GAZETTE NOTICE NO. 7303

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 Marsabit Water and Sewerage Company (MARWASCO). MARWASCO 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 MARWASCO 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 MARWASCO 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 MARWASCO 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 30th May, 2025 THE KENYA GAZETTE 1.1 Water Tariff Consumer Categories Consumption Block Approved Tariff (M3) (KSh./M3) Domestic/Residential 1-6 270 7-20. 290 21-50 310 51-100 320 101-300 330 >300 340 Commercial/Industrial/Government/Institutions 1-50 310 51-100 320 101-300 330 >300 340 Public Schools, Colleges and Universities 1-600 280 601-1200 310 >1200m3 340 Water Kiosks Per M3 250 Customers with non-functional meters shall be billed based on the average of the last four 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 four 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 THE KENYA GAZETTE 30th May, 2025 Item/ Service Charge (KSh.) consumers Sale of water Per M3 at bowsing point (own tanker) 290 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 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 MARWASCO during the tariff period: Expenditure Item 2023/24 2024/25 2025/26 2026/27 2027/28 Operations 42,939,299 47,613,313 47,308,029 48,584,496 49,774,782 Maintenance 4,198,543 1,710,000 1,744,200 1,779,084 1,814,666 Regulatory Levy 618,365 1,125,905 1,519,741 1,679,459 1,712,664 Total O&M Costs 47,756,208 50,449,217 50,571,970 52,043,039 53,302,112 Investment Costs - - 1,275,000 2,250,000 2,350,000 Debt Repayment - - - - - Total Costs 47,756,208 50,449,217 51,846,970 54,293,039 55,652,112 Total Billing (KShs) 15,459,135 28,147,616 37,993,514 41,986,478 42,816,608 Collection Efficiency (%) 76% 81% 86% 91% 93% Projected Revenue - Without Subsidy 11,765,824 22,830,306 32,715,911 38,253,545 39,866,201 O&M Cost Coverage (%) - Without Subsidy 25% 45% 65% 74% 75% Total Cost Coverage (%)- Without Subsidy 25% 45% 63% 70% 72% Operational Subsidy from the County Government of Marsabit 21,958,994 22,277,774 22,604,700 22,940,103 23,284,328 Projected Revenue - With Subsidy 33,724,818 45,108,080 55,320,611 61,193,648 63,150,529 O&M Cost Coverage (%) - With Subsidy 71% 89% 109% 118% 118% Total Cost Coverage (%)- With Subsidy 71% 89% 107% 113% 113% 3.0 Conditions attached to the tariff approval The conditions attached to this approval, which shall form part of the license conditions of MARWASCO, are: (i) Service Delivery Conditions attached to the Tariff Target 2022/2023 2023/2024 2024/2025 2025/2026 2026/2027 2027/2028 Water Coverage 0% 10% 11% 12% 13% 14% Water quality standards 67% 93% 93% 100% Compliance With Standards Personnel Expenditure as % of O&M N.C. D 46% 45% 43% 43% 43% Non-Revenue Water 59% 48% 43% 38% 33% 31% Hours of Supply (Hrs.) 8 9 9 10 10 11 Staff per 1000 connections 113 113 41 19 13 13 Metering ratio 0% 20% 20% 40% 65% 75% Collection Efficiency 99% 76% 81% 86% 91% 93% Resale at Kiosk KSh. 2.00 per 20l Jerry Can KSh. 7.00 per 20l Jerry Can (ii) Annual budgets: The WSP shall adhere to the budgetary levels set in the tariff. (iii) Operational Subsidy: For the period 2024/2025 to 2027/2028, the County Government of Marsabit is required to continue providing operational subsidies to Marsabit Water & Sewerage Co. (MARWASCO), which will be directed towards payment of production electricity and Salaries for Seconded Staff. 