Court freezes World Bank thirst for higher water costs
Court freezes World Bank thirst for higher water costs
Activists and water companies have won first round battle to stop newly increased levies on water that were part of the World Bank’s push to increase regulatory charges for water companies tenfold and introduce a new 5 per cent conservation levy.
The 2021 regulations that were set to take effect in March this year have been suspended by High Court after the Mt Kenya Ewaso Water Partnership, Kenya Water and Sanitation, Likii Water Resources, Likiundu Water and five activists filed a petition to halt the changes on claims that the implementation of the regulations will put the cost of water beyond the reach of most Kenyans.
The 2021 regulations introduced as part of the conditions for World Bank funding had proposed to increase on regulatory charges for water companies tenfold and introduction of a new 5 per cent conservation levy.
The water regulations 2021 will see water use charges increase from 50 cents per cubic meter to Sh5 for domestic use and livestock farming.
The WRA which allocates water use and controls pollution was charging 50 cents per cubic meter for water for homes, livestock and for irrigation while commercial use attracted a charge of 75 cents for use over 300 cubic meters.
It will now charge Kes2 per cubic meter for irrigation while commercial use attracted a charge of Sh6 for use over 300 cubic meters a day.
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Late payment of water use charges will attract an interest charge of 2 percent per month and water providers will be require to install automated meters or face a penalty of 10 per cent of water used.
Water companies would then top up an additional 5 per cent of the charges as the conservation levy.
Introduction of fresh water conservation levies will see the service providers pass the additional costs to homes and businesses for piped water and sewerage.
Currently Kenyans pay an average of Kes93 per cubic metre or 1,000 litres for water piped to homes. The hike in water prices is also an emotive issue especially among irrigation belts like Mwea and Ahero who are sensitive on the cost of water on their produce.
The increase in water bills will add a new cost on consumers who already shouldering high cost of living as the country recovers from the Covid-19 pandemic, global upheaval, new taxes and currency depreciation that have pushed costs up and stifled incomes.
