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The Cost of Efficiency: Analysis of Water Privatization's Impact on Indigenous Livelihoods and Environmental Security in Laikipia, Kenya

Received: 6 February 2026     Accepted: 27 April 2026     Published: 11 July 2026
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Abstract

Water privatization is a contentious policy response to scarcity in semi-arid regions. This study investigates its socio-environmental consequences for indigenous communities in Laikipia County, Kenya. Employing a concurrent mixed-methods design, data were collected via surveys (n=15 community members), semi-structured interviews (n=25 with government, WRMA, and commercial farm officials), focus group discussions, and document analysis. Qualitative analysis identified five dominant themes: drivers of privatization, water access and availability, perceptions of water quality, environmental change, and governance and social conflict. Findings show privatization was primarily driven by state failure, corruption, and a quest for operational efficiency. Implementation involved minimal transparency or community consultation. While commercial horticulture farms secured reliable water access, indigenous communities faced significantly reduced water availability. 67.7% reported increased challenges, and 67.7% reported deterioration in quality, including elevated turbidity and chemical contamination from agricultural runoff. There was also greater unaffordability. Environmental externalities included river depletion (Figure 1), groundwater over-extraction, and pollution. These issues exacerbated ecological precarity. The process transferred control from communal to private hands, fueling social conflict and eroding local governance. The study concludes that neoliberal water governance, as implemented in Laikipia, prioritizes commercial efficiency over equity and ecological sustainability. This disproportionately burdens indigenous populations. Findings are subject to limitations, such as a small community sample size and the absence of longitudinal hydrological monitoring. We recommend policy reforms centred on mandatory community co-management, robust environmental impact assessments, and hybrid public-communal governance structures. These can help ensure water justice and long-term resource security.

Published in American Journal of Environmental and Resource Economics (Volume 11, Issue 2)
DOI 10.11648/j.ajere.20261102.11
Page(s) 24-31
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2026. Published by Science Publishing Group

Keywords

Water Governance, Privatization, Indigenous Rights, Environmental Justice, Political Ecology, Kenya, Sustainability, Arid and Semi-Arid Lands

References
[1] Bakker, K. (2005). Neoliberalizing nature? Market environmentalism in water supply in England and Wales. Annals of the Association of American Geographers, 95(3), 542–565.
[2] Bakker, K. (2010). Privatizing water: Governance failure and the world’s urban water crisis. Cornell University Press.
[3] Braun, V., & Clarke, V. (2006). Using thematic analysis in psychology. Qualitative Research in Psychology, 3(2), 77–101.
[4] Bullard, R. D. (1990). Dumping in Dixie: Race, class, and environmental quality. Westview Press.
[5] Creswell, J. W. (2014). Research design: Qualitative, quantitative, and mixed methods approaches (4th ed.). SAGE Publications.
[6] Gleick, P. H. (2015). The human right to water. Water International, 40(4), 500–514.
[7] Harvey, D. (2005). A brief history of neoliberalism. Oxford University Press.
[8] Mhando, L., & Madulu, N. F. (2018). Water resources management and rural livelihoods in semi-arid Tanzania: Examining privatization outcomes along the Wami River basin. Journal of Environmental Management, 210, 21–30.
[9] Mutua, B. M., & Omolo, A. (2019). Water privatization in Kenya: A critical analysis of the challenges, opportunities, and implications. Journal of Economic and Social Thought, 6(3), 131–142.
[10] Mwangi, J. M., & Kimathi, M. (2019). Effects of privatization of water services on access and affordability: A case of urban areas in Kenya. Journal of Water, Sanitation and Hygiene for Development, 9(4), 609–618.
[11] Peet, R., Robbins, P., & Watts, M. (Eds.). (2011). Global political ecology. Routledge.
[12] Republic of Kenya. (2016). Water Act, 2016 (No. 43 of 2016). Kenya Gazette Supplement No. 164, 20 September 2016.
[13] Robbins, P. (2004). Political ecology: A critical introduction. Blackwell Publishing.
[14] United Nations Development Programme. (2018). Laikipia County integrated development plan 2018–2022.
[15] Walker, G. (2012). Environmental justice: Concepts, evidence and politics. Routledge.
[16] World Bank. (2020). The role of the private sector in water supply and sanitation.
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  • APA Style

    Peter, W. A. (2026). The Cost of Efficiency: Analysis of Water Privatization's Impact on Indigenous Livelihoods and Environmental Security in Laikipia, Kenya. American Journal of Environmental and Resource Economics, 11(2), 24-31. https://doi.org/10.11648/j.ajere.20261102.11

