A national public water works for domestic use shall, subject to the acquisition of a permit from the Authority in case of inter basin water transfer, take precedence over all other water works for the use of water or the drainage of land.

Subject to the Land Act (Cap. 280) land required for national public water works may be acquired in any manner provided by law for the acquisition of land for public purposes.

The Cabinet Secretary may, after reasonable notice to any landholder concerned, cause to be constructed and maintained upon any land such works as the Cabinet Secretary may consider necessary for the purposes of any national public water works.

Compensation on just terms shall be payable by the Government to the owner of the land on which any such works are constructed, but in assessing the amount of compensation payable, the Cabinet Secretary shall take into consideration any benefit accruing to the land by the construction of the works and any adverse effect on the land caused by the works, as the case may be.

The Cabinet Secretary shall make Regulations for the better carrying into effect of subsections (5) and (6).

The Cabinet Secretary shall, within one year of the commencement of this Act and every five years thereafter, following public participation, formulate a National Water Resource Strategy.

The object of the National Water Resource Strategy shall be to provide the Government's plans and programs for the protection, conservation, control and management of water resources.

The Cabinet Secretary shall review the National Water Resource Strategy every three years.

There is established the Water Resources Authority.

The Authority shall have all the powers necessary for the execution of its functions under this Act.

The Chief Executive Officer shall be an ex officio member of the Management Board with no voting rights.

The chairperson and members of the Management Board shall hold relevant professional qualifications and experience and shall be appointed following an open and competitive recruitment process.

The First Schedule has effect with respect to the membership and procedure of the Management Board.

The Management Board shall have all powers necessary for the proper performance of the functions of the Authority under this Act.

The Cabinet Secretary shall, on the recommendation of the Management Board, appoint a Chief Executive Officer of the Authority on such terms and conditions as may be specified in the instrument of appointment.

The Chief Executive Officer is the accounting Officer of the Authority.

The Chief Executive Officer shall hold office for a term of five years and is eligible for re-appointment for one further term upon exemplary performance.

The Authority may appoint such other employees as it may consider necessary for performance of its functions under this Act.

The terms and conditions of service of the employees of the Authority shall be determined by the Cabinet Secretary responsible for public service on the advice of the Salaries and Remuneration Commission.

The Authority shall prescribe the criteria for classifying water resources for the purpose of determining water resources quality objectives for each class of water resource.

All State organs shall when exercising any statutory power or performing any statutory duty, take into account and give effect to the resource quality objectives determined under this section in respect of a water resource.

The Authority shall ensure that there is in place a national monitoring and geo referenced information system on water resources.

The Authority may require any person, within a reasonable time or on a regular basis, to provide it with specified information, documents, samples or materials in relation to the system referred to in subsection (1).

Where the Authority is satisfied that in order to conserve a vulnerable water resource, special measures are necessary for the protection of a catchment area or a part thereof, it may by Order published in the Gazette declare such catchment area to be a protected area.

The Authority may impose such requirements or regulate or prohibit such conduct or activities, in or in relation to the protected catchment area as the Authority may consider necessary for the protection of the area and its water resources.

The Authority may impose such requirements or prohibit such conduct or activities in relation to a groundwater conservation area as it may consider necessary for the conservation of the ground water.

The Cabinet Secretary may make Regulations for the better carrying into effect of this section.

The Authority shall in consultation with the Cabinet Secretary by notice published in the Gazette, designate a defined area from which rain water flows into a watercourse to be a basin area for the purposes of this Act.

The Authority may designate a basin area lying wholly or partly within another basin area as a sub-basin.

The Cabinet Secretary shall by notice published in the Gazette establish a basin water resources committee for each respective basin area provided for under section 24.

The Cabinet Secretary shall assign a name to each basin water resources committee established in accordance with subsection (1).

A basin water resources committee shall be responsible for the management of the water resources within a respective basin area.

A basin water resources committee shall operate under the Regulations made by the Authority.

The Cabinet Secretary shall, by notice in the Gazette, appoint the chairperson from amongst the members appointed under subsection (1)(a), who shall hold office for a period of three years.

In appointing the members in subsection (1), the Authority shall ensure that at least three members have technical expertise in matters relating to water.

Paragraphs 2, 3, 5, 6, 7, 9, 11, 12 and 13 of the First Schedule shall apply in relation to the members and procedure of the basin water resources committee.

The Authority shall facilitate the activity of the basin water resources committee by making available secretariat services, logistical and administrative support.

The salaries, allowances and other expenses of the committee referred to in subsection (1) shall be determined by the Cabinet Secretary responsible for public service on the advice of the Salaries and Remuneration Commission.

Upon the designation of a basin area, the Authority shall prescribe requirements and a time frame for the formulation of a basin area water resources management strategy.

