Part 1 Project Formulation Final Final v15

PROJECT FORMULATION REPORT PART 1 - MAIN REPORT
FINAL
TA2009019 R0 PPF
Project Formulation for scaling up the Lake Victoria Water and Sanitation Initiative
The technical assistance operation is financed under the EU ACP Water Project Preparation Facility August 2012
I R X I M X M A T A R T I R T I X T N E M P L T A N T S R U S N O O T I R T D C E V E L T A M X A M X I A M X I R R M I R T I T R A T A A T A M T R X I M A R X A T I M A R X M M T I A R T R X X
WS Atkins International Ltd in association with Matrix Development Consultants
European Investment Bank
Project Formulation Report Main Report
Notice
This document and its contents have been prepared and are intended solely for the European Investment Bank solely for the purpose of presenting our Initial Findings Report to the Project Formulation Study for Scaling up the Lake Victoria Water and Sanitation Initiative. It may not be used by any person for any other purpose other than that specified without the express written permission of WS Atkins International Limited (Atkins) and Matrix Development Consultants Ltd. Any liability arising out of use by a third party of this document for purposes not wholly connected with the above shall be the responsibility of that party who shall indemnify WS Atkins International Limited (Atkins) and Matrix Development Consultants Ltd against all claims costs damages and losses arising out of such use. The authors take full responsibility for the contents of this report. The opinions expressed do not necessarily reflect the view of the European Union or the European Investment Bank. Document History JOB NUMBER: 5099279 Revision Purpose Description Originated 0 1 2 3 4 Draft / Unreviewed for information only Draft for client review Draft for joint mission Final Draft Final RS CH RS RS RS DH CH CH CH MW MW MW MW PS PS PS PS 27.05.11 22.09.11 26.02.12 17.08.12 DOCUMENT REF: 5099279/70 Checked Reviewed Authorised Date
5099279/70/003/Main Report - Final
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Table of Contents
Section Page
Contents
Acronyms and Abbreviations 1.0. Executive Summary 1.0.1. Introduction 1.0.2. Proposed Medium Term Investment Programme 1.0.3. Formulation of Priority Short Term Investment Programme 1.0.4. Financial and Economic Analysis 1.0.5. Implementation 1.1. Introduction 1.1.1. Background 1.1.2. LVWATSAN Objectives 1.1.3. Threats to Lake Victoria Ecosystems 1.1.4. Project Formulation Study Objectives 1.1.5. Stages of Project Formulation Study 1.1.6. Structure of the Report 1.2. Policy Background 1.2.1. National Policies and Sectoral Strategies 1.2.2. Water Sector Reforms 1.2.3. Water and Sanitation in National Sectoral Budgeting 1.2.4. Utility Performance Monitoring 1.2.5. Tariff Levels and Structures 1.2.6. Environmental Management of the Water & Sanitation Sector 1.3. Medium Term Investment Options by Location 1.3.1. Kisumu 1.3.2. Mwanza 1.3.3. Musoma 1.3.4. Bukoba 1.3.5. Mwanza Satellite Towns 1.3.6. Summary of Medium Term Investment Costs 1.4. Environmental and Social Screening 1.4.1. Introduction 1.4.2. Principal Impacts of Proposed Interventions 1.4.3. Other issues 1.4.4. Mitigation 1.4.5. Environmental Monitoring 1.4.6. Climate Vulnerability 1.5. Economic and Financial Assessment 1.5.1. Current Financial Position of the Water and Sewerage Service Providers 1.5.2. Current Financial Position of the Local Authorities 1.5.3. Benefits of Potential Interventions 1.5.4. Incremental Financial Impact of Potential Interventions 1.5.5. Ability and Willingness to Pay 1.5.6. Economic Analysis of Potential Interventions
5099279/70/003/Main Report - Final Page ii
iv 1 1 1 2 5 5 7 7 11 12 13 14 14 16 16 16 18 21 23 24 31 31 41 50 55 60 62 63 63 65 70 70 71 71 72 72 73 74 75 81 82

1.5.7. 1.6. 1.6.1. 1.6.2. 1.6.3. 1.7. 1.7.1. 1.7.2. 1.7.3. 1.7.4. 1.8. 1.8.1. 1.8.2. 1.8.3. 1.8.4. 1.8.5. 1.8.6. 1.8.7. 1.8.8. 1.8.9. 1.9. 1.9.1. 1.9.2. 1.9.3. 1.9.4. 1.9.5. 1.9.6. 1.9.7. 1.9.8. 1.9.9. 1.9.10. 1.9.11. Conclusions of financial and economic analysis Prioritisation of Options for Immediate and Short Term Introduction Refinement of Investments Options Overall Short Term Programme Costs Implementation of Short-Term Investment Programmes Tanzania Kenya Implementation Schedule Main Programme Risks Provision of Improved Sanitation Introduction Component 1 - Household Sanitation Options Component 2 - Communal and Public Latrines Component 3 Sanitation Promotion and Improved Hygiene Behaviour Component 4 - Servicing of On-site Sanitation Component 5 Sewerage and Wastewater Disposal Institutional Aspects Approach to Implementation of the Sanitation Strategy Infrastructure Led Upgrading Capacity Building Main Objective Specific Objectives Organising Framework Approach Operational Support NRW Reduction Strategy Revenue Generation Authority Work Processes Areas for Support Urban Planning Implementation Approach 91 92 92 93 94 97 97 100 102 104 108 108 110 114 115 117 122 122 124 126 131 131 131 131 132 134 138 139 141 143 143 144
Appendices
A1 A2 A3 A4 A5 A6 A7 A8 ILU Case Studies Capacity Building Methodology Training Components ILU Logframe Technical Capacity Gaps Utility Partnering Proposal DUNEA / MWAUWASA Master List of Proposed Intervention by Location and Sector Project Status Report
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Acronyms and Abbreviations

ADF AFD AfDB AGR AWF BoQ BUWASA CBD CBO CDM COWSO CP CR CSP CTI DEWAT DER DMM DP DSC DWF EAC EACAC EACCCP EIRR EIB ESMP ETA EWURA / EUWRA FOs ha IA GoB GEF GoK GoT GIZ (GTZ) African Development Fund Agence Franaise de Dveloppement African Development Bank Annual Growth Rate Africa Water Facility Bill of Quantities Bukoba Water and Sewerage Authority Central Business District Community Based Organisation Clean Development Mechanism Community Owned Water Supply Organisation Collection Period Current Ratio Country Strategy Paper Percentage Contribution to Investment Decentralised Waste Water Treatment Tank Debt Equity Ratio Delegated Management Model Development Partners Debt Service Coverage Ratio Dry Weather Flow East African Community East African Community Audit Commission East African Community Climate Change Policy Economic Internal Rate of Return European Investment Bank Environmental and Social Management Plan Extraordinary Tariff Adjustment Energy and Water Utilities Regulatory Authority Field Offices Hectare Implementing Agency Government of Burundi Global Environment Facility Government of Kenya Government of Tanzania German Technical Cooperation Page iv Partner States LVWATSAN MCC M&E MDGs MIG MTP MoU MSF NBS NSGRP mASL MoPH&S MUWASA MWAUWASA MWI / MoWI NA NGO KWSDP Lcd LGA LIA LTAP LVB LVBC LVEMP LVSWSB KIWASCO KMC KPIs KWFT GWA ILO JICA KfW KISWAMP Gender and Womens Alliance International Labour Organisation Japan International Cooperation Agency German Government Development Bank Kisumu Integrated Sustainable Waste Management Programme Kisumu Water and Sewerage Company Kisumu Municipal Council Key Performance Indicators Kenya Women Finance Trust Kenya Water Sector Development Programme Litres per capita per day Local Government Authority Low Income Area Long Term Action Plan Lake Victoria Basin Lake Victoria Basin Commission Lake Victoria Environmental Management Programme Lake Victoria South Water Services Board Lake Victoria Water and Sanitation Initiative Mwanza City Council Monitoring and Evaluation Millennium Development Goals Medium Income Group Medium Term Programme Memorandum of Understanding Multi Stakeholder Forum National Bureau of Statistics National Strategy for Growth and Poverty Reduction Metres above sea level Min. of Public Health and Sanitation Musoma Water and Sewerage Authority Mwanza Urban Water and Sewerage Authority Ministry of Water and Irrigation Not Applicable Non-Governmental Organisation The 5 member states of the East African Community, namely

Burundi, Kenya, Rwanda, Tanzania & Uganda Primary Education Development Programme Operation & Maintenance Operating Ratio Project Affected Person The United Republic of Tanzania Return On Equity Regional Public Good Regional Policy Steering Committee Return On Net Fixed Assets Regular Tariff Adjustment Rapid Sand Filter Small and Medium Enterprise Swedish International Development Cooperation Agency Sustainable Aid in Africa Staff Productivity Index Short Term Action Plan Short Term Interventions Sector Wide Approach to Planning Terms of Reference Unaccounted for Water UWSA WASREB WASSIP WATSAN WB WHO WR WSB WSDP WSP WSTF WWTP WTW UA UNEP UNFCCC UNHABITAT UOC USAID USD Unit of Account United Nations Environment Program UN Framework Convention on Climate Change United Nations Human Settlements Programme Unit Operational Cost The United States Agency for International Development United States Dollar Urban Water and Sewerage Authority (Tz) Water Services Regulatory Board Water Supply and Sanitation Service Improvement Project Water and Sanitation World Bank World Health Organisation Working Ratio Water Service Boards Water Sector Development Programme Water and Sanitation Programme Water Services Trust Fund Wastewater Treatment Plant Water Treatment Works
PEDP O&M OR PAP RoT RE RPG RPSC RR RRTA RSF SME SIDA SANA SPI STAP STI SWAP ToR UFW
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References
1. The United Republic of Tanzania (2010) - Water Sector Status Report 2010, Ministry of Water and Irrigation 2. The United Republic Of Tanzania (2006) - Ministry of Water Mkukuta Based MDG Costing For The Water And Sanitation Sector - Final Report - Dar Es Salaam April 2006 3. The United Republic Of Tanzania (2006) - National Water Sector Development Strategy 2006 to 2015 4. WASREB (2010) - IMPACT: A performance Report of Kenyas Water Services Sub-Sector, Issue No. 3, October 2010. 5. GoK (2007) - Kenya Vision 2030, the Popular Version, July 2007 6. GoK (2010) - Medium Term Expenditure Framework 2011/12 - 2013/14 7. Environment, Water And Irrigation Sector Report 2010, January 2011 8. MWAUASA (2010) - Business Plan, July 2010 - June 2013, July, 2010 9. KIWASCO (2010) - KIWASCO, Water Demand Management Policy and Strategy, 26 April 2010 10. WASREB (undated) - Tariff Guidelines 11. World Bank (2010) - Tanzania: Public Expenditure Review (PER) of the Water Sector, June 2010 12. Report Mwanza Urban Water Supply & Sewerage Authority, Improvement of Water Supply in Mwanza City, Final Detailed Design Report Don Consult ,believed to be issued in January 2012 13. Report Mwanza Water and Sanitation Project Impact Study dated June 2004, Volume 1 Report and Volume 2 Annexes; C Lotti and GKW 14. Final Design Report, Mwanza Water Supply Project Phase II Sewerage, Undated soft copy believed to be 2009; Poyry, C Lotti and Interconsult 15. AAAS (1998) Water and Population Dynamics: Case Studies and Policy Implications. Overview: A Drop to Drink? Population and Water Resources: Illustrations from Northern Tanzania (Zaba, B and Mdulu, N) 16. JICA website: http://www.jica.go.jp/tanzania/english/activities/water_06.html Accessed 10 Feb 2011 17. Madulu N (2000) Changing Water Needs and Uses in Rural Communities of Mwanza Region, Tanzania 1st WARFSA/WaterNet Symposium: Sustainable Use of Water Resources; Maputo, 1-2 November 2000 18. http://haroldmtyana.blogspot.com/2011/08/propoesed-solution-of-water-problem-in.html Accessed 10 Feb 2011 19. United Republic of Tanzania Mwanza Region Socio-Economic Profile (1997). Joint Publication by The Planning Commission Dar Es Salaam and Regional Commissioners Office Mwanza 20. Kisumu Water and Sanitation Project - Short Term Action Plan (STAP) - Final Design Report - June 2005, Seureca / CAS 21. Kisumu Water and Sanitation Project Long Term Action Plan Water Supply Proposal Design Report October 2008 Otieno Odongo & Partners 22. Kisumu Water and Sanitation Project Long Term Action Plan Sewerage Design Report October 2008 Otieno Odongo & Partners 23. Kisumu Water and Sewerage Company Water Demand Management Policy and Strategy (for UNHABITAT) COBENG - April 2010
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24. Kisumu Water and Sewerage Company Water Demand Management Business Plan (for UNHABITAT) COBENG - April 2010 June 2010 25. Pre-Appraisal Of Operation Lake Victoria WATSAN - Mwanza Urban Water And Sewerage Authority (for EIB) COBENG - May 2010 26. Non-Revenue Water (NRW) Reduction Guidelines and Managing Manual NRW a KeyIssue of MWAUWASAs Performance Indicators MWAUWASA April 2011 27. Draft Feasibility Study Report - Bukoba - Pyry Environment GMBH (Germany) and Don Consult Ltd (Tanzania) JV - 7 Towns Urban Upgrading Programme March 2011. 28. Design Report - Bukoba - Pyry Environment and Don Consult JV - Detailed Engineering Design and Preparation of Tender Documents, Supervision and Performance Management Support for Water Supply and Sewerage/Sanitation in Bukoba and Musoma. 29. Draft Feasibility Study Report - Musoma - Pyry Environment GMBH (Germany) and Don Consult Ltd (Tanzania) JV - 7 Towns Urban Upgrading Programme March 2011. 30. Draft Detailed Design Report for sewerage - Musoma - Pyry Environment GMBH, Germany and Don Consult Ltd (Tanzania) JV - Water Sector Development Programme (Tanzania) December 2010 31. Final Engineering Design Report Sewerage for Musoma - Pyry Environment and Don Consult JV - Consultancy Services for Detailed Engineering Design and Preparation of Tender Documents for Sewerage in Musoma Municipality and Detailed Engineering Design and Preparation of Tender Documents for Water Supply for Mugumu, Bunda and Tarime Townships and Mugango / Kiabakari National Project August 2011 32. Final Detailed Design Report - Misungwi Township - Detailed Engineering Design, Preparations of Tender Documents for Improvement of Water Supply and Sewerage in Mwanza City and Water Supply in Magu, Nansio, Misungwi, Ngudu, Sengerema and Geita Townships and also Supervision of Construction Works for Water Supply and Sewerage for Mwanza City and Water Supply in Magu, Nansio, Misungwi, Ngudu, Sengerema and Geita Townships - Volume I Main Report - November 2011 33. Final Detailed Design Report - Magu Township Detailed Engineering Design, Preparations of Tender Documents for Improvement of Water Supply and Sewerage in Mwanza City and Water Supply in Magu, Nansio, Misungwi, Ngudu, Sengerema and Geita Townships and also Supervision of Construction Works for Water Supply and Sewerage for Mwanza City and Water Supply in Magu, Nansio, Misungwi, Ngudu, Sengerema and Geita Townships November, 2011 34. Design Report for Emergency Lamadi Urban Water Supply Project - Lamadi Emergency Project - MWAUWASA - August, 2010 35. Lake Victoria WATSAN Initiative Phase II Final Report Volume 1 Lake Victoria Basin Commission - Mott MacDonald April 2010
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1.0.
1.0.1.
Executive Summary
Introduction
This Project Formulation Report develops plans to scale up the UNHABITAT promoted Phase 2 Lake Victoria WATSAN Initiative for the major settlements of Kisumu in Kenya, and Mwanza, Musoma and Bukoba in Tanzania together with three small satellite towns around Mwanza; Misungwi, Magu and Lamadi. This Report has been prepared by Atkins and their project partners Matrix Consultants, with contributions from Howard Humphreys EA Ltd and the United Nations Human Settlements Programme (UNHABITAT). The objective of this Report is to identify current donor interventions, assess future requirements, evaluate the need for improved WATSAN provision, drainage and solid waste facilities and to recommend an appropriate set of measures in each location to address the sectors needs for a 10 year, medium-term period. This Report recommends measures that: Seek to meet WATSAN objectives in each location in terms of helping to address the UNs Millennium Development Goals (MDGs); Have a pro-poor focus through improving conditions in informal areas (access to clean water, sanitation infrastructure, improved solid waste management and urban drainage); and Combine fast track low regret measures and medium to long term works with the capacity building measures necessary to sustain these and improve the financial standing of water supply authorities.
The Project Formulation Approach differs from a standard feasibility study in that it explicitly recognises that the project locations are not new to investments/donor interest and therefore uses a critical assessment of the existing body of work as its starting point. It also critically reviews the scope and performance of recent interventions. The Project Formulation Approach was particularly warranted as the mandate given in the LVWATSAN context was to scale up interventions in the larger urban centres and to accelerate effective action in relation to utility needs, environmental pressures and the MDGs. Consequently, this study does not present master plans for each location, nor does it specify works to full feasibility level; it highlights measures recommended as necessary to effect a significant improvement in the living conditions and general environment in the locations included within the Project Formulation Study (PFS) in the areas of water supply, wastewater and sanitation, urban drainage and solid waste management. The study is dependent upon previous studies and designs prepared, by others, under various WATSAN improvement programmes, notably the LTAP projects in Kisumu, Musoma and Bukoba and Tanzanias Water Sector Development Programme.
1.0.2.
Proposed Medium Term Investment Programme

Available previous studies have been critically reviewed and reported on within the appropriate sections of this report. Observations are provided on the suitability of the proposals and recommendations of such studies. The review identified a significant number of inconsistencies within the proposed development plans which will need to be resolved before the investments can be confirmed with certainty. Additional studies and designs are therefore required prior to the finalisation of the investment programme. However, there was generally sufficient detail available to allow an investment programme to be scoped and costed with reasonable accuracy. Medium term investments have therefore been identified for an approximate 10 year perspective (Section 1.3, with detailed background and analyses presented in the specific town reports). These are based on the existing studies and designs, review of population and demand projections, designs and the siting of major infrastructure. Where there are
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significant needs which have not been covered by existing work, the Project Formulation Study has filled in with pre-feasibility assessment of the needs and possible solutions. For funding purposes, a further iteration has been made with a view to addressing the interventions most critical for the next 5 year horizon, which constitutes a concrete proposal for the funding agencies the Project Formulation Plan - which includes key proposals for an implementation structure. The outcome of this review was an investment programme in excess of 300 million, which includes major investments in water supply, sewerage and waste management. The principal recommendations include: Expansion of the sewerage network in Kisumu including a new wastewater treatment plant in the west of the city; Extension of water supplies to satellite towns around Kisumu; Expansion of the water distribution network in Mwanza; Development of a new water source for Mwanza; Significant expansion of Mwanzas sewerage network including expansion of the current WWTP at Ilemela and a new plant at Igoma; Town centre sewerage and WWTPs for Musoma and Bukoba; New water supply facilities for Mwanzas satellite towns of Misungwi, Magu and Lamadi; Improvements in the level of on-site sanitation provision in all locations; New sanitary landfills in most locations; and Institutional and operational support to all utility companies.
Table ES 1 Medium Term Investment Programme Discipline Kenya Kisumu Water Supply Sewerage/Wastewater On-Site Sanitation Urban Drainage Solid Waste Capacity Building Total 24.1 17.1 3.6 9.0 22.51 0.5 76.8 Mwanza 66.5 32.9 13.1 6.3 43.4 0.5 162.7 Amount (MEUR) Tanzania Musoma 1.0 15.0 3.1 3.1 0.5 22.7 Bukoba 1.0 11.7 2.8 2.1 0.5 18.1 Satellites 26.1 1.3 n/a n/a 0.6 28.0 Total 118.7 78.0 16.7 21.2 71.1 2.62 308.2 308.2
included in the above item
76.8 231.4 Note: Prices are indicative; they include engineering, supervision and contingencies ex. VAT.
This investment programme is unlikely to be affordable at this time so the options have been optimised and prioritised into a more manageable programme of works and is linked to capacity building and technical support programmes to improve sustainability.
1.0.3.
Formulation of Priority Short Term Investment Programme

Following discussions between the EIB, other possible funding partners, representatives from the recipient countries governments and the utility companies involved, the preferred short term investment strategy was to be compiled on the following broad guidelines:
1 2
Should be covered under AFD infrastructure upgrading project Some additional CB costs included within individual interventions
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i. The investment focus of the programme will be on WATSAN Provision rather than Urban Drainage and Solid Waste although small strategically important investments in these other sectors can be considered. Investments in Kisumu are to be limited at the current time because of the ongoing investments under LTAP and the uncertainty over the extent of the eventual outcomes. However, selected priority studies should proceed to prepare for future investments.
ii.
iii. Improved sanitation in the informal/low income areas and communal facilities of Mwanza will also be a priority. iv. Sewerage and sanitation are the priority for Musoma and Bukoba (since water supply is being addressed by the AFD projects). v. Improved water supplies to the satellite towns of Mwanza should be considered a priority due to the current poor level of provision (but only if more cost effective solutions can be identified).
vi. Investments in the expansion of WATSAN facilities in Mwanza will be prioritised into two programmes; a short term programme covering years 1 5 and a medium term programme covering years 6 10, and the identified works were placed in one or other programme depending upon MWAUWASAs requirements and the likely benefits and impacts of the proposed works. Mwanza will therefore move ahead with concrete funding proposals for a sub-set of the investments identified based on detailed discussions of funding availability and suggested prioritisation criteria discussed in the report. The final scoping and funding discussions will draw in the towns of Bukoba and Musoma. Similarly, important investments have been identified in Kisumu, but the final scoping for funding will wait to establish outcomes of ongoing LTAP works. In order not to lose momentum, however, it is recommended that preparatory work continue in key areas, notably wastewater planning and water resources. It is also recommended that some of the findings be taken on board by the newly launched urban programme. All project locations are in need of significant institutional interventions. In particular, access to funding and successful project rollout is likely to be contingent on improving revenues, a sound strategy to ensure greater uptake of connections to the water and wastewater systems, better planning and improved enforcement of health and environmental issues in the towns. By consequence, the investments will be complemented by necessary interventions in these areas. In some areas it is not possible, at this stage of the project, to be specific about the precise intervention requirements; areas include institutional and operational support to the utilities and sanitation provisions, particularly in informal areas. To this end, this Project Formulation Approach identifies the key issues and presents strategies which will be applied in finalising solutions. These will only be achieved once project personnel are present on the ground and detailed implementation plans can be drawn up for each location. Operational support is needed to help address the high levels of non-revenue water through improved metering, leak reduction, revenue collections and the technologies available to utilities to help them manage their networks including GIS and computer models. Tanzanian Authorities also need help preparing their new Business Plans to the EUWRA model. Sanitation strategies will focus in four areas; improving household sanitation, improving facilities in public places particularly schools, increasing hygiene awareness, and improving facilities for managing and disposal of latrine wastes in informal and less accessible areas. As a result the following programme of works is proposed to be taken forward for detailed discussions on funding.
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Table ES 2 - Recommended Programme of Investments by Location and Component Location Kisumu Operational Improvements to Water System Water Resource Master Plan Sanitation Provision Sewerage Master Plan and Tender Documents D&B WWTP Capacity Building Total Kenya Mwanza Operational Improvements to Water System Water Master Plan and Institutional Support Expansion of the distribution network Sanitation Provision Sewerage Master Plan Igoma WWTP and trunk sewers Capacity Building Bukoba Operational and Institutional Support Sewerage Master Plan and City Centre sewerage and treatment plant Sanitation Provision Capacity Building Musoma Operational and Institutional Support Sewerage Master Plan and City Centre sewerage and treatment plant Sanitation Provision Capacity Building Total Tanzania Item Cost MEUR 5.1 1.9 0.5 1.0 1.2 0.5 5.1 60.8 1.6 3.5 27.4 13.1 1.0 13.7 0.5 13.2 1.0 9.0 2.7 0.5 16.5 1.0 11.9 3.1 0.5 90.5
Total Region 95.6 Note: Prices are indicative; they include engineering, supervision and contingencies ex. VAT.
The overall estimated cost of the investment programme is summarised below.

Table ES 3 - Costs of Selected Programme Investments Location Kenya Investment MEUR 5.1 60.8 16.5 13.2 5.1 90.5 Tanzania Investment MEUR Region Investment MEUR 5.1 60.8 16.5 13.2 95.6
Kisumu Mwanza Musoma Bukoba Total
Note: Prices are indicative; they include engineering, supervision and contingencies ex. VAT.
The cost of a Lenders Supervisor who will oversee the delivery of the main programme on behalf of the EIB (and other funders) needs to be added together with an overall project
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contingency - needed because of the significant uncertainties surrounding the capital works programme due to the need, in most cases, to revisit the study and design work. Note: for the time being the costs of improved WATSAN facilities within Mwanzas satellite towns are not included. Should a planned reassessment of the proposed schemes identify more cost effective and affordable solutions to the improved provision of services be identified, then these works could be reintroduced to the programme.
Table ES 4 - Implementation Cost Programme Item Kenya Investment MEUR 5.1 0.2 0.5 5.8 Tanzania Investment MEUR 90.5 3.0 9.1 102.6 Region Investment MEUR 95.6 3.2 9.6 108.4
Phase 1 Investment Programme Programme Supervision 3% Programme Contingency 10% Total Programme
1.0.4.
Financial and Economic Analysis

The analysis undertaken suggests that the proposed interventions would deliver significant net economic benefits. Taken in aggregate, it is expected that they would also improve water and sanitation providers operating income (i.e. revenue minus operating costs), except perhaps in Bukoba and Musoma, where the outcome is highly dependent on the tariffs and costs associated with the proposed new sewerage systems. These issues warrant further investigation as the interventions progress to more detailed design and assessment. In terms of cost recovery, the water and sanitation providers appear to be collecting sufficient revenue to cover their current operational expenditure but not enough to cover significant capital investment. This suggests that they will not be capable of bearing the initial capital cost of the proposed interventions and that appropriate subsidiary financing arrangements (i.e. between national government and the service providers), such as granting of the new assets to the service providers, will be required. It should also be noted that current levels of operational expenditure are generally considered to be insufficient for optimal operation, suggesting that some degree of tariff increase and/or operational efficiency measures would be beneficial to ensure that the maximum value can be obtained from the interventions. There is policy support for increasing tariffs towards full cost recovery in both Tanzania and Kenya; however, the timescales remain unclear.
1.0.5.
Implementation
The scope of the programme is diverse and potentially complex so it is proposed to appoint a Lenders Supervisor (LS) to take responsibility for managing the programme on EIBs behalf. Tasks for the Lenders Supervisor will include: Overall management for the programme for cost, quality and time; Coordination between Recipient and other Government bodies; Establishing procedures for the procurement of consultants and contractors (within the requirements of local legislation); Establishing technical requirements and standards (consistent with local requirements); Preparing standard procurement document templates; and Audit of procurement and technical solutions.
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The programme will be delivered in a series of work packages as described below: 1. Support and Development Pro-poor Interventions notably sanitation provision in informal / low income areas Capacity Building Programmes
2. Capital Works Mwanza City Project expansion of water and sewerage systems and improved communal sanitation facilities Musoma and Bukoba Town Sewerage and Sanitation Project
Implementation of the Sanitation Strategy will require a separate management structure managed by an appropriate organisation, a consultant, NGO or UNHABITAT and will involve the cooperation of councils, health bodies, community groups and NGOs. Delivery of the programme is anticipated to take more than five years, principally because of the need to undertake or enhance studies and designs for many of the main components of the programme.
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1.1.
1.1.1.
Introduction
Background
The European Investment Bank (EIB) commissioned WS Atkins International Ltd (Atkins) and Matrix Development Consultants to complete a Project Formulation Study for scaling up the Lake Victoria Water and Sanitation Initiative (LVWATSAN) in the cities of Kisumu in Kenya and Mwanza in Tanzania. Following the submission of the Stage 2 report outlining the findings for the two cities included in the original scope, the EIB extended the project to include a rapid assessment of the Tanzanian towns of Musoma and Bukoba. The Agence Franaise de Dveloppement (AFD) are actively involved in funding water supply improvement works in both towns but there is little investment currently earmarked for the sanitation sector. Subsequently, at the request of Ministry of Water and Irrigation (MoWI) in Tanzania three small satellite towns around Mwanza were added for consideration for inclusion in the financing package; Misungwi, Magu and Lamadi. An overview location plan is provided as Figure 1.1 below.
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UGANDA
Kampala
WEBUYE
ELDORET
KAKAMEGA
ENTEBBE INTERNATIONAL KISUMU
KENYA
Lake Victoria
BUKOBA MUSOMA
MUSIARA MARA SERENA
Lamadai
MWANZA Magu Kahangara
Missungwi
TANZANIA
PROJECT TITLE
Project formulation for scaling up the Lake Victoria Water and Sanitation Initiative Figure 1.1 Location Overview
DATE FIGURE CREATED
Feb 2012
LEGEND
FIGURE NUMBER & TITLE
CLIENT
Major water bodies Major watercourses
River Nile Basin National Borders
Woodcote Grove Ashley Road Epsom Surrey KT185BW ENGLAND
Fax + 44 (0) 01372 740055 Tel. + 44 (01372) 726140
Project Formulation Report Main Report 1.1.2. LVWATSAN Objectives

The Project Terms of Reference provide a comprehensive overview of the LVWATSAN Initiative. It was launched in 2004 by the Ministers responsible for water from Kenya, Tanzania and Uganda with the aim of achieving the Millennium Development Goals (MDGs) for water and sanitation in the secondary centres within the Lake Victoria Basin. These secondary centres included Kisii, Homa Bay and Bondo in Kenya; Bukoba, Muleda, Bunde and Mutukula in Tanzania, and Kyotera, Nyendo/Masaka, Mutukula and Bugembe in Uganda. Mutukula is on both sides of the border between Tanzania and Uganda.
Kisumu
Mwanza
Musoma
Bukoba
LVWATSAN was designed by UNHABITAT at the request of the East African Ministers of Water to address the current threats to the lakes ecosystems from inadequate water and sanitation provision in the larger settlements around the lake. The initiative proposed an integrated package of interventions, including water supply and sanitation improvements, solid waste management, and drainage improvements in key areas, as well as capacity building and training. Financing has initially taken the form of grants and may evolve into a combination of grants and loans where tariff levels and outreach of the interventions allow. The overall goal of the Initiative is to meet the MDG targets in water and sanitation in the project towns and cities and to ensure the long term sustainability of the physical investment. The Initiative seeks to demonstrate that the MDGs can be achieved in a relatively short timeframe (three years) and that investments can be sustained over the long term by effectively integrating physical infrastructure works, training and capacity building into a balanced and cohesive programme of interventions. It uses a phased implementation approach, focussing first on interventions designed to deliver immediate results, followed by short to medium term interventions requiring larger investments that are supported by appropriate institutional strengthening and capacity building. LVWATSAN initially targeted secondary urban centres. UNHABITAT, through its Lake Victoria Region City Development Strategies Programme, has also assisted some of the larger urban centres in preparing City Development Strategies (CDS) aimed at improving the urban environment and reducing poverty. The CDS that were prepared for Kampala,
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Kisumu and Mwanza identified sanitation, waste management and access to safe drinking water as issues for priority attention. At the Ministerial meetings of September 2008 in Nairobi and April 2009 in Entebbe, the three Governments concerned endorsed the scaling up of the LVWATSAN to include the cities of Kisumu in Kenya, Mwanza in Tanzania and Kampala in Uganda, each with a particular focus on the low income areas of the cities where the most urgent need exists for improved water and sanitation services.
1.1.3.
Threats to Lake Victoria Ecosystems

The Lake Victoria ecosystems currently face a number of threats, many arising from inadequate water and sanitation provision in the settlements around the lake. The expanding population in the lake basin, and particularly in the major towns along the lake shore in Kenya, Uganda and Tanzania, has created a demand for land, leading to deforestation and clearing of wetlands causing loss of ecological habitats. Deforestation is also occurring due to growing requirements for fuelwood. These activities have resulted in increased levels of erosion and hence suspended solids in water courses which ultimately end up in the lake. Domestic and industrial sewage (both in the immediate vicinity of the lake, and in the catchment areas), the use of agricultural additives and mining activities have contributed to deteriorating water quality in the lake. These inputs occur as point sources and diffuse sources of pollution. While effluent from mines and industries cause heavy metal pollution, domestic sewage and agricultural effluent and waste spur algal growth in the lake, leading to eutrophication of certain locations on the lake, particularly where water flow is inhibited (for example in bays or constricted channels). Parts of the lake are infested by water hyacinth (Eichhornia crassipes), an invasive and persistent aquatic weed which forms mats that prevent sunlight and oxygen from reaching the water columns and submerged plants. Consequently it shades and crowds the indigenous aquatic plants, thereby reducing biological diversity in the lakes aquatic ecosystem. The mats of weed float from one side of the lake to another, depending on the wind direction. Over the past couple of decades, a number of strategies have been proposed by various organisations working on the lake, such as the Lake Victoria Environmental Management Programme (LVEMP), Nile Basin Initiative, etc. Means to remove the weed include manual harvesting and introducing a weevil which eats the weed. The success of these interventions is yet to be assessed on a lake-wide basis.
Water hyacinth in Kisumu Bay
Fishing is one of the main livelihoods for those living around the lake. Fishing as an industry (for export) has also become important, providing employment to the lakeside populations. However, fish stocks, in terms of species diversity and yield, are reported to be declining.
5099279/70/003/Main Report - Final Page 12

This is attributed in part to overfishing and fishing malpractices (harvesting immature fish and using illegal nets), but also to the deteriorating quality of the lake water. This Project Formulation Study focuses on the WATSAN provision in the major settlements around the lake, but it is essential that it also takes due consideration of the impact that the proposed interventions will have upon the water quality of the lake, albeit by achieving results through sustainable and balanced development of the public utilities. It must also be recognised that a high proportion of industrial discharges are outside the areas earmarked for sewerage and action must be taken under the available legislation to control pollution from this source. There is an increasing issue over the presence of blue-green algae in Lake Victoria particularly within the bays and inlets where water turnover is limited. Blue green algae are more properly known as cyanobacteria and are bacteria which are capable of photosynthesis. Some blue-green algae produce toxins which can be fatal to animals and livestock and are considered a threat to humans. The problems are often associated with algal scum around the edges of water bodies where the algae are present. Although present in Lake Victoria, the concentrations present in water drawn from the open waters using submerged intakes are unlikely to be a major concern at present. It is not considered realistic or appropriate at this time to take elaborate measures to address the potential presence of blue green algae for the small town water supplieswhere sufficient depth can be reached. The trends nevertheless need to be followed closely..
1.1.4.
Project Formulation Study Objectives

The Project Formulation Study will contribute towards the accelerated development of an infrastructure investment programme in major towns and cities within the vicinity of Lake Victoria, the regions shared water resource, with the main focus upon WATSAN provisions. Specifically, this study will deal with Kisumu, Mwanza, Musoma and Bukoba and the satellite communities around Mwanza of Misungwi, Magu and Lamadi (the latter five towns were added to the programme following discussion between EIB and AFD). Kampala is being addressed in a separate project. The investment programme will focus on the short to medium term (next 10 years) and is aimed at increasing access to clean water, particularly in low income areas, improving sanitation infrastructure including the collection and treatment of wastewater and reducing the pollution of Lake Victoria resulting from urbanisation. By focusing on the most populated areas, this investment programme will significantly enhance the efforts of the national Governments in Tanzania and Kenya towards meeting the water and sanitation targets of the United Nations Millennium Development Goals. The investment programme will be of a regional nature given that Lake Victoria is a resource shared by many countries. In summary it will consist of: Fast track low regret interventions for rehabilitation and upgrading of infrastructure to remove bottlenecks in existing water supply and sewerage networks, and immediate actions to improve the capacity of implementing entities to deliver improvements; Short and Medium term projects for network extension including low-cost solutions to increase the access to water and sanitation services in poorly served and peri-urban communities; Expansion of sewerage and wastewater treatment; and Capacity building of the utilities and regulatory authorities possibly including the municipalities for solid waste management and the Water Management Authorities for integrated water resources management.
The approach of this Project Formulation Study (PFS) was to identify, as far as practical, all necessary investments to meet the realistic needs of the communities within the next 10 years in the areas of water supply, sanitation and sewerage, urban drainage and solid waste management. This total investment list was prioritised and optimised in the light of;

perceived need, city or utility priorities, the likely funding available, other ongoing or planned investments and the benefit to poorer communities. From this, a list of selected investments is proposed for consideration at the project appraisal stage.
1.1.5.
Stages of Project Formulation Study

The Project Formulation Study involved the following main stages: Stage 1 Inception Data collection and initial assessment of the situation;
Stage 2 Planning Policies, Population, and Development Urban planning and water demand assessment, and fast track measures for existing infrastructure;
Stage 3 Technical Evaluation of Development Needs and Option Development Assess water resource options, distribution network adequacy and coverage, sewerage collection system and treatment, urban drainage, non-network water supply measures, sanitation measures, solid waste management, and recommend options for a 10 year period; Initial financial and economic assessment of companies and initial development options; Initial environmental impact and social assessments; Assess capacity building and institutional strengthening needs;
Stage 4 Assessment of Preferred Set of Measures Consult with EIB and stakeholders and other parties to agree which options to analyse; Financial and economic modelling to recommend financing options; Environmental impact and social assessment of options; Recommend first phase priority options; Prepare project plans and monitoring and evaluation framework;
Stage 5 Final Bankability Assessment Final proposals agreed with EIB.
1.1.6.
Structure of the Report

