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Introduction

1. In a National Workshop on the Institutional Developmentof the Water Supply and Sanitation Sector in Zambia,held in Siavonga from 26 to 28 August 1991, seniorrepresentatives from the Ministry of Water, Lands andNatural Resources; the Ministry of Decentralisation anda number of District Councils; the Ministry of Financeand the National Commission for Development Planning;the Ministry of Labour, Social Services and Culture, ina joint effort undertaken together with representativesof the international donor community (Germany throughGTZ and KfW; NORAL; Japan; and UNDP-World Bank) andother interested parties have thoroughly examined thesituation of the Water Sector in Zambia on the basis ofa Position Paper presented to the Workshop by theNational Action Committee for Water and Sanitation.

2. The objective of the Workshop was to review the majorinstitutional, technical, financial and managementconstraints, and to propose effective futureinstitutional reforms.

3. The Workshop participants examined thoroughly theproblems besetting the water and sanitation sector. Theexamination covered organisational weaknesses, financialproblems, manpower problems, and operation andmaintenance problems.

4. Special attention was given to the impact of theseproblems on the different types of settlements, i.e.large urban areas, rural areas, and small urbantownships.

4 i.

2 -

HaJL&r. Findings

It was recognised as being particularly important thatthe major constraints are non technical; they are mainlyof a management nature. They have more to do with theway the sector is organised and how it is run.Consequently shortcomings in the organisational andlegislative framework have had significant bearing onthe financial performance, the effectiveness ofoperation and maintenance, the quality of rp ormance ofmanpower resource, and the technical capacity to providea sustainable water supply and sanitation service.

The Workshop observed that sector planning andcoordination is weak. There is no effective mechanismfor sector development and coordination because of themultiplicity of organisations responsible for sectoractivities, manpower problems of the respectiveorganisations, and unclear definitions of •authority.

While the Ministry of Decentralisation has overallresponsibility over the councils, so far it has not hadan adequately staffed department at ministerial level tooversee planning in the councils. There is so far nocapacity either for project appraisal or evaluation andmonitoring. The Department of Water Affairs hasresponsibility for only half of the water schemesthroughout the country while the Buildings Department isresponsible for water-borne sanitation in a few of thedistrict co'.'-icils.

The Workshop welcomed the institutional developmentprocess already underway in Lusaka Urban and ChipataDistrict Councils.

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and Criteria, for Euiure.

9. The detailed analysis of the problems led to theidentification of a series of important principles andcriteria that need to be respected if the performance ofsector organisations is to be improved. The mostimportant principles are:

a) a reliable supply of adequate clean water cannot beprovided free to the consumers, rather, it iscommodity like food and must be obtained at areasonable price on a non-profit basis;

b) the price charged for water must at least cover thecost of producing and distributing it; ultimately itwill have also to cover the cost of capitalexpenditure and depreciation;

c) water and sanitation sector institutions must havefinancial and administrative autonomy;

d) organisational structures should be clu - .1 to suitthe set of tasks at hrrid;

e) tasks involving policy setting, regulation andcontrol of natural resources are best administered bystate authority while tasks involving the provisionof commercial services such as drinking and municipalwater and sewerage are best carried out by commercialundertakings.

10. Principles applicable especially for large urban areasemphasized that commercial tasks like the provision ofwater and sanitation services need a commercialenvironment for effective and efficient operations.Financial, administrative and personnel autonomy areessential.

11. Principles largely applicable to rural areas stress theinvolvement of communities, and especially of women, inthe building and maintaining of local water supply andsanitation systems.

12. On the basis of its reviews and analyses the Workshopagreed that future action programmes will have to beoriented towards:

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f) The Programme Coordination Unit (PCU), reporting tothe Permanent Secretary of the ministry responsiblefor local government, should have the important taskof assisting central and local government units inadopting structures, and operating procedures thatare in line with Principles and Criteria for ImprovedSector Performance, and to undertake preparatorystudies,

g) The PCU should also assist the Department of WaterAffairs in developing its capability to plan andorganise activities in support of environmentalprogrammes in respect of the national waterresources;

h) Thought should be given to the need to coordinate thereform programmes supported by the PCU through asteering committee.

i) The ministry in charge of local government shouldencourage and assist the District Council of Chipatato complete its reforms of the local water andsewerage activities; it should also supportinitiatives of other larger cities aiming atimprovements in effectiveness and efficiency in linewith the model offered by LWSC.

N MukutuCiJAIRMAH

National Workshop on Institutional Development of theWater Supply and Sanitation Sector in Zambia

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a) the strengthening of the state authority responsiblefor quantity and quality control in the water sectorinter alia by clarifying and enhancing its legal andmanpower basis so as to cover also control of groundwater, and due regard for environmental concerns;

b) improving the supply of safe drinking water and ofsanitation services both in large and smaller citiesby providing a suitable organisational framework forthese activities in accordance with commercialprinciples ;

c) developing a comprehensive rural water supply andsanitation programme geared to the special needs ofrural populations.

