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SPECIAL ISSUE 75
Kenya Gazette Supplement No. 17 17th February, 2017

(Legislative Supplement No. 8)

LEGAL NOTICE NO. 18

THE STATE CORPORATIONS ACT
(Cap. 446)
IN EXERCISE of the powers conferred by section 3 (1) of the
State Corporations Act, I, Uhuru Kenyatta, President and Commander-
in-Chief of the Kenya Defence Forces make the following Order:—
THE NAIROBI METROPOLITAN AREA TRANSPORT
AUTHORITY ORDER, 2017
1. This Order may be cited as the Nairobi Metropolitan Area Citation.
Transport Authority Order, 2017.
2. In this Order, unless the context otherwise requires— Interpretation.

“Act” means the State Corporations Act; Cap. 446.

“Authority” means the Nairobi Metropolitan Area Transport
Authority established by paragraph 4;
“Board” means the Nairobi Metropolitan Area Transport
Authority Board constituted in accordance with paragraph 8;
“Council” means the Nairobi Metropolitan Area Council
constituted in accordance with paragraph 6;
“declared transport corridor” means a corridor comprising of a
number of individually stated sections of roads or railways which the
Authority requires in the discharge of its functions and which has been
brought under the jurisdiction of the Authority in order for its quality to
be maintained to published standards from the Authority;
“Metropolitan Area” means the Nairobi Metropolitan Area and
includes the counties of Nairobi City, Kiambu, Machakos, Kajiado and
Murang’a.
3. This Order shall apply to the Metropolitan Area. Application.

4. (1) There is established an Authority to be known as the Establishment of the

Authority.
Nairobi Metropolitan Area Transport Authority.
(2) The Authority shall be body corporate with perpetual
succession and a common seal and shall, in its corporate name, be
capable of—
(a) suing and being sued;
(b) taking, purchasing or otherwise acquiring, holding, charging
or disposing of movable and immovable property; and
 76 Kenya Subsidiary Legislation, 2017

(c) doing or performing all other things or acts for the proper
performance of its functions under this Act which may be
lawfully done or performed by a body corporate.
(3) The Authority shall be a joint authority in accordance with
Article 189(2) of the Constitution.
(4) The headquarters of the Authority shall be in Nairobi, and it
shall establish such other sub-offices in any location in the
Metropolitan Area, as it may consider necessary for the discharge of its
functions.
5. (1) The Authority shall oversee the establishment of an Functions of the
Authority.
integrated, efficient, effective and sustainable public transport system
within the Metropolitan Area.
(2) Without prejudice to the generality of the provisions of
subparagraph (1), the Authority shall—
(a) develop a sustainable integrated public transport strategy for
the Metropolitan Area;
(b) develop a sustainable urban mobility plan for the
Metropolitan Area derived from the strategy;
(c) formulate and oversee the development of a sustainable,
evidentially based, Integrated Mass Rapid Transit System
Strategy;
(d) plan, regulate and co-ordinate the supply of adequate and
effective Mass Rapid Transit System;
(e) formulate and implement programmes and policies for the
overall improvement of public transportation systems within
the Metropolitan Area;
(f) provide an enabling environment for orderly and structured
development of the mass transit system, including both bus
rapid transit and commuter rail within the Metropolitan
Area;
(g) coordinate with other government agencies and other parties
for the development and operation of transport
infrastructure, facilities and works necessary for the
discharge of the functions of the Authority;
(h) develop an inventory and undertake continuous evaluation of
the declared road network status within the Metropolitan
Area;
(i) formulate strategies to ensure overall improvement in traffic
flow, planned and programmed traffic engineering and
traffic management works within the Metropolitan Area;
(j) ensure optimal utilisation of intermodal means of transport
including air, road, rail and non-motorised transport and any
other modes targeting mass movement within the
Metropolitan Area;
 Kenya Subsidiary Legislation, 2017 77

(k) assist in poverty alleviation by increasing economic

efficiency through lower transport costs and prices within
the Metropolitan Area;
(l) improve the environmental sustainability of the transport
system in the Metropolitan Area;
(m) facilitate the integration of transport and land use planning in
the Metropolitan Area;
(n) make better use of existing road space for all modes and
reduce the need for the construction new roads within the
Metropolitan Area;
(o) regulate both on street and off-street parking on declared
corridors and impose fees and penalties with respect thereto;
(p) conduct studies and research for, amongst other things,
identification of the Mass Rapid Transit System routes,
corridors, network and service levels;
(q) develop appropriate and sustainable funding mechanisms in
order to achieve the objectives of the Authority; and
(r) perform the any other functions vested upon the Authority
under this Order.
6. (1) There shall be a Council for the Nairobi Metropolitan Area
which shall consist of—
(a) the Cabinet Secretary responsible for transport;
(b) the Cabinet Secretary responsible for finance;
(c) the Governor of Nairobi City County;
(d) the Governor of Kiambu County;
(e) the Governor of Machakos County;
(f) the Governor of Kajiado County; and
(g) the Governor of Murang’a County.
(2) The Cabinet Secretary responsible for transport shall be the
chairperson of the Council.
(3) The Governor of Nairobi City County shall be the deputy
chairperson of the Council.
(4) In the absence of both the chairperson and deputy Functions of
Council.
chairperson, the members of the Council present shall nominate a
member from their number, to preside over the meeting.
(5) The secretary to the Board appointed under paragraph 12 (1)
shall provide secretarial services to the Council.
7. The Council shall— Board of the
Authority.
(a) be responsible for the development of policy and directions
for purposes of this Order;
(b) set goals and objectives and priorities for the Metropolitan
Area;
 78 Kenya Subsidiary Legislation, 2017

