the adjudication programme Establishment of GIS based Land Information Management System to support decisionmaking supported by the National Spatial Data Infrastructure • Institutionalization of an appropriate monitoring and evaluation system in the land subsector 5.1.6 Regional Development • • • •

To review the relevance and sustainability of the Regional Development Authorities; To supervise and coordinate RDAs so as to ensure fulfilment of their mandates; To promote integrated regional development within the river basins; To enhance capacity building for RDAs to ensure maximum exploitation, utilization and conservation of resources; • To develop regional data banks and early warning systems within the river basins; and • Monitoring and evaluation of RDAs’ activities to ensure efficient and effective utilization of resources.

5.2 Targets, Expected Outputs and Outcome for 2006/07 – 2008/09 5.2.1 Agriculture The table below provides a list of activities and expected outputs/outcome for the period 2006/07 – 2008/09 for the Ministry of Agriculture. Table 4: MOA – Activities, Expected Outputs/Outcome Head 191 Agricultural attaches

Activities

193 Development Planning Services

Development Planning Services

195

Agricultural boards & Committee meetings

198 Policy & Agric. Dev't Coordination

Coordination of project planning and management Monitoring of on going programmes/projects

Program management information availed. Improvement in program management at the implementation level

202 Agric. Dep't HQs Technical Services

Technical Services administration Coordinate monitoring and evaluation of Agricultural programmes

Improved implementation of Agricultural programmes

Facilitation of trade & collaborative research in Agriculture Act as direct representatives in international organization such as FAO, IFAD AND International Coffee Organization

Expected Outputs/Outcome Increased direct cash flows into the agricultural sector Collaborative agricultural research opportunities Network & Increased trade in Agricultural commodities Policy reviews, policy research, agric planning, WTO, EAC, EPAs, COMESA, ACP-EU, M&E, publications & bulletins, establishing functional M&E structures, data base, ICT Networking, etc. Cater for operations of the Central Agricultural Board (CAB)

Head 228 229 Agricultural Techno. Dev't and Testing Stations

Activities Finance and Accounts Services - Develop, Produce and Promote Technologies that use alternative sources of energy such as solar, wind and biogas -Training Local Artisan on Production of Approved Technologies and Spares production

-Demonstrations on water harvesting for small scale irrigation systems)

Expected Outputs/Outcome - Carry field test to wide-spread adoption for 10 technologies

- Formulate a Training program - Plan for a Training Centre in RTDC Nakuru Establish 8 sites in the regional RTDC stations Develop 3 proto-types

Development, Sourcing, modification and testing of agro -processing technologies. - Demonstrations on value addition & processing

- Establish 8 sites in the regional RTDC stations

230 PCPB

Facilitate operations of the PCPB

Well coordinated inspectorate services

235 HQ Land and Crop Dev't Services

Improve cash and food crops production Review policy and legal framework for specific crops

Improved crop production and incomes

Restructuring & revamping of cotton industry & debts payment

Bills and Sessional papers on cotton, sugarcane, coffee, cashew-nut and coconut reviewed and amended Retained strategic market access (especially European market) new markets accessed.

Address emerging food safety and quality issues pertaining to statutory and commercial market requirements. Review policy and legal framework for horticulture.

Produce standards developed and operationalised

Diversify and enhance production and consumption of high value crops

Improved horticultural crop production and utilization. Export of Horticultural products increased

National Horticultural policy and legal framework reviewed and completed.

238 HCDA

Facilitate operation of HCDA

240 247 Land Dev't and Machinery Services

KEPHIS - Create a revolving fund for running AMS Stations -Establish a new management system for AMS - Review National Agricultural Mechanization Strategy (NAMS)

Provide Phytosanitary services - Hold 2 consultative workshops - Get Cabinet Approval - Legal Framework for new system In place - Establish a Steering committee to review, collate stakeholders views through regional & national workshops - Formulate strategy & - Get Cabinet Approval

1. Maintain plant and equipment Plants in continuous operation Plants to be repaired Farm Tractors in operation

36 5 26

2. Carry out mechanized soil and water conservation and land development activities 254 Agribusiness, Mrkt Dev't & Agric Infor services

Promote agribusiness, market development and agricultural information dissemination HQ Administration, coordination and planning

54 dams, 5 w/holes; 100ha bush clearing 40ha levelling; 420 ha ploughing; 20ha planting; 25 ha harvesting; 2000 bags maize shelling & hiring of low loader. Increased farm incomes

Improved coordination of technical and administrative activities

Head 255 HQ Extension, Research Liaison & TT Services

Activities Facilitate leadership in extension policy formulation and implementation Planning execution and supervision of extension service programmes

257 Agic Information Resource Centre

Resources to facilitate Collection, synthesizing and dissemination of Agricultural information through media and training

258 Embu Agric. Staff Training College 259 Bukura Agricultural College 260 FTCs

Capacity building in staff of the ministry in tailor made courses for deficient skills

Increased demand and use for market information by farmers for production and planning Increased availability of market information via print and radio for farmers Skills development to match changing technological advancement

In-service skills upgrading for certificate holders to diploma courses

Frontline certificate staff skills upgraded to Diploma graduates to match farmers demand

Training of farmers on new agricultural technologies in both crop and livestock production. Provide farmers with a show window i.e. having model farm agricultural enterprises within the specific region

Farmers trained Demonstrations plots established Optimize production Introduction of new technologies on the farm.

Offer certificate courses for school leavers in the growing agricultural sector

Graduates of the institutions are relevant for the growing agricultural sector

Capacity building and community empowerment

- Training of Trainers (TOT) 8 regional - Capacity building of 280 stakeholders

261 Kilifi Institute of Agriculture 502 Food Security & Man. Prog. (NMK)

Expected Outputs/Outcome Review and interpret National Agricultural Sector Extension Policy. Formulate and produce National Food and Nutrition Policy. Enhance implementation of extension programmes Review extension materials, approaches and methodologies.

- 800 community groups Processing of NMK Community project investment proposals

638 Provincial Agric Extension Services

Development of concept note on nutrition

- Document

Training of nutrition volunteers

- 150 volunteers

Production of nutrition manuals

- 3,000 manuals

School feeding Offer extension policy implementation leadership at the provincial level

- 12 schools Enhanced contact between extension providers and farmers Resource utilization supervised and field staff backstopped

639 District Agric Extension Services

Resources for facilitation of implementation of agricultural extension programmes at the district Resources for agricultural technology dissemination at the farmer level

Increased farmer-extension-research contact Increased agricultural production Increased household incomes

661 Sericulture Stations - Thika

Promote production of silk in the country Offer alternative crop for the

Increased household incomes

759 KARI

KARI

Undertake research in various crops

Source: MOA

5.3.2 Livestock and Fisheries Development Table 5: Livestock Production Department - Sub-Vote19 Head Activities 631 Monitoring and Evaluation of projects and programmes 224 Coordination and management of extension activities at the Province

463

Expected Outputs/Outcome -At least 8 districts per province per year supervised - necessary data inputted into soft wares in time -Each of the eight provinces to have supervised at least 6 Districts per year - timely periodic reports Delivery and supervision of livestock extension extension activities in at least 50 districts enhanced services and supported Maintenance and management of livestock At least three sheep and goat stations should have improvement farms improved infrastructure and pastures Monitoring of food security -early warning systems at the headquarter established -Livestock production activities coordinated at national level (both Government and other extension service providers - livestock census carried out Strengthening quality control for honey Ensure 48% of the honey marketed is of high quality Maintenance and commercialization of Animal At least four livestock improvement farms should production farms have improved infrastructure Coordination of rural dairy services. -dairy activities vibrant in at least 6 provinces -at least 12 districts supervised per year Coordination and Management of range areas and -water pans is carried out by at least 10 districts in resources ASAL De-silted and rehabilitated. - Range management extension - a least 10 districts supervised per year Human resource development -Coordination of capacity building department staff -At least 40 members of staff trained. -supervise livestock training institutions Training of pastoralists at Narok P.T.C 800 farmers trained

465

Training of pastoralists at Griftu P.T.C

200 farmers trained

466

Training of pastoralists at Isiolo Mobile P.T.U

180 farmers trained

473

Dairy Training School â&#x20AC;&#x201C; Naivasha

474

Livestock Sector Information Support Services

477

Coordination of Livestock Extension activities.

Students are well accommodated and fed to continue with normal learning. Training and establishment of forum for key players to interact and formulate sustainable livestock marketing system Coordination and institutionalization of National Agricultural and Livestock Extension system

478

Quality control of livestock feeds, breeds, produce, products and inputs

Strengthen Livestock Recording Centre and coordinate breeding activities in the four provinces

543

Coordination of beekeeping services and promotion of honey refineries.

-Promote repair and rehabilitation of at least six refineries in ASAL - supervision and coordination of beekeeping activities nationally -

232 266 280

291 407 408 451

462

National Dairy Development Project 424

491 491

Smallholder Dairy Commercialization Programme Promotion of Dairy sub sector ASAL Based Rural Livelihoods Project -livestock productivity increased - increased off take and prices of livestock -improved credit access by pastoralist -improved early warning systems

Source: MOLFD

Table 6: Veterinary Services Department Sub vote 193 Head 445 & 446

Activity Meat Inspection and Hides and Skins Improvement

481 & 549

Veterinary Laboratory Services

467, 468, 471 & 472 290

Training institutions: AHITINdomba Nyahururu, Kabete and MTI Athi River Artificial Insemination Services

426

Tick Control Services

447

Tsetse & Trypanosomes Control

431, 432, 437, 448, 551, 552 & 553

Livestock Diseases Control (strengthening Animal Health Delivery Systems)

Targets -No. of clean slaughter points licensed in 54 districts -Quantity of livestock products exported and consumed locally -No. of timely and accurate diagnosis made - Trainings done for emerging diseases (mad cow, bird flu) -No. of trained personnel - Improved course content

Expected Output/Outcomes Increased export of finished hides and skins leading to improved incomes Improved public health of beef Quality livestock inputs/outputs in the market Improved export marketing of products

- No. of inseminations done per year (86,545) - No. of private A.I operators licensed -% reduction in tick borne diseases - No. of operational communal dips - No. of tsetse control traps

Increased production marketing

-80% of livestock vaccinated per year - Reduction f disease outbreaks by 20%

Increased staff competence

and

Reduced livestock deaths Increased production and marketing Reduced tsetse infection by 20% Creation of Disease Free Zones Animals are healthy and more productive Increased incomes and reduced poverty

Source: MOLFD

Table 7: Fisheries Department â&#x20AC;&#x201C; Sub-vote 192 Head

Activity

Targets

Expected Outputs/Outcomes

534

Improvement of landing sites

532

Fish quality assurance

2 cold storage facilities provided (coast, L. Victoria) Established competent quality control authority

533

Monitoring Control &Surveillance (MCS) Fish farming development

Improvement in landed fish output Reduced post harvest losses Secure export market Improved nutritional status and incomes Sustainable exploitation of fisheries resources Improved nutritional status and increased incomes

537

Source: MOLFD

3 patrol boats purchased 3 fish farms rehabilitated (Chwele, Kithima, Sagana)

5.3.3 Cooperatives Table 8: Cooperatives – Activities, Targets HEAD ACTIVITIES

TARGETS

571 Provision of ministerial administration, Planning, General administration and planning functions including Monitoring and evaluation of the personnel, finance, accounts and procurement services; Ministry’s Performance contract 673 Operationalization of the activities of the Governance and Ethics Commission for Cooperatives

Administration of Ethics Code of conduct for Cooperative societies and decentralization of Governance and Ethics Commission

705 Policy formulation & analysis, Information management, project development, appraisal, Monitoring & evaluation, 587 Decentralization; publicity and strengthening the Cooperative Tribunal Services

Economic review of cooperative sub-sector, Efficient financial management and budget Development Planning; Conducting Feasibility studies, Programmes/Projects development, appraisal, monitoring & evaluation and Information databank management, Settlement of disputes; Strengthening Tribunal Registry; Advisory services and legal reforms

589 Provision of Cooperative Registration services;

Amendments of societies' by-laws; Charges by cooperatives; Inquiries; Inspections; Investigations; Surcharge; Liquidation; Provision of Legal Services; Normative interventions.

700 Cooperative Marketing and Research development ;

706,

708

709

710

823

824

711

Collecting Marketing Data; Analysis of the data and dissemination; Promotion of Cooperatives to viable Commercial enterprises to provide value adding, farm inputs & credit services to producers Commissioners Office; Coordination of Cooperative Training for Co-operatives; Deployment of Technical Staff; Representation in National Extension Services:Bodies and Boards; HIV/Aids programme in Co-operatives; Formulation of Co-operative Policy; Project Development and Implementation, Monitoring and Evaluation; Provincial Cooperative Management Services; Coordination of training programme/activities & implementing of Cooperative Projects; Overseeing the implementation of Co-operative Societies Act, Represent CCD in Provincial/Regional bodies; Monitoring Co-operative Activities/Training of Co-operators, Implementing Cooperative Development Projects; Provide guidance in Implementation of Co-operative Societies Act; Monitoring Cooperative activities; Monitoring Cooperative livestock activities District Cooperative Management Services; Coordination of training programme/activities & implementing of Cooperative Projects; Overseeing the implementation of Co-operative Societies Act, Represent CCD in Provincial/Regional bodies; Monitoring Co-operative Activities/Training of Co-operators, Implementing Cooperative Development Projects; Provide guidance in Implementation of Co-operative Societies Act; Monitoring Cooperative activities; Monitoring Cooperative livestock activities Provision of Cooperative Audit Services (Head Annual audit; Continuous audit; Registration of audited accounts; Development of quarters):accounting & auditing manuals for coops; Financial advisory services; Taxation Matters for coops Provision of Provincial Cooperative Audit services:Annual audit; Continuous audit; Registration of audited accounts; Development of accounting & auditing manuals for coops; Financial advisory services; Taxation Matters for coops Provision of District Cooperative Audit services:Annual audit; Continuous audit; Registration of audited accounts; Development of accounting & auditing manuals for coops; Financial advisory services; Taxation Matters for coops Training of Cooperatives: 50 short courses, 50 female students accommodated, , Research Provision of cooperative education and training to enrich the cooperative movement and the Government & consultancy; installation of 4 pumps with professional capacity

Source: MOCDM

5.3.4 Lands Table 9 : Lands – Activities, Targets Head

Activities

Expected Output/Outcome

Administration and Planning Service Coordinated services

Modernization and Storage of land Improved security of land records information Formulation of National Land Policy Comprehensive National Land Policy

26 26 615

Integrated Land and Urban Sector Improved livelihoods of Kenyans in rural and urban areas Programme through improved shelter and land information systems Monitoring and evaluation of Efficient implementation of programmes/project projects

30 30,040 40

96,099

Purchase of land for Settlement of poor landless Management of Settlement Schemes Programme

Settlement farms acquired Reduced number of poor landless Settlement of landless, increased productivity and on /off farm employment

Adjudication Programmes, Title Survey and Administration of Group Ranches Administration of Headquarter and District Survey Offices

Adjudication Sections declared, Committee and Arbitration cases heard incorporation of Group Ranches

Land Adjudication Programme for Survey

Cadastral Services

Creation of National Spatial Data Infrastructure

Improved Service Delivery and Coordination of services, maintenance of plant and vehicles, sale of survey maps and records, Procure adjudication records to support registration, adjudication programme quality control. Sale of RIMS Production of quality controlled records, field surveying for implementation of Ndungâ&#x20AC;&#x2122;u report, production of registration documents, improved RIMs and Deed plans, Subdivision of Company and Cooperative Farms, Production of Boundary plans for control boards, forests and administrative boundaries Creation of Geospatial standards, workshops, National Digital Topographic Database, Creation of Geospatial standards, workshops, National Digital Topographic Database,

