Gov't to boost agriculture with mega-dams, irrigation projects - Water CS Mugaa

Speaking on the government podcast Bonga Na Gava, Mugaa said the government is shifting its focus toward the construction of dams to support irrigation, as part of efforts to cushion farmers against unpredictable weather patterns.

He noted that climate change has made reliance on rain-fed agriculture increasingly unsustainable.

“Climate change has made traditional rain-fed agriculture unreliable. In February, we witnessed unexpected rainfall that disrupted planting cycles. While the government has successfully provided subsidised fertiliser, unpredictable weather continues to make timing difficult for farmers. Our goal is to transition to irrigation-based farming, allowing crops to be grown at any time, regardless of rainfall,” Mugaa explained.

To finance the construction of dams, the Cabinet Secretary said the ministry plans to leverage the National Infrastructure Fund (NIF), reducing reliance on allocations from the National Treasury.

He described the approach as “asset conversion,” where existing government assets are transformed into resources to fund new development projects.

“Rather than simply selling assets, we are converting mature assets into capital that can be used to fund new infrastructure. This allows us to move from relying solely on exchequer funding to more sustainable financing models,” he said.

Mugaa added that the NIF will play a key role in accelerating the construction of mega-dams by promoting Public-Private Partnerships (PPP).

“The National Infrastructure Fund will revolutionise how we finance large-scale projects. It will support economically viable projects and attract private investment through blended financing under the PPP framework,” he noted.

To ensure water remains affordable for citizens, the CS said the government will bridge the gap between investor returns and regulated water tariffs set by the Water Services Regulatory Board (WASREB).

“The NIF will act as a buffer, ensuring projects remain viable for investors while keeping water costs affordable for Kenyans,” Mugaa said.

On the Itare Dam Water Project in Nakuru County, which has been allocated KSh38 billion, Mugaa revealed that the government is seeking a new contractor from Italy to take over the project.

He said the decision follows concerns with the previous contractor’s proposal.

“We conducted thorough due diligence, including sending a team to Italy to assess the proposed contractor. However, we were not satisfied with the arrangement. As a result, we have formally requested the Italian government to support us in identifying a new contractor to complete the project,” he explained.