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    ACS Style

    Peter, W. A. The Cost of Efficiency: Analysis of Water Privatization's Impact on Indigenous Livelihoods and Environmental Security in Laikipia, Kenya. Am. J. Environ. Resour. Econ. 2026, 11(2), 24-31. doi: 10.11648/j.ajere.20261102.11

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    AMA Style

    Peter WA. The Cost of Efficiency: Analysis of Water Privatization's Impact on Indigenous Livelihoods and Environmental Security in Laikipia, Kenya. Am J Environ Resour Econ. 2026;11(2):24-31. doi: 10.11648/j.ajere.20261102.11

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  • @article{10.11648/j.ajere.20261102.11,
      author = {Wagura Alexis Peter},
      title = {The Cost of Efficiency: Analysis of Water Privatization's Impact on Indigenous Livelihoods and Environmental Security in Laikipia, Kenya},
      journal = {American Journal of Environmental and Resource Economics},
      volume = {11},
      number = {2},
      pages = {24-31},
      doi = {10.11648/j.ajere.20261102.11},
      url = {https://doi.org/10.11648/j.ajere.20261102.11},
      eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ajere.20261102.11},
      abstract = {Water privatization is a contentious policy response to scarcity in semi-arid regions. This study investigates its socio-environmental consequences for indigenous communities in Laikipia County, Kenya. Employing a concurrent mixed-methods design, data were collected via surveys (n=15 community members), semi-structured interviews (n=25 with government, WRMA, and commercial farm officials), focus group discussions, and document analysis. Qualitative analysis identified five dominant themes: drivers of privatization, water access and availability, perceptions of water quality, environmental change, and governance and social conflict. Findings show privatization was primarily driven by state failure, corruption, and a quest for operational efficiency. Implementation involved minimal transparency or community consultation. While commercial horticulture farms secured reliable water access, indigenous communities faced significantly reduced water availability. 67.7% reported increased challenges, and 67.7% reported deterioration in quality, including elevated turbidity and chemical contamination from agricultural runoff. There was also greater unaffordability. Environmental externalities included river depletion (Figure 1), groundwater over-extraction, and pollution. These issues exacerbated ecological precarity. The process transferred control from communal to private hands, fueling social conflict and eroding local governance. The study concludes that neoliberal water governance, as implemented in Laikipia, prioritizes commercial efficiency over equity and ecological sustainability. This disproportionately burdens indigenous populations. Findings are subject to limitations, such as a small community sample size and the absence of longitudinal hydrological monitoring. We recommend policy reforms centred on mandatory community co-management, robust environmental impact assessments, and hybrid public-communal governance structures. These can help ensure water justice and long-term resource security.},
     year = {2026}
    }
    

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    AU  - Wagura Alexis Peter
    Y1  - 2026/07/11
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    AB  - Water privatization is a contentious policy response to scarcity in semi-arid regions. This study investigates its socio-environmental consequences for indigenous communities in Laikipia County, Kenya. Employing a concurrent mixed-methods design, data were collected via surveys (n=15 community members), semi-structured interviews (n=25 with government, WRMA, and commercial farm officials), focus group discussions, and document analysis. Qualitative analysis identified five dominant themes: drivers of privatization, water access and availability, perceptions of water quality, environmental change, and governance and social conflict. Findings show privatization was primarily driven by state failure, corruption, and a quest for operational efficiency. Implementation involved minimal transparency or community consultation. While commercial horticulture farms secured reliable water access, indigenous communities faced significantly reduced water availability. 67.7% reported increased challenges, and 67.7% reported deterioration in quality, including elevated turbidity and chemical contamination from agricultural runoff. There was also greater unaffordability. Environmental externalities included river depletion (Figure 1), groundwater over-extraction, and pollution. These issues exacerbated ecological precarity. The process transferred control from communal to private hands, fueling social conflict and eroding local governance. The study concludes that neoliberal water governance, as implemented in Laikipia, prioritizes commercial efficiency over equity and ecological sustainability. This disproportionately burdens indigenous populations. Findings are subject to limitations, such as a small community sample size and the absence of longitudinal hydrological monitoring. We recommend policy reforms centred on mandatory community co-management, robust environmental impact assessments, and hybrid public-communal governance structures. These can help ensure water justice and long-term resource security.
    VL  - 11
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