You’re no stranger to the words “parastatals” or “state-owned entities”. But if you’re looking to get a better understanding of the different parastatals in Kenya, you’ve come to the right place.
In this article, we’ll break down the list of parastatals in Kenya and discuss their roles and responsibilities. We’ll also look at some of the biggest state-owned entities operating in the country and explain how they affect everyday life.
So if you’re ready to learn more about Kenya’s parastatals, let’s jump right in. We’ll start by getting a better understanding of what these organizations actually do, then move on to discussing some of the most influential ones.
What Are Parastatals in Kenya?
Parastatals (also known as public corporations or statutory corporations) are organizations that are set up by the government to deliver specific services. They can be owned either wholly or partially by the government, and serve a social and economic purpose in a country.
In Kenya, there are several parastatals that are responsible for providing important services such as electricity, water supply, and public transportation. These organizations play a crucial role in the Kenyan economy and include the Rural Electrification Authority (REA), Kenya Power and Lighting Company (KPLC), Kenya National Highways Authority (KeNHA), and Kenya Railways Corporation (KRC).
The government’s commitment to developing the Kenyan economy has extended to creating these parastatals, as they provide essential services for citizens across the country. These public corporations also have an impact on job creation and growth of industries in Kenya, which is why they are highly valued by the government.
Types of Parastatals in Kenya
Parastatals are public organizations, which are owned and controlled by the government. They play a vital role in providing services and in the overall development of Kenya. There are many types of parastatals in Kenya, each one contributing to different sectors of the economy.
Here’s a quick look at some of the major types of parastatals in Kenya:
- State Corporations: These are organizations established by an Act of Parliament with semi-autonomous status. Examples include Kenya Power & Lighting Company (KPLC) and Kenya Pipeline Company (KPC).
- Development Authorities: These are organizations that have been established to supervise, facilitate and promote development in specific areas or regions. Examples include the Tana River Development Authority (TRDA) and Kereita Forest Development Authority (KFDA).
- Government Trading Corporations: These are organizations set up for import and supply or sale of goods or services. Examples include National Cereals & Produce Board (NCPB) and Kenya Bureau of Standards (KEBS).
- State Foundations: These are public entities established for public good, such as conservation, education or research. Examples include Friends of Karura Forest Foundation and Jomo Kenyatta Foundation.
This list is intended to provide a comprehensive overview of the main types of parastatals in Kenya, but there may be more depending on specific needs related to certain industries or sectors.
Structure of Parastatals
When it comes to parastatals in Kenya, the structure is pretty straightforward. There are three main types of parastatals:
- Central Government Parastatals: These are owned and run by the Central Government of Kenya and have their own governing bodies. They include such key entities as the Kenya Power and Lighting Company (KPLC), the Kenya Pipeline Company (KPC) and the Kenya Railways Corporation (KRC).
- County-level Parastatals: These are owned and run by county governments in Kenya, with governing bodies set up by the relevant counties. Examples include the Narok County Water Resources Management Board, Naivasha Water Services Company and Isiolo Water Services Company.
- Private Sector Parastatals: These are privately owned companies, which operate as parastatals with government approval and support. Examples include Safaricom, Equity Bank and Mater Hospital.
Each of these parastatal types has its own set of regulations and responsibilities, but they are all united under one goal – to serve the people of Kenya through providing efficient service delivery to citizens around the country.
Benefits and Drawbacks of Parastatals
Parastatals in Kenya can be both beneficial and have some drawbacks.
Benefits
Parastatals can provide job opportunities for qualified individuals, economic growth and development in the nation, as well as improved services in various sectors. They also offer some of the most comprehensive and reliable services to citizens, businesses and other organizations. Finally, they also provide additional sources of revenue for the country when they turn a profit.
Drawbacks
Despite their potential benefits, parastatals can sometimes be mismanaged or inefficient. There are also allegations of nepotism and favoritism in hiring practices as well as corruption within organizations. This can lead to a lack of accountability, transparency, inefficiency and an inadequate workforce which can result in increased costs or poor quality service delivery. In addition, parastatals hold a large portion of the national debt which can lead to financial issues in the country if not managed properly.
