Overview
Governments at national and county level need to set aside and build land banks for industrial investors in key towns – at present the main path to access to industrial land is purchase of agricultural land and conversion through change of user. Expecting them to get land through the market is making it very expensive and affects plans for de-concentration from the main industrial towns of Nairobi.
Access to land remains one of the gravest hindrances to new investment in industry and it is critical for counties and national government to build land banks for industrial investment.
Recommendations
- Use compulsory acquisition and zoning to build land banks The new Land Act No. 6 of 2012 in Part VIII bestows on the National Land Commission power to compulsorily acquire land when necessary upon receipt of a request to do so from the respective Cabinet Secretary or the County Executive Committee Member and the land owner is fully compensated for such an acquisition. This power should be exercised in instances where the Government focus is to increase local industries for the growth of the country’s economy.
- Thika Town was planned to be an industrial town from the start. The Thika super highway is complete and this infrastructure is timely for the Government to work towards setting aside land in Thika for development of industries. Such land should be prioritized to be for private investors who intend to set up industries with a priority on local manufacturers.
- The same idea should also be used in all the counties such that specific areas in the counties be set aside as land for the establishment of industries. For the towns with industrial areas, these areas should be strictly used for industrial purposes and more land in such counties be sourced for expansion of industries.