Urban and small town water supply management models in Ghana Presentation of findings from sector review and case studies from the TPP Project NLLAP meeting 30 July 2010

What has been studied? - Global experiences - Institutional framework in Ghana - Management models in Ghana - Case studies on management models

Global Experiences - Urban management models - Small towns management

Global studies: Urban management models Utility management Alternative service providers (private, NGO or community): Relationship to source Independent (Independent provider) Dependent (Intermediate provider) Technology employed Grid or network Integrated production / generation with transmission / distribution Purchasing water and on-selling through mini- grid / network Point source Own source, fixed location vendor Connected to utility fixed location vendor Mobile distribution Own source, mobile vendor Purchase from utility mobile vendor

Global studies: Defining small towns 'Small towns are settlements that are sufficiently large and dense to benefit from the economies of scale offered by piped systems, but too small and dispersed to be efficiently managed by a conventional urban water utility. They require formal management arrangements, a legal basis for ownership and management, and the ability to expand to meet the growing demand for water. Small towns usually have populations between 5,000 and 50,000, but can be larger or smaller‘ (David and Pilgrim 2000) However it has been argued that: – Small town water supply can be managed by “conventional” utilities – The definition does not take into account the transition nature of small towns – The definition focuses too much on piped water supply. Different technologies could be appropriate in different parts of small towns

Global studies: Small town management models Model Community management Water board management Municipal management Private management Utility management OwnerCommunity or Municipality / Local government Small private company State or regional company Corporate oversight Water use associationWater board Municipal department Delegated private operator Small private company State or regional company OperationsWater use association Delegated private operator Water board Delegated private operator Municipal department Delegated private operator Small private company State or regional company

Global studies: Support to management models Direct support – Training – Technical assistance Indirect support – Legislation – Regulation

Institutional mapping of urban and small town water supply in Ghana Separate sub-sectors: – Small towns –> Community management, facilitated by CWSA – Urban -> Utility management by GWCL / AVRL

Institutional mapping of urban and small town water supply in Ghana However, there is overlap on who is responsible for what. Different definitions of small towns: – National Water Policy (NWP) definition of a small town:“a community that is not rural but is a small urban community, with population between 2,000 to 30,000 that has been mandated by the relevant authority(ies) to manage its own water and sanitation systems”. – CWSA Small Towns Water and Sanitation Policy definition: “communities of between 2,000 and 50,000 population who require improved water supply and related sanitation facilities”. – Ghana Statistical Service definition of urban communities: communities with populations above 5,000 Who is institutionally responsible for the unserved?

GIS mapping exercise See maps

Direct WSDB, with WATSAN WSDB with PO Urban Water Board Management models for urban and small towns in Ghana GWCL/AVRL management Intermediate private providers Independent private providers Utility Community Private sector COM system GWCL system Private system GWCL system COM system COM system GWCL system Management model Source Self supply Household system Community management Private management GWCL system, through tanker Bulk water supply Direct WSDB Direct WSDB, without WATSAN

Management models for urban and small towns Utility Community Private sector Sub-sector Small towns Urban Direct WSDB WSDB with PO Water Board Utility management Intermediate private providers Independent private providers With watsan Without watsan Management model Self supply Community management Private management GWCL/ AVRL management Self supply Intermediate private providers Independent private providers Private management

GWCL/AVRL Community managed, rural Self supply Private management Ghana management models – Support roles Type of Model Facilitation Regulation: tariff setting Ownership Implementation GWCL GoG/GWCL GWCL/AVRL PURC Private DA CWSA Regulation: standard of service PURC DA Community managed, urban GWCL/AVRL AVRL? GWCL/AVRL AVRL? Support

Questions?

Urban models GWCL/AVRL management Intermediate service providers – Tanker services – Water vendors – AVRL tanker services Community managed bulk supply: Urban Water Management Board Small scale independent producers

Ownership Management and operations AVRL GWCL 5 year Management contract Reports Money flows Management model: GWCL/AVRL management Example s: Accra, Tamale, Kumasi Clients Regulation PURC

Management and Operations Management contract Reports Money flows Holding tanks, kiosk, vendors, private standpipes: Examples: Teshie Zongo, South Teshie, Glefe-Agege and Nima (PURC), parts of Bolgatanga Ownership, Management and operation of selling point Ownership Management of supply Operations of supply Water vendor Clients Tanker transport AVRL GWCL Management model: Intermediate service providers AVRL tanker services. Examples: La, part of Osu, Wa (holding tank), Bolgatanga (water kiosk) Clients Pay as you fetch Pay in bulk