Recommendations

13. The Workshop adopted 14 recommendations which aresummarised below:

a) In order to improve the effectiveness and efficiencyof water supply and sewerage operations in Zambia,overall responsibility for these activities should beconcentrated, to the maximum extent possible, in asingle line ministry of GRZ;

b) The central state authority for water resourcesmanagement should be enhanced by adding to itsmandate responsibility for the regulation andmonitoring of ground water, of effluent waters, andfor appropriate contributions to nationalenvironmental programmes;

c) In order to increase the scope and effectiveness ofnational water resources management in the country,the line ministry which performs this task should befreed from all responsibility for any local drinkingwater schemes;

d) Responsibility for these institutional reforms shouldbe assigned to a single line ministry: the ministryresponsible for local government;

e) This ministry should be provided with a tn. forcestaffed with highly qualified local personnel whichwould be supported by international experts with aview to implementation of the necessary reformprogrammes;

NATIONAL WORKSHOP ON INSTITUTIONAL DEVELOPMENT OF LHE WATER

SUPPLY AND SANITATION SECTOR I_N ZAMBIA

SIAVONGA, ZAMBIA, 26 - 28 AUGUST 1991

I PREAMBLE

.1. In a National Workshop on the Institutional Developmentof the Water Supply and Sanitation Sector in Zambia,held in Siavonga from 26 to 28 August 1991, seniorrepresentatives from the Ministry of Water, Lands, andNatural Resources; the Ministry of Decentralisation anda number of District Councils; the Ministry of Financeand the National Commission for Development Planning;the Ministry of Labour, Social Services and Culture, ina joint effort undertaken together with representativesof the international donor community ( Germany throughGTZ and KfW; NORAD; Japan; and UNDP-World Bank) andother interested parties have thoroughly examined thesituation of the Water Sector in Zambia on the basis ofa Position Pap_r presented to the Workshop by theNational Action Committee for Water Supply andSanitation.

2. The Workshop was opened by the Hon. Mavis Muyunda MCC,MP, Minister of Water, Lands and Natural Resources. Inher opening address the Hon. Minister confirmed thecommittment of the GRZ to early institutional reformsin the water sector as a prerequisite to improvementsin the effectiveness and efficiency of organisationsnow engaged in the sector. The text of her statementis annexed to this report.

3. The representative of the Ambassador of the FederalRepublic of Germany, Mr F. Beimdiek, First Secretary,Economic Cooperation, then addressed the Workshopexpressing the interest of his own government and thatof other donors such as the European Community andNORAD, in the reforms, now to be decided on, as a basisfor continued assistance to the GRZ in this mostimportant sector.

4. The Workshop was chaired on the first day by theChairman of NAC and Permanent Secretary of the Ministryof Water, Lands and Natural Resources (Mr N Mukutu).On day 2 and day 3 the Workshop was chaired by theDeputy Permanent Secretary of Ministry of Works andSupply (Mr S A Sumbukeni).

5. The Rapporteur for the Workshop was the Director ofDecentralised Planning in the Ministry ofDecentralisation (Mr M E Longwe).

_ 2 - . ..•

The Rapporteur headed the Workshop Secretariat thatincluded the Director of Water Affairs (Mr L LMbumwae), the Workshop Moderator(Mr F v Mutius) and GTZ Consultant (Dr I L Nyumbu).

The working groups chose their own rapporteurs.Administration of the Workshop was entrusted toManagement Services Board (represented by Mrs B.Forster) and the Secretary of the National ActionCommittee (Mr M M T Mulipukwa).

6. The Workshop had the following objectives:

a) to review the major institutional, technical,financial and management issues which have affectedthe performance of the water and sanitation sectorin Zambia;

b) to agree on solution strategies and on a statementof the policies and long term aims on which theyare based;

c) to critically assess and agree on specificinstitutional options to be adopted in Zambia forthe management of the water and sanitation sector;

d) to agree on a proposal for the initiation of theagreed institutional development and theidentification of the specific financial, technicalstaff development, and management improvementsneeded;

e) to establish and agree on an Action Plan thatclearly sets out the specific actions to be taken,when they should be undertaken, and theinstitutions and/or individuals responsible;

f) to establish a mechanism for monitoring theimplementation of the Action Plan; and

g) to prepare formal recommendations on these mattersfor early decision and action by appropriateagencies of Government.