This Report is presented in six parts. Part 1, this volume, is the main Project Formulation Study, with assessments, recommendations, financing, strategies and implementation plans. Parts 2 to 6 are location specific and contain more detailed assessments on the situation in each of the four centres, as follows: Part 1 Part 2 Part 3 Part 4 Part 5 Part 6 Main Report Kisumu Mwanza Musoma Bukoba Mwanza Satellite Towns
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This Main Report (Part 1) also presents a summary of the findings of the technical studies by location and establishes the context for project formulation and funding, and comprises the following sections. Section 1.1 introduces the project, its origins, objectives and the approach adopted to deliver these. Section 1.2 of this Main Report establishes the context by describing the institutional and legal framework under which the utility companies operate, and the national strategies that apply. Section 1.3 summarises the technical findings from the separate location reports and lists the measures recommended by this study. Section 1.4 describes the main environmental and social impacts anticipated from the scheme. This is followed by the approach and outcomes of the economic and financial evaluations of identified measures in Section 1.5. Section 1.6 categorises potential interventions into investment levels and identifies opportunities and risks and describes the approach to the prioritisation of options for the project, and Section 1.7 the financing, implementation arrangements and proposed timeframe for the project. Section 1.8 establishes a strategic approach to sanitation which will apply across the locations covered by this PFS and Section 1.9 outlines the proposed approach to Institutional Support particularly in addressing operational improvements such as Non Revenue Water. During the technical studies for the seven locations, it became apparent that the experience of UNHABITAT in two specific areas would be invaluable if the project was to achieve its desired outcomes. Firstly, UNHABITATs experience in providing utilities to the informal, low income areas of Nairobi using an Infrastructure Led Approach offers lessons that can be developed for the informal areas in each project location, particularly in Kisumu. Secondly, their recent hands-on experience in capacity building from the previous phase of the LVWATSAN initiative with the utilities in the smaller towns could give crucial insight when addressing similar issues within the project towns and cities. UNHABITAT has therefore contributed to sections on Infrastructure Led Upgrading (Section 1.8.9) and Capacity Building (Section 1.9).
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1.2.
1.2.1.
Policy Background
National Policies and Sectoral Strategies
Kenya A critical thrust of the current national policy document, Vision 2030, and its first Medium Term Programme (MTP) is to accelerate growth through increased investment in infrastructure. Expanding access to safe water through rehabilitation and expansion of urban water supply and sanitation activities is seen as an important outcome (GoK, 2007:18). As early as 1999, Sessional Paper No.1 on National Policy on Water Resources Management and Development tackled water resources management issues, water and sewerage development, institutional framework and financing of the sector. Following from this, the then Water Act underwent various amendments, resulting in the Water Act 2002 coming into force. The Kenyan Governments annual Medium Term Expenditure Framework generally includes rolling three-year costed operational programmes for broad sectors. Water supply and sanitation are included in the Environment, Water and Irrigation Sector. However, it is only now3, that the Government is near to finalising a specific Water Sector Strategic Plan (WSSP). It is anticipated that the Kenya Water Sector Development Programme (KWSDP) will provide further support to the sector to be in place by 2012. The KWSDP will aim to bring together key organisations through a coordinated Sector Wide Approach to Planning (SWAP) Action Plan for water under the leadership of the Kenyan Government. Tanzania The national policy document, Tanzanias National Development Vision 2025, states that universal access to safe water is one of the key targets. This policy was developed as early as 2002. In the development programme, the National Strategy for Growth and Reduction of Poverty (NSGRP) II, Goal 4 articulates the importance of increasing access to affordable, clean and safe water, sanitation and hygiene. In terms of linking plans to budgets, Tanzania has exactly the same system as Kenya and, in its annual Medium Term Expenditure Framework, broad sectors have the same system of rolling three-year costed operational programmes, of which water and sanitation is included in the Environment, Water and Irrigation Sector. Whilst policies are clearly articulated in both countries, Tanzania has been more consistent in terms of establishing a coherent water sector programme. A major 5 year programme was established in 2007 with almost US$ 1 billion of funding initiated for the Water Sector Development Programme (WSDP). This is a jointly agreed SWAP where both government and development partners (DPs) have agreed to provide funding either into a central basket where funds are allocated on a priority basis by the Ministry or as ear-marked where donors support a specific project or initiative. Although both countries have similar broad sector level budgetary prioritisation systems, actual development budgetary allocations and spending differ. This is discussed in Section 1.2.5.
1.2.2.
Water Sector Reforms

Kenya A key outcome of the Water Act was to separate service delivery functions into asset holding and investment (water services board function), and water and sanitation services provision (water service providers function). For Kisumu, Lake Victoria South Water Services Board
As early as 1987 there was an Urban Water and Sanitation Management Project (UWASAM), in selected Kenyan towns supported by the German Development Organisation GTZ. This was not a very successful project. It was not based on a coherent strategy.
3
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(LVSWSB) was formed as part of the sector reforms. In Kenya the local authorities formed autonomous water and sewerage companies with independent Boards of Directors that provide water services and re-invest water revenues in service delivery improvement. In Kisumu, the Municipal Council of Kisumu established Kisumu Water and Sewerage Company (KIWASCO) in 2001, which started operating in 2003. In terms of deepening reforms, many challenges still need to be overcome. The progress towards Sector Wide Approach to Planning requires strengthening. The Sector Coordination Mechanism and Unit needs strengthening through resource allocation and capacity building. There is still overlap in the mandates of water sector institutions under the Ministry of Water and Irrigation (MWI); the Ministry still involves itself in procurement decisions made by the various Water Service Boards. Governance of the Boards of Directors and management of the various water service institutions needs to be improved. Currently there is a lack of experience and transparency. Sanitation development currently has several weaknesses. The major issue is the unclear mandate between the two ministries involved; the Ministry of Public Health and Sanitation (MoPH&S) and MWI. In Kenya the National Environmental Sanitation and Hygiene Policy is coordinated by MoPH&S and this poses a challenge to developing a common approach with MWI. Tanzania A review of the water sector in 1993 called for a number of reforms. These were initially implemented through the Urban Water Supply Project(s) in Moshi, Tanga and Arusha, eventually culminating in reshaping the urban water sub-sector by establishing autonomous Urban Water Supply and Sewerage Authorities in 1997. In 2006, the design of the Water Sector Development Programme was finalised, consolidating various sub-sector components together with institutional strengthening and capacity development elements.
Harbour at Bukoba
Currently, under Tanzanias Water and Sanitation Act No.12: (2009) two types of statutory bodies provide water supply services to customers, namely: Water Supply and Sanitation Authorities (WSSAs) and Community Owned Water Supply Organisations (COWSOs). It should be noted that although the Minister for Water and Irrigation retains the residual power to provide water supply services through National Schemes, this power is exercised through the WSSAs. A key feature of recent reforms is that the new legislation makes no specific differentiation between urban and rural water supply services and in practice both are characterised by a mix of different types of water supply networks. Since the reforms, large settlements like those being considered in this study have their own UWSA to manage the provision of water and sewerage services, which are fully owned by the Government of the United Republic of Tanzania (GoT), through an executive agency

operating within MoWI. The UWSAs are managed by an Executive Board of Directors appointed by the Minister for Water and Irrigation. Given the stronger role of the Central Government in board management of the water and sanitation providers, it is noteworthy that policy directives are continuously under review. Hence, currently a result-based strategic planning approach, rather than an output-based project planning approach is being mooted for the providers with a 9-point programme to be rolled out soon (GoT, 2010:76).
1.2.3.
Water and Sanitation in National Sectoral Budgeting

Kenya
Table 1.1 - Kenya - Main Sources of Funds for Water Sector Development Budget in 2009/10 (KSh million) Source GoK Development Partners
Through MoF Direct payments to projects
Approved Estimates (A) 14,785 8,468

276 8,192
Actual Receipts (B) 13,062 4,674

270 4,404
Ratio B/A (%) 88 55

98 54
TOTAL Source: GoK (2010)
23,253
17,736
76
Table 1.1 shows the total actual receipts of water sector development funds in 2009/10 was KSh 18 billion. This is 76% of the total Approved Estimates for development allocation of KSh 23.3 billion. The Kenyan government contributed 79% of the total actual receipts (KSh 13 billion), while the Development Partners (DPs) contributed 22% (KSh 5 billion). GoK disbursed 88% of the Approved Estimates for development budget whereas the Development Partners disbursed 55% due to delays in project implementation caused by late disbursement of pledged funds and slow procurement processes. The lack of a Sector Wide Approach to Planning (SWAP) is clear from the fact that of the KSh c5 billion total actual receipts from the donor funds, 94% was disbursed through direct payments to the projects, while the rest was channelled through the Ministry of Finance as Revenue. In Kenya, funding comes through the Water Service Boards. In 2009/10, 55% of the total actual receipts by the sector were channelled directly to the Water Sector Institutions (WSIs). The funds channelled to the various WSIs comprised 61% from GoK, 23% from DPs and 16% from internally generated funds. GoKs contribution to the sector institutions was 33% of its water sector budget of KSh 17.1 billion while the DP contribution was 60% of the total donor budget for the sector of KSh 4.7 billion.
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Table 1.2 - Kenya - Funds Budgeted for Selected WSIs (KSh million) % increase WSI 2008/09 2009/10 (2008/09 to 2009/10) WRMA 444.8 709.5 59.5 Water Services Trust Fund 166.2 892.1 436.8 Athi WSB 3,533.3 4,211.1 19.2 Tana WSB 274.1 529.1 93.0 Tanathi WSB 290.7 501.5 72.5 Rift Valley WSB 1,156.2 723.7 (37.4) Lake Victoria North WSB 3,060.9 2,574.2 (15.9) Lake Victoria South WSB 353.5 749.8 112.1 Northern WSB 351.9 668.7 90.0 Coast WSB 1,886.7 922.8 (51.1) NWCPC 4,369.2 3,668.2 (16.0) Kenya Water Institute 148.4 220.4 48.5 National Irrigation Board 651.1 1,567.8 140.8 TOTAL 16,784.1 18,094.8 7.8 Source: GoK (2010)
Note: These allocations do not include the payment of staff seconded by the MWI to the WSIs.
In terms of budgetary allocations to LVSWSB, Table 1.2 shows contributions from GoK, which are far from enough to develop and maintain assets for the water companies under its jurisdiction even when this was increased to Ksh 750 million in 2009/10. Tanzania The Water Sector Development Programme was established in 2007 to provide a workable sector-planning framework to increase both government and DP funds for the sector and to improve the co-ordination and technologies of the sector. It was clearly recognised early that ...even the doubling of the current water sector local development budget would, in practice, contribute only a small part of the capital required when compared to the latent demand in the sector. (GoT:78). It was considered that by co-ordinating the programme at a national level more cost effective solutions could be developed and rolled out throughout the country making the most effective use of the limited resources available in the sector. WSDP is a SWAP, co-financed by the Government of Tanzania (GoT), the ADB, World Bank, KfW, GTZ, Dutch Government, AFD and other financiers, valued at about US$ 950 million. Some of the DPs funds are earmarked to specific projects but the majority are pooled in a centrally managed basket to be allocated to priorities set by the Ministry. Table 1.3 below provides selected illustrative spending for the water sector in Tanzania. Funds for urban water and sanitation programmes have been typically low though it appears this is changing. For example, of the development expenditure from external sources a respectable 67% was allocated to urban water supply and sewerage activities in 2009/10. For the current 2010/11 FY, even though there has been only a small increase in the water development expenditure budget to Tsh 246.9 billion, the DP contribution is still a high 88% though the allocation for urban water and sanitation activities has fallen to 50%.
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Table 1.3 - Tanzania - Urban Water Funding in 2009/2010 (Tsh million) Allocated Total Recurrent Expenditures (Other Charges) of which Urban Water Supply and Sewerage Recurrent Expenditures (Personnel Emoluments) of which Urban Water Supply and Sewerage Development (Water Basket) Expenditure (Local) of which Urban Water Supply and Sewerage Development (Water Basket) Expenditure (External) of which Urban Water Supply and Sewerage Source: GoT, 2010 9,566 908 9,712 1,018 37,299 18,914 190,538 108,431 Spent 7,940 750 9,974 1,018 24,286 14,633 64,448 30,513 % 83 83 102 100 65 77 34 28
In Tanzania, WSSP development has resulted in significant resources, especially foreign funds, flowing into the sector. In 2009/10, water sector budget allocations increased to 3.6% of the total budget compared to 3.2% in previous year. The majority of the budget goes to transfers to LGAs and Urban Water Authorities, which are intended to be used mostly for maintenance purposes. It is also noted that infrastructure spending takes the largest share of capital spending compared to other categories. The increased allocation for infrastructure construction and rehabilitation follows immediately after the completion of most of the feasibility studies in 2008/09. The allocations to studies in the 2009/10 budget then declined in favour of infrastructure. In Tanzania, the Development by Devolution (D by D) strategy has been notable. The water sector was the one sector earmarked for the first phase of implementation of the D by D strategy. The water sector continues to be among the key sectors earmarked for D by D implementation. About 25% of the water sector budget in 2009/10 was allocated directly to the LGAs. From the table it is clear that DP funding is critical for the water and sanitation sector especially with regard to development budget. However, there are great deficits in actual spending with only 28% of allocated urban water and sanitation funds actually spent in 2009/10, for example. These inefficiencies in donor funding are reflected in (i) a significant amount of the donor funding being off-budget; and (ii) the long delays in releasing donor funds. Part of this delay is the result of lack of capacity in the sector agencies resulting in poor performance in procurement, disbursement and reporting project arrangements. Other reasons are donors own performance which could be improved by, for instance, harmonising procurement, disbursement and reporting requirements.
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The Water Sector Development Programme is the main financing mechanism for the water sector in Tanzania. The programme consolidated existing investment projects into three sub-sector components; and added an institutional strengthening and capacity development component. The components are as follows:

Component 1: Water Resources Management Component 2: Rural Water Supply and Sanitation Component 3: Urban Water Supply and Sewerage Component 4: Institutional Strengthening and Capacity Building
The programme development objective is to strengthen sector institutions for integrated water resources management and improve access to water supply and sanitation services. The ultimate objective is to help deliver the Millennium Development Goals and to achieve the MKUKUTA targets under the National Strategy for Growth and Poverty Reduction. The programme is implemented by Ministry of Water and Irrigation (MoWI), the Prime Ministers Office for Regional Administration and Local Government (PMO-RALG) and their Implementing Entities (IEs); including nine Basin Water Offices (BWOs), 19 Urban Water Supply and Sanitation Authorities (UWSAs), Dar es Salaam Water Supply and Sanitation Authority (DAWASA), 109 district and small town utilities, and 132 Local Government Authorities (LGAs). The WSDP is financed through two distinct funding mechanisms; a basket fund using common implementation arrangements for external and internal funds and earmarked projects by specific Development Partners. The original budget for the Programme was:
Component 1 Component 2 Component 3 Component 4 Unallocated Component Strengthening of WRM Framework Scaling up of Rural WSS Services Scaling up of Urban WSS Services Institutional Strengthening and Capacity Building Total Cost US$ million 75 290 510 58 18 951
The WSDP was conceived under a Sector Wide Approach to Planning (SWAP) initiative and has developed a prioritised list of investments in the water and sanitation sector. In line with the Government of Tanzania (GoT)s policy of decentralisation, the management of WSDP is delegated to more than 200 Implementing Entities (IEs) under the coordination of MOWI (and in the case of rural water supply and sanitation, in close coordination with PMO-RALG). Implementation of WSDP is undertaken within the framework established in a Programme MoU signed by GoT and leading Development Partners and a Programme Implementation Manual. The Programme started in 2007 but WSDP instigated projects are only now moving to construction. Prior to this implementation under the WSDP has comprised: Quick Wins Projects predominantly simple works where the rapid releases of development funds were assessed to make noticeable improvements in the provision of water services. Earmarked Projects schemes identified for funding by individual Development Partners (DPs) and procured and managed under DPs own procurement processes and procedures. On-Going Projects schemes started before the WSDP was finalized and supported by GoT local funds and/or earmarked funds.
1.2.4.
Utility Performance Monitoring

In both Kenya and Tanzania, WSP performance assessment is based on well-defined and generally agreed-upon indicators. Kenya In Kenya, the regulator, the Water Services Regulatory Board (WASREB) monitors and reports on the performance of the water services providers. WASREB introduced WARIS reporting and monitoring software in 2006. WSBs and WSPs use the software to submit data annually to WASREB. National comparative WSP performance data is published in an Impact Report. The latest available report dated October 2010 reports on WSBs and WSPs for the year 2007/8 and 2008/9. Lake Victoria South dropped from position 4 in 2007/8 to position 7 in 2008/9. KIWASCO does not fare any better being ranked at No. 7 out of 19 in its category of large WSPs. In terms of overall ranking it fell from 12 to 21 in 2008/9.
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Master Operators Office - Kisumu
Tanzania In Tanzania, though newer, the regulators Monitoring and Evaluation (M&E) system is much more robust compared to Kenyas and performance data can be obtained almost on a monthly basis. In Tanzania, the Energy and Water Utilities Regulatory Authority (EWURA) is an autonomous multi-sector regulatory authority responsible for technical and economic regulation of the electricity, petroleum, natural gas and water sectors in Tanzania (reviewing and setting rates and charges). EWURA is responsible for issuing licenses to WSPs (based on the submission of their business plan) and for monitoring and regulating the performance of each WSSA against their business plans. Regarding performance monitoring, each utility monitors and self-reports on a monthly basis against a results framework agreed with EWURA. The Water Utilities Information System (Majis), managed by EWURA, is a tool used to monitor the monthly and annual performance of the licensed Water and Sanitation Authorities. In April 2009, the Division of Commercial Water Supply and Sanitation in MoWI presented the first performance evaluation of the service providers. In the overall Scores and Performance Rank for Class A Water and Sanitation Authorities, Mwanza was ranked 8 out of 13 with a total of 65 points and was right at the bottom in terms of achieving regulatory directives and tariff conditions (GoT 2010, Table 6.3: 92). The Ministry categorises Water Authorities based on their ability to meet their own costs into three categories:
Category A Defined as Authorities that can meet their own operating costs (O&M) and can contribute to investment costs Defined as Authorities that can meet their own operating costs (O&M) with a contribution from government towards electricity costs Defined as Authorities that can meet their own operating costs (O&M) with a contribution from government towards electricity costs and the salary costs of permanent staff
Category B
Category C
Mwanza and Musoma UWASAs have Category A status, Bukoba has Category B. Mwanzas small satellite towns are all Category C.
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Project Formulation Report Main Report 1.2.5. Tariff Levels and Structures
Kenya M&E tools are used by regulators in both countries to collect and analyse data on costs for WSPs and in Kenya, for the WSBs as well. The information is used to assess the financial viability of WSPs, the financial performance of WSBs and to determine whether tariff adjustments, when applied for, are justified. Tariff adjustments can be linked to performance improvement of the WSPs and can thus be used as an incentive, and through progressive block tariffs, WASREB ensures that the fixing of average tariffs takes into account the ability to pay of different consumer groups. Tanzania In Tanzania, the policy goal for controlling and regulating tariff levels and structures to provide cost-efficient provision of WATSAN services is to set tariffs that are transparent, achieve cost coverage targets, encourage cost-effective provision of services and protect the poor and disadvantaged groups (GoT, 2010:45). The strategy to achieve this goal is to: Ensure tariffs are structured and set at levels necessary to achieve cost recovery targets and are based on levels of water consumption; Include water supply and sewerage services; Promote cost-effective delivery of water and sewerage services; Protect poor and disadvantaged groups; and Regulate tariff setting to ensure consumers receive value for money services.
Hence, in both Kenya and Tanzania, the adjustment of the average tariff aims at cost recovery for the financial sustainability of WSPs. While in Kenya WASREB sets the tariff, in Tanzania the Boards of WSSAs are responsible for setting the water tariffs applied within their service area. In the case where a water tariff increase is requested, EWURA is expected to approve these following a public inquiry, but, inevitably, there are many issues to resolve before this final step is reached. In both Kenya and Tanzania, WSPs are required to work towards meeting full cost recovery. There is space for tariff increases in urban areas, where higher levels of piped water services are disproportionally used by more affluent consumers. In Tanzania, the 60% highest income households use 80% of piped water connections (either house or yard connections or connections shared with neighbours), implying that individual piped connections tend to be mostly a service used by higher income consumers (World Bank, 2010:54). The report suggests that recent household budget survey data show that when households pay for water, the wealthiest 40% have room to pay for tariff increases as they currently spend less than 5% of their household expenditure on water. Increasing the rates to the levels of the three utilities with the highest rates would generate additional funds equal to 43% of current operating revenues. However, even before making changes to the tariffs, WSPs in both countries need to first address their low billing and collection efficiencies. In both countries, household budget surveys show that many households with piped water pay very little for water. Fixing gaps in the utilities billing and collection systems will generate additional revenue, while at the same time reducing the pressure to increase tariffs to ensure the sustainability of the water supply service. KIWASCOs current tariff structure was gazetted on 31 December 2008 in a WASREB tariff review for Nyeri, Nairobi and Kisumu based on the WASREB Tariff Guideline. Kisumus tariff structure has four consumption categories of which the domestic consumption category is divided into seven progressive blocks. The current tariff structure does not follow what was recommended before the tariff review. It would appear that the general tariff is very low which would not assist in any water demand management intervention or in long term marginal cost. It is not possible to fund the expenses of the company with the tariff especially when non payment and quantity of NRW is taken into account (KIWASCO, 2010:35). In addition it appears that there is unnecessary differentiation between industrial,
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institutional, commercial and government users. Given that the regular tariff period is typically set at three to five years, it is unlikely that WASREB will entertain another review for KIWASCO this year. MWAUWASA currently has six consumption categories in its tariff structure of which the domestic consumption category is divided into three bands. MWAUWASA considers its current tariffs to be affordable and indeed attributes its relatively high revenue collection efficiency as evidence that the tariffs are affordable to many. The tariff review in June 2011 is crucial for MWAUASAs future operations. In its Business Plan, July 2010 June 2013, MWAUWASA intends to gradually increase tariffs to attain full cost recovery tariffs that will enable the Authority to ...recover her operating expenses including Interest on Loans and earn sufficient surplus as Return on Investments (Recommended: 10% of Net Assets Employed), but avoid monopoly returns (MWAUASA,2010:15).
1.2.6.
Environmental Management of the Water & Sanitation Sector

Kenya Environmental management activities are implemented through a variety of instruments such as policy statements and sectoral laws, and also through permits and licences. However, the Environmental Management and Coordination Act of 1999 (EMCA) establishes the regulatory and institutional framework for the management of the environment, and supersedes all other environmental legislation. The Act requires environmental assessments to be undertaken for any project falling under its Second Schedule, including dams, rivers and water sources, and sewage and solid waste disposal sites. EMCA provides standards for the management of lakeshores, and makes it an offence to pollute any aquatic environment. The Act prohibits the disposal/discharge of solid waste which could cause pollution or pose a risk to human health. Several regulations under EMCA also have implications for this project. The Environmental (Impact Assessment and Audit) Regulations, 2003, provide the basis for procedures for carrying out Strategic Environmental Assessments (SEA), Environmental Impact Assessments (EIA) and Environmental Audits (EA). The Environmental Management & Coordination (Water Quality) Regulations, 2006, prohibit activities that cause direct or indirect pollution of water sources and of water for fisheries, wildlife, recreational purposes. It requires protection of lakes, rivers, streams, springs wells and other water sources. Discharges into aquatic and non-aquatic environments must comply with prescribed standards, as must discharges into public sewers, and discharge licences must be obtained. Persons discharging effluent under a licence must carry out daily effluent discharge quality and quantity monitoring. The Environmental Management and Coordination (Waste Management) Regulations, 2006, states that any person transporting waste, or operating a waste disposal or treatment site (including sites reusing and recycling wastes) requires a licence.
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Kibos River above Kajulu Water Treatment Works
The Water Act 2002 makes provision for the conservation, control, apportionment, use of water resources of Kenya. The Act regulates the management of water supply and sewerage services, and requires permits to be obtained to use water from a water resource. Further, it makes it an offence to pollute any water resource, and requires a permit to be obtained for the discharge of a pollutant into any water resource. The Water Rules 2008, stipulate the need for a permit for the abstraction, diversion, in-stream works and storage of surface water, and require a reserve flow to be maintained in all rivers. The Energy Act 2006, among other things, promotes the development and use of renewable energy technologies, including hydropower, biogas and municipal waste. The Wayleaves Act, Cap 292, gives the Government the power to carry sewers, drains, or pipelines into, through, over or under any lands, but not interfere with any existing building. Public Health Act (rev 1986) stipulates that the local authority is required to maintain cleanliness and prevent nuisances. It is responsible for the prevention of any pollution to any water supplies used for human and domestic consumption. The local authority is also required to approve the construction of any septic tank, storage tank, sewage filter installation or other treatment works. The Act provides guidance for drainage and sewerage. The National Environmental Sanitation and Hygiene Policy of July 2007 aims to reduce the burden of environmental sanitation and hygiene-related disease through promoting access to and use of hygienic, affordable, functional, and sustainable improved latrines and hand washing facilities, safe and sound waste management practices. The current Health Sector Strategic Plan (2005-2010) identifies environmental sanitation and hygiene as an important component in delivery of health care. Other legislation having a bearing on the construction and operation infrastructure proposed under this project includes: The Physical Planning Act, 1996 The Registered Land Act, Cap 300 Trade Licensing Act, Cap 497 Building Code, 1997 Local Government Act, rev. 1998 Forests Act, 2005 Lakes and Rivers Act, rev. 1983 Fisheries Act Occupational Health and Safety Act, 2007
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Factories and Other Places of Work (Health and Safety Committee) Rules, 2004 The Factories (First Aid) Rules, 1977 The Factories and Other Places of Work (Fire Risk Reduction) Rules, 2007 Factories and Other Places of Work (Noise Prevention) Rules, 2005 Factories (Building Operations and Works of Engineering Construction) Rules, 1984 Workmens Injury Benefits Act, 2007 Local by-laws.
Compensation and Resettlement Kenya does not have a national resettlement policy framework (RPF). However, under the World Bank funded Water Supply and Sanitation Service Improvement Project (WASSIP), a resettlement policy framework was developed in 2007. In 2008, a RPF was prepared by the Ministry of Environment and Mineral Resources for the Lake Victoria Environment Management Project Phase II. Both are guided by the World Banks OP 4.12 on Involuntary Resettlement (April 2004), which is based on the following principles: i. ii. Involuntary resettlement should be avoided where feasible, or minimised, exploring all viable alternative project designs. Where it is not feasible to avoid resettlement, resettlement activities should be conceived and executed as sustainable development programs, providing sufficient investment resources to enable the persons displaced by the project to share in project benefits. Displaced persons should be meaningfully consulted and should have opportunities to participate in planning and implementing resettlement programs.
iii. Displaced persons should be assisted in their efforts to improve their livelihoods and standards of living or at least to restore them, in real terms, to pre-displacement levels or to levels prevailing prior to the beginning of project implementation, whichever is higher. The main piece of legislation regarding expropriation of land is generally provided for in the Constitution of Kenya under section 75 for private land and sections 117 and 118 for unregistered Trust Land. The Land Acquisition Act, Chapter 295 provides for land to be acquired or granted access to for the purpose of a project. Acquisitions or access must be shown to be for the public benefit and compensation must be provided to the landowners whose land is acquired or damaged. The Registered Land Act Chapter 300 provides for absolute proprietorship over land (exclusive rights). Such land can be acquired by the State under the Land Acquisition Act. The Land Adjudication Act Chapter 95 provides for ascertainment of interests prior to land registrations under the Registered Land Act. Institutional Set Up for Environmental Management in the Water & Sanitation Sector As a result of the different laws and legal instruments which apply to water sector-related environmental and social issues in Kenya, a number of players are involved at various stages of environmental and social impact assessment. The Environmental Management and Coordination Act of 1999 established the National Environment Management Authority (NEMA), which became operational in July 2002. NEMA is mandated to be the principal agency in Kenya for the management of the environment. At district level, the responsibility for the management of environmental issues lies with the District Environment Officer, who is the secretary of the District Environment Committee. With regard to public health, the Department of Environmental Health and Sanitation (DEHS) is responsible for coordinating partners implementing environmental sanitation and hygiene activities. It is also responsible for monitoring urban and rural sanitation; sanitation of dwellings, markets, public places and informal settlements; and for preventing and controlling unsanitary nuisances.

NEMA and DEHS are responsible overall for the coordination of sectoral environmental and sanitation issues. NEMA is typically short staffed, and has neither the capacity nor resources to do this effectively. However, NEMA does have the mandate to instruct the relevant local authorities to implement environmental protection and management measures. LVSWSB are increasing their environmental capacity and will be responsible for: monitoring and ensuring that EIAs are conducted, and that all mitigation measures and environmental management/action plans are implemented according to NEMA regulations; periodically reporting on environmental issues and program activities; carrying out stakeholder consultations on EIA; liaising with all the relevant authorities such as NEMA, WRMA, MOPH etc on requisite approvals and certification; supervising outsourced environmental management contracts; and ensuring maintenance of EIA licences, records, certificates, and environmental reports. Also of concern are the impacts of the proposed project components construction activities on forests (particularly with regard to the proposed new dam at Kajulu which borders the Kajulu Forest) and wetlands. In this case the Kenya Forest Service and NEMA are key stakeholders. In terms of compensation and resettlement, the overall responsibility lies with the Ministry of Water. The Ministry of Lands and Settlement is a key player responsible for conducting the valuation of structures to be compensated and ascertaining the compensation rates passed by the District Lands Boards. The local Councils and chiefs will be involved in ascertaining ownership, general community mobilisation and sensitisation, immediate adjudication over ownership and boundaries, and providing guidance for compensation process, receiving complaints on behalf of the compensating agency, and facilitating integration within the new relocation sites. Tanzania In Tanzania, environmental protection is given considerable attention in national legislation and regulatory instruments relating to water resources and supply. The National Environmental Policy of 1997 provides the framework for mainstreaming environmental and social considerations into decision making in Tanzania. With regard to the Water, Sewerage and Sanitation sector, the Policy supports the objective of providing clean and safe water to within easy reach, to satisfy other needs, to protect water sources and prevent environmental pollution. The main principles for environmental management in the Environmental Management Act of 2004 (EMA) are the precautionary principle and the polluter pays principle. The Environmental (Impact Assessment and Audit) Regulations, 2005, require all ongoing projects listed under the Third Schedule of the Act and First Schedule of the Regulations to conduct environmental audits. Water supply and waste treatment and disposal (municipal solid waste and municipal sewage) fall under these Schedules. The National Environment Management Council (NEMC) is developing standards for water effluent quality, air emissions, soil contamination and waste oil disposal. In line with the polluter pays principle, these standards will specify requirements for discharge licences and applicable fees.
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Effluent Disposal at Municipal Dump site in Mwanza
The National Water Policy emphasises the need for the protection and conservation of water sources, and underscores the interaction between water and the environment. Specifically it promotes the polluter pays principle, recognises the necessity of causing least detrimental effect to the natural environment, and to determine water needs for the environment (in order to maintain healthy and viable riverine and estuary ecosystems) based on best available scientific information. The Water Resources Management Act of 2009 stipulates the need for protecting biodiversity, particularly in aquatic ecosystems, and for preventing and controlling pollution and the degradation of water resources, and endorses the precautionary and polluter pays principles. It requires strategic environmental assessments or environmental impact assessments to be undertaken for major water projects in accordance with Regulations provided under EMA. For trade effluents, consent to discharge into receiving waters is required. The Water Supply and Sanitation Act makes it an offence to pollute water that may be carried into a waterworks. The Energy and Water Utilities Regulatory Authority (EWURA) Act of 2001 endorses the need to protect and preserve the environment. EWURA is responsibility for regulating and monitoring environmental and health and safety issues in respect of the water and sewerage authorities. The Tanzania Bureau of Standards specifies standards for municipal and industrial wastewaters, drinking water, air quality (vehicular) and acoustics (environmental noise). Other pieces of legislation which may be relevant with regard to potential environmental impacts of the proposed project and its components include the following: Public Health (Sewerage and Drainage) Ordinance Cap.336 Water Utilization (Control and Regulation) Act No.42 of 1974 and with Amendments of 1981 and Act No.8 of 1997 Occupational Health and Safety Act No.5 of 2003 Wildlife Conservation Act No.12 of 1974 Fisheries Act No. 22 of 2003 Forest Act No. 14 of 2002 Protected Public Places and Recreation Areas Act (1969).
Compensation and Resettlement A Resettlement Policy Framework (RPF) was prepared in 2006 by the Ministry of Water for the Water Sector Development Programme, but provides guidelines that can be applied to all water sector projects. The RPF is essentially based on the World Bank Operational Procedure 4.12 for Involuntary Resettlement. It requires that:

Involuntary resettlement and land acquisition will be avoided where feasible, or minimised, by exploring all viable alternatives. Where involuntary resettlement and land acquisition is unavoidable, resettlement and compensation activities will be conceived and executed as sustainable development programs, providing sufficient investment resources to give the persons displaced by the project the opportunity to share project benefits. Displaced and compensated persons will be meaningfully consulted and will have opportunities to participate in planning and implementing resettlement and compensation programs. Displaced and compensated persons will be assisted in their efforts to improve their livelihood and standards of living or at least to restore them, in real terms, to predisplacement levels or levels prevailing prior to the beginning of the project implementation, whichever is higher.
The policy covers direct economic and social impacts resulting from projects caused by the involuntary taking of land resulting in i) relocation or loss of shelter; ii) lost of assets or access to assets; or iii) loss of income sources or means of livelihood, whether or not the affected persons must move to another location. It also covers involuntary restriction of access to legally designated parks and protected areas resulting in adverse impacts on the livelihoods of the displaced persons. In the absence of a formal Resettlement Policy, the following legal instruments provide the legal framework for compensation and resettlement in Tanzania: The Land Act (1999) The Land Regulations (2001) The Village Land Act (1999) The Local Government (District Authorities) Act The Local Government (Urban Authorities) Act Land Acquisition Act (1967), Town and Country Planning Ordinance cap 378 Local by-laws.
Land in Tanzania is vested in the President as trustee on behalf of all. The National Land Policy requires full and fair compensation to be paid to any person whose right of occupancy or recognised long standing occupation or customary use of land is revoked or otherwise interfered with to their detriment by the State under the Land Act of 1999. The Land Act of 1999 (Section 34) also states that where a right of occupancy includes land which is occupied by persons under customary law, and those persons are to be moved or relocated, they must be compensated for loss of interest in the land and for other losses. They also have the right to reap crops that are sown before any notice for vacating that land is given. The Land Act (Section 156) requires that with regard to communal right of way in respect of way-leave, compensation shall be paid to any person for use of land, who is in lawful or actual occupation of that land, for any damage caused to crops or buildings and for the land and materials taken or used for the works. Requirements for the assessment of compensation are provided in the Land (Assessment of the Value of Land for Compensation) Regulations of 2001. Valuation must be done by a qualified and authorised valuer. Institutional Set Up for Environmental Management in the Water & Sanitation Sector As in Kenya, various institutions are involved at various stages in the environmental and social impact assessment process. NEMC has the overall responsibility for environmental regulation, and is therefore responsible for monitoring environmental impacts of water supply and sewage/industrial

wastewater. EMA requires that each city, municipality, district, town Council appoints an Environmental Management Officer (EMO) and an Environmental Management Committee (EMC). The EMO's responsibilities include the monitoring of the preparation, review and approval of EIAs of local investments and projects. The EMO is supposed to report to the Director of the Environment. Environmental management officers and committees are supposed to be appointed at the kitongoji, ward, mtaa and village levels. NEMC may delegate its powers to EWURA to ensure environmental compliance in each UWASAs activities, but evidently NEMC does not do this. Each UWASA currently has a Water Quality Engineer who monitors the quality of water of both water supply and sewage, at the inlets and outlets. But no person or department is specifically charged with monitoring environmental and social issues. It is therefore recommended that an existing member of each UWASAs staff be appointed to oversee environmental and social impact monitoring. This person can undergo the necessary training in order to be able to pre-empt or recognise issues of consequence and to be able to deal with them appropriately. Alternatively, as LVSWSB has done, each UWASA could hire an Environmental/Social Expert to do this. With regard to compensation and resettlement, the main parties involved in carrying out resettlement and/or compensation processes for the project are the UWASA, the District Councils, District Lands Officers, Ward Councils and Village Councils. These institutions are well experienced in national procedures for compensation and resettlement.
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1.3.
Medium Term Investment Options by Location

This section contains a summary of the situation in each of the towns and cities covered under this project, and identifies and evaluates the necessary interventions required to make significant improvements to the infrastructure and provision of services in the various technical areas. Technical areas covered include: Water Supply; Wastewater, both sewerage and sanitation; Urban Drainage; and Solid Waste.
Detailed descriptions and analyses for each location are presented in separate volumes, Parts 2-6 of this Project Formulation Study as follows: Part 2 Kisumu Part 3 Mwanza Part 4 Musoma Part 5 Bukoba Part 6 Mwanza Satellites Misungwi, Magu and Lamadi
Recommendations generally relate to the interventions required within a 10 year time frame, subsequently these are prioritised into more detailed, immediate, short-term and medium term programmes in sections 1.6 and 1.7.
1.3.1.
1.3.1.1.
Kisumu
Context Kisumus current population is estimated to be approximately 410,000. There are four main industries; agriculture, fisheries, general business and manufacturing. Agriculture is the main source of income for the majority of the people in the hinterland. A significant percentage (>50%) of the population are reported to live in informal areas presenting particular difficulties to the various service providers. Those living in the unplanned areas work in the informal sector with monthly incomes of between Ksh 3,000 and Ksh 4,000. Low incomes and job insecurity are the greatest challenges facing the poor. In approximately 79% of households the male is the main source of income. Despite their considerable contributions to both family income and the rural economy, women in Kisumu continue to be faced with inhibitive cultural traditions relating to divisions of labour, lack of access to land and property, and exclusion of women from decision making processes. Land tenure in Kisumu Municipality tends to be either on a freehold or leasehold basis. The original inhabitants of the area, the Luo community, controlled the distribution of land in the peri-urban areas of Kisumu. In the Kisumu informal belt, land has gone through the process of adjudication and a large portion has been registered to individuals as freehold land, putting the government and municipality at a disadvantage since they have to acquire land for development purposes usually at greater expense. Kisumus high-income residential areas and formal public housing areas are well served with road infrastructure. Poor road networks are common in low income areas due to limited planning and capital outlay. Road reserves, intended for the provision of service corridors for sewerage, storm drainage and piped water networks, are almost non-existent in informal areas.
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Water Collection from Standpost Nyalenda, Kisumu
There are no government health facilities in some of the settlements and residents walk long distances to government district hospitals or municipal health centres. Responsibility for the delivery of piped water and sewage services in Kisumu is shared between Lake Victoria South Water Services Board (LVSWSB), a government owned asset holding company, and Kisumu Water and Sewerage Company (KIWASCO), a Council owned operating company who lease the assets on a long term operating contract. The City Council of Kisumu is responsible for the provision of sanitation, urban drainage and solid waste management services. Other major stakeholders include the Ministry of Water and Irrigation, Water Resources Management Authority (WRMA), Non-Governmental Organisations, Community Based Organisations and the communities of the city and its peri-urban areas. A number of civil society, NGO and microfinance organisations are actively working on water and sanitation projects in informal settlements. These include, World Vision, Sustainable Aid in Africa (SANA), KADET, WEDCO, KWFT and the Undugu Society. Lake Victoria is the main water source for Kisumu City from an intake at Hippo Point, although water (frequently of poor quality) is also abstracted from shallow wells, springs, boreholes, streams and rivers. Residents interviewed during surveys as part of the ongoing LTAP water project, observed that a number of prevalent diseases are associated with unsafe water (and/or inadequate sanitation). The survey indicated that over half of households in Kisumu use water from piped connections, either through individual household connections, yard tap or residential resale, while 26% rely on water vendors who deliver water to the consumers using handcarts, bicycles and other modes of transportation. In some of the informal settlements, KIWASCO has piped water supply distribution networks in place, but water supplies are interrupted by vandalism and misuse of the network. A majority (68%) of survey respondents would be willing to be connected to an improved water supply; there was however a significant proportion who would be unwilling to pay for such connections. The problem of illegal connections is likely to continue at some level until adequate, reliable and affordable water supplies are available legally and enforcement measures applied vigorously. Suggested improvements for water supply from the survey included network extension and maintenance; increased water supply and reliability; affordable prices for water and distribution of water kiosks to low affordability areas; contracting of NGOs and/or CBOs to manage water using a Delegated Management Model or similar approach (refer to Kisumu

