Murang’a water firm transfers its ownership to the county government

Murang’a, Sunday, July 2, 2023

KNA by Bernard Munyao

Murang’a Water and Sanitation Company (Muwasco) will fully be managed by the local devolved administration after the firm transferred 98 percent of its shares to the county government.

This follows a directive by the Water Services Regulatory Board (Wasreb) to all water services providers to transit to public companies limited and to fully be under the management of county governments.

Muwasco outgoing Chairman Mr. Peter Munga led the management of the water firm in handing over the company to Murang’a Governor Dr. Irungu Kang’ata during an occasion held at a Murang’a hotel on Saturday.

Munga said the company had prepared well in the process to change from a private entity to a public company in adherence to the directive of Waserb. He underscored the management of Muwasco in the provision of sustainable and clean clients within its area of jurisdiction.

The Management of the company overruled decisions made by its stakeholders who were reluctant to have the company be managed by the devolved unit. During a public engagement forum held in mid-June, the majority of stakeholders were against the directive of Waserb.

Munga said the firm respects the law and proper arrangements were made to transfer majority of its shares to the county government as directed by the water regulator.

“We are confident that the county government will enable the water firm to improve its services by channeling more funds to implement some of pending projects aimed at increasing water coverage in our jurisdiction,” said Munga.

The chairman asked Kang’ata’s administration to support the establishment of a water institute which is among major projects of the company.

“Already there is land to put up the institution to train courses related to water. The college needs Sh. 400 million and we ask the county government to support this initiative. Another project is to set up a cooking gas project at our sewer line. With the implementation of this project, locals will get cooking gas at 50 percent cheaper than the price of liquefied petroleum gas,” added Munga. 

Muwasco becomes the second water firm in the county to transfer its ownership to the devolved administration. Gatanga Community water services, a month ago, had transferred 98 percent of its share to the county government.

Stakeholders of three other local firms including Gatamathi, Murang’a West and Murang’a South water companies, during public engagement forums, declined to have majority of their shares transferred to the county government.

On his part, Kang’ata said the transfer of the ownership to his administration gives a legal framework for the county administration to channel funds to support water projects done by the companies.

He promised that the water firms will be managed in a professional manner saying his administration will not interfere with day to day operations of the companies as they will continue in an autonomous manner.

“The workers will retain their jobs and even have more work as I assure you that the companies will start receiving funds from the county government after the transfer of majority of their shares provides the needed legal condition,” he added.

Other leaders who attended the occasion including the county senator, Joe Nyutu, woman representative, Betty Maina and Maragua MP Mary Waithera lauded the move of having the water firms be managed by the county administration.

Waithera on her part urged the other water companies to follow suit and transfer their shares to the county government as directed by Wasreb.

In April this year, Wasreb wrote to all water firms directing them to transit to public companies limited by transferring the majority of the shares to devolved administration.

The regulator set June 30, 2023, as the deadline for the companies to adhere to the directive failure to which their operating licenses will be canceled.

Courtesy ; K. N. A