The basin area water resources management strategy shall be formulated by a basin water resources committee in consultation with the Authority and the county governments whose areas of jurisdiction lie within the basin area.

The Cabinet Secretary shall publish the strategy referred to in subsection (1) in the Gazette.

Water resource users associations may be established as associations of water resource users at the sub-basin level in accordance with Regulations prescribed by the Authority.

A water resource users association shall be a community based association for collaborative management of water resources and resolution of conflicts concerning the use of water resources.

Without prejudice to the generality of section 28(3)(e), the basin area water resources management strategy shall facilitate the establishment and operation of water resources users associations.

The basin water resources committees may contract water resource users associations as agents to perform certain duties in water resource management.

There is established the National Water Harvesting and Storage Authority.

The Water Storage Authority established under this section shall be a body corporate with perpetual succession and a common seal, capable of suing and being sued in its own name and doing all things that a corporation may lawfully do.

The Chief Executive Officer is ex officio member of the Water Storage Board with no voting rights.

The First Schedule shall have effect with respect to the membership and procedure of the Water Storage Board.

The Water Storage Authority may appoint agents for the operation, management, maintenance and safety of any storage infrastructure that it has developed.

The Water Storage Authority shall have such other powers and functions as may be conferred or imposed on it by this or any other Act.

The Cabinet Secretary, on the recommendation of the Water Storage Board may appoint the Chief Executive Officer of the Water Storage Authority, on such terms and conditions as the Cabinet Secretary for public service may determine on the advice of the Salaries and Remuneration Commission.

The Chief Executive Officer shall be the accounting officer of the Water Storage Authority.

The Chief Executive Officer shall hold office for a term of five years and is eligible for re-appointment for one further term.

The Water Storage Authority may appoint such other employees as it may consider necessary for the performance of its functions under this Act.

The Cabinet Secretary responsible for matters relating to public service shall determine the terms and conditions of service of the employees of the Water Storage Authority on the advice of the Salaries and Remuneration Commission.

Subsection (1) does not apply in relation to any activity mentioned in that subsection which is carried on in prescribed circumstances and the relevant law or regulation made under this Act requires a permit for the carrying on of that activity in those circumstances.

Regulations made under this Act may make provisions with respect to the use of water from a water resource in any manner for which a permit is not required.

The provisions of this section and section 36 shall not apply in respect of the abstraction of sea water for use in the extraction of salt.

The holder of a permit which authorises the construction of works that would or a portion of works which would when constructed, be situated upon land not held by the permit holder shall, subject to any relevant law, acquire an easement on, over or through the land on which the works would be situated and, unless the works have previously been lawfully constructed, shall not construct or use the works unless he or she has acquired such an easement.

The provisions of the Third Schedule shall apply in respect of the acquisition of, and subsequent rights pertaining to or against, any such easement.

An application for a permit shall be made to the Authority at the applicable basin area.

The application shall be determined within six months of receiving an application which meets the requirements of the Authority.

An application for a permit shall be the subject of public consultation and, where applicable, of environmental impact assessment in accordance with the requirements of the Environmental Management and Co-ordination Act (Cap. 387).

Any person opposed to the grant of a permit may object in writing to the Water Tribunal within a period of thirty days after publication of the notice of the application.

The Authority must within thirty days notify the applicant and any person who may have objected to the grant of the application of its decision and in the event of a rejection, the reasons for the rejection.

Where an application made in accordance with this section is not determined by the Authority in accordance with subsection (3), any fee paid by the applicant under subsection (2)(b) shall be refunded to the applicant.

The provisions of the Second Schedule shall be conditions on every permit which authorises the construction of works.

The imposition of a penalty under this Act shall not prevent any person who has suffered loss, damage or injury by reason of the contravention of this Act from pursuing any other remedy for the recovery of damages.

The conditions on a permit may require that on the issue of the permit and at prescribed intervals thereafter, the permit holder shall pay charges to the Authority for the use of water in accordance with the terms of the permit and the Regulations prescribed by the Authority.

The charges shall be determined by reference to a schedule of charges published in the Gazette by the Authority following public consultation.

Where there is an agreement between the Authority and a water resources users' association, the Authority may make available a portion of the water use charges to be used for financing such regulatory activities as the water resources users association has agreed to undertake on behalf of the Authority.

The use of water for domestic purposes shall take precedence over the use of water for any other purpose, and the Authority may, in granting any permit, reserve such part of the quantity of water in a water resource as in its opinion is required for domestic purposes.

The nature and degree of water use authorized by a permit shall be reasonable and beneficial in relation to other persons who use the same sources of supply or bodies of water.

A permit shall, subject to this Act, remain in force for the period specified in it, and may, to the extent that the permit so provides, be renewed from time to time.

