Getting Africa on Track to Reach the WSS MDGs WISA Conference , Livingstone November 2007

1. Getting Africa on Track to Reach the WSS MDGsWISA Conference , LivingstoneNovember 2007 Piers Cross

2. Outline • Trends in Global WSS Development • Results from 2006 Africa Country Status Overviews • Reform and Innovation • Getting Africa on Track to Meet the WSS MDGs

3. Population growth and urbanization Growing competition for natural resources PHYSICAL Scarcity Worsening water quality Groundwater depletion Climate stress Hierarchical Top-down state interventions Market-led Enter the private sector Distributed Enter civil society GOVERNANCE Emergence of developing countries in global debate Decentralization Globalization Focus on infrastructure Bricks and mortar Focus on management PSP, cost recovery Focus on services Measuring results ODA ‘92 Dublin ’06 UNSGAB ’80s water decade ’00 Vision & FFA ’00 the MDGs 1990s 2000-2007 1980s A quarter century of changes in the global WSS sector

4. Trend: Population growth Source: UN Population Data

5. National Municipal No Data Provincial National + Municipal Provincial + Municipal National + Provincial Tier of government responsible for water supply service provision Trend: Decentralization Source: Van Ginneken & Kingdom, forthcoming

6. Private investment is increasing, but not in water Trends in ODA in water Public investment in infrastructure decreasing Donor financing stable at best source: OECD-DAC, 2006 WSS Trend : All financial flows going down

7. Outline • Trends in Global WSS Development • Results from 2006 Africa Country Status Overviews • Reform and Innovation • Getting Africa on Track to Meet the WSS MDGs

8. AMCOW-WSP-AfDB-EUWI-UNDP Country Status Overviews (CSO) Track WSS MDGs in Africa MDG Outlook – Are we achieving the targets? Projected % of Coverage Target Achieved – Water Supply On track for water Off track for water Fragile state seriously off track DRC Available at www.wsp.org

9. Definition Problems! AMCOW-WSP-AfDB-EUWI-UNDP Country Status Overviews (CSO) Track WSS MDGs in Africa Sanitation Off Track Only CSO country On Track! San severely neglected in Fragile States! Projected % of Coverage Target Achieved - Sanitation Supply

10. AMCOW-WSP-AfDB-EUWI-UNDP Country Status Overviews (CSO) Track WSS MDGs in Africa Capacity Scale increase needed to reach the water MDGs Ave: capacity needs to be increased x 6.2 for water (x7.5 for sanitation)

11. Niger Uganda Zambia Benin DRC Burkina Faso Malawi Kenya Mozambique Ghana Senegal Tanzania Rwanda Ethiopia Mauritania Madagascar Benin Malawi Niger Tanzania Ethiopia Rwanda DRC Ghana Mauritania Zambia Senegal Kenya Uganda Mozambique Madagascar Burkina Faso Rural San Progress on MDG Roadmaps: Rural San and Rural Water Institution leadership Stakeholder consultation MDG action plan Resources mobilized Implementation on track Rural Water Institution leadership Stakeholder consultation MDG action plan Resources mobilized Implementation on track Available at www.wsp.org

12. Sector Preparedness – What Will It Take? Total Investment needed as a Share of GDP % of GDP Rethink service level/ targets? Rethink allocation principles? Range of expenditure from current studies Available at www.wsp.org

13. MDG CSO Data: Sustainability Scorecard Average Sustainability Scores Over Sector Overall low!

14. Enhancing Sector Sustainability – Making The Gains Last Are institutional and financial success factors in place? Strong on most indicators in CSO Sanitation is lagging behind? High coverage, v low sustainability score RDC Available at www.wsp.org

15. Outline • Trends in Global WSS Development • Results from 2006 Africa Country Status Overviews • Reform and Innovation • Getting Africa on Track to Meet the WSS MDGs

16. Fragile States Crises Somalia: 10% have RWS access, Urb. San services collapsed DRC: 10% rural san and 12% water coverage Angola: War impact: 16% san access & 46% water Zimbabwe: Urban service collapse impacts: poverty, disease, growth, food, environment Africa WSS Status - Two Africas!Reform and Fragile States Reform Successes Uganda: 0.7m rural served in 05/06 – exceeding MDG targets Senegal: 20% of Dakar (0.45m) accessed san services in last 3 years Rwanda: sector $ up x4, rural water access, 20% managed by private operators Tanzania: $1bn raised in sector finance supporting national sector program

17. Country Impact: Scaling Up Rural Water Supply to Achieve MDGs in Benin • From 2002 (RWS coverage 35%) Benin developed national RWS program with: clear leadership by MMEW, clear MDG targets, strong sector coordination, donor pooled finance, annual joint sector reviews & performance monitoring. • Results: 2006 RWS 44%; exceeded target of 1350 new water points/year in 06; total RWS finance doubled between 02-06 ($14.4m - $31.7m)

