GAZETTE NOTICE NO. 7300

APPROVED TARIFF STRUCTURE FOR THE PERIOD 2024/2025 TO 2027/2028 THE Water Services Regulatory Board (WASREB), under powers granted by section 72(1) (b) and (2) of the Water Act, 2016, has approved the regular tariff adjustment for the area served by Olkejuado Water and Sewerage Company Limited (OWASCO). OWASCO applied to the Water Services Regulatory Board (WASREB) for a review of water services tariffs for the period 2024/2025 to 2027/2028 in line with 72 (1) (b) of the Act. Public consultation on the OWASCO application was carried out by the requirements of section 139 of the Water Act, 2016. Having considered the application, the written and oral submissions by all stakeholders and the current data, WASREB has determined that an upward tariff review is justified for OWASCO to improve service delivery, operate sustainably and protect consumer interests by meeting the tariff conditions attached to the tariff. WASREB gives a one-month notice from the date of this communication to all existing and potential customers of OWASCO that the structure of approved tariffs for water services for the four financial years 2024/2025, 2025/2026, 2026/2027 and 2027/2028 shall be as follows: 1. Approved Tariff Structure for the period 2024/2025 to 2027/2028 1.1 Water Tariff Consumer Categories Consumption Block Approved Tariff (M3) (KSh./M3) Domestic/Residential 1-6 90 7-20. 113 21-50 118 51-100 123 30th May, 2025 THE KENYA GAZETTE Consumer Categories Consumption Block Approved Tariff (M3) (KSh./M3) 101-300 130 >300 140 Multi-Dwelling Units Per M3 105 Commercial/Industrial/Government/Institutions 1-50 118 51-100 123 101-300 130 >300 140 Public Schools, Colleges and Universities 1-600 105 601-1200 125 >1200m3 140 Water Kiosks Per M3 85 Customers with non-functional meters shall be billed based on the average of the last three months’ bills. 1.2 Sewerage Tariff 1.2.1 Consumers with a Water Connection (a) Sewerage will be charged at 75% of the water volumes, billed at the tariff for water specified (in 1.1) above for all customer categories. (b) Disconnected water accounts shall be charged based on the average sewerage charges for the last three months before the disconnection. 1.2.2 Customer with no water connection Sewerage consumers without a water connection shall be charged as follows: • Domestic customers without a metered water source (Per Single dwelling unit): Ksh. 300 Per Month • All other categories: 75% of the volume of water consumed as per the metered source of water, including boreholes, at the rates specified in (1.1) above 1.3 Indexation The utility’s approved tariffs for water and sewerage shall be eligible for annual indexation, as per the Water Services Regulatory Board (WASREB) regulations. The inflation adjustment shall come into effect every July of the tariff period, commencing July 2026. 1.4 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 and 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 and Health centres more than 150 m3 20,000 Hospitals and Health centres less than 150 m3 12,000 Schools and other institutions more than 200 m3 20,000 Schools and other institutions 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 industries between 200 m3 and 300 m3 50,000 Heavy industries of more than 300 m3 100,000 Water Kiosks 5,000 Customers with only sewer connection are to be charged a deposit equivalent to a 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 the WSP area for all consumers Sale of water Per M3 at bowsing point (own tanker) 90 Replacement of stolen or damaged meters 100% of the market cost of the meter Meter testing on request 500 Special meter reading under customer’s request 500 THE KENYA GAZETTE 30th May, 2025 Item/Service Charge (KSh.) Sewer Connection- Residential/ Domestic 5,000 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 Printing of customer’s statement under own request 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 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 OWASCO during the tariff period: Expenditure Item 2023/24 2024/25 2025/26 2026/27 2027/28 Operations 28,360,582 29,059,329 34,749,692 40,026,294 45,494,160 Maintenance 337,200 404,640 485,568 582,682 699,218 Regulatory Levy 286,571 625,090 2,044,152 2,577,672 2,745,049 