Isiolo and Meru to share airport levies cash, says Munya

Isiolo and Meru counties will share business licence and permit fees drawn from Isiolo International Airport once it begins operations end of this month.

Meru Governor Peter Munya, who toured the airport to evaluate its progress, said county governments do not collect revenue from national government facilities but will benefit from taxes or cess charged from services offered by the devolved units.

Last week, Transport principal secretary Paul Mwangi announced that the Sh2.7 billion facility would start operations in two weeks, ending this month but only for domestic flights.

Mr Munya, who lauded the government for completing the project that was initiated under former President Mwai Kibaki, said the airport falls under both counties.

He said the counties and the Ministry of Transport work would come up with a formula on sharing of the cash collected.

For instance, Mr Munya said, Kenya Airports Authority could collect the money on behalf of the counties and share the cash. However, he did not disclose if the cash would be split equally.

“Our main pre-occupation is to see that the facility starts operation so that we can fully reap its benefits, but I don’t think there is a problem that cannot be discussed by the sister counties,” he said.

The facility, which is one of the key Vision 2030 flagship projects, sits on 260 hectares with a 4,500 square metre passenger terminal building is expected to handle 350,000 passengers annually

Mr Munya, who was flanked by the airport’s manager Mohammed Lippi and his county officials said the airport is a game changer and would increase the gross domestic product of the regions surrounding it.