II BACKGROUND

7. In their deliberations the participants of the workshophave been guided, inter alia, by policy pronouncementspreviously formulated by the Government of the Republicof Zambia in respect of the Water Sector, as outlinedbelow:

• - 3 - • •

a) the stated goal of the Government to extend accessto safe drinking water supply and to provide basicsanitary excreta disposal to all the people ofZambia.

b) the needs recognised and the goals elaborated aspart of Zambia's Plan of Action for Water Supplyand Sanitation within the framework of the UNInternational Drinking Water Supply and SanitationDecade (IDWSSD, 1981-1990) aiming at the provisionof safe drinking water and sanitation for all bythe end of the decade;

c) the targets included in the Fourth NationalDevelopment Plan for Zambia (1989-1993) accordingto which all of the small urban townships withschemes supported by the Department of WaterAffairs and half of the rural populations shouldhave obtained safe water supplies by the end of theplan period.

d) recommendations from two consultativeorganised by NAC between 1984 and 1986 ano attendedby senior representatives of the Zambian Governmentand those of bilateral, multilateral agencies andnon-governmental organisations. Both consultativemeetings recommended, inter alia, a comprehensiveapproach to the development of the water andsanitation sector involving institutionalreorganisation, financial self-sufficiency throughuser cost recovery, promotion of communitymanagement and meaningful participation of women,appropriate standards and levels of service andtechnology choices, and human resourcesdevelopment;

e) the 1988 Reorganisation Study of the Water andSanitation Sector in Zambia implemented by theMinistry of Decentralisation with funding from theGerman Agency for Technical Cooperation (GTZ) andUNDP-World Bank;

f) Zambia's economic and financial policy frameworkwithin the Economic Recovery Programme for 1991 -1993 which lays emphasis on structural reforms,macroeconomic policies and fiscal and monetarypolicies, and whose objectives with respect toparastatal and public sector institutions being to:

i) improve efficiency of public sectorinstitutions;

1 r r M _

ii) strengthen management of public finances andimprove budgetary performance;

iii) enhance competition and efficiency ofparastatals through privatisation whereappropriate;

iv) enhance financial viability of parastatals;

v) improve delivery of social services includinghealth, education and, water supply andsanitation; and

vi ) enhance conservation of natural resources,including water, and protection of theenvironment.

g) the Social Action Programme (SAP), a major integralcomponent of the Economic Recovery Programme, whichis targetting improved access of services to thepoorest and most vulnerable group in ZambianSociety. For the water and sanitation sector, SAPhas emphasized not only rehabilitation of existingsystems, but also institutional reforms that laythe basis for sustainable development of water andsanitation facilities.

8. During their review of the situation and detailedexchanges of views and experiences the followinggeneral agreement emerged among the participants asregards the current situation of the Water Sec" i :

a) remarkable progress has been made over the last fewyears even under extremely difficult economicconditions. Throughout the country the situationhas improved compared to the mid-eighties. Withthe support of the international donor communityimportant steps have been taken to lay thefoundation for future effective progress in watersupply and sanitation for the capital city, and aconstantly growing proportion of the ruralpopulation now have access to safe drinking water.A number of larger and medium size cities arerecognizing the advantages of the new structure ofthe recently established Lusaka Water and SewerageCompany and are lauching various initiatives aimingin the same direction. (Ndola, Kitwe, Chipata).

_ 5 - . -. • •. . •.

b) in spite of these positive achievements a hugeprogramme of work remains to be accomplished ifadequate drinking water and sanitation facilitiesare to be available to Zambia's urban and ruralpopulations. For rural areas alone this wouldimply rehabilitation of about 3,500 existing wellsand boreholes not counting the need for some 7000additional new boreholes estimated to be required.

This compares with about 2,100 wells or boreholesrehabilitated or constructed up to the end of 1990under six major programmes. Health risks continueto loom in the cities as well as in the countryside. With the constant increase in the size ofurban populations the problems in the larger citiestend to grow at exponential rates. To enableprogress commensurate with the enormous size of thetask, a number of serious constraints andimpediments must be overcome as rapidly aspossible.

Ill REVIEW OF SECTOR PROBLEMS

General

9. Following the presentation of the background paper, thePlenary Session broke up into four working groups. Thegroups reviewed in detail the major problems orconstraints affecting the performance of the Water andSanitation Sector. The group reports were discussedfurther in plenary. Consensus was reached on tl ̂ „eysector problems and their effect on the performance ofthe sector. The results of this analysis and revieware summarised below:

Organisational Weaknesses

- there are problems with the definition ofresponsibility, authority, and accountability betweenand within the various sector organisations with aresulting weakness in the coordination and managementof the activities concerned;

- there are both gaps and duplications in legislation;

- frequently authority to decide on capital investmenton water and sanitation installations is not vestedin the organisations that are held responsible fortheir operation and maintenance;

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- coordination among central ministries, and betweenthem and local authorities is weak;

- sector organisations concerned with water supply andsanitation often cannot be managed properly for lackof adequate control over personnel and financialmatters;

- civil service type structures that are not suitablefor the performance of commercial services, almostwithout exception, are used throughout the country inproviding drinking water and sanitation; manyproblems besetting the sector can be traced back tothe failure to create and apply organisationalstructures that are appropriate to each of thedifferent types of functions that must be performedin the water sector;

- (of course, civil service type of structures may besuitable for the discharge of truly governmentalresponsibilities, su.̂ h as the setting of waterresources policy, overall water resources planningand monitoring, elaboration and control ofappropriate standards, licensing, inspectorate,etc... )