Report for details); elimination of corruption through increased vigilance and improved management practices; regulation of water kiosk operators and enforcement of existing laws by health officers. Eleven percent (11%) of the informal residents have no latrines. They rely on mechanisms such as visiting neighbours toilets, and wrapping and throwing waste. In the peri-urban areas of Kibos, Usoma and Kanyakwar with lower population densities, on-site sanitation facilities such as pit latrines and septic tanks are used. A significant majority (84%) of survey respondents preferred to use private toilets; this may be attributable to the challenges faced by women and girls who use public and shared toilet facilities. Suggested improvements for sanitation by survey respondents included increased access to sewer network and drainage facilities, improved maintenance of sewers, proper solid waste management and the tackling of corruption within providing organisations. It is noted that AFD, as well as funding the water supply improvements under LTAP, are also funding an Urban (infrastructure) Project to the value of some 40million, although the precise scope of the investments is not yet fully determined. 1.3.1.2. Water Demand Planning studies prepared under the Citys draft Structure Plan projected the populations and corresponding water demands shown in Table 1.4, based upon their medium projection with an anticipated annual growth rate of 2.85%. Alternative projections were also prepared for this Study using data available from UN GRHS which indicate a higher annual growth rate so that the possible impact could be considered when planning the proposed expansion of water and sewerage facilities.
Table 1.4 Population and Water Demand Projection 2011-2031 Year 2011 2031 Population 412,000 724,000 Water Demand (m3/day) 49,901 87,536
Source: Kisumu draft Structure Plan
120000 110000 100000 90000
m3/d
80000 70000 60000 50000 40000 30000 2011 2016 2021 2026 2031 DemandProjection WorksCapacity DemandProjection(UN)
Figure 1.2 System Demand vs Capacity 2011- 2031
The current works capacity is based upon the assumption that 46,000 m3/day is available from the refurbished Dunga Treatment Works and 36,000 m3/day from the proposed new

works at Kajulu; on this basis a further new source will need to be online by 2028. Under the UN projection the new source requirement advances to 2024, so it is very important that population growth and water demand are adequately monitored in the coming years. This study has raised concerns over the reliability of the proposed new source at Kajulu and questioned its ability to deliver the predicted 36,000 m3/day reliably, which if not achieved would hasten the requirement for a new source considerably4. The position should become clearer following the initial development works planned for the Kibos Valley including additional hydrological studies planned under Package 2 of LTAP. 1.3.1.3. Water Supply AFD funded emergency works under the Long Term Action Plan were completed in mid2011. This project, and works constructed under the Short Term Action Plan of the same project, has increased the capacity of the citys principal water source at Dunga to about 46,000 m3/day with the expansion and upgrading of the existing intake and treatment facilities. The AFD are also funding works under the Long Term Action Plan. These works include the development of a new gravity source at Kajulu on the Kibos River producing 36,000 m3/day5. In addition, the LTAP includes plans to: Improve the distribution network in central areas of the city and expand coverage to the immediate peri-urban areas; Construct new service reservoirs within the distribution system together with trunk and distribution mains; Provide improved water supplies to the informal settlements based on the Delegated Management Model (DMM) approach; and Provide additional capacity building support for KIWASCO with a particular focus on Non-Revenue Water.
New Treatment Stream at Dunga WTW - Kisumu
At the time of this report the precise scope and details of some of the above proposals are still under consideration, so the full scope and outcomes remain to be finalised. This PFS has identified the following areas for potential further investment:
4
Operational issues still need to be addressed at Dunga intake and treatment plant;
The assessed capacity of the Kajulu source is very dependent upon WRMAs requirements for compensation flow downstream of the proposed dam see Part 2 - Kisumu 5 This capacity is still under review
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Possible additional investment in informal settlements (depending upon the outcome coverage of the LTAP interventions) utilising the Infrastructure Led Upgrading approach described in Section 1.8.9 of this report; Expansion of the supply network further into adjacent satellite communities at Kiboswa, Maseno and Ahero; and Additional support to KIWASCO and LVSWSB: Master Plan and Water Resource studies; Waste Control Unit; Mapping capability and a network model; Stores and equipment; Technical assistance and specialist training; Commercial strengthening and new billing system; and Capacity building.
The concerns raised in this PFS over the development plans for the Kajulu source have highlighted the need for a detailed source development feasibility study to explore LVSWSBs ambitions for a new gravity source for Kisumu. Whether this is the high dam envisaged on the Kibos River or other possible source such as the possibly harnessing surplus water from the proposed new hydro dam on the Yala River, using surplus water from the proposed Kora irrigation dam or reverting to Lake Victoria, a detailed feasibility study is required as a matter of priority. 1.3.1.4. Wastewater There are currently two wastewater treatment plants for the city at Kisat and Nyalenda, with the capacity to treat some 18,000 m3 of sewage daily. The WWTPs are fed by a sewerage network covering some 600 ha of the city with around 6,000 connections. Package 3 of the LTAP works includes plans for the rehabilitation of the works and expansion of the network as follows: 55 km of new sewers; Rehabilitation of the Kisat plant and sewage pumping stations; Rehabilitation of Nyalenda waste stabilisation ponds; Increased sewered area to 7,000 ha; and Increased capacity at Nyalenda WSP to 25,000 m3/day.
The lack of provision within the contract for the connection of households to the new sewers is a concern as households must connect if the system is to function properly. LVSWSB has plans to further expand the sewerage network in the west of the city including another new treatment facility at Ontonglo with a capacity of some 24,000 m3/day. This work was included under LTAP (under a design and build contract) but there may be insufficient identified funding under LTAP to complete the work once all other components will have been completed. A Technical Assistant to LVSWSB, provided through LTAP, will draft a Design and Build contract for the development of this new plant. The proposed works are not supported by a detailed feasibility study or master plan and this will be required before the project can advance in order to properly specify the plants performance requirements. Of particular concern, given land ownership and tenure issues, is identifying a suitable and acceptable site for the treatment plant.
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Kisat Sewage Treatment Plant - Kisumu
1.3.1.5.
Sanitation A large percentage of the population relies on on-site sanitation and this situation is likely to continue for some time as extensive sewerage coverage is neither practical nor affordable at present. However, the current situation can be improved. The LTAP intends to address wastewater issues in informal areas but proposals are yet to be determined, and therefore cannot be commented upon. There is, for instance, a proposal for the trial use of condominial sewers to assess their effectiveness. There is also scope, and a need, to improve the facilities for emptying and disposal of waste from latrines and septic tanks and this aspect requires co-ordination between KIWASCO and the Council. The LTAP project has provision for sanitation improvements within informal settlements but it may not address all of the sanitation needs of the residents. It is likely that there will be more that can be done. However, the nature and extent of the funding gap cannot be defined at the time of writing.
1.3.1.6.
Urban Drainage The coverage of the existing drainage facilities is assessed as around 20% of the city area. There is anecdotal evidence of localised flooding during rains. The situation is aggravated by the on-going residential development in the hills around and above Kisumu and its impact upon the levels and speed of run-off. The assessment found that: Drains are generally in poor condition and blocked with silt; The two main drains for the city are in need of rehabilitation; Road drains also need maintenance and rehabilitation; and The Council has plans to: Provide new covers to existing drains; Dredge and rehabilitate channels; and Construct new drains.
These current plans are just an initial phase of the citys future drainage needs. The Council needs an Integrated Stormwater Management Plan. The Council has identified a list of works prioritised on the basis of severity and optimisation for the purpose of securing funding. However, even after implementing these immediate needs, major gaps will still exist. An AFD funded Kisumu Urban Project will also target investments for improving draining in the informal settlements of Nyalenda and Kaloleni, Manyatta and Obunga.
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1.3.1.7. Solid Waste Management The City Council has developed an Integrated Solid Waste Management Strategy (SWMS) with the assistance of a number of organisations and donors.
Kachok Solid Waste Dumpsite - Kisumu
The SWMS has identified priority activities anticipated as: Relocate existing dumpsite away from city (need to identify site and undertake design); Restore the existing dumpsite after clearance; Provide a hazardous waste disposal site; Improve collection facilities; and Improve recycling.
Additional funding to support the City Councils plans to upgrade infrastructure have been pledged by AFD through the Kisumu Urban Project (KUP) which includes funds for solid waste management. It is thought that these should be sufficient in the short-term. 1.3.1.8. List of Proposed Interventions Table 1.5 lists all of the possible medium term interventions identified by the technical analysis for this Study by discipline; these are described and justified in detail in the separate location report (PFS Part 2). The total investment cost of the interventions identified in the PFS is presented by discipline in the following table.
Table 1.5 - Total Investment Costs by Discipline Discipline Water Supply Sewerage Sanitation Urban Drainage Solid Waste Capacity Building Total
6
Amount (MEUR) 24.1 17.1 3.6 9.0 22.56 0.5 76.8
8m allocated under infrastructure upgrading project (KUP)
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Table 1.6 - List of Medium Term Interventions for Kisumu
Discipline Item Extend intake pipes at Dunga WTW further out into the lake Chemical dosing at Dunga WTW Problems with the filter backwash system at Dunga WTW Remodelling of the high lift pumps at Dunga WTW Install functioning flowmeters in all key locations and consider introduction of basic telemetry system for capture and processing of data KIWASCO need Waste Control Unit (WCU) KIWASCO need to develop / obtain / upgrade its asset records onto a suitable GIS and a suitable network model Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Water Supply of materials, pipes, fittings, replacement valves, etc Supply of consumer meters Expansion of supplies to Kiboswa Expansion of supplies to Maseno Expansion of supplies to Ahero Feasibility Study for a high dam on the Kibos River and reassessment of the capacity of the Dunga source Construction of a dam in the Kibos Valley to provide reliable gravity supplies for the city including treatment plant and distribution pipelines KIWASCO would benefit from an upgrade of its office facilities (and potentially stores and maintenance facilities) 15.0 Capital Project Provision of safe reliable water supply Upgrade from existing informal sources 0.5 TBA Technical Assistance Capital Project 0.5 Capacity Building Improved working environment (existing facilities limited) Secure storage Additional water is required Estimated Cost million Type 0.4 Operations Potential Benefits Enhanced drinking water quality. Improved efficiency (cost savings) Increased output (potential increased revenue) Increased revenue/reduced cost NRW understood to be high Optimised use of system Potential Issues Need for further study Justification Strong
Operations, Capacity Building and Technical Assistance -
4.1
Need for ongoing resource (commitment from KIWASCO) Low starting point of technical capacity
Strong
1.6 Operations
Supports waste control actions above
Need for secure storage and stock control Need for ongoing resource (commitment from KIWASCO) High costs (capital and operational) Significant distance from source Need for further study (including WTP) Feasibility very uncertain at this stage Case for dam not proven
Strong
Medium (needs further evaluation)
Strong case for study
Need for ongoing resource (maintenance costs)
Low
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Discipline Item Estimated Cost million Type Water Supplies in informal areas Water & Sanitation in Informal Areas 5.6 Sanitation for properties near to a sewer Sanitation for properties far from sewer Sewer realignment / reconstruction in the Central WTD to relieve load on Kisat. Upgrade the main trunk sewers in Eastern WTD to carry additional load. The cost also includes for construction of new sewers in Mamboleo and Lolwe areas. Capacity check of Nyalenda WTP Construction of a full sewerage system in Kanyakwar, Bandani, areas adjacent to the airport including a treatment plant at Ontonglo area. Prepare a sewerage Master Plan Covering existing lined drains with pre-cast concrete cover slabs Rehabilitation of existing lined drains (dredging and replacement of damaged and dislodged side slabs) Construction of lined drains complete with cover slabs Construction of new lined open drains Construction of new stone pitched open drains Upgrading of existing lined open drains Reconstruction of existing open earth drains by expanding the drains and lining them Rehabilitation of Auji drain Construction of 900 mm diameter concrete culverts in some selected problematic areas Construction of 600 mm diameter culverts in some low lying areas that are problematic Study into potential to let a contract for waste collection Capital Project Potential Benefits Provision of safe reliable water supply Upgrade from existing informal sources Access to improved sanitation Pro-poor Potential Issues Uncertainty around coverage of LTAP project Needs assessment of willingness to pay Area specific technological solutions may be required Complex implementation Maintenance of household and decentralised systems Needs assessment of willingness to pay for new connections Justification
Strong, if required (dependent on LTAP coverage) Contributes to infrastructure led upgrading
Capital Project
4.7
Enhanced plant operation, and effluent quality Enhanced lake water quality Access to improved sanitation Access to improved sanitation
Strong Complements work of LTAP
Sewerage
12.1
Capital Project Technical Assistance Capital Project -
Lack of engineering definition Needs assessment of willingness to pay for new connections
Medium (needs further evaluation) Strong
0.3
Define investments over 25 year period
1.0
Urban Drainage
8.0 Capital Project
Reduced flood risk Reduced public health hazards of open drains
Requires ongoing funding Does not generate revenue
Low/medium
Solid
2.3
Operations
Improved waste
Need for ongoing resource
Medium/Strong, if
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Discipline Waste Item services Develop working plans to improve landfill operation Undertake a feasibility study into development of formalised composting plant KMC will require additional technical and project management support to assist in implementing KISWAMP Skip loader and skip containers to increase waste collection capacity - Alternative option of compactor trucks and dumpsters to increase collection capacity Provide micro-loans or grants to assist locals in procuring hand-carts - Alternatively could provide grants to the Council to procure new vehicles and containers Install a weighbridge to record data Construction of lined landfill cell to manage industrial and hospital wastes Rehabilitate existing dumpsite and engineer quarries to receive waste from existing dumpsite Development of a WEEE recycling and reprocessing facility Construct a dedicated lined hazardous waste landfill cell at the proposed new landfill facility Estimated Cost million Type Technical Assistance and Capacity Building Potential Benefits collection and disposal, with public health benefits Potential Issues (commitment from municipality) Reliance on individual participation (for waste collection) and general awareness Justification required (dependent on Kisumu Project activities)
1.5
Operations
11.7 Capital Project 7.0 Capital Project -
Improved waste disposal, with public health and environmental benefits (current landfill in town centre) Improved management and control of waste disposal
Higher transport costs Identification of acceptable landfill location Medium/Strong
All
Capacity Building
0.5
Capacity Building -
Improved institutional capacity for planning, implementation and operation Address utilities, municipality and CBOs
Commitment and resources Receptiveness to change Low starting point for technical capacity
Strong
Total
76.8
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1.3.2.
1.3.2.1.
Mwanza
Context The region is a major industrial centre in Tanzania and also a leading producer of cotton (a major cash crop export). Fishing and the rearing of livestock are also major economic activities. More recently the mining sector has expanded in the region and this is now having a significant impact on the citys development. The majority of economically active people are self-employed. Despite this, in 2008 Mwanza region was among the poorest in Tanzania; with an overall low level of economic performance when measured by per capita gross regional product; ranking 10th amongst 12 selected regions.
Informal settlement near Mwanza city centre
Most employed people work in the service sector, while those who are self-employed are involved in petty trade, tilling land, micro-fishing activities etc. Approximately 50% of people are employed (employed and self-employed). The average per capita income is approximately US$ 21 per month. In Mwanza City there are three main low income/informal areas: Igogo in Igogo ward, Mabatini in Mirongo ward and Igoma. In these areas the population has constructed houses in rocky areas because it is cheap and people do not have to buy land. Most low income citizens see these places as essential to their survival; however, the provision of water facilities in these areas is a significant problem. The cost of installing piped water services is a challenge, while at the same time very few people can afford to have piped water. Those who can afford a water connection often sell water to other people. There is a high incidence of waterborne or related diseases and vectors such as malaria, schistosomiasis, worms, typhoid, diarrhoea, skin diseases and cholera. Mwanza Urban Water and Sewerage Authority (MWAUWASA), a government owned Authority, is responsible for the provision of water and sewage services within Mwanza. Sanitation, urban drainage and solid waste are the responsibility of Mwanza City Council. Other major stakeholders with an interest in water supply and sanitation issues include the Regional Administrative Secretary, Mwanza City Council (MCC), the Ministry of Water and Irrigation and the Lake Victoria Basin Commission (LVBC). 1.3.2.2. Water Demand Planning studies prepared for the citys draft Master Plan projected the following populations and corresponding water demands. Alternative projections were also prepared using data available from UN GRHS which indicate a higher annual growth rate resulting in a population

some 50% larger over the next 20 years. A third projection prepared by consultants in the recent Water System - Preliminary Design Report has not been included, as it predicted even higher growth rates, resulting in an unlikely 400% predicted population increase by 2031.
Table 1.7 Population and Water Demand Projection 2011-2031 Year 2011 2031 Population 618,000 1,146,000 Water Demand (m3/day) 83,400 154,800
Source: Mwanza draft master plan
220000 200000 180000 160000
m3/d
140000 120000 100000 80000 60000 40000 2011 2013 2015 2017 2019 2021 2023 2025 2027 2029 2031 DemandProjection Demandprojection(UN) Capripoint (105) plusNew Source (+50)
According to these projections MWAUWASA will need to supplement the existing Capri Point source in 2018 (2015 under the UN projections). The new source needs to be ~50Mld to accommodate the anticipated increase in water demand by 2031. The uncertainty that surrounds the projections mean it is essential that population and water demand changes are monitored, together with the impacts of extending the distribution network, so that the impact on the demand for water may be managed effectively. 1.3.2.3. Water Supply Mwanza water supply facilities were subject to major investment during the first decade of this century. New treatment facilities, service reservoirs and pumping plants were installed to increase the design capacity to 105,000 m3/day. However, issues remain and this PFS concludes that there is a need to: Address operational/design issues at Capri Point intake and treatment plant to ensure that the plant can deliver efficiently and at full capacity; Develop new distribution networks for fast developing and unserved areas some above the current hydraulic level of the system, including some unplanned areas; Plan, design and implement the next water source for the city within the next five years; and
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Provide further support to MWAUWASA through: Studies and Master Plans; Stores and equipment; Technical assistance particularly in non-revenue water and network management; and Training/capacity building.
Under Tanzanias Water Sector Development Programme (WSDP) a consultant appointed by MWAUWASA has carried out a study to identify and design extensions to the water distribution networks to take the service to many more households; these designs have been completed although the works are not yet funded. The proposed works are extensive and may need to be constructed in phases to accommodate funding limitations. However, the proposed network extensions are not explained in context of the pressure zoning of the city; new pumping stations and service reservoirs are proposed by their size, location and function are not described in the appropriate Design Report. There are also serious concerns over the methodology adopted by the design consultant in sizing the proposed pipelines. It is recommended that a Water Master Plan is prepared for the city, before any construction takes place, to confirm the philosophy and required capacities of the proposed works. If there is a requirement to identify some immediate works (early start investments) it is likely that some of the proposed pipelines in the more established areas could proceed at relatively low risk.
Filters at Capri Point Water Treatment Plant
1.3.2.4.
Wastewater The Sewerage facilities in Mwanza have recently undergone expansion and improvement with funding through the WSDP from the German Government Development Bank (KfW). Studies under the WSDP have made recommendations for further expansion of the citys sewerage facilities and the consultant has produced designs for the recommended works. These require funding and include plans to: Extend coverage of sewerage network into new areas; Construct a new wastewater plant at Igoma in the East; and Construct a new wastewater plant at St Augustine's University to the South.
This study has also highlighted concerns about the capacity of recently refurbished Ilemela WSP and the plants ability to receive additional flow from new areas. It appears that if the current sewer network was fully connected then the full capacity at Ilemela would be utilised,

and extension of the network to new areas will require a corresponding increase in treatment capacity at the Ilemela Plant.
Area ear-marked for expansion of WSP
Ilemela WSP Brewery WSP
Therefore any plans to expand the sewerage network in areas draining to Ilemela will need to be considered together with plans to expand treatment capacity. MWAUWASA reports that additional land is available adjacent to the current works although this is currently occupied by an informal settlement; the current site is also directly adjacent to the treatment plant for a brewery so there may be scope to combine facilities. This will need examining in detail and would form part of the scope for the recommended Sewerage Master Plan.
Refurbished Waste Stabilisation Ponds at Ilemela Mwanza
The priority work is considered to be the construction of new treatment ponds at Igoma together with a trunk sewerage system for the surrounding industrial area. Effluent from factories currently discharges directly into a water course in Igoma the previous treatment facilities having fallen into disrepair. Works in this area will therefore have a major impact upon the environment. Designs for the waste stabilisation ponds have been prepared by a consultant but these do not allow for the treatment of the industrial wastes so will need to be
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revisited. However, since the land for the plant is readily available and the routes of the main collector sewers are easily accessible, it is recommended that these works are undertaken as a priority. Fish processing industries in Igogo currently still discharge untreated waste into Lake Victoria because their effluent does not meet standards for discharge to (the available) sewer. Clearly, this situation is unacceptable and a solution needs to be brokered between the industries, NEMC and MWAUWASA as a priority. 1.3.2.5. Sanitation Despite quite ambitious plans to expand the coverage of the sewerage network, a large percentage of the population will continue to rely on on-site sanitation being in areas that are physically difficult to sewer or are sited too far from the network. This PFS contains a Sanitation Strategy (Section 1.8) describing an assortment of possible solutions to address the problems of improving sanitation in unsewered areas of the city. During the Implementation Phase these generic solutions will be worked up into tailored solutions on an area by area basis. The nature of the land in the hills around the city centre makes the provision of wastewater services, whether on or off-site, particularly challenging technically. The likely staring point will be the provision of improved facilities in public places such as markets, schools and health centres and the problem of providing a piped water supply to these facilities must also be addressed. Previous projects have designed specific sludge collection pipes for informal areas around Mabatini and these will be piloted as a priority. More detailed proposals are elaborated in Part 3 of this PFS with specific proposals to address the low income areas and schools. Also discussed are: The approach to the development of more sustainable on-site disposal; Possible use of utility stairways and sewerage collector pipes in areas of restricted access; The provision of more communal facilities; Trial use of condominial sewers; Improved facilities for emptying and disposal of latrines and septic tank sludges; and Improved technical advice, access to materials and hygiene promotion for communities and householders.
1.3.2.6.
Urban Drainage Expansion of the urban drainage facilities was achieved as part of the recent EU funded roads improvement project increasing coverage to some 40% of city. However the city still experiences localised flooding during the rains. This study concluded that: Generally the drains are in good condition, but with evidence of vegetation growth and silt deposits; Some older road drains also need maintenance and rehabilitation; Council has plans, but no funding for: Constructing new ditched and culverts; Cleaning and rehabilitation of channels; and Constructing new drifts and bridges.
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The Councils current plans are just the initial phase to meeting the drainage needs of the whole city. 1.3.2.7. Solid Waste The City Council has developed proposals for improvement of the solid waste facilities which have been reviewed and included under the recommendations of this study including: Improved operation of the existing landfill; Protection of environment from leachates; Identifying the need for a separate sanitary items waste site; and Improve collection facilities; and recycling.
1.3.2.8.
List of Proposed Interventions Table 1.8 lists all of the possible medium term interventions identified by the technical analysis for this Study by discipline. The total investment cost of the interventions identified in the PFS is presented by discipline in the following table.
Table 1.8 Total Investment Costs by Discipline Discipline Water Supply Sewerage Sanitation Urban Drainage Solid Waste Capacity Building Total Amount (MEUR) 66.5 32.9 13.1 6.3 43.4 0.5 162.7
The identified investment in water and wastewater is some 113 million. It may be necessary to phase the proposed interventions over, say, a ten year period in order to ease the financial burden and to allow MWAUWASA to expand at a manageable rate.
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Table 1.9 - List of Medium Term Interventions for Mwanza
Discipline Item Surge problems at Capri Point Pump Station Flowmeters at Capri Point not registering accurate flows Remodel outlet pipework to use existing circular tank at Capri Point Inadequate suction problems at some booster stations Provide a second small pump at the intake to allow better balancing between intake flow and system demand Air locks were reported to be a problem in parts of the network Nyanshana Tank reported as having to operate air valves in order to supply high areas Need Waste Control Unit Assistant with Set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Water Supply of materials, pipes, fittings, replacement valves, etc 0.7 Supply of consumer meters Expand distribution network Supplies to settlements located above the service reservoirs Six areas under consideration, Capri Point. Nyegezi, Kitangiri, Nyabungu, Nyasaka and Bugando Area Supplies to Igombe Develop new water source 34.5 Feasibility Study for new source for Mwanza Capital Project and Technical Assistance 27.4 Capital Project Provision of household connections Increased revenue for utility (from householders rather than vendors) Includes informal areas (pro-poor) Enables network extension above Required for increasing demand (supplied directly by distribution network or via tankers etc) Improved working Operations Estimated Cost million Type Potential Benefits Improved efficiency (cost savings) Increased output (potential increased revenue) Potential Issues Need for detailed investigations Scope of investigations may become significant Strong Justification
0.9
Operations
2.5
Capacity Building and Technical Assistance
Increased revenue/reduced cost NRW understood to be high Optimised use of system Supports waste control actions above
Need for ongoing resource (commitment from MWAUWASA)
Strong
Need for secure storage and stock control Need for ongoing resource (commitment from MWAUWASA) Designs are available but need review Brings forward the need for a new source
Strong
Medium/Strong Consider phasing
Need for study Land availability Strong
Water
MWAUWASA - better offices and facilities
0.5
Capacity
Need for ongoing
Low
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Discipline Item Estimated Cost million Type Building Potential Benefits environment (existing facilities limited) Secure storage of materials Potential Issues resource (maintenance costs) Construction has already commenced, delayed due to shortage of funds Existing designs need review Risk of insufficient WSP capacity Existing designs need review Need for designs for Igoma WSP areas Justification
Funding may not be required
Sewerage
Expand sewer network to cover Ilemela, Lumala, Kiseke and part of Pasiansi Include for house connections and pumping stations Capacity check of Ilemela WSP and expansions thereto Sewerage Master Plan study Design and construct sewer network in Mabatini and Isamilo including for house connection and pumping station Design for sewer network to serve the proposed Igoma waste stabilisation ponds including house connections and pumping stations. The cost includes for the construction of Igoma ponds Design studies for the proposed sewage treatment plant at St Augustines University grounds and the sewer network to serve the Treatment plant
19.2 Capital Project and Technical Assistance -
Access to improved sanitation (currently mainly septic tanks)
Medium
Access to improved sanitation (currently mainly septic tanks)
12.9
Capital Project
Medium
0.8 Capital Project -
Access to improved sanitation in south of city Access to improved sanitation Pro-poor
Needs studies and designs Needs assessment of willingness to pay Area specific technological solutions may be required Complex implementation Maintenance of household and decentralised systems Requires ongoing funding Does not generate revenue
Medium
Provision for properties near to a sewer Sanitation Provision for properties far from sewer 13.1 Capital Project
Strong Contributes to infrastructure led upgrading
Urban Drainage
Construct line ditches Construct Culverts Construct Drifts Construct Bridges
6.3
Capital Project
Reduced flood risk Reduced public health hazards of open drains
Low/medium
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Study into potential to let a contract for waste collection services Develop working plans to improve landfill operation and ensure regular monitoring of groundwater and water quality in the adjacent river Undertake a feasibility study into development of formalised composting plant Technical support in the site selection exercise to identify optimum location for new dumpsite Ilemela Technical support to identify new/ additional centralised waste collection areas Skip loader and skip containers to increase waste collection capacity - Alternative option of compactor truck and dumpsters to increase collection capacity Provide grants to the Council to procure new vehicles and containers Install a weighbridge to record data Construct a lined landfill cell to manage industrial and hospital wastes Rehabilitate existing dumpsite and install liners and gas/ leachate management systems and construct new landfill cells Construct new sanitary dumpsite for the Ilemela Council. Design and engineering of the facility. Develop a WEEE recycling and reprocessing facility in Mwanza Construct a dedicated lined hazardous waste landfill cell at the proposed new landfill facility and existing dumpsite Improved waste collection and disposal, with public health benefits -Enhanced river, groundwater and lake water quality Need for ongoing resource (commitment from municipality) Reliance on individual participation (for waste collection) and general awareness Medium/Strong
2.2
Operations, Capacity Building and Technical Assistance
Solid Waste
1.5
Operations
11.7 Capital Project -
Improved waste disposal, with public health and environmental benefits Improved management and control of waste disposal
High transport costs
Medium/Strong
28.0
Capital Project
All Capacity Building 0.5 Capacity Building 162.7
Strong
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1.3.3.
1.3.3.1.
Musoma
Context Musoma is situated on the eastern shore of Lake Victoria. Musoma Municipality includes 13 wards and is the administrative headquarters of the Mara region in the north of Tanzania. The estimated population of Musoma is 143,000. More than 50% of the population is under the age of 20. At present, 7% of the population lives in low density housing areas, 10% in medium density housing areas, 33% in high density planned areas and 50% in high density unplanned areas or peri-urban homesteads on the outskirts of the municipality. Shifts over time toward low and medium density housing (with reduced numbers of people living in unplanned settlements and homesteads) are likely to increase demand for improved water and sanitation services. There is significant gender disparity; women are not allowed to own property for cultural and religious reasons and along with children are also the primary domestic water collectors. Approximately half of all households belong to some type of community or residents association; these associations may be useful channels to promote, advertise and gather support for some of the proposed project interventions. Health facilities are limited. Waterborne or water-related diseases are likely to account for a significant proportion of the workload of existing health facilities. The main water source for Musoma is Lake Victoria. There are three water intakes managed by Musoma UWSA. Treatment of abstracted water is limited to occasional disinfection. Direct abstraction from streams by individuals is also common; other sources include boreholes, springs and purchased water from vendors. The majority of residents perceive water as neither clear nor safe to drink; despite this, many people do not boil the water or use other treatment methods to improve the quality. Musoma Urban Water and Sewerage Authority (MUWASA) is a government owned Authority responsible for the provision of water and sewage services within Musoma. Sanitation, urban drainage and solid waste are the responsibility of Musoma Municipal Council. Sanitation services and wastewater disposal in Musoma are currently provided by the Municipal Council. Musoma Town does not have a waterborne sewerage system. On-site methods are used for the disposal of wastewater and excreta by local residents, including traditional pit latrines, ventilated improved pit (VIP) latrines and septic tanks with soakaways. Existing services for sludge removal are limited and considered too expensive by domestic users, who use traditional hand emptying methods instead. At present the Municipal Council disposes of sludge into six poorly engineered and maintained lagoons at Nyamitwebiri.
1.3.3.2.
Water Demand Planning studies undertaken for this assignment predict the following population and water demand for the year 2031 using the population growth rates prepared by UN GRHS (see Table 1.10). These projections are significantly lower than those adopted under the recent AFD and KfW/EU funded studies which predict higher growth rates based on data from NBS. The studies provided little justification to support their use.
Table 1.10 - Population and Water Demand Projection 2011-2031 Year 2011 2031
Source: UNGRHS
Population 156,700 339,200
Water Demand (m3/day) 19,200 41,500
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90000 80000 70000 60000
m3/d
50000 40000 30000 20000 10000 0 2011 2016 2021 2026 Phase 2Cap Phase 1Cap UNProj NBSProj 2031
On this basis the proposed Phase 1 plant will be adequate until ~2026 using the UN GRHS data. 1.3.3.3. Water Supply The current AFD project is targeting major improvements to the water supply system including a new source comprising intake, treatment plant and delivery system. Some support to MUWASA in the area of capacity building and loss management is suggested through provision of a technical advisor during the implementation period. 1.3.3.4. Wastewater and Sanitation The EU/KfW Feasibility Study recommended improvements to the provisions for the collection and disposals of waste but proposed continued reliance on on-site sanitation methods. However, although a large percentage of the population will need to rely on onsite sanitation, the Utility and the Municipal Council feels strongly that town centre sewerage is a priority as its absence presents a considerable restriction to development; this Study accepts that argument and therefore proposes the construction of town centre sewers with appropriate treatment facilities. Designs for this have been prepared under a different WSDP assignment by consultant Poyry and these are suitable for use with small modifications, which can be resolved as part of the proposed design review / sewerage master plan study. Recommendations supported by this study include: Construction of sewerage network and WSP treatment facilities for town centre; Construction of VIP toilets at public institutions; Construction of sludge disposal and digestion facilities; Procurement of exhausters; and Training and capacity building.
None of the works identified and designed under WSDP have funding under that programme and are therefore can be considered under this project.
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1.3.3.5. Urban Drainage The towns urban drainage is in need of upgrading. The following is proposed following discussion with the Municipality: 25 km of new stone pitched open drains; A new overflow culvert from Kitaji drain; Upgrade of Kitaji pond itself; and Construction of new culverts to problem areas.
No funding has been identified for this work.
Open drain used for toilet discharge - Musoma
1.3.3.6.
Solid Waste The solid waste arrangements in Musoma are fairly effective, however, the following is proposed: Construction of a new landfill; New collection points at strategic points around the town; and Capacity Building and Technical Assistance.
No funding has been identified for this work. 1.3.3.7. List of Proposed Interventions Table 1.11 lists all of the possible medium term interventions identified by the technical analysis for this Study by discipline. The total investment cost of the interventions identified in the PFS is presented by discipline in the following table.
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Table 1.11 - Total Investment Costs by Discipline Discipline Water Supply Wastewater Urban Drainage Solid Waste Capacity Building Total Amount (MEUR) 1.0 15.0 3.1 3.1 0.5 22.7
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Table 1.12 - List of Medium Term Interventions for Musoma
Discipline Item Supply of materials, pipes, fittings, replacement valves, etc Supply of consumer meters MUWASA need Waste Control Unit Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Construction of town centre sewerage system and waste treatment ponds Construction of VIP toilets Servicing on-site sanitation Capacity building Procurement of Exhausters Master plan study for Musoma Sewerage Construction of new stone pitched open drains Construction of an overflow drain culvert to drain Kitaji pond to lake Victoria Recreation of Kitaji pond Construction of 900mm diameter concrete culverts in some selected problematic areas Construction of 600mm diameter culverts in some low lying areas that are problematic Construction of centralised waste collection points Construction of land fill Capacity Building Procurement of refuse collection equipment Further studies and pilot projects Estimated Cost million Type Operations and Technical Assistance Potential Benefits Increased revenue/reduced cost NRW understood to be high Optimised use of system Potential Issues Need for ongoing resource (commitment from utility) Low starting point of technical capacity Justification
Water
1.0
Strong
11.0 Capital Project and Capacity Building
Sewerage
2.9
1.1
Operations, Technical Assistance
Removes a constraint on development in town centre Access to improved sanitation Pro-poor (partly) Environmental protection (wastewater treatment)
Concerns over selected site for ponds Need to review designs Needs assessment of willingness to pay Complex implementation Maintenance of household and decentralised systems
Medium
Urban Drainage
3.1
Capital Project
Reduced flood risk
Requires ongoing funding Does not generate revenue
Low/medium
2.0
Solid Waste
Capital Project and Operations Capacity Building and Technical Assistance
Improved waste collection and disposal, with public health and environmental benefits
Reliance on individual participation (for waste collection) and general awareness
Medium/Strong
1.1
All Capacity Building 0.5 Capacity Building Total Musoma 22.7
Strong
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1.3.4.
1.3.4.1.
Bukoba
Context Bukoba is situated on the western shore of Lake Victoria. Bukoba Municipality includes fourteen wards and is among the eighteen urban Councils in Tanzania categorized as secondary towns. The estimated population of Bukoba is 81,215; the estimated total population of Bukoba Municipality is 142,000. Nearly 50% of the population is under the age of 20. At present, 2% of the population lives in low density housing areas, 11% in medium density housing areas, 40% in high density planned areas and 47% in high density unplanned areas or peri-urban homesteads on the outskirts of the municipality. As for Musoma, shifts toward low and medium density housing (with reduced numbers of people living in unplanned settlements and homesteads) are likely to increase demand for improved water and sanitation services. There is significant gender disparity; women are not allowed to own property for cultural and religious reasons and along with children are also the primary domestic water collectors. A significant number of households belong to some type of community association; these associations may be useful channels to promote, advertise and gather support for some of the proposed project interventions. Health facilities are limited. Waterborne or water-related diseases represent approximately 20% of the principal reported diseases and as such are likely to represent a significant proportion of the workload of existing health facilities. Bukoba Urban Water and Sewerage Authority (BUWASA) is a government owned Authority responsible for the provision of water and sewage services within Bukoba. Sanitation, urban drainage and solid waste are the responsibility of Bukoba Town Council. Several water sources are utilised by BUWASA, including four springs, one river intake and one intake from Lake Victoria. Treatment facilities are rudimentary. Direct abstraction from the lake, springs and streams by individuals is also common; other sources include boreholes and water purchased from vendors. The majority of residents perceive water as neither clean nor safe to drink; despite this, many people do not boil the water or use other treatment methods to improve the quality. Sanitation services and wastewater disposal in Bukoba are currently provided by the Municipal Council. Bukoba Town does not have a waterborne sewerage system. On-site methods are used for the disposal of wastewater and excreta by local residents, including traditional pit latrines, VIP latrines, and septic tanks with soakaways. Existing services for sludge removal are limited and considered too expensive by domestic users, who use traditional hand emptying methods instead. The discharge of pit latrines and septic tanks contents into surface streams that ultimately flow to Lake Victoria is an issue, particularly during the rainy season. At present the Municipal Council disposes of sludge into a single cell lagoon located at Nyanga, 12 km from the town centre. The lagoon is poorly maintained and infrequently used. The supernatant liquid percolates into the ground and the solids dry out.
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UNHABITAT supplied waste collection vehicles
1.3.4.2.
Water Demand Planning studies undertaken for this assignment predict the following population and water demand for the year 2031 using the population growth rates prepared by UN GRHS. These projections are significantly lower than those adopted under the recent AFD and KfW/EU funded studies which predict higher growth rates based on data from NBS, but provide little justification to support their use.
Table 1.13 - Population and Water Demand Projection 2011-2031 Year 2011 2031
Source: UN GRHS
Population 117,600 254,500
Water Demand (m3/day) 14,400 31,100
60,000 50,000 40,000
m3/d
30,000 20,000 10,000 0 2011 2016 2021 DemandProjectionNBS DemandProjectionUN Phase 1Capacity Phase 2Capacity 2026 2031
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1.3.4.3. Water Supply The current AFD project is targeting major improvements to the water supply system including a new source comprising intake, treatment plant and delivery system. Some support to BUWASA in the area of capacity building and loss management is suggested through provision a technical advisor during the implementation period.
BUWASA office
1.3.4.4.
Wastewater and Sanitation Bukoba will continue to rely on on-site sanitation for a large percentage of the population. However, the Municipal Council feels strongly that the absence of town centre sewerage is hampering development and this Study proposes the construction of town centre sewers and appropriate treatment facilities. Recommendations supported by this study include: Construction of sewerage network and WSP treatment facilities for town centre; Construction of VIP toilets at public institutions; Construction of sludge disposal and digestion facilities; Procurement of exhausters; and Training and capacity building.
No funding has been identified for this work under WSDP.
Access to Informal Settlement - Bukoba 5099279/70/003/Main Report - Final Page 57

