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The Senate Committee on Public Investment and Special Funds, headed by Vihiga Senator Godfrey Osotsi, convened a meeting today, querying Turkana County Governor, Jeremiah Ekamais Lomorukai, regarding the Auditor General's report on the Lodwar Water and Sanitation Company Limited's (LOWASCO) financial statements for the 2018-21 fiscal years.
According to the Committee's analysis of the Auditor General's report, there were several crucial issues involving the management and ownership of LOWASCO. A significant unresolved issue pertains to the ownership of the water company, which has not been transferred from the defunct local authorities to the County Government of Turkana. Complicating matters, a private entity, the Lake Turkana Outsourcing Company Limited, owns a 40% stake in LOWASCO.
Adding to the complexity, the Committee observed that since the onset of devolution, the water company had failed to establish a substantive Board of Directors. The County Government's attempts to wind up the water company were also noted, likely fuelled by their limited controls over its operations due to the 40% shareholding by the private entity. As a result, the County Government has begun the process to register two other water companies in light of LOWASCO's ownership challenges.
In response to these issues, the Committee passed several resolutions to ensure accountability and the future of water management in Turkana County. The County Government was directed to assume control of LOWASCO's operations through the prescribed legal procedures. Furthermore, they were tasked to provide a detailed report to the Committee within 90 days.
The Committee further demanded that the County Government submits comprehensive information regarding the Lake Turkana Outsourcing Company Limited, including details about its owners and the financial worth of their 40% share in LOWASCO.
The Committee also resolved to summon Josphat Nanok, the former Governor of Turkana County, alongside the incumbent Governor, Jeremiah Ekamais Lomorukai. This joint appearance, scheduled for Monday, 26th June 2023, is intended to resolve the ongoing ownership challenges concerning LOWASCO and clarify the company's past operational issues.