Maintenance of International boundaries

Publication of Kenya National Atlas digital atlas produced

Mapping Services

130 130

130,132

130 277

376,453

376,453 376,453

Enhanced Territorial integrity and re-established international boundaries and Exclusive Economic Zone

Provision of mapping information, revision of maps, land use mapping Geodetic Service Geodetic Control Surveys, Remote sensing surveys, Unified National Common Reference Framework, National Calibration Services for survey Equipment, Revision of Global Map Harmonization of Existing land laws Harmonized registration and administration statutes Revenue and AIA Collection (land Improved revenue and AIA collection, finalization all valuation, registration of titles, land applications for change of user, extension of lease and administration and stamp duty issuance of titles and registration of interests in land collection Resolution of land/ boundary disputes Resolution of land/boundary Improved tenure security and investment disputes and management of Land Disputes Tribunals, Land Rent revision Tribunal, Land Arbitration Tribunal and Land Control Boards. Implementation of recommendations Streamlined land administration and management as per the on Ndungu Report recommendations Provision of well trained man -power in the field of Surveying and Mapping Administration, Co-ordination and Planning of National, Regional and Local development activities Operationalization of the Physical Planning Act (1996) Cap. 286

No of personnel trained in surveying and mapping Improved human capacity in Surveying and Mapping Effective land use planning with minimum conflict

Effective land use planning with minimum conflict

Research on Urbanization Strategies Production of a property hierarchy of urban centers and Policies

376,453

Strategic Structure Plan for Nairobi metropolitan area

- Preparation and ratification of study proposal

376

Integrating Environmental consideration in land use planning

Conduct participatory environmental Planning, training

376

Revision of Human Settlement Strategy Document (1978) Studies on wetlands and water catchment areas Provision of basic physical infrastructure settlement schemes

- Provide spatial framework for Human Settlements

376 084, 173,199 96

132 376,453

- Application of appropriate measures for protection and conservation of these resources Improved access and productivity

Office accommodations and records storage Construction of New office Block for national Cadastral Database and NDSI Rehabilitation of District Land Well maintained buildings and improved security of land Registries records. Preparation of land use plan for market centres in all the districts

376,453

Preparation of Regional plans for all districts 277 Kenya Institute of Surveying and Mapping Source: MOL

- Provide framework for orderly development of urban areas - Guidelines for orderly development of rural areas Construction of buildings, equipment and communication facilities

5.3.5 Environment and Natural Resources The table below shows the activities and expected outputs/outcome for MENR in the period 2006/2007-2008/2009 in MENR. Table 10: MENR â&#x20AC;&#x201C; Activities, Expected Output/Outcome Head

210-670 Headquarters Administrative Services

210-749 Financial Management and procurement Services

210-885 Central Planning and Project Monitoring Unit

Activities Ongoing Activities/Programmes (Recurrent) -Coordination of Parliamentary Business Publicity of Ministerial Functions Provision of Transport Services Provision of General Office Services, Security services, office facilities and conducive working environment Ensuring prudent financial control for voted items under Head 670 - To assist the Accounting officer in the coordination of all services related to budget preparation, implementation and control. - To ensure realization (collection) of projected revenues and local appropriation in aid. - To ensure that management of public funds are in conformity with the laid down financial regulations and procedures. - To ensure that procurement plans are in place and expenditure planned and implemented as per the plans. Planning and Development Coordination Activities

Expected Output/Outcome

Effective and efficient Service delivery in all administrative units of the Ministry for the realization of the Ministry mandate

- Accurate and timely budget as per the Budget Preparation â&#x20AC;&#x201C;Calendar - Expenditure that contained within the voted provisions. - Timely and total collection of Appropriation-in-Aid as reflected in the Printed Estimates for the year in review. - Well planned expenditure that matches the procurement plans. - Accurate and sufficient budgetary provision reflected in the Printed Estimates.

Effective and efficient implementation of policies, projects and programmes

Head

Activities

Expected Output/Outcome

211-646 Forestry Research Institute

Operations and Maintenance Natural Forestry Forest Plantations Farm Forestry Dry-land Forestry Service Programme Staff training and General Forestry administration for an effective management of Forest Resources

Facilities maintained Research Reports, Notes etc. Technical notes Foresters and farmers trained Demonstration Plots Established workshops held Staff trained –No.47 N.T.P. Celebrations-2 Vehicles No.10 Policy coordination and supervision Industrial wood and furniture production Seedlings No.1, 000,000 Planting No.120 (ha)

211-672 Headquarter Forestry Development 211-674 Forest Industrial Training Center Nakuru 211-675 Kenya Forestry College Londiani 211-676 Forestry and Plantation Development

Seedling production planting and General maintenance of the institution Sawlogs processing Forestry technical Training, seedling production and planting and general management of the institution Seedling planting, maintenance and General management of plantation in the country

211-678 Catchment and Natural Forest Conservation 211-679 Rural Afforestation Extension Scheme 211-681 Road Construction Unit

Seedling production (indigenous) rehabilitation of degraded areas and General Management of Natural Forests Forest Extension Services, Farmers training, Monitoring and Evaluation; ASK Shows and General administration for the scheme. Maintenance of Forest Roads, Bush clearing, Calvert opening and installation

211-738Arid and Semi Arid Lands Forestry Development 211-748 Forestry Inspection and Protection Unit 212-690 Mines and Geological Department 212-691 Provincial Mines offices 212-692 Mineral Survey and Exploration 214-219 Department of Resource Survey and Remote Sensing

Seedling production in semi arid areas and catchment rehabilitation

215702Environmental

Training of Forest Guards, provision of uniforms, firearms and General Patrol of the Forest Improve performance and service delivery

Improve performance and service delivery Facilitate minerals and geological surveys

Wildlife and Livestock aerial surveys (District Aerial surveys Land use and Land cover surveys Crop Yield production forecasting Air services Forest cover assessment and monitoring Biodiversity assessment and monitoring Primary biomass monitoring for livestock and wildlife management and early warning Land information system for urban and rural development Database development and management Training Publication and information Operations maintenance and professional services Facilitate development, implementation and analysis of the environment policies

Seedlings No.1, 500,000 Technical training No.50 Planting-120(ha) Seedlings No.20,000,000 Planting –10,000(ha) Monitoring and evaluation No.6 Supervision No.50 Seedlings No.1,300,000 Rehabilitation 1,000(ha) Monitoring and evaluation –13 Extension visits –10,000 Seedlings production- Purchase –33,000,000 Farmers training –600 Grading –80km Culvert –400 Draining –67km Seedlings –1,900,000 Farmers assisted –1,200,000 Monitoring and evaluation – 4 Forest Guard training –500 National parade –2 Uniforms –1,000 Satisfy customer administrative requirements

Satisfy customer Administrative requirements Acquire mineral geological data

Survey 5 northern rangeland districts Survey 3 districts per year A national crop forecast yearly Maintain 3 aircraft Survey 3 catchments per year 2 Ecosystems per year 2 range districts per year One district per year A functional database Skilled workforce Publish reports on all surveys made Efficient service delivery

To develop and implement environment policies

Head Policy Analysis and Development 215-736 National Environment Management Authority 215-762 Public Complaints Committee 215-766 National Environment Tribunal

Activities

Expected Output/Outcome

National Environmental Management Authority

NEMA fully Operational by 2005

-Investigations -Periodical reports SOE Reports Awareness workshops Review administrative decisions of NEMA, Workshops

- Continuous - Quarterly reports - Annual report - Cover 80% by 2007 Continuous Cover 80% by 2007

Ongoing Activities/Programmes (Development) Co-ordination of NEPAD Environment activities Contributions to EAC Secretariat

210-670 Headquarters Administrative services 210-698 Lake Victoria Implementation of LVEMP II Environnemental Management Project 210-885 Central Data collection and Information dissemination Planning and Project on Water Weeds in the country Monitoring Unit Capacity building for officers involved in management of information and data. Developing Community Action Plans 211-646 Forestry Research Institute Headquarters

Improvement of KEFRI Research and outstations Forestry Research Environmental Project (FORREMS) Arid and semi-arid project (ARIDSAK) Agro forestry network for Eastern and Central Africa (AFRENA) Acacia Operation Support to Food Security Poverty Alleviation Tree seed Technology Improvement Information Dissemination

Strengthening the production and quality control of gums and resins Management and Control of prosopis

672-265 Mt. Elgon Forest Conservation Development Project 672-National Facility Programme 672-283 ArabukoSokoke Forest Conservation and Management

- Rehabilitation of Degrades sites, - Community sensitization, - Conservation and sustainable utilization of forest resource and - Development of ecosystem plan - Sensitization on PFM - Rehabilitation of Degraded sites - Boundary realignment - Sensitizing the community

Effective follow up and Implementation of NEPAD environment activities Operational Lake Victoria Commission Implementation of the project as per work plans Water free water bodies in the country Enhanced capacity on information technology and capacity building in the sector Community Action

Offices and Laboratories Buildings Research Reports Sites Rehabilitated Research Reports Farmers trained Research Reports Farmers trained

Quality seed produced No. of improved seeds Demonstration plot Open/Field days Conference and Workshops Local Community trained Tree inventories done Strategic forest Management Plan developed Research reports Technical notes To cover 2 districts Trans-Nzoia and Mt. Elgon

- Improved planning skills To cover 2 districts Kilifi and Malindi

Head

672-285 Aberdare Forest Resource and Wildlife 672-286 Forest Rehabilitation Environmental Management Strengthening 672-400 Construction of Building NonResidential 672-301 Information Communication Technology Capacity 675-400 Construction of Building Nonresidential 681-430 Construction of Bridges, Ferries and Jetties 738 – 288 Dry lands Forest Resource Conservation and Management 738-299 Intensified Social Forestry Project in semi-Arid lands

211-748 Forest Inspection Patrol Unit 938-261 Rehabilitation of Degraded sites in Turkana District 938-262 Development of Conservation and Demonstration Plots 212-692 Mineral Survey and Exploration

Activities

Expected Output/Outcome

- Fence construction within the forest boundary - Tree planting and rehabilitation of sites - Forest Guards training and Forest Policing - Promote agro forestry - Develop, guidelines and plans for participatory for management - Staff training and support to operation

To cover districts in Aberdare region

- To complete 4 district offices - Commence construction of KFS headquarters and renovation of district and conservancy offices - Establishment of database for Forest Department - Establishment of GIS database To renovate dormitories and convert them to barracks for paramilitary training of forest guards. Rehabilitation of forest roads for better access

- The 4 districts are PFO (Eastern), Maragua, Nyando and Suba. - Construction of KFS Hqs

- Research studies - Reforestation - Dry land development

Arid and Semi arid Districts

- Baseline survey - Prepare Forest Extension guidelines - Training of staff and farmers on better forestry management techniques - Facilitate network among farmers - Identify appropriate indigenous knowledge Training of Forest Guards, provision of uniforms, firearms and General Patrol of the Forest - Community Training and Sensitisation on Environmental conservation - Establishment of wood lots - Rehabilitation of Turkwel river bank - Support to Community Action Plan - Rehabilitation of tree nurseries - Woodlots establishment -Review and enactment of New Minerals and Mining Law - Carry out geological surveys and Mineral exploration in Western, Eastern, Rift Valley and Coast Provinces Modernize Dept’s laboratories Set up GIS-based Geoscientific database Rehabilitate disused Mines and Quarries

-improve institutional capacity -improve social forestry extension network -Technology Transfer -Establish information system with stakeholders

Rehabilitate Madini House

214-219 Department of Resource Survey and Remote Sensing 215-611 Climate Change enabling activities

- Control road side erosion - Rehabilitation and management of Ecosystem

Conduct Geohazard mapping in Areas prone to geohazard in Central Kenya Replacement of field motor vehicles Environmental Information management system; Forest cover mapping Aircraft purchase Climate Change enabling activities

Forest Department Headquarters

Renovate three dormitories and put a shooting range. To cover the 4 road units in the Forest Department

Forest Guard training –500 National parade –2 Uniforms –1,000 Turkana District

Arid areas

-Have new Minerals and Mining Law by 2005/06 Produce 2 geological reports and maps by 2004/05 and cover 20% groundwork of programme areas annually Procure more lab equipment Have a functioning database by 2004/05 Complete inventory of the disused mines by 2005/06 Complete rehabilitation of the house by 2005/06 Cover 10% of prone areas in central province by 2005/06 Replace 12 vehicles by 2008 A national forest cover assessment survey New aircraft Framework for technology acquisition and adoption

Head

Activities

Expected Output/Outcome

215- 612 Institutional Strengthening to Management of Ozone Depleting Substances 215-702 Environment management and Protection 215-736 NEMA

Institutional Strengthening to Management of Ozone Depleting Substances

Phase out by 2015

Community Development for Environmental Management Programme

Institutional Capacity Building for NEMA

Support to District Environmental Management Programme

Take stock of Forest and Rangeland resources, ,their utilization and conservation needs in selected districts 1 NEAP; 8 PEAP and 70 DEAP by Oct.2004 20 tools per year developed and tested

National Environment Action Plan Development and testing of tools for the implementation of environmental management and coordination Act Partnership in environment Law and institution in Africa (PADELA)

National Facility Programme 690-Titanium Mining Monitoring 690-Geohazard Mapping 690-Environmental Engineering Geology 690- Geodatic Mapping & Research 690-Library &Archival Development 690- community development for Environment management Programme

New Projects/programmes To increase planning capacity within the Forest Department to ensure participatory forest management Setting up titanium mining industry in the country Help in development of a geo-hazard database for the country Look at all environmental and physical planning issues related to geology and mining To carry out geodetic and geophysical mapping for submission of the claim for the additional 150 nautical miles of Kenya’s Continental shelf by 2009 To modernize the Library and Archive in line with current department and mining industry needs To Facilitate reduction of poverty through improved environmental management

Participatory forest management enhanced Monitored resettlement of farmers in Kwale Titanium Project

Investigated effects of use of Mercury in gold mining on environment around lake Victoria geodetic and geophysical mapping carried out for submission of the claim for the additional 150 nautical miles of Kenya’s Continental shelf by 2009 Modernized Mines and Geological Department Library and Archive Improved environmental management

Source: MENR

5.3.6 Regional Development Authorities Table 11: MRDA – Activities, Expected Output/Outcome for 2006/07 - 2008/09 Head / Activity

Activities

Expected output/outcome

523 - General administration services

- Provide general management and administrative related issues - Prepare policy papers for the cabinet and parliamentary business - Coordinate RDAs administrative issues - Coordinate personnel matters, human resource and capacity building related activities - Provide general office and transport services - Provide planning and developments coordination activities. - Formulation, review and analysis of the ministry’s

- Well coordinated rural development activities. - Improve work performance - Improved facilities.

804 - Central Planning and Project Monitoring

- Resource directed to priority areas. - Developed multi-sectoral developmental approach.

Services.

