1. 2015 PILOT WATER ACCOUNTS FOR UGANDA
By:
Margaret Kevin Nakirya
Uganda Bureau of Statistics

2. Presentation outline Introduction to the Water Accounts
2015 Pilot Water accounts and Policy implications
Source data
The Accounts
The Estimates
The Aggregates and Indicators
Way forward

3. Introduction to SEEA
SEEA is a multipurpose conceptual framework for understanding the interactions between the economy and the environment.
SEEA-Water is a conceptual framework for organizing hydrological and economic information in a coherent and consistent manner. Therefore,
It describes the interactions between the economy and the environment and covers the whole spectrum of natural resources and the environment.
It enables a consistent analysis of the contribution of water to the economy and the impact of the economy on water resources.
It consists of a set of standard and supplementary tables
Compilations of tables and accounts informs the M&E, policy and decision making processes
The effect of human activity on the environment has emerged as one of the most significant policy issues in environmental sustainability. There is growing concern about the effect of economic activity upon the environment and increasing recognition that economic growth and human welfare are dependent upon benefits obtained from the environment:

4. Introduction to Water Accounts- Tables and Accounts
List of tables for Water Accounts
Physical Supply and Use Table
Monetary Supply and Use Table
Water Emission Account
Hybrid and economic accounts for activities and products related to water
Hybrid supply and Use tables
Taxes, fees and water rights
National expenditure and financing accounts
Water Balance
Water Asset Account
Water quality Account
The effect of human activity on the environment has emerged as one of the most significant policy issues in environmental sustainability. There is growing concern about the effect of economic activity upon the environment and increasing recognition that economic growth and human welfare are dependent upon benefits obtained from the environment:

5. Introduction to Water Accounts- Application
Most water statistics focus on hydrology and water quality, but not much attention has been paid to the economic and social aspects of water.
Some critical policy issues require the linking of data on water with economic data, such as the following:
(a) The consequences on water resources for economic growth and the patterns of household consumption and international trade;
(b) The social and economic impacts of water policy instruments, such as regulation, water pricing and property rights;
(c) The contribution of specific economic activities to the pressure on water resources and the options for reducing that pressure.

6. Introduction to Water Accounts- Application
Application of SEEA-Water
Water accounts furnish:
(a) indicators and descriptive statistics for the purposes of monitoring and evaluation;
(b) detailed statistics for policy analysis ; and
(c) the most common indicators 2hich are used to evaluate the current patterns of water supply and use, and of pollution.
All the above feed into the global, regional and national development policy frameworks including; SDGs, Africa Agenda 2063, Uganda Vision 2040, NDP II and UGGDS, among others
It begins with macro level indicators that serve as “warning” signs of trends that may be unsustainable or socially undesirable, often at the national level. It then progresses to more detailed indicators and statistics from the water accounts that shed light on the sources of pressure on water resources, on the opportunities for reducing the pressure and on the contribution of economic incentives, such as pricing, to the problem and its possible solutions. These indicators can be compiled directly from the water accounts without requiring much technical expertise.

7. Introduction to Water Accounts- Application
In turn, the above will help to determine the following:
(a) Sources of pressure on water resources: determining how much each sector contributes to particular environmental problems, such as overexploitation of groundwater or water pollution;
(b) Opportunities for improving water productivity: determining if water is being allocated to the highest value users; identifying what opportunities exist to increase water efficiency and productivity; assessing the extent of the losses;
(c) Water pricing policies: determining if water providers are achieving full cost recovery; finding out if pricing is equitable across different users; assessing whether pricing policies provide incentives for water conservation and pollution prevention, or whether they encourage excessive use of water resources;
(d) Volume of water supplied by water utilities compared with the water abstracted for own use and the reuse of water.
(e) Wastewater returned to inland water resources. For example, the proportion of wastewater collected that is treated and the amount of pollution discharged;
(f) The quality status of bodies of water, identified by catchment and size classes. Identifying the various sources of pollution, such as municipal point sources, industrial point sources and other non-point sources, as well as the contributions of the different sources, enables the identification of sound investments for corrective purposes.
(g) Sustainability of water use: comparing stock of water resources and water use.
A- graph for per capita water use, population and GDP per cubic metre of water. If per capita water use declined and water productivity, measured by GDP per cubic metre of water used, increased, so that the volume of total water use increased by marginally, (see figure IX.1), even though GDP grew by more than 25 per cent. For a water-scarce country, this is a positive trend.