1.3.4.5. Urban Drainage The towns urban drainage is in need of upgrading. The following, based upon discussions with the Municipality, is proposed under this study: 30 km of new stone pitched open drains; Construction of new culverts to problem areas; and Lining of the Kanoni River channel.
No funding has been identified for this work. 1.3.4.6. Solid Waste The solid waste arrangements in Bukoba are fairly effective, however, the following is proposed: Construction of a new landfill; Provision of additional skips; New collection points at strategic points around the town; and Capacity Building and Technical Assistance.
No funding has been identified for this work. 1.3.4.7. List of Proposed Interventions Table 1.14 lists all of the medium term interventions identified by the technical analysis for this Study by discipline. The total investment cost of the interventions identified in the PFS is presented by discipline in the following table.
Table 1.14 - Total Investment Costs by Discipline Discipline Water Supply Wastewater Urban Drainage Solid Waste Capacity Building Total Amount (MEUR) 1.0 11.7 2.8 2.1 0.5 18.1
Kanoni River channel Bukoba 5099279/70/003/Main Report - Final Page 58

Table 1.15 - List of Medium Term Interventions for Bukoba
Discipline Item Supply of materials, pipes, fittings, replacement valves, etc Supply of consumer meters BUWASA need Waste Control Unit Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Construction of town centre sewerage system and waste treatment ponds Construction of long lasting VIP toilets and improvement of poorly constructed toilets through sanitation health programme Servicing on-site sanitation Procurement of Exhausters Capacity building Master plan study for Bukoba Sewerage Urban Drainage Construction of new stone pitched open drains Construction of diameters 600 to 1200mm concrete culverts in some selected problematic areas Lining of Kanoni river draining into lake Victoria Construction of centralised waste collection points Construction of land fill Procurement of refuse collection equipment Capacity Building Further studies and pilot projects 1.3 Estimated Cost million Type 1.0 Operations and Technical Assistance 10.4 Capital Project Potential Benefits Increased revenue/reduced cost NRW understood to be high Optimised use of system Removes a constraint on development in town centre Access to improved sanitation Pro-poor (partly) Environmental protection (wastewater treatment) Potential Issues Need for ongoing resource (commitment from BUWASA) Low starting point of technical capacity Concerns over selected site for ponds Need to review designs Needs assessment of willingness to pay Complex implementation Maintenance of household and decentralised systems Requires ongoing funding Does not generate revenue Reliance on individual participation (for waste collection) and general awareness Justification
Water
Strong
Sewerage
Medium/Strong
Operations, Capacity Building, Technical Assistance
2.8 Capital Project Reduced flood risk -
Low/medium
1.2
Capital Project Operations, Capacity Building and Technical Assistance
Solid Waste
0.9
Improved waste collection and disposal, with public health and environmental benefits Improved institutional capacity for planning, implementation and operation Address utilities, municipality and CBOs
Medium/Strong
All Capacity Building 0.5 Capacity Building Total - Bukoba 18.1
Strong
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1.3.5.
Mwanza Satellite Towns

As a late addition to the project scope, the WATSAN requirements of three towns within the Mwanza region were subject to rapid assessments. All three locations have been the subject of detailed studies and designs under WSDP consultancy packages; Misungwi and Magu by Don Consult and Lamadi, after an initial MWAUWASA study to detailed designs by Cowi. The water supply situation in each of the towns is currently fairly desperate although Misungwi and Magu have existing facilities. The WSDP proposals for Misungwi and Magu are for construction of completely new facilities, including new full chemical treatment plants, again assuming high population growth figures and water consumptions. The proposals assume virtually unlimited funds would be available for the works. This seems neither sensible nor sustainable given the size of the towns and the capacity of the authorities to operate the works and raise income. Proposals also call for new service reservoirs sited at the highest point to feed the whole area by gravity. Consideration needs to be given to the energy savings that could be achieved by pumping the majority of the water to lower elevation reservoirs with water for the high areas being re-pumped to smaller tanks. WSDP proposals for Lamadi are based upon rural rather than urban guidelines and therefore consider smaller per capita consumption at 25 lcd. The proposed intake makes no provision for treatment despite the relatively poor quality of the lake water at the proposed intake. The proposed scheme is also complex and costly. Proposals presented herein are for smaller, less expensive and more appropriately design schemes, although these have been prepared to conceptual level to date. There may be scope to reduce investment costs further by making better use of the existing facilities in some locations but, since this was not investigated under the WSDP consultancy, nor was the condition of these assets assessed, there is no solid data to support this proposal and more fieldwork will be required. Relatively straightforward treatment processes are proposed for all three locations, designed to minimise operational issues and costs. This will comprise simple sedimentation (possibly chemically assisted if required) and rapid gravity filtration with facilities for pre-chlorination in the event of algal blooms. Pumping will be confined to raw (from the lake) and treated water stages, backwashing will be by gravity using water from an elevated tank fed of the rising main. Due to the semi-rural and low density nature of development in the towns proposed sanitation interventions are limited to improving the availability of support to household onsite sanitation and the provision of a sludge treatment/storage facility and a community exhauster vehicle.
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Existing Nyahiti Intake for Misungwi Town
1.3.5.1.
Misungwi The town benefitted from investment in a new intake and rising main under the WSDP. To best utilise this recent investment a scheme is proposed to maximise the capacity of the existing rising main, thereby avoiding the cost of duplication. Such a scheme would supply some 26,000 people, some 70% of the anticipated 2031 population, with an average demand of 72 l/s. Investment is needed to further improve the intake, provide treatment, improve the reliability of pumping plant, increase service reservoir capacity and extend the distribution system. Although designs have been prepared for these works, due to the much larger nature of the scheme proposed these will need to be revisited before any works can be tendered.
1.3.5.2.
Magu The town has an existing intake and rising main from a previous project. The rising main has been condemned but no justification has been provided. Investment is needed to improve the intake, provide treatment, improve the reliability of pumping plant, construct a new rising main, increase service reservoir capacity and extend the distribution system. The proposed scheme will supply 57,000 people, i.e. 70% of the anticipated 2031 population, with an average demand of 72 l/s. Although designs have been prepared for these works, due to the much larger nature of the scheme proposed these will need to be revisited before any works can be tendered.
1.3.5.3.
Lamadi There are no details available of any existing water supply system, the MWAUWASA report referring to the lake as the major source of water together with a hand dug pond. The town therefore requires an intake, treatment, pumping plant and rising main, service reservoir and a distribution system. The proposed scheme will supply 28,000 people, i.e. 70% of the anticipated 2031 population, with an average demand of 72 l/s. No designs appear to have been undertaken for this work, so these will be required.
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1.3.5.4. List of Proposed Interventions
Table 1.16 - Total Medium Term Investment Costs by Discipline Discipline Beneficiaries Wastewater Urban Drainage Solid Waste Capacity Building Total
1 1
Misungwi 26,000 7.6 0.4
Magu 57,000 11.8 0.6 Not Assessed Not Assessed
Lamadi 24,000 8.7 0.4
Amount (MEUR) 26.1 1.3 0 0
Water Supply
0.2 8.1
0.2 12.6
0.2 7.3
0.6 28.0
70% of anticipated population within served wards
Pump-house at Intake for Magu Town
1.3.6.
Summary of Medium Term Investment Costs

The total investment cost of medium term interventions identified in the PFS is presented by location and sector in the following table.
Table 1.17 - Total Investment Costs by Sector and Location Discipline Kenya Kisumu Water Supply Sewerage/Wastewater On-Site Sanitation Urban Drainage Solid Waste Capacity Building Total 24.1 17.1 3.6 9.0 22.57 0.5 76.8 Mwanza 66.5 32.9 13.1 6.3 43.4 0.5 162.7 Amount (MEUR) Tanzania Musoma 1.0 15.0 3.1 3.1 0.5 22.7 Bukoba 1.0 11.7 2.8 2.1 0.5 18.1 Satellites 26.1 1.3 n/a n/a 0.6 28.0 Total 118.7 78.0 16.7 21.2 71.1 2.68 308.2 308.2
included in the above item
76.8 231.4 Note: Prices are indicative; they include engineering, supervision and contingencies ex. VAT.
7 8
Should be covered under AFD infrastructure upgrading project Some additional CB costs included within individual interventions
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1.4.
1.4.1.
Environmental and Social Screening

Introduction
The Lake Victoria Region Water and Sanitation Initiative, which is spearheaded by UNHABITAT, aims to assist the East African regional governments in achieving the Millennium Development Goals for water and sanitation through four specific objectives, namely: To promote pro-poor water and sanitation investments in the secondary urban centres in the Lake Victoria Region; To support development of institutional and human resource capacities at local and regional levels for the sustainable delivery of improved water and sanitation services; To facilitate realisation of upstream water sector reforms at the local level in the participating urban centres; and To reduce the environmental impact of urbanisation in the Lake Victoria Basin.9
It is anticipated that the scaling up of the LVWATSAN Initiative to more centres including the large towns and cities will have a tangible impact on public health (including improving maternal health and reducing under-five mortality), through the provision of increased access to clean water, improvement of wastewater treatment facilities, provision of adequate sanitation facilities, improved urban drainage and solid waste collection and treatment.
Fishing village adjacent to proposed treatment WSP on the Kifungwa peninsula
Improving sewage treatment facilities and sewage coverage will prevent further pollution of the lake, and have a direct impact on the quality of its water and therefore the lake ecosystems. Improved drainage would contribute to reduced incidence of malaria (by eliminating breeding habitats for malaria-carrying mosquitoes), as well as other water-borne diseases, while efficient solid waste disposal systems would also have a positive impact on public health by discouraging disease-spreading vermin and preventing entry of toxic leachates into soils and water sources. The combined effects of these interventions are associated with greater productivity and output, and therefore with alleviation of poverty and hunger. Given that poverty and environmental well-being are inversely linked, the implication is that environmental conservation and protection will be enhanced.
United Nations Human Settlements Programme (2010); Lake Victoria Water and Sanitation Initiative - Overview of the Pro-poor Approaches for Improved Access to Affordable Water and Sanitation Initiative of UN-HABITAT.
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The LVWATSAN Initiative calls for regional cooperation between the participating members, i.e. Uganda, Tanzania and Kenya. This is critical to safeguard one of the most important water resources in the region. At the strategic level therefore, the proposed interventions under the LVWATSAN Initiative would comply with national development policy goals. However, the actual interventions proposed may themselves pose a number of detrimental environmental and social risks, during construction and/or operation. Environmental risks and opportunities emanating from the planned interventions are listed below by location and discipline. It is a reasonable assumption that with the correct preventative and mitigation measures in place the negative environmental and social impacts associated with construction and operational activities will be limited in terms of duration and spatial extent and that they will be outweighed by the positive impacts arising from the project interventions. To facilitate this: Full ESIAs, as required by law, should be completed by the relevant project consultants in order to ensure that environmental and social aspects are properly considered in the selection of project options (where more than one alternative exists for a specific intervention) and that appropriate preventative and mitigation measures are defined and implemented through Project Environmental and Social Management Plans developed by the consultants and contractors on a project specific basis. Clearance of land should be preceded by appropriate baseline studies to define the fauna, flora and habitats that are present and assess land capability and use. Resettlement (physical and economic) should be planned and executed in consultation with affected persons according to national laws and international standards as appropriate. Compensation and replacement of lost or reduced livelihoods should be considered.
In addition to the general positive impacts noted above, specific positive social impacts are expected to include: Increased access to clean water; Year round access to water for households; Reduction in household expenditure on water; Reduced cost and time wastage in search of water (this may have the additional benefit of enabling women and children to devote more time to educational opportunities); Decreased incidence of waterborne diseases; Improvement in health conditions and decreased cost of treatment for waterborne diseases by the consumer as well as decreased travel frequency to health facilities; Improved hygiene standards, which may in turn reduce pressure on health facilities (a significant proportion of diseases are related to poor water supply and sanitation services); Increased access to sanitation facilities; Reduction in hand emptying of latrines and septic tanks; Increased employment opportunities during construction phase; Community involvement in provision and management of water and sanitation services; and Increased number of women working for water sector institutions and involved in decision making.
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Child Collecting Water
To address gender inequities, project interventions should focus on womens and mens involvement in the planning, construction, operation, maintenance and management of domestic water supply, irrigation, sanitation or environmental protection. Project interventions should also give due consideration to internal culture and staffing issues, for example recruitment, promotion and training opportunities for female and male staff, sexual discrimination and harassment, and issues such as child care, paternity or maternity leave, and safe travel arrangements.
1.4.2.
Principal Impacts of Proposed Interventions

The following sections summarise potential environmental and social impacts of the proposed 10 year investment programme, by location.
1.4.2.1.
Kisumu The key issues and impacts are highlighted below. The secondary issues are discussed in detail in the separate location report (PFS Part 2). Improvements in water quality drawn from Hippo Point by moving the intake location further into the lake away from the shore with little detrimental impact; Impacts of increased availability of water in the settlements of Kiboswa, Maseno and Ahero, and the need to dispose of additional wastewater; Impacts of new source development whichever option is selected, in the case of a dam these will be significant; The need for treatment of discharges particularly chemicals and sludge from the treatment plants before disposal directly into the lake or local environment; Control of water losses and reducing the risk of contamination to supplies by tackling excessive leakage; Assessing soil types in the locations of new latrines or septic tanks, water table fluctuations (particularly during the rains), and proximity to water sources; The proposed construction of a full sewerage system in Kanyakwar and Bandani areas adjacent to the airport and the treatment plant at Ontonglo will necessitate the
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acquisition of land, probable resettlement of farmers. This requires feasibility and ESIA studies; It has been proposed that a Sewerage Master Plan be prepared; an ESIA is required to feed into that Master Plan; Sludge and other wastes from septic tanks and sewage works requires storage and disposal; NEMA may require a licence for their disposal; Sewage ponds emit methane gas, which is usually released directly into the atmosphere; Upgrading of the main trunk sewers and constructing new ones would have impacts typical of construction projects such as disturbance to traffic and the public, some soil erosion, dust and noise emissions; During construction of new drains (lined, earth and stone-pitched, covered or open), and rehabilitation of existing ones, there will be some disturbance to motorized and pedestrian traffic, although this would be temporary, The Kachok dumpsite is located within Kisumu city next to Nakumatt Supermarket and the stadium, and in close proximity to commercial and residential buildings; this has a detrimental impact upon the local environment. Once abandoned the site must be properly restored - a key issue in rehabilitating the existing dumpsite will be how the waste that is currently on the site will be managed, and whether and where it will be stored or moved to while rehabilitation works are ongoing; Employment opportunities for the informal waste contractors must be found to avoid possible problems and disruption; The proposal to develop a landfill will have to address a number of issues, including acquiring land in a suitable area where the landfill can be sited, geotechnical studies, proper designs and an ESIA will be required; Improvement measures for waste management must be licensed by NEMA.
1.4.2.2.
Mwanza The key issues and impacts are highlighted below. The secondary issues are discussed in detail in the separate location report (PFS Part 3). The proposed new source for Mwanza will require a feasibility study and ESIA including identification of sites, establishment of water quality, necessary treatment and distribution of water. The use of Government land is proposed avoiding resettlement issues; Water quality must comply with national guidelines issued by the Ministry of Water/EWURA; MWAUWASA may have to obtain a water abstraction licence for the continued use of lake water. The possible expansion of the Ilemela plant will impact an area of informal housing which has developed on land ear-marked for this expansion, resettlement issues must be addressed. Interventions at Capri Point mostly involve mechanical solutions and will not have major environmental repercussions, but rather will improve operational efficiency and the quality and supply of water. The installation of distribution pipes to settlements and local pumped schemes with provision for local storage will result in some erosion, both during and after construction works, and this increased availability of water may create some disposal issues. The siting of reservoirs and tanks may result in some minor resettlement issues; Consideration must be given to soil types in the proposed location, water table fluctuations (particularly during the rains), and proximity to water sources. In Mwanza, the location of houses on the rocky outcrops makes the construction of pit
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latrines unfeasible and access by exhausters impossible. Therefore consideration may have to be given to over ground collection pipes and communal septic tanks into which sewage from a number of houses will collect, and located such that exhausters can get to them. The main environmental considerations in designing the proposed sewerage interventions would be catering for additional loads, particularly current and potential industrial sewage loads. During operation, the main issues will be disposal of liquid effluent; disposal of solid waste (for example sludge, and solids and silt accumulating in the sewers and screens); air emissions (e.g. methane gas) and odours. Industries disposing of liquid effluent into the sewer (especially industries at Nyakato that will feed into the rehabilitated Igoma WSP) must comply with the national water quality guidelines for discharge into sewers. Industries discharging effluent into the lake must be stopped and compelled to discharge to sewer. To date NEMC have struggled to enforce this legislation so industries must be made aware of the importance of this and in necessary assisted in finding solutions; At Ilemela, MWAUWASA tests the water quality of all the stabilization ponds at the inlets and outlets on a weekly basis, and the results are sent to Maji, and EWURA. Sludge from the Ilemela WSP should be tested for toxic substances and heavy metals to ensure that it does not pose a risk to public health and the environment. Potential resettlement issues/compensation around the Ilemela wastewater lagoons, where squatters have encroached on land surveyed for future new lagoons. In principle they are illegal squatters, but under the Land Act they may nevertheless be entitled to compensation if they have been resident for over three years without being challenged / informed of the illegality of their residence. A similar situation exists around the future sites of the lagoons for the Igoma area. Previously a wastewater pipe and lagoon were operated by a textile company. The company went into receivership and local residents started using the lagoons for agriculture. They have also vandalised the existing pipes and manholes, diverting wastewater flows for irrigation. The area has been identified in the City master plan for new lagoons, but a de facto situation on the ground needs to be negotiated. In addition, the capacity and area of lagoons planned for is reportedly not based on full wastewater volumes from the Igoma area and may require revision with possible tenure/resettlement issues. Expansion of the sewer network to cover: Ilemela, Lumala, Kiseke and part of Pasiansi; Mabatini and Isamilo; Buzuruga, Nyakato (including industries at Nyakato), Mecco and Isegenke; and Nyegezi and Mukorani (which will be served by the proposed St Augustines treatment plant) would have impacts typical of construction. It has been proposed that a Sewerage Master Plan be developed. It would be appropriate to carry out an ESIA to feed into that Master Plan. For the proposed sewage treatment plant at St Augustines University grounds, the land will first have to be acquired from the University, currently the area where the stabilization ponds are expected to be located is an empty field, avoiding resettlement issues. During construction of new lined drains, and rehabilitation of existing ones, there will be some disturbance to motorized and pedestrian traffic, although this would be temporary. Dredged material and litter will have to be disposed of acceptably. The Mirongo River flowing through Mwanza town serves as one of its major drains. Litter, sewage and other waste was seen flowing down the river into the lake. While proposed sanitation and solid waste initiatives will help to clean up the river, some manual cleaning will also be necessary. For new dumpsites land will have to be acquired in a suitable area, extensive public consultations should be held to identify public concerns that would need to be addressed, and to ensure acceptability of the site, an ESIA will be required.
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The proposed composting plant will also require an ESIA study to be undertaken to assess potential impacts and recommend measures for mitigation.
1.4.2.3.
Musoma The key issues and impacts are highlighted below. The secondary issues are discussed in detail in the separate location report (PFS Part 4): Improvements to the water system are planned under the AFD funded water project and therefore outside the recommendations of this PFS, however, waste and chemical discharges from the proposed new treatment plant must be prevented from entering the lake untreated. The proposed town centre sewerage will solve the problem of flows from offices, hotels and the prison and allow development of the commercial centre. It should also reduce the discharge of untreated wastes into the lake. Consideration must be given to soil types in the proposed locations, impacts from the rains and proximity to water sources. In some areas access for septic tank exhauster vehicles will be problematic must be addressed through the choice of vehicle. The improved removal of sludge and its effective treatment at the proposed digester will reduce pollution and have a beneficial impact on health although there are some concerns related to the choice of digester site (and future WSP site) due to its proximity to residential developments and the possible high water-table at the site. It is understood that no resettlement is required although there appears to be some dwellings around the periphery. Designs for the proposed sludge digester under the AFD funded project needs to recognise the proposed WSPs on the same site;
1.4.2.4.
Bukoba The key issues and impacts are highlighted below. The secondary issues are discussed in detail in the separate location report (PFS Part 5): Improvements to the water system are planned under the AFD funded project and therefore outside the recommendations of this PFS, however, waste and chemical discharges from the proposed new treatment plant must be prevented from entering the lake untreated. The proposed town centre sewerage will solve the problem of large flows from offices, hotels and other institutions and allow the expansion and development of the commercial centre. It should also prevent discharge of untreated wastes from the main industries into the lake. It will assist address the current major problem of discharges from the prison which regularly flood the local area due to the limited capacity and availability of the existing exhauster vehicles; The site of the proposed treatment WSP on the Kifungwa peninsula needs careful consideration due to the high water table, although minimal social impact is anticipated to the neighbouring fishing village. The site should be checked for its proximity to the airport under the applicable legislation. Designs for the proposed sludge digester under the AFD funded project needs to recognise the proposed WSPs on the same site; Consideration must be given to soil types in locations proposed for onsite sanitation measures, water table fluctuations (particularly during the rains), and proximity to water sources; In some areas access for exhauster vehicles will be problematic and must be addressed through the choice of vehicle.
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Kanoni River channel Bukoba
1.4.2.1.
Mwanza Satellite Towns No environmental or social studies have been undertaken for the three towns as far as can be ascertained. Considering the very poor standard of the current water provision in the towns, improvements to the water supply will bring significant benefits to the populations of the towns. There may be some disruption to the population in order to lay pipes and construct the other facilities but this should be minor; Filters will be provided at the intake sites so backwash material will need to be treated and disposed of in an acceptable manner; Sites for the sludge digester need to be a sufficient distance from domestic dwellings to avoid any nuisance from odour, and any effluent needs to be disposed of in an acceptable manner. There may be some resettlement issues but community assistance will be sought to locate suitable locations for the digester; The availability of dried sewage sludge for fertiliser will be an added benefit to these essentially rural communities; Particular concern is raised over the possible meat processing facility under construction near to the intake for Magu the intended purpose of the facility is unclear but it proposes a potentially serious pollution risk to the lake in the vicinity of the intake and must be investigated and monitored.
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Pumphouse at Intake for Magu Town
1.4.3.
Other issues
Local environmental authorities are relatively new (NEMC in Tanzania and NEMA in Kenya) but nevertheless have a broad mandate in terms of environmental and social assessment. In particular they play a supporting/verifying role in relation to formal ESIA with public consultation. There are only now taking on an enforcement role. The overall ESIA preparation and monitoring will therefore require support under the project, in order to complement the Tanzanian statutory processes. There are supposedly no formally protected nature conservation areas in the immediate project area in Mwanza, according to the local NEMC, but the area is generally rich in wildlife and there is a drive to protect some of a the wetlands on the Lake shore at local level. Tanzania has well developed laws and procedures for resettlement issues and compensation, and the utilities in question and the town administrations appear to be competent in this area. The framework appears to be acceptable to the financing partners in this area. Previous experience in AFD financed project in Bukoba and Musoma for water supply infrastructure have proved to be positive. It is likely that the master planning of the future expansion of the water and wastewater system, including installations to be constructed under the project and future installations such as the future new WTP, will require planning of land-tenure/resettlement issues in good time and possibly some updating of the City spatial plan. The stagewise rolling out of wastewater systems and sanitation in the informal areas may run into issues of poor design, theft and vandalism if there is not prior dialogue with the communities. None of the Utilities have significant experience or dedicated in-house resource to deal with intensive community dialogue for design of local solutions, although some formal structures exist. The Ministry of Health is in the last stages of adoption of a national policy/strategy for sanitation. Coordination with national policies with be through local health inspector. While the Ministry of Health is setting out guidelines for design of school WASH there will still be the need for dialogue with individual school management, parents and participation of competent technical experts for customisation of design for sanitary facilities to achieve proper serviceability of the facilities (fully under City responsibility) and the full benefit to the health and wellbeing of the pupils.
1.4.4.
Mitigation
A formal ESIA will be required for the construction of the new wastewater treatment system with lagoons for the Igoma area. The same will be true of the new wastewater systems in
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Bukoba and Musoma. This will be supported by technical assistance, including organisation of formal public consultation. In this regard, it will be useful to capture as much of the project as a whole in the formal ESIA and public consultation and to use it as opportunity to support greater awareness creation as well as the issue of tariff implications. On-going monitoring of compliance with application to national rules pertaining to the respective resettlement and compensation will be included in overall programme supervision under the project. In particular, the lenders will require that the water utility are proactive in giving early warning to squatters/residents affected through cut-off dates and proper recording of residents in order to minimise financial and project risk on this account. In addition, the City and utility need to demonstrate early awareness of the magnitude and agree on principles for costsharing for compensation claims around infrastructure sites as well as in informal settlements, making timely provisions for this purpose. In general, overall supervision will include ongoing and designs and works contracts will be required to take into account particular issues arising out of the environmental impact study and formal EISA process. Customary clauses for minimisation of nuisance and labour standards will also be a mandatory element of contracts. In all aspects, there will be coordination with MoW policies and procedures.
1.4.5.
Environmental Monitoring
Each project and indeed project component will have its own Environmental Management Plan prepared by the project consultants and individual contractors (monitored by the consultants). In addition the Lenders Supervisors will undertake an overview of the Environmental Management of the whole LVWATSAN large towns programme to ensure standards and compliance are maintained throughout.
1.4.6.
Climate Vulnerability
The towns included under the project are on the shore of Lake Victoria. The Lake is the sole source of drinking water but also subject multiple pollution and hydrological pressures. Lake Victoria levels are sensitive to land use in its catchment, the operation of hydroelectric power stations and precipitation. In general, East Africa is drought prone and the Lake region is experiencing rapid population growth. In terms of water quantity, provided that a reasonable range of level fluctuations are incorporated in the design of water intake, there is no risk of shortage around the major settlements. However, climate change and land-use may have a considerable effect on water quality, which needs to be monitored closely. In the medium term, climate change is likely to impact on the structure and rate of urbanisation. The project itself seeks to establish a reasonable approach to the difficulties of urbanisation and unplanned settlements.
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1.5.
Economic and Financial Assessment

The proposed interventions have been assessed in the light of their impact on the costs and revenues of water and sanitation service providers (financial analysis) and the economy as a whole (economic analysis) as set out below.
1.5.1.
Current Financial Position of the Water and Sewerage Service Providers
All four water and sewerage utilities published accounts suggest that their revenue is covering their current operating expenditure, with working ratios (WR)10 of less than 1 as set out in Table 1.18 below. However, their revenues appear to be insufficient to cover capital charges, as evidenced by operating ratios (OR)11 greater than 1, with the exception of: KIWASCO which does not own the majority of the water supply assets so does not face capital charges directly. The combined OR for KIWASCO and LVSWSB, Kisumus asset owner, is 1.60 suggesting that revenue into the two organisations is unlikely to be sufficient to cover full operational costs and depreciation; and MUWASA, because it took no depreciation charges in the year, which would therefore appear to be unrepresentative.
Unit operating cost (/m3) 0.7 n/a 0.14 0.28 0.39 0.72 Working ratio 0.86 5.40 0.87 0.95 0.90 Operating ratio 0.88 7.51 1.12 0.95* 1.15 Not calculated
Table 1.18 - Unit operating costs and working/operating ratios (2009/10 accounts) Utility KIWASCO LVSWSB (asset owner) MWAUWASA MUWASA BUWASA Africa Average**
*Note: no depreciation charges were made in 09/10 ** Based on Water Operators Partnerships-Africa Utility Performance Assessment (2009), and converted to Euros based on $1.35/.
In 2009/10, BUWASA, MUWASA and the owner of the Kisumu water supply system assets, LVSWSB, received relatively large grant contributions (see Table 1.19). This suggests that all of the utilities, apart from MWAUWASA, are at least partially reliant on external grant support. Given this, and the fact that MWAUWASA is not currently meeting its full operating costs and depreciation it would seem unlikely that any of the service providers are able to access commercial finance such as bank loans. It also appears, anecdotally at least, that current operational budgets are insufficient to allow for optimal operation of the water supply systems. For example, it is understood that budgets constrain the purchase of treatment chemicals, the use of generators to maintain supply during power cuts and the purchase of spare parts to be able to make repairs. This is consistent with the observation that the unit operating costs, particularly of the Tanzanian service providers, are less than the average for the region.
10
Working ratio is the ratio of operating costs (excluding depreciation and interest payments) to operating revenues (including grants). A working ratio of more than 1 means that a utility fails to recover even its operating costs from annual revenue, while a ratio of less than 1 means that it covers all operating costs plus some or all of its capital costs.
11
Operating ratio is the same as the working ratio except that depreciation charges are taken into account in the costs, meaning that it is a measure of the degree of operating and capital cost recovery. An operating ratio of more than 1 means that a utility fails to recover its operating costs and depreciation from annual revenue.
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Other financial indicators in Table 1.19 below suggest that the utilities have reasonably high revenue collection efficiency rates, although it is notable that MUWASA and MWAUWASAs collection periods12 are relatively high, suggesting that there may be some inefficiencies in cash collection. It is understood that none of the utilities have significant commercial debt, reflecting their limited ability to borrow money and service debt.
Table 1.19 Revenue collection performance and reliance on grants Utility KIWASCO LVSWSB (asset owner) MWAUWASA MUWASA BUWASA 99.5% 89% 105% (due to historic arrears) 3.3 4.2 2.6 Collection efficiency 94% Collection period (months) 0.7 Grants as % of total income 1% 84% 0% 11% 16%
When considering the financial sustainability of potential interventions it is important not just to consider existing tariffs but also their likely future course. From a policy perspective, at least, there appears to be a relatively positive outlook in that the economic regulators of water and sanitation services in Tanzania and Kenya both seek full cost recovery as an objective for water suppliers. In Kenya, the Water Services Regulatory Board (WASREB) is responsible for regulation of water and sanitation services. One of its key functions is to develop guidelines for tariff setting, with the objective of establishing tariffs that ensure access to all while allowing Water Service Boards (WSBs) and Water Service Providers (WSPs) to recover justified costs. WSBs and the WSPs must follow these Guidelines when submitting Tariff Adjustment Proposals for consideration by WASREB13. The Energy and Water Utilities Regulatory Authority (EWURA) is responsible for carrying out technical and economic regulation in the water sector in Tanzania, including reviewing and setting rates and charges. EWURAs 2009 tariff application guidelines make it clear that it expects utilities to provide a plan for attaining full cost recovery [covering] operation and maintenance expenses, depreciation expenses, and [..] a reasonable return on investment14.
1.5.2.
Current Financial Position of the Local Authorities

A review of the readily available information relating to the financial position of the four local authorities has highlighted the following potential concerns: Kisumu Municipal Council has accrued some significant long term debts, including some related to the water and sanitation service. Mwanza Council had one of the highest levels of outstanding creditors within Tanzania at c.900,000 in 2009/10. Cash control is considered to be a widespread issue in the Tanzanian urban authorities, according to the Auditor and Controller General.
These observations highlight the need for appropriate fiduciary risk management measures if funds are to be channelled through the local authorities.
12
Collection period is the ratio between the year-end accounts receivable and operating revenues, multiplied by 12, i.e. months equivalent of sales. The lower the collection period the better in terms of the enterprises cash flow. WASREB website (http://www.wasreb.go.ke/index.php?option=com_content&task=view&id=33&Itemid=63) 14 Tariff Application Guidelines of 2009,
13
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Project Formulation Report Main Report 1.5.3. Benefits of Potential Interventions

The financial and economic benefits of the potential interventions have been based on the number of people expected to experience improved water and sewerage services. These are summarised below:
Table 1.20 - Estimated number of beneficiaries by intervention (population) Intervention Mwanza Water Network Expansion Sewerage Network Expansion Number of Beneficiaries 2016 (post 2031 implementation) (design year)
Priority Areas 1 - 3 Priority Areas 4 - 5 Igoma WWTP and trunk sewers Expand Ilemela WWTP and sewerage network
138,000 96,000 48,000 40,000 115,000
249,100 173,400 86,700 72,700 157,000
On-Site Sanitation Kisumu Water Network Expansion
Informal areas Other Kanyakwar, Bandani, areas adjacent to the airport Other areas City Centre Sewerage Sanitation City Centre Sewerage Sanitation Water and Sanitation Water and Sanitation Water and Sanitation
9,000 22,000 48,000 30,000 47,000 25,000 n/a

4
12,000 40,000 88,000 54,300 64,000 33,900 n/a 4 25,000 n/a 4 25,700 56,600 35,000
Sewerage Network Expansion
On-Site Sanitation Musoma Bukoba Misungwi Magu Lamadi

Notes 1. 2. 3. 4.
18,500 n/a 4 19,000 42,000 26,000
5.
All estimates of beneficiaries are based on projections of ward populations originating from the 2002 and must therefore be treated with caution Mwanza figures are derived from identifying proportions of census wards affected by the works and assuming average population densities across each ward Kisumu data projected from census ward data and the findings of the LTAP studies Bukoba and Musoma are based on population equivalents for projected effluent flows from the relevant feasibility studies for the city centre areas no reliable data was available for the areas to benefit from sanitation improvements Mwanza small towns data are total projected populations for the areas expected to benefit from improved services
The other major assumption underlying the assessment of financial and economic benefits is the volume of water expected to be saved as a result of the waste control measures. The savings are assumed to be as follows:
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Table 1.21 - Estimated savings from potential waste control interventions Location Mwanza Kisumu Bukoba Musoma Water savings from Waste Control Unit and replacement parts (Ml/d) 10 4 1 1
1.5.4.
Incremental Financial Impact of Potential Interventions

