The Water Services Regulatory Board (WASREB) has approved tariff increases for water and sewerage services by the Nairobi City Water and Sewerage Company (NCWSC) for the 2025/2026 to 2028/2029 period. The hikes will fund a Ksh2.57 billion investment in smart water meters to reduce non-revenue water from 54 percent to 39 percent by 2028/2029. Low-consumption households will face the sharpest rises, with water charges up to Ksh23 per cubic meter and sewerage up to Ksh15.
The announcement was made on February 27 in the Kenya Gazette and approved by WASREB. According to the gazette notice, “NCWSC applied to the Water Services Regulatory Board (WASREB) for a review of water services tariffs for the period 2025/2026 to 2028/2029 in line with section 72 (1) (b) of the Act. Public consultation on the NCWSC application was carried out as per the requirements of section 139 of the Water Act, 2016.”
The smart meters will use ultrasonic technology to measure water flow by sending sound waves and calculating the time difference. This enables more accurate readings, particularly at low flow rates, and reduces wear and tear. Each meter will feature real-time data capture and transmission via networks such as GSM, LoRaWAN, or NB-IoT to a central system.
Additional features include an AI-powered leak detection system budgeted at Ksh120 million for implementation in the 2027/2028 and 2028/2029 financial years. Rollout will start with high-consumption customers using over 100 cubic meters per month before expanding to others. Inline ultrasonic meters will be installed on bulk and distribution lines, while smart meters will monitor flow at production points and reservoirs.
Customers will be able to purchase water in advance, similar to prepaid electricity tokens; supply will stop automatically once credit is exhausted. The project also involves replacing tens of thousands of old or faulty customer meters and installing prepaid water dispensers in designated areas.
Under the new tariffs, domestic consumers using 1-6 cubic meters will pay Ksh68 per cubic meter (up from Ksh45), 7-20 cubic meters: Ksh85, 21-50: Ksh91, and over 300: Ksh117. Sewerage charges, at 75 percent of water consumption, range from Ksh58 to Ksh93 per cubic meter. For example, a household using 10-20 cubic meters will face water bills of Ksh850-1,700 (previously Ksh670-1,340) and sewerage of Ksh650-1,300 (previously Ksh560-1,120).
Customers with non-functional meters will be billed based on the average of the last three months. The increases address operational challenges, including 54 percent water loss from leaks and illegal connections, and only nine hours of daily supply on average. Revenues will fund infrastructure rehabilitation and expanded access.
New penalties for illegal connections include Ksh100,000 fines for commercial and industrial users and Ksh30,000 for domestic, plus backdated charges.