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NCA Fines and Penalties
Builders are required to comply with the law.
The National Construction Authority (NCA), which was established under the Act No. 41 of 2011, is empowered to impose harsh penalties on individuals and organisations that fail to comply with the law.
This is meant to ensure that entities undertaking construction business observe professional values in a bid to shield consumers from poor workmanship and disregard for laid down procedures and rules.
Here are some of the NCA fines and penalties:
Contractors who fail to renew their annual practicing licenses within the required timelines are required to pay three times the yearly cost of renewal before they can be allowed to resume operations.
Contractors in the NCA1 category are required to pay Sh90,000, while those in the NCA2, NCA3, NCA4, NCA5, NCA6, NCA7, and NCA8 categories are required to part with Sh75,000, Sh60,000, Sh45,000, Sh36,000, Sh30,000, Sh15,000, and Sh10,000, respectively.
Foreign contractors who fail to renew their licenses are required to pay US$ 4,500 (Sh460,000) to be allowed to resume construction operations within the country.
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Developers, consultants, and other individuals working on a construction site are also liable for fines and penalties for failing to comply with the NCA’s rules and regulations.
A person who fails to obey the orders of an investigating officer is, on conviction, liable to a fine not exceeding Sh1 million or a jail term of up to three years or both.
Presenting false documents for accreditation or licensing is an offence and anyone who commits such a crime is liable, on conviction, to a fine not exceeding Sh50,000 or imprisonment for two months or both.