To examine the financial impact of interventions it is important to understand their incremental effect on the costs and revenues of the organisations responsible for implementing and managing them. The key assumptions underlying the financial assessment are summarised in Table 1.22 below.
Table 1.22 - Key assumptions underlying financial analysis Parameter Discount rate Planning horizon Operational expenditure (opex) impact 10% 25 years New water supplies: current unit operating cost x average household demand x 1.5 (adjustment factor reflecting inadequacy of current operational spend) Sewerage: 5% of initial capex/year Revenue impact Water supply: current revenue collection efficiency x average tariff x average household demand. Waste control measures: current revenue collection efficiency x average tariff x water savings Sewerage: as above, except using the following tariffs: current average sewerage tariff (70% of water rate in Kisumu and 50% in Mwanza); and hypothetical potential future tariff equal to 70% of water rate where no sewerage service currently exists (Musoma and Bukoba). New piped systems: 25 Operational improvements:10 Customer meters : 7 On-site sanitation : 10 Solid waste collection: 10 Solid waste disposal: 15 Baseline assumption
Asset lives (years)
The adjustment factor of 1.5 is used to reflect the fact that the existing water supply opex is considered to be insufficient for optimal operation, with inadequate funding available for chemicals, full pumping costs, spares, etc. The discount rate of 10% is one that is often used for financial and economic analysis for investment in the region. It is also backed up by observed real (i.e. net of inflation) lending
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rates for commercial banks15. In addition to Financial Net Present Values (NPVs)16, Financial Internal Rates of Return (FIRR)17 have been derived allowing an understanding of the robustness of the financial returns independent of the discount rate. Table 1.23 below summarises the output of the financial analysis for water and sewerage interventions. The financial returns of on-site sanitation and other interventions have not been assessed as utilities do not play a significant role in their provision. It should be borne in mind that the analysis is based on top-down assessment of costs and revenue impacts and the results should be used for indicative purposes at this stage. The results suggest that: The waste control schemes in Mwanza and Kisumu appear to be financially beneficial to the water suppliers and should improve their financial standing, both increasing operating income and providing a real (above inflation) return greater than 10%. It is likely that these investments are not being made at present because of the difficulty of obtaining finance, lack of technical capacity and/or competing priorities. The waste control schemes in Bukoba and Musoma would have slightly positive impacts on operating income but require subsidy of the initial capital costs to be financially attractive to the suppliers because of the lower tariffs in these areas, which limit the revenue benefits. In interpreting these results it is important to recognise that the water savings are high level estimates and that the financial returns are highly sensitive to future tariff levels. Taken in isolation the new sewerage connections in Mwanza and new water supply connections in Kisumu would require tariff increases as well as capital subsidies in order to be financially attractive to the utilities. This is because of the relatively high unit operating costs in Kisumu and lower tariff in Mwanza. However, the analysis suggests that both KIWASCO and MWAUWASA could see a positive operating income effect as a result of the aggregate impact of the water supply and sewerage interventions (i.e. the positive impact on operating income for water supply investment would offset the negative impact on operating income for sewerage). The overall effect of the interventions on the utilities will depend on the proportion of the capital charges they bear, if any, highlighting the importance of the subsidiary financing arrangements. As can be seen many of the interventions have negative FIRRs and require the capital costs to be subsidised in order to be financially attractive to the service providers. At aggregate level the proposed water supply and sewerage interventions would reduce the operating income of the service providers in Bukoba and Musoma, because of the assumed low sewerage tariffs. It should be noted, however, that, as there is no existing sewerage system, these tariffs are hypothetical, having been projected from existing water supply tariffs and may in reality differ significantly from the values assumed. Also, the sewerage opex are based on a high level percentage of capex approach in the absence of appropriate detailed engineering assessments. The tariff increase required column highlights the importance of ensuring that future tariffs are appropriate to ensure financial sustainability of the investments even when the utility does not bear the initial capital cost of the investment. Overall, looking across the water supply and sewerage services, only MUWASA and BUWASA would need to increase the tariffs in order to generate positive aggregated operating income effects, remembering that these are based on hypothetical sewerage tariffs as set out above.
15
See for example Kenya Economic Update (Figure 11), World Bank, December 2010 http://siteresources.worldbank.org/KENYAEXTN/Resources/KEU-Dec_2010_with_cover_e-version.pdf and the 2010 World Bank lending interest rate and inflation rate data for Kenya (14.4% and 4.0% respectively) and Tanzania (14.5%, 6.2%) under: http://data.worldbank.org/indicator/FP.CPI.TOTL.ZG 16 Financial NPV is the present value of future revenues and costs over a 25 year period discounted at 10% per annum 17 FIRR is the discount rate at which the net present value of future revenues and costs are equal to zero
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Table 1.23 - Summary of financial returns on potential water supply and sewerage interventions Intervention Impact on opex1 M/yr Impact on revenues M/yr Impact on operating income2 M/yr NPV of revenues and costs (including capital costs) million3 FIRR (including capital costs)3 Capex subsidy required to make the intervention financially attractive to utility4 (% of capital cost) Tariff increase required to neutralise operating income impact5
MWANZA Water supply: waste control: Waste Control Unit Assistance with Set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Supply of materials, pipes, fittings, replacement valves, etc Water supply: Expand distribution network Supplies to settlements located above the service reservoirs Six areas under consideration, Capri Point. Nyegezi, Kitangiri, Nyabungu, Nyasaka and Bugando Area Supplies to Igombe Develop new Water Source Feasibility Study for new source for Mwanza Sewerage: Expand sewer network to cover Ilemela, Lumala, Kiseke and part of Pasiansi Include for house connections and pumping stations. Capacity check of Ilemela WSP and expansions thereto. Sewerage Master Plan study Sewerage: Design and construct sewer network in Mabatini and Isamilo including for house connection and pumping station. Design for sewer network to serve the proposed Igoma waste stabilisation ponds including house connections and pumping 5099279/70/003/Main Report - Final
0.2
0.8
+0.7
2.0
26%
0%
None, intervention will improve operating income 12.1 13.1 +1.1 -46.4 75-90%
Negative 1.0 0.3 -0.7 -23.7 255%
Full capital subsidy & tariff increase
0.6
0.3
-0.3
-14.7
100%
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Intervention Impact on opex1 M/yr Impact on revenues M/yr Impact on operating income2 M/yr NPV of revenues and costs (including capital costs) million3 FIRR (including capital costs)3 Capex subsidy required to make the intervention financially attractive to utility4 (% of capital cost) Tariff increase required to neutralise operating income impact5
stations. The cost includes for the construction of Igoma ponds. Mwanza subtotal MWANZA SATELLITES
6
13.8
14.6
+0.8
-82.8
None
Water supply improvements- Misungwi Water supply improvements - Magu Water supply improvements - Lamadi Mwanza satellites subtotal
0.2 0.4 0.2 0.8
0.2 0.4 0.3 0.9
0.0 0.0 0.0 +0.1
-6.7 -10.4 -5.9 -23.1 Negative
95-100% 95-100% 95-100%
None, intervention will improve operating income None
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Intervention Impact on opex1 M/yr Impact on revenues M/yr Impact on operating income2 M/yr NPV of revenues and costs (including capital costs) million3 FIRR (including capital costs)3 Capex subsidy required to make the intervention financially attractive to utility4 (% of capital cost) Tariff increase required to neutralise operating income impact5
KISUMU Water supply: waste control: Install functioning flowmeters in all key locations and consider introduction of basic telemetry system for capture and processing of data Waste Control Unit Develop / obtain / upgrade its asset records onto a suitable GIS and a suitable network model Assist set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Supply of materials, pipes, fittings, replacement valves, etc Expansion of water supplies: to Kiboswa, Maseno, Ahero Water supplies in Informal areas: Sewerage: Construction of a full sewerage system in Kanyakwar, Bandani, areas adjacent to the airport including a treatment plant at Ontonglo area. Sewerage other areas: Provision for properties near to a sewer Sewer realignment / reconstruction in the Central WTD to relieve load on Kisat. Upgrade the main trunk sewers in Eastern WTD to carry additional load. The cost also includes for construction of new sewers in Mamboleo and Lolwe areas. Capacity check of Nyalenda WTP Kisumu subtotal 5099279/70/003/Main Report - Final
0.3
1.3
+1.0
1.4
18%
0%
None, intervention will improve operating income
1.4 0.4
1.2 0.4
-0.2 -0.1
-15.1 -2.3
Negative
16% 16%
0.6
1.8
+1.2
-1.0
10%
0%
None, intervention will improve operating income 0.3 1.1 +0.8 1.2 15% 0%
3.0
5.8
+2.8 Page 79
-15.7
None
Intervention
Impact on opex1 M/yr
Impact on revenues M/yr
Impact on operating income2 M/yr
NPV of revenues and costs (including capital costs) million3
FIRR (including capital costs)3
Capex subsidy required to make the intervention financially attractive to utility4 (% of capital cost)
Tariff increase required to neutralise operating income impact5
BUKOBA Water supply: waste control: Supply of materials, pipes, fittings, replacement valves, etc BUWASA need Waste Control Unit Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Sewerage: Construction of City Centre sewerage system and waste treatment ponds Capacity building Master plan study for Bukoba Sewerage Bukoba subtotal MUSOMA Water supply: waste control: Supply of materials, pipes, fittings, replacement valves, etc Waste Control Unit Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Sewerage: Construction of City Centre sewerage system and waste treatment ponds Master plan study for Musoma Sewerage Capacity building Musoma subtotal
0.0
0.1
0.0
-1.1
Negative
75-90%
0.5
0.1
-0.4
-11.4
Negative
342%
0.5
0.3
-0.3
-12.5
55%
0.0
0.1
0.0
-1.0
Negative
75-90%
0.6
0.2
-0.4
-14.8
Negative
342%
0.6
0.2
-0.4
-15.8
196%
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Notes on Table 1.23
1 2
Based on optimal opex i.e. after adjustment for the inadequacy of current opex funding.
Revenue impact minus opex impact, where a positive change means that operating income has improved. This measure is designed to represent the impact on the service providers finances in the scenario where they do not bear the capital charges.
3 4 5
Based on revenues net of all costs (including full initial capital costs). i.e. FIRR>10%
Tariff increase required for impact on revenue to be equal to or greater than impact on opex (i.e. assuming the utility does not bear the cost of the initial investment) Based on current Mwanza tariffs
Note: rounding effects make it appear that some of the figures quoted do not add up.
1.5.5.
Ability and Willingness to Pay

Ability and willingness to pay (ATP and WTP) are often significant variables in determining the level of uptake of access to improved water and sanitation services. Detailed WTP and income surveys are outside the scope of this study. Instead, a simple analysis has been carried out to examine potential affordability issues as presented in Table 1.24a below.
Table 1.24a Affordability of current domestic water and sewerage tariffs Utility Monthly water charge (/person/m)* 2.6 0.6 0.4 0.6 Monthly sewerage charge (/person/m)** 1.8 0.3 0.2 0.3 Average income (/person/m)** * 47 33 33 33
3
Water charge as % of income 5.5% 1.9% 1.2% 1.7%
Potential sewerage charge as % of income 3.8% 1.0% 0.7% 1.0%
KIWASCO MWAUWASA MUWASA BUWASA
* Based on average domestic water tariff and per capita water demand of 32m /year. ** Based on average sewerage charges in KIWASCO and MWAUWASA (70% and 50% of water charges respectively) and estimates for MUWASA and BUWASA (assumed to be 60% of water supply charges). *** Based on 2010 national GDP per capita figures from World Bank data (http://data.worldbank.org/indicator/NY.GDP.PCAP.CD) and an exchange rate of $1.35/.
The results should be treated with caution as they are based on national average GDP rather than location-specific income figures. However, this simple analysis suggests that, at current tariff levels, affordability may be a particular problem in Kisumu and possibly also Mwanza. The initial cost of a new connection to a piped water supply or sewerage network can also significantly affect service uptake. As with the consumption charge, it appears likely that, at current rates, affordability of new connections is likely to be more of a problem in Kisumu than the other towns.
Table 1.24b Affordability of current domestic water connection charge Utility KIWASCO MWAUWASA MUWASA BUWASA Approximate domestic water connection charge () 31 9 11 6 Connection charge (expressed in months' income)* 0.6 0.3 0.3 0.2
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However, it is understood that both KIWASCO and MWAUWASA are either offering, or considering offering, staged payment of connection fees. Whilst this does not entirely remove the issue of affordability, it is likely to significantly reduce the short-term hurdle of upfront costs.
1.5.6.
Economic Analysis of Potential Interventions

The economic case for interventions has been examined for water, sanitation and sewerage interventions. The economic costs and benefits have been assessed using the WHO approach18 which is based largely on time savings and health benefits (productivity and avoided health care costs) associated with water and sanitation improvements. It should be noted that, as with all economic analyses, it is not possible to robustly monetise all of the impacts of the interventions and, as such, the results should not be interpreted mechanistically. It is, however, recognised that the results of the regional WHO analyses suggest that improvements to water and sanitation coverage are generally economically justified. The benefits have been estimated for three intervention types as set out in Table 1.25:
Table 1.25 - Economic benefits of improved water and sanitation coverage Intervention type Improved water supply Piped sewerage Improved On-Site Sanitation (not piped) Economic benefits (/person/year) 44 38 20
Economic benefits have been inferred for the AFR-E region (including Kenya & Tanzania) from WHO 2004, inflated to 2010 prices and converted to Euros based on $1.35/.
The benefits of waste control (e.g. leakage reduction) measures have been based on the long run marginal cost of water supply using the unit operating cost and a typical capex cost estimate for developing a new source (0.7M per Ml/d capacity). Other key assumptions are summarised in Table 1.26 below.
Table 1.26 - Key assumptions underlying the economic analysis Parameter Discount rate Planning horizon Costs 10% 25 years Costs (as per financial analysis) x shadow price factor As per Table 1.25 above. Waste control: long run marginal cost of water supply Asset lives (years) New piped systems: 25 Operational improvements:10 Customer meters : 7 On-site sanitation : 10 Solid waste collection: 10 Solid waste disposal: 15 0.9 0.9 Baseline assumption
Benefits
Shadow price factor: capex Shadow price factor: opex
18
Evaluation of the Costs and Benefits of Water and Sanitation Improvements at the Global Level, WHO, 2004
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The shadow price factors are used to adjust financial costs to reflect the true opportunity cost. The values used are typical for economic analysis in lower income countries19 and, their value, being less than 1, represents the likelihood that the real opportunity cost of inputs such as labour is below the financial cost due to inefficiencies in input markets. In addition to Economic Net Present Values (NPVs)20, Economic Internal Rates of Return (EIRR)21 have been derived allowing an understanding of the robustness of the economic returns independent of the discount rate. The results of the analysis and high level recommendations are summarised in Table 1.27 below. This suggests that the programme as a whole would deliver economic benefits with a net present value of approximately 25million in Kenya and 780 million in Tanzania, without counting the on-site sanitation interventions in Bukoba and Musoma, for which the beneficiary numbers have not been derived. When viewed in isolation a number of components appear to deliver economic returns below 10%: Due to the relatively high unit capital costs (1.8k and 2.6k per connection respectively), the sewerage interventions in Bukoba and Musoma deliver monetised economic returns below 10%. These costs are relatively high because they include main trunk sewers and treatment and it should be noted that the economic benefits assigned do not include the wider economic development potential (employment, private sector investment, etc) of sewerage. The monetised economic benefits of water supply interventions in Kisumu are limited by the high unit operating costs.
All other interventions appear to generate positive economic returns.
See for example Shadow Exchange Rates for Project Economic Analysis: Toward Improving Practice at the Asian Development Bank, ADB, 2004. 20 Economic NPV is the present value of future benefits and costs over a 25 year period discounted at 10% per annum 21 EIRR is the discount rate at which the net present value of future benefits and costs are equal to zero
19
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Table 1.27 - Summary of results of economic analysis Intervention MWANZA Water supply: waste control: Waste Control Unit Assistance with Set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Supply of materials, pipes, fittings, replacement valves, etc Water supply: Expand distribution network Supplies to settlements located above the service reservoirs Six areas under consideration, Capri Point. Nyegezi, Kitangiri, Nyabungu, Nyasaka and Bugando Area Supplies to Igombe Develop new Water Source Feasibility Study for new source for Mwanza Sewerage: Expand sewer network to cover Ilemela, Lumala, Kiseke and part of Pasiansi Include for house connections and pumping stations. Capacity check of Ilemela WSP and expansions thereto. Sewerage Master Plan study Sewerage: Design and construct sewer network in Mabatini and Isamilo including for house connection and pumping station. Design for sewer network to serve the proposed Igoma waste stabilisation ponds including house connections and pumping stations. The cost includes for the construction of Igoma ponds. On-site sanitation Mwanza subtotal MWANZA SATELLITES
5
Economic NPV ( million)1
EIRR
6.5
Very high (>50%)
559.9
Very high (>50%)
1.5
11%
14.1 164.9 747.0
30% Very high (>50%)
Water supply improvements:
- Misungwi - Magu - Lamadi
2.7 9.9 6.6 4.1 9.6 5.9 38.8 Page 84
16% 25% 28%
On-site sanitation:
- Misungwi - Magu - Lamadi
Very high (>50%)
Mwanza satellites subtotal 5099279/70/003/Main Report - Final

Intervention KISUMU Water supply: waste control: Install functioning flowmeters in all key locations and consider introduction of basic telemetry system for capture and processing of data Waste Control Unit Develop / obtain / upgrade its asset records onto a suitable GIS and a suitable network model Assist set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Supply of materials, pipes, fittings, replacement valves, etc Expansion of water supplies: to Kiboswa, Maseno, Ahero Water supplies: in Informal areas Sewerage: Construction of a full sewerage system in Kanyakwar, Bandani, areas adjacent to the airport including a treatment plant at Ontonglo area. Sewerage other areas: Provision for properties near to a sewer Sewer realignment / reconstruction in the Central WTD to relieve load on Kisat. Upgrade the main trunk sewers in Eastern WTD to carry additional load. The cost also includes for construction of new sewers in Mamboleo and Lolwe areas. Capacity check of Nyalenda WTP On-site sanitation Kisumu subtotal Economic NPV ( million)1 EIRR
2.6
25%
-7.7 -0.3 13.3
0% 8% 35%
9.8
48%
7.5 25.3
Very high (>50%)
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Intervention BUKOBA Water supply: waste control: Supply of materials, pipes, fittings, replacement valves, etc BUWASA need Waste Control Unit Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Sewerage: Construction of City Centre sewerage system and waste treatment ponds Capacity building Master plan study for Bukoba Sewerage On-site sanitation Bukoba subtotal (excluding on-site sanitation) MUSOMA Water supply: waste control: Supply of materials, pipes, fittings, replacement valves, etc Waste Control Unit Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Sewerage: Construction of City Centre sewerage system and waste treatment ponds Master plan study for Musoma Sewerage Capacity building On-site sanitation Musoma subtotal (excluding on-site sanitation)
1
Economic NPV ( million)1
EIRR
0.5
24%
-2.5
5% Not assessed
-2.0
0.1
14%
-3.0
Negative Not assessed
-2.8
Net present value of benefits minus costs (including full initial capital costs and optimal opex i.e. after adjustment for the inadequacy of current opex funding) over 25 years at 10% discount rate
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It should be noted that EIRR is a very sensitive measure and can vary significantly with small shifts in costs and benefits. Some values are very high as EIRR is very sensitive to scenarios where the ongoing net benefits are high relative to the initial cost. Table 1.28 below brings together a summary of the financial and economic analyses. Overall this suggests that the economic case for the interventions is generally robust and that operating income is likely to improve as a result of the interventions with the exception of Musoma and Bukoba where further investigation of the costs and potential revenues associated with the sewerage interventions are recommended. It is also notable that in many cases the service provider would not be able to service the full capital costs from the revenues generated and subsidiary finance arrangements will need to be tailored accordingly.
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Table 1.28 -- Combined summary of economic and financial analyses Intervention Impact on operating income1 MWANZA Water supply: waste control: Waste Control Unit Assistance with Set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Supply of materials, pipes, fittings, replacement valves, etc Water supply: Expand distribution network Supplies to settlements located above the service reservoirs Six areas under consideration, Capri Point. Nyegezi, Kitangiri, Nyabungu, Nyasaka and Bugando Area Supplies to Igombe Develop new Water Source Feasibility Study for new source for Mwanza Sewerage: Expand sewer network to cover Ilemela, Lumala, Kiseke and part of Pasiansi Include for house connections and pumping stations. Capacity check of Ilemela WSP and expansions thereto. Sewerage Master Plan study Sewerage: Design and construct sewer network in Mabatini and Isamilo including for house connection and pumping station. Design for sewer network to serve the proposed Igoma waste stabilisation ponds including house connections and pumping stations. The cost includes for the construction of Igoma ponds. On-site sanitation Mwanza subtotal 0.8 Very high (>50%) In aggregate the potential interventions are expected to have a positive impact on operating income, although the service provider would not be able to service the full capital costs from the revenues generated. All interventions appear to be economically justified. -0.3 30% FIRR EIRR Comment
0.7
26%
1.1
Very high (>50%)
-0.7
Negative
11%
Not assessed
Very high (>50%) As stated for Mwanza
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Intervention Impact on operating income1 0.0 0.0 0.0 Negative FIRR EIRR Comment
MWANZA SATELLITES5 Water supply improvements: - Misungwi - Magu - Lamadi On-site sanitation: - Misungwi - Magu - Lamadi Mwanza satellites subtotal KISUMU Water supply: waste control: Install functioning flowmeters in all key locations and consider introduction of basic telemetry system for capture and processing of data Waste Control Unit Develop / obtain / upgrade asset records onto a suitable GIS and a suitable network model Assist set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Supply of materials, pipes, fittings, replacement valves, etc Expansion of water supplies: to Kiboswa, Maseno, Ahero Water supplies: in Informal areas Sewerage: Construction of a full sewerage system in Kanyakwar, Bandani, areas adjacent to the airport including a treatment plant at Ontonglo area. Sewerage: other areas: Provision for properties near to a sewer Sewer realignment / reconstruction in the Central WTD to relieve load on Kisat. Upgrade the main trunk sewers in Eastern WTD to carry additional load. The cost also includes for construction of new sewers in Mamboleo and Lolwe areas. Capacity check of Nyalenda WTP On-site sanitation Kisumu subtotal 2.8 0.1 In aggregate the proposed interventions are expected to have a beneficial impact on operating income, although the service provider would not be able to meet the full capital costs from the revenues generated. The economic case is believed to be generally robust with all interventions generating positive or near positive returns, albeit limited in the case of the water supply extensions by the relatively high unit operating costs. Not assessed Very high (>50%) 16% 25% 28%
1.0
18%
25%
-0.2 -0.1 1.2
Negative
0% 8% 35%
10%
0.8
15%
48%
Not assessed
Very high (>100%)
Page 89

BUKOBA Water supply: waste control: Supply of materials, pipes, fittings, replacement valves, etc BUWASA need Waste Control Unit Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Sewerage: Construction of City Centre sewerage system and waste treatment ponds Capacity building Master plan study for Bukoba Sewerage On-site sanitation Bukoba subtotal MUSOMA Water supply: waste control: Supply of materials, pipes, fittings, replacement valves, etc Waste Control Unit Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Sewerage: Construction of City Centre sewerage system and waste treatment ponds Master plan study for Musoma Sewerage Capacity building On-site sanitation Musoma subtotal
1
0.0
Negative
24% The waste control interventions appear to be economically robust, and are expected to improve operating income slightly although the service provider would not be able to meet the full capital costs from the revenues generated. More detailed examination of the costs and likely future revenues associated with the sewerage interventions are recommended.
-0.4
5% Not assessed
-0.3
0.0
Negative
14%
-0.4
Negative
-0.4
Revenue impact minus opex impact, where a positive change means that operating income has improved.
Page 90
1.5.7.
Conclusions of financial and economic analysis

The analysis undertaken suggests that the proposed interventions would deliver significant net economic benefits. Taken in aggregate, it is expected that they would also improve water and sanitation providers operating income (i.e. revenue minus operating costs), except perhaps in Bukoba and Musoma, where the outcome is highly dependent on the tariffs and costs associated with the proposed new sewerage systems. These issues warrant further investigation as the interventions progress to more detailed design and assessment. In terms of cost recovery, the water and sanitation providers appear to be collecting sufficient revenue to cover their current operational expenditure but not enough to cover significant capital investment. This suggests that they will not be capable of bearing the initial capital cost of the proposed interventions and that appropriate subsidiary financing arrangements (i.e. between national government and the service providers), such as granting of the new assets to the service providers, will be required. It should also be noted that current levels of operational expenditure are generally considered to be insufficient for optimal operation, suggesting that some degree of tariff increase and/or operational efficiency measures would be beneficial to ensure that the maximum value can be obtained from the interventions. There is policy support for increasing tariffs towards full cost recovery in both Tanzania and Kenya; however, the timescales remain unclear. Willingness and ability to pay are often significant variables in determining the uptake of water and sanitation services and therefore the outturn financial and economic benefits. Income and WTP surveys have not been carried out for this study. However, high level assessment suggests that affordability may currently be more of a significant concern in Kisumu than in the Tanzanian towns. In reality, however, this is highly location-specific (as incomes can vary significantly from one district to the next), and may change as tariffs evolve, especially given the recent applications for tariff increases apparently provoked by rises in power prices in Tanzania. Concerns around cash control and levels of outstanding creditors highlight the need for appropriate fiduciary risk management measures if funds are to be channelled through local authorities.
5099279/70/003/ Main Report - Final
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1.6.
1.6.1.
Prioritisation of Options for Immediate and Short Term

Introduction
The preceding sections have presented a comprehensive list of interventions identified as necessary in the medium term to bring about a significant improvement in the level of service delivery in the large towns and cities around Lake Victoria. The overall cost of those interventions is shown in Table 1.30.
Table 1.30 - Total Identified Medium Term Investment Requirements Item Kenya Investment MEUR 76.75 Tanzania Investment MEUR 162.70 22.72 18.13 28.01 Region Investment MEUR 76.75 162.70 22.72 18.13 28.01
Kisumu Mwanza Musoma Bukoba Satellites
Total 76.75 231.44 308.19 Note: Prices are indicative; they include engineering, supervision and contingencies ex. VAT.
Each of the proposed interventions has been prioritised into defined timeframes signifying their immediacy as shown in Table 1.31. Four categories have been used to indicate the necessary timescale as follows:
Tables 1.31 Investment Timeframes Timeframe Immediate Description Implemented as soon as practical as will bring immediate benefits to the service level considered Fast-Track where implementation arrangements are straight forward Required in the next 1-2 years Required in years 3-5 Required in 5-10 years
Short Short / Medium Medium
A complete list of investments identified for the next 10 years by location and timeframe are provided in Appendix A7. This list has been optimised and prioritised on the basis of; perceived need, city or utility priorities, the likely funding available, other ongoing or planned investments and the assessed benefit to poorer communities, to identify a prioritised list to be considered at the project appraisal stage. It repeats the justification assessment from the previous section and includes comments on the current status of the interventions i.e. whether studies and designs have been prepared and whether these are considered acceptable. In addition, the table indicates for each intervention an indication of the required timescale for each and which is the first intervention level at which the item is considered.
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Project Formulation Report Main Report 1.6.2. Refinement of Investments Options

Following discussions between the EIB, possible funding partners, representatives from the recipient countries governments and the utility companies involved, the preferred investment strategy was to be compiled on the following broad guidelines: i. Investments in Kisumu are to be limited at the current time because of the ongoing investments under LTAP and the uncertainty over the eventual outcomes critical studies should proceed however. Principal medium term investments are likely to include a new water source (possibly a dam) and a new WWTP for the west of the city. The investment focus of the programme will be on the WATSAN provision rather than urban drainage and solid waste although small strategically important investments can be considered if sufficiently warranted.
ii.
iii. Improved sanitation in the informal/low income areas and communal facilities of Mwanza will also be a priority through communal piped systems. iv. Sewerage and sanitation are the priority for Musoma and Bukoba (since water is being addressed by the AFD projects). v. Improved water supplies to the satellite towns are considered a priority due to the current poor provision.
The resulting reduced programme of investments complying with these criteria is presented in Table 1.32 below.
Table 1.32 - Proposed Level of Investment for each Location Location Kenya Kisumu 5.1 The current high levels of investment in Kisumu from AFD and others, and the uncertainties surrounding the likely outcomes, suggests that EIB investment should not be a priority at the present time Investment MEUR Remarks
Total Kenya Tanzania Mwanza
5.1
113.0
Work already identified and designed under the WSDP requires funding and there is a priority need for a new water source to support the expansion of water services. Priority work on providing town centre sewerage and treatment plus improvements in on-site sanitation Priority work on providing town centre sewerage and treatment plus improvements in on-site sanitation New water supply systems for 3 towns plus basic onsite sanitation provision
Musoma Bukoba Satellites Total Tanzania Total
16.5 13.2 28.0 170.7 175.8
It is noted that although the urban drainage component has not been taken through to implementation at this stage there is a strong linkage between surface drainage (and solid waste management) and the disposal of human wastes in many of the informal areas so selected improvements may be necessary for the successful implementation of the sanitation strategy. Because of the high level of investment identified for Mwanzas water and sewerage networks (113 million) a two phased approach will be necessary, so although MWAUWASA

have prioritised the areas proposed for water distribution expansion (Table 1.33) they have emphasised a strong desire to completing all of this work (in preference to higher investment in sewerage) so the proposed network extensions are carried forward in their entirety.
Table 1.33 - Water Network Expansion Priority of Development Areas Priority Areas Included (part) 1 2 3 4 5 Ilemela, Kitangiri, Kirumba, Nyamanoro, Nyasaka and the high areas Nyegezi, Buhongwa Mkonali, Butimba, Luchelele Nyakato, Mabatini, Igoma, Kisesa Bugarikaa and Igombe
For the expansion of the sewerage facilities, Phase 1 includes the new WWTP at Igoma together with a trunk sewer network to collect the industrial wastes and domestic flows from higher density areas as this is viewed as having the greatest impact of the general environment. Because of the uncertainties around the possible expansion of Ilemela WWTP and the scope to expand this work, together with the necessary network expansion this comprises Phase 2. Continued reliance on on-site sanitation in these areas is considered less of a threat to the environment than the free discharge of untreated industrial effluents. Details of the costs associated with the phasing of Mwanza investments is presented in Table 1.34.
Table 1.34 - Phasing of Investments in Mwanza Phase Programme Time Span Coverage Studies, TA and Capacity Building Operational Improvements 1 Short Term Investments year 05 Sanitation Water distribution extensions Igoma WWTP and trunk sewers Phase 1 New water source and further water and sewerage network extensions 2 Medium Term Investments Year 5 10 Expansion of Ilemela WWTP and sewerage network Phase 2 Total Cost (MEUR) 4.5 1.6 13.1 27.4 14.1 60.8 34.0 18.20 52.2 113.0
1.6.3.
Overall Short Term Programme Costs

Details of the full programme investments are given in Table 1.35. Since the implementation of works in Kenya and Tanzania will be carried out as separate programmes, the costs for Kisumu, for studies and institutional support are presented separately. In addition, the costs indicated for the Mwanza satellite towns are considered excessive and have also been omitted at this stage22.
It is recommended that the engineering proposals for the satellite towns are reassessed for cost effectiveness to see if more affordable schemes can be developed, if so, these could be reintroduced to the project, possibly using additional funds sourced from GoT. 5099279/70/003/Main Report - Final Page 94
22

An allowance of 3% has been added to cover the high level programme (Lenders) supervision and 10% for general contingencies.
Table 1.35A - Implementation Costs of Selected Short Term Investments - Tanzania Location Mwanza Musoma Bukoba Total Programme Supervision 3% Programme Contingency 10% Total Programme Investment MEUR 60.8 16.5 13.2 90.5 3.0 9.1 102.6
Note: Prices are indicative; they include engineering, supervision and contingencies ex. VAT. Table 1.35B - Implementation Costs of Selected Short Term Investments - Kenya Location Kisumu Total Programme Supervision 3% Programme Contingency 10% Total Programme Investment MEUR 5.1 5.1 0.2 0.5 5.8
The potential sources of the funds are given in Table 1.36.

Table 1.36 Proposed Short Term of Investment by Category Category Kenya Capacity Building23 Technical Assistance Works and Engineering Total Kenya Tanzania Capacity Building Technical Assistance Capital Works Engineering and Supervision Programme Supervision and Contingency Total Tanzania Total Region 2.8 5.9 73.1 8.7 12.1 102.6 108.4 Grant Grant Loan Loan Loan EU Africa ITF TA EU Africa ITF TA EIB + Other Donors EIB + Other Donors EIB / EIB Investment Facility TA + Other Donors 0.8 1.3 3.0 5.8 Grant Grant Loan EU Africa ITF TA EU Africa ITF TA EIB + Other Donors Amount MEUR Type Source
23
Note: subsequent to the production of this report KIWASCO finalised an agreement with Dutch Water Company Vitens for them to provide capacity building support to the company this will reduce the requirement under this project.
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The value of the proposed priority short term investments for Tanzania for the first five years of the programme is therefore 102.6 million. It should be noted that because of the many uncertainties surrounding the content of the programme there may be a requirement to move funds between the various categories and locations to suit the assessed needs following the extensive studies proposed. Funds for Kenya amount to 5.8 million at this stage.
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1.7.
Implementation of Short-Term Investment Programmes

Due to the diversity of the works involved and the different funding structures necessary for project implementation, this section is presented in terms of individual country programmes for Tanzania and Kenya.
1.7.1.
1.7.1.1.
Tanzania
Introduction This section describes the proposed approach to the delivery of the Short Term Programme in Tanzania. Although the main beneficiaries of the investments will be the individual Water Authorities and to a lesser extent the Municipal Councils, development funds will be channelled through central governments via the Ministries of Finance and Water. Funds for the programme level (Lenders) supervision will be dispersed directly by EIB. Only the Category A Authorities (in Tanzania) could be required to make any contribution to the capital repayment on loans.
1.7.1.2.
Programme Management A large and diverse intervention programme, such as the one proposed under this PFS, needs co-ordination and management and it is proposed that a Lenders Supervisor (LS) will be procured to manage the implementation particularly of programme and budget. EIB will lead the programme as principal funder and manage coordination with the other sources of funds. The capacity of the local authorities to manage all of the technical elements of a programme of this complexity is questioned, due to the issues highlighted in various places throughout this report, although they will clearly play an essential part in the decision making process. The LS can provide the necessary additional inputs to ensure that technically acceptable decisions are taken. The multitude of problems identified during this study in terms of the quality of engineering provided under previous programmes requires that a degree of engineering oversight is also required and the LS is well placed to provide this (requiring a multi-disciplinary consultancy to contribute to the LS role). In addition, the LS can provide oversight for the procurement processes (carried out by the appropriate government bodies) by establishing operating procedures to be followed, contributing to the tender review, and reviewing of recommendations. Tasks for the Lenders Supervisor include: i. ii. Overall management for the programme for cost, quality and time Coordination between Recipient and Government bodies
iii. Establishing procedures for the procurement of consultants and contractors (within the requirements of the local requirements and legislation) iv. Establishing technical requirements and standards (consistent with local requirements) v. Preparing standard procurement document templates
vi. Audit of procurement decisions vii. Audit of technical solutions 1.7.1.3. Capacity Building A major element of the implementation must be to improve the capabilities of the recipient organisations particularly the Water Authorities. Only two Authorities in Tanzania are classified as Category A (Mwanza and Musoma); able to cover their own O&M costs without contributions from central government. The capacity of the small town Authorities is severely limited both financially and in terms of resources, and this situation must improve. This study
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has established the basic areas of need for a capacity building programme and other areas of institutional support, but further investigation will be required to fully define the programme. UNHABITATs previous experience in other small towns should be invaluable here. The tasks covered under this section include: i. ii. Select and appoint managing organisation for Capacity Building Programme (CBP) Undertake detailed needs assessments for each recipient organisation
iii. Identify and appoint training partners iv. Review Costs of identified CBP v. Build capacity with the recipient organisations
Significant Risks Shortage of appropriate experienced training organisations particularly technical with experience in the region Liaison/interference issues with remote parent Ministries (WSDP co-ordinates Capacity Building centrally)
1.7.1.4.
Operational Improvements The studies for PFS identified certain operational improvements, principally in Mwanza that could be implemented as low regret type interventions. However, a degree of engineering is required before these can be addressed so there is a requirement for a consultancy involvement. This is best supplied a part of the appropriate consultancy package and can be treated as a priority item. i. ii. Identify detailed scope of work for each centre Undertake specialist studies required i.e. surge analysis to ascertain requirements
iii. Procure equipment or works as appropriate possible by small contract iv. Prove outcomes Significant Risks 1.7.1.5. Problems could prove more complex than anticipated Cost of remedial measures may be excessive
Pro-poor Interventions Delivery of the Sanitation Strategy needs a lot of interactive participation from a multitude of government and non-governmental organisations and community groups. To date few technical implementation decisions have been made, so there is a large amount of upfront decision making required. This role could be undertaken by the LS but it is also considered that this role might be best undertaken by a third party organisation, either a consultant, NGO or body such as UNHABITAT who have significant experience from managing the implementation of the other phases of the LVWATSAN programme. This role would also involve coordinating support from local organisations to coordinate pro-poor, oversee input to the ILU process and capacity building within the Authorities, Councils and other groups. The role would still be overseen by the LS to ensure financial and programme compliance. The following tasks are envisaged: i. ii. Appoint lead organisation to mange whole process Identifying all players involved to adopt ILU in each location
iii. Identify implementation partners in each location consultants, NGOs etc iv. Conclude delivery mechanisms for the proposed interventions not this will involve contractors in, say, construction of communal latrine blocks, sludge pipes,
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condominium sewers, utilities stairways, biogas plants and sludge holding tanks and digesters Source of funds and their management and allocation may be other sources of funding NGOs, other Government Departments/Funds Significant Risks 1.7.1.6. Compliance with funders requirements Excessive bureaucracy due to the number of parties with an interest in delivery Unforeseen impacts not originally thought of usually on poor people
Capital Works Implementation The majority of the programme will involve implementation of new capital works proposed for six of the seven locations (excluding Kisumu under this phase of the programme). Due to the uncertainties surrounding many of the prepared studies and designs, much work will need to be undertaken before significant construction work can commence. The following tasks are required: i. ii. Undertake studies to identify detailed scopes of work and required outcomes for each location Review existing designs and determine their appropriateness, adequacy and quality
iii. Prepare new designs where appropriate and review iv. Prepare tender documents / construction contracts v. Select and Appoint Construction Supervisors
vi. Select and Appoint Contractors by discipline or location or size of contract Significant Risks Time taken for completion of studies Identifying sufficient consultants of sufficient quality to undertake the works Potentially piecemeal works in multiple locations so many contracts etc involved could become major programme management / coordination exercise
Problems with the quality, basis and level of detailing of the engineering undertaken under the WSDP programme and other projects outside the programme require that a large amount of engineering studies and designs need to be repeated. To take advantage of the benefits of scale and recognising the limited capacity available currently five major consultancy packages are proposed as follows: 1.7.1.7. Anticipated Consultancy Packages The following consultancy packages are proposed. Mwanza City Project Analysis of water distribution network coverage, determine location of next water source, propose pressure zones, analysis and propose network extensions, establish sewerage drainage areas, assess required treatment capacity, design sewerage extensions, including Igoma WWT plant and network. Mwanza Water Master Plan Mwanza - Sewerage Master Plan Contract for construction of Phase 1 water network extensions Contract for construction of Phase 2 water network extensions Contract for construction of Igoma WWTP and trunk sewers
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Musoma and Bukoba Town Sewerage and Sanitation Project Studies and designs for city centre sewerage schemes Musoma Sewerage Master Plan Bukoba Sewerage Master Plan Contract for construction of Musoma town centre sewerage and treatment plant Contract for construction of Bukoba town centre sewerage and treatment plant
Mwanza Satellites Water and Sanitation Project If included studies and designs for water source development, water supply and on-site sanitation provisions. Misungwi, Magu and Lamadi Study Report Contract for construction of Misungwi Water Supply and Sanitation Contract for construction of Magu Water Supply and Sanitation Contract for construction of Lamadi Water Supply and Sanitation
NRW Programme for Tanzanian Locations It is proposed to have a single package for NRW and other institutional technical support for all project location within Tanzania to benefit from economies of scale, standardised approach and due to limit capacity within the private sector to provide such services. The scope would include: Develop NRW reduction strategy including DMA establishment and monitoring Review approach to GIS and network modelling and integrate past and current initiatives Review, billing and revenue collection processes, etc
Significant Risks Problems with clustering concept and shared expertise Shortage of appropriate experienced organisations/staff to undertake the studies in sufficient detail particularly in NRW Previous studies set a low standard there must be a seed change in acceptability criteria Lack of Recipient support for initiatives Shortage of expertise / capacity within Recipient organisations
1.7.2.
1.7.2.1.
Kenya
Introduction This section describes the proposed approach to the delivery of the Medium Term Programme in Kenya. Because of uncertainties over the actual investments required the short term phase covers additional studies with a view to identifying the necessary capital works which can then be constructed under a subsequent phase of the project. The main beneficiary of the investments will be Lake Victoria South Water Services Board with development funds channelled through the Ministries of Finance and Water & Irrigation. The downstream investments are expected to cover; reservoir development, expansion of the water supply network and new wastewater treatment facilities.
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1.7.2.2. Anticipated Consultancy Package Strategic studies covering development of future water resources for Kisumu, water supplies to satellite communities and planning of expansion of the wastewater collection and treatment facilities for the eastern side of the city. 1. Objective Produce a financially sustainable long term strategic development plan for water and sewerage services within Kisumu and environs, specifically identify investments to: o o secure a future water source for the City and; propose arrangements for the collection and treatment of wastewater from the Eastern side of the City (at Ontonglo)
2. Main Scope Items Development Planning Prepare population projections for 25 year horizon based on most recent census data by ward. Water Resources Assess water resource development options available to the city including consideration of: Lake Victoria Kibos River Proposed Yala River hydroelectric scheme Proposed Kora Dam irrigation scheme Any other feasible options for Kisumu
Prepare detailed hydrological analysis of each option taking into account factors such as climate change and changing water use to assess the reliable yield of the source available for Kisumu Water Supply. Water Supply
Evaluate water demands for city for each distribution zone (based upon the supply areas of the service reservoirs, both existing and those planned to be constructed under LTAP) , as well as operational/storage needs in relation to water resource alternatives and propose a comprehensive investment plan for the water facilities for the city based upon need, economic and financial feasibility. Sewerage and Sanitation
Identify wastewater drainage areas within the city and assess flows and loads for a 25 years design horizon. Suggest those areas that should be connected to the sewerage network and those that will continue to rely on on-site sanitation for the foreseeable future. Propose a comprehensive investment plan for the sewerage facilities for the city based upon need, economic and financial feasibility staged in 5 yearly intervals. Environmental and Social Impacts
Assess the likely risks and impacts of each of the identified investments and recommend mitigation and enhancement measures. Economical and Financial Analysis
Build financial model to evaluate the financial viability of the proposed investments considering tariff, cost recovery and need for subsidies including KIWASCO and LVSWSB inputs.
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Project Formulation Report Main Report 1.7.3. Implementation Schedule
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ID 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42
Task Name Programme Monitoring EIB Programme Approval Preparation Programme Supervisor Selection Appointment Consultant ToRs and ITT Consultant Selection Kisumu Project Mwanza Project Musoma & Bukoba Project Mwanza Satellites Project NRW Reduction Project Pro-poor Sanitation Project Kisumu Project Operational Improvements Implementation Master Plan Design and Documents Mwanza Project - Phase 1 Operational Improvements Implementation Master Plan Design and Documents Construction - Water Construction - Sewerage Musoma & Bukoba Project Master Plan Design and Documents Contractor Selection Construction - Water and Sanitation Mwanza Satellites Project Studies Design and Documents Contractor Selection Construction - Water and Sanitation NRW Reduction Project Reconnaisance Report Implementation Pro-poor Project Project Preparation Implementation
2013 2014 2015 2016 2017 2018 1011 12010 0304050607 0809101112 010 03 0405 0607 080910 1112 010 03 0405 0607 08 0910 1112 01020304 0506 070809 1011 12010 0304050607 0809101112 010 030405060 06/11
10/05
Task
Milestone Summary Project Summary Page 1
External Tasks External Milestone Deadline
Project: LVWATSAN3 Date: Tue 18/09/12
Split Progress
1.7.4.
Main Programme Risks

