MPs fail to pass Bill regulating campaign cash

By Stephen Makabila

KENYA: It is now official that there will be no laws to regulate campaign spending ahead of the March 4 elections after Parliament swept the Election Campaign Bill 2012 under the carpet.

Parliament’s Bill Tracker Report dated January 4 had indicated the Bill that had originated from the Ministry of Justice and Constitutional Affairs, was awaiting second reading. But as fate had it, the House which had its last sitting on Thursday, failed to pass the Bill, a move that has opened up a round of condemnation from the Constitutional Implementation Commission, Centre for Multi-Party Democracy and other players.

The Bill was the first legislative initiative specifically designed to regulate campaign financing. It provided for the regulation, management, expenditure and accountability of campaign funds during the election and referendum.

The Bill required political parties, their candidates — before an election — to fully disclose their sources of funding for purposes of elections.

CIC chairman Charles Nyachae says it is unfortunate Parliament had dissolved before passing the Campaign Financing Bill, which he said the Constitution required to be enacted by August.

“The consequence of the violation is that election campaigns are underway without the regulatory mechanism to enhance transparency,” Nyachae said.

Role of agency

He went on: “The last act of the Tenth Parliament — passage of the retirement perks — is a violation of the Constitution because it usurps the role of the Salaries and Remuneration Commission. It is a shameful act.”

CMD chairman Justin Muturi says the Bill had received a lot of stakeholders input and that it had been their hope that it was to be enacted into law.

“Its unfortunate because the Bill could help sanitise local campaigns by checking use of excessive cash by politicians,” added Muturi. Muturi, however, said all was not lost, as the Independent Electoral and Boundary Commission (IEBC) could move in and play the regulation role.

“In absence of the law, the IEBC has the constitutional mandate under Article 88 of the Constitution to regulate the flow of cash during the campaign period,” added Muturi.

Nominated MP George Nyamweya said most crucial Bills had been passed by the Tenth Parliament, but was not willing to comment on the Campaign Finance Bill 2012.

“I am not sure about this one because I have had many things to address lately,” added Nyamweya.

Recent months have seen a blitz of advertisements in local dailies by aspirants for various elective positions. Variously touted as ‘fundraising dinners’, ‘brainstorming sessions’ or simply invitations to nyama choma outings, such gatherings are believed to be raising hundreds of thousands of shillings, and sometimes even millions in just single sittings.

Expensive poll

It is estimated the coming election, billed to be one of the biggest in the world, could cost an upward of Sh36 billion, with some warning excessive spending could lead to inflation.

Ken Masime, Director of Centre for Governance and Development, estimates that in this election, the main presidential candidates’ campaigns will cost between Sh10 billion and Sh20 billion each. “This campaign has high stakes and the amount of money will be enormous,” said Masime. In November 8 last year, the Cabinet approved the Campaign Finance Bill, 2012, which was to regulate the amount and sources of funds to be used during campaigns.

The law aimed to eliminate the influence of financial resources in the outcome of Kenya’s electoral processes. The Bill was the last election-related legislation that Parliament had to enact in preparation for March 4 election as it was to create a level playing field for candidates by regulating the sources of funding and setting spending limits.

It was also largely expected to encourage the development of issue-based politics. Justice minister Eugene Wamalwa had indicated it was to be prioritised in Parliament.

A Cabinet meeting chaired by President Kibaki had thrown its weight behind the Bill, which among other things bars contributions into campaign kitties from foreign governments and entities, anonymous contributions, contributions from illegal sources and those from the State, its institutions or public sources. The Bill also provided punitive penalties for offenders, which include the disqualification of candidates or political parties from contesting an election. The IEBC was to set spending limits for election campaigns once the Campaign Financing Bill was passed. The IEBC was also to publish the limit of contributions or loans that a candidate, a political party or a referendum committee may receive.

Candidates and parties that were to exceed the prescribed spending limit prescribed without justification were to risk disqualification.

Hefty amount

The IEBC was to alternatively impose a fine of an amount equivalent to the amount exceeded in expenditure during the campaigns. Political parties were to submit Party Campaign Expenditure Rules to the commission, at least three months before the nomination of candidates.

Party candidates were also to submit to their political parties and to the IEBC, a preliminary nomination expenditure report within seven days of nomination and the final expenditure report within three months after elections. Independent candidates on their part were to constitute their own spending committees and submit expenditure reports within similar timelines as political party candidates.