The 1994 National Water Policy outlines seven key sector principles that were adopted as guidelines for the water sector reform. In response to deteriorating service delivery, one of the sector principles was the “devolution of authority to local authorities and private enterprises” to bring about efficiency and effectiveness in management of service provision. It was clear that this was to be achieved through commercialisation and not privatisation.
Commercialisation is bringing private sector principles in the management of public institutions. It seeks to secure private sector efficiencies with government oversight. The main goal of commercialising of water and sanitation service provision was to improve service delivery by way of creating viable limited liability Utility Companies(CUs) managed by professionals thereby attracting external investments.
All 72 Local Authorities in the Country have vested their responsibility of WSS service delivery in urban areas to privately run commercial utilities formed as joint ventures among Local Authorities.
The Local Authorities as shareholders appoint a Board of Directors to oversee the WSS providers established. The day-to-day running of the utility is the responsibility of the appointed management.
The following CUs have been established:
|Cu||Province||Population in Area 2009/10||Water Supply Coverage 2009/10||
Sanitation Coverage 2009/10