Financial Problems

- Constraints on government spending due to economicproblems during the past 10 to 15 years haveseriously reduced the value in real terms ofgovernment funds made available for water andsanitation programmes, like for all other publicservices; shortages of funds are such that oftenemployees do not get paid for several months, or thatthere is no money for electricity, water treatmentchemicals, or spare parts;

- financial policy in respect of capital expenditures,recovery of costs, etc, need elaboration;

- the true financial position is often not knownbecause accounting systems tend to be weak and notupdated;

- under existing financial arrangements revenuescollected often do not even cover the cost ofoperation and maintenance, not to mention the cost ofdepreciation and interest on loans;

- financial management is weak;

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- commercial thinking is missing;

- there is customer resistance to paying for waterbecause customers have not been billed in the pastand there are misplaced political concepts of free orheavily subsidized water;

- losses due to wastage and leakages account fc *- jp to75 percent of water produced in most schemes in thecountry;

- billing and revenue collection efficiency is low;consumers frequently are not forced to pay for theservices they receive; the government de facto isspending large amounts of public funds to subsidizeindividual customers to the detriment of other highpriority investments needed for the country as awhole;

- revenues actually collected frequently do not flowback to the entities responsible for the waterservices from which the revenue is derived; instead,this income is used to fill other financial gaps ofthe respective administration;

- tariff adjustment procedures do not produce theneeded improvements quickly enough to prevent theirimmediate erorion in the current high inflationeconomy ;

- tariffs normally do not cover the cost ofdepreciation and interest on loans;

- as a result, necessary expansions or rehabilitationsof installations are deferred for lack of funds,existing installations are run down and theircapacities severely reduced. There is a viciouscircle: the more installations are run down, the moredifficult does it become to collect money for theseunsatisfactory services; the less money is collected,the more these installations are run down.

Manpower Problems

- the application of civil service salary scales andrelated conditions of service for commercial typeactivities leads to a number of difficultiesincluding the ones set out in more detail below;

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- sector organisations suffer badly from shortages ofqualified managers, professional accountants andengineers; in some district councils vacancies inprofessional and technical positions reach 70 to 80percent of the total complement; positions at lowerlevels tend to be overstaffed;

- there are weaknesses in recruitment and promotionpractices;

- procedures for terminating contracts of staff withunsatisfactory performance are too long and toocomplicated; and moreover, often not understood;

- not enough use is made of new skills acquired bystaff who have received training;

- filled posts are frequently occupied by staff notqualified for the tasks assigned to them;

- partly because of the financial constraints mentionedabove staff discipline and employee morale andmotivation tend to be 1ow;

- training efforts frequently fail to produce thedesired impact for lack of suitable candidates;

- the national educational system does not produceenough professionals with the qualifications neededin the water sector.

Operation and Maintenance Problems

- Inadequate technical capacity typically results inpoor operations and maintenance of facilities:inadequate control of preventable water losses, highlevels of inoperative equipment and vehicles, andfaulty operation of equipment, thereby compromisingthe reliability of the services to be provided. Manyoperations sufrer from a lack of transport.

- Maintenance is made difficult by a lack ofconstruction data for water and sewerage mains andlines. There is a lack of preventive maintenancewith most serious and costly consequences. Equipmentis not standardised. There are no reliable suppliesof spare parts and chemicals.

10. The Workshop further made the following observationswith respect to specific areas of the sector:

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Urban Areas (LUAs)

- In the LUAs water supply and sanitation systems aregenerally old, overloaded, and unable to provide anacceptable service. The systems are in dire need of ;rehabilitation and expansion.

- Water supply service is worse off in the peri-urban . ,̂iareas where settlements have taken place in unplanned >manner and without corresponsding development ofsupply system (source, networks). Improving services !to these areas would require innovative approaches incommunity-based management as well as appropriatetechnology and service levels.

- The coverage of basic sanitary facilities and levels •of service are relatively lower than those for water "supply. Improvements in the provision of adequatesanitation will require a judicious mix oftechnologies and institutional structures to servethe wide range of users in LUAs; ~i

Rural Areas if

- Improvement in coverage and levels of service of ^water supply in rural areas is expensive and *generally unaffordable by the users becausesettlements are widely scattered and, in some areas ¿v;(such as parts of Southern Province), scarcity ofwater resources.

- Provision of basic sanitation will for a loni imeremain the responsibility of an individual household.Therefore promotion campaigns must be well targeted.Furthermore, centralised programmes do not have muchchance of succeeding.

- Rural communities have, to a large extent, failed tosustain the water supplies and sanitation facilitiesthat have been provided by Government. At the sametime budgetary pressures on Government is tconstraining support for operation and maintenance inrural areas. New strategies to address this problemare needed.

- The capacity of rural communities to manage their \water and sanitation facilities is, to a largeextent, constrained by inadequate support services(extension, training, spares) from Government. i

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Smaii Urban Townships (SUTs)

- SUTs display some of the problems common to LUAs andrural areas.

- Many SUTs collect very low revenues from consumers.The problems are mainly due to poor management, lowtariffs low billing and collection efficiency, andwater wastage and leakage.