The Cabinet Secretary in consultation with the Authority may from time to time, by notice in the Gazette, make Regulations for determining exceptional circumstances to warrant a grant of a permit.

The Authority upon the advice of the basin water resources committee may, if in the opinion of the Authority exceptional circumstances as provided for in subsection (1), warrant such action, grant a permit authorising with or without conditions, the use of water from a water resource and the construction of the works required without subjecting the application to public consultation.

In considering whether or not to grant a permit in accordance with this section, the Authority, shall have regard to the extent to which the grant shall interfere with the domestic requirements of other users.

A permit granted in accordance with this section shall not in any case be in force for a period exceeding or for periods which in the aggregate exceed, one year, or for the construction of permanent works.

A permit shall not be cancelled or varied under this section unless notice of the proposed cancellation or variation has been served on the permit holder and the permit holder has been afforded a reasonable opportunity to show cause to the Authority why the permit should not be cancelled or varied.

Subsection (2) does not apply where the variation is expressed to be made owing to drought or owing to a crisis of a kind prescribed by Regulations made under this Act.

On receipt of applications or re-applications, the Authority shall prepare a proposed allocation schedule specifying how water from the water resource in question shall be allocated, taking into account the requirements of the reserve.

The proposed allocation schedule shall be subjected to public consultation, after which the basin water resources committee shall prepare a preliminary allocation schedule and shall, by notice published in the Gazette advertise the times and places at which a copy of the schedule may be inspected.

A person dissatisfied with the preliminary allocation schedule may appeal to the Water Tribunal within thirty days of the publication under subsection (3).

The Authority shall publish a notice in the Gazette stating that the preliminary allocation schedule has become final and advertise the times and places where a copy of the schedule may be inspected.

The Authority shall, as soon as reasonably practicable after an allocation schedule becomes final, issue permits according to the allocations provided for in it, and cancel any inconsistent permits.

The Authority may in the case of an inter basin water transfer cancel or vary a permit if such cancellation or variation is necessary for the accommodation of additional water users of a water source.

A permit shall not be cancelled or varied under this section unless notice of the proposed cancellation or variation has been served on the permit holder and the permit holder has been afforded reasonable opportunity to show, cause to the Authority why the permit should not be cancelled or varied.

A permit holder whose permit is cancelled under this section shall be paid compensation of an amount agreed between the permit holder, the additional water user or users and the Authority in the case of inter basin water transfer, and any disputes arising from such compensation shall be determined by the Water Tribunal.

A permit shall not be cancelled or varied under this section unless notice of the proposed cancellation or variation has been served on the permit holder and the permit holder has been afforded a reasonable opportunity to show cause to the Authority as to why the permit should not be cancelled or varied.

A permit holder who ceases to utilise water in accordance with the terms of the permit shall by notice to the Authority abandon the whole of the permit or any part capable of separation.

Upon abandonment of a permit under subsection (1), the Authority may direct the permit holder to remove, within such time as it may specify, all or any works erected in connection with the permit.

A permit holder who neglects or fails to remove the works concerned commits an offence, and the Authority may remove all or, any portion of the works, and may recover the cost of their removal from the permit holder as a debt in any court of competent jurisdiction.

A permit holder who fails to comply with the notice mentioned in subsection (1) commits an offence.

The Authority shall establish and maintain a register of permits and the register shall contain the details of the permit holders, the respective terms and conditions of each permit and the results of any monitoring and enforcement action taken by the Authority in respect to each permit.

The Authority shall establish and keep a register at the national level.

The public may access the information contained in the register on payment of the fee prescribed by the Authority.

Any party aggrieved by the decision of the Authority may appeal to the Water Tribunal, in the prescribed manner within fourteen days from the date such decision was made.

The Tribunal shall on appeal either vary, reverse or confirm the decision of a water basin resources committee, and its decision shall be communicated to the parties concerned within fourteen days from the time the decision is made.

The Authority may prescribe a time limit within which the investigation shall be completed.

The permit holder or any person authorized by the permit holder, may seek such assistance as is necessary to enter onto the respective land.

A permit shall not be issued under this section until the Authority has notified each landholder concerned that an application to enter his or her land hits been made under this section.

In this Part, "authorised person" means a person entering onto any land or premises pursuant to a right or permission conferred under this Act.

An authorised person shall not enter on any land or premises without first giving a reasonable notice in verbal or written form to the landholder or other responsible person in charge of the land or premises, and any such entry shall be at a reasonable hour.

If so requested by the owner or occupier of the land or premises, the authorised person shall produce evidence of his right or permission, as the case may be, to enter on to the land.

It shall be the duty of any person when exercising any powers under this section to do so with reasonable care and in such a manner as to cause as little damage as possible on the land or premises referred to in subsection (1).

