The Mombasa assembly has received a report on the water shortage that hit the county from last month.
The report was tabled last week by the Water, Environment and Natural Resources department.
It says the county may be unable to settle a Sh629 million debt with the Coast Water Services Board.
The debt has accumulated since July 2013.
The report says the Mombasa Water Company pays for bulk water supply to CWSB at Sh25 per cubic metre.
The company bills an average of Sh75 million a month and collects Sh60 million for the same period, the report said.
About Sh27 million of the revenue the county collects pays salaries and wages and Sh10 million goes to operations and maintenance.
The remainder is paid to the CWSB.
“Expenditure is higher than the revenue generated,” the report said.
More than one million residents did not have water for three weeks.
On January 23, CWSB disconnected water from all the four sources outside Mombasa town. These are Tiwi Boreholes and Mare Springs in Kwale county, Mzima Springs in Taita Taveta county and Baricho Welfields in Kilifi county.
The sources supply 45 million litres a day to Mombasa county.
The report said Sh26 million has been paid to the CWSB, which initially demanded Sh100 million.
Committee chairperson Zeinab Omar said they will meet this week to discuss the report.
The CWSB is under pressure from the National Treasury to raise funds for the repayment of a World Bank loan.
