Efficiency Gains Recorded In The Water Sector

The National Water Supply and Sanitation Council (NWASCO) has recorded efficiency gains in the water sector among four Commercial utilities during the last six months. The gains recorded are expansion of water coverage, increase in hours of water supply and access to sanitation as well as an increase in metering aimed at reducing water losses.

To this effect K1.4 Billion has been disbursed and will be shared among the four Utilities namely Kafubu,  North-Western, Chambeshi, and Southern Water and Sewerage Companies for meeting specific targets set in July last year.

Kafubu and North Western Water and Sewerage Company have received   K636 Million and K 224 Million, while Chambeshi and Southern Water and Sewerage companies have been awarded K 180 Million and K 361 Million respectively.

The rewards are as a result of meeting targets aimed at improving performance and accelerating service provision to the poor, under the second cycle of the Regulation by Incentive (RBI) program.

A total of K 2.3 billion has been disbursed since the program started in November 2008 with support from German Development Cooperation (GDC) and DANIDA targeting efficiency gains.

“Against five performance indicators, Kafubu Water and Sewerage Company committed to reduce water losses from 47% to 45%-achieving 44.9%; increase collection efficiency for domestic customers from 76% to 80% - achieving 84%; increase average hours of supply per day in Mikomfwa and Kamirenda in Luanshya from 9 to 15, which are now at 18 & 16 hrs respectively; increase

average hours of supply in Ndola from 8 to 14. Town centre specifically Broadway, Evelyn, Kabelenga & Kwacha roads have reached 20 hrs from 6 hrs and improve water quality compliance from 91.5% to 95%, scoring 100 percent against their indicators.”

North Western Water and Sewerage Company sought  to maintain 24 hours of water supply in Solwezi, Mutanda and Kasempa with the rest of the district having 20 hours of supply, but achieved 23 hours of supply for Solwezi, Mutanda and Kasempa  and  maintained 20 hours of supply for the rest of the district;  increase water coverage  by having new water connections of up to  250 - achieving  317 new connections exceeding the target;  reduce water losses  to 28% from 30%, unfortunately the utility could not reduce losses instead increased  to 33%; improve collection efficiency to 95% from 75% -  achieved 108%;  expand sanitation connections and have 52 new connections - achieving  new sanitation connections totaling 73, now having 601 connections from 528, scoring 72% percent against their indicators.”

“Southern Water and Sewerage Company on the other hand, had the following performance indicators. Maintain collection efficiency at 100% and reduce outstanding customer debt by  K500 million- achieved 100% collection efficiency for all but the central region which averaged 90% whilst customer debt was not reduced ; increase  average hours of supply in  Monze, Mazabuka and Zimba to 22, and 18 hours respectively- Monze  is still at 19 hrs, Mazabuka has moved from 10 to 17 hours  while Zimba has 18 hours  of water supply; have new connections of up to  1,800  and reactivate 200 ‘no water’ connections both in Dambwa site and service in Livingstone and in Kapufi/Kabobola in Mazabuka-  achieving  1662 new connections, while   209 ‘no water’ connections were identified and reactivated in Dambwa site and service while 200 connections were reactivated in Mazabuka ; reduce  water losses from 45% to 40% by increasing the number of metered connections from 19,810  to 21,310 and install 31 bulk meters- achieving 21, 273 metered connections  and installing  38 bulk meters   thereby  reducing water  losses to  38%, scoring  70% against their indicators.”

Chambeshi Water and Sewerage Company sought to increase metering ratio  to 35% from 23% - achieving the  target and  now at 35%;  increase  average  hours of supply to 18 hours from 13 hours- achieving 16 hours;  improve collection efficiency to 85% from 55%, -achieving  69%; resolve  customer complaints within time at 90% from 73%,- achieving  90%, scoring  68 % against their indicators.”

The six months RBI program had its second cycle come to an end in December 2009.

Regulation by Incentive is the use of rewards to induce the utility to achieve desired goals. The utility is involved in setting goals and defining incentives by mutual agreement with the regulator. The program builds on NWASCO’s existing regulatory tools and instruments used in ensuring the service providers improve their quality of service and performance.