- Levels of service provided in SUTs are often notcommensurate with the users' ability to maintain thefacilities with manpower available, nor with thefinancial capacity of the users to pay for theservices.

Sector Planning and Coordination

11. The Workshop observed that sector planning andcoordination is weak. There is no effective mechanismfor sector development and coordination because ofthe multiplicity of organisations responsible forsector activities, e.g. the Department of WaterAffairs, the district councils (55 in number), theBuildings Department and, to some extent, the Ministryof Health, and the Ministry of Labour, Social Servicesand Culture.

12. While the Ministry of Decentralisation has overallresponsibility over the councils, so far it has not,had an adequately staffed department at ministeriallevel to oversee planning in the councils. There isno capacity either for project appraisal or evaluationand monitoring. The Department of Water Affairs hasresponsility for only half of the water schemesthroughout the country; while the Buildings Departmentis responsible for water-bone sanitation in a few ofthe district councils.

13. Coordination of development of water and sanitation islimited because each ministry is, for all intents andpurposes, independent. Development plans aresubmitted independently to the National Commi~ .on forDevelopment Planning (NCDP). Coordination at thatlevel is more financial than physical, and invariablyit is an exercise in allocation of resources tovarious sectors. NCDP is responsible for coordinatingdevelopment in all sectors, but it has no specialisedin-house expertise for coordinating the development ofthe Water and Sanitation Sector.

• ; V .' ; • .• •• - 1 1 - . • ; •' ;

14. A small measure of sector coordination has been builtup by NAC over the years. However NAC remains sinceits establishment in 1980 merely an advisory bodywithout sufficient authority.

Example of Institutional Options

15. The Workshop welcomed the institutional developmentprocess already underway in Lusaka Urban and Chi pataDistrict Councils.

16. It was observed that Lusaka Urban District Council(LUDC) has, with technical assistance of GTZ,established an autonomous company, the Lusaka Water

-s and Sewerage Company (LWSC) to be responsible for,J provision and management of water supply and

sanitation services throughout the council area. LWSChas set up an organisational framework, finance andmanagement information systems, as well as manpowerdevelopment programmes which are a strong foundation ¡ifor a more effective provision of water supply and ¿sanitation services. This has attracted donor ftconfidence and LWSC has received financial andtechnical support for rehabilitation of the watersystem, expansion, and effective planning for futuredevelopment. A range of institutional options (e.g.satellite water supply schemes) is being developed to !;

meet the needs of various water user groups in thecity. ;

17. The Workshop was pleased to hear of significantimprovemnets in the financial performance of the waterand sewerage section in Chipata District Council.

v This confirms that with improvements in management,operational autonomy, coupled with technicalinterventions, even smaller councils are capable ofrunning their water supply and sanitation services ona self-sustaining basis.

IV KEY PRINCIPLES AND CRITERIA FOR IMPROVED SECTORPERFORMANCE '•",

18. During the examination of these various problems bythe participants, consensus emerged on the importanceof certain key principles that should guide the futuredevelopment of the Water Sector in Zambia if thedifficulties encountered in the past are to beovercome. They are set out below:

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General Principles

- a reliable supply of adequate clean water can jt befree for all, rather, is a commodity like food andmust be obtained at a reasonable price on a non-profitbasis;

- the price charged for water must cover the cost ofproducing and distributing it; initially this involvesthe cost of operation and maintenance of the requiredfacilities; ultimately, applying the principle of fullcost recovery, it will also have to cover the cost ofcapital expenditure and depreciation;

- institutions responsible for providing water supplyand sewerage services must have financial andadministrative autonomy (over tariffs, personnel,expenditures, revenues);

- the choice of suitable organisation structures foreach set of tasks is of the greatest importance;

- it is necessa.y to distinguish between tasks thatinvolve acts of state authority, such as policysetting, regulatory, and control functions on the onehand, and other taskr involving the production ofcommercial services such as the supply, distributionof drinking water and the provision of sanitationservices since each set of tasks calls for differentorganisational forms;

- inefficiency in water and sewerage operations andwater wastages must be overcome first of all byoperational improvements rather than by tariffincreases;

- coordination of all participating institutions on thebasis of agreed programmes is vital for the economicuse of scarce resources and the spreading ofexperience;

Principles largely appiicabie to Urban Areas

- commercial tasks need a commercial environment foreffective and efficient operations, including all ofthe fol lowing:

- flexible organisation structures evolving undercompany law;

• ; ' • • ':. - 1 3 - . ' ' ' . • .. .. ..,

- personnel statutes with conditions of servicepermitting the recruitment and retaining ofqualified professional and technical staff,providing the necessary positive and negativeincentives; '

- financial autonomy including pricing and tariffautonomy;

- capability to react quickly to challenges andproblems ;

- cost center accounting ensuring that all revenue••> collected is controlled and used exclusively by '."/'•..J the entity responsible for water supply and

sewerage and which is generating this income;

- access to necessary foreign exchange for thepurchase of supplies, spare parts, equipment and |services not found locally. |

- the appointement of qualified managers at all flevels is of the same high priority as the %introduction of effective financial, personnel and Jtechnical management systems improvements.

