Auditor General Report Highlights Major Inefficiencies At Coast Water Works Development Agency

A new report by the Auditor General has exposed the Coast Water Works Development Agency as the most inefficient water sector agency in Kenya, with almost all of its major projects experiencing significant delays. The report, which covers the financial year 2022/2023, highlights how the taxpayer has borne the cost of these delays, with local populations continuing to suffer from inadequate water supply.

Key delayed projects include the Baricho Well-Field Protection Works, which was allocated Ksh 3.6 billion in 2021. Despite significant funding, the project is still unfinished, with the Agency entering a contract on November 17, 2021, that was supposed to be completed within 12 months. By the time of the audit in October 2023, the project had not been completed, and the 12-month defect liability period had already started.

The Auditor General has exposed the Coast Water Works Development Agency as the most inefficient water sector agency in Kenya. Chairman-BOD Dr. Daniel Katama Mwaringa. [Photo: Courtesy]

The report also draws attention to several other stalled projects, including:

1. Mombasa Water Services Improvement: The project to improve water services in Mombasa County, including Phase 1 of the North Mainland (Nyali) Water Project, was initially contracted for Ksh 516.4 million, later revised to Ksh 589.9 million. The project, expected to finish by October 2022, was delayed multiple times, with the completion date extended to August 2023. As of October 2023, the contractor had been paid 63% of the contract sum, yet work remained incomplete.

2. Mombasa North Mainland Water Distribution: This key project, valued at Ksh 781.4 million, was expected to be completed by October 2022 but remains only 68% finished as of October 2023. The delay could result in escalated costs and undermine the value of the investment.

3. Storm Water Outlets in Mombasa County: With a contract sum of Ksh 3.4 billion, this project, which began in May 2021, was expected to be completed by August 2023. By October 2023, only 63% of the work had been completed, with no extension of time provided by the management.

4. Kipevu Waste Water Treatment Plant: This KSh 240 million project, awarded in May 2021, has seen limited progress. Only 48% of the work was completed by the expected completion date of August 2023.

Additional delayed projects include the rehabilitation and extension of Mombasa’s water supply and sewer networks, as well as water distribution works in Kilifi, which have also suffered from extended timelines and incomplete work. The audit points to inadequate management, lack of clear explanations for delays, and failure to provide extensions of time or adjust for unforeseen challenges.

The report raises serious concerns about the Agency’s ability to manage and implement water infrastructure projects efficiently, urging for greater accountability and more robust project oversight to avoid further taxpayer losses.