GAZETTE NOTICE NO. 5964

in accordance with the requirements of section 139 of the Water Act, 2016. THE KENYA GAZETTE 17th May, 2024 After considering the application, the written and oral submissions by all stakeholders during the consultation period, and based on the latest available data, WASREB has determined an upward tariff review for MWEWASCO is justified to improve service delivery, operate sustainably and protect consumer interests by meeting the tariff conditions attached to the tariff. WASREB gives a one (1) months’ notice to all existing and potential customers of MWEWASCO that the approved tariffs for the three Financial Years 2024/2025, 2025/2026, and 2026/2027, shall be as follows: 1.0 Approved Tariff Structure for the period 1.1 Water Tariff Structure for the period 2024/2025 to 2026/2027 Consumer Categories Consumption Block Approved Tariff (m3) (KSh./M3) Domestic/Residential 1-6 90 7-20. 95 21-50 100 51-100 110 101-300 120 >300 150 Multi-Dwelling Units Per m3 95 Commercial/Industrial 1-50 100 51-100 120 101-300 135 >300 155 Government/Institutions 1-50 100 51-100 120 100-300 135 >300 155 Public Schools 1-600 100 601-1200 105 >1200m3 115 Unique Consumer Categories Water Kiosks (Per m3) 70 Bulk Water Supply (Per m3) 60 Customers with non-functional meters shall be billed based on the average of the last three months’ bill. 1.2 Indexation The utility’s approved tariffs for water and sewerage shall be eligible for annual indexation, as per the regulations of the Water Services Regulatory Board (WASREB). The inflation adjustment shall come into effect every July of the tariff period commencing July 2025. 1.3 Miscellaneous Charges Item/ Service Charge (KSh.) Water Deposit Category of consumer Domestic 2500 Retail shops less than 10m3 3000 Retail shops more than 10m3 3,500 Bar, and restaurants less than 15 m3 4000 Bar, restaurants more than 15 m3 6,000 Hotel class “A” and “B” less than 150 m3 12,000 Hotel class “A” and “B” more than 150 m3 15000 Hotel class “C” and ‘D’ less than 150 m3 18000 Hotel class “C” and ‘D’ more than 150 m3 20,000 Hospitals more than 150 m3 20,000 Health centres less than 150 m3 12,000 Schools and other institutions more than 200 m3 20,000 Schools less than 200 m3 10,000 Minor construction sites of more than 200 m3 15,000 Major construction sites more than 300 m3 50,000 Light industries less than 200 m3 30,000 Medium industrial between 200 m3 and300 m3 50,000 Heavy industries of more than 300 m3 100,000 Water Kiosks 5,000 Customers with only sewer connection to be charged a deposit equivalent to water connection Other Charges Service New water connection fee – Connection size: ½ inch to 1 inch 2,500 New water connection fee – Connection size: 1.5 inches to 3 inches 7,500 New water connection fee – Connection size above 3inches 15,000 Water Reconnection fee – at meter point 1,000 Water Reconnection fee – at mains 5,000 and double deposit Tanker – 8000, 16,000 litres 2,500, 5,000 respectively per tanker within WSP area for all consumers Sale of water Per M3 at bowsing point (own tanker) KSh .95 Replacement of stolen or damaged meters 100% of the market cost of the meter Meter testing on request 500 Sewer Connection- Residential/ Domestic 5,000 17th May, 2024 THE KENYA GAZETTE Item/ Service Charge (KSh.) Sewer Connection- Commercial, Government, Schools, Universities and Colleges 7,500 Sewer Connection- Industrial 15,000 Private sewer unblocking 2,500 Leak detection services 1,000 Sewer Reconnection fee 15,000 Statement of account fees 200 For cutting off the supply at the request of the consumer 200 For turning on the supply otherwise than in respect of a first connection 200 Exhauster Services (Company Exhauster) 5,000 for other customers and 4,000 for informal settlements Private Exhausters (Dumping into the company’s sewer system) 15,000 per Truck per month Penalties Illegal water connection, -Commercial, Industry, Construction (Fraud) 100,000 plus estimated consumption during the period of illegality Illegal water connection, (Fraud) – Domestic 30,000 plus estimated consumption during the period of the illegality Overcharging (fraud) at water kiosk 15,000 Illegal sewer connection- Commercial, Industry, Construction 100,000 Illegal sewer connection- Domestic, Government, Schools, Universities & Colleges 30,000 Self-reconnection after cut-off for non-payment 5,000 and billing to be backdated from the date of cut-off Surcharge for tampering with meters (this to include meter removal, reversing of meter etc) 5,000 Surcharge for direct suction of water from the supply line