Contract Money flows Pay as you fetch Pay per supply Management of selling point Ownership of selling point Management and operation of supply Water vendor Clients Tanker Distribution AVRL (East Accra Regional Office) Management model: AVRL tanker services Coordinator waybill Operation of selling point GWCL Ownership of supply system Pays per supply commission Waybill Service fee

Ownership and oversight of the (bulk) supply system Management and operations of (bulk) supply system AVRL GWCL Management contract Money flows Management model: Urban Water Management Board Examples: Teshie (AVRL), Sabon Zongo (WaterAid) Water vendor Regulation and tariff setting for the bulk water supply PURC Clients Pay as you fetch Per supply O&M of selling point Water Board Oversight and Management of the selling points Tanker transport Per supply Salary waybill

Management model: Small scale independent producers SSIP Clients Pay as you fetch Ownership, Management and operation

Small town models Direct WSDB management with watsan Direct WSDB management without watsan WSDB management with delegated operations (Public-Private Partnership) WSDB management with delegated operations in the Three District Water Supply Scheme Direct WSDB management with bulk supply

Ownership and regulation Management, Sanitation and hygiene education Operations MMDA CWSA Regional office Watsan Water vendors Management model: Direct WSDB management with watsan Examples: Pantang, Abokobi (Danida) 20% commission Facilitation Daily submission of revenues Monthly transfer of revenues Standpost clients Clients with HH connection Pay as you fetch Monthly water bills Reports Money flows (S)Elects representatives WSDB Operating staff Operations account Capital account (at least 20% of monthly net revenue) Sanitation account: (at least 10% of monthly net revenue)

Ownership and regulation Management, Sanitation and hygiene education Operations MMDA CWSA Regional office Water vendor Management model: Direct WSDB management without watsan Examples: Asiakwa, Asesewa 20% commission EVORAP Project staff Facilitation Standpost clients Clients with HH connection Pay as you fetch Monthly water bills WSDB Operating staff Reports Money flows Regular account Replacement account

Management model: WSDB management with delegated operations (Public-Private Partnership) Examples: Bekwai, Atebubu, Wasa Akropong Ownership and regulation Management sanitation and hygiene education Operations Private operator O&M account: 75% of revenues WSDB MMDA CWSA Regional office Watsan Water vendor (keeps 20% of income) 15% to replacement and rehabilitation account 10% to sanitation and hygiene account Facilitation Standpost clients Clients with HH connection Pay as you fetch Monthly water bills 5 year O&M contract agreement Reports Money flows (S)Elects representatives

Management model: WSDB management with delegated operations in the Three District Water Supply Scheme Examples: Bekwai, Atebubu, Wasa Akropong Ownership and regulation Management sanitation and hygiene education Operations Private operator O&M account: 70% of revenues WSDB 3 DAs CWSA Regional office Watsan 2% to sanitation account 3% to replacement account 2% to WSDB allowances Facilitation Standpost clients Clients with HH connection Pay as you fetch Monthly water bills 5 year O&M contract agreement Reports Money flows (S)Elects representatives 3% to O&M (from bulk water meter) 20% commission Water vendor Collected money

WSDB Ownership and regulation of distribution Management of distribution Operations of distribution Operation unit MMDA Watsans Water vendor (keeps 20% of revenues) Bulk water bill Management model: Direct WSDB management with bulk supply GWCL AVRL Water Council Ownership, management and operations of bulk water supply Standpost clients Pay as you fetch Clients with HH connections Monthly water bills MOU Reports Money flows (S)Elects representatives

Market space 5 tables: Direct WSDB management with and without watsan in Asesewa, Asiakwa, Pantang and Abokobi WSDB management with delegated operations (Public-Private Partnership) in Bekwai and Atebubu WSDB management with delegated operations in the Three District Water Supply Scheme Direct WSDB management with bulk supply in Savelugu AVRL tanker services in Accra

Market space discussion Strengths and weaknesses of the model? What enabling environment is needed to make the model work well? Who is / should be responsible for this? (direct and indirect support) What is the potential for scaling up of the model, or the use of the model in other contexts?