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{
    "id": 712543,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/712543/?format=api",
    "text_counter": 546,
    "type": "speech",
    "speaker_name": "Hon. (Eng.) Gumbo",
    "speaker_title": "",
    "speaker": {
        "id": 24,
        "legal_name": "Nicholas Gumbo",
        "slug": "nicholas-gumbo"
    },
    "content": "Thank you, Hon. Temporary Deputy Speaker. This is a good Bill because my sense is that we will finally deal with the despicable land speculation and artificial land pricing in Kenya if it is implemented. My sense is that artificial pricing of land cannot lead to any economic growth. If we can standardise land rates, rent and Stamp Duty and make compensation predictable, it will lead to economic growth. The Bill notes that huge variations in the amounts paid by way of compensation has led to huge inequities to those whose land was compulsorily acquired. The law seeks to equalise those payments. I am reminded of a case where a friend told me of someone whose building was sliced along Murang’a Road to pave way for the expanded Thika Road. The compensation given was so subjective or artificial, that not only did this land owner end up buying a much bigger building nearby, but after retaining the proceeds from that compensation, he was able to refurbish part of the house that remained at twice the price of the compensation. Does this not lead to obscene acquisition? This is what has made some development particularly key infrastructure projects in Kenya very expensive. You have seen the cases that are going on in this country. I know a lot has been said about the setting up of the tribunal, but I want to speak to Clause 20. Clause 20 criminalises divulging any information on an intended acquisition to any person before application of the notice of the intention by a public officer to acquire land, with the intention to influence any form of transactions for purposes of conferring any benefits as a result of the acquisition. Criminalising that is good, but look at the penalty that has been put of Kshs500,000, which is too low. Look at the compensations that have been going on in the SGR project. Even in this House, a friend told me that that he collected hundreds of millions of shillings just because the SGR passed through their land. So, you are fining somebody who does this yet there is a bigger problem. Right now, there is a group of people, especially those who design routes for railways and major roads, who collude with their friends, so that the route is diverted to pass through their friends’ land and give it artificial value. This is not just done to the value of land, but also to the value of the fixed assets on that land. Even that should be criminalised. This is a good Bill and it is a good attempt to try to rationalise and bring sense and sanity to land pricing in Kenya. In the area where I live, and I am glad you have had an occasion to visit me when I joined this House, the price of land was hardly a fifth of what it is today. Nothing has happened. No road has been built. For land which cost about Kshs4 million in 2008, hardly eight years ago, people are now boldly asking for Kshs35 to Kshs40 million. It is nearly 10 times. Having done what? How does this lead to economic growth, just sitting and speculating? The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor."
}