MPs demand action plan to recover Sh21.4m debts at Tanathi Water Agency

Members of Parliament sitting in the Public Investments Committee on Commercial Affairs and Energy have raised concern over persistent unpaid debts within the Tanathi Water Works Development Agency, pushing for a clear recovery framework to address long-standing financial obligations flagged in successive audit reports.

The matter featured prominently during a session between the Committee, chaired by Pokot South MP David Pkosing, and senior management of the Agency, as lawmakers reviewed audit queries raised by the Office of the Auditor General covering financial years 2018/2020 to 2024/2025.

At the centre of the discussion was a long-standing debt of Sh 19.8 million owed to the Agency by the Ministry of Water and Sanitation, which dates back to 2012. The Committee also raised concern over an additional Sh1.6 million owed by District Water Offices, described as recurrent and unresolved.

The Office of the Auditor General noted that the prolonged existence of these debts, stretching over more than a decade, casts doubt on the chances of recovery and raises questions on financial management within the Agency.

Records tabled before the Committee indicated that the Agency issued several reminders to the Ministry as early as February 18, 2013, but there has been no evidence of sustained follow-up or firm action to recover the funds.

Pkosing cautioned that the continued appearance of the same debt in financial statements weakens accountability and may affect the Agency’s credibility.

“You may want to pursue either a reconciliation or a total write-off of the said debts, especially with the Ministry, since these are not pending Bills. The corresponding projects have already been funded and completed,” noted Pkosing.

Members of the Committee urged the Agency to convene a structured engagement with the relevant Ministry, saying a roundtable discussion could help develop a lasting solution. They further warned that failure to resolve the matter risks affecting future funding allocations and audit outcomes.

In response, the Agency’s Managing Director, Sammy Naporos, told the Committee that management would study the recommendations and take steps aimed at resolving the outstanding issues.

Beyond the debt concerns, the Agency was also questioned over gaps in asset declaration. The Auditor General reported that the Agency has 11 plots of land, covering a total of 23.7296 acres, which have no title documents and are therefore not fully accounted for in official records.

“The statement of financial position reflects property, plant and equipment with a net book value of Sh358,218,459. However, as reported in prior years, this balance does not include the values of 11plots of land measuring 23.7296 acres in aggregate without title documents,” noted the Auditor General report.

Further scrutiny revealed that the Agency has also failed to remit third-party deductions owed to institutions including the Water Resources Authority Pensions Department, Ukulima SACCO, and the Commissioner of Domestic Taxes.

The Committee warned that failure to remit statutory and third-party deduction amounts to irregular financial practice and could expose the Agency to legal and financial risks.

The Pkosing-led Committee said it is continuing with a wider review of audit issues across agencies in the water sector, aimed at strengthening accountability and improving governance in public spending.