List of the Top 10 Parastatals in Kenya
Did you know that Kenya has over 164 parastatals? That’s a lot! So what are the biggest and most important of these parastatals in terms of size, economic contribution, and services rendered? Here is a list of the top 10 parastatals in Kenya:
- Kenya Power & Lighting Company (KPLC): A Public Company listed on the Nairobi Securities Exchange, providing electricity services throughout the country.
- KenGen: Generating an average of 75% of Kenya’s electricity requirements through sustainable power sources such as hydro, geothermal, wind and solar energy.
- Kenya Ports Authority (KPA): Responsible for managing ports along the Kenyan coast, facilitating all activities related to international and coastal shipping.
- The National Oil Corporation of Kenya (NOCK): Engaged in oil exploration and refining activities across the country.
- The National Social Security Fund (NSSF): Providing retirement benefits to employees in both the public & private sectors across Kenya.
- The Rural Electrification Authority (REA): Responsible for electrification projects throughout rural communities in the country by connecting them to affordable national grid power sources.
- State Department Of Housing & Urban Development: Providing housing solutions to citizens across urban-dwelling areas in Kenya through various projects such as slum rehabilitation and housing construction schemes for low-income earners.
- State Department Of Agriculture: Primarily responsible for offering impactful agricultural services to Kenyan citizens such as provision of farmer inputs, soil fertility management services amongst others under its umbrella of programs that include Market Price Information System (MPIS).
- Central Bank of Kenya
- Nairobi Securities Exchange
List Of Parastatals In Kenya with their respective ministries
1. Interior and Coordination of National Government
- National Authority for the Campaign Against Alcohol and Drug Abuse
- Kenya Citizens and Foreign Nationals Management Service
2. Ministry of the National Treasury Parastatal
- Kenya Accountants and Secretaries
- National Examinations Board (KASNEB)
- Privatization Commission
- Kenya Investment Authority
- Insurance Regulatory Authority
- Public Procurement Oversight Authority
- Public Procurement Oversight Authority
- Capital Market Authority
- Deposit Protection Fund
- National Bank of Kenya
- Kenya Post Office Savings Bank
- Consolidated Bank of Kenya
- Retirements Benefit Authority
- Kenya Reinsurance Corporation
- Kenya Revenue Authority
- Kenya Trade Network Agency
- Competition Authority of Kenya
3. Foreign Affairs and International Trade
4. Defence
- Kenya Ordinance and Factories Corporation (KOFC)
5. Health
- Kenya Medical Laboratory Technician and Technologists Board
- Kenya Medical Research Institute (KEMRI)
- Kenya Medical Supplies Authority (KEMSA)
- Kenya Medical Training College
- Kenyatta National Hospital
- Moi Teaching and Referral Hospital
- National Hospital Insurance Fund
- National AIDS Control Council
- National Quality Control Laboratories
- Kenyatta University Teaching, Referral and Research Hospital
6. Education, Science and Technology
- Chuka UniversityCommission for University Education
- Cooperative University College
- Dedan Kimathi University
- Egerton University
- Embu University
- Garissa University
- Higher Education Loans Board
- Jaramogi Oginga Odinga University of Science and Technology
- Jomo Kenyatta Foundation
- Jomo Kenyatta University of Agriculture and Technology
- Karatina University
- Kenya Institute of Curriculum Development
- Kenya Literature Bureau
- Multi-Media University of Kenya
- Kenya National Commission for UNESCO
- Kenya National Examinations Council
- Kenya Universities and Colleges Central Placement Services
- Kenyatta University
- Kibabii University
- Kirinyaga University
- Kisii University
- Laikipia University
- Maasai Mara University
