Prime Cabinet Secretary Musalia Mudavadi has defended the KSh80 billion cooperation agreement between the National Government and Nairobi City County, terming it a lawful and transformative framework designed to fix the capital’s long-standing infrastructure challenges.
Appearing before the Senate Standing Committee on Devolution and Intergovernmental Relations, Mudavadi clarified that the agreement does not transfer functions from the county to the national government, but instead strengthens devolution through structured collaboration.
“The joint steering committee which I chair is not the implementing committee. We meet quarterly. Implementation is led by Governor Sakaja through a hands-on committee that works closely with technical teams from both the national government and City Hall,” Mudavadi said.
Mudavadi explained that the KSh80 billion allocation will be captured within the national government’s budget and implemented strictly in line with the Public Finance Management Act.
“All projects under this agreement are within the law. There is full compliance with the PFM Act,” he stated.
Mudavadi also noted that the cooperation framework will run for two years, with the possibility of extension based on performance and outcomes. He anchored the deal in Section 6 of the Urban Areas and Cities Act, insisting it is both legal and necessary to fast-track Nairobi’s development.
The implementation committee, chaired by Governor Sakaja, has already convened three meetings to finalize budgets and project timelines.
Key projects outlined in the agreement include the installation of approximately 50,000 street lights, electricity connections in informal settlements, and settlement upgrading through prepaid metering, transformers, and lighting.
The plan also sets aside KSh33 billion for major sanitation and sewer infrastructure, KSh8.7 billion for roads, bridges, and drainage improvements, and KSh6 billion for enhanced solid waste management systems.
A major highlight is the KSh50 billion earmarked for the Nairobi River regeneration programme, targeting restoration of the river corridor and surrounding infrastructure.
Mudavadi assured that the national government’s role is to support, not override, county leadership.
“Devolution flows within this agreement. We are supporting it. It is now the responsibility of the Governor to deliver with the support provided,” he said.
The Prime Cabinet Secretary pointed to key projects already outlined under the agreement, including a major allocation for drainage improvements to address perennial flooding, as well as enhanced street lighting and widespread road recarpeting down to the ward level.
