The Mountain Journal
Laikipia County Government suffered a shame after the Senate questioned Laikipia over KSh49.8 million deducted from water company employees.
The amount was never remitted to their pension schemes, alongside a Sh6.3 million shortfall in customer deposits.
This week, the Senate Committee on County Public Investments and Special Funds grilled Governor Joshua Irungu’s administration on the spot over the unremitted staff deductions at Nanyuki and Nyahururu water companies.
Nanyuki Water and Sewerage Company accounts for Sh25.65 million, while Nyahururu Water and Sewerage Company has Sh24.14 million in outstanding deductions, raising concerns over workers’ retirement benefits and possible penalties.
The Senate sought firm payment deadlines, warning that money deducted from employees should not be withheld by their employers.
In defence, Irungu blamed the financial pressure on unpaid water bills owed by government institutions, including security agencies, and sought until the end of the financial year to settle the outstanding amounts.
Senator George Mbugua questioned the continued delay, insisting that the county provide a definite date for remitting the funds.
The scrutiny also exposed a Sh6.3 million shortfall in customer deposits, with the county telling the committee that it had established an escrow account and was receiving daily deposits to restore the funds.
Meanwhile, Laikipia Senator John Kinyua questioned the sharp difference in water tariffs, with Nyahururu residents paying Sh120 per cubic metre against Sh68 in Nanyuki. Irungu attributed the disparity largely to electricity costs.
The Senate review follows audit findings and previous House resolutions, and the committee is now seeking evidence that the county has addressed the financial irregularities and put measures in place to prevent them from recurring.