- Machakos University
- Maseno University
- Masinde Muliro University of Science and Technology
- Meru University of Science and Technology
- Moi University
- Murang’a University College
- National Commission for Science, Technology and Innovation
- Pwani University
- Rongo University
- School Equipment Production Unit
- South Eastern Kenya Universtiy- SEKU
- Taita Taveta University Technical Industrial, Vocational Entrepreneurships Training Authority
- Technical University of Mombasa
- The Technical University of Kenya
- University of Eldoret
- University of Kabianga
- University of Nairobi
7. Transport and Infrastructure Development
- Kenya National Highways Authority (KENHA)
- Kenya Airports Authority
- Kenya Civil Aviation Authority
- Kenya Ferry Services
- Kenya Maritime Authority
- Kenya National Shipping Line
- Kenya Ports Authority
- Kenya Railways Corporation
- Kenya Roads Board
- Kenya Rural Roads Authority
- Kenya Urban Roads Authority
- LAPSET Corridor Development Authority
- National Transport & Safety Authority
8. Devolution and Arid and Semi-Arid Lands
- Constituency Development Fund Board
- National Drought Management Authority
- Kenya Institute of Public Policy Research and Analysis
- Kenya National Bureau of Statistics
- Kenya School of Government
- National Coordinating Agency for Population and Development
- South-South Centre
- Youth Enterprise Development Fund Board (YEDFB)
9. Lands
National Construction AuthorityNational Housing Corporation
10. Environment and Forestry
- Coast Development Authority
- Coast Water Services Board
- Ewaso Ng’iro North Development Authority
- Ewaso Ng’iro South Development Authority
- Kenya Forest Service
- Kenya Forestry Research Institute
- Kenya Water Towers Agency
- Kenya Wildlife Service
- Kerio Valley Development Authority (KVDA)
- Lake Basin Development Authority (LBDA)
- National Environmental Management Authority (NEMA)
11. Agriculture and Irrigation
- Agricultural Development Corporation
- Agricultural, Fisheries and Food Authority
- Agro-Chemical and Food Company
- Bukura Agricultural College
- Chemelil Sugar Company Limited
- Coffee Development Fund
- Commodities Fund
- Kenya Agricultural and Livestock Research Organization
- Kenya Animal Genetics Resource CentreKenya Dairy Board
- Kenya Marine & Fisheries Research InstituteKenya Meat Commission
- Kenya Plant Health Inspectorate Services
- Kenya Seed Company Limited
- Kenya Tsetse & Trypanosomiasis Eradication Council
- Kenya Veterinary Vaccine Production Institute
- Miwani Sugar Company Ltd
- Mohoroni Sugar Company LtdNational Biosafety Authority
- National Cereals and Produce Board
- National Irrigation Board
- Nyayo Tea Zones Development Corporation
- Nzoia Sugar Company
- Pest Control Products Board
- South Nyanza Sugar Company Limited (SONY)
12. Labour and Social Protection
- National Social Security Fund
- National Social Security Assistance Authority
- National Council for Persons with Disabilities
- National Industrial Training Authority
13. Tourism and Wildlife
- Kenyatta International Conference Centre
- Kenya Utalii College
- Bomas of Kenya
- Kenya Tourism Board
- Tourism Regulatory Authority
- Kenya Tourist Development Corporation
- Kenya Safari Lodges and Hotels
- Tourism Fund
- Brand Kenya
- Catering and Tourism Development Levy Trustee
14. Energy
- Energy Regulatory Commission (ERC)
- Geothermal Development Company (GDC)
- Kenya Electricity Generating Company (KENGEN)
- Kenya Electricity Transmission Company (KETRACO)
- Kenya Nuclear Electricity Board
- Kenya Pipeline Company (KPC)
- Kenya Power and Lighting Company Limited (KPLC)
- National Oil Corporation of Kenya (NOCK)
- Rural Electrification Authority (REA)
15. Industrialisation and Enterprise Development
- Anti-Counterfeit Agency
- East African Portland Cement Company Limited
- Export Processing Zones Authority (EPZA)
- Kenya Bureau of Standards
- Kenya Industrial Estates Ltd.