Certain risks have been identified during the course of preparing the PFS which, if experienced, could influence the effectiveness of the proposed investment programmes.
Issue A Possible Solutions Delivery Risks Inadequate Scope Definition. Previous studies do not accurately define the Works required. Detailed planning for, sanitation (for example) hasnt been done with precision so the extent of the Works required is unknown.
Ensure adequate planning is undertaken by Lenders Supervisor or through the specific consultancy packages The key studies must be undertaken up-front Sanitation requires a lead implementing organisation Ensure ToRs for the Consultancies are specific as to the work required and the budgets available Provide sufficient contingency allowance
Cost Uncertainty. Because much of the Works required are ill or poorly defined. Previous studies are frequently inadequate and subsequent designs unusable. Studies and Designs will in most cases need to be redone and consequently the scope may change and hence costs may vary. Quality of Work. Often poor due to a lack of sufficient attention to what is being proposed. Consultants and Contractors can get away with inadequate work since it is unlikely that anyone will question their work or take action against them
More rigorous requirements for consultant selection and rigorous examination of credentials Mechanisms to ensure that where foreign staff are offered within the proposal that they are provided Training of recipients staff for experience Review process to be undertaken by the Lenders Supervisor including audit of reports and other submissions
Technical Solutions. Sanitation particularly needs tailored solutions due to the nature of the development within the informal / low income areas. As such implementers will need access to alternative designs and implementation methods whether by contractor, community organisations or individuals. Household Connection Policies. Water and sewerage systems must have customers to make investments viable. Recent projects have failed in this regard because connections have not been made in the numbers anticipated. Underused sewers can be problematical
A flexible approach to implementation is required, in terms of: o Modes of delivery o Technical solutions o Cost recovery mechanisms Connections must be affordable Cheap connection charges are only half of the solution if people have to fund their own sewerage infrastructure it can become prohibitive consider project to provide materials and labour for connections Engagement of City authorities for refinement and enforcement of relevant byelaws for mandatory connection and building regulations for on-site systems, fair and effective subsidy policy for connections, public awareness and dialogue with households. As a rule, where new sewers will be laid, service pipes will be constructed and this will be done as close to properties as possible. Government to find a mechanism to allow water connections to schools and ensure payment of monthly bills.
Water Connections to Communal Sanitation Facilities. It is reported that schools do not have water connections because they cant afford the connection fee and cant afford the monthly bills. To address hygiene and sanitation issues, particularly in school the provision of an affordable water connection is essential Clustering It is suggested that neighbouring Authorities pool resources so that larger better equipped Authorities can assist the smaller ones but acceptable means must be found to allocate costs
Ministry to establish equitable mechanisms for cost sharing / recovery
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Issue 8 Insufficient procurement and project implementation capacity, inability of MWAUWASA to accommodate a high intensity of technical assistance, bottlenecks in decision-making in MWAUWASA and the MOW. Possible Solutions Strong support to MWAUWASA PIU through early launch of Programme Manager TA. MoW in charge of day-to-day management of Bukoba and Musoma investments. Part of the scope of the Lenders Supervisor will be to do the bulk of administration and processing of payment and disbursement requests for the entire Programme. For Mwanza investments, referral to the MoW in technical and procurement matters will need to be minimised. The head of the MWAUWASA PIU must be dedicated to the job and shall be the link to general operations. The involvement of UN-HABITAT is to structure the process of managing scoping and coordination of engagement of community groups by the City. Progress will need to be demonstrated by MWAUWASA, BUWASA and MUWASA in billing and collection efficiency as well as a minimum capability in the management of day to day maintenance before full commitment to wastewater investments. There will be enhanced support to asset management, GIS and financial forecasting. A close dialogue with the regulator EWURA over inclusion of this investment programme in business planning will be conducted, on the expectation that relevant tariff adjustment will be made, in particular for wastewater operations. The prerequisite water network improvements for meeting NRW targets under the DUNEA twinning programme can largely be accommodated under this investment programme. Visibly clear and efficient payment process, support to programme administration and effective market awareness/procurement Ring-fencing of counterpart funding to certain components that have particularly high local interest and financial returns, close cooperation with MoW and due diligence of MWAUWASA cash flow in relation to their contribution Stagger Musoma and Bukoba according to readiness and performance milestones, define clear minimum flow core system, intensified focus of financial performance and business planning as well long-term operator training concept. Early warning and cut-off dates will mitigate the magnitude of compensation. In general, all the utilities seem to be versed in the correct procedures. Close monitoring of resettlement will form part of the PIU and Programme Managers tasks. UN-HABITAT will assist in the structuring the process for informal settlements. There will be support to projected maintenance and organisation requirements for serving informal settlements and schools. Quick win operational fixes and the first phase of water network investments will ensure an early start of works and disbursement. An important task under the operation will be to gradually optimise Ilemela operations to get
Insufficient progress on financial improvements, because of lack of hard measures to complement managerial training including the lack of clear programming of NRW investments of 6-8 MEUR to support DUNEA NRW targets, human factor at the level of customer relations becoming a bottleneck to improved revenue generation and NRW reduction or lack of credible tariff adjustment by EWURA.
Tanzanian water sector bid prices inflated and deteriorated contractor relationships from poor performance of basket fund and significant arrears across the board in payments Delays in local and national contribution on account of budget framework
Insufficient capacity of BUWASA and MUWASA to take on wastewater systems and non-viability of such systems.
Non-provisioning of funds for resettlement compensation.
OPEX coverage of increased sanitation
Passing critical deadlines of lenders for disbursement. Ilemela lagoons operations impaired by weak wastewater from industry, drainage from sewers in
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Issue shallow groundwater areas and hydraulic bottlenecks. Possible Solutions maximum removal out of the available footprint, through a combination of investigations in the catchment area, incorporation of the master planning woks and a number of physical interventions. Cooperation with the adjacent brewery will also be explored. This task will be followed by the PIU and Programme manager in cooperation with DUNEA and relevant external experts. An inventory of stockpiles of materials will be conducted, including approx. 80km of sewer pipes from a previous project. To the extent possible works on the Igoma system and informal settlements will explore potential uses for these pipes to avoid theft or degradation. Community engagement in works in the informal settlements is considered to be the most effective measure to safeguard works during and after construction. There needs to be improved preparedness for deterioration and close monitoring of the situation at local level, exchange of experience among Lake water users and future upgrades of treatment processes need to be considered during design of treatment facilities.
Vandalism/theft of infrastructure in informal settlements and materials
Lake Victoria water quality affecting long-term sustainability/cost and technology of water treatment in Mwanza and the satellites Misungwi, Lamadi and Magu. There is global evidence of serious deterioration of Lake Victoria as a source of drinking water with the effects of algae and cyanobacteria already evident at some locations. There is also general evidence of local impact of urbanisation on near shore water quality. While these problems are evident in some locations, there is no present comprehensive picture, the toxicity of cyanobacteria is unpredictable and there is significant variation due to shifting ecological states. There are many intakes around the Lake that continue to use conventional treatment processes many without obvious problems. Nevertheless, there is no reason to expect an overall improvement of Lake quality. Policy and level of service in the satellite communities of Mwanza. Current cost estimates of investments in Magu, Lamadi and Misungwi are beyond the financial means currently available.
Based on further assessment, alternative levels of service and investment will be proposed that achieves a significant improvement on the existing situation for less, reviewing the design horizon, design parameters such a per capita demand and populations and treatment level - but still putting the investments in the context of a wider master plan. The adopt levels of service will have t be approved by the MoW. Make water officers more accountable for their actions Make all transactions more transparent, Independent Audit of contract evaluations and other awards
B 1
Other Risks Political Interference. Can occur at any level from Board Members, Government Politicians and Dignitaries seeking to benefit either personally or for their constituents. Examples: People trying to profit from the sale of a particularly parcel of land whether technically suitable or not People who misuse water say by using treated water to irrigate crops and refuse to pay for the water consumed. People refuse to pay their water bills and summoning favours if disconnected Maintenance Culture. Institutional arrangements in place allow for WSPs to purchase their own spares, directly from the manufacturers if necessary. Maintenance spending is recognised by Regulators and should allow for reasonable maintenance spending when tariff setting. The failure to maintain plant adequately is down to weaknesses in the officers and/or influence from the Board; willingness
Need to demonstrate the benefits of regular maintenance Consider out-sourcing maintenance function to competent private contractors Use longer-term contracts 3-5 years with penalties and bonuses, including regular inspections, emergency response and provision of spare parts. Contracts must be
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Issue and ability (to undertake maintenance) often lacking 3 Corruption. May be experienced at any level. Decisions (including technical ones) may be made for personal gain not in the best interests of the project. Procurement is a major area of concern. Possible Solutions well written and define scope accurately More transparency in all areas Robust reporting mechanisms for all levels Procurement processes overseen by Lenders Supervisor including establishing ISO compliant tendering procedures and audit of major decisions with financial implications Training of recipients staff for experience Independent Audit of reports and other submissions by experienced individuals
Ability. There a lack of experience, even in senior positions, in planning and design. Clients tend to rely too much on consultant recommendations without sufficient challenge. As a result, solutions are not always robust or effective Manipulation. WSP management/staff may contrive to ensure that there is insufficient accurate data to allow the measurement of performance particularly flows and physical losses this allows them to concoct figures to suit the answer that they wish to present Effort. Few people want or need to work hard. They are not well recompensed and there are limited incentives Donor funding. Why spend money to maintain something when you know, sooner or later, someone will give you a new one. Donors are quick to invest in rehabilitation regardless of the causes of the deterioration
Staff performance contracts to be hard-wired to company performance based on actual data. If the datas not there or not verifiable then no bonuses are paid Independent audit of performance Performance contracts to be more focussed, specific on deliverables and should reward good performance adequately Donors to subject project proposals to more scrutiny particularly related to previous investments and perhaps make any new loan conditional upon the establishment of more effective operations and maintenance regimes
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1.8.
1.8.1.
Provision of Improved Sanitation

Introduction
This section describes the proposed sanitation strategy for the Tanzanian towns covered by this project. It is presented here because it describes a generic approach to improving sanitation which will be appropriate in all of the centres under consideration. (For the time being Kisumu is excluded from this strategy since sanitation improvements are planned under the LTAP and Urban Infrastructure Projects funded through AFD). This strategy recognises that a large percentage of the urban population must, in the medium term, continue to rely on on-site sanitation solutions, with piped sewerage solutions being expensive to implement, but also as on-site solutions are perfectly adequate for the disposal of human wastes under the right conditions. It also encourages governments to recognise and accommodate this fact within its planning and statutory processes. The proposed strategy comprises five components considered essential for delivery of improved sanitation conditions. These interventions collectively form an integrated framework for reducing the incidence of diarrhoeal diseases. Figure 1.6 demonstrates the complementary nature of interventions in both the private and public domain, and highlights important linkages between the two. For instance, although household sanitation is predominantly the responsibility of private residents (and proprietors), the maintenance of these facilities may depend upon a public service to empty pits, collect and dispose of excreta.
Private domain
Household sanitation
Hygiene promotion
Reduction of diarrhoeal diseases
Public services
Faecal sludge management
Communal latrines
Figure 1.6 Integrated framework for improving excreta management and hygiene behaviour
Because of the diverse nature of the problem faced to improve sanitation in the various project locations, and the limited scope of this study, this strategy does not prescribe specific solutions for any location. It does however recognise the work done by Poyry in Mwanza and elsewhere, and builds upon their proposed pilot area recommendations. The strategy intends to establish a framework with a range of possible solutions from which the most appropriate can be selected for any particular area. Solutions will need to be determined by field teams on a location by location basis. These teams must be supported by different delivery mechanisms to implement the selected solutions. Delivery mechanisms include contractors, community organisations or the councils or water authorities themselves. The strategy also tries to support the concept described in Section 1.8.9 of Infrastructure Led Upgrading so that, where appropriate, improvements in sanitation can be accompanied by a similar improvement in access and other services using community participation to achieve the desired objectives.
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1.8.1.1. Overview of Strategy Components The strategy proposed comprises five main components as described in the following sections. 1.8.1.2. Component 1 Promotion of Improved Household Sanitation Component 1 aims to improve on-site sanitation at the household level by assisting in the installation of more private latrines to reduce the incidence of sharing and open defecation and to improve the hygiene of installation generally. Increasing the quality of latrine design (upgrading of unimproved pits to improved on-site sanitation e.g. VIP, pour flush) and latrine construction to enable more hygienic conditions within the household environment to be achieved is a key part of the strategy. A range of different latrine types may be used by households. Recommended designs and construction guidelines for pit latrines and septic tanks should be monitored and enforced by Public Health inspectors and promoted by NGOs working amongst the communities. The focus, generally, will be to promote the supply of cheap and good quality latrine components (low-cost sanitary rings and latrine slabs) and technical assistance for homeowners and landlords to install a good quality latrine at an affordable price, although in selected areas the construction of improved latrines could be funded directly. In other areas additional mechanisms can be encouraged to offer financing vehicles to individual householders as trialled by NGO KADETFU in Bukoba. Development funding is needed to support and develop Council operations and NGOs. 1.8.1.3. Component 2 - Communal Latrines and Washing Facilities This component focuses on the rehabilitation of existing and construction of new communal latrines for slum communities and institutions (schools, markets, army and police barracks and hospitals) and public latrines. Particular attention needs to be paid to improving the servicing of these latrines and establishing management systems for sustainable operation. A possible additional advantage of community facilities is biogas production for local energy needs. This will involve supporting and developing the existing management structures through the Utilities and Public Health Departments of the Municipal Councils. Municipal Councils and other Government bodies also need to be supported with project funds. Robust maintenance and cleaning arrangements must also be established. 1.8.1.4. Component 3 Sanitation Promotion and Improved Hygiene Behaviour In areas where open defecation occurs, the primary goals are to mobilise communities to recognize the implications of their behaviour; and to support existing community structures to develop collective social consensus that open defecation is unacceptable by educating people about the problems of flies and their consequences. Improved on-site sanitation facilities are important, but physical investments do not automatically lead to reduced incidence of diseases unless accompanied by efforts to improve hygiene. It has been demonstrated that hygiene promotion is the most costeffective way of reducing incidence of diarrhoeal disease. Thus, this component aims to promote improve hygiene behaviours to ensure that the expected health benefits related to investments in sanitation facilities are realised. Again improved practice must be promoted through the Municipal Councils with the help of NGOs, particularly through the schools and any suitable adult education forums.
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1.8.1.5. Component 4 - Desludging Services and Faecal Sludge Management Faecal sludge management (collection and disposal) is a key issue that needs to be addressed as part of the on-site sanitation strategy. A systematic pit emptying and septic tank cleaning service is needed to maintain sanitary conditions within the urban areas and reduce the uncontrolled discharge of waste that is current polluting natural watercourses and contaminating water supplies. An effective strategy for on-site sanitation improvements must support an expanded pit and septic tank cleaning service in order to improve the frequency and quality of latrine and septic tank emptying operations. In addition, facilities for faecal sludge and proper treatment and disposal of collected faecal sludge are required. This requires the identification of possible sites for sludge disposal and development of appropriate (as Poyry have already done in parts of Mwanza) management/regulatory arrangements for private sector operators. This component would include areas where the utility staircase and/or sludge pipes are to be used and would link to the Infrastructure Led Upgrading initiative. Formal desludging and sludge handling operations must be regulated through the Councils Public Health Departments but will rely to a greater or lesser extent on the water authority companies, community organisations and/or NGOs. 1.8.1.6. Component 5 - Sewerage and Wastewater Disposal Due to the large capital investment requirements combined with ongoing operation and maintenance costs associated with sewerage and the need for large volumes of water for flushing, sewerage is not automatically an appropriate solution for the sanitation problems for urban communities. The expansion of sewerage in the project locations target the town centres and those areas which can be easily incorporated taking into consideration the existing facilities, the implications for wastewater production of increasing water consumption and the urban development patterns which require investments in sewerage in some areas. Implementation will be by contractors. Proposals for expansion are included within the PFS for the town centres of Bukoba and Musoma (new sewerage schemes) and Mwanza (expansion). Funding will be from Project funds and the need to incorporate the funded proposals in Bukoba and Musoma is recognised, although proposals for the sludge digesters may need amendment due to their proximity to the proposed treatment plant sites. The next sections expand on the options available to each component.
1.8.2.
Component 1 - Household Sanitation Options

Various factors are important for the selection of the most appropriate form of sanitation for households in different areas. The level of sanitation service has significant implications on the types of sanitation facility and consequently the associated management arrangements. Other factors include water supply service levels, operational requirements, capital and maintenance costs and ease of construction. Other criteria include local physical constraints such as access for cleaning, density of housing as well as environmental considerations relating treatment and disposal of effluent and sludge.
1.8.2.1.
Pit Design and Emptying In areas where the soil and groundwater conditions do not easily permit leaching of wastewater into the ground and if this is combined with the high density of housing and possible contamination of groundwater used for domestic purposes, then the infiltration of wastewater is not recommended.
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In areas with better drainage and piped water supplies then drainage into the ground may be acceptable. There may still be issues to be addressed as large or deep unlined pits can collapse if they are sucked out too rapidly due to the saturation of the ground around the pit. However, faecal sludge from pour flush latrine pits, and especially waste in lined pits where liquids are retained in the pit, are easier to remove than sludge in dry pit latrines. Most on-site sanitation technologies under consideration rely upon desludging services to remove excreta from the pit or septic tanks once these become full. This system needs an effective and affordable system for emptying pits and transporting the waste to a waste processing/treatment facility. The frequencies of emptying and disposal depend on how many people using the latrine, the size of the tank, the amount of water used for anal cleaning and flushing and to some extent the climate as this affect drainage rates and possible seepage into the pits. Vacuum trucks are appropriate for removing septage from septic tanks, but there are a number of problems when these are used to desludge dry pit latrines. 1. Pit latrine waste starts out as a low-density sludge with a high water content and low viscosity but becomes progressively difficult to remove by suction as dense sludge forms at the bottom of the pits, which is virtually impossible to remove by suction. Pits are often not well positioned to facilitate cleaning and access is only possible via a small squat hole which is used for defecation. As it is dark, it is generally not possible to see how much waste remains in the pit and the efficiency of desludging services to remove all the waste is questionable.
2.
As a result, depending on the frequency of cleaning and the size of the pit, the capacity of the pit is progressively lost. It also gets harder to clean a pit and costs rise. Many households cannot afford to pay for a complete desludging as it costs more to remove large sludge volumes and this means that the investment and effort involved in digging and lining a large pit also lost. These factors support the argument that pits should be designed to be smaller than is traditionally accepted as part of engineering design. The regular removal of smaller amounts of waste is not only technically easier but it means that the transactions are smaller and therefore become acceptable to poorer households who are unlikely to have sufficient money available at any one time to pay for a large volume of waste to be collected. Alternative wastes can be piped away from directly under the latrine to ease emptying by using pour flush technology. An alternative option would be to use the sludge pipe concept suggested by Poyry, where a sludge collection pipe is laid (above ground in rocky areas) from the informal area to a local collecting facility with frequent chambers permitting individuals to empty their own pits easily. The collection facility is then managed by the authority or Council (such facilities would be provided under Component 4 of this Strategy). 1.8.2.2. Appropriate Sanitation Technologies The strategy at the household level is based upon the promotion of the following options. The strategy encourages households to select from a range of technology options for on-site sanitation, but the decision as to which latrine is most appropriate needs to be a household level decision and will depend upon the following factors: Physical factors: housing density affects the space for installation of latrines. Financial considerations: the socio-economic status of households affects their ability of households to pay. Cultural factors: e.g. Muslims prefer to squat and use water for anal cleaning whereas Christians prefer to sit.
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Option 1: Basic Improved Pit
The lack of design guidance and customs for latrine construction means the traditional pit is particularly unsatisfactory in terms of hygiene and local environmental health problems. However, a simple pit latrine is not necessarily a poor form of sanitation if provided with a proper slab and lining. The most affordable on-site sanitation option is the basic improved pit. The pit can be made with precast concrete slabs and lined with two concrete rings of 1.4 m internal diameter and 2 m depth. The pit may be dug deeper but it is not considered to be necessary to line the pit deeper than 1 m, but this will depend on the local ground conditions. The cost of this option (materials only) is estimated to be approximately US$ 120 US$ 140. More sophisticated solutions are available to improve the condition of the latrine and one such example is described below. The use of these can be considered for particular locations if the demand exists locally.
Commercially Available Latrine Slab Alternative An example of an alternative to the conventional concrete latrine slab is the Sanplat system. One of the advantages with the SanPlat System is that the hole has a tight fitting lid. This effectively stops smells and flies circulating and allows the latrine to be built close to the house.
Sanplat latrine slab The neatness of the SaniPlast Priv stimulates better cleanliness in the latrine and foot operation of the lid eliminates hand contamination route of disease transmission. The Sanplat can be mass produced in a mould and are light and therefore easy to transport. Importantly, the status of a plastic top-finish plastic Sanplat is higher than a concrete one and stimulates demand and higher coverage. It can have a better value as incentive than a concrete one (because of higher status).
Option 2:
Ventilated Improved Pit
The Ventilated Improved Pit (VIP) latrine is similar to the basic pit latrine, but incorporates a number of additional design features in order to reduce the two major disadvantages of the simple pit latrine - odour and flies. The VIP includes a vent pipe to remove odours and, provided the inside of the latrine remains dark, flies are not attracted to entering the latrine. In order to prevent insects from entering the pit, a screen must be placed securely over the top of the vent pipe. The VIP is generally of improved construction materials than a simple pit, which also increases the cost. The cost of this option (materials only) is estimated to be between US$ 160 - US$ 200 Option 3: Pour Flush Toilet
The pour flush toilet is envisaged to become a more popular latrine as the availability of water increases. It has the advantages of offering an enhanced level of hygiene than a pit latrine and has less odour problems. Water is required for flushing but greywater (from washing clothes etc) can be used to avoid any increase in household
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water consumption. Pour flush toilets are usually offset which makes the tank easier to access for desludging. Therefore, the toilet can be in the house and the tank outside and subsequently upgraded to a sewerage system in the future. In addition, the waste has high moisture content and is therefore easier to desludge. The design consists of two prefabricated cement rings of 1.4 m diameter, which are stacked on top of each other to form a tank. The cost of constructing the pour flush latrine is almost the same as for a conventional single compartment VIP latrine of the same capacity but if the capacity of the pit is reduced then the cost of the pour flush is less. The cost of this option (materials only) is estimated to be between US$ 180 - US$ 220. Option 4: Water Closet Flush Toilets and Septic Tanks
Water closets are the most expensive type of toilet, requiring considerable volumes of water for flushing. They need to be connected to a septic tank or sewerage system. Thus, the capital and operation maintenance costs are high and this option is only affordable for the upper-middle and high income households. The cost of this option (materials only) is estimated to be between US$ 300 - US$ 500. Another potential option is the application of ecological sanitation (ecosan) which aims to manage faeces and urine as resources which can fertilizer soils in local food production. Ecosan latrines tend to be more expensive that conventional latrines but may have benefits as they reduce reliance on synthetic fertilizers. In principle, ecosan has some important advantages including a) reduced water demand for flushing; b) reduced wastewater management problems (no blackwater production); and c) improved nutrient recycling - particularly the nutrients in urine. The pollution of surface waters and groundwater is reduced and therefore ecosan many be appropriate in areas where local communities are dependent upon local water sources for water supplies. Ecosan latrines are not considered to have applicability in the denser urban areas, but in the peri-urban areas and notably in low-income the settlements on the hillsides surrounding the city where water supplies are particular poor and are in accessible by desludging vehicles. As ecosan requires a very different form of household sanitation, there will be a need for concerted efforts to promote these technologies and this will be dependent on an external organisation with local support to undertake the social mobilisation and potentially to subsidise the latrine construction. Ecosan is currently being promoted in some other parts of Tanzania and there may be scope to discuss further with relevant organisations the development and implementation of ecological sanitation latrines and initiate a programme of local research to develop culturally acceptable and affordable designs for ecosan latrines, details of construction and what local materials would be advisable to be used.
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Improved pit
Ventilated Improved Pit
Pour flush toilet Figure 1.7 Basic Latrine Options
WC and septic tank
There are various alternative designs that are technically viable and these will be selected in accordance with local physical conditions and demands from local stakeholders. In addition to the standard latrines options described there are other potential options which can be considered as part of local on-site sanitation improvement plans in which social mobilisations and sanitation technicians will work closely with Community Committees in order to identify appropriate technologies for different parts of the city. The strategy for improving household sanitation facilities within the large towns will be directed towards the communication of acceptable designs, assistance with the provision of materials and expertise and setting-up of micro-finance schemes to help householders fund improvements. Poyrys proposals in Mwanza encouraged the use of pour flush toilets with twin chambers to allow use of one side whilst the sludge in the other full chambers dries before manual removal.
1.8.3.
Component 2 - Communal and Public Latrines

Communal latrines are a necessity for slum communities and potentially other areas where individual households cannot afford private latrines or there is no available space or poor access (e.g. due to steep slopes). Communal latrines are also needed for schools, hospitals, army barracks etc. and public latrines are necessary for markets and other areas where there is high foot traffic.
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This component therefore focuses on the rehabilitation of existing communal/public latrines and the construction of new ones in strategic locations as yet to be identified. As described below these can, if convenient, be combined with faecal sludge collection points. These may also serve as washing facilities and may be combined with water kiosks as long as womens safety and privacy issues can be addressed. Social centres offering cooking facilities may even be possible if biogas technologies are used. There are variants to the design depending upon the peak number of people that are expected to use the latrine facilities, whether the waste is to be treated on site or whether it is to be collected and treated off-site, and whether the latrine facilities are to be designed to provide washing facilities for personal hygiene and washing clothes as well as the basic sanitation function. A reliable water supply is always required where pour flush toilets are utilised, but should also be provided for hand washing at any communal installation if hygiene is to be maintained. (The problem of schools ability to pay for the water connection and water bill must be solved as it is a fundamental element of this sanitation strategy). Successful examples of communal facilities being used to produce biogas from fermented sludge are now common place in Nairobi and are being run as small businesses by local communities and/or individuals. This is an option for small local schemes within the informal settlements in the project locations, and is described below. The approach is straight forward; a 60m3 digester dome is constructed directly under a communal toilet facility. Design populations are 400 500 people. People are charged 0.03 per visit or 1.50 for a family for a month to use the toilets. They have mains water supply, washing facilities and use pour flush or cistern flush technology. They produce between 8 and 12 m3 of gas per day, about enough to run two burners for 24 hours. The burners are housed in the same structure although refined designs are looking to move them to an adjacent room. Sludge is removed about once a month using a truck exhauster although less accessible ones are emptied manually. The operators/sponsors are planning to extend installations to include additional sludge treatment including possibly discharge of liquid to reed beds or similar. There was no indication of any attempts to pipe sewage in from other locations in the facilities inspected but this should not be a problem if discharges are monitored and controlled in some way. The structure also includes a communal meeting room which is let for meetings and viewing football matches raising additional revenue. One block also incorporates a caf and office. Facilities are managed by the community, who also provided the land, and can make around 500.00 per month net profit. The strategy for the provision of community facilities will be directed at determining the requirements, providing designs and funding and managing the construction through small works contracts or possibly community based schemes. Poyry had proposed a strategy for Mwanza with new or rehabilitated facilities at all schools, hospitals and other public locations. Generally pour flush technology was proposed so it is essential that water connections are provided to all such locations. Solutions must be found to enable schools to be connected and to meet their water bill if hygiene is to be improved significantly.
1.8.4.
Component 3 Sanitation Promotion and Improved Hygiene Behaviour

In areas where open defecation occurs, the primary goal is to mobilize local communities to recognize the implications of their behaviour; and to support existing community structures to develop collective social consensus that open defecation is unacceptable. To achieve this goal, the strategy adopts an approach currently being promoted by UNICEF entitled Community Led Total Sanitation (CLTS). For each location a social marketing campaign designed to motivate householders to invest in
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improving their latrines and to promote improved hygiene behaviours will be developed. Particular attention will be placed upon working with the private sector to develop a commercially focussed marketing strategy to promote the sale of good quality latrine components and to work in partnership with soap marketing companies as it is also in their commercial interest to encourage habitual hand washing with soap. 1.8.4.1. Need for Hygiene Promotion One of the key problems relates to the difficulties of convincing households of the costs of open defecation in terms of the impact of health particularly as it costs nothing and it has become accepted and is not perceived to be the cause of any harm. Given these entrenched habits and perceptions, something dramatic is needed to change peoples thinking and behaviour. The CLTS approach is proposed as an effective sensitisation tool to instigate changes. The CLTS promotes a different approach toward scaling-up of sanitation, which is gaining widespread support and popularity. The main features of the CLTS approach are as follows: community-led, encouraging people to recognise and solve their own sanitation problems, rather than imposing ideas and solutions. However, external ideas and solutions can be constructive to support the community and are vital for servicing on-site sanitation etc requires minimal (or zero) hardware subsidies, thus is less costly to implement at large scale than most conventional rural sanitation programmes. focus on collective behaviour change, notably the eradication of open defecation, rather than simply building toilets.
It will be important to be able to follow up on the momentum generated by CLTS to ensure that households can access improved sanitation. Therefore, in informal areas, CLTS will be undertaken in combination with investments to improve communal water and sanitation facilities. As well as focussing on open defecation, the community mobilisation will focus on encouraging residents to use latrines and avoid unsanitary practices related to the disposal of excreta in plastic bags amongst the other refuse. 1.8.4.2. Hygiene Promotion Although provision of improved water supply and access to sanitation facilities is essential for improvements in health, these need to be complimented by a concerted effort focused on hygiene promotion, which supports behaviours that are known to reduce diarrhoeal disease, especially amongst younger children. As the home environment is where many diseases are transmitted, it is important to consider a range of practices that can improve domestic hygiene, especially those related to sanitation (safe disposal of faeces, including childrens faeces; washing hands after defecation, before preparing meals and before feeding children). Generally, there is reasonable awareness of the links between hygiene and diarrhoea within communities, evidenced by the prominent hand washing facilities available a many cafes and restaurants. However, it is important to continue to build on existing understanding of the linkages between hygiene and diarrhoea and promote hand washing with soap. As well as traditional health orientated messages to be promoted by NGOs working at the grass-roots level, social marketing techniques may be used to promote hand washing with soap in partnership with private sector soap retailers. This should involve a professional social marketing agency to undertake a formative research study prior to developing culturally appropriate advertising strategy and production of marketing and communications tools.
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1.8.4.3. Promotion of Hand washing via Public-Private Partnership Promotion of hand washing via public-private partnership is based on the belief that it is mutually beneficial for private commercial firms and public entities (principally ministries of health) to work in partnership to achieve complementary goals in promoting hand washing for public health. Soap companies use new messages and methods of advertising soap designed to reach groups with low socioeconomic status in rural areas where diarrheal disease rates were high. Concurrently, these efforts would help each company increase sales and enhance its corporate image whilst the public sector endorses the promotional campaign, assists in dissemination and collaborates in special interventionssuch as distribution of hand washing kits. 1.8.4.4. School Sanitation and Hygiene Promotion Children can be highly effective as agents of change within their community and can have a direct influence on their family, both existing and in the future. It is important to focus on schools because, after the family, schools are most important places for learning and behaviour change for children. Schools can also influence communities through outreach activities, since, through their students, they are in touch with a large proportion of the households in a community. An important component of any sanitation strategy involves a combination of software and hardware to promote improved hygiene behaviour amongst school pupils. School hygiene education is a specific form of the wider school health education. It deals only with water and sanitation-related health problems in and around the school and concerns all activities that promote health and reduce health risks of school children. It is important to ensure that adequate facilities are provided and maintenance and cleaning arrangements are in place to keep the installations clean and hygienic to provide real experience that the users, particularly school children, can take into their own homes. There are already a number of initiatives within the various project locations covering some or all of the hygiene promotion activities discussed above. The objective of this programme under this strategy would be to bring all of the existing bodies together to learn from experiences so far, provide co-ordination, operational support and resources to develop a consistent and effective approach to hygiene promotion.
1.8.5.
Component 4 - Servicing of On-site Sanitation

At present, the desludging services available are operated by the UWASAs themselves or by a small number of private operators. The coverage tends to be limited, service is intermittent and unreliable and there are many households that currently cannot be accessed by conventional desludging equipment. There is clearly a need to expand and improve the conventional desludging operations. In addition, accessibility for desludging by vacuum pump trucks or other forms of equipment needs to be considered. Systems for desludging pits in areas that are inaccessible may involve the following options: 1) Improve access, which in some cases is also necessary for other reasons. For example, the high density of urban slums, which can only be accessed by narrow paths, is a real problem where a fire breaks out. In this situation, a more comprehensive upgrading scheme is required as well direct upgrades of water and sanitation facilities. This has been proposed under the Infrastructure Led Upgrading proposals. Provide manual workers with better equipment, protective clothing and provide local points for waste collection. This is not proposed as a long-term solution but in the short-term, many pits will still need to be cleaned manually and there is a need to reduce the health risks associated with these unsanitary practices. Distribution of protective gear will be challenging to manage and may best be achieved through a suitable NGO. In addition, as
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2)

described below, due to the existing unsanitary practice of burial of faecal sludge within the household plot, there is a need to install a system of intermediary collection points where the waste can be stored prior to collection by a desludging truck for transport to a remote location for off-site treatment and disposal. 3) Introduce alternative technologies that can be used in narrow areas. Smaller mechanical equipment (e.g. Vacutug and Dung Beetle) has been developed and used in other countries and there are opportunities to pilot these technologies. Provide Community Solutions such as sludge pipes, condominium sewers and localised sludge and septage collection facilities to move the problem from inaccessible areas of informal settlement into areas where normal removal systems can operate.
4)
These options are discussed in more detail below. 1.8.5.1. Sludge Collection Options Option 1 - Desludging Trucks Conventional vacuum tankers are expensive to operate as they consume a considerable about of fuel; they can wear rapidly and cannot access high-density housing areas lacking reasonable roads. In addition, spare parts are a problem for ensuring sustainable operation of vehicles. Depending on the capacity of the sludge pumps, the distance between the septic tank and the vacuum truck can only be as far as 150 - 200 meters.
Conventional desludging truck These are used in many cities throughout the world but are expensive and have difficulties in accessing densely populated areas. Capacity is 5,000 litres and can be used for institutional buildings, schools and communal/public latrines.
Narrow wheel-base desludging truck Essentially the same as the above but with a smaller wheel capacity and wheel axle, enabling them to enter narrower lanes. These have a capacity is 3,000 litres and are more appropriate for servicing domestic properties.
Trailer mounted desludger attached to separate vehicle This system has been designed for use for servicing pit latrines in the dense slums of Dhaka. The capacity of the tank is approximately 2,000 litres. There is scope to utilise a similar design and manufacture the equipment in Tanzania.
Septage desludging vehicles 5099279/70/003/Main Report - Final Page 118

