Court declares new mining sector rules unconstitutional
The court quashed the regulations in their entirety, declaring them invalid and unenforceable.
The High Court has nullified the Mining Regulations 2024, dealing a major setback to the Ministry of Mining, Blue Economy, and Maritime Affairs.
A ruling delivered by Justice Bahati Mwamuye held that the regulations were enacted in violation of constitutional principles of transparency and public participation.
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The decision followed a petition by the Kenya Chamber of Mines, which contested the amendments contained in the regulations.
"The Mining Collection and Management Amendment Regulations 2024, the Mining License and Permit Amendment Regulations 2024, the Mining Dealing with Minerals Amendment Regulations 2024, the Mining Mine Support Services Amendment Regulations 2024, and the Mining Gemstones Identification and Value Addition Fees Amendment Regulations 2024, collectively the Mining Regulations 2024, are hereby declared unconstitutional, unlawful, and in violation of Articles 10 and 118 of the Constitution," ruled Justice Mwamuye.
The court quashed the regulations in their entirety, declaring them invalid and unenforceable.
Ordinarily, such a ruling would open the door for refunds of fees and levies collected under the invalidated law. However, Justice Mwamuye declined to issue such an order, noting that refunds would impose a heavy financial burden on the government and paralyse operations in the sector.
The regulations had introduced new fee structures for licensing, permitting, mineral trading, and value addition processes.
They increased application fees, levies, and charges across various mining activities, sparking criticism from some industry players who described them as punitive.
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