The government has revealed that a total of 23 international firms expressed interest in the construction of the 33 multi-billion dams recently tendered.
Water Secretary Samwel Alima told a Parliamentary Committee on Blue Economy, Water and Irrigation that each of the dams attracted a maximum number of eight investors.
The Ministry tendered for the projects in May with bidders being given until June 6 to submit necessary documents.
“We had a good response from international bidders, each of the dams had a minimum of four investors competing for it,” said Alima.
He was responding to questions from members who included William Kamket (Tiaty) and Charles Were (Kasipul).
The MPs had raised concern over the move to embrace public-private partnerships (PPP) in the implementation of key projects and the provision of bulk water.
“Chairman, can the CS also tell us if there are people seeking to benefit from this model and if there are investors knocking on her door pushing for the contracts?” Kamket posed.
Alima had appeared alongside Cabinet Secretary Alice Wahome before the Committee chaired by Marakwet East MP Kangogo Bowen to give their presentations regarding the Water Amendment Bill, 2023.
The Bill seeks to introduce public-private partnerships (PPP) in the implementation of key projects and the provision of bulk water.
While defending the arrangement, Wahome noted that the government seeks to attract funding of up to Sh500 billion from investors ready to develop the various projects across the country.
The dams, Alima added, are classified as commercial and social.
Social, he explained, are those that are not commercially viable and can be financed by the government through Engineering, Procurement and Construction and Finance (EPCF) model.
He also threw his weight behind the PPP financing saying the government stands to benefit since the loan is paid from the proceeds of revenue streams which include the sale of water and power.
Under EPCF, the government finances a project through a loan and it is based on the balance sheet of the government.
The dams tendered include Keben (Nandi), Bonyunyu (Nyamira), Saimo Soi (Baringo), Londiani Dam (Kericho) Kiambaa Dam (Kiambu), Rare (Kilifi) and Yatta Dam (Machakos).
Others are Thuci dam (Embu), Badasa (Marsabit), Umaa Dam (Kitui), Bute dam (Wajir) and Narumoru dam (Nyeri).