30th May, 2025 THE KENYA GAZETTE (iv) Surpluses: The surpluses realised during the tariff period shall be used to implement priority service delivery capital projects approved by WASREB. (v) Reporting: The utility shall submit quarterly performance reports to WASREB in the prescribed format. (vi) Metering: MARWASCO shall progressively enhance the metering ratio to attain 100% as per condition (3.i) above (vii) Investments: The utility shall undertake the investments in Table 1: Table 1: Investments NRW Reduction Plan Specifications Qty Unit Cost 2025/2026 2026/2027 2027/2028 Metering Replacement of Faulty Consumer Metres 1/2 Inch Mechanical Cold- Water Metre 150 6,500 975,000 Replacement of Faulty Consumer Metres 300 6,500 1,950,000 Replacement of Faulty Consumer Metres 300 6,500 1,950,000 Movable Assets Laptops 15.60-inch; Display resolution: 1920×1080 pixels; Processor: Core i5; RAM: 8GB; OS: Windows 11; SSD:1TB 10 100,000 300,000 300,000 400,000 SUM 1,275,000 2,250,000 2,350,000 Dated the 24th May, 2025. RICHARD CHERUIYOT, Ag. Chief Executive Officer, Water Services Regulatory Board. GAZETTE NOTIOCE NO. 7304 THE WATER ACT (No. 43 of 2016) KIBWEZI - MAKINDU WATER AND SANITATION COMPANY LIMITED APPROVED TARIFF STRUCTURE FOR THE PERIOD 2024/2025 TO 2026/2027 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 Kibwezi - Makindu Water and Sanitation Company (KIBMAWASCO). KIBMAWASCO applied to the Water Services Regulatory Board (WASREB) for a review of water services tariffs for the period 2024/2025 to 2026/2027 in line with 72 (1) (b) of the Act. Public consultation on the KIBMAWASCO 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 KIBMAWASCO 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 KIBMAWASCO that the structure of approved tariffs for water services for the three financial years 2024/2025, 2025/2026 and 2026/2027 shall be as follows: 1.0 Approved Tariff Structure for the period 2024/2025 to 2026/2027 1.1 Water Tariff Consumer Categories Consumption Block Approved Tariff (M3) (Kshs/M3) Domestic/Residential 1-6 113 7-20. 135 21-50 150 51-100 165 101-300 180 >300 203 Multi-Dwelling Units Flat Rate per M3 116 Commercial/Industrial/Government/Institutions 1-50 155 51-100 188 101-300 203 >300 225 Public Schools, Colleges and Universities 1-600 135 601-1200 158 >1200m3 173 Browsing points Per M3 135 Kiosks Per M3 53 Water Projects Per M3 90 Customers with non-functional meters shall be billed based on the average of the last three months’ bills. THE KENYA GAZETTE 30th May, 2025 1.2 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. 1.3 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 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) 135 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 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 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 KIBMAWASCO during the tariff period: Expenditure Item 2023/24 2024/25 2025/26 2026/27 Operations 93,416,903 111,003,000 111,045,014 115,911,269 Maintenance 4,761,196 6,151,240 6,907,214 7,787,142 30th May, 2025 THE KENYA GAZETTE Expenditure Item 2023/24 2024/25 2025/26 2026/27 Regulatory Levy 3,407,295 4,471,521 5,459,153 5,697,076 Total O&M Costs 101,585,394 121,625,761 123,411,381 129,395,487 Investment Costs - 18,413,056 24,636,200 27,640,500 Debt Repayment 104,223 578,469 482,431 - Total Costs 101,689,617 140,617,286 148,530,013 157,035,986 Total Billing (KShs) 86,454,572 111,788,017 136,478,819 142,426,893 Collection Efficiency (%) 95% 95% 95% 95% Projected Revenue 82,131,843 106,198,616 129,654,878 135,305,548 O&M Cost Coverage 81% 87% 105% 105% Total Cost Coverage 81% 76% 87% 86% 3.0 Conditions attached to the tariff approval The conditions attached to this approval, which shall form part of the license conditions of KIBMAWASCO, are: (i) Service Delivery Conditions attached to the Tariff Service Delivery Conditions Target 2023/2024 2024/2025 2025/2026 2026/2027 Water Coverage (%) 40% 41% 42% 43% Water quality standards (%) 100% Compliance with Standards Personnel Expenditure as % of O&M 52% 48% 48% 48% Maintenance Expenditure as % of O&M 5% 5% 6% 6% Investment Expenditure as a % of Total Expenditure 0 13% 17% 18% Non-Revenue Water 57% 56% 54% 52% Hours of Supply (Hrs.) 14 15 18 19 Staff per 1000 connections 13 13 12 12 Metering ratio (%) 100% 100% 100% 100% Collection Efficiency (%) 95% 95% 95% 95% Resale at Kiosk 3Kshs/20-liter jerrican (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) Catchment protection: The utility shall undertake measures to conserve/ protect catchment areas