The Kenyan government has publicly sided with Tullow Oil in an escalating dispute over payments of approximately Sh258 million made to the Turkana County Government, rejecting local community claims that the funds should have been deposited directly into community accounts.
State officials, including the Turkana governor, are defending the payment as lawful levies and county revenue under local regulations, triggering a standoff with host community leaders who insist the funds fall under the Community Land Act of 2016.
Turkana Governor Jeremiah Lomorukai clarified that the Sh258 million received from Tullow Oil on June 20, 2024 relates to accrued levies, rates, and taxes on community land leased since exploration began in 2011.
He affirmed that national and county governments remain committed to ensuring future revenues are protected and directed toward community development, pending resumption of oil operations following dialogue with President Ruto.
However, civil society groups and Community Land Management Committees (CLMCs) from Kapese, Lokichar, and Kasuroi dispute that characterization, arguing that funds from 2016 onwards should be paid directly into community-controlled accounts in compliance with the Community Land Act of 2016.
They have demanded clarity within 21 days and are preparing court action to seek legal interpretation on this interpretation gap.
The conflict has attracted national attention: Senator James Lomenen demanded Tullow pay at least Sh13 billion due to the county and local communities, accounting for the statutory shares under the Petroleum Act. His remarks reflect growing frustration over lack of transparency and benefit to host communities, despite oil exploration activities dating back to.
Experts have warned that unresolved disputes over oil revenue handling could deter foreign direct investment. UNCTAD Secretary-General Mukhisa Kituyi singled out the Turkana impasse as symptomatic of broader weaknesses in Kenya’s resource governance that threaten investor confidence.
Meanwhile, Tullow and the county government maintain they acted within legal frameworks, treating the payment as county revenue. Yet activists say that combining lease payments and land rates into central budgets sets a dangerous precedent that undermines statutory protections meant to ensure community benefit and transparency.
The dispute has stirred local tension: community representatives claim funds meant for host communities have instead been redirected into county coffers.
Entities like the Turkana Extractives Consortium accuse some county officials and politicians of scheming to divert these resources for political favor or non‑community uses.
The looming court battle could define how Kenya handles resource revenue sharing going forward.
CLMCs are seeking judicial clarity to determine whether the funds should remain with the county or be transferred into trust accounts controlled by local communities, as per the law.
As the legal and political wrangle continues, many Turkana residents remain hopeful that justice and statutory compliance will prevail and that oil discovered beneath their land will finally translate into tangible development and benefits for their communities.
Written By Ian Maleve
