What you need to know:
Water, energy and social protection were biggest beneficiaries
The government expenditure on electricity, water supply, women, youth and persons living with disability increased in the last couple of years, indicating an improved life for the majority of Kenyans.
This is according to the Economic Survey 2022, which shows that the departments of water, energy and social protection were some of the biggest beneficiaries in government allocation, resulting in an improved supply of clean water, electricity and opportunities for women, youth and persons living with disability.
The survey—released last week by the National Treasury—indicates that the supply of clean water, through the drilling of boreholes and construction of purification points, dams and other projects resulted in better lives for most households.
The data shows that the government, through the Ministry of Water and Sanitation, embarked on a rigorous plan, whose completion saw the number of water purification points for households increase by 15 from 338 in 2020/21 to 353 in 2021/22.
Also, some of the projects whose completion contributed to this growth include the Baricho water supply expansion, Baringo South Rural water rehabilitation, Chemususu dam supply, Vihiga cluster and Murang’a South water supply projects.
“Similarly, it is expected that 4,241 boreholes will be drilled in 2021/22, significantly higher than 1,401 boreholes drilled in 2020/21. The private sector is expected to account for 88.9 per cent of the total number boreholes drilled,” the report says.
Consequently, the number of households connected to national power grid also experienced an increase, after the total installed electricity capacity increased from 2,863.7 MW in 2020 to 2,989.6 MW in 2021.
This, also saw an increase in the amount of electricity generated by the country, whose capacity went up by about 5.6 per cent to 2,857.6 MW in 2021, as the demand for power both locally and across the region for households and industries continued to rise.
The increase, the data shows, was mainly boosted by thermal and wind power, whose capacity rose by 67.3 per cent (1,262.0 Megawatts) and 49.1 per cent to (1,984.8 Megawatts) respectively in 2021. “Total electricity demand increased from 11,603.6GWh in 2020 to 12,414.7GWh in 2021. Domestic demand for electricity increased by 8.7 per cent to 9,565.4GWh in 2021.
“Sales to large and medium commercial category rose by 10.5 per cent to 4,728.4GWh in the review period. Sales of electricity for street lighting category increased by 33.7 per cent to 99.6GWh in 2021. Transmission and distributive losses amounted to 2,831GWh, accounting for 23.3 per cent of total domestic generation in 2021,” the report said.
But even with the improved supply of basic commodities like water, the sector still faced a number of hurdles, including budget cuts, as the government, reeling from Covid-19 effects and other factors, reduced its expenditure.
The report shows that as a result of this reduction, services such as the total outlays on water supplies and related services is projected to decline by 13.2 per cent from Sh65.2 billion in 2020/21 to Sh56.6 billion in 2021/22.
On the allocation of government tenders reserved for women, the youth and persons with disabilities is expected to increase by 25 per cent from Sh65.3 billion in 2020/21 to Sh81.6 billion in 2021/22.
During the same period, the value of tenders awarded to the youth is also expected to grow by 11 per cent to Sh16.8 billion, while that to women is expected to increase by 27.5 per cent to Sh24.4 billion. The value of tenders awarded to PWDs is expected to increase by 30.8 per cent to Sh3.4 billion in 2021/22.
Similarly, kitties such as the Youth Enterprise Development Fund and the National Government Affirmative Action Fund will also see their allocations increased to Sh730 million and Sh1.1 billion in 2021/22 respectively, as the government shifts its focus towards promoting equity and equality.
This increase, the report notes, is a step towards making available social protection schemes, catalytic funds, gender mainstreaming and affirmative actions to address inequalities.
“Additionally, the government has ensured responsive, inclusive, participatory, and representative decision-making at all levels, in an effort to promote the rule of law at national and international levels,” the report notes.
But even as this group celebrates the win, allocation to kitties such as the Women Enterprise Fund and the Uwezo Fund, which are part of the government’s social protection fund, are set to experience a decline.
The move will see the loan disbursements by the Women Enterprise Fund (WEF) and Uwezo Fund decrease by 4.6 per cent and 5.4 per cent to Sh3.1 billion and Sh600 million respectively, in 2021/22.
sapollo@ke.nationmedia.com
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