Ruto’s Budget Cuts Could Cost Kenya Ksh 8M Daily Over Mwache Dam Delays

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President William Ruto during the ground-breaking of the construction of Mwache Dam, April 12, 2024.
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PSC

President William Ruto's controversial budget cuts could land Kenya in hot water, with potential fines of Ksh8.2 million per day looming if the government's compensation to Kwale County residents affected by the Mwache Dam construction falls short.

The government has earmarked only Ksh400 million for the relocation of these residents, a sharp Ksh600 million reduction from the Ksh1 billion initially requested.

The residents, still waiting for compensation despite the project's groundbreaking last year, face further delays. The Mwache Dam project, which has faced significant hurdles since the contract was signed over nine years ago, was relaunched by President Ruto in April 2023, but continues to worry members of Parliament.

A report from the Budget and Appropriations Committee on Supplementary Budget 1, submitted to the House this week, highlights the dam's implementation challenges due to insufficient funds for the Resettlement Action Plan (RAP).

The report notes that the State Department for Irrigation has been allocated Ksh400 million for RAP in the FY 2024/25, far short of the Ksh1 billion required.

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President William Ruto with former Water CS, Alice Wahome during the ground-breaking of the construction of Mwache Dam, April 12, 2024.
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PSC

Kiharu MP Ndindi Nyoro, leading the committee, stated, “The Project Affected Persons, who are yet to be compensated for land surrendered to the government for the project, have obstructed the contractor from accessing the construction site, halting construction.”

Nyoro added, “This may lead to the contractor demanding penalties from the government for breach of contract, estimated at Ksh8.2 million per day.”

The Mwache Dam, situated on the Mwache River at Fulugani village in Kwale County, about 22 km west of Mombasa County, requires 1,600 acres of land and will displace approximately 4,250 residents. These residents risk losing their assets, livelihoods, and access to natural or economic resources due to the dam project.

The project aims to provide irrigation, with over 6,000 acres of land expected to be cultivated for food production in Kwale.

Once completed, the dam will supply 186,000 cubic metres of water daily to the Port City of Mombasa and the expansive Kwale County. This translates to about 9.3 million 20-litre jerry cans every day, addressing the water scarcity issues in the region.

However, the project's future remains uncertain as the government grapples with the financial shortfall.

The committee observed that the revised budget estimates have significantly impacted several key development projects within the water sector. These projects include the Galana Kulalu Project, National Expanded Irrigation Project, Siyoi Muruny Dam Water Supply Project, Community-Based Irrigation Projects, Household Irrigation Water Harvesting Project, and various other water harvesting initiatives under all Water Works Agencies.

"The Committee on Blue Economy, Water, and Irrigation noted that this would greatly affect the provision of clean and safe water for household consumption and irrigation purposes," stated the committee led by Ndindi Nyoro.

President William Ruto (center) during a tour in Nakuru County.
President William Ruto (center) during a tour in Nakuru County.
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PCS