For smaller towns and less accessible areas simple trailer mounted desludgers are proposed. These would need to be constructed locally using available parts providing a willing manufacturer can be located. Option 2 Pit Desludging in High-Density Settlements Pit desludging is problematic in high-density settlements due to the lack of access. Therefore, equipment is expected to cope with faecal sludges of different physical consistencies. In response to this problem, the Dung Beetle (which is used in Accra, Ghana) and the Vacutug (which has been used in Kibera, Kenya) have been designed to provide an alternative method for emptying pit-latrines. In order for these technologies to be sustainable, equipment needs to be developed under this initiative that can be produced and repaired locally. One of the main problems is that there needs to be some form of local collection facility where the sludge can be discharged and then collected by a large vacuum desludging truck. The scope to introduce these collection points (transfer stations) in combination with public latrines is discussed below.
Dung beetle Previous manufactured by J. HvidtvedLarsen A/S, Denmark (Cost US$ 50,000) but currently not in production
Vacutug Produced by UN-Habitat (Estimated cost US$20,000)
Desludging options for servicing of pits in high-density settlements
Option 3 - Manual Emptying of Pits Cleaning pits where access lanes are either too steep or too narrow is problematic as these are often inaccessible by any form of motorized desludging equipment. Manual handling of faecal sludge is not considered to be acceptable as part of a long-term strategy of waste management. However, developing and implementing more sanitary waste collection services will take time and there is an urgent need to improve current practices with a specific focus on protection of workers. To reduce health hazards associated with manual cleaning of pits, it is important to provide gloves, boots, masks etc for the workers. In addition, lime can be added to septic tanks and pit latrines to remove stench and suppress odours from human excreta. The strong alkalinity destroys most pathogens and also conditions the sludge prior to disposal. Some new technologies have been designed for the non-mechanical remove of sludge. These methods protect the operators better through reduced contact with pit contents, therefore reducing the risk of infection. One example is Mapet, which was designed by WASTE in the Netherlands to overcome the hygienic problems of manual pit emptying in Dar es Salaam. More recently, the Gulper has been developed by Steve Sugden from the London School of Hygiene and Tropical Medicine.
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The Gulper is a manually operated pump for emptying the contents from pit latrines. The device is based on a simple direct action hand pump, which is operated by either one or two pit-emptying operators. The handle is raised and lowered which lifts the contents of the pit up through the riser pipe, which is then discharged through the angle T outlet pipe at the top of the Gulper. The estimated cost of a Gulper is approximately $1000 but it is based upon a simple design that could possibly be replicated in locally.
The Gulper equipment for desludging pit latrines
Option 4 - Faecal Sludge and Septage Removal Facilities Tankers of septage can transport sufficient quantities in one trip to make it economically viable. However for pit latrine emptying, cartage of relatively small faecal sludge volumes (Vacutug size) over a distance any more than 1 2 km is impractical and uneconomic. It is therefore important to minimise haulage of faecal sludge volumes by introducing sludge transfer stations (or alternatively small decentralised treatment facilities). In addition to a larger scale service operated by the municipality (or private operators under contract in different parts of the city), there is a need to support development of local systems for faecal sludge collection and the use of smaller more manoeuvrable equipment. Installing collection points/transfer stations for faecal sludge is considered an important link for an efficient faecal sludge management strategy. These neighbourhood collection facilities will need to be installed at the periphery of informal settlements from where the waste can be stored prior to bulk collection. The system should be designed as an underground chamber in order to reduce smell and nuisance from flies. Inside the chamber, the waste will undergo preliminary pretreatment (anaerobic digestion), which improves the dewatering characteristics. Collection and storage facilities have been constructed as underground tanks in Accra, Ghana in order to provide a sanitary means for the local collections without odour problems. However, the tanks tend to suffer from siltation problems if not cleaned sufficiently regularly, and the usable volume can reduce over time. Once the tanks are silted up, they are very difficult to empty, which strains the pumps of vacuum tankers, increasing both desludging and maintenance costs. Poyry have suggested much smaller tanks but these require much more regular emptying, which will challenge collection services. Another key issue is the location of the tanks, as local residents are likely to oppose faecal sludge collection points nearby their houses. One possibility for further consideration is to combine these transfer stations with a public latrine and washroom, in order to improve acceptability amongst the local community. The public latrine option would also provide an opportunity to employ a caretaker for managing both the latrine / washroom as well as to regulate the discharge of faecal sludge. The other option that can be adopted in the short-term and can be used for areas where it is not possible to install a more permanent sludge collection facility is to introduce a system whereby local Council or Authority provides a temporary collection point for a local area for a specified duration of time. To encourage local residents to have their pit cleaned and to ensure that they take advantage of this service, the City Council may choose to subsidy this service using funds from municipal taxes or operators licence fee.
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Implementation of this strategy requires detailed site investigations to develop appropriate solutions for each specific area, design and construction of collection and storage facilities, provision of exhausters and other emptying devices, including, possibly support for local manufacturers to produce plant locally. Option 5 - Sludge Collector Lines and Sludge Insertion Points To transport the sludge-liquid mixture from the pour-flush pits to the communal septic tanks, Sludge Collector Lines (SCL) and Sludge Insertion Points (SIP) were proposed and designed by Poyry in the previous Mwanza project. The SIP are simplified manholes where the nearby living residents can discharge their sludge which they have previously removed manually from their double pits. The sludge then flows under gravity to a communal collection facility or tank where it is manually removed using exhauster trunks. This was proposed for several areas of town where access for exhauster trucks was impossible and the land is unsuitable for conventional sewers. 1.8.5.2. Sludge Treatment and Disposal Sludge characteristics vary widely from relatively fresh faecal materials to sludge which has undergone bacterial decomposition in a pit latrine. Fresh sludges may contain large numbers of pathogens, whereas the stored sludges will contain less as pathogens die-off. Sludge should, however, be handled with care to avoid contact with pathogens. Sludge may be contaminated with other pollutants and waste materials which can hamper the treatment process. Faecal sludge contains essential nutrients (nitrogen and phosphorus) and is potentially beneficial as fertilisers for plants. The organic carbon in the sludge, once stabilised, is also desirable as a soil conditioner, because it provides improved soil structure for plant roots. Options for sludge treatment include stabilisation, thickening, dewatering, drying and incineration. The latter is most costly, because energy is needed and air pollution control requires treatment of the combustion gases and this would therefore not be sustainable for the smaller towns. Faecal sludge collected from latrines has a very high biochemical oxygen demand (BOD) and is generally putrid and odorous. Sludge from a septic tank, which has undergone bacterial decomposition over at least a year also has a high BOD. Stabilisation is the process of BOD reduction, and can be carried out under aerobic or anaerobic conditions. Aerobic stabilisation of is carried out in an aeration tank but because of the high oxygen requirement, this process is energy intensive and costs are high so it is not considered under this strategy. Anaerobic digestion is a bacterial decomposition process that stabilises organic wastes and produces a mixture of methane and carbon dioxide gas known as biogas. Anaerobic digestion can also be carried out at a slower rate in an unmixed tank or pond. If the biogas is to be recovered the pond needs to be covered by a UV resistant plastic sheet, because of the large area needed to be covered, and biogas is collected from the top of the sheet. Biogas can be stored in a cylindrical tank with a floating roof. The cylindrical roof floats on water and its position is determined by the volume of the gas stored under the pressure of the roof. Biogas can also be stored in a balloon, but only under low pressure. Composting is an aerobic bacterial decomposition process to stabilise organic wastes and produce humus (compost). Compost contains nutrients and organic carbon which are excellent soil conditioners. The optimum conditions for composting are a moisture content of about 50 %, a carbon to nitrogen ratio of about 25 to 30, and temperature of 55oC. Because wastewater sludge is rich in nutrients, its carbon to
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nitrogen ratio is low (5 to 10). It is also high in moisture. Addition of dry sawdust, which is very high in carbon to nitrogen ratio (500) can adjust both the moisture and carbon to nitrogen ratio. Other waste materials that can be used for this purpose are mulched garden wastes, forest wastes and shredded newspaper. Composting can be carried out in windrows. Regular turning of the windrows assists with mixing of the materials and more importantly supply the oxygen to the bacteria. Temperatures can reach 55oC, because compost has a good heat insulating property. Turning of the compost also ensures that all parts of the windrow reach the required 55oC essential for pathogen destruction. Turning is required every two to three days in the first two weeks but after this time frequent turning of the compost windrow is not required while the compost undergoes maturation. Depending upon the quantities and type of sludge anticipated this strategy proposes the treatment of faecal sludges using anaerobic ponds/digesters followed by dewatering and drying facilities. Depending upon the availability of other wastes and refuse composting of mixed wastes can also be considered. Because of the potential health risk it should be used in agriculture with caution. Sludge to be used in agriculture should be stored for an extended period prior to being applied to land, and its use on land to be used for the production of salad crops within, say,12 months of application should be prohibited. Simple guidance needs to be prepared for sewage treatment managers to set out the rules for sludge re-use. 1.8.5.3. Economics of Faecal Sludge Management The time required to transport wastes to disposal sites can make faecal sludge operations uneconomic but this can mean that there is little incentive to transport the waste to the sludge disposal site with a risk that drivers of the emptying truck dispose of the waste illegally in a watercourse out of the main urban areas in order to cut haulage time and cost. In order to minimise the cost of cartage of faecal sludge and make the operations economically feasible, it is important to look at the scale and cost of treatment works and the cost of hauling FS to these works in an integral manner. The basis of these calculations will also influence decisions related to the tariffs charged for cleaning onsite sanitation facilities and any incentive mechanisms built into the contracts with private entrepreneurs responsible for FS haulage and treatment. The main factors that influence the operators cartage costs are fuel consumption and labour costs. These are related to the financial costs are a) the distance between the point of collection and the disposal point and b) the time taken. The capacity of the truck affects the number of households that can be served before the truck needs to drive to the disposal site.
1.8.6.
Component 5 Sewerage and Wastewater Disposal

This component has been addressed in detail in the individual PFS location reports.
1.8.7.
Institutional Aspects
Institutional development is needed for effective implementation of the technical sanitation interventions. Some key issues are as follows: Defining Roles and Responsibilities. Environmental sanitation programmes can suffer confusion if the roles of all the groups involved are not well defined, particularly where decision making structures are complex, with conflicting policies and programmes. The complex nature of the decision making structure itself has also been identified as a problem for policymakers. It would help if there were a stronger, more visible, institutional
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home for sanitation policy-making that combines all the best initiatives in the region to date. Monitoring Coverage. Collecting and reconciling data on sanitation coverage needs urgent attention. The details of what is happening in the poorer areas can be masked by national statistics. To be cost effective, and hence sustainable, community organized data collection should be used to support and interpolate on national statistics and be used to guide investments. Coordination. Improved coordination is needed between sanitation and health provision, as well as between sectors. There is much untapped potential in the community health workers and by linking their input to the sanitation providers and local authorities more effective services can be delivered and hygiene promotion improved. Implementation. There is political will towards promulgation of policies but there is a need for increased implementation support and political advocacy for implementation by key political figures. For example, the city mayors or city directors should lead local campaigns, with support from private sector partners, CBOs and NGOs. Demand Generation. There is a need for increased focus on demand generation rather than on subsidies. Current and past projects have tried to encourage investment in household latrines by offering subsidies but have failed due to the lack of demand. New approaches that identify barriers to adoption and use targeted demand-stimulation strategies are necessary. The same applies to connection to sewerage. The cost impediment is not the only issue; bureaucracy can compound the situation. Capacity Building. Improved capacity is needed at all levels. There is a major lack of technical capacity at the local level on adequate environmental sanitation. New approaches such as ecosan and shallow sewerage may not be selected due to the conservatism amongst engineer and health officials. Building capacity through south-south exchanges can greatly improve confidence to try new approaches. Financing. The amount of finance needed to reach and indeed exceed the sanitation MDG varies according to its source. A large proportion is being financed by donor support but government counterpart support and promoting investment from local financing sources is also necessary, if the MDGs are to be achieved. Focus. A greater focus on sanitation is needed because sanitation coverage is falling well behind safe water provision. This problem has been widely recognised in the water and sanitation sector recently and various NGOs have highlighted the problem by proposing more policy dialogues, workshops, and an annual conference that discusses sanitation alone. Inclusion. Greater inclusion of communities and the poor in decision-making processes is needed for successful uptake. The current administrative structure in the region has generally not fully engaged with communities and the poor, as a result, targets have not been met. One notable exception is in Mwanza where strong links have been established between CBOs and the City Council and this has lead to the outsourcing of some services, such as solid waste collection, with some success. Enforcement. There is obviously a need for a strong regulation through councils or Environmental Protection Agencies, but if organisations are too collaboration-oriented, it weakens its regulatory abilities. There is also, a need to update procedures for the enforcement sanitation bye-laws; some fines are by far too low.
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Project Formulation Report Main Report 1.8.8. Approach to Implementation of the Sanitation Strategy
Whilst there are some elements of this strategy in place for rapid implementation (the communal facilities in Mwanza for instance) the majority of the proposed sanitation investments require further planning. To manage the programme effectively the following actions are required: Establish policy and approach for the project (in each location), including the legal framework for interventions (enforcement of by-laws etc); Involve interested parties including government institutions (both national and local), community groups, NGOs etc in strategy delivery; Confirm areas of greatest need, appropriate solutions to be adopted and prioritise investments; Engage the Authorities and Utility companies to find solutions to water supplies to schools problem; Establish delivery vehicles for project interventions, be it contractors, councils or community direct labour groups; Engineering selected solutions (developed standardised solutions to avoid repetitive design fees); Develop a programme for sensitising local political and public support; Develop local hygiene promotion campaigns and means to deliver them; Develop approach to individual household sanitation provision by providing expertise and tailored solutions; and Develop householder micro finance support mechanisms.
To achieve this, the project will require the appointment of a sanitation management umbrella organisation, possibly an NGO, consultant or UNHABITAT to take the lead on the sanitation component and to manage its delivery. It is proposed to implement solutions on an areal basis where areas prioritised for sanitation improvements will be targeted and solutions selected to provide adequate acceptable solutions to everyone within that area. The ability of individuals within the area to contribute or fund any improvements will not be considered with the full range of improvement options fully funded under the project. Within the selected areas the implementation team will, in consultation with stakeholders, produce tailored solutions to the particular sanitation issues; selecting from the range of potential solutions described in the previous sections and adopting an appropriate delivery vehicle for implementation.
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Table 1.38 Suggested Organisational Involvement in Delivery Mechanisms for Sanitation Strategy by Component Component Implementing Agency (Key Responsibility in Bold) of 1 Promotion of improved household sanitation 2 Communal latrines and washing facilities 3 Sanitation promotion and improved hygiene behaviour 4 Desludging services and faecal sludge management 5 Sewerage and wastewater disposal Ministry of Health Councils CBOs Private Sector Councils Government Institutions Utilities Ministry of Health Councils CBOs Councils Utilities CBOs Private Sector Ministry of Water Utilities Materials Expertise / Capacity Building Latrines in LIAs Communal Toilet Blocks NGOs Hygiene promotional materials Capacity Building Works Materials and Equipment Capacity Building Works Capacity Building Loans Loans Project Supervisor Sanitation Lead Organisation Consultants Project Supervisor Consultants Grants Government Other Funds Loans Government Funding sources Grants Government Other Funds Project Supervisor Sanitation Lead Organisation NGOs Project Supervisor Sanitation Lead Organisation NGOs Sanitation Lead Organisation NGOs Implementation Support
Note: Attempts will be made to engage NGOs already working in the sanitation sector and who may have access to other sources of funds
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Informal area in Kibera Nairobi
1.8.9.
Infrastructure Led Upgrading

The need to improve provision of WATSAN services within informal areas is highlighted throughout the various sections of this report and has particular relevance due to the propoor focus of the project. Atkins partner on this project, UNHABITAT, has, along with other organisations, been promoting a more integrated approach to the provision of services by targeting improvement to all areas of everyday life. This includes improving access and seeking to provide more sustainable services by addressing the longer term operations and maintenance issues, as well as trying to achieve a sense of ownership within the affected communities. This section considers a similar approach for the targeted communities living in informal settlements covered under this assignment. The rapid increase in urban populations of Africa is a catalyst for many problems and challenges. The consequent combination of urbanisation and poverty, poor planning and constraints in local financial and institutional capabilities on the one hand, and pressures for development and competition for resources, and livelihoods on the other, has combined to push life in African cities/towns virtually to the brink. The need to understand environments and manage change in urban informal settlements is urgent and challenging. Poverty, social and economic exclusion, and the problem of housing so many new urban dwellers have resulted in the growth and spread of large informal settlements. These areas are densely populated, poorly constructed, and lacking in the essential provision of basic services. They are now seen to play an important role in the economy, cultural and social dynamics of communities, and in the ecology of expansive rural hinterlands. Solutions require the promotion of good urban planning practices and paying attention to the wider principles of sustainability, the environment, equity, and economy. Efforts need to be directed at bringing together the various institutions that deal with improving water supply, sewerage, on site sanitation, solid waste management access and drainage (particularly to low income areas) to interact in an environment of trust and openness. This approach will create opportunities for efficient use of resources, and provide the public with tangible community benefits. UNHABITAT has been involved in a number of initiatives to deal with some of these problems through its Water for African Cities Programme. The programme, in its second phase, is being implemented in seventeen cities with focus on the urban poor. Programme management structures were established within the participating cities. A steering committee, comprising high-level officials from relevant ministries, key national water and
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sanitation institutions, NGOs, and community representatives, provided programme guidance and ensured that the programme activities were supported by the national governments. City Managers served as the city-level focal points, and they built support for the programme amongst the multiple stakeholders of their local WATSAN sector. The City Managers are in most cases assisted by assigned Project Officers from organisations like UNHABITAT, who follow up activities on a daily basis. The interventions were designed to improve WATSAN access as a result of direct impact demonstration interventions in parallel with improving the WATSAN environment through an approach of learning by doing. Within this context, community mobilisation, sensitisation and capacity building with a strong gender focus was undertaken within the beneficiary communities to ensure their full involvement in all aspects of the interventions. This report draws lessons and experiences gathered through implementation of integrated infrastructure led projects from selected case studies in Kenya, Ethiopia and Ghana. 1.8.9.1. Integrated Infrastructure Approach in Informal Settlements Basic infrastructure services (viz. water supply, sewerage, on site sanitation, solid waste management, access and drainage), are vital for improved quality of life in low income and informal settlements in particular, where inadequate access is the source of multiple problems for the inhabitants. It is important that such facilities in these environments are provided within an overall integrated planning and management framework. Poor water supply, sanitation (including sewerage, solid and liquid waste management) and hygiene are major environmental sources of ill-health. Some economic studies of water supply and sanitation interventions24 quote the return on US$ 1 investment on water supply and sanitation in the range US$ 5 to US$ 28 depending on the country and extent of services in place, suggesting significant cost savings for healthcare. Such examples of costbenefit analyses suggest that treating environmental sanitation and health issues upstream through basic infrastructure and services provision (improving the environmental conditions to prevent environment-related health problems) rather than downstream (treating the health problem) can be cost efficient. Furthermore, experience from the Kibera slums of Nairobi has shown for instance that adequate access (street with proper drains and pedestrian walkways) to these communities offers the opportunity to: Connect people with the goods, commercial and livelihood activities; Connect the formal and informal locations within the city; and Function as support for social cohesion by ensuring more interaction and safe public space for cultural expression.
This could potentially increase residents options for investment and economic activity. 1.8.9.2. Staged Approach Recent experience of implementing community based projects has usually entailed entering into Cooperation Agreements with either local institutions including water and sanitation service providers or reputable local NGOs that are engaged in water and sanitation activities. Some component activities, such as capacity development are implemented through recruiting consultants/experts as technical assistants to facilitate those components. Non contractual activities (community mobilisation and facilitation) are also carried out through liaising with community organisations including youth groups. In most of the cases, working through existing community structures is preferred. In the absence of such structures new ones are set up as part of the capacity building programme.
24
Evaluation of the Costs and Benefits of Water and Sanitation Improvements at the Global Level, Guy Hutton and Laurence Haller; WHO, Geneva, 2004.
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Waste Collection Area - Musoma
Feasibility analysis including identifying and selecting target communities, and preparing technical documents are done either by own staff or through consultants. This is followed by a process of identifying and selecting an institution or NGO to be partnered for implementing the WATSAN project, which in most instances is a combination of small scale infrastructure and capacity development interventions. The Cooperation Agreement includes a payment schedule that shows the fund disbursement to the implementing partner, tied to outputs and accomplishment of specific tasks and activities with the requisite outputs. Some examples of implementation of community based projects through the above arrangements are highlighted below. Two of these (the Kibera and Mirera Karagita projects) are further expanded to highlight the arrangements in the subsequent sections. 1.8.9.3. Community Led Approach Community involvement in projects from identification and planning through to the implementation, management and operations phases enhances the level of project ownership at the community level. A wide range of techniques can be used to ensure groups are involved who may otherwise be excluded (including focus group discussions, neighbourhood social mapping, transect walks, for example). There are also a number of participatory tools/techniques available to help guide the process. Proposed approaches are based on a wealth of experience in working with communities and households. In the Kibera example a Settlement Executive Committee (SEC), a stakeholder representative committee drawn from the local community, was vested with the responsibility of working closely with the project implementing partners (an NGO, UNHABITAT and the appropriate government institutions) in all phases of the project from development and planning to implementation (during which they were involved in the approval of various project components taking into consideration the local needs), management and operations. It was through the SEC that other management committees like Road Relocation Committee, WATSAN Facility Management Committee and Resource Centre Management Committees were formed with clear terms of reference to guide their activities. In the Sabong Zongo slums of Accra, a Community Development Committee (CDC), with a similar structure as the SEC, was put in place for the same purpose as in Kibera. Its

operations were formalised through an MOU with the Accra Metropolitan Authorities, as a means of institutionalising a community management model in an urban setting. This Committee was very instrumental in engaging the community in all aspects of the project and ensuring the sustainability and extension of the interventions once the UNHABITAT funded projects were completed. In Naivasha, Kenya, a hybrid water supply management model was developed in consultation with local community owning water boreholes and the local authority through planning sessions to improve water quality, quantity, supply network and tariffs. 1.8.9.4. Issues to Consider Infrastructure led development within urban informal settlements can be a challenge if not properly thought through. Major stakeholders involved in the process must be assigned clearly defined roles. Based on lessons learnt during the WATSAN projects in Africa, the following issues (amongst others) are worth considering: Community dynamics within informal areas should be managed through establishing community structures to be part of all aspects of the project from initiation, planning and execution through to management and operation of facilities. To enrich the implementation processes, gender considerations (including engaging women) need to be explicitly incorporated in all project activities. Gender participation in decision making within the spectrum of the planning, implementation and post-construction phases must be ensured. The process of mobilising and building community consensus (trust and feedback) could be delicate, lengthy, and often require fractious negotiations to convince all community members. Adequate time must be allowed for this to happen. Advocating for and building a trust relationship between the community and the formal government systems is necessary to overcome potential historical suspicions of failed promises. Land related issues could be complex and frequently disputed within informal area environments. The established community structures must lead on land related issues and consent must be sought and won from different authorities (e.g. creating wayleaves and/or space to allow for construction through demolition of structures). An important impetus for community engagement in upgrading of facilities is the temporary employment it provides to community members. During construction all effort must be made to recruit community members (with oversight from the established community structure) to work under the various project interventions. This process also creates a sense of ownership. The implementation process could be accelerated if it is linked to income generation activities.
1.8.9.5.
Sustainability An integrated infrastructure led development within informal areas is more likely to result in sustainable outcomes if management structures are well defined with an enhanced management capacity anchored on clearly defined guiding principles. Roles and responsibility of various structures in the management framework should be known to all members. The following are critical in ensuring the projects remain sustainable: An important way of sustaining post-construction operation and maintenance management is to actively involve both direct and indirect beneficiaries in project planning and implementation and create a sense of ownership of the facilities. Basic infrastructure development is linked to income generation and the resources generated are managed in a transparent manner. The management committee is registered with the relevant government regulating entity to ensure their accounts are regularly audited.
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An enhanced community capacity to effectively manage the project. For example in Kibera, community leaders fully understand the project and could clearly articulate on behalf of the community the entire process and challenges faced throughout project execution phase. Appropriate facility management manuals and procedures (including setting affordable tariffs for services) and training to ensure use by the community structures are essential for sustainability. A strong political will to ensure other vested interests do not override delivery and sustenance of the project. In the informal areas there may exist groups of cartels who engage in illegal connections to the water supply distribution network. These cartels benefit significantly from the status quo, and could sabotage attempts to regularise the system.
1.8.9.6.
Implementation Costs UNHABITATs experience in Kibera in Nairobi demonstrated that the ILU approach cost roughly double what it would of cost for WATSAN services only. In Kibera, which is admittedly very densely populated, the cost of providing WATSAN was roughly 6 per head, whereas the full ILU package came in at around 13 per head. The resulting improvements to the quality of services, and indeed, life as a whole proved immense, and economically viable.
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1.9.
1.9.1.
Capacity Building
Main Objective
The main objective of this component of the Formulation Study is to support capacity building for WATSAN sector institutions and stakeholders in the recipient municipalities and to improve the living conditions of the inhabitants, particularly the poorer sections of the community. This study stresses throughout the importance of building capacity in the recipient organisations if real benefits from the proposed investments are to be achieved. This section describes the generic approach to be adopted for each town. It builds upon the sections in each town report evaluating the requirements of the individual water service providers within the towns and cities. Specific capacity building needs are identified in Appendix A.5. The approach is based upon that adopted by UNHABITAT during the successful first phase of the LVWATSAN Programme. The approach would be implemented by: A capacity check to identify areas of greatest need; Developing a revised plan for capacity within current institutional arrangements; and Fast track implementation to support investments.
This study has assessed institutional capacity and human resources skills gaps to identify areas of greatest need, and these will inform a training and capacity building programme. The capacity building programme will be developed specifically to facilitate project implementation and improved performance of related institutions in the towns and cities. It is expected that this will enhance their ability to meet their mandates to provide effective and sustainable services to the citizens in general, and to the vulnerable and poor in informal settlements.
1.9.2.
Specific Objectives
The specific objectives are to: Strengthen the capacity of the Municipal Authorities of the towns and cities to effectively deliver their mandate to provide appropriate sanitation and hygiene services to the citizens (including solid/liquid waste management services, drainage facilities, improved access to poor areas etc); Strengthen the capacity of the utilities/service providers in the towns and cities through developing and implementing Performance Improvement Plans for the sustainable management, operations and maintenance of the WATSAN facilities to be put in place; and Enhance the capacity of the local level groupings and communities in the towns and cities to effectively contribute to all aspects of the planning, design, implementation and pre/post monitoring of the proposed WATSAN investment programme.
1.9.3.
Organising Framework
The following training and capacity building packages contribute to achieving the above objectives. The organising framework recognises the linkages between the components. Component 1 will involve all the institutional and community level stakeholders through the PMUs/PTs/MSFs, and is intended to facilitate the eventual coordination and monitoring of the overall investment programme. Component 2 is focussed on those project components that are in the domain of the municipal authorities, such as solid waste management and the provision of access and drainage infrastructure. Component 3 will focus on the water and sewerage utilities with a component on other service providers as necessary. Component 4 will be targeted at community groupings to be involved in the process, particularly as it
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relates to their full engagement in the decision making process, and managing community level facilities. Component 1: Training and Capacity Building to Facilitate Coordination for Project Management, Monitoring and Evaluation Well oriented Project Management Units (PMUs)/Project Teams (PTs) and Multi Stakeholder Forums (MSFs) to facilitate pro-poor water and sanitation services Strengthened capacities of Utilities, Municipalities and relevant stakeholders to Monitor and Evaluate the implementation of WATSAN projects
Component 2: Targeted Training and Capacity Building for the Municipality Strengthened capacity of Municipalities and other stakeholders to plan urban development, and to effectively manage solid/liquid waste systems, with improved access and drainage (particularly to poor areas)
Component 3: Targeted Training and Capacity Building for Utilities Utilities strengthened through a Capacity Building Programme in Utility Management Utilities and customers oriented to appreciate participatory tariff setting and reviews
Component 4: Targeted Training and Capacity Building at the Community Level Strengthened Community WATSAN management systems (including informal service operators) facilitates improved access to the poor Enhanced capacity of local organisations on WASH promotion and microfinance for basic services
The capacity building methodology and composition of each component is elaborated in Appendix A2.
1.9.4.
Approach
The proposed approach explores ways of working to achieve an increased and improved rate of return on investment in training and capacity building in all areas of the host organisations operational activity. Capacity development is a complex issue that requires activities focussed on individuals, organisations and their institutional structure and mandate and, importantly, linkages between the different levels. The Water for African Cities (WAC) programme recognised the importance of these linkages and developed a cascade approach to training, which involved different training content and activities for different levels of managers and policy makers in water utilities and regulatory bodies. Based on this experience, this study proposes to introduce some of these elements in the Training and Capacity Building programme (TCB) for the towns and cities. Among others, the TCB will focus on both the formal and informal sectors that have a stake in providing water and sanitation services to the residents of the cities. The following principles will help guide the design of the TCB packages at municipality, authority and community levels of the towns and cities. Commercial/Business Orientation The utilities will be oriented towards the principle of maximising cost recovery and minimising their dependence on subsidies while increasing reliance on user tariffs as the main source of financing. These would be through reducing losses (both technical and administrative), improving service coverage and increasing performance in technical, financial, institutional and customer service areas. The ultimate aim is financial independence and operating on commercial/business approach that sources external financing based on their own creditworthiness.
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Technology Choice The TCB will focus on various technology options for the affordable provision of water supply and sanitation services, operations and maintenance as well as disposal arrangements. Consideration will be made for both small interventions in specific locations and larger programs that aim to improve water supply and sanitation citywide. Integrated Planning There is a need to ensure that WATSAN systems (including sewerage and on-site systems), solid waste management, access and drainage facilities are considered in an overall framework of integrated planning and management of basic infrastructure services. This requires sound urban planning practices and attention to the wider principles of sustainability, the environment, equity, and economy. For the TCB process, efforts will be made to bring together the various institutions that deal with improving water supply, sewerage, on-site sanitation, solid waste management access and drainage (particularly to low income areas) to interact. This approach will promote efficient use of resources and tangible community benefits. Utilities, Municipalities and the Informal Sector The people most affected by inadequate supply of the water and sanitation services by formal sectors or service providers in urban centres are the poor, and particularly those living in informal areas, who often make their own arrangements to meet their basic needs. There are always informal, usually small scale, service providers that meet these needs but with relatively high prices for small quantities and poor quality of services. The TCB programme will need to recognise this fact and address the problem. This includes arrangements to formalise the relationship between the informal service providers and the formal sectors (utilities and municipalities). Mobilising Communities Community Participation is a process by which people are enabled to become actively and genuinely involved in defining the issues of concern to them, in making decisions about factors that affect their lives, in formulating and implementing policies, in planning, developing and delivering services and in taking actions to achieve change. Community participation needs to be linked with empowering the communities in terms of the ownership and operation and management of the facilities. Ownership of facilities will create confidence and improve self-esteem among the community members and will motivate them to demand not only getting, operating and managing basic services but also the right of getting better services at affordable rates. There are many cases where the interests of women and children are not taken into account during the planning, design and implementation of projects. The needs of women and children differ from those of men and should inform the way water and sanitation facilities are designed. In developing countries the role of women in the management and operation of water supply facilities is highly significant. Projects that are designed without taking in to consideration the ideas of women may not be effective in delivering the envisaged benefits. The participation of beneficiaries contributes to the delivery of services adapted to their needs. It creates a sense of responsibility and ownership that encourages users to care for the infrastructure and to pay related charges. The participation of beneficiary groups will be systematically sought throughout the needs assessment, planning, decision-making, implementation and monitoring. Participatory processes will be highlighted in the TCB programme to ensure a sense of community ownership in all aspects of the programme. Delegated Management in Low Income Areas The water and sanitation sector policies of the two countries capitalise on limiting the Governments role to co-ordination, policy and strategy development, and regulation. The institutional sector reforms of the countries adhere to a decentralised management system
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with the delegation of power to local authorities. It is proposed that the TCB will take this opportunity to further introduce and scale up the delegated management process that has been piloted in Nyalenda, and also assess other delegated management options that will fit to the local conditions of the cities.
Master Operators Signboard Kisumu
Linking Livelihood Generation to Service Provision The TCB activities will be designed to ensure that livelihood opportunities arise from materials in transition (MINT) such as the biodegradable organic fraction proportion of solid waste that has great potential for compost; plastic and metal wastes recycling; wastewater for urban agriculture; and decentralised treatment, re-use and recovery (DETERR) systems to provide on-plot treatment, yield biogas etc. are brought to the fore and awareness created on the opportunities inherent in these materials. There is great potential for job creation through improved handling of these MINTs while minimising pollution of the environment from poor disposal of refuse. MINTing is the underlying philosophy for creating awareness for change of attitude towards the handling and disposal of all types of waste by demonstrating that there is value in all the components of wastes. MINTing will create green collar jobs and has the potential to reduce the cost for waste management. Urban Planning It is important to recognise that a strong planning culture with the Councils to guide development is essential to avoid compromising WATSAN investment. Institutional Support is needed in the Councils as well as Urban Water Authorities. Urban Planning in this context is about much more than traditional town planning in the sense of designing plot layouts, development control etc. Fundamentally it is about formulating a coherent sustainable vision of how/where the city/town is to develop and designing the appropriate mechanisms, initiatives and interventions, backed by political will, to achieve this. This capacity is an essential counterpart to WATSAN investments to ensure that the nature of developments served by new infrastructure enable it to be properly used and maintained.
1.9.5.
Operational Support
This section addresses the operational performance of the Urban Water Authorities covered under the PFS, which generally need significant improvement. Each struggles, to varying degrees, with revenue generation, increasing reliance on central government for funding, and all exhibit high levels of Non-Revenue Water and could do more to encourage the regulators to grant more favourable tariffs.
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Attempts by Authorities to address information deficits are hampered by the absence of a robust property addressing system with which to locate customers, problems with maintaining functioning metering systems, inadequate MIS systems and procedures to capture and record data. It is also considered unsustainable to try and provide solutions to these problems in each and every authority independently, particularly in the small (satellite) urban centres. Resources are generally thin on the ground in most locations and so to attempt to develop all of these highly technical disciplines in each authority would be a waste of resources and ultimately is likely to be unachievable. There are two generic solution areas to these problems which can be considered: 1. Clustering of specialist resources, i.e. provide a regionalised capability accessible to all authorities. This is already used to support development programmes in the various districts by empowerment of the main UWASAs to support construction projects in smaller district and rural areas. Skill areas that could be clustered include: 2. Laboratory services; E&M maintenance; Support with management systems; Vehicle provision and maintenance; Sludge disposal services; Non Revenue Water reduction strategies; and Network modelling.
Outsourcing of services, i.e. using the capacity of the private sector to undertake activities on the authorities behalf to reduce the burden on each authority to retain its own specialist resources. All of the options for clustering are also options for outsourcing, together with, in the extreme, almost all of the functions of the current authority although this would require a major policy shift by government.
Some of the proposed interventions under this strategy include the principle of clustering particularly when considering water and sanitation to the satellite towns around Mwanza. 1.9.5.1. Information Requirements Fundamental to achieving real improvement is availability, collection and presentation of performance information on which informed management decisions can be based. The need for information covers all facets of the Authorities areas of operations. Historically this information has been limited or completely lacking with too much reliance on estimates. Information needs include: 1.9.5.2. Location and characteristics of physical assets (Asset Management); Numbers and locations of customers (Billing Database); Water consumed by customers (Meter Readings); Water produced at source (Instrumentation); Water delivered into distribution; Water quality test results; and Chemicals used.
Non-Revenue Water Reduction Non-Revenue Water (NRW) is defined as the difference between system input volume and billed authorised consumption; NRW consists of unbilled authorised consumption (usually a minor component of the water balance) and water losses. All authorities covered by this project are indicating high levels of non-revenue water, however, the basic data are not always accurate so there tends to be large assumptions within the calculations. The
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following sections describe the areas that need to be addressed in order to improve this situation. 1.9.5.3. Water Balance A water balance prepared to the International Water Association (IWA) standardised model is an essential piece of managerial information and can be prepared at system and subsystem level. At system level it provides overall assessment of water usage and billing efficiency which can be taken down to District Meter Area level to provide valuable data to support intervention and investment decisions. The utility manager needs to have certain information about the network to conduct a water balance: System input volume (accurate bulk meter measurement at treatment plant outlet); Billed consumption; Unbilled consumption; Unauthorised consumption; Customer metering inaccuracies and data handling errors; Network data; Length of transmission mains, distribution mains and service connections; Number of registered connections; Estimated number of illegal connections; Average pressure; Historic burst data; and Level of supply service (24-hour, intermittent, etc).
The usefulness of any system is dependent upon the quality of the data input. Historically, water authorities have struggled to provide data of adequate accuracy. EURWA require regular performance data from authorities but most struggle to provide accurate estimates. Sometimes even the most basic information, such as system input volume, average pressure, supply time, length of mains, and the number of service connections, is not available. The process of calculating each of the water balance components and performance indicators will reveal such deficiencies. The Authorities management need to take corrective action to eliminate the gaps and improve data quality. Using incomplete or inaccurate data for the water balance calculations will not produce useful result.
Table 1.37 - Example of a Simplified Water Balance (IWA model)
Billed Authorised Consumption 34,022 Unbilled Authorised Consumption Apparent Losses Water Losses 18,922 Real Losses 11,353 3,402 Revenue Water
30,620
30,620
57.8%
Authorised Consumption System Input Volume (Treated Water)
52,944 7,569 NonRevenue Water 22,324 42.2%
Billed metered consumption (based on universal customer metering) includes all of the water consumption that is measured and charged to domestic, commercial, industrial, or
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institutional customers. The billed metered consumption period used in the calculation should be consistent with the audit period by processing it for time lags cycles below). Determining the annual billed metered consumption goes hand in hand with detecting billing and data handling errors, information that utilities also require for estimating commercial losses. The volume or unbilled metered consumption should be established using a similar approach to that for billed metered consumption. Unbilled unmetered consumption is any kind of authorised consumption that is neither billed nor metered. This component typically includes items such as treatment plant back washes; flushing of mains and sewers; fire fighting; street cleaning; public park irrigation; car-fleet wash; free of charge public utility taps etc. In a well-run utility, it is a small component that is very often substantially overestimated. Ideally, when calculating NRW values the time lag between production data and consumer meter data should be taken into account since consumer data often runs one month behind production data. 1.9.5.4. Instrumentation Regular accurate meter readings are essential to the understanding and analysis of NRW. Bulk water meters at the sources and reservoirs, district meters monitoring flows around the network and consumer meters recording actual consumption are all required and need to be accurate. The accuracy of the system input bulk meters is important and should be verified using portable flow measuring devices. The accuracy of production flow meters is critical to calculating system NRW. Generally, the number of production flow meters is usually small, meaning that a greater proportion of the flow is measured by each meter. This means that an error on one of these meters has a great impact on the total production measurement. Technical staff should try to determine the general accuracy of various domestic and nondomestic consumption meters for a possible 95% confidence limit by taking a sample of existing working meters from various locations and testing them on a test rig, alternatively, new meters or replacement mechanisms should be used at regular intervals say 7 years. 1.9.5.5. Analysis of Data Data is of no value unless it is used properly. Each authority needs to develop a framework through which meter readings are presented and analysed in a meaningful way, thus allowing the authority to prioritise actions and investments for maximum benefit. The framework should form part of an overall Management Information System (MIS) to aid reporting and support decision making. 1.9.5.6. Network Records and Mapping Accurate records of Authority installations and assets are essential for the efficient running of the water system. Many Authorities still rely on operator knowledge for their data which is not always correct and is dependent upon the continued service of the operators. MIS based on Graphical Information Systems are now common place but need continued maintenance to ensure that the information contained there-in is accurate and up-to-date. Verifying input and output from the GIS need to be daily activities, with the base data continuously updated. The GIS can also be used to retain condition information and to record the incidences of leakage to allow trending of problem areas. All of the UWASAs have some kind of GIS, MWAUWASAs being the most advanced. 1.9.5.7. Hydraulic Modelling Hydraulic Modelling is essential if a proper understanding of the performance of the network is to be understood. It is also considered vital that authority staff are involved in building the model alongside consultants, so that they understand the demand calculations and operation conditions assumed for the model and are therefore able a able to amend them for their own requirements with confidence. A model is also needed to assist in the design of District