using a pump 10,000 2.0 Cost Summary Below is the summary of the recommended cost structure that makes up the total costs to be incurred by MWEWASCO during the tariff period: Expenditure Item 2022/2023 2023/2024 2024/2025 2025/2026 2026/2027 Operations 63,358,749 75,987,480 86,902,543 96,240,523 106,450,897 Maintenance 3,827,261 12,902,436 15,373,428 17,830,042 21,021,301 Regulatory Levy 3,566,401 4,572,621 6,383,418 6,593,877 6,852,444 Total O&M Costs 70,752,411 93,462,537 108,659,390 120,664,442 134,324,643 Investment Costs 7,650,000 15,395,957 31,424,591 23,963,200 12,395,020 Debt Repayment - 555,892 544,331 521,209 532,770 Total Costs 78,402,411 109,414,386 140,628,311 145,148,852 147,252,433 Total Billing (KSh.) 78,181,176 114,315,522 159,585,445 164,846,928 171,311,099 Collection Efficiency (%) 90% 90% 91% 92% 93% Projected Revenue 70,312,192 102,883,970 145,222,755 151,659,174 159,319,322 Total Cost Coverage 90% 94% 103% 104% 108% 3.0 Conditions attached to the tariff approval The conditions attached to this approval which shall form part of the license conditions of MWEWASCO are: (i) Service Delivery Conditions attached to the Tariff Target 2022/2023 2023/2024 2024/2025 2025/2026 2026/2027 Water Coverage (%) 61% 63% 65% 67% 69% Water quality standards (%) 100% Compliance with Standards Personnel Expenditure as % of O&M 53% 53% 44% 43% 42% Non-Revenue Water 58% 51% 50% 46% 44% Hours of Supply (Hrs.) 22 23 23 24 24 Staff per 1000 connections 6 5 5 5 5 Maintenance Expenditure as % of O&M 13% 5% 14% 14% 15% Metering ratio (%) 92% 92% 100% 100% 100% Collection Efficiency (%) 97% 90% 90% 91% 92% Resale at Kiosk KSh. 5.00 per 20l Jerry Can (ii) Annual budgets: The WSP shall adhere to the budgetary levels set in the tariff. (iii) Surpluses: The surpluses realised during the tariff period shall be used to implement priority service delivery capital projects approved by WASREB. (iv) Reporting: The utility shall submit quarterly performance reports to WASREB in the prescribed format. (v) Metering: MWEWASCO shall progressively enhance the metering ratio to attain 100% as per condition (i) above. (vi) Catchment Protection: The utility shall undertake measures to conserve/ protect the catchment areas of their water source as part of Corporate Social Responsibility (vii) Investments: The utility shall undertake the investments in Table 1: Table 1: Investments Targetted Investment Project Area Item Description Unit Qty Rate (KSh.) Amount (KSh.) Metering Purchase of Consumer Water meters for new connections Multi-jet type meters DN15mm plastic material c/w non-return valve and conforming to ISO 4064- 5;2014 No. 1,020 2,900 2,958,000 NRW To reduce NRW Metering of all flat-rate No. 470 2,900 1,363,000 THE KENYA GAZETTE 17th May, 2024 Reduction Plan from 50% to 46% connection Installation of 5No DMA meters No. 5 55,844 279,220 Massive tees removal No. 350 8,000 2,800,000 Replacement of faulty meters No. 620 2,900 1,798,000 Calibration, Testing, and Replacement of faulty production meters No. 1 1,500,000 1,500,000 Securing major installations Fencing of Murarandia office Masonry wall construction Lumps um 1 300,000 300,000 Fencing of tanks Chain links, barbed wire, and concrete posts fence. Lumps um 1 300,000 300,000 Construction of chambers for sluice valves, air valves Masonry chambers No. 8 50,000 400,000 Movable Assets Procurement of motorbikes and vehicles Boxer Bajaj motorbike BM X150cc No. 8 200,000 1,600,000 ICT Infrastructure Purchase of Laptops Laptop computers of 4GB RAM, 500GB HD Core i5 No. 3 75,000 225,000 Water extension Ndutuni sublocation, Mugumoini service line, Mwea service line to increase the number of new connections by 100 connections Ndutuni sublocation, Mugumoini service line, and Mwea service line to increase the number of new connections by 100 connections (3.3 KM of HDPE Pipe DN 63mm, pn16) Lumps um 1 2,703,294 2,703,294 Gatuya sublocation- Kahithe service line, Gatheru sublocation- gatahaciu service line, and Karembu serice line to increase the customer database by 110 connections Gatuya sublocation-Kahithe service line, Gatheru sublocation-gatahaciu service line, and Karembu service line to increase the customer database by 110 connections (4.5 KM of HDPE Pipe DN 63mm, pn16) Lumps um 1 3,257,682 3,257,682 Gatheru sublocation- Karenji, Wanjengi sublocation-Gitui service line, and Gatuya sublocation- Kayahwe service line. to increase the customer database by 130 connections Gatheru sublocation-Karenji, Wanjengi sublocation-Gitui service line, and Gatuya sublocation-Kayahwe service line. to