Court rules water firm to seek county’s consent to review tariffs

The High Court in Murang’a has ruled that water companies must get express permission from the county government when they want to review tariffs. PHOTO | FILE | NATION MEDIA GROUP

What you need to know:

  • Muswasco had told the court that it has the authority from the county to provide water and sanitation services.
  • But the judge noted that the Section 120 of the County Governments Act provides for tariffs and pricing of public services.

The High Court in Murang’a has issued a landmark ruling on water tariffs, dealing Water Services Board (Wasreb) and water companies a major blow.

In the petition filed by the Murang’a County government challenging Murang’a South Water and Sanitation Company (Muswasco) and Wasreb for reviewing water tariffs upwards, Justice Kanyi Kimondo said that the two respondents can only do so after getting express authority from the county government.

Although Wasreb maintains that its mandate is to evaluate and recommend water and sewerage tariffs for the county water services providers and approve the imposition of such tariffs in line with consumer protection standards, the judge noted that it could only do so in consultation and with consent from the county government.

TARIFFS APPROVAL

“In view of express letter of the Constitution, it remains doubtful that the second respondent (Wasreb) can approve water and sewerage tariffs to the water service providers without consultation or consent of the county government. Any other interpretation would defeat the objects and principles of devolution decreed by Article 174 and 175 of the Constitution,” the judge said when delivering his ruling on Tuesday.

“A permanent injunction is granted restraining the first and the second respondents (Muswasco and Wasreb) from reviewing water tariffs without the express consent of the petitioner,” the judge ordered.

Muswasco, through its managing director, had told the court that it has the authority from the county to provide water and sanitation services to its area of jurisdiction.

The company further said it had applied to Wasreb for the review of tariffs, accusing Governor Mwangi Wa Iria’s administration of jeopardising its work by lowering the water tariffs.

But the judge noted that the Section 120 of the County Governments Act provides for tariffs and pricing of public services.