WSS Guidelines

The Water Supply and Sanitation Act of 1997 stipulates the functions of NWASCO, among which is that of developing guidelines. The following guidelines mandatory for compliance by providers have been issued:

1
Minimum Service Level Guidelines

Minimum Service Level stipulates the standards which is the acceptable minimum level of service which providers must achieve within a defined timeframe.

2
Tariff Adjustment Guidelines

The Objectives of the Tariff adjustment guidelines are to ensure:

Sufficient revenues for the service providers to enable them to operate on a sustainable basis
Protection of consumers from being overcharged
Provision of efficiency incentives for the service providers
Conservation of treated water
Protection of the environment

3
Water Quality Monitoring Guidelines

The objectives of the Water Quality guidelines include the following:

Ensure through regular monitoring that the quality standards set by the Zambia Bureau of Standards (ZABS) are being complied with and that the customers can have confidence that the water they consume is potable.
Ensure that all water utilities will follow a systematic way of water quality monitoring so as to have uniformity of the process.
Ensure that providers conduct risk assessments at all stages of water quality monitoring through water safety planning.

4
Corporate Governance Guidelines

Companies registered under the Company Act, such as the Commercial Utilities (CU’s) in the water supply and sanitation sector are autonomous entities whose decision making process is supposed to be free of external and specifically political influence. The main influence on the company should be the enhancement of shareholders value and delivery of the goods or services for which the company was established. The guidelines outline Good Corporate Governance principles that must be adhered to in terms of transparency, accountability and respect of the rights of stakeholders.

5
Business Planning Guidelines

A business plan provides a thought out and logical framework within which a business can develop and pursue business strategies over the planned period. It provides a benchmark against which actual performance can be measured and reviewed. The Business Planning guidelines outline the framework for preparing a business plan.

6
Financial Projections Guidelines

Providers have to submit their Financial Projections to NWASCO in order to fulfil the requirements as stipulated by the license. Financial projections do not stand-alone but are interconnected with the planning of all water supply and sewerage services of the provider. As a consequence it is required that Financial Projections have to be submitted as a complement to a ‘Tariff Adjustment Proposal’ or an ‘Investment Plan’.

By issuing the guideline for “Financial Projections” NWASCO seeks to harmonize the practical steps in the financial planning process of the providers and to ensure the comparability of the statements among the providers. This guideline outlines the expected minimum standard for establishing financial projections.

7
Annual Reporting Guidelines

The operating license stipulates that providers have to submit an annual report to NWASCO drawn up in accordance with guidelines issued by NWASCO. The annual reporting guideline specifies the content of the annual report to be submitted.

8
Accounting guidelines

The objectives of the accounting guidelines include the following:

To assist providers to periodically and timely deliver reliable and relevant financial information.
Minimise the number of alternative accounting treatments.
Harmonise the maintenance and reporting of financial information among providers.

WSS Guidelines

1 Minimum Service Level Guidelines

2 Tariff Adjustment Guidelines

3 Water Quality Monitoring Guidelines

4 Corporate Governance Guidelines

5 Business Planning Guidelines

6 Financial Projections Guidelines

7 Annual Reporting Guidelines

8 Accounting guidelines