County industrial parks face collapse over poor planning, warn Senators

In the current financial year, the Treasury has disbursed only Sh1 billion out of a planned Sh2 billion. Last year, just Sh1.15 billion was released from a budget of Sh4.5 billion. The
A Senate committee has raised serious concerns about President William Ruto’s Sh23.5 billion county industrial parks project, warning that it is poorly executed and risks turning into a massive loss for taxpayers.
The programme, launched to drive local manufacturing and job creation, is facing resistance from some governors who say it was rolled out without their input and is already showing signs of failure.
According to the Auditor General, there is little evidence the parks are producing any measurable benefit for citizens.
Siaya Governor James Orengo, speaking to the Senate County Public Accounts Committee, said the national government imposed the project without engaging county leaders or investors.
“The project was doomed from the start,” he said. “We’ve been left with warehouses no one wants.”
Governor Orengo added that national officials selected contractors and made all project decisions without including counties in planning, feasibility studies or consultations.
Though counties were asked to match national funding with Sh250 million each, many have not received their full allocations. Siaya, for instance, has only received Sh53 million despite contributing Sh123 million from its own budget.
“We talked to investors in cotton and leather, but they say the warehouses don’t meet their needs,” Orengo told the committee, which is chaired by Homa Bay Senator Moses Kajwang’.
In the current financial year, the Treasury has disbursed only Sh1 billion out of a planned Sh2 billion. Last year, just Sh1.15 billion was released from a budget of Sh4.5 billion. The cuts have led to widespread delays and doubts about the viability of the entire plan.
“Had I been given Sh300 million to develop a cotton ginnery tailored to Siaya’s needs, we’d have real value,” Orengo said. “Now, we’re left building warehouses and asking investors to buy into a flawed idea.”
Nairobi Senator Edwin Sifuna sharply criticised the project, calling it a scam that enriches contractors. “There is no value for the people of Siaya. The value is for those making money from the construction,” he said. He also accused the government of locking out counties from decision-making, likening the project to the affordable housing programme. “It’s about feeding someone’s stomach,” Sifuna added.
Sifuna quoted Makueni Governor Mutula Kilonzo Jr, saying he was never consulted on the park's design or size, with instructions sent directly from Nairobi. “This was shoved down counties’ throats because someone is making money,” Sifuna said.
Taita Taveta Senator Johnes Mwaruma questioned the logic of building industrial parks in areas without enough agricultural produce to support them. “Shouldn’t we ensure agricultural production first?” he asked.
Nyamira Senator Okong’o Omogeni asked if the project was forced on counties. In response, Orengo said national officials controlled every aspect of the process, bypassing normal procurement procedures.
Nandi Senator Samson Cherargei asked whether any legal agreement governed the engagement between the two levels of government. Orengo explained that a standard design was imposed across all counties, regardless of their local needs.
“Most parks don’t serve the intended purpose. Many counties would rather spend that money on other priorities,” Orengo said.
He noted that political pressure discouraged governors from rejecting the funds. “It was political. If you refused the money while brick and mortar were going up in other counties, you’d be in trouble,” he added.
Senator Mwaruma cited Makueni’s rejection of the project, asking why other counties did not take a similar stand.
The Senate committee is now calling for a full review of all County Aggregation and Industrial Parks to determine whether they align with local development priorities. Lawmakers said that going forward, all large-scale projects should begin with proper consultations and clear needs assessments.
Civil society organisations have also demanded a freeze on further spending until a full audit is completed, warning that without urgent changes, the industrial parks will end up as another costly but useless investment.