8. 2015 Pilot Water Accounts
The Estimates

9. 2015 Pilot Water Accounts Emerging issues on the source data
Licensed volumes by company were used as proxy for actual abstraction.
Volumes for electricity generation overstated by volumes for construction of dams for phased out dam construction projects.
Annual total precipitation for 12 weather stations used to compute total precipitation.
Industry breakdown for water distributed was not aligned to ISIC Rev. 4. Therefore, the 2009/10 SUT water consumption was used to breakdown the water supplied by utilities sector.

10. 2015 Pilot Water Accounts Emerging issues on the source data
Missing estimates on reused water; very negligible in the case of Uganda
Used literature from other countries to estimate evaporation and transpiration with similar environment, social and economic set up.
Wastewater sent to treatment was estimated as a percentage of billed water by the distributors.

11. 2015 Pilot Water Accounts 2015 Pilot Water Accounts
Physical Supply and Use table
Compiled separately for 15 industries and households that are water intense
Water Balance
By resource type
By separate distribution categories
By the 15 industry and household breakdown

12. Water consumption '000 cubic metres Percentage of water consumption
Industry
Water consumption '000 cubic metres
Percentage of water consumption
% of industry Value Added
Industry Value Added- '000 shs
Value Added(shs) per cubic metre of water consumption
Water use '000 cubic metres
Percentage of water use
Value Added (shs) per cubic metre of water use
Agriculture (Irrigation)
21,246
2.39
0.77
572,000,746
26,922
53,116
0.10
10,769
Agriculture (Rainfed crop)
202,487
22.73
14.55
10,868,014,171
53,673
506,217
0.94
21,469
Agriculture (Livestock)
43,800
4.92
4.52
3,379,683,573
77,162
50,430
0.09
67,018
Agriculture (Forestry)
6,542
0.73
4.29
3,207,649,797
490,310
13,084
0.02
245,155
Agriculture (Fishing)
45,213
5.08
1.69
1,262,582,983
27,925
64,590
0.12
19,548
Crude oil and Mining
29,462
3.31
0.71
533,980,551
18,125
147,308
0.27
3,625
Manufacturing (Food and Beverages)
72,685
8.16
4.10
3,064,000,000
42,154
184,140
0.34
16,639
Manufacturing (Other)
1,672
0.19
5.72
4,274,716,302
2,556,471
10,823
394,975
Electricity
157
0.95
709,020,894
4,512,277
51,920,825
96.19 14
Water Supply; Sewerage and Waste Management Activities -
0.00
2.74
2,043,946,109
#DIV/0!
139,773
0.26
14,623
Construction
76,371
8.57
7.98
5,959,825,206
78,038
95,829
0.18
62,192
Accommodation
576
0.06
2.75
2,051,390,014
3,560,939
3,374
0.01
608,066
Public Administration 69
2.56
1,909,491,909
27,685,086
17,920
0.03
106,555
Education
220
6.88
5,139,070,836
23,383,504
2,353
2,184,468
Health
174
3.42
2,553,274,424
14,698,567
3,349
762,368
Other
6,937
0.78
36.37
27,164,104,465
3,915,943
41,649
0.08
652,218
Households
383,065
43.01
722,548
1.34
Total
890,676
100.00
100
74,692,751,977
83,861
53,977,327
1,403

13. Water Abstraction by natural resource
Nearly all the water used is abstracted from surface water bodies, about one percent from precipitation and soil water each and less than one percent from ground water sources.
Policy Issues
With increasing pollution of surface water bodies, investment should shift to ground water sources because of the low costs of treatment.
Stock and rate of recharge of ground water sources should be known and monitored.
Since most of the surface water bodies are shared, what would be the implications when allocations from such resources become more restricted?
In particular, the use of water for electricity generation from the shared River Nile, Albert Nile etc.

