Presentation on theme: "23-25 September 2013 Bucharest Sector policies, institutions and governance Moldova National Association of Water and Sanitation Utilities (Moldova Ap."— Presentation transcript:
23-25 September 2013 Bucharest Sector policies, institutions and governance Moldova National Association of Water and Sanitation Utilities (Moldova Ap ă -Canal)- AMAC Agency “ Waters of Moldova”
Indicator unit2006200720082009201020112012 % Coverage of water services % 8280 8384 % Coverage of sanitation services % 65636465676970 Rate - water supply lei 4,625,065,986,668,68,89,2 Cost of 1m3 of water sold lei 5,136,557,097,157,898,408,70 Rate - sewer lei 2,072,812,872,824,234,34,5 Cost of services 1 m3 designated and treated wastewater lei 2,73,263,223,325,145,605,80 The average annual net sales by 1 worker Mil.lei 77,6100,8132,4139,6168,1173,8178,3 % Fixed assets depreciation % 47,8 44,9 47,0 48,3 48,5 49,6 49,1 The number of employees, total people 5547 5475 5430 5326 5318 5248 5318 The share of wage bill costs % 26,1 23,7 24,6 26,1 26,2 25,5 25,6 Characteristics of the sector. According to the databases IBNET and Association "Moldova Ap ă - Canal", water supply and sewage systems in the Republic of Moldova in 2006-2012 is characterized by the following indicators of operational and financial activities. Table number 1 *The official exchange rate at 19 September 2013 amounts to MDL 17.2045 per 1 EUR
Characteristics of the sector. From the data in Table number 1, results that the percentage of consumers covering water and sanitation services is on the rise. Among the positive trends should also be noted the annual increase in average net sales per employee, while reducing headcount. At the same time, almost stable share of payroll costs to businesses. Among the negative trends, the rising cost of water supply and sanitation, accompanied by an increase in average tariff services. As evidence of the deterioration of the fixed assets, there is a tendency to an increase in depreciation. About insufficient amounts of the introduction of efficient technologies and equipment in the water and sanitation sector shows no tendency to reduce the unit cost of electricity in the water sector, as well as pumping and wastewater treatment and unbilled cost of water (non revenue water-NRW)
Major national institutions related to water sector and their official role: Ministry of Environment of Republic of Moldova. Implements the constitutional prerogatives of the Government of the Republic of Moldova by developing, promoting and implementing the policies of the water sector. In the structure of the of the Ministry is Agency "Water of Moldova", performing its functions in accordance with the Regulations approved by the Government. A role in the implementation of the tasks of the Ministry plays a subordinate agency of the State Environmental Inspectorate, the Agency for Geology and Mineral Resources, and others;
Major national institutions related to water sector and their official role: The Ministry of Regional Development of the Republic of Moldova develops and promotes, together with its subordinate agency of the regional public policy development in the field of regional development and construction, including the construction of water supply, sewerage and sewage treatment; The Ministry of Finance of the Republic of Moldova, develops and promotes the state policy in the fiscal area, including activities related to investments in water supply and sanitation; The Ministry of Health of the Republic of Moldova, with the National Centre of Public Health performs an audit monitoring of water quality and solve other issues of their competence;
Major national institutions related to water sector and their official role: The National Agency for Energy Regulation develops and approves the methodology of determining the application and approval of tariffs for public services for water supply, sewerage and waste water treatment. Moldova National Association of Water and Sanitation Utilities (Moldova Ap ă -Canal)-AMAC provides for its members consulting services in the field of water supply and sanitation, providing technical, legal assistance in addressing emerging issues, creates a database of industrial and financial activities, organizes and participates in the training of staff member enterprises AMAC, preparation and adjustment of laws and regulations.
Brief description of regulatory schemes. Regulation that is a process of the promulgation, monitoring, and enforcement of rules, established by primary or / and delegated legislation. Involved in the regulation of all of these government agencies and local public authorities. Tariff regulation includes the tariff setting process. All 40 of Utilities members of Moldova National Association of Water and Sanitation Utilities (Moldova Ap ă -Canal)-AMAC perform calculations tariff for its services in accordance with the methodology of National Agency for Energy Regulation, eliminates errors. The local public authorities is considering a package of documents ready to take appropriate action in the form of their solutions.
Brief description of regulatory schemes. At present, in the Republic of Moldova are 40 utilities providing services for water supply and sanitation. They are members of Moldova National Association of Water and Sanitation Utilities (Moldova Apa-Canal)-AMAC and provide over 95 % of the services of centralized water supply, sewerage and wastewater treatment in Moldova. 34 of them are municipal enterprises, 5 previously converted from a municipal utilities into a joint stock companies, and one state-owned enterprise. The legal basis for the activities of enterprises established by the laws and regulations of the government, especially the Civil Code, the annual budgets Laws, the Law on Drinking Water, The public utility services Law that set the legal framework for the establishment and operation of water supply and sanitation sector.
Brief description of regulatory schemes. Prepared, approved by the government and submitted to the Parliament of the Republic of Moldova draft Law "On public services of water suply and sanitation." The law should establish a legal framework governing the establishment, organization, management, financing, operation, monitoring and control of enterprises to provide services for water and sewer bill is set that the regulatory body at the level of regions, districts, municipalities, cities is the National Agency for Energy Regulation, and at the level of villages and communes, local public authorities.
Sector financing Financing of the sector is made from several sources: from the budgets of all levels, funds of the National Environmental Fund, managed by the Ministry of Environment, own funds of the company (retained earnings) funds of foreign investors in the form of commercial loans and grants.
Sector financing Funding from internal and external sources as a percentage of total internal product was: 0.4% - 2008 ; 0.4% - 2009; 0.7% - 2010; 0.5% - 2011; 0.5% - 2012 minimally adequate level of funding for a high degree of physical deterioration of networks and facilities is an indicator of 3-4%. In monetary terms, the amount of actual funding, do not exceed the annual 30 millions of euro. This funding from internal sources is the amount of approximately 2 times less than from external sources. In the absence of a Integrated Scheme of Development of Water Supply and Sanitation in Moldova, that is its de facto the business plan for Moldova Water Supply and Sanitation development, the effectiveness of the use of available financial resources is significantly reduced.
Main challenges and reforms The main problems to be solved in the short and medium terms: improving the management of water supply and sanitation sector consolidation utilities raising the minimum 2-3 times the volume of financing investment in infrastructure development and modernization regulatory mechanisms and government operations improving development and implementation of programs to save all kinds of resources, improvement of the legislative framework.
Thank you for your attention! Moldova National Association of Water and Sanitation Utilities (Moldova Ap ă -Canal)- AMAC Agency “ Waters of Moldova” mun. Chişinau, str. Gheorghe Tudor, 5 MD-2068, Republica Moldova Tel: (373 22) 28-07-00 Fax: (373 22) 28-08-22 Web: www.apelemoldovei.gov.md Email: firstname.lastname@example.org mun. Chişinău, str. V. Alecsandri 1 MD-2009, Republica Moldova Tel./Fax (+373-22) 28-84-32. Anticamera (+373-22) 28-84-33. Specialişti Tel. (+373-22) 28-84-36. Specialişti Web: www.amac.md E-mail: email@example.com AMAC