- State Department for Shipping and Maritime Affairs has pending bills amounting to Sh22 million.
- However, the recurrent budget for the department has been increased by Sh19 million.
Image: ENOS TECHE
The development budget for the State Department of Shipping and Maritime Affairs has been reduced by Sh300 million, proposed Supplementary Estimates No. I for the Financial Year 2023-24 show.
However, the recurrent budget for the department has been increased by Sh19 million.
Appearing before the Departmental Committee on Transport and Infrastructure, Principal Secretary Geoffrey Kaituko noted that there has been approximately 30 per cent reduction of the operations and maintenance budget for the headquarters.
“The budget for headquarters has been reduced by Sh100 million under Operations and Maintenance out of a budget of Sh323 million. This is approximately a 30 per cent reduction for the O&M budget,” Kaituko explained.
He added that the remaining amount of Sh223 million includes Sh45 million for rent, Sh10 million for partitioning of new office space and Sh15 million for purchase of vehicles as key expenditure items.
State Department for Shipping and Maritime Affairs has three Semi-Autonomous Government Agencies (SAGAs) namely Kenya Maritime Authority (KMA), Kenya National Shipping Line (KNSL) and Bandari Maritime Academy (BMA).
Kaituko noted that the State Department utilised a total of Sh32 million as at the end of the first quarter.
“Chair and Honourable Members, if we take the above into consideration, the State Department will be left with a total amount of Sh121Million for the remaining three quarters under operations,” he stated.
He stated that the State Department has pending bills amounting to Sh22 million which they expect to settle in the current Financial Year 2023/24 from budget under Operation and Maintenance of Sh121 million.
“This will therefore mean that the State Department will remain with Sh99 million for the last three quarters of the Financial Year,” the PS said.
The State Department has 15 mandates as per Executive Order No.2 of 2023.
These are the Promotion of maritime and shipping industry; maritime transport management; ship registration; marine cargo insurance; human resource, development, management and research in support of Kenya‘s shipping industry; establishment of effective admiralty jurisdiction; development of a Central Data and Information Centre; coordinating Maritime Spatial Planning and Integrated Coastal Zone Management and protection and regulation of marine ecosystems.