(c) determine the financial contribution of each county to the

funds of the Authority;
(d) approve both the master plan and strategic plan prepared by
the Authority;
(e) declare, by Notice in the Gazette, transport corridors within
the Metropolitan Area;
(f) approve external funding and bilateral agreements in line
with the national financial and fiscal policies; and
(g) perform such other functions as are assigned under this
Order.
8. (1) There shall be a Board of Directors of the Authority which
shall consist of—
(a) the chairperson of the Board, appointed by the President;
(b) the Principal Secretary responsible for transport;
(c) the Principal Secretary responsible for finance;
(d) the County Executive Committee Member responsible for
transport in each of the five counties of the Metropolitan
Area;
(e) the Director-General appointed under paragraph 13; and
(f) three independent person who shall be appointed by virtue
of their knowledge and experience in—
(i) transport;
(ii) law;
(iii) intelligent transport systems;
(iv) civil engineering;
(v) traffic engineering;
(vi) economics;
(vii) urban design, planning and management; or
(viii) any other relevant field .
(2) The appointment of the members of the Board under Functions of the
Board.
subparagraph (1) (f) shall be by the Council.
(3) Every appointment under paragraph (1)(a) and (f) shall
conform to sections 6 (2) and (3) of the Act.
9. (1) The Board of the Authority shall be responsible for the
management and administration of the Authority and oversee the
planning, development, maintenance and operation of an integrated and
sustainable public transport network including, infrastructure and
services that affect delivery of the Authority’s mandate within the
Nairobi Metropolitan Area.
 Kenya Subsidiary Legislation, 2017 79

(2) Without prejudice to the generality of the provisions of

subparagraph (1), the Board shall—
(a) approve and oversee the implementation of an Integrated
Transport Master Plan;
(b) oversee the development of a sustainable, evidentially based,
Integrated Mass Rapid Transit System Strategy;
(c) oversee the implementation of a comprehensive traffic
management plan and strategy;
(d) formulate additional standards and requirements for Mass
Rapid Transit System and monitor their delivery;
(e) enter into any agreement or partnership with any public
sector agencies and other parties for the development and
operation of transportation infrastructure, services or
facilities, works, and equipment necessary for the discharge
of the functions of the Authority;
(f) regulate and enter into agreements with Mass Rapid Transit
System Operators and Service Providers including—
(i) companies or owners of Mass Rapid Transit System Powers of the
Board.
rolling stock and service providers;
(ii) Mass Rapid Transit System operators;
(iii) Mass Rapid Transit System routes;
(g) recommend to the Council , transport corridors to be
declared as part of the Authority’s Strategic Transport
Network under this Order;
(h) ensure compliance of any law or regulation on the
functions of the Authority;
(i) approve traffic management schemes and accesses along the
declared corridors; and
(j) perform the functions vested upon the Board under this
Order.
9. (1) The Board shall have all the powers necessary to manage
and administer the Authority in a manner that shall enable the
Authority to realize the objects and purposes for which the Authority is
established and in particular, but without prejudice to the generality of
the foregoing, the Board shall have the power to—
(a) open a bank account for the funds of the Authority into
which all moneys received by the Authority shall be paid in
the first instance and out of which all payments made by the
Authority shall be made.
(b) in consultation with the Council, enter into enter into
contracts or association with such other persons, bodies or
organizations within or outside Kenya as the Board may
consider appropriate in furtherance of the objects and
purposes of the Authority; and
 80 Kenya Subsidiary Legislation, 2017

