GAZETTE NOTICE NO. 10544

in accordance with the requirements of section 139 of the Water Act, 2016. After considering the application, the written and oral submissions by all stakeholders during the consultation period, and based on latest available data, WASREB has determined an upward tariff review for TAVEVO 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 TAVEVO that the approved tariffs for the three financial years, 2023/2024, 2024/2025 and 2025/2026 shall be as follows: 1.0 Approved Tariff Structure 1.1 Water Tariff Structure for the Period 2023/2024 to 2025/2026 Customer Category Consumption Block in M³ Approved Tariff (KSh./M3) Domestic/Residential 1-6 98 7-20. 145 21-50 160 51-100 175 101-300 190 >300 205 Multi- Dwelling Units Per M3 145 Commercial/Industrial/Government/ Institutions 1-50 145 51-100 170 101-300 190 >300 205 Schools, Universities and Colleges 1-600 120 601 - 1200. 150 >1200 170 Water Kiosks Per M3 50 Bulk water for resale Per M3 90 3454 3454 Customers with non- functional meters shall be billed based on the average of the last three months’ bills. 1.2 Miscellaneous Charges These shall be as follows: Item/ Service Charge (KSh.) Water Deposit Category of Consumer Domestic 2,500 Retail shops less than 10m3 3,000 Retail shops more than 10m3 3,500 Bar, restaurants less than 15 m3 4,000 Bar, restaurants more than 15 m3 6,000 Hotel less than 150 m3 12,000 Hotel more than 150 m3 15,000 Hospitals more than 150 m3 20,000 Health centres less than 150 m3 12,000 Schools less than 200 m3 10,000 Schools and other institutions more than 200 m3 20,000 Minor construction sites 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 and 300 m3 50,000 Heavy industries more than 300 m3 100,000 Water Kiosks 5,000 *Customers with only sewer connection to be charged a deposit equivalent to water deposit Other Charges Service New water connection fee 2,500 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 Service Area for all consumers Sale of water per m3 at bowsing point (own tanker) 145 Replacement of stolen or damaged meters 100% of the market cost of the meter Meter testing on request 500 Sewer Connection– Residential/ Domestic 2,500 Sewer Connection– Commercial, Government, schools, Universities and Colleges 5,000 Sewer Connection– Industrial 15,000 Private sewer unblocking 2,500 Leak detection services 1,000 Sewer Reconnection fee (At mains) 15,000 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 the 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 and Colleges 30,000 Self-reconnection after cut off for non-payment 5,000 and billing to be backdated from 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 Analysis of Cost Structure Below is the summary of the approved cost structure that makes up the total costs to be incurred by TAVEVO during the tariff period: Expenditure Item 2023/2024 2024/2025 2025/2026 Operations 461,910,025 488,254,694 519,472,365 Maintenance 26,779,524 27,281,082 25,151,801 Regulatory Levy (WASREB) 23,275,254 24,202,584 25,151,801 Investments 27,968,016 20,635,296 17,346,804 Debt Repayment 11,406,600 11,406,600 5,703,300 Total Costs 551,339,419 571,780,256 592,826,072 Total Billing (Kshs) 581,881,353 605,064,590 628,795,037 Collection Efficiency (%) 95% 95% 95% Projected Revenue 552,787,285 574,811,360 597,355,285 Total Cost Coverage 100% 101% 101% 11th August, 2023 THE KENYA GAZETTE 3.0 Conditions Aattached to the Tariff Approval The conditions attached to this approval which shall form part of the license conditions of TAVEVO Water and Sewerage Company are: (i) Service Delivery Conditions attached to the Tariff. Target 2023/2024 2024/2025 2025/2026 Water Coverage (%) 47% 48% 49% Water Quality Standards (%) 100% Compliance with Standards Personnel Expenditure as % of O and M 26% 26% 25% Non-Revenue Water 34% 32% 30% Hours of Supply (Hrs.) 17 18 19 Staff per 1000 connections 12 11 11 Metering ratio (%) 100% 100% 100% Collection Efficiency (%) 95% 95% 95% Resale at Kiosk KSh. 3.00 per 20 litres. Tariffs at kiosks must be displayed at strategic points for public awareness (ii) Annual budgets: The utility shall adhere to the budgetary levels set in the approved tariff. (iii) Surplus: The surpluses projected to be realised shall be used on priority infrastructure projects identified by TAVEVO and approved by WASREB. (iv) Customer re-categorisation for billing: TAVEVO will separate individual domestic accounts from Multi-Dwelling Units (MDU) accounts and bill as per the approved tariff. (v) Repayment of Loans: TAVEVO shall remit equal monthly loan repayments to Coast Water Works Development Agency (CWWDA)as follows: - Financing 2023/2024 2024/2025 2025/2026 WASSIP 1 andWASSIP AF (Kshs.) 11,406,600 11,406,600 5,703,300 Evidence of loan repayment to CWWDA shall be submitted to WASREB monthly by the 10th day of the following month. (vi) Reporting: The utility shall submit to WASREB a quarterly tariff performance report in the format provided. WASREB will carry out tariff implementation review at the end of each year of implementation. (vii) Investments: The utility shall undertake the investments in Annex 1 and submit quarterly progress reports. Annex 1 INVESTMENT SUMMARY FOR TAVEVO WATER AND SEWERAGE COMPANY LIMITED (TAVEVO) Targeted Outcome Intervention Targeted Area 2023/2024 2024/2025 2025/2026 Increased Water Coverage Meters and Fittings - New Connections Entire Service Area 5,772,000 6,060,000 6,366,000 Network Extension OD 110mm HDPE Rising main from Mwasinenyi-Mwatunge tank-2.0km with associated fittings 10,232,244 OD 110mm HDPE pipe from Mwatunge Tank to Landi-5.0km with associated fittings 8,805,804 8,805,804 Drilling of boreholes Construction of Mwasinenyi borehole and Piping 5,432,444 Increased Quality of Service (Hrs of Supply) 5No. Grundfos SP 46-20 (30kW) Pump set (Pump and motor) submersible unit or an equivalent with a discharge of 70m3/h at a dynamic head of 300m complete with all the necessary fittings Installation of stand by submersible Mwasinenyi, Voi pump, Ndii, Maungu and at Kaloleni. 3,846,328 5,769,492 - Operational Efficiency ICT Infrastructure 5 Laptops 450,000 - - 15 Desktops 480,000 - 420,000 50 Smart phones 1,035,000 - 1,035,000 Motor vehicles and cycles 8 Motor Bikes 720,000 - 720,000 Total _ Investments 27,968,016 20,635,296 17,346,804 JULIUS ITUNGA, Ag. Chief Executive Officer, MR/5166662 Water Services Regulatory Board.