GAZETTE NOTICE NO. 12823

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 the latest available data, WASREB has determined an upward tariff review for RUJWASCO 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 RUJWASCO that the approved tariffs for the four financial years 2024/2025, 2025/2026, and 2026/2027 and 2027/2028 shall be as follows: 3 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 1-6 104 7-20. 110 21-50 130 51-100 150 101-300 155 >300 170 Multi-Dwelling Units Per M3 135 THE KENYA GAZETTE 4th October, 2024 Commercial/Industrial/Government/Institutions 1-50 130 51-100 150 101-300 155 >300 170 Public Schools, Colleges and Universities 1-600 110 601-1200 125 >1200m3 140 Bulk Water Sales Per M3 91 Water Kiosks Per M3 110 Customers with non-functional meters shall be billed based on the average of the last three months’ bill. 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 source of water (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 regulations of the Water Services Regulatory Board (WASREB). The inflation adjustment shall come into effect every July of the tariff period commencing July 2025. 1.4 Miscellaneous Charges 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 and restaurants less than 15 m3 4,000 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 15,000 Hotel class “C” and ‘D’ less than 150 m3 18,000 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 Multi-Dwelling Units (MDUs) 10,000 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 and 16,000 litres 2,500 and 5,000 respectively per tanker within the WSP’s Service area for all consumers Sale of water Per M3 at bowsing point (own tanker) KSh. 110 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 Sewer Connection- Commercial, Government, Schools, Universities and Colleges 7,500 4th October, 2024 THE KENYA GAZETTE 2.0 Cost Summary Below is the summary of the recommended cost structure that makes up the total costs to be incurred by RUJWASCO during the tariff period: Expenditure Item 2022/2023 (KSh.) 2023/2024 (KSh.) 2024/2025 (KSh.) 2025/2026 (KSh.) 2026/2027 (KSh.) 2027/2028 (KSh.) Operations 561,938,223 1,061,015,200 1,271,978,655 1,297,576,279 1,394,472,168 1,516,835,667 Maintenance 248,187,165 268,187,165 165,856,558 91,591,957 101,844,420 121,184,201 Regulatory Levy 34,885,962 40,164,765 75,138,758 91,591,957 101,844,420 121,184,201 Total O&M Costs 845,011,350 1,369,367,130 1,512,973,971 1,480,760,193 1,598,161,007 1,759,204,068 Investment Costs - 462,000,000 165,186,448 353,089,662 449,915,515 550,934,294 Debt Repayment 16,939,500 16,939,500 50,530,764 171,154,571 171,934,888 171,681,377 Total Costs 861,950,850 1,848,306,630 1,728,691,183 2,005,004,426 2,220,011,411 2,481,819,740 Total Billing (KShs) 794,422,224 1,129,632,283 1,820,877,188 2,225,108,776 2,476,096,100 2,955,935,870 Collection Efficiency (%) 91% 95% 95% 95% 95% 95% Projected Revenue 722,924,224 1,073,150,669 1,729,833,328 2,113,853,337 2,352,291,295 2,808,139,077 Total Cost Coverage 84% 58% 100% 105% 106% 113% 3.0 Conditions attached to the tariff approval The conditions attached to this approval which shall form part of the license conditions of RUJWASCO are: (i) Service Delivery Conditions attached to the Tariff Target 2022/2023 2023/2024 2024/2025 2025/2026 2026/2027 2027/2028 Water Coverage (%) 81% 82% 84% 85% 87% 88% Water quality standards (%) 100% Compliance with Standards Personnel Expenditure as % of O&M 32% 32% 31% 31% 30% 29% Non-Revenue Water 38% 44% 42% 41% 40% 39% Hours of Supply (Hrs.) 20 20 21 21 21 22 Staff per 1000 connections 5 5 4 4 3 3 Metering ratio (%) 100% 100% 100% 100% 100% 100% Collection Efficiency (%) 91% 95% 95% 95% 95% 95% 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) Loan Repayment: RUJWASCO shall remit monthly loan repayments as detailed below: Financing 2024/2025 2025/2026 2026/2027 2027/2028 WASSIP (Ruiru-Juja Water Supply Works) 40,872,688 81,745,376 81,745,376 81,745,376 WASSIP-AF 9,658,076 19,316,153 19,316,153 19,316,153 KfW Loan (Nairobi Satellite Towns Water Supply Improvement Project) 69,899,979 69,899,979 69,899,979 Evidence of loan repayment to AWWDA shall be submitted to WASREB monthly by the 15th day of the following month. (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) Creation of distinct water and sewer cost centres: RUJWASCO will ensure it creates separate water and sewer cost centres within the first year of this tariff period. A distinct record of operations of the two centres should be maintained. (vii) Investments: The utility shall undertake the investments in Table 1 within the tariff period Table 1: Investments PROPOSED INTERNALLY FUNDED INVESTMENTS DURING THE TARIFF PERIOD 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,– Domestic (Fraud) 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 THE KENYA GAZETTE 4th October, 2024 2024/2025 (KSh.) 2025/2026 (KSh.) 2026/2027 (KSh.) 2027/2028 (KSh.) Targetted Investment Project Area Guide Size Sample Descriptions Quantity A. Water Coverage Improvement Juja Pipeline extension project 2.7km Murram-Kenyatta Road water distribution pipeline Construction of DN 315mm HDPE pipeline 6.4Km Increase water coverage and hours of service 1 - 56,139,662 - - Ruiru Pipeline Extension 3no Mugutha-Daykio water pipeline Construction of DN 250mm HDPE pipeline 800M 1 - - 8,910,234 - Ruiru Distribution Improvement project 5.8Km Construction of DN 250mm HDPE pipeline from Jacarnda to Imani Estates 1 - - 44,556,899 - Weiteithe Distribution Improvement project 5.4Km Juja -Nyasaba distribution pipeline Construction of DN 315- 250-225mm HDPE pipeline 5.4km 1 - - 50,697,606 Sub -Total B. Productivity & efficiency improvement Boreholes Solarization 10No Installation of solar hybrid for 10 boreholes 10 - 15,000,000 15,000,000 15,000,000 Kahawa sukari rehabilitation of Kahawa sukari pipeline network 40km upgrading of 40km DN 40mm-225mm existing PVC Pipeline network to HDPE 1 10,000,000 20,000,000 20,000,000 10,000,000 Main Office Procurement of operations vehicles 6No procurement of a total 6no motor vehicles (2no. Cabs in the first year, 2,3,4,5 years 1no. Double cab) 1 8,500,000 8,500,000 9,000,000 9,500,000 Main Office Procurement of motorcycles 20No procurement of a total 40no motorbikes. Acquire 20no in the first year at a cost of Kes 200,000 and 5 no. for the other four years at a cost of Kes 250,000 1 1,250,000 1,250,000 1,250,000 1,250,000 Main Office Office furniture Office chairs, desks, cabinetry 1 2,000,000 2,000,000 2,000,000 2,500,000 Juja T- Works Juja treatments backwash recirculation construction of retention lagoon, pumping, and pipework’s 1 5,500,000 - - - T-Works Installation of SCADA systems for Ruiru and Juja treatment plants Installation of remote monitoring system for measuring turbidity, residual chlorine, flow meter, and pressure gauges at Juja and Ruiru plants 1 5,000,000 - - - C. Revenue Improvement All schemes Pipeline Extensions 60km pipeline network of 350km DN 160mm- 50mm HDPE in Ruiru, Juja and Githurai areas 1 - 50,000,000 103,294,012 103,294,012 Ruiru Pipeline extensions in Ruiru areas 50km upgrade of Theta and Garong'ora pipeline distribution DN 560MM- 250MM HDPE 1 - 60,000,000 100,000,000 Main Office Purchase of consumer water meters 45,000No purchase of 80,000 consumer water meters 1 30,000,000 30,000,000 30,000,000 30,000,000 D. Service improvement projects Ruiru, Juja and Githurai areas Water connectivity pipeline extensions 100km 100 Km, connectivity pipeline extension works of DN 90-50mm per year in Ruiru, Juja, and Githurai areas 1 60,000,000 60,000,000 60,000,000 162,000,000 Juja Rehabilitation of Juja scheme 100km Upgrading of existing PVC to HDPE pipeline 1 - - 38,404,370 41,092,676 4th October, 2024 THE KENYA GAZETTE 2024/2025 (KSh.) 2025/2026 (KSh.) 2026/2027 (KSh.) 2027/2028 (KSh.) Targetted Investment Project Area Guide Size Sample Descriptions Quantity pipeline network network approximately 100km of DN50mm- 225mm Sub -Total F. Environmental Conservation Kibendera WTTP Watershed conservation and management Establishment of a tree nursery in Kibendera WWTP and annual maintenance 1 200,000 200,000 200,000 200,000 Within Catchment Areas Watershed conservation and management Annual tree planting activities 1 3,000,000 3,000,000 3,000,000 3,000,000 Sub -Total G. Sanitation Improvement Kibendera WTTP Operationalizat ion of Phase 2 Waste Water Treatment Works 2no Installation of solarised street lights at the phase 2 ponds. 1 6,815,116 - - - Ruiru, Juja and Githurai sewer connectivit y laterals Sanitation improvement in area of service 100km construction of total 100Km Dn 300- 160mmmm sewer laterals every year 1 13,821,332 - - 100,000,000 H. NRW - Management Meter test kit portable test meter kit Management of commercial water losses 1 - - 500,000 - NRW Equipment Purchase pipe locators Management of NRW 1 - - 300,000 300,000 NRW Equipment Purchase Ultrasonic flow meters management of physical water losses 1 - - 1,000,000 water meters procure 15,000 water meters to replace malfuncti oning consumer meters Reduced commercial water losses 1 9,600,000 6,500,000 9,600,000 Rehabilitation replaceme nt of old dilapidate d UPVC pipelines management of physical water losses 1 9,500,000 10,500,000 12,500,000 12,500,000 Total 165,186,448 353,089,662 449,915,515 550,934,294 Dated the 6th September, 2024. RICHARD K. CHERUIYOT, MR/6547681 Ag. Chief Executive Officer, Water Service Regulatory Board. THE KENYA GAZETTE 4th October, 2024