(c) determine, impose and levy rates, charges, dues or fees for
any services performed by the Authority, or for the grant,
renewal or validation of a licence, permit or certificate;
(d) acquire such land or assets for the proper performance of its
functions in accordance with the Constitution and laws of
Kenya;
(e) invest any of the Authority’s funds not immediately required Delegation by the
Board.
for the purposes of this Order; and
(f) in consultation with the Council, carryout any other activity Corporation
Secretary.
that is in the opinion of the Board, will promote and
facilitate realization of the objects and purposes for which
the Authority is established.
11. The Board may by resolution either generally or in any
particular case, delegate to any committee of the Board or to any
member, officer, employee or agent of the Authority, the exercise of
any of the powers or the performance of any of the functions of the
Board under this Order or under any other written law.
12. (1) The Board shall competitively recruit a suitably qualified Director General.
person, in terms of the law governing the practice of public secretaries
in Kenya, to serve as the Corporation Secretary of the Authority.
(2) The Corporation Secretary shall be the Secretary to the Board
and shall be responsible for arranging the business of the Board, Board
meetings, the keeping of records of the Board meetings, the keeping of
records of the proceedings of the Board, and perform such other duties
as the Board may direct.
13. (1) There shall be a Director-General of the Authority
appointed by the Board, who shall be the Chief Executive Officer of
the Authority and shall be responsible for the day to day operations and
administration of the Authority.
(2) A person shall qualify for appointment as a Director-General,
if that person—
(a) holds a degree in any relevant field from a university
recognized in Kenya;
(b) has knowledge and experience in any of the following
fields—
(i) transport economics;
(ii) civil engineering;
(iii) traffic engineering;
(i) urban planning and management; or
(v) any other relevant field.
(c) has a distinguished career in a senior management position
in either private or public sector;
 Kenya Subsidiary Legislation, 2017 81

(d) holds at least ten years’ post qualification professional

experience; and
(e) satisfies the requirements of Chapter Six of the Constitution.
(3) A person shall not be qualified for appointment as a Director-
General under subparagraph (1), if that person—
(a) is adjudged bankrupt or enters into a composition scheme or
arrangement with his or her creditors;
(b) is convicted of an offence involving dishonesty or fraud;
(c) fails to comply with the requirements of Chapter Six of the
Constitution; or
(d) is convicted of a criminal offence and sentenced to
imprisonment for a term exceeding six months or to a fine
exceeding ten thousand shillings.
(4) The Director-General shall serve on such terms and Staff.
conditions as specified in the instrument of appointment.
(5) The Director-General shall be appointed for a term of three Funds of the
Authority.
years and shall be eligible for reappointment for one further term.
14. The Authority may employ such other officers, staff or agents
as it considers necessary for the discharge of its functions and duties
under this Order, and upon such terms and conditions as the Board
may, in consultation with the relevant government institutions,
determine.
15. The funds of the Authority shall consist of— Financial Year.

(a) monies allocated by Parliament for the purposes of the Annual estimates.
Authority;
(b) such monies or assets as may accrue to the Authority in the
course of the exercise of its powers or in the performance of
its functions under this Order;
(c) all monies from any other source provided, donated or lent
to the Authority;
(d) contributions from the counties in the Metropolitan Area;
and
(e) any other funds approved by law.
16. The financial year of the Authority shall be the period of
twelve months ending on the thirtieth June in each year.
17. (1) The Board shall, cause to be prepared estimates of
revenue and expenditure of the Authority for that financial year.
(2) The annual estimates shall make provision for all the
estimated expenditure of the Authority for the financial year concerned,
and in particular, shall provide for the—
(a) payment of salaries, allowances and other charges in respect
of the Council members, Board members and the staff of the
Authority;
 82 Kenya Subsidiary Legislation, 2017

(b) payment of pensions, gratuities and other charges in respect

to retirement benefits to the staff of the Authority; and
(c) proper maintenance, repair, and replacement of the
equipment and other movable property of the Authority.
(3) The Board shall approve the annual estimates before the Accounts and Audit.
commencement of the financial year to which they relate.
(4) No expenditure shall be incurred for the purposes of the
Authority except in accordance with the annual estimates approved
under subparagraph (3) or with the authorization of the Board given
with prior written approval of the Council.
18. (1) The Board shall cause to be kept all proper books and Annual report.
other records of accounts of income, expenditure, assets and liabilities
of the Authority.
(2) Within a period of three months after the end of each
financial year, the Board shall submit to the Auditor-General the
accounts of the Authority, in respect of that year together with—
(a) a statement of income and expenditure during that financial
year; and
(b) a statement of assets and liabilities of the Authority on the
last day of that financial year.
19. The Board shall, on receipt of audited accounts for the Protection from
personal liability.
preceding year, submit to the Council an annual report in respect of
that year containing—
(a) the accounts of the Authority and statements referred to Liability for
damages.
under paragraph 18(2)(a);
(b) the Authority’s performance indicators and any other related
information;
(c) a report on the operations of the Authority during that year;
and
(d) such other information as the Council may request.
20. No matter or thing done by the Council, chairperson or any Dispute resolution
mechanism.
other member of the Board or any officer, employee or agent of the No. 2 of 2012.
Authority shall, if the matter or thing is done in good faith for the
purposes of executing any provisions of this Order, render the
chairman, member, officer, employee or agent or any person acting
under the direction of those persons personally liable to any action,
claim or demand.
21. The provisions of this Order shall not relieve the Authority of
the liability to pay compensation or damages to any person for any
injury to that person or his interests caused by the exercise of any
power conferred by this Order or by failure, whether wholly or
partially, of any works.
 Kenya Subsidiary Legislation, 2017 83

22. The mode of dispute resolution for any matter arising under
this Order shall be dealt with in accordance with the provisions of Part
IV of the Intergovernmental Relations Act, 2012.
Made on the 8th February, 2017.
UHURU KENYATTA,
President.

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