Itare Dam Completion to Cost Taxpayers Extra Sh1 Billion

The cost of completing the long-stalled Itare Dam in Kuresoi North, Nakuru County, has risen by Sh1 billion, as the government moves to jump-start a project that has remained dormant for nearly six years.

Water and Sanitation Cabinet Secretary Eric Mugaa informed the National Assembly Committee on Blue Economy, Water, and Sanitation that the price adjustment is necessary to address the current state of the site. This increase brings the projected total expenditure to approximately Sh39 billion, up from the original Sh38 billion contract.

Construction work on the multi-billion shilling water project ground to a halt in 2018. This followed the financial collapse of the original lead contractor, CMC di Ravenna, which filed for bankruptcy in its home country of Italy.

The project was initially designed to provide clean drinking water to over 800,000 people in Nakuru City and surrounding areas, including Molo, Njoro, and Rongai. Since the exit of the Italian firm, the site has been characterized by rusting machinery and incomplete concrete structures.

President Ruto has previously issued directives to ensure the project resumes, identifying it as a critical piece of infrastructure for the Rift Valley region. The Ministry of Water now confirms that a new procurement process is required to secure a competent firm to finalize the remaining works.

According to the Ministry, the additional Sh1 billion will cover various aspects of the restart, including the mobilization of new equipment and the assessment of existing structures that may have deteriorated during the prolonged period of inactivity.

The locals have expressed frustration over the delays, citing the persistent water shortages in Nakuru County that the dam was meant to resolve. Many had hoped the project would be nearing completion by now, given that billions had already been paid out to the previous contractor before they left the site.

Financial records show that the government had already disbursed over Sh11 billion for the project before the work stopped. These payments became the subject of intense scrutiny and investigations by the Directorate of Criminal Investigations and the Ethics and Anti-Corruption Commission.

Ministry officials explained that the new budget reflects the reality of current market rates for construction materials and labor, which have fluctuated since the contract was first signed in 2014.

The dam is expected to produce 100,000 cubic meters of water per day once it is finished. It involves the construction of a 57-meter-high dam wall, a water treatment plant, and miles of pipeline to distribute water across the county.

Securing the additional funding remains a priority for the National Treasury as the government seeks to clear the backlog of stalled water projects across the country. The Cabinet Secretary noted that the ministry is committed to transparency as they re-tender the works to avoid the pitfalls encountered during the first phase.

While a specific date for the resumption of heavy machinery on-site has not been confirmed, the budget allocation signals a concrete move toward resolving the legal and financial logjam that has held the Itare Dam hostage for years.