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ELCPartially AllowedConstitutional Petition dated July 12, 2021· [2023] KEELC 11 (KLR)

Krystalline Salt Limited & 3 others v Cabinet Secretary, Ministry of Mining and Petroleum & another (Environment and Land Petition 14 of 2021) [2023] KEELC 11 (KLR)

Environment and Land Court of Kenya
12 January 2023
7,059 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~28 min to read original · ~4 min brief

The bottom line

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What this practically means

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Executive summary

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The petitioners, companies registered to extract, refine and market sea salt, sued the Cabinet Secretary for Petroleum and Mining and the Attorney General by a constitutional petition dated July 12, 2021. They sought declarations that the Mining Act, 2016 does not govern edible sea salt, that they need no fresh approvals for the remainder of their leases granted under the Registration of Titles Act, certiorari to quash the Cabinet Secretary's demand letters of May 12, 2021, and a permanent injunction against interference with their salt extraction rights, alleging violation of articles 40, 27, 47, 209 and 210. The respondents maintained that salt is first a mineral, listed in the First Schedule of the Mining Act, and that the petitioners had no subsisting mining rights under the repealed laws to be saved by section 225(3). M.A. Oderny J identified four issues and held that the Mining Act does not differentiate between edible and other salt, which is therefore regulated under the Act; that section 7 protects only customary community taking, not commercial extraction; and that the State must license and collect royalties to ensure sustainable exploitation and equitable sharing of benefits. However, the Act does not extinguish the petitioners' leases or article 40 rights; the petitioners may continue extracting salt for the remainder of their leases subject to regulation and regularization under the Act. The demand letters were quashed, with liberty to the respondent to commence a fresh compliance process. The petition succeeded partially, and each party was ordered to bear its own costs.

Key legal issues

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01

Whether edible sea salt is regulated under the Mining Act, 2016

Holding

Yes. Salt is listed at No 42 of the First Schedule under construction and industrial minerals and the Act nowhere classifies salt as 'edible'; all salt falls within the Act.

Reasoning

The court perused section 2(1) and the First Schedule and found salt listed as a construction and industrial mineral. The definition of 'mine' includes areas where a mineral is won by evaporation, so sea salt extraction by evaporation qualifies. The Act makes no distinction between edible and other salt; the section 7 exemption is confined to customary taking by community members, not commercial extraction for sale.

p. 14
02

Whether the Mining Act, 2016 extinguished the petitioners' proprietary rights and leases

Holding

No. The Act does not extinguish the leases or rights; it only subjects the activities to regulation and regularisation, so no violation of article 40 occurred.

Reasoning

The court held the Act does not extinguish the petitioners' leases granted under the Registration of Titles Act, which continue to govern the land, but the petitioners' salt extraction activities must be brought within and regularized under the Mining Act, including payment of royalties prescribed by the Cabinet Secretary under section 183. Since no rights were taken away, there was no deprivation of property without due process or compensation.

p. 16
03

Whether the respondents have the mandate to regulate extraction of edible sea salt

Holding

Yes. The respondents have constitutional and statutory mandate under articles 60, 62(1)(f), 66(2), 69 and 71 and the Mining Act, including licensing and prescribing royalties.

Reasoning

The Act gives effect to the constitutional provisions on minerals and land policy. Sustainable exploitation and equitable sharing of accruing benefits cannot be left to individuals; the State must regulate through licensing and royalties. The Cabinet Secretary has the mandate to prescribe royalty rates under section 183 of the Act.

p. 15
04

Whether the respondent's letters of May 12, 2021 demanding compliance were lawful

Holding

The letters were quashed because they were issued without regard to the petitioners' lawful operations under the prior regime, though a fresh compliance process remains open.

Reasoning

Although edible salt is regulated under the Act, the demand letters were improper because the petitioners had been operating legally under the Registration of Titles Act framework. Certiorari was therefore warranted, with leave to the respondent to commence a fresh compliance process.

p. 16

Legal principles established

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  • The Mining Act, 2016 does not differentiate between edible salt and industrial/construction salt; salt listed in the First Schedule is regulated under the Act regardless of use
  • The commencement of a new statute does not extinguish subsisting leases; rights acquired under a previous regime continue but the holder's activities may be regularized under the new statute
  • Section 7 of the Mining Act, 2016 is a saving for customary community taking of salt, not a licence for large-scale commercial extraction
  • Demand letters issued without following due process, where the party was operating lawfully under a prior regime, are amenable to quashing

Court orders

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  1. 1.The letters dated May 12, 2021 by the respondent demanding compliance with the Mining Act are quashed
  2. 2.The respondent is at liberty to start a fresh process for compliance to bring the petitioners within the purview of the Mining Act bearing in mind that the petitioners were within their rights to extract salt under the previous regulating regime
  3. 3.Each party to bear their own costs; the rest of the orders sought declined

Authorities

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Legislation

  • Mining Actsections 2(1), 6, 7(1), 10, 83(1)-(2), 183(1)-(2), 202(1), 225(1)-(7), First Schedule; long title
  • Registration of Titles Act (repealed)section 29
  • Land Registration Actsections 107(1) & (2)
  • Land Actsections 106(1) & (2)
  • Mining Act (cap 306) (repealed)repealed by section 225(1)
  • Trading in Unwrought Precious Metals Act (cap 309) (repealed)repealed by section 225(1)
  • Diamond Industry Protection Act (cap 310) (repealed)repealed by section 225(1)
  • Constitution of Kenya, 2010articles 10, 27, 40, 47, 60, 62(1)(f), 66(2), 69, 71, 209, 210
  • Civil Procedure RulesOrder 21 [1]

Cases cited (7)

  • Philma Farm Produce & Supplies & 4 others v Attorney General & 6 others
    [2012] eKLR
  • Patrick Waweru Mwangi & another v Housing Finance Co of Kenya Ltd
    [2013] eKLR
  • Republic v Commissioner of Domestic Taxes (Large Taxpayers Office) Exparte Unilever Tea Kenya Limited
    [2017] eKLR
  • Keroche Industries Limited vs Kenya Revenue Authority & 5 others
    [2007] 2 KLR 240
  • Mumo Matemu v Trusted Society of Human Rights Alliance & 5 others
    [2013] eKLR
  • Mui Coal Basin Local Community & 15 others v Permanent Secretary Ministry of Energy & 17 others
    [2015] eKLR
  • Anarita Karimi Njeru
Jurisdiction invoked
Original constitutional jurisdiction under articles 40, 60, 62(1)(f), 66(2), 69 and 71 of the Constitution of Kenya, 2010

Key timeline

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Practical implications

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Frequently asked questions

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Cite this brief

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Cite this brief

Caselaw, "Krystalline Salt Limited & 3 others v Cabinet Secretary, Ministry of Mining and Petroleum & another (Environment and Land Petition 14 of 2021) [2023] KEELC 11 (KLR)", Case Analysis (2023). Constitutional Petition dated July 12, 2021. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2023/11/eng@2023-01-12

Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.