Nyeri water companies lose Sh190 million in revenue

The management boards of four water companies have appeared before a county assembly committee in connection with the loss of Sh190 million.

The public accounts committee chaired by a nominated ward rep, Linet Wanjiru, held hearings with the boards of Nyeri Water Sewerage Company (Nyewasco), Othaya Mukurweini Water Services Company (Omwaso), Tetu Aberdare Water and Sanitation Company (Tewasco), Naromoru Water Sanitation Company (Nawasco, and Mathira Water and Sanitation Company (Mawasco).

According to the Auditor General's reports for the financial year ended June 2016, four of the five companies had lost Sh190 million due to unaccounted for water.

Nyewasco was the only company that had less than 25 per cent unaccounted for water, which is the allowable loss, according to the water services board guidelines.

Omwasco had the highest loss - Sh121 million.

Auditor General Edward Ouko reported that Omwasco’s financial statements indicate the company had Sh102 million operating revenue from water sales.

Operating revenue

“Omwasco produced five million cubic metres of water. However, out of this volume, only 2.3 million cubic metres were billed to customers. The balance of 3.6 million cubic metres, which accounts for 61 per cent of the total water produced, was unaccounted for,” the report stated.

Mawasco managing director David Gathogo defended the company, saying it was working to recover the debts, but that most of them were bad.