Counties to receive Sh10.5bn Road Levy share under new funding proposal

NAIROBI, Kenya, May 8 – Counties are set to receive Sh10.5 billion from the Road Maintenance Levy Fund (RMLF) under a new proposal by the Ministry of Roads and Transport aimed at including devolved units as direct beneficiaries of fuel levy collections.

The proposal, presented to the Senate Standing Committee on Roads, Transportation and Housing, seeks to allocate 15 percent of the fund to county governments, while the national government retains 85 percent for maintenance of trunk roads.

The ministry said the allocation model is based on road length, traffic volumes, road condition and road classification using the 2025 Roads Register.

Under the proposal, national trunk roads classified as S, A, B and C would receive Sh59.49 billion, while county roads under Classes D to G would share Sh10.51 billion.

The Road Maintenance Levy Fund, financed through a Sh25 levy on every litre of fuel, collects about Sh70 billion annually and remains one of the country’s main sources of road maintenance funding.

The ministry said the proposal aligns with the Constitution, which assigns responsibility for national and county roads to different levels of government.

It also follows a 2025 High Court ruling that directed counties to be included in future RMLF sharing frameworks.

The proposed framework introduces accountability measures requiring counties to keep separate accounts for road funds and submit annual work plans for audit by the Kenya Roads Board.

The ministry said the changes are intended to streamline road maintenance funding and clarify the roles of national and county governments ahead of expected legal reforms.