increase the customer database by 130 connections (4.2 KM of HDPE Pipe DN 63mm, pn16) lumpsu m 1 2,716,229 2,716,229 Rehabilitation of service lines Gathaithi sublocation- Mutuango service line; Gacharaigu sublocation- Kamakabi service line; Iyego sublocation- Mathioya service line; and Muguru sublocation- Mucwe service line to improve water service provision to 140 existing consumers and increase the number of connections by 50. Gathaithi sublocation- Mutuango service line; Gacharaigu sublocation- Kamakabi service line; Iyego sublocation- Mathioya service line; and Muguru sublocation- Mucwe service line to improve water service provision to 140 existing consumers and increase the number of connections by 50.(6 KM of HDPE Pipe DN 50mm, pn16) Lumps um 1 3,235,241 3,235,241 Muguru Sublocation, Gathugu service line to increase the number of new connections by 20 and improve water service provision to the existing 75 consumers Muguru Sublocation, Gathugu service line to increase the number of new connections by 20 and improve water service provision to the existing 75 consumers (2.5 KM of HDPE Pipe DN 50mm, pn16) Lumps um 1 1,292,288 1,292,288 Muguru sublocation, Gathanji service line Muguru sublocation, Gathanji service line to improve water Lumps um 1 1,491,761 1,491,761 17th May, 2024 THE KENYA GAZETTE to improve water service provision to the existing 77 consumers service provision to the existing 77 consumers (2.4 KM of HDPE Pipe DN 63mm, pn16) Githagara Sublocation-Caen service line, Mbari ya Kiiru service line. To Improve flow to more than 95 existing connections Githagara Sublocation-Caen service line, Mbari ya Kiiru service line. To Improve flow to more than 95 existing connections (3 KM of HDPE Pipe DN 50mm, pn16) lumpsu m 1 1,563,142 1,563,142 Iyego sublocation- Gikura service line, Gaite service line, and Muguru sublocation- Kagiko B service line. To improve flow to more than 180. Iyego sublocation-Gikura service line, Gaite service line, and Muguru sublocation- Kagiko B service line. To improve flow to more than 180. (3 KM of HDPE Pipe DN 50mm, pn16) Lumps um 1 1,641,732 1,641,732 Grand Total 31,424,591 Proposed Implementation Year:2025-2026 Targetted Investment Project Area Item Description Unit Qty Rate (KSh.) Amount (KSh.) Metering Purchase of Consumer Water meters for new connections Multi-jet type meters DN15mm plastic material c/w non-return valve and conforming to ISO 4064- 5;2014 No. 942 2,900 2,731,800 Sub -Total 2,731,800 NRW Reduction Plan To reduce NRW from 46% to 44% Conversion of flat rate accounts to metered No. 524 2,900 1,519,600 Purchase and installation of bulk water meters (DN 315) No. 5 1000000 5,000,000 Installation of 4 DMA meters No. 4 60,000 240,000 Servicing, testing, and replacement of faulty meters No. 600 2,900 1,740,000 Office Furniture upgrade Procurement of office swivel chairs Delli executive leather swivel chairs No. 30 25,000 750,000 Procurement of cabinets for file storage Procurement of cabinets for file storage M 5 50,000 250,000 Office phones Procurement of office landline phones No. 50 10,000 500,000 Asset renewal Procurement of motorbikes and vehicles Double cabin pickup truck of 3000cc Engine capacity No. 1 8,500,000 8,500,000 Grand Total 23,963,200 Proposed Implementation Year:2026-2027 Targetted Investment Project Area Item Description Unit Qty Rate (KSh.) Amount (KSh.) Metering Purchase of Consumer Water meters for new connections Multi jet type meters DN15mm plastic material c/w non-return valve and conforming to ISO 4064- 5;2014 No. 843 2900 2,444,700 NRW Reduction Plan To reduce NRW from 44% to 41% Installation of 30 DMA meters No. 30 55844 1,675,320 Carry out customer identification survey No. 1 1,200,000.0 1,200,000 GIS Development Procurement of GIS imagery map 50cm resolution. Demarcated by zones Procurement of GIS imagery map 50cm resolution. Demarcated by zones No 5 105000 525,000 GIS Section empowerment Web-based GIS Module hosted by enterprise resource planning system No 1 2,000,000 2,000,000 Office Furniture upgrade Procurement of office swivel chairs Delli executive leather swivel chairs No. 10 25,000 250,000 Procurement of cabinets for file storage Procurement of cabinets for file storage M 6 50,000 300,000 Procurement of other modules of the Billing system Technical module Web Based Technical module: to handle data on NRW, Network Management, Projects, Chemical usage and No 1 2,000,000 2,000,000 THE KENYA GAZETTE 17th May, 2024 Dated the 2nd May, 2024. JULIUS ITUNGA, Ag. Chief Executive Officer, MR/5723150 Water Services Regulatory Board.