The multibillion-shilling Soin-Koru Multipurpose Dam on the Kisumu-Kericho border has ground to a halt for lack of money, a National Treasury report shows, dealing a blow to rice farmers and flood-hit families in the Nyando basin who have waited years for the project.

The report lists the Sh25 billion project as stalled because of a lack of government allocation, the Nation reported on Monday. Only about 8 per cent of the work had been done by June 30, with Sh1.67 billion spent.

Contract signed in 2022, completion due 2027

The National Water Harvesting and Storage Authority (NWHSA) awarded the dam works to a joint venture led by China Jiangxi on May 11, 2022, at a contract price of Sh19.99 billion. Construction started in August 2022 and was meant to be completed by August 27, 2027.

The project is designed to store 93.7 million cubic metres of water, supply 72,000 cubic metres of water a day, irrigate about 2,570 hectares and generate 2.5 megawatts of electricity. It is also expected to control the floods that regularly hit the Nyando basin and to support irrigation in Muhoroni, Chemilil, Ahero and West Kano.

Auditors found little on the ground

The Auditor-General had earlier flagged slow progress on the dam, and The Star reported in June that the Auditor-General listed it among several delayed multibillion-shilling dam projects. According to the Nation, an inspection in September found little had been achieved nearly three years into the implementation period.

Key components, including the 54-metre earth and rock-fill dam itself, river diversion works, the intake tower and hydropower installations, are yet to start, while the spillway is only partly done. The contractor has denied claims that it abandoned the site.

Not terminated, says water authority

NWHSA acting chief executive Julius Mugun said the project had slowed but was still alive. "It stalled due to lack of funds, but it hasn't been terminated," he said, adding that the government "will proceed to allocate funds for it in subsequent budgets."

A separate Treasury unit document lists the dam among projects being considered for public-private partnership (PPP) financing. Sources at the Ministry of Water told the Nation the listing may have been an error, although talks with a private investor have been considered.

The stall adds to pressure on a government juggling high debt repayments and a revenue shortfall, and is likely to raise fresh questions from residents who gave up land for the project. A tribunal last year ordered compensation for those affected, who number more than 1,200 people according to earlier reports.

Photos: The Star (Auditor-General Nancy Gathungu, file); The Standard (Charles Kipng'etich at the proposed Koru-Soin dam site in Muhoroni, file). Thumbnail design: HAMASTA MEDIA.