Government lifts ban on scrap metal and updates regulations

Industrialisation CS Ms Betty Maina addresses journalists on the issues surrounding ban on sale of scrap metal, in Nairobi yesterday. [Samson Wire, Standard]

From next week, the scrap metal industry will be back to life after the lifting of a ban imposed in January. Industrialisation CS Ms Betty Maina yesterday announced that the lifting of the ban will be effective from May 1.

This is a relief for traders who have pleaded and even protested two weeks ago against the ban. The scrap metal dealers are however still required to comply with regulations set by the state last month.

The CS announced an updated version of the scrap metal regulations. She said only licensed traders would be allowed to do business and that license applications would undergo vetting by county agencies. “All applications for will be vetted by multi-agency teams in each county and chaired by County Commissioner prior to issuance of licenses,” she said.

The license is not transferable and dealers are required to prominently display them at their businesses.

According to the CS, anyone found operating without a license will be liable to a Sh10 million fine or imprisonment for three years.

For a second offence, one is liable to a fine not exceeding Sh20 million or imprisonment for not more than five years. Export of scrap metal remains restricted.  

Scrap from critical national infrastructure shall only be disposed to the government-owned Numerical Machining Complex and Kenya Shipyard Limited for smelting.

For transportation, Ms Maina directed that licensed dealers carry a certified copy of their licenses and the recipient of the scrap metal on vehicles used for transit.

Dealers are further required to transport their cargo between the prescribed 6.30am and 6.30pm. They will also be required to be registered members of a Business Member Organisation, each of which shall establish self-regulating mechanisms to prevent traders from engaging in vandalised public infrastructure and stolen private property.

The annual fees remain unaffected with licensed dealers, millers and smelters being required to pay Sh250,000 in annual fees as agents part with Sh150,000.

Jua kali “collectors”, stockists of second-hand metal parts, steel fabricators and motor vehicle salvage operators will pay Sh50,000