Principles largely applicable to Rural Areas ;

- management of water supply and sanitation sho'Jld beentirely community based; .••'••

- communities in rural areas, especially women, should ;be involved in the planning, implementation andoperation stages of water supply and sanitationsystems ;

- the choice of technology should be appropriate to theabi1 ity/affordabi1 ity of the community;

- communities should contribute in cash/kind to the jconstruction of facilities. O & M should be fully 1borne by community members; ï

- technical, financial and training support forconstruction and some elements of maintenance shouldbe provided by the Government;

- priority support should be given to projects that areformulated on self help basis;

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Orientation of future Action Programmes

19. Considering the declared goals for the Water Sector,the nature of the problems identified, and the guidingprinciples set out above the Participants in thisWorkshop are agreed that the resolution of the enormousremaining problems requires dedication to change,desire for full cooperation, readiness to takedecisions, comprehensive programme approaches, optimalutilisation of all available resources, carefulmonitoring of progress, and large scale support by theinternational donor community.

20. On the basis its of reviews and analyses the Workshopagreed that future action programmes will have to beoriented towards:

' ) ' • • • ' ' ' ' • • • '

•- the strengthening of the state authority responsiblefor quantity and quality control in the Water Sector,inter alia, by clarifying and enhancing its legalbasis so as to become responsible also for thecontrol of private and ground water; by improving itsjurisdictional, technical and administrative capacityto control discharges into water resources; byproviding it with qualified professional staff andthrough other appropriate meausures to enable it itto set and monitor standards for the quality ofdrinking water and the level of sanitation services,and to develop overall water and sanitation policieswith due regard for environmental concerns;

- improving the supply of safe drinking water and ofsanitation services in the large cities by providinga suitable organisational framework for theseactivities in accordance with commercial principles,by granting them financial and aministrativeautonomy, by equiping them with appropriate personnelemployment conditions, by granting them authority toadjust tariffs as neccessary to recover the cost ofoperation and maintenance of their plant andfacilities, by facilitating their access to theforeign exchange needed to run and maintain theiri nstal1ations.

- improving water supply and sanitation services forthe smaller cities essentially by the same type ofmeasures, while in addition organising appropriatedecentralised technical and administrative supportstructures which on a reimbursable basis, may providetechnical, financial and administrative services thatit would not be economical to develop and operate foreach of them individually.

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- developing a comprehensive rural water supply andsanitation programme encompassing in a general wayall means of action required to bring aboutsustainable progress for the rural populations withparticular emphasis on decentralised technical andself help and related revenue generating measures.

f RECOMMENDATIONS

21. In order to improve the effectiveness and efficiencyof water supply and sewerage operations in Zambia,overall responsibility for these activities should beconcentrated, to the maximum extent possible, in asingle line ministry of GRZ;

22. The central state authority for water resourcesmanagement should be enhanced by adding to itsmandate responsibility for the regulation andmonitoring of ground water, of effluent waters, andfor appropriate contributions to nationalenvironmental programmes;

23. In order to increase the scope and effectiveness ofnational water resources management in the country,the line ministry which performs this task (MWLNR)

Ishould be freed from all responsibility for any local «drinking water schemes;

24. Responsibility for these institutional reforms shouldbe assigned to a single line ministry: the ministryresponsible for local government;

25. In order to facilitate the task of this ministry, itshould be provided with a task force staffed withhighly qualified local personnel which would besupported by international experts to enable itimplement of the necessary reform programmes;

26. This high level Programme Coordination Unit (PCU)should report to the Permanent Secretary of thministry responsible for local government;

27. One of the most important tasks of the PCU should beto assist central and local government units inadopting structures, and operating procedures thatare in line with Principles and Criteria for ImprovedSector Performance identified and endorsed by theNational Workshop on the Institutional Development ofthe Water Sector (Siavonga, 26 - 28 August 1991);

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28. Further important tasks of the PCU would be toundertake or commission studies in areas wherepresent knowledge and information is not sufficientto take rational decisions;

29. Furthermore the PCU should assist in assessinginvestment needs of the sector organisations togetherwith their relative priorities, and in this contextmaintain close liason with interested donors;

30. Thought should be given to the need to coordinate thereform programmes supported by the PCU through asteering committee composed of the permanentsecretaries, or their immediate representatives, ofthe line ministries most directly affected by theseinstitutional reforms;

31. The ministry in charge of local government shouldencourage and assist the District Council of Chipatato complete its reforms of the local water andsewerage activities by forming a local water dsewerage company along the line of the LWSC so as toenable other cities of a similar size to profit fromthe experience of this pilot project;

32. Similarly this ministry should support initiatives ofother larger cities aiming at improvements ineffectiveness and efficiency in line with the modeloffered by LWSC.

