Kenya could be looking
to save up to Sh12 billion in lost revenue through the digitisation of its water
systems.
This is after Liquid
Intelligent Technologies and global smart water solutions provider DropByDrop
Water Systems entered a strategic partnership to roll out intelligent water
management technologies across Kenya.
The collaboration
aims to tackle Kenya’s mounting non-revenue water challenge, with nearly 44 per
cent of distributed water reportedly going unaccounted for due to leaks,
metering inaccuracies, and poor monitoring systems.
Non-Revenue Water
(NRW), the difference between the volume of water a utility pumps into its
system and the volume of water that is billed to customers, continues to be a
major hurdle for the financial health and service delivery capabilities of
Kenya’s water sector.
With total
billings reaching Sh28.86 billion, the current NRW level stands at a concerning
44 per cent, according to the Kenya Water Services Regulatory Board Impact Report.
This translates to
an estimated Sh12.37 billion worth of water lost during
the 2022/23 reporting period, even after accounting for an acceptable
loss threshold of 20 per cent.
“Water scarcity is a growing challenge across
the continent, and managing this precious resource efficiently is more
important than ever. Through our partnership, we’re bringing Liquid’s advanced
technology and data-driven solutions to Kenya’s water sector,” said Liquid Kenya Acting Chief Executive Officer Neeraj Pradhan.
“By helping providers digitise their
infrastructure and build smart water ecosystems, we’re empowering them to serve
their communities better.”
The initiative is
expected to reduce water loss, enhance billing accuracy, and unlock new revenue
streams for utilities, improving their ability to invest in infrastructure
upgrades and urban expansion.
A water sector report
tabled in parliament in April 2025, shows that Nairobi’s water utility firm has
the highest non-revenue water loss, amounting to Sh8.5 billion, followed by
Mombasa (Sh1 billion), Kericho (Sh199.4 million), Kwale (Sh183.3 million),
Kitui (Sh110.1 million), Sibo (Sh102.7 million), Lodwar (Sh89.1 million), Bomet
(Sh68.1 million), and Narok (Sh53.3 million), respectively.
“Some water
companies did not maintain records of the volume of water produced, as there
was no master meter installed at the intake points, making it impossible to
establish acceptable non-revenue water levels, despite financial statements
reflecting operating revenues from the sale of water,” the report stated.
According to
Liquid, the smart water systems will also contribute to environmental, social,
and governance (ESG) goals and help track progress toward the United Nations’
Sustainable Development Goals (SDGs).
“Water is at the
heart of life, yet millions still struggle to access it reliably,” said
Khorolsky, International Projects Partner at DropByDrop.
“By combining our
data-driven water platform with Liquid’s powerful network, we’re creating a
future where water is managed sustainably, equitably, and intelligently.”
The platform’s
multilingual interface and compatibility with multiple network types aim to
ensure broader accessibility, including real-time alerts for leaks, usage
tracking, and remote valve controls for emergency shutoffs or adjustments.
“Addressing this
issue is essential for achieving water security, improving customer outcomes,
and supporting the country’s broader vision of economic growth and higher
living standards,” the Kenya Water Services Regulatory Board said in a statement.