573 – Rural Development Services coordination. 753 – Conservation and Resources Development Technical Support Services

455 KVDA

development policies. - Preparation of MPER/MTER budget and other budget processes. - Carry out monitoring and evaluation of the ministry’s programmes and the projects. - Coordinate formation of the ministry’s information web page and the computerisation of functions. - Promote public private partnership. - Coordinate external financial resources for the RDAs. - Coordinate RDAs on financial management matters. - Coordinate annual accounts for the RDAs. - Handle Audit issues and coordinate the resettlement of displaced person. - Preparation of policies on management and resources development. - Develop and promote environmental conservation programmes and projects and EIA. - Advice on the development of commercial forest, agroforestry, ecotourism. - Promote public private partnership investments. - Protection of fragile areas and endangered flora and Fauna. Catchment Conservation, rehabilitation and Maintenance Rural Based Community Projects Planning and Feasibility Studies Dam construction and management Wei Wei Project Arror/Kinyach Construction of infrastructure (Livestock and fisheries development) Chemeron Project Tot Project Rehabilitation of minor Schemes Mineral resources Survey Development River Utilization Studies Upper Turkwel catchment conservation & Dam Monitoring

707 TARDA

989 LBDA

Irrigation Programmes Tana Delta, Thanantu Valley, Masinga, Kibwezi and Kiambere Hydrological investigations/Lab investigation Livestock Development & Marketing Planning and Resource Evaluation Kiambere/Mwingi Water (Phase I) Tana Delta Rice Irrigation Project Athi and Tana catchment Rehabilitation Tana Delta Sugar Integrated Irrigation Project Masinga Dam Resort Athi /river and Munyu Basin Studies Thanantu Valley Dam Monitoring High grand Falls Reservoir Kitui Honey refinery Imbeti South Water project Kimira Oluch Smallholder Dev Project Rice Mill Fisheries Development Catchments Conservation and Rehabilitation Machinery Services Crop Production Siaya Edible Oil

- Enhanced project/programme management. - Additional resource mobilized. - Regional development policy developed.

- Resources directed to priority areas.

- Improved utilization of natural resources. - Project proposals and feasibility studies in place. - Improved utilization of Natural Resources for socio-economic development. - Investments in place.

Conserved resources 2000 farmers trained Increased employment at regional levels Available data Increased water supply Improved food security Improved food security Improved food security and balanced diet Conservded environment Available food Increased food security Increased income Available data Conserved environment, 5900 Km2 of upper turkwel conserved No. of trees seedling and sites protected Increased food security Available water Food security Available data increased water supply Food security Conserved Environment Incread income and food Increased income Available data and information for development. Increased food Available water Availability of water for power generation, domestic and animal use. Increased income Available water Food security Food security Food security Conserved Environment Improved services Food security Food security

Livestock/Agricultural Development Effluent Monitoring and health surveillance Brick and tile manufacture Purchase Of Vehicles and Equipment Honey Production(Siaya and Bondo) Integrated Development Programme Water supply and development Livestock Development Programme Irrigation Development and management Horticultural Development Integrated Natural Resources studies Catchment Conservation Programme

993 CDA

HIV and Aids Purchase of plant and equipment Purchase of vehicles Catchment Conservation and rehabilitation Livestock development Fisheries development Minor irrigations Mineral and natural resource development Dam construction Purchase of plant and equipment Building of non-residential houses Tree crop project Integrated coastal area management (ICAM) Farmers field schools

994 ENNDA

Coastal Micro enterprise development programme African indegious vegetables Malindi integrated social health development programmet Trans-boundary integrated water resource management programme Ewaso-Ngâ&#x20AC;&#x2122;iro North River Catchment Conservation & Water Resource Management Programme Dam construction Minor irrigation Catchment conservation programme Livestock development Mineral/natural resource development Purchase of palnt and equipment Brick and tiles Isiolo Abattoir Agricultural improvement programme Ewaso Nyiro North Natural resources conservation project Small and medium enterprises programme Refugee impact mitigation programme ASAL research and training center project

Source: MRDA

Increased income and food security Available data and improved environment Available data Improved working environment Food security and income Increased food security, employment Increased water supply Food security Food security and income Increased income and employment Available data Conserved environment Create awares Improved working environment Improved working environment Conserved environment, 5 conservation projects undertaken, 500,000 tree seedlings supplied to the local communities. Food security Food security Food security Enhanced incomes Increased water supply Improved working environment Improved facilities Increased fruits Increased income, two resources centres built, 10,000 trees planted in the coastal region Technology transfer, 5000 farmers trained Increased income Increased traditional foods Improved facilities Increased water Increased water resources and conserved environment Increased water supply Increased food security Conserved environment Increased food security Increased income Improved working environment Increased income Increased incomes, and employment Food security Conserved Environment Increased employment and income Increased security Technology transfer, food security.

6.0 FINANCIAL REQUIREMENTS FOR MEETING THE SECTOR’S PRIORITIES & PROGRAMMES 6.1 Resource Requirements for the Whole Sector, 2006/07 – 2008/09 Table 12: Summary of Total Resource Requirements for the Sector, 2006/07 – 2008/09 Resource Requirements (Ksh) 2006/07 2007/08 2008/09 11,453,176,565 12,673,721,959 12,907,052,611

Ministry 1

Agriculture

Livestock & Fisheries Development Cooperatives Development and Marketing Environment and Natural Resources Lands

4,677,723,558

5,481,557,394

6,136,813,413

877,929,960

941,336,964

974,052,361

3,157,931,467

5,864,155,659

5,891,726,984

2,138,800,000

2,139,100,000

2,234,200,000

Regional Development Authorities Total

1,381,000,000

1,827,071,175

2,128,405,170

23,686,561,550

28,926,943,151

30,272,250,539

3 4 5 6

The table above shows that the whole sector will require Ksh 23,686,561,550 to finance its planned activities in 2006/07. This figure will increase to Ksh 28,926,943,151 in 2007/08 before rising further to Ksh 30,272,250,539 in 2008/09. The budget for the ARD Sector is per the Sector and Ministerial ceilings outlined in the Budget Outlook Paper for 2006/07 to 2008/09. However, some ministries have requested for additional funding as indicated in section 6.2.7. The tables below show the recurrent and development components of the resource requirements for each ministry: Table 13: Recurrent Resource Requirements (Sector Wide), 2006/07 – 2008/09

Ministry 1 Agriculture 2 Livestock & Fisheries Development 3 Cooperatives Development and Marketing

Recurrent Resource Requirements (Ksh) 2006/07 2007/08 2008/09 6,845,212,026 7,241,145,887 7,403,648,658 2,882,997,575

3,098,541,784

3,277,556,161

770,139,960

847,153,955

931,869,352

4 Environment and Natural resources 5 Lands 6 Regional Development Authorities Total

2,712,931,467

5,231,284,927

5,216,063,742

1,463,800,000

1,486,100,000

1,523,200,000

589,000,000

648,000,000

713,000,000

15,264,081,028

18,552,226,553

19,065,337,913

Table 14: Development Resource Requirements (Sector Wide), 2006/07 – 2008/09

Ministry 1

Agriculture

Livestock & Fisheries Development Cooperatives Development and Marketing Environment and Natural resources Lands

4 5 6

Regional Development Authorities Total

Development Resource Requirements (Ksh) 2006/07 2007/08 2008/09 4,607,964,539 5,432,576,072 5,503,403,953 1,794,724,983

2,383,015,610

2,860,257,252

107,790,000

94,183,009

42,183,009

610,000,000

824,870,732

888,663,242

675,000,000

653,000,000

711,000,000

792,000,000

1,179,071,175

1,415,405,170

8,587,479,522

10,566,716,598

11,420,912,626

6.2.0 Requirements by Ministry The resource requirements for each of the ministries in the ARD Sector are detailed below. 6.2.1 Agriculture The following are the tentative resource requirements for the Ministry of Agriculture to enable it effectively implement the SRA while taking into account limitations in resource availability for the period 2006/07 – 2008/09.

Table 15: MOA –Recurrent Resource Requirements, 2006/07 - 2008/09

Head 190 HQs Administration and Planning Services 191 Agricultural attaches 193 Development Planning Services

Resource Requirements (Ksh) 2006/07 400,214,245

2007/08 560,381,813

2008/09 568,387,100

57,910,435 46,620,749

59,424,435 37,900,000

62,140,000 39,500,000

Resource Requirements (Ksh)

Head 195 Agricultural Boards and Committee Meetings 198 Policy & Agric. Dev't Coordination 202 Agric. Dep't HQs Technical Services 228 Finance and Accounts Services 229 Agricultural Techno. Dev't and Testing Stations 230 PCPB 235 HQ Land and Crop Dev't Services

2006/07 26,803,998 31,649,941 55,569,304 25,883,183 43,193,852

2007/08 26,448,330 32,732,580 52,181,464 27,177,342 44,714,477

2008/09 27,360,000 34,254,000 48,140,000 28,254,000 49,185,924

23,187,461 286,809,709

24,346,834 585,754,003

25,360,000 644,340,403

122,850,000

128,992,500

130,520,000

381,352,322 113,447,650 73,498,966

400,419,939 117,341,985 80,848,863

402,520,000 129,076,183 88,933,749

141,565,872 17,722,656 29,131,993

146,495,789 18,252,869 290,960,526

151,623,142 19,250,000 30,829,381

53,082,906

54,955,695

56,934,100

90,367,912 44,791,996 148,601,000

93,226,087 46,382,344 150,458,000

96,209,322 48,052,108 153,150,000

124,899,147

127,610,476

130,441,180

2,665,124,781

2,705,352,661

2,747,063,241

59,525,450

60,810,050

63,158,000

1,551,406,500 6,845,212,026

1,628,976,825 7,241,145,887

1,628,976,825 7,403,648,658

238 HCDA 240 KEPHIS 247 Land Dev't and Machinery Services 254 Agribusiness, Mrkt Dev't & Agric Infor services 255 HQ Extension, Research Liaison & TT Services 257 Agic Information Resource Centre 258 Embu Agric. Staff Training College 259 Bukura Agricultural College 260 FTCs 261 Kilifi Institute of Agriculture 502 Food Security & Man. Programme (NMK) 638 Provincial Agric Extension Services 639 District Agric Extension Services 661 Sericulture Stations - Thika 759 KARI Total Source: MOA

Table 16: MOA â&#x20AC;&#x201C;Development Resource Requirements, 2006/07 - 2008/09

HEAD

ACTIVITIES

190 198 229 247 258 259 260 261 225 237 502

HQs Admin & Planning Services Devâ&#x20AC;&#x2122;t Planning Services (ASCU) Agric Technology Dev. Stations Land Dev. and Machinery Services Embu Agric. Staff Training College Bukura Agric. College FTCs Kilifi Inst. of Agriculture Integrated Dev. Programme (ASPS) Horticulture Crop Production Services Food Security Programme (KSPFS)

Resource Requirements (Kshs) 2006/07 2007/08 25,540,000 0 27,280,000 30,008,000 16,386,677 21,651,611 219,997,390 423,086,265 16,885,000 17,229,250 26,000,000 26,800,000 591,160,000 594,383,200 11,890,000 11,984,500 317,814,763 326,360,508 267,192,706 619,969,450 410,964,080 732,512,284

2008/09 0 32,540,000 21,458,000 422,086,265 7,229,250 16,800,000 594,383,200 1,984,500 325,850,000 619,969,450 732,512,284

HEAD

ACTIVITIES

759 760 761 763 764 765 246

KARI (KAPP) Soil & Water Management Research National Horticultural Research Programme Veterinary Research Range and Arid Land Research Animal Production Research National Agriculture and Livestock Extension Project (NALEP) National Extension Project LVEMP Construction of Kilimo House Annex Construction of KESREF Office NALEP, GoK – construction of offices in districts and locations Total

271 698 190 190 246

Resource Requirements (Kshs) 2006/07 2007/08 2008/09 1,239,424,479 1,264,212,968 1,564,212,968 13,885,300 14,499,950 14,499,950 171,644,384 161,312,600 161,312,600 46,045,891 48,665,686 48,665,686 5,826,608 5,415,897 5,415,897 58,200,076 59,017,627 59,017,627 260,017,972 287,022,258 287,022,258 141,780,000 257,029,213 500,000,000 250,000,000 185,000,000

144,615,600 258,828,418 200,000,000 0 185,000,000

144,615,600 258,828,418 0 0 185,000,000

4,607,964,539

5,432,576,072

5,503,403,953

Source: MOA

Table 17: MOA – Total Resource Requirements, 2006/07 - 2008/09 Category Recurrent

Projected Resource Requirements 2006/07 6,845,212,026

2005/06 7,241,145,887

2006/07 7,403,648,658

Development

4,607,964,539

5,432,576,072

5,503,403,953

Grand Total Agriculture

11,453,176,565

12,673,721,959

12,907,052,611

Source: MOA

6.2.2 Livestock and Fisheries Development Table 18: MOLFD –Resource Requirements (Recurrent & Development), 2006/07 - 2008/09 Activities General Administration and Planning

Resource Requirements (Kshs) 2006/07 2007/08 2008/09 354,792,922 365,772,214 414,349,436

Veterinary Services

1,211,502,638

1,280,617,688

1,548,211,000

Livestock Development

1,848,041,518

2,458,793,740

2,691,573,114

Fisheries

898,800,000

910,974,960

1,017,974,960

KEMFRI

308,819,336

KDB

20,320,950

CAIS

15,546,194

KMC

120,000,000

Total

4,677,723,558

5,481,557,394

6,136,813,413

Source: MOLFD

6.2.3 Cooperatives Development and Marketing Table 19: MOCDM – Recurrent Requirements, 2006/07 - 2008/09 Resource Requirements (Kshs) Head/Activity 2006/2007 2007/08 2008/09 571General administration and planning(HQTS) 171,762,151 188,938,366 207,832,203 587Cooperative tribunal 12,803,480 14,083,828 15,492,211 589Coopeartive registration services 23,571,720 25,928,892 28,521,781 705Planning and Feasibility Studies 18,767,780 20,644,558 22,709,014 706Cooperative Management Services (Commissioners office) 41,656,850 45,822,535 50,404,789 700Cooperative Marketing Services 21,287,180 23,415,898 25,757,488 673Cooperative Governance and Ethics Commission 16,898,640 18,588,504 20,447,354 708Provincial Cooperative Management Services 51,267,334 56,394,067 62,033,474 709District Cooperative Management Services 246,233,542 270,856,896 297,942,586 710Cooperative Audit Services (HQTS) 64,618,740 71,080,614 78,188,675 823Provincial Cooperative Audit Services 12,131,400 13,344,540 14,678,994 824District Cooperative Audit Services 28,247,000 31,071,700 34,178,870 711Training Development(Grants to Cooperative College of Kenya) 60,894,143 66,983,557 73,681,913 Total (Recurrent) Source: MOCDM

770,139,960

847,153,955 931,869,352

Table 20: MOCDM – Development Resource Requirements, 2006/07 - 2008/09 Programme/Activity General Administration and planning; Head quarters administrative services Cooperative Marketing Capacity Development of Management information system for the Ministry; Kenya – USAID project Provincial/District Cooperative Services: Construction of new offices and renovation of old offices Grants to Cooperative College of Kenya: Construction of Non residential Building (Seminar Centre), women’s' hostel and Construction of Water Supplies and sewerage TOTAL – D22 Source: MOCDM

Sub Resource Requirements (Kshs) Head Vote 2006/2007 2007/2008 2008/09 220 703 10,000,000 10,000,000 10,000,000 221 700 221 708/ 709

45,790,000 21,183,009

21,183,009

223 711 11,000,000 52,000,000 107,790,000

63,000,000 94,183,009

42,183,009

Table 21: MOCDM – Total Resource Requirements, 2006/07 - 2008/09

Description

Resource Requirements (Kshs) 2006/2007 2007/2008 770,139,960 847,153,955 107,790,000 94,183,009 877,929,960 941,336,964