33. The Workshop recommends adoption of the Action Planannexed to this report.

..(. M^yy.....N Mukutu M -E LongweCHAIRMAN RAPPORTEUR

National Workshop on Institutional Development of theWater Supply and Sanitation Sector in Zambia

Siavonga, Zambia

30 August 1991

ANNEXES

ANNEX I - Action Plan

ANNEX II - Opening Adress by Hon. Mavis Muyunda MCC, MP,Minister of Water, Lands and Natural Resources

ANNEX III -

ANNEX IV

ANNEX V

Adress by the Representative of the Amba^: dorof the Federal Republic of Germany

List of Participants

Workshop Programme

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ANNEX I

ACTION PLAN

The participants adopted the following action plan:

1991 :

- NAC reviews the Workshop report and present itsconclusons and recommendations to the governmentministries concerned;

- DWA/MWLNR transmits the whole Workshop Report andNAC's conclusions and recommendations to all WorkshopParticipants;

- A programme coordination unit (PCU) to support theinstitutional reforms identified by the Workshop willbe established in the government ministriesresponsible for local government;

- Interested donors will be contacted to support thesector reform programme;

- MOD transmits the Workshop Report together withNAC's conclusion and recommendations to all localgovernment authorities encouraging them to implementthe recommendations contained therein;

- MOD specifically encourages the Chipata DistrictCouncil to implement those Workshop recommendationsthat aim at formulating local water companies underprivate law, taking advantage of the authority to thiseffect vested in District Councils under LocalAdministration Act 15 of 1980;

1992

- The PCU prepares its own programme of work for 1992and 1993;

- The PCU, in consultation with the line ministriesconcerned, prepares recommendations for a preliminaryprogramme of reorganisation of the Water Sector;

- The P.C.U in coordination with the Social ActionProgramme, begins elaborating a preliminary sectoralinvestment programme;

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The P.CU identifies necessary studies and starts themost urgent ones such as those concerning:

- changes in legislation;

- organisation and manpower;

- financial policy and management framework;

- tari ff pol i cy;

- human resources development;

- rural water supply strategy;

ANNEX IV

PARTICIPANTS LIST

Hon. Mavis L MuyundaMCC, HPMinister of Water, LandsNatural Resources

Mr N. MukutuPermanent SecretaryMinistry of Water, Lands & Natural ResourcesF 0 Box 30055

Mr S A Sumbukeni,Deputy Permanent Secretary,Ministry of Works and Supply,P 0 Box 50236,LUSAKA.

Mr M C Soko,Director, Economic and Technical Cooperation,Ministry of Finance and NCDP,P 0 Box 50268,

Mr. E.P Katati,Commissioner,Department of Social Development,P 0 Box 31958,

Mr. B.D AroraBuildings Department,P 0 Box 50600,

Dr. Schaefer,UNZA (Civil Engineering Department),P 0 Box 32379,LUSAKA^

Mr S T Chisanga,Chief Health Inspector,Ministry of Health,P 0 Box 30205,LUSAKA^

Ms D Muntemba,Women in Development Department, NCDPP O Box 50268,LUSAKA.

Major M. Sinkolongo,Development Secretary,Lusaka Urban District Council,P O Box 30251,LUSAKA.

Mr. E. Nyirenda,Lusaka Water and Sewerage Company,P O Box 50198,LUSAKA.

Mr. J E Hendrich,Managing Director,Lusaka Water and Sewerage Company,P O Box 5019b,LUSAKA.

Mr. C Mwansa,Director, Water & Sewerage Dept.Ndoia Urban District Council,P 0 Box 70197,NDOLA.

Mr. H L Y Zimba,Development Secretary,Kitwe District Council,P O Box 22495,KITWE.

Mr. B Ngalande,Development Secretary,Kabwe Urban District Council,P O Box 80424KABWE.

Mr. R N Silungwe,Resident Engineer,Chingóla Urban District CouncilP 0 Box 10104,CHINGÓLA.

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Mr. M Lukonga,Act. Development Secretary,Livingstone Urban District CouncilP 0 Box 60029,LIVINGSTONE.

Mr. T Chakopo,Development secretary,Chipata District CouncilP 0 Box 510020,CHIPATA.

Mr. Campbel1,GKW Consultants,1549 Msafusa Road,P O Box 510667,CHIPATA.

Mr. P A Zulu,Provincial Water Engineer,North-Western Province,P 0 Box 110142,SOLWEZI.

Mr G M Mukongolwa,District Executive Secretary,Mongu District Council,P 0 Box 910026,MONGU.

Mr M D Patel,Ministry of Decentralisation,P 0 Box 50027,LUSAKA.

Mr. M M T Mulipukwa,Secretary of NAC,Department of Water Affairs,P 0 Box 50288,LUSAKA.

Mr. L L Mbumwae,Acting Director,Department of Water Affairs,P 0 Box 50288,LUSAKA.

Mr. W C Shawa,ADB Project Manager,Lusaka Water and Sewerage Company,P 0 Box 50198,LUSAKA.

Mr. G M Silondwa,Development Secretary,Mansa District Council,P 0 Box 710001,MANSA.

