Hundreds of staff working at two key government water agencies face potential job insecurity following a parliamentary proposal to merge the institutions.

The Water (Amendment) Bill, 2026, currently under review in the National Assembly, seeks to dissolve the National Water Harvesting and Storage Authority (NWHSA) and combine its functions with those of the National Irrigation Authority (NIA). The new entity would be known as the National Irrigation and Water Harvesting Authority.

This restructuring would effectively dismantle the current organizational frameworks, including the governing boards and employment structures of both agencies. Particularly affected would be employees of the NWHSA, as the Bill proposes repealing legal sections that establish the authority’s existence and staffing provisions.

The Bill aims to repeal Sections 30 to 35 of the Water Act, which currently define the authority’s governance, CEO role, and employee terms. This has raised concerns about whether existing workers will be retained or face redundancy.

Context of Government Restructuring

The proposed merger aligns with a broader government initiative to streamline state corporations. In January 2025, following a comprehensive review of 271 entities by the National Treasury, the government announced plans to consolidate 42 state corporations into 20, citing efficiency and elimination of overlapping roles.

Other mergers have included the University Fund with the Higher Education Loans Board, and the Kenya Tourism Board with the Tourism Research Institute. Additionally, nine state corporations have been slated for dissolution, with their functions absorbed by ministries or other agencies.

Implications for Employees

  • Employees may face changes to job roles, reporting lines, and employment conditions.
  • The Bill does not explicitly mention dismissal or redundancy but removes the legal basis for current employment terms.
  • Under the existing Water Act, the Water Storage Authority appoints its employees under the public service framework, a provision set to be repealed.

The outcome of the Bill will significantly influence the future of workers in the water sector, amid ongoing efforts to optimize government operations and reduce duplication.