A person who contravenes this section commits an offence.

When the true identity, place of abode or other particulars of the person referred to in subsection (1) have been ascertained, the person concerned shall be released upon the execution of a bond, if so required, with or without sureties, so as to appear before a magistrate.

If the person's true name and place of abode and other particulars are not ascertained within twenty hours from the time of the arrest, or if he or she fails to execute the bond or, to furnish the applicable sureties, such person shall be presented before a magistrate having jurisdiction in the area.

The Cabinet Secretary shall within one year of the commencement of this Act and every five years thereafter following public participation formulate a Water Services Strategy.

The object of the Water Strategy shall be to provide the Government's plans and programs for the progressive realization of the right of every person in Kenya to water.

The Water Strategy in force for the time being, shall be published in the Gazette.

The Cabinet Secretary shall in consultation with county governments provide a national water sector investment and financing plan aggregated from the county government plans which shall include, among other details, the time frames for the plans and an investment programme based on the investment plans.

The Cabinet Secretary shall review the Water Services Strategy every three years.

The Cabinet Secretary may, by notice in the Gazette, establish one or more waterworks development agencies and define the geographical area of jurisdiction of each such agency.

The water works development agencies shall be bodies corporate with perpetual succession and a common seal and shall have power, in their respective corporate names, to sue and to be sued and, in the exercise and performance of their powers and functions, to do and permit all such things as may lawfully be done or permitted by a body corporate.

The First Schedule has effect with respect to the membership and procedure of the water works development agencies.

As soon as possible, following the commissioning of the waterworks, the waterworks development agency shall enter into an agreement with the county government, the joint committee or authority of the county governments within whose area of jurisdiction the water works is located, jointly with the water service provider within whose area of supply the water works are located for the use by the joint committee, authority or water services provider, as the case may be, of the water works to provide water services.

The agreement shall make provision for the assumption by the county government, the joint committee, authority or water services provider of the responsibility for the repayment of any loans or liabilities of the waterworks and until full repayment of the loans and discharge of any outstanding liabilities, ownership of the waterworks shall remain in the waterworks development agency.

In the event that the county government, the joint committee, the authority or water services provider defaults in the repayment of any outstanding loans arising from the development, rehabilitation or maintenance of the works, the waterworks development agency may petition the Regulatory Board to declare a default and order the transfer of the water services provider's functions to the waterworks development agency, to exercise such functions until full repayment of the loan.

There is established the Water Services Regulatory Board whose principal object is to protect the interests and rights of consumers in the provision of water services.

The Regulatory Board shall be a body corporate with perpetual succession and a common seal and shall have power, in its corporate name, to sue and be sued and, in the exercise and performance of its powers and functions, to do and permit all such things as may lawfully be done or permitted by a body corporate.

The First Schedule shall have effect with regard to the membership and procedure of the Regulatory Board.

The Regulatory Board shall have such powers and functions as may be conferred on it by this or any other Act, or as may be reasonably incidental to the exercise or performance of any power or function so conferred.

There shall be a Chief Executive Officer of the Regulatory Board who shall be appointed by the Cabinet Secretary on the recommendation of the Regulatory Board, on such terms and conditions of service as may be prescribed by the Cabinet Secretary responsible for public service on the advice from the Salaries and Remuneration Commission.

The Chief Executive Officer shall be the principal officer of the Regulatory Board and, subject to the directions of the Regulatory Board shall be responsible for management of the Regulatory Board.

The Regulatory Board may appoint such officers and other employees as may be necessary for the exercise and performance of its powers and functions, upon such terms and conditions as the Cabinet Secretary responsible for public service may determine upon consideration of advice from the Salaries and Remuneration Commission.

A person shall not be licensed as a water service provider unless such person makes an application under this section to the Regulatory Board and submits a copy of the application to the county government within whose area of jurisdiction it intends to provide water services.

Prior to determination of the application, the Regulatory Board shall publicise the application and shall take into consideration the views of stakeholders including the county government, within whose area of jurisdiction the applicant intends to provide water services.

The Regulatory Board shall issue a licence if the applicant meets the licensing requirements.

This section does not apply to the provision or abstraction of sea water for the purposes of salt extraction.

The register of the licensed person shall be a public document accessible for inspection at no charge and shall be publicized, placed or posted in accessible formats at such places as the Regulatory Board shall determine.

The register referred to in this section shall be published from time to time by the Authority.

The Regulatory Board shall develop and publish guidelines to regulate the conduct of licensed water services providers.

The Regulatory Board shall give written notice of revocation of a license under subsection (1) to the water services provider within seven days of the revocation.

A person whose licence is suspended or revoked shall cease to provide the relevant service.

