getting africa on track to reach the wss mdgs wisa conference , livingstone november 2007

Getting Africa on Track to Reach

the WSS MDGs

WISA Conference , Livingstone

November 2007

Piers Cross

2

OutlineOutline

1. Trends in Global WSS Development

2. Results from 2006 Africa Country Status Overviews

3. Reform and Innovation

4. Getting Africa on Track to Meet the WSS MDGs

3

1980s 1990s 2000-2007

A quarter century of changes in the global WSS sector

’80s water decade

’00 the MDGs

’00 Vision & FFA‘92 Dublin ’06 UNSGAB

GO

VER

NA

NC

E HierarchicalTop-down state interventions

Market-ledEnter the private sector

Distributed Enter civil society

Globalization

Decentralization

Emergence of developing countries in global debate

PHYS

ICA

L

Population growth and urbanization

Growing competition for natural resourcesScarcity Worsening water quality Groundwater depletion Climate stress

OD

A Focus on infrastructureBricks and mortar

Focus on managementPSP, cost recovery

Focus on servicesMeasuring results

4

Trend: Population growth

Source: UN Population Data

0

1

2

3

4

5

6

7

8

9

1950 1960 1970 1980 1990 2000 2010 2020 2030

Po

pu

lati

on

, b

illi

on

s

Rural

Urban

World

5

Trend: Decentralization

National

National + MunicipalProvincial

National + Provincial

Municipal

Provincial + Municipal

No Data

Tier of government responsible for water supply service provision

Source: Van Ginneken & Kingdom, forthcoming

6

Trend : All financial flows going down

Public expenditure in AFR (11 country sample) % of GDP

1.6%

4.2%

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

80-85 86-90 91-95 96-01

Infrastructure

Health

Education

Sum

Public investment in infrastructure decreasing

Private investment is increasing, but not in water

Private Investment in Africa (B US $)

0

5

10

15

91-95 96-00 01-05

Water andsewerage

Transport

Telecom

Energy

WSS

Donor financing stable at best

500

1000

1500

2000

2500

3000

01975 1980 1985 1990 1995 2000 2005

DAC countries

Multilateral donors

500

1000

1500

2000

2500

3000

0

500

1000

1500

2000

2500

3000

01975 1980 1985 1990 1995 2000 20051975 1980 1985 1990 1995 2000 2005

DAC countries

Multilateral donors

DAC countries

Multilateral donors

DAC countries

Multilateral donors

source: OECD-DAC, 2006

Trends in ODA in water

7

OutlineOutline





8

MDG Outlook – Are we achieving the targets?

0%

20%

40%

60%

80%

100%

120%

140%

160%

180% On track for water

DRC

Available at www.wsp.org

Off track for water

Fragile state seriously off track

AMCOW-WSP-AfDB-EUWI-UNDP Country AMCOW-WSP-AfDB-EUWI-UNDP Country Status Overviews (CSO) Track WSS MDGs in Status Overviews (CSO) Track WSS MDGs in AfricaAfrica

Projected % of Coverage Target Achieved – Water Supply

9

Sanitation Off TrackSanitation Off Track

Projected % of Coverage Target Achieved - Sanitation Supply

0%

20%

40%

60%

80%

100%

120%

140%

160%

180%


Definition Problems!

Only CSO country On Track!

San severely neglected in Fragile States!

10

Capacity Scale increase needed to reach the water MDGs


0.0

5.0

10.0

15.0

20.0

25.0

Ave: capacity needs to be increased x 6.2 for water (x7.5 for sanitation)

12

BeninBurkina Faso

DRC Ethiopia

Ghana KenyaMadagascar

MalawiMauritania

Mozambique

NigerRwanda

SenegalTanzania

Uganda Zambia

Progress on MDG Roadmaps: Rural San and Rural Water

Institution leadership

Stakeholder consultation

MDG action plan

Resources mobilized

Implementation on track


BeninBurkina FasoDRCEthiopia

GhanaKenyaMadagascarMalawiMauritaniaMozambiqueNigerRwandaSenegalTanzaniaUgandaZambia

Rural San

Rural Water

Institution leadership

Stakeholder consultation

MDG action plan

Resources mobilized

Implementation on track

13

0%

1%

2%

3%

4%

5%

6%

7%

Total Investment needed as a Share of GDP

% of GDP

Sector Preparedness – What Will It Take?

Rethink service level/ targets?

Rethink allocation principles?

Range of expenditure from current studies


14

Average Sustainability Scores Over SectorAverage Sustainability Scores Over Sector

0%10%20%30%40%50%60%70%80%90%

100%

Overa

ll Susta

inabi

lity

Rural

Wat

er S

upply

Urban

Wat

er S

upply

Rural

Sanit

atio

n

Urban

San

itatio

n

Av

era

ge

Su

sta

ina

bili

ty S

co

res

MDG CSO Data: Sustainability MDG CSO Data: Sustainability ScorecardScorecard

Overall low!

15

Are institutional and financial success factors in place?

