Kenya reforms passenger fee revenue to fund aviation and tourism

Kenya’s National Assembly has passed a bill to restructure the distribution of Air Passenger Service Charge revenue. The reform aims to direct more funds toward aviation safety, airport operations, and tourism promotion.

The bill, which awaits Senate consideration, seeks to clarify how revenue is allocated among the Kenya Airports Authority, the Kenya Civil Aviation Authority, the Kenya Meteorological Services Authority, and the Tourism Fund. This legislative move comes as the country prepares for significant growth in passenger traffic, with plans to expand airport capacity from 7.5 million to approximately 22 million passengers.

Currently, the service charge is set at 600 Kenyan shillings (approximately $4.60) for domestic flights and $50 for international flights. The primary objective of the new allocation system is to ensure that these levies contribute directly to the agencies responsible for regulating and safeguarding the aviation sector as Kenya seeks to strengthen its position as a regional transport hub.