Total O&M Costs 28,984,353 30,089,059 37,279,412 43,186,648 48,938,427 Investment Costs - - 3,225,000 8,625,000 7,335,000 Total Costs 28,984,353 60,178,118 40,504,413 51,811,648 56,273,427 Total Billing (KShs) 8,885,948 16,829,795 52,526,532 66,149,061 70,674,930 Collection Efficiency (%) 64% 70% 77% 80% 85% Projected Revenue 5,867,006 11,780,857 40,445,429 52,919,249 60,073,690 Total Cost Coverage 20% 39% 100% 102% 107% 3.0 Conditions attached to the tariff approval The conditions attached to this approval, which shall form part of the license conditions of OWASCO, are: (i) Service Delivery Conditions attached to the Tariff Target 2022/2023 2023/2024 2024/2025 2025/2026 2026/2027 2027/2028 Water Coverage 18% 18% 19% 20% 21% 22% Water quality standards 0% 100% Compliance with Standards Personnel Expenditure as % of O&M 46% 36% 37% 33% 28% 26% Non-Revenue Water 44% 44% 39% 36% 33% 30 Hours of Supply (Hrs.) 10 11 11 12 12 13 Staff per 1000 connections 107 56 47 39 33 27 Metering ratio 100% 100% 100% 100% 100% 100% Collection Efficiency 78% 64% 70% 77% 80% 85% Resale at Kiosk Kshs. 2.00 per 20l Jerry Can Kshs. 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: OWASCO shall progressively enhance the metering ratio to attain 100% as per condition (3 i) above. (vi) Investments: The utility shall undertake the investments in Table 1: 30th May, 2025 THE KENYA GAZETTE Table 1: Investments S/No. Investments Description QTY. Unit Price (KSh..) 2025/2026 2026/2027 2027/2028 1 Metering 1.1 Water Meter - New Connections Procure and instal Dn 15 R200 customer meters Kitengela-(300) Kajiado(100)Isinya(50)Ilbssil (50) 500 4,000 400,000 800,000 800,000 Procure and instal Dn 20 R200 customer meters Kitengeal(300) Kajiado(100)Isinya(50)illbissil(50) 500 7,500 750,000 1,500,000 1,500,000 procure and instal Dn 25 R200 customer meters kitengela(100)kajiado(60)isinya(20) ilbisil(20) 200 10,000 500,000 750,000 750,000 1.2 Water Meter- meter replacements Replacement of meters that have surpassed their economical life (6yrs) - 200 DN 15 meters each year kajiado-(400) isinya(100) ilbissil(100) 600 4,000 400,000 1,000,000 1,000,000 1.3 Bulk/Production meters Bulk meter - DN 75 single jet AMR enabled meter (railway draw point tank) 1 80,000 80,000 Dn 50- single jet AMR enabled meter demo farm bh draw point,Oloosuyian bh draw point, ilbissil Borehole draw point 3 45,000 45,000 45,000 45,000 DN 150 single jet AMR enabled meter (Kitengela line) 1 150,000 150,000 2 Non-Revenue Water Management 2.1 Bulk/ Production Master Meters and Works DN 200 Single Jet AMR Enabled Meter (Oloosuyian Borehole) 2 200,000 200,000 200,000 DN 50 Single Jet AMR Enabled Meter (Demo Borehole,bissil,isinya,migingo 4 45,000 90,000 90,000 Construction and installation of series bulk meters and production meter chambers (2 Chambers every year) 11 50,000 100,000 250,000 200,000 2.2 Cold Water Meter Testing and Calibration Meter Calibration bench for meter sizes DN15mm to DN40mm 1 1,000,000 1,000,000 Portable Water Meter Test Kit 1 400,000 400,000 Water Meter Anti-Tampering Plastic Seals 4000 500 500,000 750,000 750,000 2.4 Active Leakage Management Equipment for DMAs operationalization 2.5 Pressure data loggers, Pressure Gauges & Pressure Reducing Valves Pressure data loggers with 2 output channels (max pressure 10 bars) 3 200,000 400,000 200,000 Pressure data loggers with 2 output channels (max pressure 20 bars) 3 300,000 300,000 600,000 Veron Moris analogue calibrated Pressure Gauges with up to 20 bars and has plotter paper. 2 50,000 50,000 50,000 50,000 Install Water Pressure Gauges 50 5,000 50,000 100,000 100,000 Tank ball valves 4" 10 35,000 70,000 140,000 140,000 tank ball valves 2 ½ 2 25,000 50,000 Tank ball valves 2" 10 20,000 40,000 80,000 80,000 3 Office Furniture Office Chairs 15 10,000 30,000 60,000 60,000 Office Desks 7 20,000 20,000 60,000 60,000 Office Cabinets 6 40,000 40,000 80,000 120,000 4 Computers Laptops (hp intel core i7,8gb)os 64-bit windows 6 100,000 100,000 200,000 300,000 Desktops (HP pro i5 8gb) 64-bit Windows 11 6 50,000 50,000 100,000 150,000 Printers (HP color laserjet pro) 3 70,000 70,000 140,000 TOTAL 3,225,000 8,625,000 7,335,000 Dated the 24th May, 2025. RICHARD CHERUIYOT, Ag. Chief Executive Officer , Water Services Regulatory Board.