of their water source as part of corporate social responsibility (vi) Regulatory Levy: The utility is to pay monthly regulatory levy based on 4% of the total turnover which is inclusive of billing of other services and interest income earned. (vii) Subsidy from the County Government of Makueni: The County Government of Makueni shall provide an annual budget subsidy of Kshs. 36,000,000 (thirty-six million) towards system maintenance and investments as factored in this tariff. (viii) Investments: The utility shall undertake the investments in Table 1: Table 1: Investments FY 2024-2025 Targetted Investment Project Area Guide Size Sample Descriptions Unit Quanti ty Unit Cost Project Cost (Ksh) A. Regional Master meters Makindu area - 2'' Dia Installation of District meters No. 2 230,000 460,000 Kibwezi area - 2'' Dia Installation of District meters No. 4 230,000 920,000 Sub-Total 1,380,000 B. Water quality Water treatment equipment Chlorine comparator kit c/w Sample pair cell and disc 2000+ - No. 2 149,928 299,856 Pocket pro+ multi 2 tester ph/cond/tds/salin ity - No. 1 90,480 90,480 Chlorine dozer 1,000l capacity - No. 1 890,000 890,000 Sub -Total 1,280,336 C. Automation Accounting and Stores software Accounting and stores management software - No. 1 2,500,000 2,500,000 - - Capacity building of the staff No. - - - Office Desk top computers No. 7 140,000 980,000 - - Office lap-tops No. 4 170,000 680,000 THE KENYA GAZETTE 30th May, 2025 Targetted Investment Project Area Guide Size Sample Descriptions Unit Quanti ty Unit Cost Project Cost (Ksh) Sub -Total 4,160,000 D. NRW Reduction Plan To reduce NRW from 57% to 56% - Water Pipeline Locator Machine No. 1 350,000 350,000 Water pipeline leak detector machine No. 2 111,360 222,720 Supply and delivery of consumer meter DN 15mm Diameter R200 No. 1,000 3,800 3,800,000 Supply and delivery of customer meter accessories i.e Saddle clamp, Gate Valve, No. 1,000 6,560 6,560,000 Sub-Total 10,932,720 E. Motor Vehicles and Motorcycles Transports Operations Motorcycle, Trail, 151 - 180cc No. 3 220,000 660,000 Sub-Total 660,000 TOTAL 18,413,056 Targetted Investment Project Area Guide Size Sample Descriptions Unit Unit Cost Quantity Project Cost (Ksh) A. Water quality Water treatment equipment Pocket pro+ multi 2 tester ph/cond/tds/salin ity - - No. 1 90,480 90,480 Chlorine dozer 1,000 l capacity - No. 2 890,000 1,780,000 Purchase of Portable Turbidimeters 0 to 1000 NTU - No. 1 522,000 522,000 Sub-total 2,392,480 B. Automation Accounting and Stores - - Office Desk Top Computers No. 2 147,000 294,000 - - Office Laptops No. 2 178,500 357,000 Sub -Total 651,000 C. NRW Reduction Plan To reduce NRW from 56% to 54% - Water Pipeline Locator Machine No. 1 350,000 350,000 Water pipeline leak detector machine No. 2 111,360 222,720 GIS Mapping and DMA Zoning No. 1 2,300,000 2,300,000 Supply and delivery of consumer meter DN 15mm Diameter R200 No. 2,000 6,560 13,120,000 Sub-Total 15,992,720 D. Motor Vehicles and Motorcycles Transport Operations - Motorcycle, Trail, 151 - 180cc No. 5 220,000 1,100,000 - Single Cab Pick-up, 4x4, LWB, 2400-3000 cc, Diesel No. 1 4,500,000 4,500,000 Sub-Total 5,600,000 TOTAL 24,636,200 FY 2026-2027 Targetted Investment Project Area Guide Size Sample Descriptions Unit Unit Cost Quantity Project Cost (Ksh) A.NRW Reduction Plan To reduce NRW from 54% to 52% - - Water pipeline leak detector machine No. 2 111,360 222,720 Replacement of worn-out consumer meters DN 15mm Supply and delivery of consumer meter DN 15mm Diameter R200 No. 1,200 6,822 8,186,880 Sub -Total 8,409,600 B. Capital Works Aligon-Mbui Nzau pipeline - 6'' dia Supply, deliver and instal 6" dia hdpe pipe and fittings required to connect the booster pump @ aligon pumping station and mbui nzau town to the existing upvc old pipeline and test flow No. 1 19,230,90 19,230,900 Sub -Total 19 230,900 TOTAL 27,640,500 Dated the 24th May, 2025. RICHARD CHERUIYOT, Ag. Chief Executive Officer, Water Services Regulatory Board. FY 2025-2026 30th May, 2025 THE KENYA GAZETTE