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    Parliament Proposes New Use of Aviation Levy Proceeds

    Fred
    By Fred Obura
    - August 25, 2025
    - August 25, 2025
    AviationKenya Business newsPublic Policy
    Parliament Proposes New Use of Aviation Levy Proceeds

    Parliament has introduced a bill that could change how proceeds from the country’s aviation levy, charged per passenger, are distributed, with the Cabinet Secretary retaining powers to adjust the US$ 50 international and KSh 600 (US$ 4.70) domestic ticket fees by gazette notice.

    • •The Air Passenger Service Charge (Amendment) Bill, 2025 would extend beneficiaries of the levy to the Tourism Fund and the Kenya Meteorological Service Authority, in addition to the Kenya Airports Authority (KAA) and the Kenya Civil Aviation Authority (KCAA).
    • •Majority Leader Kimani Ichung’wah, who tabled the bill, said the measure would streamline tourism financing and ensure the meteorological service has resources to deliver accurate forecasts for aviation safety.
    • •Lawmakers recently voted for a bill that will transform the Meterology Department into a fully fledged Authority with an independent board.

    “The intent of this Bill is to ensure that these monies are shared in a way that eliminates duplication and guarantees sustainable financing for key institutions,” said Ichung’wah. “We are replacing the Tourism Promotion Fund with the Tourism Fund, which is a more centralised structure, and bringing in the Meteorological Service Authority because accurate weather forecasting is vital for aviation safety and disaster preparedness.”

    Deputy Leader of the Majority Party, Owen Baya emphasised that the aviation levy must directly support institutions that guarantee safe travel and vibrant tourism. “Aeroplanes depend on weather forecasts to determine whether it is safe to fly. The Meteorological Authority has no independent revenue stream yet it plays a critical role. It is only fair that it draws resources from this Fund,” he said. “Tourism also thrives on air travel, and the Tourism Fund must continue attracting visitors to Kenya. This Bill gives us the tools to strengthen both tourism and aviation.”

    The bill has cleared second reading and will now be examined at committee stage.

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