Recurrent Development Grand Total MOCDM

2008/09 931,869,352 42,183,009 974,052,361

Source: MOCDM

6.2.4 Lands Table 22: MOL – Recurrent Resource Requirements, 2006/07 - 2008/09 Programme Personal Emoluments and related expenses (Whole Ministry) Administrative Support Services National land Policy and reform Programme Land Adjudication Programme Settlement programme Support Mapping Services Physical Planning Services Land Administration Programmes and service delivery Training Needs Assessment and capacity Building ICT support Services Programmes Planning, Coordination, Monitoring and Evaluations Total Recurrent

2006/07 887,000,000

Resource Requirements (Kshs) 2007/08 2008/09 893,000,000 900,000,000

165,000,000 20,000,000

168,000,000 20,000,000

172,000,000 20,000,000

70,000,000 67,000,000 86,000,000 46,000,000 113,000,000

72,000,000 70,000,000 89,000,000 49,000,000 114,000,000

74,000,000 82,000,000 93,000,000 53,000,000 118,000,000

3,000,000

4,000,000

3,000,000 3,800,000

3,000,000 4,100,000

3,000,000 4,200,000

1,463,800,000

1,486,100,000

1,523,200,000

Source: MOL Table 23: MOL – Development Resource Requirements, 2006/07 - 2008/09 Activity Modernization and Storage of land information Settlement Programme and provision of infrastructure

2008/09 50,000,000

200,000,000

3,000,000

2,000,000

25,000,000

30,000,000

Creation of National Spatial Data Infrastructure Upgrading of Survey Plant and Equipment

150,000,000

100,000,000

150,000,000

50,000,000

Construction of New office Block for national Cadastral Database and NSDI and Rehabilitation of District Registries

70,000,000

Integrated Land and Urban Sector Programme Provision of basic physical infrastructure settlement schemes

Resource Requirements (Kshs) 2006/2007 2007/2008 20,000,000 50,000,000

Preparation of Structure, Regional and other land use plan and standards

53,000,000

52,000,000

Capacity Building through Kenya Institute of Surveying and Mapping

104,000,000

107,000,000

Total Development

675,000,000

653,000,000

711,000,000

Source: MOL Table 24: MOL â&#x20AC;&#x201C; Total Resource Requirements, 2006/07 - 2008/09

Resource Requirements (Kshs) 2006/2007 2007/2008 2008/09

Description Recurrent Development Grand Total (MOL)

1,463,800,000

1,486,100,000

1,523,200,000

675,000,000

653,000,000

711,000,000

2,138,800,000

2,139,100,000

2,234,200,000

6.2.5 Environment and Natural Resources Table 25: MENR â&#x20AC;&#x201C; Recurrent Resource Requirements, 2006/07 - 2008/09 Head / Activity 210-670 Headquarters Administrative Services 210-749 Financial Management and procurement Services 210-885 Central Planning and Project Monitoring Unit 211-646 Forestry Research Institute 211-673 Headquarter Forestry Development 211-674 Forest Industrial Training Center Nakuru 211-675 Kenya Forestry College Londiani 211-676 Forestry and Plantation Development 211-678 Catchment and Natural Forest Conservation 211-679 Rural Afforestation Extension Scheme 211-681 Road Construction Unit 211-738Arid and Semi Arid Lands Forestry Development 211-748 Forestry Inspection and Protection Unit 212-690 Mines and Geological

Resource Requirements (Kshs) 2006/07 2007/08 213,266,389 365,000,000

2008/09 370,000,000

1,935,990

2,000,000

2,500,000

6,830,359

8,500,000.00

8,700,000.00

480,629,208

643,000,000

700,000,00

72,114,604

188,479,273

210,000,000

5,809,678

38,303,056

50,000,000

29,055,315

144,442,056

150,000,000

418,868,240.00

664,739,105.00

750,000,000

172,175,641.00

424,042,077.00

550,000,000

246,003,374.00

511,290,259.00

650,000,000

13,033,182.00 47,581,499.00

32,785,881.00 79,022,346.00

45,000,000 100,000,000

376,824,288.00

550,698,572.00

600,000,000

54,229,228.00

208,000,000.00

226,000,000.00

Department 212-691 Provincial Mines offices 212-692 Mineral Survey and Exploration 214-219 Department of Resource Survey and Remote Sensing 215-702Environmental Policy Analysis and Development 215-736 National Environment Management Authority 215-762 Public Complaints Committee 215-766 National Environment Tribunal TOTAL Source: MENR

33,973,798.00 99,126,580.00

62,197,757.00 266,000,000.00

72,723,046.00 287,000,000.00

99,305,165.00

295,601,545.00

322,689,396.00

4,299,750.00

6,500,000.00

301,707,179.00

655,683,000.00

721,251,300.00

19,624,500.00

55,000,000.00

60,000,000.00

16,537,500.00

30,000,000.00

33,000,000.00

2,712,931,467

5,231,284,927

5,216,063,742

Table 26: MENR â&#x20AC;&#x201C; Development Resource Requirements, 2006/07 - 2008/09 Head / Activity Resource requirements 2006/07 2007/08 2008/09 210-670 Headquarters Administrative 57,000,000 58,000,000 59,535,000 Services 210-698 Lake Victoria Environmental 42,000,000 94,500,000 99,225,000 Management Project Phase II 210-885 Central Planning and Project 17,100,000 17,955,000 18,852,750 Monitoring Unit 211-646 Forestry Research Institute 43,609,880 79,903,772 83,898,960 headquarters 211-672 Headquarters Forestry Development 22,555,000 51,324,000 53,890,200 211-675 Forest Training College, Londiani 1,500,000 1,575,000 1,653,750 211-681 Road Construction Unit 6,800,000 7,140,000 7,497,000 211-738 Arid and Semi Arid lands Forestry 17,000,000 50,702,688 53,237,822 Development 211-748 Forest Inspection and Patrol Unit 10,000,000 10,500,00 11,025,000 211-938 Soil Conservation and Afforestation 12,000,000 12,600,000 13,230,000 212-692 Mineral Survey and Exploration 66,693,850 70,693,938 75,728,634 214-219 Department of Resource Survey and 40,000,000 42,000,000 44,100,000 remote Sensing 215-611 Climate Change Enabling Activities 4,500,000 4,725,000 4,961,250 215-612 Institutional Strengthening Ozone 5,900,000 6,195,000 6,504,750 Depleting Substance Mgt. 215-702 Environmental Policy Analysis and 88,033,352 92,435,020 97,056,771 Development 215-736 National Environment Management 10,307,918 43,110,814 45,266,355 Authority TOTALS 445,000,000 632,870,732 675,663,242 Source: MENR

Table 27: MENR – Total Resource Requirements, 2006/07 - 2008/09 Resource Requirements (Kshs) 2006/2007 2007/2008 2008/09

Description Recurrent

2,712,931,467

5,231,284,927

5,216,063,742

445,000,000

632,870,732

675,663,242

3,157,931,467

5,864,155,659

5,891,726,984

Development Grand Total (MENR) Source: MENR

6.2.6 Regional Development Authorities Resource Requirements for Recurrent Budget The table below provides the resource requirements for Ministry headquarters and Regional Development Authorities including various activities undertaken by the Ministry. The Ministry will require Kshs 145,250,000 above the provided ceilings to assist in the formulation of the regional development, restructuring of the RDAs and for clearing backlogs related to statutory obligations.

Table 28: MRDA - Recurrent budget for the Ministry HQs SubVote

Head

SubVote 090 HQS

523 General Admin. Services

- General Management and Administration of the Ministry - Preparation of Cabinet Memorandum Policy Paper, Parliamentary Business - Coordination of the RDAs and other administrative issues - Coordinate personal matters, Human Resource capacity building

804 Planning & Policy Research

- Formulation review and analysis of the Ministry’s Development policy’s, preparation of MPER/M.T.E.F budget, coordination of programme and projects - Monitoring and evaluation of the Ministry’s Programmes and Projects - Coordination of the Mainstrip information web-page, computerization of Ministry’s functions

Activities

Resource Requirements (Kshs.) 2005/06

2006/07

2007/08

2008/09

97,390,939

116,023,433

123,725,906

137,108,780

12,508,466

13,768,578

16,606,241

17,954,811

573 Rural Dev. Services Coordinatio n

- Preparation of policies for RDAs - Liaison with the RDAs on management matters including finances - Coordinating annual accounts for RDAs - Handling of Audit issues coordinates resettlement of displaced persons and task forces

- Preparation of policies on 753 Conservatio environmental and Management - Promote partnerships with n networks with Private Sector, RDAs and Dev. partners to promote environmental conservation - Develop commercial forestry, agro forestry, and eco tourism programmes - Protection of fragile areas and endangered flora and fauna Total Sub-vote 090

12,328,984 11.,223,420

11,991,668

12,384,483

9,992,904

14,769,092

17,719,822

20,439,202

132,221,293

155,784,523

170,043,637

187,887,276

Source: MRDA Table 29: MRDAs - Recurrent Transfers To Regional Development Authorities 455

707

989

992

993

994

Kerio Valley Development Authority Grants to Kerio Development Authority Tana & Athi Rivers Dev. Authority Grants to Tana & Athi Rivers Development Lake Basin Dev. Authority Grants to Lake Basin Development Authority Ewaso Ng’iro South Dev. Authority Grants to Ewaso Ng’iro South Development Coast Dev. Authority Grants to Coast Development Authority Ewaso Ng’iro North Dev. Authority Grants to Ewaso Ng’iro North Development Total sub vote 093 Total R 09

Source: MRDA

2005/06

2006/07

2007/08

2008/09

89,977,711

95,977,711

97,977,711

110,000,000

127,607,532

132,607,532

135,000,000

145,000,000

104,356,381

109,356,381

110,000,000

129,845,000

19,892,712

24,892,712

27,142,592

35,652,518

36,314,904

41,314,904

43,200,000

48,615,000

25,066,237

29,066,237

64,636,060

56,000,000

403,215,477 535,436,770

433,215,477 589,000,000

477,956,363 648,000,000

525,112,724 713,000,000

The recurrent transfers to the RDAs comprise staff salaries and wages, operations & maintenance and plant and equipments. ENNDA is implementing Ewaso Ng’iro North Natural Resources Conservation project funded by ADB Resource Requirements for Development Activities All the projects and programmes indicated below are 100% GoK funded except for Ewaso Ng’iro North Natural Resource Conservation project which is funded by ADB /GoK and Coast Micro Enterprise project funded by USAID/GoK. Table 30: MRDA – Resource Requirements (Development Activities), 2006/07-2008/09

Authority / Head KVDA 455 TARDA 707 LBDA 989 ENSDA 992 CDA 993 ENNDA 994 Total Development D09

2006/07 75,035,000

Resource Requirements 2007/08 83,242,825

2008/09 85,870,120

91,000,000

140,000,000

165,700,000

38,045,000

45,117,250

54,668,200

42,380,000

51,410,500

53,166,250

83,540,000

110,220,600

120,320,600

462,000,000

749,080,000

935,680,000

792,000,000

1,179,071,175

1,415,405,170

Source: MRDA

Table 31: MRDA – Total Resource Requirements, 2006/07-2008/09

Description

Resource Requirements (Kshs) 2006/2007 2007/2008 2008/09

Recurrent

589,000,000

648,000,000

713,000,000

Development

792,000,000

1,179,071,175

1,415,405,170

1,381,000,000

1,827,071,175

2,128,405,170

Grand Total (MRDA) Source: MRDA

6.2.7 Additional Resource Requirements Ministry of Agriculture The following are new donor projects that are likely to be brought on board in 2006/07 when bilateral discussions are completed. Table 32: MOA – Proposed Donor Funded Programmes, 2006/07 - 2008/09 Current Projected Resource Requirements 2006/07 2005/06 2006/07

Priority Ranking Programme/Activity 1 Promoting Farmer Initiative through FFS (UNDP through FAO) 2

5,000,000

Integrated Rural Development Project in the Baringo Area Training in Farm Management and Marketing in Kenya-TCP FAO Development of Community Agriculture in ASAL Areas-JICA Small Holder Horticulture Empowerment ProjectJICA Grant Assistance for Under-privileged farmers-JICA Western Kenya Integrated Ecosystem Man. Project – WB HIV/AIDS studies to identify effective entry points for the Ministry Total

3 4 5 6 7 8

170,000,000

5,000,000

201,000,000 246,000,000

10,000,000

11,000,000

9,000,000

28,000,000

31,000,000 32,000,000

98,000,000 79,000,000

101,000,000 101,000,000 81,000,000 82,000,000

86,000,000

89,000,000 92,000,000

5,000,000 481,000,000

5,000,000 0 524,000,000 567,000,000

Source: MOA

Ministry of Environment and Natural Resources In addition to the above resource requirements on recurrent and development expenditures, the Ministry is proposing to start new programmes that are 100 per cent GoK funded. These new programmes are listed in the table below. Table 33: MENR – Resource Requirements (Development Budget - New 100% GoK) Priority Ranking 1 2 3 4 5 6 7

Head / Programme

Resource Requirements (Kshs) 2006/2007 2007/2008 2008/09 7,500,000 7,500,000 7,500,000 5,000,000 5,000,000 5,000,000 10,000,000 15,000,000 20,000,000 15,000,000 4,500,000 3,000,000 12,500,000 6,000,000 4,000,000 15,000,000 4,000,000 3,500,000 100,000,000 150,000,000 170,000,000 165,000,000

192,000,000

213,000,000

Ministry of Regional Development Authorities The Ministry has requested for additional Ksh. 145,250,000 over and above the provided ceiling of Ksh 589,000,000 to specifically address the following priority areas: • Formulation of a Regional Development Policy • Review all of six RDAS ACT • Restructuring and Rationalization of the Ministry and RDAs • To meet statutory obligations • GOK Contribution to Donor Projects. Table 34: MRDA – Additional Resource Requirements

licy formulation eview all of six RDAS ACT stitutional reforms and restructuring: MRDA RDAS otal

2006/07 30,000,000 25,000,000

2007/08 20,000,000 25,000,000

2008/09 10,000,000 10,000,000

20,000,000 15,000,0000 10,000,000 5,000,000 300,000,000 150,000,000 80,000,000 300,060,000 180,000,000

The Ministry requires additional funding to meet its statutory obligations outstanding in 2005/06 to pay, for example, PAYE, NSSF, Pension, hold statutory board meetings. This is as indicated in the table below. : MRDA – Actual RDAs Underfunding on Statutory Obligations - 2005/06

Authority LBDA KVDA ENSDA TARDA CDA Total Ksh

Salaries & Wages 0 10,894,956 1,657,500 25,992,468 0 38,544,924

2%Annual Board Increment Expenses 0 4,500,000 2,019,453 4,500,000 430,404 4,500,000 3,072,000 4,500,000 711,772 4,500,000 6,233,629 22,500,000

Statutory Deductions/ Other Arrears Total Ksh 1,876,640 6,376,640 2,578,289.40 19,992,698 4,209,576 10,797,480 51,918,027.70 85,482,496 16,084,368 21,296,140 76,666,901 143,945,454

To meet these commitments, the Ministry will require Kshs. 70 million in 2006/07 and Kshs. 73,945,4454 million in 2007/08 Financial Years respectively.

