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)
Technology Grid or
Integrated production
employed
network
/ generation with
transmission /
distribution
Point
Own source, fixed
source
location vendor
Mobile
Own source, mobile
distribution vendor
Dependent
(Intermediate provider)
Purchasing water and
on-selling through minigrid / network
Connected to utility fixed
location 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
Owner
Community or Municipality / Local government
Corporate
oversight
Water use association
Water board
Municipal
department
Operations
Water use Delegated
association private
operator
Water
board
Municipal
department
Delegated
private
operator
Municipal
Private management
management
Utility
management
Small private
company
State or
regional
company
Delegated
private
operator
Small private
company
State or
regional
company
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
Source
Management model
Management models for urban and small towns in Ghana
Self supply
Private
management
Intermediate
private
providers
Household
system
GWCLs
ystem
GWCL/AVRL
management
Independent
private
providers
Private
system
GWCL
system
Urban Water
Board
Community management
Bulk water
supply
Direct
WSDB
GWCL system,
through tanker
GWCL
system
Direct
WSDB,
with
WATSAN
GWCL
system
COM
system
Direct
WSDB,
without
WATSAN
COM
system
WSDB
with PO
COM
system
Sub-sector
Management model
Management models for urban and small towns
Self supply
Private management
Intermediate
private
providers
Urban
Independent
private
providers
GWCL/ AVRL
Utility management
management
Community management
Direct
WSDB
Water
Board
With
watsan
WSDB
with PO
Without
watsan
Small
towns
Support
Ghana management models – Support roles
GWCL/AVRL
Private
management
Ownership
GoG/GWCL
Private
Facilitation
GWCL
Implementation
GWCL/AVRL
Private
Regulation:
tariff setting
PURC
Private
Type of Model
Regulation:
standard of service
PURC
Self supply
Community
managed,
rural
Community
managed,
urban
Private
DA
GWCL/AVRL
CWSA
GWCL/AVRL
DA
GWCL/AVRL
DA
AVRL?
DA
AVRL?
Private
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
Management model: GWCL/AVRL management
Regulation
PURC
Ownership
GWCL
Management and operations
AVRL
Clients
5 year Management contract
Reports
Money flows
Management model: Intermediate service providers
Ownership
GWCL
Management of supply
Operations of supply
Management and Operations
AVRL
transport
Tanker
Pay in bulk
Ownership, Management and
operation of selling point
Water
vendor
Pay in bulk
Pay as you fetch
Management contract
Reports
Money flows
Clients
Clients
Management model: AVRL tanker services
Ownership of supply system
Ownership of selling point
GWCL
AVRL (East Accra Regional Office)
Management and operation
of supply
Distribution
Service fee
Tanker
Pay per supply
Waybill
Management of selling point
Coordinator
Pays per supply
Operation of selling point
Contract
Water vendor
Pay as you fetch
waybill
Money flows
Clients
commission
Management model: Urban Water Management Board
Regulation and tariff setting
for the bulk water supply
PURC
Ownership and oversight of the
(bulk) supply system
GWCL
Management and operations
of (bulk) supply system
AVRL
Per supply
transport
Oversight and Management
of the selling points
O&M of selling point
Tanker
Salary
Water Board
Per supply
Water vendor
Management contract
Pay as you fetch
Money flows
waybill
Clients
Management model: Small scale independent producers
Ownership, Management and
operation
SSIP
Pay as you fetch
Clients
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
Management model: Direct WSDB management with watsan
Facilitation
Ownership and regulation
Management, Sanitation and
hygiene education
Operations
CWSA Regional
office
MMDA
WSDB
•Operations account
•Capital account (at least 20% of
monthly net revenue)
•Sanitation account: (at least 10% of
monthly net revenue)
Operating staff
Monthly
water bills
Reports
Money flows
(S)Elects representatives
Clients with HH
connection
Monthly transfer
of revenues
Watsan
Daily submission
of revenues
20% commission
Water vendors
Pay as
you fetch
Standpost clients
Management model: Direct WSDB management without watsan
Facilitation
Ownership and regulation
Management, Sanitation and
hygiene education
Operations
CWSA Regional
office
MMDA
WSDB
•Regular account
•Replacement account
Operating staff
Monthly
water bills
Reports
Money flows
EVORAP Project
staff
Clients with HH
connection
20% commission
Water vendor
Pay as
you fetch
Standpost clients
Management model: WSDB management with delegated operations
(Public-Private Partnership)
Facilitation
Ownership and
regulation
CWSA Regional
office
MMDA
15% to replacement
and rehabilitation
account
Management
sanitation and
hygiene education
Operations
WSDB
10% to sanitation and
hygiene account
Private operator
O&M account: 75% of
revenues
Monthly
water bills
5 year O&M contract agreement
Reports
Money flows
(S)Elects representatives
Watsan
Clients with HH
connection
Water vendor
(keeps 20% of income)
Pay as
you fetch
Standpost clients
Management model: WSDB management with delegated operations in the
Three District Water Supply Scheme
Facilitation
CWSA Regional
office
Ownership and
regulation
3 DAs
2% to sanitation account
3% to replacement account
Management
sanitation and
hygiene education
Operations
WSDB
3% to O&M (from
bulk water meter)
2% to WSDB
allowances
Private operator
O&M account: 70% of
revenues
Monthly
water bills
5 year O&M contract agreement
Reports
Money flows
(S)Elects representatives
Watsan
Clients with HH
connection
Collected money
Water vendor
20% commission
Pay as
you fetch
Standpost clients
Management model: Direct WSDB management with bulk supply
Ownership, management and
operations of bulk water supply
GWCL
AVRL
Bulk water bill
Ownership and regulation of
distribution
MMDA
Water Council
Management of distribution
Operations of distribution
Watsans
WSDB
Operation unit
Water vendor
(keeps 20% of revenues)
MOU
Reports
Money flows
(S)Elects representatives
Monthly
water bills
Clients with HH
connections
Pay as
you fetch
Standpost clients
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?