Dr I Nyumbu,Consul tant,Project Coordination Unit,National Water & Sewerage Corporation,P 0 Box 7053,Kampala,UGANDA.

Mr M E Longwe,Director of Decentralised Planning,Ministry of Decentralisation,P O Box 50027LUSAKA.

Mrs B N Sikanyika,Provincial Secretary,Women's League,UNIP,Freedom House,P 0 Box 30302,LUSAKA

Mr. 0 C Skaiaa,Consulting Engineer (to NORAD),Gicon A/S,NORWAY.

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Mr. T Yajima,Training Officer,Japan International Cooperation Agency,P 0 Box 30027,ULSA&/U

G SchultzbergSector Planning EngineerUNDP/World Bank RWSGP 0 Box 30577HAlßüßJL

""> Mr S Skarstol,Senior Water Engineer DWA,Department of Water Affairs,P 0 Box 50288,

Mr. G Neubauer,KFW,Head of Division "Water Supply,Sanitation, Public Health,EBAHKEUEL

Mr. U v SwieykowskiSenior Economist, Responsible forProjects in Zambia,KFWFRANKFURT.

Mr F v MutiusModeratorMJIEJUJUEIH

Mr E DoeringTechnical AdvisorGTZ Headquar tersES.CHBQBH

Hr E A MomberSection ManagerZambia, ZimbabweSouthern Africa DivisionGTZESCHBOBIl

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Dr. K ErbelHead of Division "Water,Waste Disposal, Conservationof Resources"GTZfiSCHBQJBR

Dr. B JansenEconomic Advisor to GTZBERLIN

Mr AARNESSen. EconomistNORADRoyal Nor. EmbassyP 0 Box 34570LUSAKA.

Mr F BeimdiekFirst Secretary, Ec. CooperationGerman EmbassyLUSAKA

Mrs B ForsterCo-ModeratorManagement Services BoardP 0 Box 50995LUSAKA

Mr H MufayaWater Engineer,Siavonga District,SlAYÜHíiA

ANNEX V

WORKSHOP PROGRAMME

1. DATE: 26 - 28 August 1991

2. VENUE: Siavonga, Zambia

3. PROGRAMME:

SUNDAY. 25 August 1991 :

Travel to SiavongaRegistration of participants

MONDAY. 26 August 1991:

08:00 - 08:45 Registration

Plenary Session

09:00 - 12:30 Chairman's Welcome RemarksOpening Address by Minister of Water, Landsand Natural ResourcesOpening Remarks by Representative of GermanEmbassyKeynote Address by Chairman NACMethodology by ModeratorTea/Coffee Break (10:30)Various Progress Reports

Formation of four working groups

12:30-14:00 Lunchbreak

14:00 - 1700Group Session: Problem analysis by major issues

Symptoms and root causes (matrix);conditions for improved performance ofsector organisations (draw on examplesin progress report)

Tea Break

Groups finalise reports

• • ; • . • - 2 - . " . • : . - .

TUESDAY. 27 August, 1991

08:30 - 11:00

Plenary Session: Groups report on Problems Analysis

Discussion of Group Reports and Agreement on Key SectorIssues and Conditions and Criteria for ImprovedPerformance of Sector Organisations

•> 11:00-12:30

Group Session^ Principles and Criteria for EffectivePerformance of Sector Organisations;

- Distinction between governmentalfunctions and Commercial Services;

- Large Urban Areas;

- Small Townships and Rural Areas;

Coordination of InstitutionalDevelopment;

Groups prepare reports withrecommendations for changes

12:30 - 14:00 Lunch" • \ r • . . .

14:00-17:00

Plenary Session: Groups report recommended changes;

Discussion of Group Reports withIdentification of Options for futureInstitutional Framework;

Tea Break 15:30

Secretariat prepares Summary Report

« i» *

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WEDNESDAY. 28 August 1991

08:30-10:00

Plenary Session: Secretariat presents draft Summary onKey Sector issues (based ondiscussion in Plenary on Tuesdaymorning) and on Options for futureInstitutional Framework (based ondiscussion in Plenary on Tuesdayafternoon).

Discussion and Comments

Tea Break

10:15-11:45

Group Session :

11 : 45 - 13:00

Plenary Session:

13:00 - 14:00

14:30-15:00

Plenary Session:

Priorities for Action in DifferentParts of the Sector

- Coordination of InstitutionalDevelopment (ProgrammeImplementation Arrangements);

- Large Urban Areas;- Small Townships and Rural Areas;- Governmental functions and

Commercial services;

Groups report on Priority ActionPlenary Discussion of Group Reports

Lunch Break

Secretariat presents Draft WorkshopConclusions

Discussion of Draft WorkshopStatementAdoption of Workshop Statement

Formal Closing Session

te

THURSDAY 29 August 1991

Departure of participants other than Members of theSecretariat, Chairman, and Rapporteur

> Secretariat finalises Reports;

- Workshop Conclusions I

- Action Plan ||

FRIDAY 30 August 1991

Review and Approval of Workshop Reports by the Workshop ¿fChairman and Rapporteur H