Relief for contractors after City Hall cuts building approval timeline to two weeks

Contractors and developers can now breathe a sigh of relief after the Nairobi County Government cut the building approval timeline from six months to two weeks.

The move aims to eliminate bureaucratic delays that have long frustrated developers, increased costs, and stalled projects.

Previously, the approval process was bogged down by inefficiencies, requiring developers to wait months before receiving clearance to proceed with construction.

Some resorted to informal methods to bypass the system, leading to unsafe and unregulated structures.

During a meeting with Kenya Property Developers Association (KPDA) members at City Hall on Wednesday, Nairobi Governor Johnson Sakaja directed that all building development approvals be completed within 14 days.

"By reducing the approval timeline to be done after every two weeks, property developers can expect a more timely and predictable process, allowing them to plan and execute their projects more effectively," Sakaja said.

This initiative seeks to streamline operations in the construction sector by reducing delays and promoting compliance with proper building standards.

Nairobi has witnessed multiple building collapses due to non-compliance with safety regulations, leading to loss of lives and property.

According to Governor Sakaja, establishing a structured approval timeline will not only boost efficiency but also ensure that developers adhere to required standards.

Eliminating bottlenecks

The county government aims to eliminate unnecessary bottlenecks in the process while maintaining strict oversight.

With this change, Nairobi’s urban development sector is expected to improve, making it easier for investors and contractors to operate within the law while reducing unnecessary project costs.

Building permits and parking fees were among the top revenue-generating streams for Nairobi City County in the first half of the current financial year, pushing total collections to Sh4.82 billion.

According to the Controller of Budget’s implementation report, the revenue surge is attributed to digitisation and improved collection strategies, marking an increase from the Sh3.81 billion recorded during the same period last year.

Building permits emerged as the highest revenue-generating stream, bringing in Sh966 million, followed by parking fees, which contributed Sh860 million. Other revenue streams included land rates (Sh338 million), unified business permits (Sh603 million), billboards (Sh315 million), house rents (Sh294 million), food handlers’ certificates (Sh41 million) and market fees (Sh107 million).

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However, the report also highlighted a notable decline in some revenue streams. Fire inspection certificates, for instance, plummeted from Sh39 million to Sh1.5 million, while land rates and tire inspection certificates also recorded drops.

Explaining the decline, Nairobi County Chief Officer for Revenue Administration, Tiras Njoroge, attributed it to changes in policy regarding land rate waivers.

“In previous years, waivers were granted, but this led to lower compliance within the legally stipulated period. We are now enforcing penalties through measures such as property clamping and auctioning for defaulters,” Njoroge said.

The Nairobi Pay digital platform also continues to be instrumental in enhancing revenue collection. In the 2023/2024 financial year, the county generated Sh12.8 billion, the highest own-source revenue among all 47 counties. Despite falling short of its ambitious Sh19.9 billion target, the county administration remains focused on meeting its Sh21.06 billion goal for the current financial year.