KILIFI County—Jan 21, 2026—Kilifi County’s water utilities are facing a deepening crisis after a Senate committee flagged soaring Non-Revenue Water (NRW) levels and questioned the financial viability of the firms.
The Senate Committee on County Public Investments and Special Funds, chaired by Vihiga Senator Godfrey Osotsi, met Governor Gideon Mung’aro and his executive team to review Auditor-General reports on several county entities, including multiple municipalities and the county’s two main water companies.
While the committee raised concerns over governance and financial control weaknesses across the municipalities, scrutiny intensified on the water sector, where audit findings pointed to operational failure and financial distress.
At Malindi Water and Sewerage Company, NRW jumped sharply from 16 per cent in the previous financial year to 42 per cent in 2024–2025. Senator Osotsi questioned how such a spike could occur without accountability.
“A jump of this magnitude is not normal. It raises serious questions about whether water is being lost through leaks, theft or deliberate manipulation,” he said.
Both Malindi Water and Kilifi Mariakani Water and Sewerage Company were flagged by the Auditor-General as technically insolvent, with material uncertainty over their ability to continue operating.
Senators questioned the rationale behind continued county funding for entities unable to demonstrate financial sustainability.
Nominated Senator Raphael Chimera dismissed explanations from management as evasive, warning that unchecked NRW was draining the companies’ revenues.
“You cannot tell us you are insolvent and at the same time claim everything is under control. That contradiction is exactly what worries this Committee,” he said.
Governor Mung’aro acknowledged the challenges and appealed for time, saying the county had initiated turnaround strategies to reduce NRW and restore profitability, though he did not provide timelines or costed targets.
Osotsi remained unconvinced, insisting that the county must demonstrate clear accountability.
“Hope is not a strategy. Until you tell us how much is lost, who is responsible and when it will stop, this Committee will not be satisfied,” he said.