18. Country Impact: Scaling Up Rural Water Supply and Sanitation to Achieve MDGs in Ethiopia • Ethiopia WSS sector transformed from very low access (1990 water 19%, san 7%) and top-down, supply-driven approach to decentralized, multi-stakeholder, demand-focused approach with MDG and universal access goals, distinct programs for water & san/hyg. • Results: Water 40% & san 12%, sector finance risen dramatically from <$20m/yr in 2000 to >$120m in 2006. Now $629m committed from ESAs. Latrine coverage in Southern Nations 1994-2006 Approx. 1.3 mill latrines

19. Increased access to quality water Delegated Management from Utility to Domestic Private Sector Operators in Kisumu, Kenya #1 Results: Concept: Water Company sells bulk water to small-scale private operator to manage sub-network serving poor. Operator connects customers, operates sub-network, collects revenue, fixes leaks and pays Company a monthly bill.

20. Delegated Management from Utility to Domestic Private Sector Operators in Kisumu, Kenya #2 Increased (x3 per capita) utility revenue collection Reduced connection charges & price of water

21. Microfinance for Piped Water Results: • 60,000 people benefit from pilot project serving 21 communities. • Leverages Private Bank-Utility-PPIAF- GPOBA- community resources • Catalyses domestic capital and local business services Concept: Domestic commercial banks provide loans directly to community owned piped water systems. Loan facilitated through Output-based aid subsidy, which also offsets lenders risk. Institutional Arrangements

22. Outline • Trends in Global WSS Development • Results from Africa Country Status Overviews • Getting Africa on Track to Meet the WSS MDGs

23. 90% in 22 largest + Angola Burkina Faso Zimbabwe Mali Malawi Niger Senegal Zambia Rwanda 75% in 13 largest + Kenya Sudan Uganda Ghana Mozambique Madagascar Cameroon Cote d'Ivoire Scale and Diversity of WSS MDG Challenge in Africa 50% in 5 largest Nigeria Ethiopia RDC South Africa Tanzania Population in millions

24. Where to Focus? African Response to MDG Challenge • Countries likely to reach the goals (e.g. RSA, Mauritius, Namibia, Botswana, Tunis) – about 13 countries • Countries which could make significant progress with some support (e.g. Uganda, Senegal, Benin, Burkina, Kenya, Ethiopia) – about 10 countries • Countries still struggling with key reform issues but which need selected assistance (e.g. Malawi) – about 16 countries • Countries struggling with internal strife unable to make significant development initiatives but need emergency help (e.g Sudan, Somalia, Liberia) – about 15 countries B & C best for large impact D New FS Initiative Needed + Nigeria!

25. Five Point Strategy to Get Africa on Track to Meet the MDGs PUBLIC SECTOR REFORM AGGREGATION STIMULATE PPP TRAINING WATER EDUCATION EXTEND TO MORE COUNTRIES WATER LAWS GOVERNANCE SEPERATE POLICY,/IMPLEMENT. SECTOR COODINATION DEVELOP PPPs GIVE UTILITIES AUTONOMY INCREASE CONSUMER VOICE FRAGILE STATES FACILITY DEVELOP WSS MDG ROADMAPS ALIGN WITH NATIONAL PLANS CONSULTATION PROCESS IMPROVE SECTOR MONITORING REGULAR PROGRESS TRACKING 2. Develop & Monitor WSS MDG Roadmaps 4. Increase Sector Capacity 1. Broaden & Deepen Sector Reform 3. Develop Financing Strategy 5. Focus on Sanitation PROGRAMMATIC APPROACH INCREASE SECTOR ALLOCATION LEVERAGE REVENUE & MARKET FINANCE UTILITY FINANCIAL REFORM LEADERSHIP INCREASE SAN BUDGETS LARGE SCALE SAN MARKETING PPP HYGIENE PARTNERSHIPS URBAN POOR STRATEGY

26. WISA WSS MDG Support Role • Further develop NEPAD outlook/instruments • Gain and share experience • But be sensitive to different problems/solutions • Support development of other water associations • Broker twinning/TA/training support between Sn African and African WSS agencies

27. Main Messages • The MDGs are a big opportunity for WSS development • The Sector is facing new challenges, needs to adapt and find new solutions • Africa is the continent most off-track the WSS MDGs.. ..but reforming countries are well placed to achieve the water goals • Sanitation is the least on track.. though a turn around in performance is achievable • Strategies to get back on track include: • deepening reform & restructuring institutions to attract capacity • developing specific WSS MDG roadmaps linked to national plans • developing specific instruments for fragile states • improving sector monitoring, • developing sector finance strategies, • giving a specific focus on sanitation and hygiene Available at www.wsp.org

28. Thank You!