The Ministry of Roads and Transport announced plans to introduce an alternative financing mechanism for road maintenance that would sit alongside the existing Road Maintenance Levy Fund (RMLF).

The proposal is driven by the rapid uptake of electric vehicles, which reduces fuel consumption and therefore cuts revenue collected through the fuel‑based levy.

The ministry reports that Kenya currently has over 35,000 electric vehicles, a figure it expects to increase in the coming years, further shrinking the levy base.

Roads and Transport Cabinet Secretary Davis Chirchir warned that, as of June 2026, the government owed road contractors Ksh98.17 billion in gross pending bills.

To bridge the financing gap, the department has already disbursed Ksh208.6 billion through a securitisation framework, funding projects such as the James Gichuru–Rironi Road expansion and upgrades to the Garissa‑Isiolo corridor.

Under the current system, a road maintenance levy is added to every litre of petrol or diesel purchased, with the amount included in the pump price and used for road repairs, rehabilitation and maintenance nationwide.

Officials said the new levy will diversify road‑sector financing to ensure predictable funding as the country transitions to a higher share of electric vehicles.