7.0 CONCLUSIONS AND WAY FORWARD The Agriculture and Rural Development (ARD) Sector plays a crucial role in Kenya’s economic growth and development. In line with the ERS, the Strategy for Revitalizing Agriculture was formulated in 2004 with the vision of transforming the country’s agriculture into a profitable, commercially oriented and internationally competitive economic activity. 43

The Strategy aims at addressing the challenges facing agriculture in order to boost incomes and employment opportunities for the rural dwellers who constitute the majority of the Kenyan population. Other strategies have also been formulated to address the various subsectors within the ARD Sector. The Sector utilized 84.28 per cent of the resources allocated in 2003/04 and 73.75 per cent in 2004/05. This is mainly attributable to delays in Exchequer releases for planned activities and the slow procurement procedures. There was also lack of capacity in the field stations to spend the allocated amounts due to various reasons. There is also a huge amount of pending bills that need to be cleared before embarking on the programmes that have been planned for the MTEF period. As at 31st December 2005, the total pending bills for the Sector amounted to Kshs 1,104,512,213.70 (see Annex IV). The budget for the ARD Sector is as per the Sector and Ministerial ceilings outlined in the Budget Outlook Paper for 2006/07 to 2008/09. However, some ministries have requested for additional funding to cover some new core poverty projects. The whole sector will require Ksh 23,686,561,550 to finance its planned activities in 2006/07. This figure is expected to Ksh 28,926,943,151 in 2007/08 before rising further to Ksh 30,272,250,539 in 2008/09. 7.1 The Way Forward for the ARD Sector The Sector will continue to play a critical role in the economic recovery of the country. It will also continue reforms towards: ¾ Revitalizing agriculture for food security ¾ Revitalizing the cooperative movement to continue to mobilize domestic savings and streamlining the marketing function in the sector; ¾ Revamping the livestock industry ¾ Developing the fisheries industry ¾ Developing forestry and mining ¾ Reforming land management system ¾ Protection, conservation and management of the environment and natural resources ¾ Revitalizing Regional Development Authorities

ANNEX I: CORE POVERTY PROGRAMMES 1. Agriculture The Ministry has the following core poverty programmes: • Agricultural Technology Development. • Extension, Research Liaison & TT Services • Farmers Training Centres • Agricultural Research • Land and Crop Development • Food Security & Management Programme Table 35: MOA – Proposed Allocations to Core Poverty Programmes (Kshs) HEAD PROGRAMME/ACTIVITY 202 Agric. Dep’t Technical Services 229 Agricultural Technology Development Testing Stations 255 HQs Extension, Research Liaison & TT Services 260 FTCs 638 Provincial Agric Extension Services 639 District Agric Extension Services 661 Sericulture Stations – Thika 759 KARI

2006/2007 55,569,304

2007/08 52,181,464

2008/09 48,140,000

43,193,852 44,714,477 141,565,872 146,475,789 90,367,912 93,226,087 124,899,147 127,610,476 2,665,124,781 2,705,352,661 59,525,450 60,810,050

49,185,924 151,623,142 96,209,322 130,441,180 2,747,063,241 63,158,000

1,551,406,500 1,628,976,825

1,628,976,825

235 HQs Land and Crop Development Services

519,809,709

585,754,003

644,340,403

502 Food Security & Management Programme (NMK)

148,601,000

150,458,000

153,140,000

Total Proportion Allocated to Core Poverty Programmes (%) Source: MOA.

5,400,063,527 5,595,579,832 5,712,278,037 77.16

2 Livestock and Fisheries There are four core poverty programmes in the Sub-sector, namely;

Livestock Extension services; Disease and pest control; Development of veterinary and animal improvement farms; and, Fisheries development.

77.27

77.15

Table 36: MOLFD – Proposed Allocations to Core Poverty Programmes Both Recurrent and Development (Kshs)

HEAD 532 &534 477 448 490 &266

PROGRAMME/ACTIVITY Fisheries Development

Livestock Extension Services Disease &Pest Control Development of veterinary farms and animal improvement farms TOTAL Source: MOLFD

2006/07 450,000,000

2007/08 495,000,000

2008/09 544,500,000

190,953,838 370,172,854 72,083,853

210,049,222 407,190,139 79,292,238

231,054,144 447,909,153 87,221,462

1,083,210,545

1,191,531,599

1,310,684,759

3 Cooperatives The sub-sector has the following core poverty programmes; •

•

Provincial and District Cooperative Management Services; this relates to delivery of cooperative extension services, implementation of legal and institutional reforms, Coordination of Cooperative training programmes, implementation of cooperatives programmes and projects, Provision of guidance on implementation of Cooperative Societies Act and subsidiary legislation and overseeing cooperative activities Cooperative Marketing Services; this relates to market research and development, conducting commodity baseline studies and market surveys, market data analysis and information management plus promotion of cooperative ventures and value addition processing; and Corporate governance of cooperatives; this relates to improvement of corporate governance of cooperatives and forestalling prudential standards and best practices in cooperatives management besides sensitising cooperative societies on their ethics code of conduct.

Allocations to core poverty programmes are comparably very low as indicated in the table below. Table 37: MOCDM – Proposed Allocations to Core Poverty Programmes HEAD PROGRAMME/ACTIVITY 700 Cooperative Marketing and Research; Collecting Marketing Marketing: Data; Analysis of the data and dissemination; Services Promotion of Cooperatives to viable Commercial enterprises to provide value adding, farm inputs & credit services to producers 673 Cooperative Administration of Ethic Commission for Governance and Cooperative Governance; Improvement in the Ethics: corporate, Governance of cooperatives Coordination of training programme/activities & 708 Provincial implementing of Cooperative Projects; Cooperatives Overseeing Management the implementation of Co-operative Societies Act Services:

2006/2007

2007/08

2008/09

10,794,256

12,713,116

14,840,650

7,801,627

9,309,551

10,982,822

23,186,393

27,751,508

32,818,063

709 District Cooperatives Management Services:

Training of Co-operators, Implementing Cooperative Development Projects; Provide guidance in Implementation of Co-operative Societies Act; Monitoring Cooperative activities; Monitoring Cooperative livestock activities Total – R22 Source: MOCDM

100,446,021 122,153,625 146,265,249 142,228,297 171,927,800 204,906,784

4 Environment and Natural Resources The sub-sector has the following core poverty programmes: • • •

Protection, Conservation and Rehabilitation of Water Catchments and Natural Forest areas; Accelerated development of the Mining industry; and Environmental Conservation and Sustainable Management of Natural Resources

Table 38: MENR Proposed Allocations to Core Poverty Programmes (Recurrent) Programme/Project

Protection, Forestry and Plantation Conservation and Development Rehabilitation of Catchments and Natural Water Catchments and Forests Conservation Natural Forest areas Rural Afforestation Extension Schemes Arid and Semi Arid Lands Forestry Development Mineral Development Accelerated development of the Mining industry Environmental Environmental Policy Conservation and Analysis and Sustainable Development Management of National Environmental Natural Resources Management Authority (NEMA) Public Complaints Committee (PCC) National Environmental Tribunal (NET) Total Recurrent Grand Total Expenditure

Proposed Allocations (Kshs) 2006/07

2007/08

2008/09

490,982,844

853,218,378

960,000,000

172,175,641

424,042,077

550,000,000

246,003,374

511,290,259

650,000,000

47,581,499

79,022,346

100,000,000

187,329,606

348,997,757

585,723,046

4,299,750

6,500,000

301,707,179

655,683,000

721,251,300

19,624,500

55,000,000

60,000,000

16,537,500

30,000,000

33,000,000

1,486,241,893

2,963,753,817

3,666,474,346

Table 39: MENR – Proposed Allocations to Core Poverty Programmes (Development) Programme/Project

Protection, Conservation and Rehabilitation of Water Catchments and Natural Forest areas

Accelerated development of the Mining industry Environmental Conservation and Sustainable Management of Natural Resources Total Recurrent Expenditure

Proposed Allocations (Kshs) 2006/07

2007/08

2008/09

Forestry and Plantation Development Catchments and Natural Forests Conservation Rural Afforestation Extension Schemes Mineral Development

22,555,000

51,324,000

53,890,200

17,000,000

50,702,688

53,237,822

12,000,000

12,600,000

13,230,000

66,693,850

70,693,938

75,728,634

Environmental Policy Analysis and Development Grand Total

88,033,352

92,435,020

97,056,771

206,282,202

277,755,646

293,143,427

5 Lands The main core poverty programme in the Ministry is acquisition of land for agricultural settlement for allocation to the poor. This is achieved as reflected in the Settlement Programme where in the absence of Government land, private land is identified, purchased, planned and subdivided, allocated for settlement purposes. Table 40: MOL - Proposed Allocations to Core Poverty Programmes Project Name

State-land and Shirika Conventional Settlement Schemes Purchase of farms

Objectives

Proper management of settlement schemes To Settle poor landless Kenyans

Funding Agency

Status

Total Costs (Kshs) To Completion

2006/07

2007/08

2008/09

Proposed Allocations (Kshs)

GOK

Continuo us

50,000,000

42,519,133

19,547,540

19,784,173

Donor

Continuo us

600,000,000

200,000,000

650,000,000

242,519,133

219,547,540

219,784,173

Total Cost

6 Regional Development Authorities The Ministry has four core poverty programmes that contribute to employment and wealth creation within the river basins. These include: • Catchments and River basin Areas Conservation and Protection Services in sustaining biodiversity and water regulation and supplies to support socio-economic development including: agriculture, hydro-power generation, tourism, health, shelter (construction industry) • Dry lands (ASALs) Resources Development Program Services in mitigating drought and promoting food security through support to: pastoralists livelihoods; conservation, 48

•

marketing access and promotion of dry land plants and products; and minerals exploitation. Multi-purpose Integrated Resources Development Services that support socioeconomic and environmental development through Multi-purpose Dams for floods control and management, Hydro-power generation, irrigation, domestic and livestock water supplies, ecotourism etc Rural Micro-enterprises Development and Marketing Support Services to promote appropriate technologies and market certification in developing cottage industries and other income generating activities. Table 41: MRDA – Proposed allocations to core poverty programmes

Head

Programmes/activities

455 (KVDA)

Catchments and River basin Areas Conservation and Protection Services • Catchment conservation, rehabilitation & maintenance. • Upper turkwel catchments conservation and dam monitoring. Rural Micro-enterprises Development and Marketing Support Services • Wei Wei Project Arror/Kinyech • Arror Kinyench • Chemeron Project • TOT Project Total KVDA Catchments and River basin Areas Conservation and Protection Services • Athi & Tana catchment rehabilitation Rural Micro-enterprises Development and Marketing Support Services. • Masinga, Kibwezi Kiambere • Tana Delta Rice Irrigation Project

707 (TARDA)

• Tana Delta Sugar integrated irrigation project

989 (LBDA)

• Tanantu valley project. • Kitui Honey Refinery • Livestock development & marketing • High grand falls • Kiambere Mwingi Project. Total TARDA Catchments and River basin Areas Conservation and Protection Services Catchment conservation and rehabilitation

2007/08

2008/09

3,860,000

4,053,000

4,255,650

45,000,000

250,000 3,130,000 729,600 1,930,000 54,899,600

992,750 3,286,500 4,282,300 2,800,000 62,414,550

1,092,025 3,450,825 4,710530 3,200,000 58,258,205

265,000,000

110,000,000

105,000,000

203,000,000 5,000,000

393,000,000 165,000,000

678,000,000

2,000,000

10,000,000,000

10,000,000 13,990,000,000

57,700,000 10,000,000 8,000,000 50,000,000 1,600,000 601,600,000

30,000,000 10,000,000 300,000,000 80,000,000 2,000,000 11,090,000,000

27,000,000 10,000,000 20,000,000 150,000,000 2,000,000 16,990,000,000

1,500,000

1,575,000

6,653,750

Rural Micro-enterprises Development and Marketing Support Services. • Kimira Oluch small development project

6,000,000

6,300,000

6,615,000

• Fisheries development • Crop production • Livestock/agricultural development

2,000,000 4,000,000 3,200,000

2,100,000 4,200,000

2,205,000 4,410,000 3,528,000

2,000,000 18,700,000

210,000 17,745,000

• Honey production Total (LDBA)

2006/07

3,360,000

220,500 23,632,250

993 (CDA)

Catchments and River basin Areas Conservation and Protection Services • Catchment conservation and rehabilitation • Trans-boundary integrated water resources management programmes Rural Micro-enterprises Development and Marketing Support Services • Livestock development • Fisheries development. • Minor irrigation. • Tree crop project. • Integrated coastal area management (ICAM)

994 (ENNDA)

992 (ENSDA)

• Coastal Micro enterprise development programme. • Africa indigenous vegetables. Total (CDA) Catchments and River basin Areas Conservation and Protection Services • Ewaso Ngiro North River Catchment conservation and water resources management programme. • Catchment conservation programme • Ewaso Ngiro North natural resource conservation project Rural Micro-enterprises Development and Marketing Support Services. • Livestock development • Minor irrigation • Agricultural improvement programme • Small and medium enterprises Multi-purpose Integrated Resources Development Services. • Isiolo Abattoir • Refugee impact mitigation programme Dry lands (ASAL) Resources Development Program Services. • ASAL research & training centre project Total (ENNDA) Catchments and River basin Areas Conservation and Protection Services • Catchment conservation programme Multi-purpose Integrated Resources Development Services. • Integrated development programme • Water supply and development • Irrigation development and management • Horticultural development Total (ENSSA) Grand total

Source: MRDA

1,134,750

1,514,891

2,900,000

5,000,000

2,000,000

5,000,000

4,757,450 4,758,450 4,444,130 4,758,540 11,075,600

2,670,000 2,599,120 6,267,940 2,670,000

3,564,450 3,564,450 8,702,664 3,564,450 11,075,600

10,000,000

11,075,600 25,000,000

10,000,000

4,100,000 50,028,920

4,100,000 57,897,551

4,100,000 52,471,614

4,000,000

9,500,000

4,200,000

12,000,000

23,000,000

17,000,000

598,000,000

543,000,000

622,000,000

23,000,000 8,702,664 8,900,000 211,780,000

6,950,000 4,444,130 10,480,000 232,880,000

23,000,000 6,267,940 8.900,000 211,780,000

56,000,000 150,000,000

300,000,000 150,000,000

120,000,000 1,192,382,664

120,000,000 1,400,254,130

120,000,000 1,463,147,940

8,700,000

8,000,000

4,100,000

10,000,000 11,750,000 1,000,000 5,000,000 36,450,000 1,954,761,184

25,000,000 9,830,000 500,000 4,500,000 47,830,000 12,674,141,231

23,000,000 11,900,000 500,000 5,500,000 45,000,000 16,634,510,009

ANNEX II: LIST OF STATE CORPORATIONS AND PROPOSED ALLOCATION TO THEM 1. Agriculture The Ministry has 26 parastatals that are grouped into five broad categories, namely: •

Financial Corporation (1) o Agricultural Finance Corporation

•

Commercial/Manufacturing Corporations (9) o Agrochemical & Food Company Limited o Sony Sugar Company o Busia Sugar Company o Nzoia Sugar Company o Chemelil Sugar Company o Mumias Sugar Company o Kenya Seed Company o Pyrethrum Board of Kenya o National Cereals and Produce Board

•

Service Corporation (3) o Agricultural Society of Kenya o Agricultural Development Corporation o Central Agricultural Board

•

Regulatory Corporation (9) o Coffee Board of Kenya o Tea Board of Kenya o Horticultural Crops Development Authority o Kenya Sisal Board o Cotton Board of Kenya o Kenya Sugar Board o Kenya Plant Health Inspectorate Service o Pest Control Products Board o National Tea Zones Development Corporation

•

Research and Training Corporation (4) o Coffee Research Foundation o Tea Research Foundation o Kenya Agricultural Research Institute o Kenya Sugar Research Foundation

However, only a few of these receive funding from the Treasury as indicated in the table below.