A water services provider whose licence is suspended or revoked may apply to the Regulatory Board to review its decision within fourteen days of receipt of the notice of revocation.

A county government shall establish water services providers.

In establishing a water services provider, a county government shall comply with the standards of commercial viability set out by the Regulatory Board.

A water services provider established under this section may be a public limited liability company established under the Companies Act (Cap. 486) or other body providing water services as may be approved by the Regulatory Board.

A company intending to be licensed as a water service provider shall submit to the Regulatory Board its memorandum and articles of association that conform to the guidelines developed and approved by the Regulatory Board.

The Regulatory Board shall make Regulations on the standard of water to be supplied by water service providers licensed under this section.

A licensed water services provider shall have such other powers and functions as may be conferred on it by this Act or any other Act.

A water services provider shall have a board of directors and in the case of a company, the members of its board of directors shall be constituted in accordance with the Companies Act (Cap. 486) or any other written law and the directors shall be nominated to serve on the board in accordance with the company's memorandum and articles of association.

All members nominated to the water services provider's board of directors shall possess qualifications which meet the standards set by the Regulatory Board.

A party aggrieved by the decision of a water services provider may appeal against the decision to the Regulatory Board in the prescribed manner within fourteen days from the date the decision was made.

The Regulatory Board may on appeal either vary, reverse or confirm the decision of the water service provider, and the Regulatory Board shall communicate its decision to the parties concerned within fourteen days from the time the decision is made.

The Cabinet Secretary shall make Regulations for the transfer of national public assets to the county water services providers in accordance with any law regulating the handing over and disposal of public assets.

The Regulations shall include arrangements to protect public assets in case of private sector participation such as the separation of operation from asset holding and development.

A person shall not provide water services except under a licence issued by the Regulatory Board, upon submission of an application and such supporting documents as the Board may require.

A person who provides water services in contravention of this section commits an offence.

An application for the licence under section 85 (1) shall be made in the prescribed form to the Regulatory Board.

The application shall be made by completing and lodging the prescribed form together with the supporting documentation and the prescribed fee.

The Regulatory Board shall have discretion to grant or refuse to grant an application for a licence submitted under subsection (1).

An application for a licence shall be subject to public participation.

Any person opposed to the grant of a licence may object, in writing, to the Regulatory Board.

The Regulatory Board shall make a determination on an application for a licence within six months after the applicant lodges the application.

The Regulatory Board shall notify the applicant and the objector of its decision and, in the event of the rejection of an application or objection, of the reasons for the decision.

An applicant or objector may, if aggrieved by the decision of the Regulatory Board, appeal to the Tribunal within thirty days of the date of the notification of the decision.

Where the Regulatory Board does not determine the application within six months of receipt of the application, any fee charged by the Regulatory Board under section 86(3) shall be refunded to the applicant.

A licence shall only authorise a water services provider to provide water services in the area specified in the licence and shall not confer any rights of proprietorship and in particular, the licence shall not be capable of being sold, leased, mortgaged, transferred, attached, assigned, demised or encumbered.

The Regulatory Board may require the applicant to deposit with it a guarantee or other acceptable security for the purpose of securing payment by the applicant of any expenses recoverable from the licensee, for or towards the costs incurred in discharging the functions of the licensee in cases of default.

As a condition for the licence, a licensee shall, within twelve months of receipt of the licence, or such other longer period as the Regulatory Board may determine, formulate and present to the Regulatory Board, a development plan for extending services to persons not receiving water services within such licensee's area of operation, a time frame for the implementation of the plan and a resource mobilization strategy.

A licensee shall pay to the Regulatory Board, as the case may be, on issue of the licence and at prescribed intervals thereafter, such licence fees as the Regulatory Board may determine.

The fee shall be determined by reference to a schedule of fees published in the Gazette from time to time by the Regulatory Board.

A water services provider shall, as the licensee, be responsible for the efficient and economical provision of water services so as to fulfil the rights to water and any other conditions specified in the licence.

A water services provider may enter into a public private partnership or public partnerships for the exercise and performance by another person of some or all of its functions as a licensee with respect to a part or the whole of its area of water service provision.

The partnership shall be in writing subject to the approval of the Regulatory Board.

Where the person entering into an agreement with the water services provider owns or possesses assets or infrastructure used for the provision of water services, the agreement shall set out the terms and conditions under which the assets may continue to be so used.

A power or function conferred by a licence or otherwise conferred under this Act may be exercised or performed by another person acting under an agreement with the licensee and shall be deemed, when exercised or performed by that other person, to have been exercised or performed by the licensee.

Nothing in this Act shall deprive any person or community of water services on the grounds only that provision of such services is not commercially viable.

Every county government shall put in place measures for the provision of water services to rural areas which are considered not to be commercially viable for the provision of water services.

