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The government allocated Sh142 million to cover legal expenses in defending the Social Health Authority (SHA) in a court case challenging the implementation of the Social Health Insurance Act, 2023.
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The case was initiated by Aura Joseph Enock, and the Social Health Authority, touted as a revolutionary system to improve healthcare funding and ensure universal access to medical services, faced a legal battle.
During a Health Committee session last week, Medical Services Principal Secretary Harry Kimtai informed MPs that the ministry had to hire a prominent legal team to handle the case, resulting in Sh142.2 million in legal fees. This amount is now part of a supplementary budget proposal being reviewed by Parliament.
Kimtai explained that the funds are required to settle payments for external legal counsel. The Social Health Insurance Act, along with the Primary Health Act and Digital Health Act of 2023, had been contested by activist Aura, who argued that the law was unconstitutional. He claimed that the Executive overstepped its bounds by enacting the law without adequate public participation, and that Parliament’s role was bypassed.
In response, the High Court ruled on July 12 that Parliament must conduct broader public participation before passing the laws and ordered amendments. The court also temporarily suspended the laws for 45 days. However, Kimtai stated that the government has appealed the decision, which deemed the implementation of these laws unconstitutional.
Additionally, Kimtai requested an extra Sh350 million to cover international travel expenses for himself and Health Cabinet Secretary Deborah Mlongo over the next three months. The funds are intended to support their travel as Kenya assumes the chairmanship of the East African Community, which requires participation in various meetings. The request stems from a directive issued by the Chief of Staff and Head of Public Service, which has not been accounted for in the current budget.
Kimtai also highlighted the need for an additional Sh6 billion for primary healthcare and the Emergency, Chronic, and Critical Illness Fund to enhance coverage under the scheme. Moreover, the department is seeking Sh700 million to fund Presidential Directive Projects, including the construction of several sub-county hospitals across the country.