Table 42: MOA – Proposed Transfers to State Corporations, 2006/07 – 2008/09 State Corporation Kenya Agricultural Research Institute PCPB KEPHIS Total for State Corporations Source: MOA

Proposed Allocations (Ksh) 2006/07 2007/08 2008/09 1,551,406,500 1,628,976,825 23,187,461 24,346,834 88,352,322 90,419,939 1,662,946,283 1,743,743,598

1,628,976,825 25,360,000 92,520,000 1,746,856,825

2. Livestock and Fisheries Development The following is the list of state corporations in the Ministry of Livestock and Fisheries Development: • • • •

Kenya Marine Fisheries Research Institute (KEMFRI) Kenya Dairy Board (KDB) Central Artificial Insemination Service (CAIS) Kenya Meat Commission (KMC)

Table 43: MOLFD – Proposed Transfers to State Corporations, 2006/07 – 2008/09 State Corporation KEMFRI KDB CAIS KMC TOTAL Source: MOLFD

2006/07 308,819,336 20,320,950 15,546,194 120,000,000 464,686,480

Proposed Allocations (Kshs) 2007/08 2008/09 308,819,336 308,819,336 20,320,950 20,320,950 15,546,194 15,546,194 120,000,000 120,000,000 464,686,480 464,686,480

3. Cooperatives Development and Marketing The Ministry has two state corporations, namely: The Cooperative College of Kenya and the New KCC Ltd that was recently acquired by Government on transitory arrangement. However, it is only the Cooperative College of Kenya that is supported through the GoK budget under the Ministry. The Ministry proposes to allocate the amounts indicated below to the college for the period 2006/07 to 2008/09 Table 44: MOCDM – Proposed Transfers to State Corporations, 2006/07 – 2008/09 State Corporation: Cooperative College of Kenya Recurrent Development Total Source: MOCDM

Proposed Allocations (Kshs) 2006/07 2007/08 60,894,143 66,983,557 52,000,000 63,000,000 112,894,143 129,983,557

2008/09 73,681,913 11,000,000 84,681,913

4. Lands The Ministry has no State Corporation attached to it. 5. Environment and Natural Resources There are two state corporations under the Ministry, namely: the National Environment Management Authority (NEMA), and the Kenya Forestry Research Institute (KEFRI). Below are the resource requirements for the two corporations for 2006/07 – 2008/09. Table 45: MENR – Proposed Transfers to State Corporations, 2006/07 – 2008/09 Head / Corporation 215-736 NEMA

211-646 Forestry Research Institute Headquarters

Activities Support to District Environmental Management Programme

Improvement of KEFRI Research and outstations

Proposed Allocations (Kshs) 2006/07 2007/08 2008/09 10,307,918.00 43,110,814.00 45,266,355.00

43,609,880.00

79,903,772.00

83,898,960.00

53,917,798.00

123,014,586.00

129,165,315.00

Forestry Research Environmental Project (FORREMS) Arid and semi-arid project (ARIDSAK) Agro forestry network for Eastern and Central Africa (AFRENA) Acacia Operation Support to Food Security Poverty Alleviation Tree seed Technology Improvement `Information Dissemination Strengthening the production and quality control of gums and resins Management and Control of prosopis

Total Source: MENR

6. Regional Development Authorities There are six Regional Development Authorities under the Ministry. They are: a) Kerio Valley Development Authority b) Tana & Athi Rivers Dev. Authority c) Lake Basin Dev. Authority d) Ewaso Ng’iro South Dev. Authority e) Coast Dev. Authority f) Ewaso Ng’iro North Dev. Authority The tables below show the proposed allocations to the RDAs for both recurrent and development expenditures.

Table 46: MRDA – Proposed Transfers to State Corporations (Recurrent), 2006/07 – 2008/09 Head

Authority 2006/07

455

707

989

992

993

994

Total sub vote 093 Source: MRDA

Proposed Allocations (Kshs) 2007/08 2008/09

95,977,711

97,977,711

110,000,000

132,607,532

135,000,000

145,000,000

109,356,381

110,000,000

129,845,000

24,892,712

27,142,592

35,652,518

41,314,904

43,200,000

48,615,000

29,066,237

64,636,060

56,000,000

433,215,477

477,956,363

525,112,724

Table 47: MRDA – Proposed Transfers to State Corporations (Development), 2006/07 – 2008/09 Head

Proposed Allocations 2007/08 83,242,825

2008/09 85,870,120

455

KVDA

2006/07 75,035,000

707

TARDA

91,000,000

140,000,000

165,700,000

989

LBDA

38,045,000

45,117,250

54,668,200

992

ENSDA

42,380,000

51,410,500

53,166,250

993

CDA

83,540,000

110,220,600

120,320,600

994

ENNDA

462,000,000

749,080,000

935,680,000

Total

792,000,000

1,179,071,175

1,415,405,170

Source: MRDA

Authority

ANNEX III: LIST OF DEVELOPMENT PROJECTS AND PROPOSED ALLOCATION 1. Agriculture Table 48: MOA – Development Projects and Proposed Allocations Head

Activities

190 198 229 247 258 259 260 261 225 237 502 759 760 761 763 764 765 246

HQs Admin & Planning Serv Dev't Planning Services (ASCU) Agric Technology Dev. Stations Land Dev. and Machinery Services Embu Agric. Staff Training College Bukura Agric. College FTCs Kilifi Inst. Of Agriculture Integrated Dev. Progr. (ASPS) Hort Crop Prod Services Food Security programme (KSPFS) KARI (KAPP included) Soil & Water Mgt Research National Hort Research Prog. Veterinary Research Range and Arid Land Research Animal Prod Research National Agriculture and Livestock Extension Programme (NALEP) National Extension Project LVEMP

271 698 190

Status Ongoing Ongoing Ongoing Ongoing Ongoing Ongoing 5% 5% 1% 61% 2.5% 25%

2.5%

Construction of Kilimo House Annex

190

98% 0%

260,017,972 141,780,000 257,029,213

287,022,258 144,615,600 258,828,418

500,000,000

200,000,000

250,000,000

185,000,000

5,579,964,539

5,432,576,072

5,505,403,953

0% Construction of KESREF office

246

Resource Requirements (Kshs) 2006/07 2007/08 2008/09 25,540,000 0 0 27,280,000 30,008,000 32,540,000 16,386,677 21,651,611 21,458,000 419,997,390 423,086,265 422,086,265 16,885,000 17,229,250 7,229,250 26,000,000 26,800,000 16,800,000 591,160,000 594,383,200 594,383,200 11,890,000 11,984,500 1,984,500 317,814,763 326,360,508 327,850,000 267,192,706 619,969,450 619,969,450 730,964,080 732,512,284 732,512,284 1,239,424,479 1,264,212,968 1,564,212,968 13,885,300 14,499,950 14,499,950 171,644,384 161,312,600 161,312,600 46,045,891 48,665,686 48,665,686 5,826,608 5,415,897 5,415,897 58,200,076 59,017,627 59,017,627

NALEP, GoK – construction of offices in districts and locations

Total Source: MOA

2. Livestock and Fisheries Development Table 49: MOLFD (Livestock Production Department) – Development Projects and Proposed Allocations Sub-Vote191 Head ACTIVITIES

Proposed Allocations (Ksh) 2006/07

631 Monitoring and Evaluation of projects and programmes 224 Coordination and management of extension activities at the Province

232 Delivery and supervision of livestock extension services 266 Maintenance and management of livestock improvement farms

2007/08

2008/09

6,280,000

6,579,600

5,680,000

24,910,377

35,954,104

32,560,000

224,291,569

276,791,978

281,000,000

32,840,000

23,738,800

21,000,000

280 Monitoring of food security

26,420,000

76,869,400

76,830,000

291 Strengthening quality control for honey

35,202,340

35,566,504

34,356,00

407 Maintenance and commercialization of Animal production farms

21,770,000

20,593,900

18,000,000

408 Coordination of rural dairy services.

26,566,435

27,026,085

20,560,000

451 Coordination and Management of range areas and resources

16,261,352

15,559,647

15,560,000

462 Human resource development

4,815,000

5,152,050

6,420,000

463 Training of pastoralists at Narok P.T.C

4,926,000

4,060,820

3,820,000

465 Training of pastoralists at Griftu P.T.C

3 ,926,535

3,061,392

466 Training of pastoralists at Isiolo Mobile P.T.U

2,785,557

2,910,546

3,236,000

26,050,000

27,173,500

24,230,000

4,350,620

4,560,000

473 Dairy Training School â&#x20AC;&#x201C; Naivasha 474 Livestock Sector Information Support Services

4,066,000

477 Coordination of Livestock Extension activities.

4,066,000

4,350,620

4,420,000

478 Quality control of livestock feeds, breeds, produce, products and inputs

3,424,000

3,663,680

3,556,000

543 Coordination of beekeeping services and promotion of honey refineries.

3,852,000

4,121,640

4,060,450

10,800,000

1,360,000,000

1,500,000,000

430,678,591

245,093,534

255,572,262

51,815,563

110,755,448

72,838,708

1,848,041,518

2,458,793,740

National Dairy Development Project 424 491 Smallholder Dairy Commercialization Programme 491 ASAL Based Rural Livelihoods Project

Total

2,691,573,114

Source: MOLFD Table 50: MOLFD (Veterinary Services Department) â&#x20AC;&#x201C; Development Projects and Proposed Allocations Sub vote 193 Head

Activity

445 & 446

Meat Inspection and Hides and Skins Improvement

481 & 549

Veterinary Laboratory Services

2006/07 146,631,872

2007/08

2008/09

151,589,608 207,340,234 58,999,875

57,105,148 467, 468, 471 & 472

87,105,148

85,054,387

290

Training institutions. AHITI-Ndomba Nyahururu Kabete and MTI Athi River Artificial Insemination Services

98,340,590

45,813,586

66,629,017

55,813,586

426

Tick Control Services

54,983,417

56,859,251

64,983,417

145,054,387

447

Tsetse & Trypanosomes Control

431, 432, 437, 448, 551, 552 & 553 Total

Livestock Diseases Control (strengthening Animal Health Delivery Systems)

30,471,983

781,442,245

41,805,183

881,442,245

796,394,164

1,211,502,638

106,471,983

1,280,617,688

1,548,211,000

Source: MOLFD Table 51: MOLFD (Fisheries Department) â&#x20AC;&#x201C; Development Projects and Proposed Allocations Head 534 532 533

Activity Improvement of landing sites Fish quality assurance Monitoring Control &Surveillance (MCS) Fish farming development

Sub vote 192 2006/07 314,000,000 117,500,000 423,800,000

2007/08 206,000,000 121,499,000 509,600,000

2008/09 326,374,960 181,499,000 396,225,040

43,500,000 898,800,000

73,875,960 910,974,960

113,875,960 1,017,974,960

537 Total Source: MOLFD

3. Cooperatives Development and Marketing Table 52: MOCDM â&#x20AC;&#x201C; Development Projects and Proposed Allocations DISTRICT

2004/5

2005/6

2006/7

TOTAL COST

1,542,795.00

572,000.00

2,114,795.00

750,000.00

1,500,000.00

Renovation of Office Buildings; Malindi

Construction of Office Buildings Non Residential; Moyale

Construction of Office Buildings Non Residential; Nyeri

1,500,000.00

1,200,000.00

2,700,000.00

Construction of Office Buildings Non Residential Tharaka

1,000,000.00

500,000.00

1,500,000.00

5. 6.

Construction of Office Buildings Non Residential Siaya Construction of Office Buildings Non Residential Rachuonyo

2,500,000.00

1,200,000.00

900,000.00

2,100,000.00

Construction of Office Buildings Non Residential Gucha

1,930,000.00

Construction of Office Buildings Non Residential Koibatek

2,500,000.00

9. 10.

Construction of Office Buildings Non Residential Marakwet Construction of Office Buildings Non Residential Trans Mara

1,010,000.00

1,000,000.00

1,400,000.00

1,600,000.00

3,000,000.00

4,600,000.00

11. 12.

(Renovation of office building)Tana River Construction of Office Buildings Non Residential PCO North Eastern Province

13.

Construction of Office Buildings Non Residential Ijara

1,500,000.00

100,000.00

1,600,000.00

14.

Construction of Office Buildings Non Residential Teso

3,000,000.00

15.

(Renovation of office building)Butere Mumias

750,000.00

16.

Construction of Office Buildings Non Residential Bondo

1,200,000.00

400,000.00

530,000.00

2,130,000.00

17.

Construction of Office Buildings Non Residential Laikipia

1,150,000.00 1,500,000.00

183,000.00

2,833,000.00

18. 19.

Rehabilitation of office building: Nandi North Construction of Office Buildings Non Residential Nandi South

1,000,000.00

2,500,000.00

3,500,000.00

2,250,000.00

833,280.00

750,000.00

1,583,280.00

20.

(Renovation of office building)Kitui

21.

(Renovation of office building)PCO Nyanza

600,000.00

22.

(Renovation of office building)Kiambu

551,733.00

23.

(Renovation of office building)Thika

800,000.00

24.

(Renovation of office building)Turkana

300,000.00

25.

(Renovation of office building)PCO Coast

5,000,000.00

26.

(Renovation of office building)PCO Rift valley

1,000,000.00

27.

(Renovation of office building)Kakamega

500,000.00

28.

(Renovation of office building)Bungoma

2,660,000.00

29.

(Renovation of office building)Vihiga

1,500,000.00

500,000.00

2,000,000.00

30.

(Renovation of office building)Isiolo

31.

Construction of Office Buildings Non Residential Suba

32.

Construction of Office Buildings Non Residential Kericho

33.

Construction of Office Building Non Residential Mbeere

2,500,000.00

34. 35.

Construction of Office Building Non Residential Kwale Headquarters. General Planning & Administration Services(Renovation of office building)1 Cooperative College of Kenya Development Projects

1,052,000.00

36.