The measures referred to in subsection (2) shall include the development of point sources, small scale piped systems and stand pipes which meet the standards set by the Regulatory Board and which may be managed by the community associations, public benefits organizations or a private person under a contract with the county government.

In order to implement its obligations under this section, a county government shall formulate and submit annually to the Regulatory Board and to the Cabinet Secretary, a five year development plan incorporating an investment and financing plan for the provision of water services in the rural areas referred to subsection (1) within its area of jurisdiction.

The Cabinet Secretary shall provide technical, financial and other assistance to a county government to enable the county government to discharge its responsibility under this section.

The Regulatory Board may, on the application of a licensee, vary the terms and conditions of the licence.

Except as otherwise provided by Regulations made under this Act, no such variation shall be made without prior public consultation.

The area of water service provision shall be prescribed by a licence and shall not be less than the area required for a commercially viable water service.

The area so prescribed may, but need not, coincide with the boundaries of the area or areas of jurisdiction of one or more county governments.

Where it appears necessary to the Regulatory Board, for the purpose of securing a commercially viable water service, it may, by notice in the Gazette, order a joint provision of water services or a transfer of water service and vary the relevant licenses accordingly.

An order made under this section may make such incidental, consequential and supplementary provision as the Regulatory Board considers necessary for the purpose of carrying out the order.

The Cabinet Secretary in consultation with the Regulatory Board shall make rules, setting out circumstances under which the provision of joint water services may be ordered.

A licensee aggrieved by the provisions of the order may appeal to the Tribunal.

Where it appears to the Regulatory Board that it is necessary to vary the area of water service of a licensee and the Regulatory Board is satisfied that such a variation cannot be otherwise secured it may, by order published in the Gazette, effect the variation accordingly.

An order made under this section may make such incidental, consequential and supplementary provisions as the Regulatory Board may consider necessary for the purpose of carrying out the order.

A licensee aggrieved by the provisions of an order made under this section may appeal to the Tribunal.

Subject to any Regulations made under this Act, the Regulatory Board may direct a licensee to provide water services, outside its area of water services jurisdiction.

Where under this section a licensee, in this section called the "supplying licensee", is providing water services to premises outside its area of supply, any other licensee within whose area of supply those premises are situated may, in the absence of any agreement to the contrary, give not less than three months' notice to the supplying licensee that the licensee is able and intends to provide water services to the premises.

A notice given under subsection (2) shall not be valid unless it relates to all the premises to which the water services are being provided by the supplying licensee in accordance with this section.

If on the expiration of the notice under subsection (2) the licensee giving the notice commences to supply water to the premises covered by the notice, the supplying licensee shall, except for the purpose of recovering water rates or other charges or expenses lawfully recoverable by the supplying licensee, and of removing any pipes, plant or apparatus belonging to the supplying licensee, cease to have any rights or duties in respect of providing water services to the premises concerned.

The supplying licensee shall not remove any pipes, plant or apparatus which are required by the licensee giving the notice, and any such pipes, plant or apparatus shall vest in the licensee giving the notice.

While the supplying licensee is in accordance with this section authorized to provide water services outside its area of service, any Regulations relating to its water service shall have effect as if the area to which those services were provided were within those limits.

A person shall not supply water in bulk to a water services provider without a licence issued by the Regulatory Board.

If, after inquiry, the Regulatory Board is satisfied that there has been failure on the part of the licensee, the Regulatory Board may impose a special regulatory regime on the water services provider for the purpose of remedying the default.

A licensee declared to be in default and is dissatisfied with an order of the Regulatory Board under this section may, within thirty days after receipt of the order, appeal to the Tribunal.

A licensee declared to be in default by order under this section and who fails to comply with the order within the time specified, commits an offence.

The Regulatory Board may, in consultation with the affected county government's executive, impose a special regulatory regime on a licensee who persistently contravenes the conditions of a licence or the requirements of this Act.

In taking the action contemplated in subsection (1) the licensee shall be given an opportunity to make presentations to the Regulatory Board.

In determining withdrawal of a licence, the Regulatory Board shall consider the severity of the offence, the consequences of withdrawal of a licence and the sufficiency of any alternative sanction.

If the Regulatory Board is satisfied that, notwithstanding the imposition of measures under a special regulatory regime, the default has not been remedied and is not likely to be remedied by the licensee, it shall subject to the Public Finance Management Act (Cap. 412A) in consultation with the concerned county government executive, by notice in the Gazette, order the transfer of water services to another licensee.

The order of transfer shall make such provisions as appear to the Regulatory Board to be desirable or necessary with respect to any property or assets being used by the defaulting licensee for the purposes of providing the water services.

The transfer of a licence shall be a temporary measure not exceeding twelve months pending remedial action by a county government executive.

