On 13^th April 2023, KEPSA Environment, Water and Natural Resources Sector Board held a consultative meeting to unpack the environment and climate change chapter of the Kenya-United States Strategic Trade and Investment Partnership (STIP). The virtual engagement sought to provide an update on the progress made in the negotiations for the trade and investment partnership; seek inputs and feedback from stakeholders on the proposed partnership; and identify mutual opportunities for Kenya in the proposed partnership.

In her opening remarks, Ms Linda Kosgei, the environment and climate change pillar negotiator at NEMA presented an overview and status of the initiative that was launched in July 2022, where Kenya and the United States (US) launched the STIP as a successor to the proposed Kenya - US Free Trade Agreement (FTA). She said that a joint statement on STIP was issued on 3^rd November 2022 and that on 12^th December 2022, Kenya expressed strong interest in pursuing the STIP initiative. The opening round of negotiations was held in Washington, D.C., in February 2023 and the first round of negotiations is slated to take place in Nairobi on the week of 17^th – 20^th April 2023.

STIP is anticipated to result in high-standard commitments in various areas while expanding investment, fostering inclusive and sustainable economic growth, improving the welfare of businesses, consumers, and workers, and bolstering African economic and regional integration. In order to achieve this, the STIP has identified and prioritized pillars that will be covered in the negotiations, including Agriculture, Environment, Climate Change, Good Regulatory Practices, and Anti-Corruption among others. 

During the meeting, Ms Lydia Kimani, an alumna of the Africa Group of Negotiators (AGNES), presented the rationale and particulars for the STIP, the Nationally Determined Contributions (NDCs) for both Kenya and the US, and the potential areas of collaboration, including renewable energy, sustainable agriculture, and green financing, were discussed.  She noted the importance of the agreement considering the areas of common interest such as climate-smart agriculture, transition to e-mobility, enhancing nature-based solutions to enhance coastal resilience for the benefit of the blue economy, increasing access to climate finance, promoting technology transfer, safeguarding and scaling indigenous knowledge, and enhancing the implementation of Article 6 of the Paris Agreement on both market and non-market approaches that benefit Kenyan businesses and actors in the carbon market.

Ms Sanya Smith, a Legal Advisor and International Trade Lawyer, discussed the areas where past agreements between the US and other countries, such as Mexico, have focused on similar scopes of coverage for the prioritized areas in the upcoming Kenya-US STIP. Ms Smith said that it was important that as Kenya draws up the agreement, it ensures that the STIP does not create a regulatory burden, especially with regard to Carbon Border Adjustment Measures, and does not undermine the robust environmental and climate change laws of Kenya.

The stakeholders emphasized the importance of building capacity in these areas, as well as ensuring that the partnership benefits and strengthens the progress made so far. The meeting also highlighted the need for a sustainable and inclusive approach to trade and investment partnerships and underscored the importance of addressing climate change in the context of economic development. The socio-economic implications and regulatory burdens that the partnerships could cause to the country were also highlighted.

The stakeholders also called for a mutually beneficial agreement in the ongoing negotiations for the strategic trade and investment partnership between Kenya and the US adding that the priority areas in the NDCs of the two countries—access to benefit-sharing mechanisms, ensuring agreement does not undermine environmental and climate change laws,  protection of local content, especially indigenous knowledge for adaptation, transfer of technology, climate finance among others areas that promote adaptation and environmental sustainability should be considered in the finalization of the partnership agreement to ensure that it meets the needs and interests of all stakeholders.