WATER COMPANIES REST

closed

The Water Companies Restructuring and Modernization Project objectives are to assist the government to: (i) increase the corporate autonomy and commercial orientation of the regional water and sewerage companies (RWCs) and make their management accountable to local authorities; (ii) improve health and environmental conditions in urban areas and conserve water resources; (iii) increase operating efficiency and cost recovery in RWCs; and (iv) demonstrate the feasibility and benefits of introducing transparent procurement procedures, efficient contract management, and competition for supply of goods, works, and services. The project comprises two major components: (i) the institutional strengthening window; and (ii) the priority water and sewerage investments window. The institutional strengthening window includes: RWCs capacity building through in-country training and provision of technical assistance; carrying out a study of options for improved management of water resources; strengthening and providing technical assistance to the Project Management Unit that has been set up by the Ministry of Regional Development and Construction; and enhancing RWCs investment planning capability and construction supervision. The priority water and sewerage investments window includes, in-turn, two components: the completion and rehabilitation window and the non-revenue water reduction window. The project completion/rehabilitation window will fund completion of ongoing investments that have high rates of return, and rehabilitation and upgrading of facilities. The non-revenue water reduction window will respond to the emerging incentives for water companies to reduce water losses and to improve their operating efficiency.