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The long-stalled Itare Dam project may finally be back on track following a breakthrough during President William Ruto’s state visit to Italy.
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President Ruto held high-level talks with Prime Minister Giorgia Meloni and President Sergio Mattarella.
The 10,000 cubic metre dam has been stalled for years due to a complex mix of financing disputes, contractual disagreements and international arbitration cases.
Speaking in Rome after the bilateral talks, Ruto announced that the long-running impasse had finally been resolved, clearing the way for the construction of one of Kenya’s most ambitious water infrastructure projects.
“I am happy that finally we have resolved the issues that were outstanding on some of our projects like the Itare Dam. We have now agreed on how we are going to implement this project going into the future,” he said.
Kenya and Italy agreed to revive the Sh40 billion project, with the contractor, CMC di Ravenna, withdrawing arbitration cases filed at both the International Chamber of Commerce and the Permanent Court of Arbitration.
The Itare Dam, in Nakuru county, has long been viewed as a critical project for water security in the Rift Valley region.
Once completed, it is expected to store approximately 27 million cubic metres of water and supply up to 100,000 cubic metres of clean water daily to Nakuru and surrounding areas.
However, progress has been slow. According to the Ministry of Water, construction stalled at around 32 per cent, leaving communities that had anticipated improved water access in limbo.
The project became entangled in disputes over financing arrangements involving Italian credit facilities, as well as contractual disagreements that escalated into international arbitration.
These legal battles effectively froze progress, with both sides locked in a protracted standoff.
The latest breakthrough follows years of behind-the-scenes negotiations aimed at unlocking the project. In October last year, Water and Sanitation Principal Secretary Julius Korir held talks with Italian officials, including then Deputy Ambassador Lorenza Gambacorta, alongside representatives of the contractor.
Those discussions focused on resolving outstanding due diligence requirements and meeting conditions necessary to renegotiate the commercial contract.
Korir at the time emphasised that clearing these hurdles was essential for restarting construction, describing the dam as a “vital project” for the country’s water infrastructure.
In March 2023, during President Mattarella’s visit, Ruto said Kenya and Italy had committed to re-establish cooperation on the construction of Arror, Kimwarer and Itare dams, which he noted are critical to his agenda on food security and climate action. Movement has been limited since then.
President Ruto’s visit to Italy, however, appears to have provided the final political push needed to break the deadlock.
State House spokesperson Hussein Mohammed had on Monday said the Itare Dam, alongside the Arror and Kimwarer dam projects, would be central to the President’s agenda in Rome.
The Kenya Kwanza administration has prioritised dam construction under its irrigation and water security agenda, positioning such projects as key to supporting agriculture, industrial growth and urban water supply.
While progress on Itare now appears back on course, uncertainty still surrounds the fate of the Arror and Kimwarer dams, which were also mired in controversy and legal disputes under previous administrations.
No formal update was provided on the two projects following the Italy talks.
If successfully revived, the Itare Dam could significantly ease water shortages in Nakuru and its environs, supporting both domestic use and economic activity in the region.
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