World bank injects Sh1.7bn to ease Eldoret water woes

Last Updated 13 years ago by Kenya Engineer

World Bank has injected Sh1.7billion to cater for Eldoret Water and Sanitation Company‘s (Eldowas) service automation and expand Ellegerini and Kipkaren dams.

Eldowas Managing Director, Reuben Tuei said the water firm under the Lake Victoria North Water Service Board has entered into an agreement with the World Bank to fund the expansion of the dams to increase water volumes.

“The funds will go to expansion of the two dams to increase water volumes and supplement Chebara dam which is the largest water supplier to Uasin Gishu. We also plan to automate our services to reduce theft and boost revenue collection,’’ he said.

Mr Tuei said the full automation of Eldowas services will cut down losses occasioned by illegal water connection and leakages, costing the company Sh15 million annually.

This comes a week after the Lake Victoria North Water Services Board, which serves counties bordering Uasin Gishu County, gazetted an application to the regulator on behalf of Eldowas to revise its water tariffs that will cover up to 2018.

“Lake Victoria North Water Services Board proposes an upward tariff review to enable Eldoret Water and Sanitation Company to attain full cost recovery, undertake minor investments and meet conditions for improving service delivery,” read the notice.

Usually, water rates are reviewed once every three years after two years. The Water Services Regulatory Board (Wasreb), which regulates tariff review, had on Friday said it was in the process of analyzing the proposal.

“Lake Victoria North Water Services Board proposes to adopt a rising block tariffs for all consumer categories except water kiosks,” read part of the notice.

The rates for water kiosks would rise by between 35 percent and 40 percent. 

Currently, consumers who use between: zero and 10 cubic metres of water pay Sh10 for each unit , 11 and 20 units pay Sh19.90 per unit, 21 and 40 units pay Sh26.50 for each unit, Sh39.80 for those using between 41 and 100 units and Sh49.80 per unit for consumers using above 100 units . If the proposal is implemented the households are set to pay at least 14 per cent more for water affecting  between 14 and 27 percent for both residential and government institutions. 

Eldowas was depending on the tariff reviews to grow its revenue but the rates have been postponed to December.   Mr. Tuei said that the review period was less than a month and it would be illegal if Eldowas went ahead to effect the new rates.

“We will re-publish the new rates and invite comments from the consumers before holding a stakeholders meeting and that will last for two months,’’ said Mr. Tuei.

Eldowas currently supplies 18,000 cubic metres of water per day to its consumers, but the supply has exceeded the demand by approximately 15 percent with Mr. Tuei arguing that the increase in tariffs would help the company increase its connection.