Cost of water set to rise as agency plans bulk rate review

The Water Resources Authority (WRA) is reviewing rates for bulk water buyers in a move that is set to increase the price of the basic commodity for end users.

Chairman Joe Mutambu said what firms are currently paying is too little for the authority to carry out its activities.

Mr Mutambu, however, assured that WRA would consult all stakeholders, including consumers before increasing the rates.

He said despite the “meagre” charges levied for the supply of water to the firms, some of them do not pay, forcing the regulator to disconnect supply.

Water companies in the Tana region owe the authority Sh34 million in arrears.

But the move to increase the rates is likely to face opposition from the water firms. It is expected to see an increase in the prices of the essential commodity across the country, with water service providers saying they would also increase retail prices if WRA reviews the rates upwards.

“We also have our running costs that include buying chemicals for treating the water and taking care of the piping system. Any increase by the authority will mean that we also raise our retail rates,” said a Meru Water Services official who declined to be named.

“WRA has not demonstrated they properly utilise the money we pay because even as we speak, we are getting water which is so muddy that we have to spend a lot of resources to clean it. WRA should work on conservation measures on the riparian upstream to ensure clean water flows into the rivers,” the official said.

But Mr Mutambu maintained that the review was inevitable, adding that the increment was “long overdue”.

“The rates are too low at only 50 cents per cubic metre and we are consulting stakeholders so that we can set in motion a process that will see us increase the rates,” he said yesterday in a telephone interview.

The WRA boss also claimed that the water firms had opposed introduction of smart metres but that the authority would go ahead to install them to enable the regulator remotely switch off those who do not comply.

“Without metres, a lot of water is going to waste since companies draw more than they have paid for but once the gadgets are installed, WRA will be able to regulate usage and match payments with quantities consumed, “he said.