Teachers, SMEs big losers of Sh100bn Budget funds gap

Teachers, lecturers, HIV/Aids patients, farmers and small enterprises are set to be the biggest losers after the government failed to provide about Sh100 billion for social programmes in the Budget.

The parliamentary Budget and Appropriations Committee shows in its report that the House started debating on Tuesday that there will be no money for buying life-prolonging anti-retroviral (ARV) drugs and other vaccines from July this year as well as for connecting 2,460 public facilities to the national power grid.

The connections through the Rural Electrification Authority were expected to take power supply closer to rural trading centres, promoting the set up of small businesses such as welding workshops, hair salons and eateries. The project needed Sh1.3 billion.

The committee said the Ministry of Health required Sh6 billion for purchase and distribution of ARVs and vaccines.

John Kamigwi, deputy director at the National Aids Control Council (NACC), said he was unable to comment on the impact of the deficit on the control of HIV/Aids.

“The figure quoted by the committee of Parliament lumps up ARVs and other vaccines. I therefore cannot comment on the impact this will have on the control of HIV/Aids until we know what component goes to ARV and which goes to other vaccines,” he said.

Other projects for which no money has been provided are the Konza technology city, a forensic laboratory and crime research centre and the installation of closed circuit television (CCTV) cameras in major cities.

However, it is in the labour sector where the government risk a backlash after it failed to provide Sh1.8 billion for implementing a pay award to lecturers in public universities. The government has also not provided money for employment and promotion of teachers, signalling industrial unrest in the sector.

“This Budget is provocative and we shall be left with no option but to tell teachers to proceed on an industrial action,” Kenya National Union of Teachers secretary general Wilson Sossion said.

The union is particularly agitated because Sh15 billion was provided for the expanded school milk programme even as the employment of 40,000 teachers to ease the workload on its members was ignored.

The Teachers Service Commission (TSC) needed an additional Sh16.5 billion for employing 20,000 more teachers, recruitment of early childhood development (ECD) teachers and promotions.

The Ministry of Education was left without adequate money for free primary and day secondary education, sanitary towels for girls, grants, upgrading of national schools, higher education loans and bursaries.

The modernisation of the Kenya Defence Forces will also have to be deferred after Sh3 billion for it was not forthcoming while soldiers will wait longer for single accommodation housing units which were to cost Sh1 billion.

Farmers who were banking on the construction of grain drying facilities in 14 sub-counties may have to incur further losses in the coming year due to lack of funding for completion of ongoing projects.

A number of donor-funded projects also face delays for lack of Sh760 million being counterpart funding for externally supported programmes.

The planned expansion of Kenya’s missions abroad has also received a setback with funding for construction of chanceries, consulates and residences for chanceries in Kampala (Uganda), Juba (South Sudan), Somalia and Geneva (Switzerland) being overlooked.

Police reforms are also likely to be hampered by lack of Sh30 billion funding for purchase of vehicles, police aircraft, speed boats, firearms, communication and other equipment.

The Independent Policing Oversight Authority (IPOA) may also not start its operations after it was denied Sh380 million while the National Land Commission did not get Sh100 million for driving land reforms.

In the mining sector, a mineral commodity exchange, purchase of drilling rig and accessories, vehicles and water buzzers were underfunded to the tune of Sh2.8 billion.

Others not adequately funded are the Economic Stimulus Package (Sh2.6 billion), the Institute for Capacity Development for Teachers, National Research Fund and Technical, Industrial, Vocational, Entrepreneurship Training Institutes (TIVET).

Inadequate funding for the The Konza Technopolis has cast doubt on the government’s ability to meet its timelines which are key to job and wealth creation. Although the committee increased the project’s funding for the year by Sh300 million to Sh1.3 billion, it said Sh700 million more was needed to realise the objectives of phase one.

“We required Sh5 billion during the year. The shortfall will affect the implementation plan and hold back gains such as job creation,” said a senior official at the Information Ministry.

Phase one targeted the design and construction of a building that will house government offices and laying of infrastructure such as roads and telecommunication masts.

The first phase of the Konza project seeks to develop 400 acres of the 5,000 acre-site off the Nairobi-Mombasa Highway. The portion was to host various amenities, including a cultural centre, parks, offices, residential houses and a university complex. This phase was to be implemented between now and 2017. 

The National Environment Management Authority (Nema) needs Sh500 million to establish a modern laboratory while the mining sector requires Sh2.5 billion for aerial geophysical survey.

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