0102030405060708090

100

Uganda

Tanza

nia

Benin

Seneg

al

Burkin

a Fas

o

Ethiopia

Ghana

Zambia

Kenya

Moz

ambiq

ue

Congo

Niger

Rwanda

Mad

agasc

ar

Mala

wi

Mau

ritan

ia

sust

ain

abil

ity

sco

re Sanitation is lagging behind?

RDC

High coverage, v low sustainability score

Strong on most indicators in CSO


Enhancing Sector Sustainability – Making The Gains Last

16

OutlineOutline





17

Africa WSS Status - Two Africas!Africa WSS Status - Two Africas!Reform and Fragile StatesReform and Fragile States

Reform Successes

Uganda: 0.7m rural served in 05/06 – exceeding MDG targets

Senegal: 20% of Dakar (0.45m) accessed san services in last 3 years

Rwanda: sector $ up x4, rural water access, 20% managed by private operators

Tanzania: $1bn raised in sector finance supporting national sector program

Fragile States Crises

Somalia: 10% have RWS access, Urb. San services collapsed

DRC: 10% rural san and 12% water coverage

Angola: War impact: 16% san access & 46% water

Zimbabwe: Urban service collapse impacts: poverty, disease, growth, food, environment

WB273499

18

0

200

400

600

8001000

1200

1400

1600

1800

2002 2003 2004 2005 2006

Year

Nu

mb

er

of

wate

r p

oin

t

Number of Equiv. of WaterPoint delivered par year

MDG target line

Country Impact: Country Impact: Scaling Up Rural Scaling Up Rural Water Supply to Achieve MDGs Water Supply to Achieve MDGs

in Beninin Benin From 2002 (RWS coverage 35%) Benin developed national RWS program with:

clear leadership by MMEW, clear MDG targets, strong sector coordination, donor pooled finance, annual joint sector reviews & performance monitoring.

Results: 2006 RWS 44%; exceeded target of 1350 new water points/year in 06; total RWS finance doubled between 02-06 ($14.4m - $31.7m)

Evolution of RWS Program Budget against MDG target line Benin 2002-2006

19

Country Impact: Country Impact: Scaling Up Rural Scaling Up Rural Water Supply and Sanitation to Water Supply and Sanitation to

Achieve MDGs in EthiopiaAchieve MDGs in Ethiopia Ethiopia WSS sector transformed from very low access (1990 water 19%,

san 7%) and top-down, supply-driven approach to decentralized, multi-stakeholder, demand-focused approach with MDG and universal access goals, distinct programs for water & san/hyg.

Results: Water 40% & san 12%, sector finance risen dramatically from <$20m/yr in 2000 to >$120m in 2006. Now $629m committed from ESAs.

0

10

20

30

40

50

60

70

80

90

100

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

Approx. 1.3 mill latrines

Latrine coverage in Southern Nations 1994-2006

20

Delegated Management from Utility to Delegated Management from Utility to Domestic Private Sector Operators in Domestic Private Sector Operators in

Kisumu, Kenya #1Kisumu, Kenya #1Concept: Water Company sells bulk water to small-scale private operator to

manage sub-network serving poor. Operator connects customers, operates sub-network, collects revenue, fixes leaks and pays Company a monthly bill.

Number of total connections--Lines 1-5Jan 2006 to April 2007

1125 30

3744 46 48 54 54

60 65 6475 78 81

95

0

20

40

60

80

100

Nu

mb

er o

f co

nn

ecti

on

s

Increased access to quality water

Results:

21

Delegated Management from Utility Delegated Management from Utility to Domestic Private Sector Operators to Domestic Private Sector Operators

in Kisumu, Kenya #2in Kisumu, Kenya #2Revenue collection in Nyalenda

0

5

10

15

20

25

30

35

40

45

June 06 July 06 Aug 06 Sept 06 Oct 06 Nov 06 Dec 06 Jan 07 Feb 07 Mar 07

Ken

yan

Sh

illi

ng

s (

KE

S)

MO revenue/capita paid toKIWASCO

KIWASCO revenue/capita (directcustomers)

Increased (x3 per capita) utility revenue collection

2.00 per 20 liter container.

4000

1800

150 per month

Old Charges

Cost of water to end consumer

Household connection fees

Household meter deposit

Household meter rents

All figure in KES New Charges

70 per month

1000 (refundable)

1500

65/m3 i.e. 1.30 per 20 liter container

2.00 per 20 liter container.

4000

1800

150 per month

Old Charges

Cost of water to end consumer

Household connection fees

Household meter deposit

Household meter rents

All figure in KES New ChargesNew Charges

70 per month

1000 (refundable)

1500

65/m3 i.e. 1.30 per 20 liter container

Reduced connection charges & price of water

22

Microfinance for Piped Microfinance for Piped WaterWater

ConceptConcept: Domestic commercial banks provide loans directly to community owned : Domestic commercial banks provide loans directly to community owned piped water systems. Loan facilitated through Output-based aid subsidy, which piped water systems. Loan facilitated through Output-based aid subsidy, which also offsets lenders risk.also offsets lenders risk.