- Kenya Industrial Property Institute
- Kenya Industrial Research & Development Institute
- Kenya Investment Authority
- Kenya Leather Development Council
- Kenya National Accreditation Service
- New Kenya Co-operative Creameries
- Numerical Machining Complex
- Sacco Societies Regulatory Authority
- Small and Micro Enterprises Authority
16. Information, Communication and Technology
- Communications Authority of Kenya
- Kenya Broadcasting Corporation
- Information and Communications Technology Authority
- Kenya Institute of Mass Communication
- Kenya Year Book Editorial Board
- Konza Technopolis Authority
- Postal Corporation of Kenya
17. Sports and Heritage
- Kenya Academy of Sports
- Kenya Film Classification Board
- Kenya Film Commission
- Kenya National Library Service
- National Museums of Kenya
- National Youth Council
- Sports Kenya
18. Office of the Attorney General
- Council of Legal Education
- Kenya Copyright Board
- Kenya Law Reform Commission
- Kenya School of Law
- Nairobi Centre for International Arbitration
- National Council for Law Reporting
- National Crime Research Centre
19. Public Service, Youth and Gender Affairs
20. Water and Sanitation
21. Mining and Petroleum
22. East African Community and Northern Corridor Development
They are further classified into eight broad section namely;-
- Commercial/manufacturing
- Regulatory
- Public Universities
- Training and Research
- Service
- Regional Development Authorities
- Tertiary Education and Tr
1. Financial
- Kenya Investment Authority
- IDB capital
- Agricultural Finance Corporation
- Consolidated Bank
- Deposit Protection Fund Board
- Industrial and Commercial Development Corporation
- Industrial Development Bank
- Kenya Industrial Estates
- Kenya National Assurance Co.
- Kenya Re-Insurance Corporation
- Kenya Revenue Authority
- Kenya Roads Board
- Kenya Tourist Development Corporation
- National Bank of Kenya
- National Hospital Insurance Fund
- National Social Security Fund
2. Commercial & Manufacturing
- Agro-Chemicals and Food Company
- Chemelil Sugar Company
- East African Portland Cement Company
- Gilgil Telecommunications Industries
- Jomo Kenyatta Foundation
- Kenya Airports Authority
- Kenya Broadcasting Corporation
- Kenya Electricity Generating Company
- Kenya Literature Bureau
- Kenya Ordinance Factories Corporation
- University of Nairobi Enterprises and Services Limited
- New Kenya Co-operative Creameries Ltd
- Kenya Electricity Transmission Company
- Kenya Pipeline Company
- Kenya Ports Authority
- Kenya Power and Lighting Company
- Kenya Railways Corporation
- Kenya Civil Aviation Authority
- Kenya Safari Lodges and Hotels
- Kenya Seed Company Limited
- Kenya Wine Agencies
- Kenyatta International Convention Centre
- National Cereals and Produce Board
- National Housing Corporation
- National Oil Corporation of Kenya
- National Water Conservation and Pipeline Corporation
- Numerical Machining Complex
- Nzoia Sugar Company
- Postal Corporation of Kenya
- Pyrethrum Board of Kenya
- School Equipment Production Unit
- South Nyanza Sugar Company
- Telkom Kenya Limited
3. Public Universities
- Chuka University
- Cooperative University
- Dedan Kimathi University
- Egerton University
- Embu University
- Garissa University
- Jaramogi Oginga Odinga University of Science and Technology
- Jomo Kenyatta University of Agriculture and Technology
- Karatina University
- Multi-Media University of Kenya
- Kenyatta University
- Kibabii University College
- Kirinyaga University College
- Kisii University
- Laikipia University College
- Maasai Mara University
- Machakos University College
- Maseno University
- Masinde Muliro University of Science and Technology
- Meru University of Science and Technology
- Moi University
- Murang’a University
- Pwani University
- Rongo University
- South Eastern Kenya Universtiy- SEKU
- Taita Taveta University
- Technical University of Mombasa
- The Technical University of Kenya
- University of Eldoret
- University of Kabianga
- University of Nairobi
4. Training and Research
Are Universities also Parastatals? The answer to this question is straight forward
- Kenya Universities and Colleges Central Placement Service
- Coffee Research Foundation
- Kenya Agricultural Research Institute
- Kenya Forestry Research Institute
- Kenya Industrial Research and Development Institute
- Kenya Institute of Administration
- Kenya Institute of Public Policy Research and Analysis
- Kenya Marine and Fisheries Research Institute
- Kenya Medical Research Institute
- Kenya Sugar Research Foundation
- National Museums of Kenya
- Tea Research Foundation
- Kenya Institute of Education
- Kenya Education Staff Institute
5. Service Corporations
- Agricultural Development Corporation
- Bomas of Kenya
- Central Water Services Board
- Coast Water Services Board