TOTAL

500,000.00

1,209,060.00

1,300,000.00

557,868.00

1,857,868.00

10,000,000.00 28,000,000.00

10,000,000.00 23,029,991.00

25,000,000.00 45,000,000.00 52,000,000.00 103,029,991.00

54,252,795.00

51,411,932.00 106,997,000.00 212,661,727.00

Source: MOCDM

4. Lands Table 53: MOL â&#x20AC;&#x201C; Development Projects and Proposed Allocations Activities

Proposed Allocations (Ksh) 2006/2007

2007/2008

2008/09

20,000,000

50,000,000

Settlement Programme and provision of infrastructure 200,000,000

200,000,000

Integrated Land and Urban Sector Programmme

2,000,000

Provision of basic physical infrastructure settlement 25,000,000 schemes

25,000,000

30,000,000

Creation of National Spatial Data Infrastructure

150,000,000

100,000,000

150,000,000

Upgrading of Survey Plant and Equipment

50,000,000

Construction of New office Block for national 70,000,000 Cadastral Database and NSDI and Rehabilitation of District Registries Preparation of Structure, Regional and other land use 53,000,000 plan and standards Capacity Building through Kenya Institute of 104,000,000 Surveying and Mapping

70,000,000

52,000,000

104,000,000

107,000,000

Total Development

653,000,000

711,000,000

Modernization and Storage of land information

3,000,000

675,000,000

Source: MOL 1

Provisional Kshs. 15,000,000 is made in respect of construction of Prefab Offices for the new districts

5. Environment and Natural Resources Table 54: MENR â&#x20AC;&#x201C; Development Projects and Proposed Allocations Head 210-670 Headquarters Administrative services 210-698 Lake Victoria Environmental Management Project 210-885 Central Planning and Project Monitoring Unit

211-646 Forestry Research Institute Headquarters

672-265 Mt. Elgon Forest Conservation Development Project 672-National Facility Programme 672-283 ArabukoSokoke Forest Conservation and Management 672-285 Aberdare Forest Resource and Wildlife 672-286 Forest Rehabilitation Environmental Management Strengthening 672-400 Construction of Building NonResidential 672-301 Information Communication Technology Capacity 675-400 Construction of Building Non-residential 681-430 Construction of Bridges, Ferries and Jetties 738 â&#x20AC;&#x201C; 288 Drylands Forest Resource Conservation and Management 738-299 Intensified Social Forestry Project in semi-Arid lands

Activities Co-ordination of NEPAD Environment Activities Contributions to EAC Secretariat Implementation of LVEMP II

Proposed Allocations (Ksh) 2006/07 2007/08 2008/09 57,000,000 58,000,000.00 59,535,000 42,000,000

94,500,000.00

99,225,000

Data collection and Information dissemination on Water Weeds in the country Capacity building for officers involved in management of information and data. Developing Community Action Plans Improvement of KEFRI Research and outstations Forestry Research Environmental Project (FORREMS) Arid and semi-arid project (ARIDSAK) Agro forestry network for Eastern and Central Africa (AFRENA) Acacia Operation Support to Food Security Poverty Alleviation Tree seed Technology Improvement `Information Dissemination Strengthening the production and quality control of gums and resins Management and Control of prosopis

17,100,000

17,955,000.00

18,852,750

43,609,880

79,903,772.00

83,898,960

22,555,000

51,324,000

53,890,200

1,500,000

1,575,000

1,653,750

6,800.000

7,140,000

7,497,000

17,000,000

50,702,688

53,237,822

- Rehabilitation of Degraded sites - Boundary realignment - Sensitizing the community - Fence construction within the forest boundary - Tree planting and rehabilitation of sites - Forest Guards training and Forest Policing - Promote agro forestry - Develop, guidelines and plans for participatory for management - Staff training and support to operation - To complete 4 district offices - Commence construction of KFS headquarters and renovation of district and conservancy offices - Establishment of database for Forest Department - Establishment of GIS database To renovate dormitories and convert them to barracks for paramilitary training of forest guards. Rehabilitation of forest roads for better access

Research studies Reforestation Dryland development Baseline survey Prepare Forest Extension guidelines Training of staff and farmers on better forestry

211-748 Forest Inspection Patrol Unit 938-261 Rehabilitation of Degraded sites in Turkana District 938-262 Development of Conservation and Demonstration Plots 212-692 Mineral Survey and Exploration

214-219 Department of Resource Survey and Remote Sensing 215-611 Climate Change enabling activities 215- 612 Institutional Strengthening to Management of Ozone Depleting Substances 215-702 Environment management and Protection 215-736 NEMA

management techniques Facilitate network among farmers Identify appropriate indigenous knowledge Training of Forest Guards, provision of uniforms, firearms and General Patrol of the Forest Community Training and Sensitisation on Environmental conservation Establishment of wood lots Rehabilitation of Turkwell river bank Support to Community Action Plan Rehabilitation of tree nurseries Woodlots establishment -Review and enactment of New Minerals and Mining Law - Carry out geological surveys and Mineral exploration in Western, Eastern, Rift Valley and Coast Provinces Modernize Deptâ&#x20AC;&#x2122;s laboratories Set up GIS-based Geoscientific database Rehabilitate disused Mines and Quarries Rehabilitate Madini House Conduct Geohazard mapping in Areas prone to geohazard in Central Kenya Replacement of field motor vehicles

10,000,000

10,500,000

11,025,,000

12,000,000

12,600,000

13,230,000

66,693,850

70,693,938

75,728,634

40,000,000

42,000,000

44,100,000

4,500,000.00

4,725,000.00

4,961,250

5,900,000

6,195,000

6,504,750

Community Development for Environmental Management Programme

88,033,352

92,435,020

97,056,771

Support to District Environmental Management Programme National Environment Action Plan Development and testing of tools for the implementation of environmental management and coordination Act Partnership in environment Law and institution in Africa (PADELA)

10,307,918

43,110,814

45,266,355

445,000,000

632,870,732

675,663,242

Environmental Information management system; Forest cover mapping Aircraft purchase Climate Change enabling activities Institutional Strengthening to Management of Ozone Depleting Substances

Total MENR

Source: MENR

6. Regional Development Authorities Table 55: MRDA â&#x20AC;&#x201C; Development Projects and Proposed Allocations Name of the project

% Completed

1. TARDA (a) Thanantu Valley Irrigation Project (b) Catchment Conservation/Dam monitoring (c ) Tana Delta Rice Project (d) Kiambere Irrigation Project 2.CDA (a) Coastal Micro-Enterprise Development Programme (b) Fisheries Development (c) Coastal Marine Ngomeni/ Malindi Community

60%

Estimates cost to completion plus any pending bills 7.5 Million

Source of Funding GoK

80% 30% 70% 60%

85 Million 282,000 5 Million 34Million

KENGEN Japna Italy USAID

40% 40% (2005/06)

3Million 16.5Million 1Million

USAID USAID Italy

Name of the project

3. ENSDA (a) Horticultural Development (b) Water Supply Studies and Dev. (c) Livestock Development (i) Catchment conservation & Rehabilitation 4 .ENNDA (a) Natural Resource Studies & Development (b) Livestock Development (c ) Mineral Resource Survey (d) Dam Construction (e) Catchment Conservation & Rehabilitation Programme KVDA (a) Planning and feasibility studies (b) Catchment Conservation and dam construction (c) Chemelon integrated programme (d) Tot project (e) Construction of infrastructure (livestock, bee keeping and fisheries) (f) Kinyach/Arror project (g) Sigor Wei Wei integrated programme

Lake Basin Development Authority Effluent monitoring and health surveillance Kuja river multipurpose dam Regional Development Studies Tile and Bricks manufacture Construction of water supply and sewerage Catchment rehabilitation Water resource data base Flood control and drainage Sondu river Irrigation project Kimira/Oluoch Horticultural Development Source: MRDA

% Completed

Estimates cost to completion plus any pending bills 0.65Million

Source of Funding GoK

40% 45% 30% 20%

1.3Million 0.82Million 1.2Million 21 million

GoK GoK

30% 20% 15% -

10 million 0.29 million 5 million 4 million

ADB GoK ADB ADB

10%

162,400

GoK

7 million

KENGEN

0.43 million 1.1 million 0.60 million

GoK GoK GoK

1.1 million 35 million

GoK Italy

2.8 million

GoK

0.1 million 0.1 million 1 million

GoK GoK GoK

0.6 million 1.4 million

GoK GoK

0.5 million 0.7 million 0.38 million 0.84 million 1.4 million

GoK GoK GoK GoK GoK

30% 40% 30% Phase 1 and 2 completed. Phase 3 is 20% complete. 40% complete

30% complete 70% Complete

20%

ADB

ANNEX IV: LIST OF PENDING BILLS 1. Summary of Pending Bills for the Sector Table 56: Pending Bills for the ARD Sector MINISTRY Agriculture Livestock and Fisheries Development Lands Environment and Natural Resources Cooperative Development and Marketing Regional Development Authorities TOTAL

Amount in Kshs. 641,023,689.10 48,833,406.00 412,442,841.90 48,699,629.25 3,083,637.50 1,104,512,213.70 2,258,595,417.45

As reflected in the table above, the ministries in the Sector have over the years accumulated total pending bills of Ksh 2,258,595,417.45 (as at 31st December 2005). A brief description of the pending bills for each ministry is as indicated below. 2. Agriculture The Ministry of Agriculture has total pending bills of Kshs. 641 million mainly relating to accrued arrears of unremitted dues to International Organizations. The amount owed to International Organizations has accumulated over time due to arrears carried forward. The breakdown of the pending bills for the MOA is as follows: Table 57: MOA - Pending Bills

1 2 3 4 5

Description Desert locust central organization (DCLD) International Fund for Agricultural Dev. (IFAD) International Red Locust Central Org. (IRLCO) Common Fund Commodities (CFC) Food Agricultural Organization (FAO) Total

Amount in Kshs. 455,776,233.90 77,257.810.65 54.868,307.65 48,761,113.40 4,360,173.40 641,023,689.10

Source: MOA

There have also been other unpaid bills owed by the Ministry for various goods and services. These were forwarded to the Government Bill Verification Task Force but were not validated and are thus not payable. 3. Livestock and Fisheries Development The Ministry of Livestock and Fisheries Development had pending bills totalling to Kshs 48,833,406 as at 30th June 2005. Of these, Kshs 34,931,358 are related to the Development Vote with Kshs.13, 902,048 being under the Recurrent Vote. These Bills arose out of lack of liquidity (in case of 2004/05 transactions) and lack of provision (in cases carried forward from previous years). The Pending Bills are summarized in the table below.

Table 58: MOLFD â&#x20AC;&#x201C; Pending Bills

Bill owed to Department Veterinary

Livestock Production

Fisheries

Telkom Private companies Officers per diem Telkom KLPC Staff per diem/air ticket Water Kenya Ports Authority Kenya Navy Private Companies/person

Amount

Total

1,248,000 5,930,024 35,024 4,753,649 243,050 1,189,085 227,797 5,957,296 28,291,034 6,830,280

7,213,048

6,689,000

34,931,358 48,833,406

Grand Total (MOLFD) Source: MOLFD

4. Cooperatives Development and Marketing The Ministry recently indicated in 2004/5 Appropriations Accounts outstanding bills of Kshs. 3,313,637.50. These are bills that were incurred on both utilities and development projects expenditure and were outstanding as at 31st December 2005.

1. 2. 3. 4.

Table 59: MOCDM - Pending Bills Payee 2003/04 FY Recurrent R22 Justus Kiago Outstanding Payments to Cooperative Tribunal Members Kenyatta International Con. Centre Pc Nairobi Area

2004/05 FY Amount 159,500.00

2005/06 FY Amount 30,000.00

40,000.00 2,391,019.70

Kenya Tech Teachers College Sub-Total Development D22 6. Renovation of Machakos Office 7. Renovation of Bungoma Offices 7. M/S Syabon Construction Co. Ltd in respect to Renovation of Busia District Offices Sub-Total Grand Total Source: MOCDM

5. Lands Recurrent pending bills (None)

2,590,519.70

117,260.00 117,260.00

65,000.00 65,000.00

0 -

345,857.80

2,590,519.70

475,857.80 593,117.80

130,000.00 130,000.00

Table 60: MOL â&#x20AC;&#x201C; Pending Bills (Development) Sub vote

Head

360-General

Project / Contractor

2001/ 2002

2002/ 03

2003/ 04

Amount

8,454,421

148,417,706.60

- Neliwa builders

116,652,801.79

- Jupiter Electrical

38,196,178.30

- Otieno Odongo & Partners

90,516,447.25

5,000,000

5,205,287

407,237,554.94

5,205,287

026- Headquarters KERICHO ARDHI HOUSE

Admin. &

- Neliwa builders

Planning

- Sigma Engineering DANDORA PROJECT

364- Lands

District Land

Department

Offices

INTECH EAST AFRICA

Total

Source: MOL

The pending bills have remained the same since 2003/04 and have not been paid as the Pending Bills Verification Task Force examined and disputed them. They however stand at levels reflected in the previous year. It is recommended that extra budget resources be provided to clear the pending bills and terminate the projects. 6. Environment and Natural Resources As at December 2005, the Ministry of Environment and Natural Resources had a total of pending bill amounting to Ksh 48,800,099.25. The pending bills are mainly from the recurrent vote amounting to Ksh 47,919,713.00 while the remaining balance of Ksh 880,386.25 is from the development vote. Most of these bills resulted from liquidity problems experienced at the end of the Financial Years. The table below gives the breakdown: Table 61: MENR â&#x20AC;&#x201C; Pending Bills Head Item And Name Recurrent Vote(R21) 670 130 - Official Entertainment

Contractor Payee

Amount

Date

Garden Hotel

18,689.00

2/19/2000

191 - Monitoring and Evaluation Expenses

Sciencescope

3,600.00

3/26/2000

182-Payment of Rents and Rates-NonResidential

Kencom House Ltd.

3,317,593.00

4/1/2000

172- Purchase of uniforms and clothing

Sajtex Garments

5,750.00

1/25/2001

172- Purchase of uniforms and clothing

Sajtex Garments

4,750.00

1/25/2001

190- Miscellaneous other charges

National Social Security Fund

216,559.20

1/16/2001

Head Item And Name

Contractor Payee

190- Miscellaneous other charges

East African Elevators Co.

174-Purchase of Stationery

Uriati Enterprises

190- Miscellaneous other charges

M/s C. K. Patel Ltd.

Amount

Date

82,014.55

3/30/2001

4,500.00

6/25/2001

92,000.00

1/2/2002

Kenya Motors Garage

4,690.00

5/17/1999

100- Transport operating expenses

BOC Gases Kenya Ltd.

9,370.00

4/1/2000

100-Transport operation expenses

Kiambu Service Store

95,280.30

4/15/2002

Exel service station

48,000.00

4/18/2002

676 100- Transport operating expenses

679 100- Transport operating expenses

Sub-total

3,902,796.05

B. UTILITIES 670 121- Telephone expenses

Communication Commission of Kenya

190- Miscellaneous other charges

City Treasurer

121- Telephone expenses

Communication Commission of Kenya

141- Water and Conservancy expenses

Natural Water Conservation and Pipeline Corp.

152,779.00

8/8/2002

10,530.00

04/08/200

1,042,130.90

9/26/2001

73,500.00

3/27/2003

674 141- Water and Conservancy expenses

General Manager, Nakuru Municipality

440,279.90

3/30/2001

887 Water and Conservancy expenses

Nyahururu Municipal Council

100,470.00

27/2/2003

676 141- Water and Conservancy expenses

Nyeri Water and Sewerage Co. Ltd.

11,502.20

5/16/2000

121- Telephone expenses

M/s Telcom Kenya Ltd

76,729.95

6/12/2002

121- Telephone expenses

M/s Telcom Kenya Ltd

81,172.70

8/14/2002

140- Electricity Expenses

M/s Kenya Power and Lighting

42,655.20

6/5/2002

140- Electricity Expenses

M/s Kenya Power and Lighting

6,963.80

8/15/2002

50,287.40

4/23/1999

141,492.20

1/25/2003

679 140- Electricity Expenses 140- Electricity Expenses

Nyeri Water and Sewerage Co. Ltd. M/s Nakuru Water and Sewerage Sub-total

2,230,493.25

C. Inter-Government Bills 670

174- Purchase of Stationery

OI/C Supplies Branch

451,448.60

1/18/2000

Head Item And Name

Contractor Payee

Amount

Date

110- Travelling and Accommodation Expenses

P/S Foreign AffairsNairobi

29,920.00

6/5/2000

174- Purchase of Stationery

M/s supplies Branch (PWH)

566,519.50

6/15/2001

198-Compensation and Ex-gratia payments

Attorney General

3,934,418.70

6/15/2001

112- External Travelling and Accommodation Exp.

