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Today, the Senate Committee on County Public Investments and Special Funds (CPISFC), chaired by Senator Godfrey Osotsi, convened to address concerns outlined in the Auditor General's Report regarding Nzoia Water and Sewerage Company Limited's Financial Statements for the financial years 2018/2019, 2019/2020, and 2020/2021. In attendance was Bungoma County Governor Kenneth Lusaka, who responded to the raised questions.
During the session, the Committee acknowledged Nzoia Water and Sewerage Company as a joint venture between the County Governments of Bungoma and Trans Nzoia. Discussions with representatives from both counties highlighted an ambiguity pertaining to the company's ownership structure. Consequently, the Committee opted to defer the consideration of the audit reports until the Governors of the respective counties address this ownership concern.
Furthermore, it was revealed that the Bungoma and Trans Nzoia County Governments jointly established a task force with the aim of clarifying the shareholding arrangement between the counties and offering recommendations for the way forward.
In light of these observations, the Committee issued the following directives:
The Governors of Bungoma and Trans Nzoia Counties are urged to engage in negotiations to resolve the ownership discrepancy surrounding the water company. Both counties are required to submit the task force's recommendations to the Committee within 30 days of this meeting.
Throughout the ownership deliberations, both counties are instructed to ensure continuous support for Nzoia Water and Sewerage Company to ensure an uninterrupted water supply to their residents.
In the event of a decision to decluster the water company, the Committee emphasizes adherence to established procedures, guidelines set forth by the Water Services Regulatory Board (WASREB), and industry best practices.
Following successfully resolving the ownership issue, the Committee plans to invite the two Governors for a comprehensive review of the water company's audit reports.
The meeting, led by Senator Godfrey Osotsi, saw the presence of committee members, including Vice Chair Prof. Tom Ojienda, Senators William Kisang, Karungo Thangwa, Eddy Oketch, and Miraj Abdillahi. Senator Wafula Wakoli attended as a friend of the Committee.