14. Water abstraction by purpose
Nearly all water abstraction is directly by end-users, less than one percent is abstracted for distribution purposes.
71% of water abstraction is directly by end- users, 29% is abstracted for distribution purposes

15. Water abstraction by purpose
Most of the water by own end-use abstractors is from open water bodies.
Most of the own end-use abstractors (excluding HEP Generators) are households.
Other major own end-use abstractors are manufacture of food and beverages, mining & quarrying and construction.
What are the implications on;
Water regulation by own end users (households) ?
The capacity of monitoring?
Investment strategies by resource type for the future?

16. Water Consumption (Excluding HEP)
About 76.5% of water is consumed by households and agriculture-excluding irrigation.
These units are majorly own end-use abstractors, outside the regulated and managed water system.
Investment in water saving and efficient technologies for these units is not economical.
Expand the water distribution network to majority of households.
Invest in more drip irrigation schemes in order to reduce on the dependency on rain which is unpredictable sometimes.
Consequently, irrigation will recharge the underground sources.

17. Water Use Percentage of water use by activity; For identifying;
Electricity generation- 96%
Households- 1.3%
Agriculture- 1.3%
Manufacturing- 0.4%
Service activities - 0.3%
For identifying;
the potential for water conservation, and
Improvements in water efficiency
Exclude electricity generation from selected analysis in the future.

18. Share of water use and share of value added
Comparing economic benefits and environmental costs;
Electricity generation and distribution accounts for 96% of total water use, but less than one percent of gross value added.
Other (Service) activities account for less than one percent of water use, but 52% of gross value added.
Agriculture activities account for one percent of water use, but 24% of gross value added.
Policy decision on minimizing the environmental burden with the objective of maximizing economic contribution, it should consider the secondary contributions of the activity to the other activities.
Electricity use by other pdn activities and the costs and availability of other energy sources.

19. Share of water use and share of value added- excluding HEP generation
Activities whose burden on water use is greater than the economic contribution;
Crop growing
Aquaculture
Mining and quarrying
Manufacture of food and beverages
Water supply and waste management
Activities whose economic contribution is greater than their burden on water use;
Livestock rearing
Forestry
Other manufacturing
Construction
Service activities

20. Water productivity- Value added per cubic metre of water use
For activities with greater burden on water
Crop growing (shs. 20,453)
Aquaculture (shs. 19,548)
Mining and quarrying (shs. 3,625)
Manufacture of food and beverages shs. 16,639)
Water supply and waste management (shs. 14,623)
For Activities with greater economic contribution
Livestock rearing ( shs. 67,018)
Forestry (shs. 245,155)
Other manufacturing (shs. 394,975)
Construction (shs. 62, 192)
Service activities (shs. 563,283)

21. The Derived Aggregate and Indicators
2015
Gross Water Input '000 cubic metres
54,057,483
Net Domestic Water '000 cubic metres
53,824,904
Final Water Use '000 cubic metres
890,676
GDP per cubic metre of water used- Water productivity, shs
1,403
Annual Water consumption per capita, cubic metres
25.72
Annual Water consumption per household, cubic metres
52.47
% of losses in the supply and distribution chain
28%

22. Way forward
Request MDAs and academia to conduct studies for water absorption, and transpiration by crops and trees.
Compilation of accounts for
Expand the Water accounts to include;
Monetary supply and use tables
National expenditure and financing table
Validation of results by Water Accounts Technical Committee
Dissemination- July 2018
Continuous improvement and technical capacity
Annual production of the Water Accounts
Identify emerging issues and policy interventions

23. Thank you for listening