NEMA (Northline Travel)

178,485.00

6/14/2002

672

140- Electricity expenses

District Water Engineer

40,815.00

6/15/2001

676

121- Telephone expenses

Provincial Commissioner

68,776.50

6/5/2000

141- Water Conservancy expenses

Kitale Water Company Ltd

28,490.00

6/5/2000

141-Water Conservancy expenses

District Water Engineer

10,900.00

Jul-00

140- Electricity expenses

Provincial Commissioner-Nyeri

24,458.95

1/23/2001

141- Water Conservancy expenses

Provincial Commissioner-Nyeri

50,623.00

1/23/2001

141-Water Conservancy expenses

Provincial Commissioner-Nyeri

51,019.00

1/23/2001

140- Electricity expenses

Provincial Commissioner-Nyeri

30,672.70

8/13/2001

121- Telephone expenses

Provincial Commissioner

68,776.50

8/13/2001

121- Telephone expenses

Provincial Commissioner

68,776.50

5/7/2002

121- Telephone expenses

Provincial Commissioner

71,712.90

1/16/2003 8/11/2000

679

150- Purchase of supplies for production Supplies Branch

58,562.40

681

001- Personal Emoluments (Casual workers)

17,686.00

Road superintendent Sub-total

5,752,061.75

D. International Organizations 370-Regional Seas programme

D21

Development in nature

Regional Seas Programme

36,034,362

Sub-Total

36,034,362

Head Item And Name

Contractor Payee

611

301/2- Climate Change Enabling Activities

Trade Point Stationers

612

312/3- Institutional Strengthening to manage Ozone Depleting Substances

Telkom Kenya

676

220-6- Purchase of Plant and Equipment Supplies Branch

Amount

Date

21,932.00

6/29/2001

559,504.80

Apr-02

9,399.75

6/2/1998

100- Transport Operation Expenses

M/s Nyahururu Total Service Station

124,000.00

2/4/1998

672

285/3- Aberdare Forest Resource and Wildlife

M/s Njeru Building Contractors

144,549.70

4/4/2001

672

285/5 – Supplies and stationary

Kwanyaland Garage

21,000.00

14/6/2002

Sub-total TOTAL MENR

880,386.25 48,699,629.25

Source: MENR

7. Regional Development Authorities Table 62: MRDA – Pending Bills

1 2 3 4 5 6

Head/Regional Development Authority 989 LBDA 992 ENSDA 455 KVDA 994 Ewaso Ng'iro North Development Authority 707 TARDA 993 Coast Development Authority Total

Source: MRDA

Amount in Kshs. 875,269,513.25 6,585,177.00 21,907,454.10 1,224,551.10 178,422,030.32 21,103,488.00 1,104,512,213.77

ANNEX V: LIST OF COMPLETED PROJECTS IN THE SECTOR SINCE THE BEGINNING OF MTEF IN 2001/02 1. Agriculture o o o o o o

KEPHIS – Purchase of new office block at Karen. Grain Storage and Handling – payment of NCPB for commercialization completed. Agricultural Sector Support project (ASSP) Tissue Culture Project – Coffee research Foundation. NALEP Phase I National Extension Project (NEP)

2. Livestock and Fisheries Development MOLFD – List of Completed Projects Since 2002/03 Project Name 1. PACE (Pan African Control of Epizootics

Location

2. Small Holder Dairy Project

Narok, Nairobi, Machakos, Muranga, Nyeri, Kirinyaga, Nyandarua, Nakuru, Nakuru, Nandi, Kisii, Nyamira, Rachuonyo, Vihiga, Bungoma, Kakamega Busia, Bungoma, Teso Bondo, Siaya Lake Victoria Region, Kenya Sagana Fish Farm, Kirinyaga District Ndaragwa Trout Farm, Nyanadarua

3. Farming in Tsetse Control Areas (FITCA)

4. Lake Victoria Enviroment Management Programm (LVEMP) 5. Rehabilitation of Fish Ponds

6. Development of fish ponds Source: MOLFD

Countrywide

Year Started 2000/01

Year of

Total cost of the project

Completion (Original/Revised) Kshs. 2006

Source of Funds

Original 274,192,072

Revised -

EEC/EDF

1997

2005

3,000,000 421.5 M

421.5 M

GOK/VSDF DFID/GOK

1999

2004

320 M

EC/GOK

Jan. 2003

Dec. 2005

50,600,000

54,000,000

WORLD BANK

2000

2005

5,450,000

GOK

2000

2005

2,700,000

GOK

3. Cooperatives Development and Marketing Table 63: MOCDM – List of Completed Projects since 2002/03 (A) Programme/Activity

Expected output

Revised 2002/2003 Gross

Livestock Development Project (LDP)2:

Computerization of Agricultural Cooperatives and Emerging Producer Associations in Kenya - Pilot Project by FAO:3 Source: MOCDM

Increased milk production, streamlining of milk marketing through Cooperatives, Increased income, Empowerment of women farmers, Divesting equipment procurement to beneficiaries, Monitoring and evaluation. IT skill inventory established; Computer skills acquired; System developed & tested; Information needs identified; MIS developed and promoted

2003/2004 Donor

Net

48,000,000

13,000,000

1,300,000

Table 64: MOCDM – List of Completed Projects since 2002/03 (B) Project Name

Year Started

Year of Termination

Total costs of the project (Original/Revised)

Renovation of Office Buildings: Lamu District Renovations of Office Buildings/ Meru South (Chuka) Renovation of Office Buildings: Nyandarua District Renovation of Office Buildings: Vihiga District Renovation of Office Buildings: Bomet District Construction of Office Buildings: Nyando Districty Renovation of Office Buildings: Nakuru District Construction of Office Buildings: Suba District Renovation of Office Buildings: Embu District Renovation of Office Buildings: Kisumu Construction of Office Buildings: Narok District Renovation of Office Buildings: Kuria District

2002/2003

2004/2005

Original 500,000

2003/2004

200,000

2002/2003

2004/2005

353,000

2003/2004

2004/2005

700,000

Revised 650,000

630,000

Expend/Commit. As at 31/9/2003 Kshs. Millions Cumulative Expend/Commit Exp. Commitment 300,000 125,000

Allocation in 2003/04 (Kshs)

100,000

200,000

70,000

60,000

130,000

350,000

700,000

150,000

300,000

250,000

350,000 2003/2004

2004/2005

300,000

2003/2004

2004/5

2,425,000

325,000

650,000

2003/2004

700,000

350,000

700,000

2003/2004

2004/5

1,959,000

2003/2004

1,500,000

550,000

250,000

2003/2004

630,000

669.130

86,000

2004/5

2,500.000

3,770,000

2003/2004

500,000

1989/90

2003/2004

656,870

1,500,000

219,560

250,000

500,000

1,000,000

2,000,000

219,560

439120

2 Livestock Development Programme: This project was implemented successfully with other departments in MOLFD during 2000/01-2002/03 at a total cost of Kshs.117 million (GOK) and Kshs 856 Million (FINIDA). The project ended on 30th June 2003.

3 Computerization of Agricultural Co-Operatives and Emerging Producer Associations Project: Status: Inception stage on pilot basis – 19th January, 2004: Target: Tulaga Farmers Co-operative Society Ltd: Project Cost: Approximately Kshs.20 million with Kenya Government contribution of 24% and Food and Agricultural Organizations of 76%.

Construction of Cooperative College Seminar Center: Co-operative College of Kenya Rehabilitation of Water Supply System: Cooperative College of Kenya; Strategic Plan & Curriculum Development Project: Cooperative College of Kenya;

1997/98

2005/6

36,000,000

2,773,576.40

30,000,000

2003/4

2004/5

3,000,000

1,000,000

2003/2004

2005/6

8,400,000

600,000

7,800,000

8,400,000

Source: MOCDM

4. Lands • Drafting of the National Land Policy • Establishment of Land Boards and their training • Phase I of the Settlement Programme for the poor landless 5. Environment and Natural Resources The following are the projects that have been completed under the Ministry since 2001/02. • Karura Forest Product Project (1995-july 2002) • Strengthening of the production of quality gums and Resins (July,2003-May,20050 • Social Forestry Extension Model Development Project in semi- Arid Areas (july,1997November,200) • Integrated Natural Resource Management in Ukambani (INRMU), (2002/03-2004/05) • Forestry based resource planning and management (1999/2000-2001/02) • Social Forestry Model (SOFEM) • Mt. Elgon forest Conservation Development project 6. Regional Development Authorities • Implemented catchment conservation programmes covering Upper Turkwel (KVDA), Upper Masinga/ Kiambere(TARDA) and Mau Complex (ENSDA). • Trained communities in afforestation and management in Kwale, Kilifi and Mombasa (CDA). • ENNDA has successfully negotiated for financial support from ADB to facilitate conservation programmes covering natural resource catchment areas in the Northern ASAL parts of the country • Initiated long range integrated Regional Development master plan for mapping resources and integrated coastal area management covering Mombasa and Kwale with regard to landing scaping, establishing of market centre, fish landing sight and development of fish depot in Kwale. • Provided clean drinking water to the local communities in Mwingi District through the support of Italian government. • Constructed 25 demonstration water tanks for communities in Kwale districts CDA. • Constructed Kimao water dam in Baringo district, one water pans in East Pokot, two water pans in Koibatek and piped water supply in Keiyo and Chemeron KVDA.

• Promoted high quality and certified seed production where wei wei supplies over 2 million kilograms of seed to Kenya seed company KVDA. • 1,200 ha in seed bulking for cane by TARDA and • Grown cotton seed in parts of Nyanza and Western province LBDA.

ANNEX VI: LIST OF PROPOSED NEW PROJECTS IN THE SECTOR 1. Agriculture Table 65: MOA - Proposed Programmes (100% GoK funded) Current Projected Resource Requirements

190Construction of Kilimo House Annex 190Construction of KESREF office NALEP, GoK – construction of offices in 246 districts and locations

Total

2006/07

2005/06

2006/07

500,000,000 250,000,000

200,000,000 -

185,000,000 935,000,000

185,000,000 385,000,000

185,000,000 185,000,000

Source: MOA

Under head 190, Kshs. 500 million is for construction of Kilimo Annex while another Kshs. 250 million have been allocated in 2006/07 for construction of KESREF office block and equipping the laboratories Under head 246, additional funding will be for construction of offices at the districts and locations to facilitate access to extension staff. Table 66: MOA - Proposed Programmes (Donor Funded) Current Projected Resource Requirements 2006/07 2005/06 2006/07

Promoting Farmer Initiative through FFS (UNDP thr` FAO)

5,000,000 170,000,000

5,000,000 201,000,000

5,000,000 246,000,000

Training in Farm Management and Marketing in Kenya-TCP FAO

10,000,000

11,000,000

9,000,000

Development of Community Agriculture in ASAL Areas-JICA

28,000,000

31,000,000

32,000,000

98,000,000 79,000,000 86,000,000 5,000,000 481,000,000

101,000,000 81,000,000 89,000,000 5,000,000 524,000,000

101,000,000 82,000,000 92,000,000 0 567,000,000

Integrated Rural Development Project in the Baringo Area

Small Holder Horticulture Empowerment Project-JICA Grant Assistance for Under-privileged farmers-JICA Western Kenya Integrated Ecosystem Man. Project – WB HIV/AIDS studies to identify effective entry points for the Ministry Total Source: MOA

2. Livestock and Fisheries Development Table 67: MOLFD - Proposed Projects (Donor Funded)

Project/Programme 191 Small holder Dairy Commercialization Project (IFAD) 191 ASAL Based Livestock and

2006/07 200,472,099

Amount (Kshs) 2007/08 200,472,099

2008/09 200,472,099

599,685,760

600,000,000

Rural Livelihoods Support Project (ADB) 193 PATTEC Programme (ADB) Total Source: MOLFD

67,000,000 867,157,859

80,000,000 880,472,099

85,000,000 885,472,099

Table 68: MOLFD – Proposed Programmes (New 100% GoK)

Project/Programme 192 Construction of fisheries headquarters 193 Rehabilitation of buildings (Vet training institutions) 190 Refurbishment of buildings and machinery (KMC) Total MOLFD: Grand Total (Donor Funded and 100% GOK Programes) Source: MOLFD

2006/07 185,723,373

Amount (Kshs) 2007/08 185,723,373

2008/09 -

48,097,766

78,496,145

120,000,000

353,821,139

384,219,518

120,000,000

1,220,978,998

1,264,691,617

1,005,4

3. Cooperatives Development and Marketing Table 69: MOCDM – Proposed New Projects Head Activity Target 708/709 Construction/Renovation of Improved office Office Buildings accommodation for (Provinces/Districts) field staff 711 Construction of Buildings of Improving College Physical facilities Cooperative College of Kenya: Offices and Library 711 Construction of Buildings of Improving College Cooperative College Physical facilities of Kenya: Lecture Theatres 711 ICT Development & Improving Member empowerment Capacity building Total Source: MOCDM

Resource Requirements (Kshs) 2006/07 2008/09 2007/08

12,424,073 15,000,000

25,762,000 38,186,073 30,000,000 2,000,000

24,000,000 2,000,000

5,000,000

5,000,000 5,000,000

32,424,073

84,762,000 47,186,073

4. Lands Activity 1

Integrated Land and Urban Sector Programme

Institutional Review and reformation in the Land Sub sector Creation of National Spatial Data Infrastructure Construction of New office Block for national Cadastral Database and NSDI and Rehabilitation of District Registries Archiving of land records in District Land Registries

3 4

5 6

Preparation of Structure, Regional and other land use plan and standards Total

Resource Requirements (Kshs) 2006/2007 2007/2008 3,000,000 2,000,000

2008/09 2,000,000

200,000,000

220,000,000

300,000,000

150,000,000

100,000,000

150,000,000

70,000,000

40,000,000

45,000,000

53,000,000

52,000,000

516,000,000

489,000,000

619,000,000

Source: MOL

5. Environment and Natural Resources Table 70: MENR â&#x20AC;&#x201C; Proposed Projects Head / Programme 2006/2007 National Facility Programme 690-Titanium Mining Monitoring 690-Geohazard Mapping 690-Environmental Engineering Geology 690- Geodatic Mapping & Research 690-Library &Archival Development 690- community development for Environment management Programme TOTAL Source: MENR

Resource Requirements (Kshs) 2007/2008 2008/09 7,500,000 7,500,000 5,000,000 5,000,000 10,000,000 15,000,000 15,000,000 4,500,000

7,500,000 5,000,000 20,000,000 3,000,000

12,500,000 15,000,000

6,000,000 4,000,000

4,000,000 3,500,000

100,000,000

150,000,000

170,000,000

165,000,000

192,000,000

213,000,000

6. Regional Development Authorities Table 71: MRDA â&#x20AC;&#x201C; Proposed New Projects, 2006/07 - 2008/09 Project/Programme LBDA Kimira Oluch Smallholder Dev Project Effluent Monitoring and health surveillance Fish Cool Storage Facility

Resource Requirements (Kshs) 2006/07 2007/08 6,000,000 500,000 4 ,000,000

6,300,000 525,000 4,200,000

2008/09 10,000,000 2,251,000 4,425,000

ENSDA Horticultural Development Integrated Development Programme (Tea/Water Projects) TARDA Athi /river and Munyu Basin Studies High Grand Falls Reservoir Kiambere/Mwingi Water (Phase II) Mutonga/Grand Falls Project CDA Kwale Cashewnut Processing Project Malindi integrated social health development programmet Trans-boundary integrated water resource management programme ENNDA Dam construction Isiolo Abattoir Refugee impact mitigation programme ASAL research and training center project KVDA Wei Wei Project (Phase II) River Utilization Studies Dam construction and management Total

5,000,000 10,000,000

4,500,000 25,000,000

5,000,000 23,000,000

5,000,000

8,000,000

11,000,000

3,300,000 1,600,000 5,000,000

14,000,000 2,000,000 6,000,000

16,000,000 3,000,000 8,000,000

4,000,000 6,015,410

4,000,000 36,884,919

10,000,000 38,000,000

2,000,000

5,000,000

9,000,000 100,000,000 15,000,000 20,000,000

9,000,000 120,000,000 20,000,000 20,000,000

10,000,000 140,000,000 35,000,000 25,000,000

250,000 390,400 7,560,000 200,615,810

992,750 2,288,000 7,938,000 296,628,669

1,092,025 2,516,800 8,334,900 357,619,725