ESG Litigation Guide

Kenya

Governance

Legal Notice for the amendment for the creation of a Code of Conduct

In force

Board members of companies

The Code requires boards of directors to promote sustainability by ensuring that the company’s strategies promote the sustainability of the company. The issuer is required to give attention to ESG aspects of the business which realise sustainability.

Social
Governance

Industry Code framework

In force

Institutional investors and corporates

The Code applies to institutional asset owners and managers investing in the debt and equity of companies listed on a licensed securities exchange with primary focus on domestic investors domiciled in Kenya.

Social
Governance

Corporate social responsibility and governance

In force

All legal entities

This legislation requires public and private entities to put in place appropriate procedures for the prevention of bribery and corruption.

Social
Governance

Corporate governance and Social responsibility

In force

Workers and corporations/companies

This legislation guarantees the rights of workers to form, join or participate in the activities and programmes of a trade union.

Environmental

Environmental legislation

Active

Energy stakeholders and companies

This legislation sets out guidelines on energy efficiency and conservation, whilst granting the Energy Regulation Commission the power to carry out energy audits at least once every three years.

Providing establishment, powers and functions of the energy sector entities; promotion of renewable energy; exploration, recovery and commercial utilization of geothermal energy; regulation of midstream and downstream petroleum and coal activities; regulation, production, supply and use of electricity and other energy forms; and for connected purposes.

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Energy Act 2019

National Assembly

Environmental

Forest Resources

In force

All entities and natural persons

This law provides for the development and sustainable management, conservation and rational utilization of all forest resources for the socio-economic development of the country

Environmental

Legislation (Act of parliament)

In force

Regulation of the management and development of water resources.

Section 40(4) and 87 require a public consultation when issuing permits and licences concerning water use.

Environmental
Social

Social Responsibility and Environmental

in force

Any entity/person transacting with  land cartegorised as community land by the Act

Section 36 of this legislation requires stakeholder consultation with regard to projects on community land about environmental, social, cultural and economic impact.

Environmental

Environmental management

in force

Companies that produce waste as a consequence of conducting business.

This legislation prohibits the discharge and disposal of wastes in a manner as to cause pollution to the environment.

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Environmental Management and Co-ordination Act 1999

Parliament

Social
Governance

Social Responsibility and Corporate Governance

In force

Workers and Employers

This legislation governs the responsibility of employers towards employees in creating safe and healthy working environments.

Social

Social Corporate Responsibility

In force

Companies and natural persons

Section 10(1) of this legislation protects children under the age of 18 years from economic exploitation and work likely to interfere with a child’s education, or be harmful to a child’s physical, mental, spiritual, moral or social development.

Social

Social Responsibility, equality and protection from discrimination

In force

Persons with disability

This legislation safeguards the rights and interests of persons with disabilities to be entitled to a barrier-free and disability friendly environment to enable them have access to buildings, roads and other social amenities and equipment to promote their mobility.

Environmental
Social

Social, Environmental and Corporate Responsibility

In force

Companies and Investors

Section 225(5) of this legislation requires holders of mineral rights in respect to large scale operations to update mine plans in respect of conditions of employment, health and safety, management of the environment and community social investments.

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