The Water Sector Trust Fund (WSTF) is established under the Water Act as a financing institution responsible for supporting the development and management of water services in underserved areas across Kenya. It operates as a body corporate with perpetual succession and a common seal, granting it the authority to:
- Sue and be sued under its corporate name.
- Perform legal and corporate functions in furtherance of its mandate.
Mandate of the Water Sector Trust Fund
The Water Sector Trust Fund is responsible for:
- Providing conditional and unconditional grants to counties in addition to allocations from the Equalisation Fund.
- Financing the development and management of water services in marginalized and underserved areas.
- Supporting community-level initiatives that promote sustainable water resource management.
- Funding water service development in:
- Rural areas where provision by commercial water service providers is not viable.
- Underserved urban poor areas to improve access to safe water and sanitation.
- Supporting research activities related to water resources management, sewerage, and sanitation services.
Governance of the Water Sector Trust Fund
The Board of Trustees oversees the management and operations of WSTF. This board is constituted under a trust deed issued by the Cabinet Secretary responsible for water matters and comprises:
- A chairperson
- Six additional members, recruited per the First Schedule of the Water Act.
Functions of the Board of Trustees
The Board of Trustees is responsible for:
- Managing financial resources of the WSTF.
- Mobilizing additional funding from donors, partners, and government agencies.
- Developing and implementing financing regulations and procedures in consultation with the national and county governments.
- Ensuring efficient and equitable distribution of resources, prioritizing:
- Areas with lower-than-average access to water services.
- Rural areas facing water resource degradation or depletion.
- Monitoring project implementation to ensure effective use of funds.
- Publishing project information and impact assessments for public access.
- Providing grants for water services projects to:
- Water service providers.
- County governments.
- Registered community water schemes.
- Managing subsidiary funds to ensure sustainable financing for water projects.
- Developing incentive programs for:
- Water resource management.
- Disaster management.
- Climate change adaptation and mitigation, in collaboration with relevant institutions.
Funding and Accessibility Criteria
- Only water service providers, counties, and registered community schemes that demonstrate the ability to repay loans advanced from WSTF will receive funding.
- The Board of Trustees shall gazette the qualification criteria for funding, ensuring equity and transparency. These criteria will be reviewed periodically following public consultation.
For further details, refer to the Water Act or visit the official website of the Water Sector Trust Fund:
Kenya Law – Water Act