A licensee may enter into an agreement with any person with respect to the execution and maintenance, by any party to the agreement, of such works as the licensee considers necessary or as the conditions of the licence may require for the purpose of protecting the catchment areas, drainage of land, carrying out soil conservation measures, the control of vegetation or effectively collecting, conveying or preserving the purity and quantity of water which the licensee is for the time being authorised to take.

An agreement under this section may be registered against any proprietor of the applicable land, and shall be binding upon and enforceable against such person or successor in title.

A licensee who is of the opinion that there is a serious deficiency or threat of a deficiency of water available for distribution, may with the approval of the Regulatory Board, for such period as the licensee considers necessary, prohibit or restrict with respect to the whole or any part of such licensee's limits of supply, the use for any specified purpose of water.

Before the prohibition or restriction in subsection (1) comes into force, notice shall be given by the licensee, in one or more newspapers of daily circulation, within the affected area or by such other means as the Regulatory Board may approve, of the proposed prohibition or restriction and of the date when such prohibition or restriction shall come into force.

Any person who contravenes the provisions of this section commits an offence.

It shall be the duty of every county government executive to monitor and enforce the applicable Regulations made under this Act, and any county government executive who fails to do so shall be liable to an order by the Regulatory Board to take such action to enforce such Regulations as shall be specified in the order.

Where a county government executive considers that the operation of any such Regulations would be unreasonable in any particular case, a county government may, in consultation with the Regulatory Board, by notice to any affected party, reduce or dispense with the requirements of the regulation.

A licensee may, on any land belonging to it, or on land over or in which it has acquired any necessary easement or right, construct and maintain drains, sewers and other works for intercepting, treating or disposing of any foul water arising or flowing upon such land or otherwise for preventing water belonging to the licensee, or which it is for the time being authorised to take, from being polluted.

The licensee shall before constructing any works, if the proposed works will affect or are likely to affect any water resource, obtain the consent of the Authority and the Regulatory Board.

Any licensee proposing to construct any drain, sewer or other works may, with the consent of the state organ concerned and subject to such conditions as the state organ may impose, carry the drain, sewer or other work under, across or along any road or road reserve or public place, whether within or outside the area of water service of the licensee.

A consent required under subsection (2) shall not be unreasonably withheld, nor shall any unreasonable condition be attached to such consent, and any question arising from the operation of this subsection shall be decided by consultation between the state organs concerned.

A person shall not discharge any trade effluent from any trade premises into the sewers of a licensee without the consent of the licensee.

The licensee's consent may be given subject to conditions, including conditions requiring pre-treatment and payments to the licensee of charges for the discharge.

Any person who is dissatisfied with the decision of the licensee on an application under this section may, within thirty days of the decision, appeal to the Regulatory Board.

A person who contravenes the provisions of this section commits an offence.

In this section, "trade effluent" means any liquid, whether with or without suspended particles, produced as a by-product in the course of any trade or industry.

The Regulatory Board may impose a sewerage services levy on all water services within the area of a licensee, to cover a reasonable part of the cost of disposing of the water supplied within those limits.

A portion of the levy referred to in subsection (1) may, with the approval of the Regulatory Board, be set aside by the licensee for use in the expansion of the sewerage system within the area of service provision of the licensee.

A licensee, or an applicant for a licence, who requires the compulsory acquisition of land for any of its purposes, may apply to a county governor, or where necessary to the Cabinet Secretary, who, on being satisfied that such compulsory acquisition is desirable, may take the steps necessary to secure the compulsory acquisition of the land in accordance with the applicable laws.

Any purpose for which land may be acquired under this section shall be deemed, for the purposes of the law on land acquisition, to be a public purpose.

The Regulatory Board shall establish a national monitoring and georeferenced information system on water services.

For the purposes of any systems established under this section, the Regulatory Board may, by order, require any person within a reasonable time or on a regular basis, to provide it with information, documents, samples or materials.

The Cabinet Secretary may make Regulations to facilitate the access to information by the public.

Regulations made under this Act may specify requirements and the nature of information for the keeping of records and the furnishing of information to the Regulatory Board.

Subject to any law relating to access to information and upon payment of the prescribed fee, a member of the public shall have access to information contained in any national information system.

There is established a water sector financing institution to be known as the Water Sector Trust Fund.

The Fund is a body corporate with perpetual succession and a common seal and shall have power, in its corporate name, to sue and to be sued and, in the exercise and performance of its powers and functions, to do and permit all such things as may lawfully be done or permitted by a body corporate in furtherance of its objects.

The powers and functions of the Fund shall be exercised and performed under the direction of a Board of Trustees from time to time appointed and holding office under a trust deed to be drawn by the Cabinet Secretary.

