Hook private money into public water

Eric Wamanji

When news that massive underground aquifers were discovered in Turkana surfaced, the water sector was awash with jubilation. Understandably so. Kenya, leave alone Turkana is classified by the United Nations as a water scarce nation. Therefore, seismic results of Turkana of such magnitude were thus cheered upon.

Yet as is the nature of mankind, especially those not oriented to technology, the skeptical chaps sneered at the idea that the water could be exploited and boost the economy. Yet the Turkana find is child’s play as to what Libya discovered decades ago, and massively exploited by the later Muammar Gaddaffi.

It is the colonel who constructed a river without banks on the Maghreb desert. The desert river made of concrete, steel and iron cylinders run into about 4, 000 kilometers – a product of passion, engineering streak, and ego that for long was the jewel of the desert nation.

The water from the desert, during its hey days served about six million people. Then, about 6,500,000 cubic meters of water would be hauled daily. Libya also managed to irrigate about 130, 000 hectares of land producing enough for home and export. It sunk 960 wells to depths of 500 meters. Under the Great Man Made River Authority created in 1984. The Nubian sandstone aquifers accidentally stumbled upon during oil exploration. It is said to be 40, 000 years old and could run for 1,000 years. The four water basins include: Kudra, Sirt, Murzk and Jabal Fezzan.

However, as any industry wonk would confirm, exploiting such a resource demands for monumental monetary and technical investment. This means that left alone to governments, the Turkana aquifers may not see the surface anytime soon.

But Kenya is not Libya. We are not home of petrodollars.

Enter PPP

This brings us to the issue: must all public water projects be carried out by the state? Does the private sector have a stake and a profit in the development of water projects?

The good news is that sector players including government, financiers, donors and water service providers, are in discussion to explore the possibilities of engaging Kenya’s PPP framework. The ideas are varied but the consensus is that the private sector has a core role to play in the development of water projects in the country.

Though in the recent past, the state has made strides to invest in mega water dam projects at a cost of about Ksh. 10 billion. The five major dams that have been constructed include: Kiserian, Badasa, Umaa, Maruba and Chemususu located in Kajiado, Marsabit, Kitui, Machakos and Baringo counties respectively.

The sector players now need to integrate the enacted PPP framework in the water realm. Regrettably, the private sector has largely shied off major public water investment, and instead, elect to flow with the seemingly lucrative water bottling stream. This has left the public water sector under heavy burden on the part of the state.

Understandably, public water provision comes with a lot of headache including goodwill challenges, political uncertainties and heavy capital inlay. But, for the country to industrialise and meet the domestic and industrial water needs, there is no choice but to engage the private sector.

Economic sense and cents 

Water is a critical ingredient of industrialization. Indeed, this is how the major industrial zones of the world emerged. Think of the Rhine Industrial Valley in Germany. It’s the presence of the massive River Rhine that industries sprout up.

Currently, the water scenario is a bit wobbly. There is massive inefficiencies, wastages, capacity doldrums and generally limited expansion streaks. The rural folk still treks kilometers to the stream for untreated water. The urban chap is under the siege of dry taps. It is hardly and appealing scene.

Yet, availability of safe, affordable and reliable water is considered a human rights concern. Indeed, water is a public good in the league of air and life. Thus the need to carefully balance the commercial interests vis a vis, the people’s rights and dignity. It would be sad to engage in exploitative designs for a commodity at the basis of the survival of every single living creature.

As a water starved nation, the need for efficiency and innovative ways of water abstraction are key for sustainable development.

But this concept need not be the mega dams that demand billions of dollars. Nay. The PPP concept can be designed in such a way that it can mean a single well serving a village to a mega dam with complete complex piping serving a metropolis. Another myth is that only the international folks can invest in water. That’s a fallacy. Local investors, Saccos, individuals, investor groups etc need to be enticed to throw a coin here and there for water.

The fact that some water development components enjoy tax free dealings is welcome. It’s a clear indication of the obligation the state is taking toward supporting attaining of this public good by all. Anyway, water is a human rights issue, and its politics should not hinder the state and the investor from ensuring a polished operated industry.

Vast models 

These engagements can be in fields designed as Build Own Transfer (BOT) Build Own Operate (BOO), Build, Own, Operate Transfer (BOOT). It can also be in the interest of rehabilitating already existing but run down projects. Clearly, what the investor will be looking at is an enabling environment, political and community goodwill.

With an ever-rising population, shrinking water sources and thirsts for industrial rise, the need for neatly designed water master plan –sourcing, distribution and treatment– has never been so urgent. Its time to hook the private money in public water.

Mr. Wamanji is a Communications consultant and teachers media studies at Daystar University ewamanji@yahoo.co.uk @manjis

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