- Higher Education Loans Board
- Kenya Accountants and Secretaries National Examination Board
- Kenya Ferry Services
- Kenya National Library Services
- Kenya Tourist Board
- Kenya Wildlife Service
- Kenyatta National Hospital
- Lake Victoria North Water Services Board
- Local Authorities Provident Fund
- Moi Teaching and Referral Hospital
- Nairobi Water Services Board
- National Aids Control Council
- National Council for Law Reporting
- National Sports Stadia Management Board
- Northern Water Services Board
- Rift Valley Water Services Board
- Water Resources Management Authority
- Water Services Trust Fund
- Lake Victoria South Water Services Board
- National Authority for the Campaign Against Alcohol and Drug Abuse
- Athi Water Services Board
- Kenya National Examination Council
6. Regional Development
- Coast Development Authority
- Ewaso Ng’iro North Development Authority
- Ewaso Ng’iro South Development Authority
- Kerio Valley Development Authority
- Lake Basin Development Authority
- Tana and Athi Rivers Development
7. Tertiary Education & Training
- Cooperative College of Kenya
- Kenya College of Communications Technology
- Kenya Medical Training College
- Kenya Utalii College
- Kenya Water Institute
8. Regulatory
- Kenya Veterinary Board
- Kenya Leather Development Council
- Unclaimed Financial Assets Authority
- Capital Markets Authority
- Catering and Tourism Development Levy Trustee
- Coffee Board of Kenya
- Commission for University Education
- Communication Authority
- Council for Legal Education
- Energy Regulatory Commission
- Export Promotion Council
- Horticultural Crops Development Authority
- Kenya Bureau of Standards
- Kenya Dairy Board
- Kenya Industrial Property Institute
- Kenya Plant Health Inspectorate Services
- Kenya Sisal Board
- Kenya Sugar Board
- Maritime Authority National Environment Management Authority
- National Irrigation Board
- Public Benefits Organizations Regulatory Authority
- Tea Board of Kenya
- Water Services Regulatory Board
- Transport Licensing Board
- Catering Training & Tourism Development Levy Trustees
- Export Promotion Council
- Export Processing Zones Authority
- Kenya Bureau of Standards
Best Paying Parastatals in Kenya
Without further ado here is a list of best paying Parastatals in Kenya;
- National Security & Intelligent Service,
- Kenya Airports Authority
- Ethics and Anti-Corruption Commission
- Central Bank of Kenya
- Nairobi Securities Exchange
- KenGen
- Kenya Power
- Communication Authority of Kenya
- Kenya Pipeline
- Kenya Civil Aviation Authority
Recent Developments in Kenyan Parastatals
More recently, the Kenyan government has identified a number of key parastatals that have been growing and contributing to the economy.
From energy production, to food security and health care provision, here are some of the most important parastatals in Kenya.
Kenya Electricity Generating Company (KenGen)
KenGen is the leading electric power generating company in Kenya with an installed capacity of 1,624 MW as at June 2020. It is responsible for 72% of electricity generated in Kenya and is also the largest renewable energy producer in East and Central Africa.
National Oil Corporation of Kenya (NOCK)
NOCK is a state corporation responsible for fuel procurement, infrastructure development and management of petroleum products in Kenya. It has over 100 petrol stations across the country and provides services like fuel management, transport engineering and construction.
National Irrigation Board (NIB)
The NIB is responsible for managing irrigation schemes across the country. It oversees irrigation projects, provides technical assistance and offers training programs to farmers to maximize crop production.
Kenya Railways Corporation (KRC)
KRC is responsible for managing railway infrastructure, operations and services in Kenya.
It operates several railway lines such as standard gage line linking Nairobi with Mombasa, the Nairobi commuter rail service.
With these developments in mind, it’s clear that parastatals are an important part of Kenya’s economy and development agenda, providing essential services and opportunities for all citizens.
Read also: Major Social problems Kenya faces
Conclusion
In conclusion, there are many parastatals operating in Kenya that are striving to bring economic and social development to the country. Parastatals are important public entities that are crucial in the country’s growth and progress. From the Kenya National Highway Authority to specialized agencies like the Kenya Investment Authority, these parastatals are playing a vital role in the nation’s present and future development. They are creating employment opportunities and contributing to the nation’s economy. All in all, it is clear that the list of parastatals in Kenya is both extensive and invaluable.