The Board of Trustees shall consist of a chairperson and six other members recruited in accordance with the First Schedule.

The First Schedule shall have effect with respect to the membership and procedure of the Board of Trustees of the Fund.

The provisions of subsection (1)(g) shall only apply to water service providers, counties and registered community schemes, that can afford the repayment of the funds advanced, and profits thereof used to finance water services and water resources management projects for the underserved areas and urban poor.

The Board of Trustees of the fund shall, following public consultation, gazette the criteria for qualification for funding from the Fund taking account of considerations of equity and may from time to time following public consultation review the criteria.

The Cabinet Secretary may, by Regulations following public consultation prescribe a levy to be paid by consumers of piped water supplied by licensed water service providers, the proceeds of which shall be paid into the Fund established under section 113.

The Fund shall have Chief Executive Officer who shall be appointed by the Board of Trustees on such terms and conditions of service as the Cabinet Secretary responsible for matters relating to public service on the advice of the Salaries and Remuneration Regulatory Authority may determine.

The Chief Executive Officer shall be the accounting officer of the Fund and, subject to the directions of the Fund, shall be responsible for the management of the affairs of the Fund.

The Fund may appoint such officers and other staff as may be necessary for the exercise and performance of its functions, upon such terms and conditions as the Cabinet Secretary responsible for matters relating to public service on the advice of the Salaries and Remuneration Commission may determine.

There is established a Water Tribunal.

There shall be a chairperson of the Water Tribunal appointed by the Judicial Service Commission on such terms and conditions as may be determined by the Judicial Service Commission.

The Tribunal shall exercise the powers and functions set out in this Act and in particular shall hear and determine appeals at the instance of any person or institution directly affected by the decision or order of the Cabinet Secretary, the Authority and Regulatory Board or of any person acting under the authority of the Cabinet Secretary, the Authority and Regulatory Board.

In addition to the powers set out in subsection (1), the Tribunal shall have the power to hear and determine any dispute concerning water resources or water services where there is a business contract, unless the parties have otherwise agreed to an alternative dispute resolution mechanism.

Three months before the commencement of each financial year, each body corporate established under this Act shall cause to be prepared estimates of the revenue and expenditure of the body corporate for that year.

Every body corporate established under this Act shall cause to be kept all proper books and records of account of the income, expenditure, assets and liabilities.

The annual accounts of the body corporate shall be prepared, audited and reported upon in accordance with the provisions of the Constitution and the Public Audit Act (Cap. 412B).

All funds collected for water services by the licensed water services providers holding county or national public assets on behalf of the public through water services bills and other sources, shall be used entirely for the purpose of covering costs for the provision of water services and asset development according to Regulations made by the Regulatory Board.

The licensed water services providers shall not be required to pay any fees for the use of public assets for the provision of water services other than the repayments of loans acquired for the development of those assets.

Dividends or other payments shall not be paid to the owners of public water services providers as long as the universal rights of access to safe and clean water have not been achieved in the designated service areas.

lf any landholder is not known and, after diligent inquiry, cannot be found, such notice may be served by leaving it, addressed to such landholder, with an occupier of the land or, if there is no apparent occupier, by causing it to be put in a conspicuous position on the property in Kenya last known to have been occupied by the landholder.

Any notice required to be given to a landholder may be addressed to the owner of land or premises described in the address in respect of which the notice is given.

A requirement imposed by or under this Act for a person in this section referred to as the designated person to undertake public consultation in relation to any application made, or action proposed to be taken under this Act shall be construed as a requirement to ensure that this section is complied with in relation to that application or action.

The designated person shall make arrangements for the public to obtain copies, at reasonable cost, of documents relating to the application or proposed action which are in the possession of the designated person.

The designated person shall publish in accordance with subsection (2), notice of the fact that a copy of the decision and the reasons for the decision in relation to the application or proposed action is available for public inspection at the same premises as were notified under subsection (3)(b).

Regulations made under this Act may require, the designated person to hold a public meeting in relation to the application or proposed action.

A person directed by an order under this section who fails to comply with the provisions of the order commits an offence.

It shall be the duty of any person exercising any powers under this section to do so with reasonable care and in such a manner as to cause as little damage as possible.

Any payment made when undertaking the action contemplated under subsection (4), or such proportion of it as the Authority may determine, may be recovered by the person acting under the direction of the Authority, as a debt due from a person benefiting by the supply of water under the order.

A person who, without lawful authority, hinders or obstructs any person acting in pursuance of an order under this section, or interferes with any works constructed or under construction in pursuance of such an order, commits of an offence.

The Cabinet Secretary may make Regulations with respect to any matter which by this Act is required or permitted to be prescribed, or which is necessary or expedient to be prescribed for the carrying out or giving effect to this Act.