Mining Cabinet Secretary Hassan Joho has accused Tata Chemicals of failing to meet government requirements for its mining operations in Kenya.
Joho said the government first issued a compliance notice to the company in July.
Speaking on Citizen TV, the CS said Tata Chemicals did not respond to the concerns raised by the government.
Instead, the company went to court and sought permission to continue its operations.
Joho said the court rejected the company’s request.
Government Raises Compliance Concerns
The Cabinet Secretary said the government asked Tata Chemicals to comply with the 2016 Mining Act.
The concerns included mineral beneficiation, compliance and adherence to Kenyan laws.
Joho said Kenya must ensure its mineral resources benefit the country’s economy and local communities.
“Our minerals are our wealth, and they are supposed to build our economy, industrialize our country, and benefit our local communities,” Joho said.
He added that the Kajiado County Government has opposed the company’s licence.
According to Joho, the county says Tata Chemicals has not properly engaged with local authorities or contributed to the county’s development.
Joho Questions Community Benefits
Joho also accused Tata Chemicals of failing to share proceeds from its mining activities with local communities.
He cited the 2016 Mining Act, which requires mining companies to establish community development committees in areas affected by mining.
According to the CS, such committees should receive at least one per cent of a company’s gross income.
The committees should then negotiate with investors on how the funds will benefit local communities.
Joho claimed Tata Chemicals has not followed this requirement since it started operating in the area.
The CS said the company has mainly allowed residents to access its hospital at a small fee and use its water supply.
He questioned whether these services were enough to benefit the surrounding community.
Joho Wants More Mining Operators
Joho also questioned why Tata Chemicals should remain the only major operator around Lake Magadi.
He said the lake covers about 100 square kilometres and contains trona, a mineral that naturally regenerates.
The company currently operates in only a small section of the area.
Joho argued that the government could allow more operators to maximise the resource and increase local benefits.
Ruto Orders Tata Chemicals to Leave
Joho’s remarks came after President William Ruto ordered Tata Chemicals to leave Kenya.
Ruto accused the company of failing to create enough jobs and development in Kajiado County.
The President also questioned the company’s 100-year contract.
Ruto said the government would give the contract to another company.
He added that the new agreement would come with stricter conditions.
