Sub-National Payments in Kenya’s Oil Industry

This paper aims to give an overview of revenue benefit sharing in the context of Kenya's oil development in Turkana. It outlines the importance of revenue sharing; what the different proposed formulas may mean with respect to the cash value of transfers to sub-national levels; assesses absorptive capacity of Turkana county as this has been put forward as justifying the proposed revenue sharing formula as contained in the current Bill and concludes with recommendations for both national and county governments. The paper also seeks to shift and broaden the discourse on revenue sharing from solely focusing on revenue formulas to encompass aspects related to governance and the administration of sub-national payments, once they have been made