Institutional Arrangements

GPOBA fund

Microfinance Institution

Small Piped Water Project

Athi Water Services Board

OBA subsidy Loan to project Debt service Service provision agreement

80% 40% 0% 40%

20%

ResultsResults:: 60,000 people benefit from pilot project serving 21 communities.60,000 people benefit from pilot project serving 21 communities. Leverages Private Bank-Utility-PPIAF- GPOBA- community resourcesLeverages Private Bank-Utility-PPIAF- GPOBA- community resources Catalyses domestic capital and local business servicesCatalyses domestic capital and local business services

23

OutlineOutline


2. Results from Africa Country Status Overviews


24

0.00

20.00

40.00

60.00

80.00

100.00

120.00

140.00

160.00

180.00

Cap

e V

erde

Eq

Gui

nea

Com

oros

Mau

riti

usG

Bis

sau

Gab

on

Gam

bia

Bot

swan

a

Nam

ibia

Les

otho

Mau

rita

nia

Con

go

CA

RE

ritr

ea

Tog

o

Sier

ra L

eone

Ben

in

Bur

undi

Gui

nea

Cha

d

Rw

anda

Zam

bia

Sene

gal

Nig

er

Mal

awi

Mal

i

Zim

babw

e

Bur

kina

Ang

ola

Cot

e d'

Ivoi

re

Cam

erou

n

Mad

agas

car

Moz

ambi

que

Gha

na

Uga

nda

Suda

n

Ken

ya

Tan

zani

aSo

uth

Afr

ica

RD

C

Eth

iopi

a

Nig

eria

Served 2000 Added not served 2015

Scale and Diversity of WSS MDG Challenge in AfricaP

op

ula

tion

in

m

illion

s

50% in 5 largestNigeriaEthiopiaRDCSouth AfricaTanzania

75% in 13 largest+ Kenya Sudan Uganda Ghana Mozambique Madagascar Cameroon Cote d'Ivoire

90% in 22 largest+ Angola Burkina Faso Zimbabwe Mali Malawi Niger Senegal Zambia Rwanda

25

African Response to MDG Challenge A. Countries likely to reach the goals (e.g. RSA, Mauritius, Namibia,

Botswana, Tunis) – about 13 countriesB. Countries which could make significant progress with some

support (e.g. Uganda, Senegal, Benin, Burkina, Kenya, Ethiopia) – about 10 countries

C. Countries still struggling with key reform issues but which need selected assistance (e.g. Malawi) – about 16 countries

D. Countries struggling with internal strife unable to make significant development initiatives but need emergency help (e.g Sudan, Somalia, Liberia) – about 15 countries

Where to Focus?

+ Nigeria!

B & C best for large impact

D New FS Initiative Needed

26

Five Point Strategy to Get Africa on Five Point Strategy to Get Africa on Track to Meet the MDGsTrack to Meet the MDGs

1. 1. Broaden Broaden

& & Deepen Deepen Sector Sector

ReformReform

2. Develop 2. Develop & Monitor & Monitor WSS MDG WSS MDG RoadmapsRoadmaps

5. Focus on 5. Focus on SanitationSanitation

4. 4. Increase Increase Sector Sector

CapacityCapacity

3. Develop 3. Develop Financing Financing StrategyStrategy

EXTEND TO MORE

COUNTRIES

WATER LAWS

GOVERNANCE

SEPERATE

POLICY,/IMPLEMENT.

SECTOR COODINATION

DEVELOP PPPs

GIVE UTILITIES AUTONOMY

INCREASE CONSUMER VOICE

FRAGILE STATES FACILITY

DEVELOP WSS MDG

ROADMAPS

ALIGN WITH NATIONAL

PLANS

CONSULTATION PROCESS

IMPROVE SECTOR

MONITORING

REGULAR PROGRESS

TRACKING

PROGRAMMATIC APPROACH

INCREASE SECTOR

ALLOCATION

LEVERAGE REVENUE &

MARKET FINANCE

UTILITY FINANCIAL REFORM

PUBLIC SECTOR REFORM

AGGREGATION

STIMULATE PPP

TRAINING

WATER EDUCATION

LEADERSHIP

INCREASE SAN BUDGETS

LARGE SCALE SAN

MARKETING

PPP HYGIENE PARTNERSHIPS

URBAN POOR STRATEGY

27

WISA WSS MDG Support WISA WSS MDG Support Role Role

1. Further develop NEPAD outlook/instruments

2. Gain and share experience

But be sensitive to different problems/solutions

3. Support development of other water associations

4. Broker twinning/TA/training support between Sn African and African WSS agencies

28

Main Messages The MDGs are a big opportunity for WSS development The Sector is facing new challenges, needs to adapt and find new

solutions Africa is the continent most off-track the WSS MDGs.. ..but reforming

countries are well placed to achieve the water goals Sanitation is the least on track.. though a turn around in performance is

achievable Strategies to get back on track include:

deepening reform & restructuring institutions to attract capacity developing specific WSS MDG roadmaps linked to national plans developing specific instruments for fragile states improving sector monitoring, developing sector finance strategies, giving a specific focus on sanitation and hygiene


35

Thank You!

getting africa on track to reach the wss mdgs wisa conference , livingstone november 2007

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