Meter Areas on larger networks to help ensure proper distribution of the water and efficient use of available pipe capacity. 1.9.5.8. Distribution Network Optimisation An important use of the hydraulic model is to aid improvements to the efficiency of the distribution system with the aim of: Minimising supply pressures and hence physical losses; Minimising pumping costs; and Improving network efficiency and optimising pipe replacement/reinforcement sizes.
This is a particular problem in Mwanza where extensive pumping and re-pumping is required and high supply pressures are experienced in some part of the network. 1.9.5.9. Customer Database Historically a major problem for the water authorities is maintaining an up to date, accurate database of customers. This is often compounded by the difficulty of accurately defining the property location. An accurate database must contain data on property location, account holders, and water connection details, ideally linked to a GIS to help with identification. 1.9.5.10. Meter Management All meter types must be regularly maintained to ensure their continuing accuracy. Technicians should regularly check the accuracy of both the electronic functionality of the meter, if electronic, and the volumetric accuracy. Ideally telemetry of some form will be used to enable rapid data transfer usually into the MIS. The accuracy of consumer meters is a common problem, often due to the age of the meters. Investigations in Mwanza demonstrated that a large proportion of their consumer meters were over seven years old and many were shown to be inaccurate. The authorities need a calibration/replacement policy to ensure that, as far as practical, meters record flow accurately. Addressing the above issues greatly improves the accuracy of the NRW calculation, which the Authority will use as the baseline in developing a NRW reduction strategy.
1.9.6.
NRW Reduction Strategy

The NRW strategy must ensure that all components of NRW are covered and that the proposed strategy is feasible in terms of physical application and financial requirements. Normally a management team will be established and will comprise of members from each operational department, including production and distribution, commercial and customer service as well as procurement and stores.
1.9.6.1.
Importance of Setting Appropriate NRW Targets The management team needs to establish authority-wide targets for NRW, taking into account the Authorities other goals or policies. In addition the Regulators will define performance indicators for NRW and other aspects of service delivery. Identifying an economic level of NRW is valuable to setting NRW targets requiring a comparison of the cost of producing water versus the cost of NRW reduction activities. The economic level of NRW changes with water tariffs, the cost of electricity and chemicals, staff salaries, and equipment supply costs. Managers should assess the economic level of NRW on a regular basis and, if necessary, adjust the NRW target accordingly to ensure the efficient use of resources.
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1.9.6.2. Planning and Implementing a NRW Strategy The key to developing a strategy for management of non-revenue water (NRW) is to gain a better understanding of the causes of NRW and the factors which influence its components. Then techniques and procedures can be developed and tailored to the specific characteristics of the network and local influencing factors, to tackle each of the components in order of priority. The first step in planning and implementing a NRW reduction strategy is to develop an understanding of the network characteristics and operating practices, and then use the available tools and mechanisms to develop appropriate reduction solutions. The components of NRW and the priority areas of the network for investigation are determined by a water balance. The planning and implementation of the NRW strategy addresses the questions of why water is lost, how losses can be controlled and how to sustain any improvements. The strategy must address both components of NRW: real and apparent losses. A programme to address apparent losses will depend on changes to metering policy, customer education and to regulatory and legislative policies. Each of these factors and the requirements for upgrading the network, such as zoning and the division of the network into more manageable areas (DMAs) need to be considered. 1.9.6.3. Prioritising NRW Components Once the NRW targets are set, authorities should calculate the proposed volume of water saved by comparing the NRW baseline with the target level. The various components, as detailed in the water balance, can then be prioritised according to how the required total reduction can be most cost-effectively achieved. If a physical loss is detected and repaired then the savings will be in terms of a reduction in variable operational costs. When a commercial loss is detected and resolved then the saving will be an immediate revenue increase. Usually the water sales tariffs are higher than the production cost for water utilities; but this is not necessarily the case in Tanzania where tariffs are relatively low. 1.9.6.4. Awareness, Location and Repair The development of the strategy should be based around the concept of Awareness, Location, and Repair, or ALR. This concept states that any loss occurring from leaks, overflows, faulty customer meters, illegal connections or other sources will have three stages as shown in the diagram below. Awareness time - time required for the authority to become aware of the leak Location time - time required to locate the leak Repair time - time required to repair the leak
Many losses occur because of poor or limited maintenance, so in addition to reducing ALR, a fourth element of the NRW strategy should be system maintenance. This is critical to maintaining good asset condition and reducing the incidence of new leaks, meter failures, reservoir leaks, and other problems. These types of problems have been endemic in the authorities with limited resources for maintenance leaving a legacy of historical repairs to be rectified.
1.9.7.
1.9.7.1.
Revenue Generation
Billing systems An essential element of running any business but particularly with a utility business is to ensure customers are billed correctly and in a timely manner. This requires an accurate customer database and an effective meter reading service, including meter readers, recording and billing systems.
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1.9.7.2. Commercial Losses Commercial losses, or apparent losses, include water that is consumed but not paid for. In most cases, water has passed through the meters but is not recorded for some reason. In contrast to leaks or reservoir overflows, the commercially lost water is not visible, which should not mislead the Authority to overlook commercial losses and concentrate instead on physical losses only. Commercial losses can amount to a higher volume of water than physical losses and often have a greater value, since reducing commercial losses increases revenue, whereas physical losses reduce production costs. For a profitable authority, the water tariff will be higher than the variable production cost - often up to three times higher. Thus, even a small volume of commercial loss will have a large financial impact. An additional benefit in reducing commercial losses is that it can be accomplished quickly and effectively. Commercial losses can be broken down into six elements, which are: 1.9.7.3. Customer meter inaccuracy; Unauthorised consumption; Meter reading errors; Data handling and accounting errors; Database falsification; and Low efficiency parameters.
Financial Performance Operation and maintenance (O&M) have a significant cost over the life cycle of any infrastructure. Decisions during the initial phases of infrastructure development impact directly on the O&M cost and therefore operational staff have a role to play in infrastructure development. O&M is a process which starts at the planning stage and is not simply something that happens after the system has been constructed. The choice of solutions, materials and the quality executions are essential parameters to ensuring long economic and physical life and therefore affordable services for the long term. Well planned and executed O&M can enhance the quality of service and extend the useful lives of facilities. This affects the financial performance of water utilities and hence the resources available for investment in new services. To minimise the costs of operating a water-supply system, competent management of capital and current expenditures, assets and liabilities are just as important as preventing losses of water from the system. The deterioration of assets is directly a Water Demand Management (WDM) issue. Adequate cost recovery from customers should ensure that enough funds are available to pay for operation and maintenance to a level that optimises the economic life of assets as well as support a sustainable pace of capital replacement through debt service or reliable transfers from taxes.
1.9.7.4.
Awareness Effective addressing of NRW requires a combined effort from all staff throughout the authority. The number of staff with a good knowledge of NRW will be limited to engineers and others working at an operational level, however everyone, from the Managing Director to the meter readers and technicians, should understand the importance of NRW and how it affects their daily work and that of the water supply authority. More specifically, the following groups should understand NRW and their role in reducing water losses: Top decision-makers, including the Board of Directors, city council, or political leaders; All levels of Authorities management and staff; and The public, or consumers.
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Staff Awareness All of the Authorities staff need to understand NRW and how the reduction programme will improve the authority, both in general and at a personal level. In certain cases, savings from the NRW reduction programme could be shared with the staff through bonuses or other incentives. All staff, from senior management to the technical or sales assistant crew, should understand the NRW strategy and their role in achieving the NRW target. The NRW management team should organise a strategy campaign for all staff in the operational areas and headquarters, to ensure all staff members gain full knowledge about NRW issues. The Campaign should produce other significant benefits: More motivated staff; More effective Planning; and Improved communications.
Customer Awareness One of the goals of reducing NRW is also to provide better and more efficient services to the public, therefore the public need to understand how they can help to manage NRW by reporting burst pipes, faulty valves, leaks, or other problems that limited technical crews may not detect. Awareness programmes should be organised with a variety of stakeholders from the public, including city council sections, ward leaders, and private, commercial and industrial consumers. Programmes should focus on basic NRW concepts and how reducing NRW helps ensure that communities receive better water supply and services. The public should be able to easily contact the authority to report burst pipes, leakages, water theft, illegal consumption or other concerns. The authority should provide a system to receive information or complaints from customers like a free of charge SMS-Hotline and then to disseminate it to the relevant operational units so that action is taken quickly. It is vital that Authorities respond quickly and efficiently to leaks reported by the public otherwise the public will soon lose their motivation to report leakage.
1.9.8.
1.9.8.1.
Authority Work Processes

Maintenance Procedures Clear systems need to be established for operating and maintaining plant. Regular inspections and servicing are required together with timely repairs and replacement. Staff must either be trained to a high level of competence or the services of the private sector used to ensure reliable and efficient operation of all plant. The primary goal of maintenance is to avoid or mitigate the consequences of failure of equipment.
1.9.8.2.
Types of Maintenance The different maintenance types are defined below: Preventative maintenance - systematic pre-scheduled activities or programmes of inspections and maintenance activities aimed at the early detection of defects and implementation of actions to avoid breakdowns or infrastructure deterioration. Corrective maintenance - activities conducted as a result of breakdowns or noticeable infrastructure deterioration. Routine maintenance - preventative and corrective maintenance activities carried out more often than once a year. Periodic maintenance - preventative maintenance activities carried out less often than once a year, such as once every two or five years, e.g. emptying, cleaning and inspection of service reservoirs will resort under this category.
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Rehabilitation - activities carried out to correct major defects in order to restore a facility to its intended operational status and capacity, without significantly expanding it beyond its originally planned or designed function or extent, typically a leaking service reservoir being repaired will resort under this category.
1.9.8.3.
Impact of Poor Maintenance The way that water and sanitation facilities are operated and maintained can greatly affect the health of the population, the quality of the environment, benefits to the poor and the resources available for investment in expansion. Regular outbreaks of cholera and other water-borne diseases are a stark reminder that poor water and sanitation services adversely affect health. Inappropriate waste water disposal or broken sewage lines can pollute the environment and resource waters (Lake Victoria) and may in the long term pollute it to the extent that remedial measures will be very difficult and costly.
1.9.8.4.
Availability of Tools and Equipment and Manuals To be able to undertake the maintenance procedures, staff must have access to the necessary tools and equipment as well as having access to appropriate maintenance manuals and spare parts. Manuals and drawings are often absent having been lost or perhaps never provided in the first place. Authorities need to improve their data management systems so that electronic copies are retained in a secure place.
1.9.8.5.
Training Where maintenance activities are retained in-house adequate training must be undertaken to ensure that staff are competent to undertake the work required. Poor practices which have developed over the years in response to inadequate funding of O&M activities must be identified and eliminated through concerted training and on-the job supervision. Such training may have to be provided from the private sector or perhaps through a twinning/support arrangement with a more established Authority.
1.9.8.6.
Management Information Systems Performance monitoring and management requires appropriate Management Information Systems and skilled operatives to manage it. MIS and GIS systems provide information to aid control of the network. EWURAs reporting requirements are quite onerous so MIS systems established for the Tanzanian Water Authorities need to feed the EWURA database as well as providing data for management decision making.
1.9.8.7.
Laboratory Services Skilled staff and a fully equipped laboratory are necessary if water quality is to be properly monitored as required under Government regulations. Chemicals and reagents must be sourced and available to allow the lab to undertake the designated tasks. Again the service of properly authorised external laboratories could be utilised to undertake the less frequent more exotic tests to avoid the authority from having to purchase too much expensive equipment.
1.9.8.8.
Business Planning Business planning is becoming an increasingly important function of all water authorities. As pressure grows for the Authorities to demonstrate commercial independence the need to effectively manage the business takes greater significance. Regulators require authorities to justify their applications for tariff increases on the basis of technical and financial performance. To this end Authorities need to be run as businesses and need to establish mechanisms to run the business effectively.
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In Tanzania, EWURA have revised their business plan requirements for the Water Authorities with the assistance of international consultants. Unfortunately, the planned assistance to the Water Authorities to help them comply with these requirements has been shelved due to funding issues so the Authorities are left to muddle through as best they can. Therefore, this is an area where support is required.
1.9.9.
Areas for Support

There are many areas where the Authorities covered by this PFS need support if they are to improve their performance relatively quickly. These areas include: Technical NRW investigations and strategy preparation; Network modelling; Distribution Network Optimisation, pressure zoning etc; Meter Management; Records and Mapping; Maintenance Procedures; and Staff Training. Commercial o o o o o Other o o o o o Data Systems MIS and GIS; Efficiency Strategies; Opportunities for Private Sector Involvement; Awareness Programmes; and Market Research and Satisfaction Surveys. Business Planning; Customer Database; Billing Systems; Meter Reading; and Revenue Collection.
Proposals in this area must be appropriate or they risk failing sustainability requirements.
1.9.10.
Urban Planning
It is important to recognise that a strong planning culture with the Councils to guide development is essential to avoid compromising WATSAN investment. Institutional Support is needed in the Councils as well as Urban Water Authorities. Urban Planning in this context is about much more than traditional town planning in the sense of designing plot layouts, development control etc. Fundamentally it is about formulating a coherent sustainable vision of how/where the city/town is to develop and designing the appropriate mechanisms, initiatives and interventions, backed by political will, to achieve this. This capacity is an essential counterpart to WATSAN investments to ensure that the nature of developments served by new infrastructure enable it to be properly used and maintained.
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Project Formulation Report Main Report 1.9.11.

1.9.11.1.
Implementation Approach
Kenya For implementation, Kisumu will be treated separately from the Tanzanian location due to the smaller involvement planned there, issues arising from its more distant location (and being in another country) and the need to interface with ongoing initiatives under the LTAP and UNHABITAT involvement with the WDM strategy implementation. Two Master Plan studies are proposed and will be undertaken by Consultants.
1.9.11.2.
Tanzania The PFS recommends a particularly focussed approach to address the requirements of the Tanzanian locations under this programme. The approach adopted requires a clustered solution to providing operational and management support. The PFS considers it inefficient and ultimately unsustainable to provide each Authority with all the resources and expertise required to meet its obligations. Mwanza is proposed as the main hub of expertise because of its size, central location, communications links and due to the existing capabilities of MWAUWASA. Such an arrangement could work well for the UWASAs of Musoma and Bukoba but is considered essential for Mwanzas satellite towns. Additionally, if resources of private engineering companies are to be utilised, the capacity in Mwanza far outweighs that of the other locations and the benefits of scale will apply to service and equipment provision. The reports for each location have recommended the provision of support in the areas of: Necessary technical studies; Network modelling and GIS; NRW reduction; Business systems and business planning; and Capacity building and training.
It is suggested that this is best provided by external consultants / water companies but utilising the work already undertaken in this area. Logically this will require consultants to cover three main operational areas but there may be benefits in combining all three disciplines if the right service provider can be identified: Operational Improvements including Non-Revenue Water; Technical Studies including Modelling and GIS etc; and Institutional Support, Business Planning and Capacity Building.
Since this report was prepared an arrangement has been agreed with Dutch water company DUNEA to provide some support to MWAUWASA through a partnering arrangement. This project is exploring ways to build upon this relationship to cover more aspects of the utilitys operation and, possibly, the other utilities covered by this PFS. Details of DUNEAs assignment are included in Appendix A6.
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Appendices
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Appendix A1
A.1.
A.1.1.
ILU Case Studies

Kibera Integrated WATSAN Project Soweto East In Nairobi, Kenya, a Kibera integrated WASTAN project has been implemented through entering into a Cooperation Agreement with Maji na Ufanisi, a local NGO. In the agreement the roles of the parties were clearly defined. UNHABITATs role included making available financial resources for the interventions, and providing necessary technical advisory inputs and documentation to facilitate the various stages of the interventions. The NGO was responsible for community mobilisation, capacity building and construction works. Among others, the NGO used the already existing structures, such as the Settlement Executive Committee (SEC), for the overall coordination and management of the implementation process. In the process of implementation other new community structures were deemed necessary. Accordingly, a Road Relocation Committee (RRC) was created to facilitate and follow up the relocation of those on the road reserved; a Project Management Committee (PMC) was formed to oversee management of all the facilities, including the road, drains and solid waste management facilities; and Facility Management Committees (FMC) were established to oversee the day-to-day management and operation of the sanitation facilities. The community played key roles that included: Labour contribution. Skilled and unskilled labour was drawn from the community with the help of SEC. The NGO, Maji Na Ufanisis technical department supervised their work. Space acquisition. A key challenge in Kibera, like in all other informal settlements is the issue of land availability for construction of facilities and lack of space for service wayleaves. It had been clear from the onset that the best approach was for SEC to negotiate for space amongst the community members. SEC therefore led in identification of spaces and wayleaves as appropriate and facilitated their acquisition with minimal displacement of the inhabitants.
Under the agreement UNHABITATs responsibility included, among others, working with SEC, the NGO and Government representatives to provide the following: Master plan for Soweto East Technical assistance for all designs (road, drainage, sanitation facilities, resource centre etc) and drawings Technical assistance for the preparation of Bill of Quantities (BOQ)
And, MnUs responsibility included: Support to the community and overseeing labour based construction activities to improve physical access (road) and drainage to Soweto East Support to the community to construct water and sanitation facilities to improve access in Soweto East Enhance capacity of the community in Soweto East to manage the installed facilities Submit detailed report to UNHABITAT including the financial reporting.
Liaise with the Ministry of Housing in all aspects of the project and, in particular, that the construction of the road for the community was complementary to the current Government of Kenyas efforts to improve the roads in the area, and in consonance with the master plan for the area, was a key aspect of the co-ordination effort. The following highlights (as an example) the interventions that went into the Kibera integrated water and sanitation project as an entry point for the informal area upgrading process in the area.
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Key Action 1 - Support the community to improve accessibility and drainage system in Soweto East Output 1: Accessibility and drainage system demonstration in Soweto East in place
Activity Activity 1.1: Survey and design 2.5 km road, 2 bridges and storm water drainage in line with NCC and KENSUP overall master plan for Kibera. Responsibility TA for a consultant in consultation with the NGO, Ministry of Public Works and Nairobi City Council NGO (sub-contract to contractors); consultant supervision duties and community facilitation activities NGO (sub-contract to contractors); consultant supervision duties and community facilitation activities
Activity 1.2: Construct a 2.5 km low volume traffic road and 1.8 km storm water drains
Activity 1.3: Improve on 2 foot bridges to enhance movement of people and goods within the Soweto East
Key Action 2. Support the community to improve accessibility to water and sanitation services in Soweto East Output 2: Installation of fifty metre water connection piping and construction of VIP latrines in strategic locations
Activity Activity 2.1: Site selection, construction material procurement and construction of 8 VIP pit latrines with bathrooms and piped water connection. Activity 2.2: Installation of fifty metre water connection pipes to improve water accessibility in Soweto Activity 2.3: Install 8 overhead water storage tanks (10,000lts) to ensure constant water availability for bathroom users Activity 2.4: Construct three garbage cubicles in selected areas for waste transfer Activity 2.5: Design management structure to ensure that the sanitation facilities are used and maintained appropriately. Implementer WATSAN committees (site selection), NGO (construction) NGO NGO NGO, Youth group (site selection) NGO, WATSAN committee
Key Action 3. Enhance community management capacity Output 3: Community management capacity enhanced
Activity Activity 3.1: Awareness creation Activity 3.2: Mobilisation of beneficiaries to form management groups Activity 3.3: Conducting community and management committee trainings Responsibility NGO NGO, Settlement Exec. Committee(SEC),Youth group NGO
Key Action 4. Initiate small scale door to door waste collection and recycling demonstration Output 4: Small scale door to door waste collection and recycling demonstrations set up
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Activity Activity 4.1: In collaboration with the community under SEC and other stakeholders, select and construct pilot sites for demonstration (3 solid waste management transfer points and 2 recycling sites) Activity 4.2: Procurement of waste collection and handling equipment (as per budget). Activity 4.3: Income-generation projects demonstration (affordable waste collection fee per household) as practical options for improving and maintaining a clean natural environment Activity 4.4: Promote source separation of waste at the household level through provision of garbage bags, which are collected on designated days as agreed upon by all players. The collected waste is to be sampled and weighed to determine its characteristics and generation rates. Activity 4.5: Construct 3 garbage cubicles for containing non-recyclable waste at the transfer stations awaiting final dispersal by NCC Activity 4.6: Establish an exchange programme between the Kibera project and UN-Habitat supported Mukuru Recycling Centre Implementer NGO SEC Youth group NGO NGO
NGO Youth Group
NGO UN-Habitat NGO
Key Action 5. Establishment of a community Resource Centre Output 5: community ICT centre established
Activity Activity 5.1: Design work Activity 5.2: Construction Implementer Consultant NGO
Key Action 6. Improve on the site office to make it operational Output 6: Site office made operational
Activity Activity 6.1: Construct two separate units flash toilet of blocks with water connection in the KENSUP site offices in Soweto east. One unit for the onsite administration police to be fitted with a bathroom, while the other for office staff. Activity 6.2: Enlargement of the existing sewer connection from 400mm to 600mm and water connection from Mbagathi way with 1inch diameter GI pipeline Activity 6.3: Creating water storage system in the compound by constructing a 3m elevated steel tank stand (tank exists) Activity 6.4: Paving of the compound, erection of three flag posts, construction of storm water drains and landscaping Implementer Consultant (Design & supervision), NGO (Construction) NGO NGO NGO
Financial Disbursement: This was designed on four instalments which were tied with outputs/ or accomplishment of activities. The money was directly transferred to the NGO who was responsible to disburse to various contractors based on its own internal arrangements. Reporting The NGO was required to prepare and submit financial and progress reports of the project on monthly and quarterly basis. At the end of the project the contract was required to provide project completion report and financial audit report by an independent audit firm
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A.1.2. Mirera-Karagita WATSAN Project UNHABITAT collaborated with the international NGO Water Supply for the Urban Poor and DFID to undertake a water and environmental sanitation in the Mirera Karagita low income community in Naivasha. Partnership was established with Rift Valley Water and Sanitation Board (RVWSB), the Naivasha water, sewerage and sanitation company Ltd (Naivawass) and the Mirera Karagita (M-K) Community to implement this pilot project for delivering sustainable community-led WATSAN services provision to the urban poor. The project was to provide access to affordable, suitable quality drinking water and sanitation with a strengthened local institutional management system to ensure the provision of a sustainable maintenance and operational arrangement. The project provided a holistic approach to the problem of water and sanitation through community empowerment, low-cost multi-service/level infrastructure development (water, sanitation, drainage and solid waste management), hygiene education, hand washing and sanitation marketing campaigns. The project initiated a community-managed Mirera-Karagita Water Service Provider (WSP), and assisted with capacity elements for the local utility (Naivawass), local municipality and the regional regulator (RVWSB), to ensure sustainability of the interventions. The project was to act as a trial of a model for this type of city and seek scale up through additional financing and activities to include the larger Mirera-Karagita and other settlements in Naivasha Municipality. The cooperation agreement was signed between UNHABITAT and an international NGO Water Supply for the Urban Poor (WSUP). It should be noted that formulation of this project was motivated by lack of water and sanitation utility within Naivasha town and that water supply was from privately owned boreholes from which vending was through the use of donkeys as a medium of transport to reach consumers. Even though the borehole water sources had high concentrations of fluoride, there was no pre-treatment process to remove the fluorides. Under the agreement UNHABITATs responsibility included: Coordinating the initial inception meeting between the NGO, the Rift Valley Water Services Board (RVWSB) and the local community Jointly with the NGO mapping out water supply, waste management and hygiene promotion strategies
Role of WSUP: Community mobilisation and establishment of community structures to support the WATSAN Intervention. E.g. Borehole owners, water vendors, Karagita disabled group and Kahato waste collectors Identify appropriate and low cost water de-fluoridation system to treat the abstracted borehole waters Set up water treatment and supply network in Mirera-Karagita, i.e. borehole water pumped to centralized treatment plant (with a defluoridisation plant) and distributed to water kiosks within strategic intervals in the Mirera-Karagita settlement. Draw up a community based water supply management structure Develop capacity of Kahato and disabled groups to provide door to door waste collection services Organize periodic sanitation and hygiene awareness programmes through local schools. Submit detailed progress reports including financial reporting
Within the first month of project implementation RVWSB decided to establish a utility for the Naivasha Water and Sanitation Company (NAIVAWAS), but the company had no assets to manage hence the need to establish a hybrid utility bringing together all the stakeholders in the water and sanitation provision chain. This therefore formed an added responsibility for the NGO.
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A.1.3. Hybrid Water Supply Management Structure This hybrid structure took cognisance of all stakeholders in the sector, given the fact that all the boreholes sources were developed and managed by private individuals who sold their water to consumers through water vendors. The entry of NAIVAWAS who had no assets but whose role was providing coordination, including harmonizing tariffs, ensuring quality control, and future planning among others. The hybrid structure which was negotiated and agreed upon by all stakeholders therefore took the form: Borehole owners supply water in bulk to the utility at wholesale price Utility establishes a centralized water treatment (de-fluoridation) Centre and supply network to water kiosks run by vendors at reasonably set tariffs. The vendors retail water from the kiosks to households at a rate approved by all the three major stakeholders.
The role of the NGO remained advisory until the structure is fully operational. Financial disbursement to WSUP was designed on a three instalments tied to outputs and/or accomplishment of activities. The NGO was responsible for further disbursement of the same funds to its sub-contractors whose selection were approved by UNHABITAT but procured through their own internally laid down procedures. A.1.4. Conclusions Adopting a traditional approach to the provision of services within informal areas has been tried and failed many times. Even assuming that the services can be physically provided in this manner, the operational, maintenance and managerial issues generally appear insurmountable. Under a WSP initiative the Delegated Management Model has been trialled and proved reasonable successful in Kisumu. The success has been such that the Water Board and Operating Companies involved in Kisumu intend to roll out this model over more of the informal areas. The advantages of the infrastructure led approach to service provision described in this section is that it extends the principles of the DMM to other services and as such can transform the nature of the particular area. This transformation encourages attitude changes in both the residents and the landlords so that the nature of the whole area improves, encouraging the communities to upgrade their accommodation and gradually transforming the informal area into an acceptable place for people to live. It is recommended that serious consideration be given to adopting this approach when addressing the issue of the provision of WATSAN services under this project and that funds be sought to enable the provision of access roads, drains, solid waste and all utility services within the selected informal areas for project investment.
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Appendix A2
A.2.
A.2.1.1.
Capacity Building Methodology

General The Capacity Building Programme should be implemented by an appropriate body and should draw on the experiences and lessons learnt in designing and implementing the LVWATSAN Phase1 capacity building programmes, where the capacity of a number of regional training institutes, water utilities and national and local NGOs has been significantly enhanced. The activities should be tailored to the specific needs and circumstances of each city and while all activities should have their unique features and requirements, the interventions should comprise 4 stages, viz: A first phase comprising a review and analysis of utilities/municipality/communities in the towns and cities (to include a training needs assessment and gaps analysis); A second phase design phase for the design of the training and capacity building programme; A third phase for the implementation/delivery of the TCB programme in collaboration with identified partners; and A fourth phase to monitor and evaluate the TCB programme
The approach should be fully participatory and involve the national authorities, city stakeholders (including the town Council, service providers, the private sector, NGOs and CBOs). The TCB component should prioritise establishment of the institutional structure for the programme (where they do not exist) comprising the PMUs, PTs and the MSFs so as to strengthen participatory mechanisms in project design and implementation. Accordingly, the work plan envisages establishing the institutional structure within the first 6 months of the programme (where they do not exist). The capacity building activities should comprise a mix of formal training workshops, on-the-job training, learning-by-doing, systems development, advisory services, peer exchanges and formal attachments to service providers (such as water and sewerage utilities) in other countries. Opportunities for south-south cooperation through the Global Water Operators Partnership Alliance should be maximized as well as opportunities to learn from the models and experiences under the LVWATSAN Phase I/WAC/GWOPA training and capacity building activities. A.2.1.2. Approach to Training The TCB programme should employ a participatory training approach based on tailor made training interventions. Training interventions should combine various processes that include needs assessment, design, delivery and transmission of experiences and good practices. It should also combine several traditional training methods and tools - such as presentations by practitioners - with interactive approaches that are based on knowledge management techniques and field visits. A.2.1.3. Tailor made Interventions/Courses The TCB programme should respond to emerging needs and challenges facing local actors in the effective implementation of sustainable urban development and provision of basic water and sanitation services for all. It should foster partnership building among public sector, private sector and civil society at local, national and regional levels. Based on an analysis of the skills gaps and training needs, the duration, content and structure of these tailor made activities should be designed and defined in close consultation with the beneficiaries and partner organisations taking into consideration the specific needs, background

and priorities of the targeted beneficiaries training interventions. The TCB should offer tailormade interventions that should respond to the specific needs and priorities of the towns, water utility, local community based and non-governmental organisations. The training should aim at stimulating a specialised and skilled workforce needed to manage and operate the investment programme in a sustainable manner. A.2.1.4. Twinning Towns/Utilities With town exchange visits methodology, the TCB should create networking opportunities leading to city/utility - city/utility collaboration. Participants should have the opportunity to share knowledge, experiences, good practice and lessons learnt in order to build an integrated strategic action plan for sustainable services provision into local development programmes. This should enable significant improvement in performance of the participants and their individual city institutions. A.2.1.5. Participatory Approach All TCB activities should actively involve the participants from various stakeholder groups in interactive sessions, discussion fora, etc. The learning-by-doing approach that allows participants to acquire the necessary competences through concrete situations (either through case studies, role plays and exercises, or through the analysis of specific processes within the group) to subsequently carry out their work in their professional environment should be applied. The learning by doing approach should allow participants to share knowledge, experiences, good practice and lessons learnt in order to enhance their performance at the work place. This participatory methodology should provide a common framework for the evaluation of experiences of the participants and offer a common language for the exchange and integration of the experiences, as well as a roadmap for actions and progress. It is also expected that this approach should contribute to strengthening the capacity of the various target groups (particularly women and vulnerable groups) to bring greater local participation in the decisionmaking process. A.2.1.6. Implementation and Reporting Arrangements The Training and Capacity Building Programme should be coordinated by an appropriate suitably experienced independent organisation in collaboration with the Executing Agencies in reporting progress to EIB. The training and capacity building activities should require a wide range of expertise, including programme management, utility management and operations, solid waste management, planning for access and drainage systems, community development, gender and governance. Furthermore, the inputs necessary for the implementation of the programme should require a multi-organisational approach. The independent organisation should assign a dedicated programme team to organise, coordinate and manage the TCB programme in the towns and cities, and work closely with other partners to be procured as needed. In the case of specialised capacity building in utility management and operations, the independent organisation should consider partnering with and oversee qualified water utilities to undertake the assignment. In collaboration with the varied partners, milestones should be established with specific dates of delivery by specified responsible partners. Monthly progress reports should be prepared by the partners and consolidated in collaboration with the Executing Agencies. A.2.1.7. Staff Retention It would be particularly short-sighted to proceed with a programme of capacity building within the recipient organisations if steps arent taken simultaneously to retained staff following the programme. The technical skills to be developed and supported under the programme will provide the recipients with additional skills which will increase their individual value on the open labour market and if the investment in WATSAN services continues at the current levels for an extended period of time, then such service will be in demand and staff will command a premium
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salary. The Ministries and WSPs must therefore find a means to pay offer competitive benefits packages so that the trained staff will want to stay.
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Appendix A3
A.3. Training Components
For each of the components below, appropriate targets will be set to facilitate benchmarking and reporting on the training and capacity building interventions. This study has identified a number of technical capacity gaps, in terms of staff capacity and other resources required for effective project implementation that will inform the TCB. These are listed in Appendix A.4. A.3.1. Component 1: Project Management Output 1: Project Management Units (PMUs)/Project Teams (PTs) and Multi Stakeholder Forums (MSFs) facilitate Pro-poor water and sanitation services An organisational and staffing assessment will be carried out in the towns and cities to design and implement a capacity building programme to strengthen PMUs/PTs/MSFs (to be compatible with the national policy framework of each country) to facilitate investment programme implementation and to promote local stakeholder participation. Where these structures do not exist, they will be established and their capacity built. Training workshops will be held for the selected members of the PMUs/PTs/MSFs and operation manuals prepared to define the structures as well as their roles and responsibilities and to provide guidance to facilitate the day to day operations of these bodies. The capacity development programme will be designed to: Enhance their engagement in democratic governance and the water and sanitation sector reform agenda. Enable citizens to benefit socially and economically from a more accountable, just, transparent basic services delivery that upholds the respect for human rights. Support civic engagement which empowers all people to influence public policies, through CSOs, voluntary associations, private sector organisations and citizens audits.
Since the programme will require a broad engagement with multiple stakeholders, capacity development activities will be broad based and will cover the following areas: 1. Governance support- Corporate Governance, performance contracting, programme management and gender mainstreaming 2. Resource (information) mobilisation- corporate writing, data management, monitoring and evaluation , communication and education 3. Human resource development- skills upgrading on financial, technical, managerial, entrepreneurship, customer care, and stakeholder engagement. 4. Institutional capacity support- tools, equipment, software. 5. Management system support- procurement procedures, financial management systems, strategic management and planning, meter management, monitoring and evaluation and managing multi-sectoral approaches in water and sanitation development. Activities: 1. 2. 3. Operationalise (where they do not exist) PMUs/PTs and MSFs. Undertake an institutional situation analysis of the PMUs/PTs and MSFs and design training plan and orientation guidelines for them. Deliver training and orientation for PMUs/PTs and MSFs.
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4. 5. 6. 7. 8. Develop tools and training manuals for PMUs/PTs and MSFs. Develop monitoring and evaluation indicators. Orient PMUs/PTs and MSFs on the programme implementation manual. Share experiences and lessons learned (in LVWATSAN Phase I/WAC/GWOPA) with PMUs/PTs and MSFs. Establish thematic working, groups (physical infrastructures, capacity development. public awareness and education working groups) within the multi- stakeholder forums. Review performance of PMUs/PTs and MSFs.
9.
Output 2: Capacities of Utilities, Municipalities and Stakeholders Strengthened Access to relevant information has the power to empower citizens, and can assist service providers and decision-makers to become more responsive about how to better improve services and spend their scarce resources. It is imperative that to improve water supply and sanitation situation in the project locations, detailed data/information is made available and easily accessible to all water sector stakeholders. This will enable them to better develop and implement tailor-made water supply and sanitation solutions for these areas. This will complement the training and capacity building effort, in ensuring that appropriate feedback on the impact of the TCB activities can be monitored. There is a considerable need to improve the existing data collection and monitoring regime for water supply and sanitation service provision in the towns and cities in this project. The PMUs/PTs/MSFs in the towns and cities will be consulted to help to establish a programme monitoring and evaluation system. A key component of the system will be monitoring the impact of the programme on water and sanitation services for vulnerable groups (including the poor and taking due cognisance of gender considerations). This task will include ongoing monitoring of the infrastructure works and periodic progress reporting based on site visits undertaken during the capacity building activities in the project towns. Activities: A number of mechanisms will be utilised to monitor and evaluate training activities, monitoring the advocacy and IEC process, documenting its results and feeding the results back into the Programme. These will include: 1. Develop monitoring and evaluation indicators (water, sanitation, solid waste management, access and drainage, etc.). 2. Prepare monitoring and evaluation plans (see e.g. LVWATSAN monitoring and evaluation protocol and h2.O process). 3. Carry out a baseline survey to establish baseline data, including mapping the poor. 4. Training Activities: Pre and post-training evaluations of technical knowledge and understanding of training participants; Participatory evaluations of training activity; and On-site monitoring of training. The towns and cities will provide data and information with suggested post-training impact and implementation indicators against which the success of training activities can be measured in the longer term.
5. Schedule post-training monitoring and evaluation of the performance of the monitoring activities with partners. 6. Provide assistance to the PMUs/PTs/MSFs in setting up a consolidated implementation schedule (e.g. using Microsoft project or other appropriate software) to provide a basis for progress monitoring.

7. Monitor the progress of infrastructure works through periodic site inspections and submission of progress reports to the Municipality/Water Service Boards, highlighting areas that need attention either at the local level or the national level. A.3.2. Component 2: Capacity Building for the Municipalities Output 3: Strengthened Capacity of Municipalities and other stakeholders to manage Solid/Liquid Waste Systems, improved access and drainage (particularly to poor areas) The Municipal Councils, private entrepreneurs and local community-based organisations will receive technical assistance and training to strengthen and improve the efficiency of existing Solid Waste Management (SWM) systems, improved access and drainage to poor communities in each city. Lessons from the new approach to integrated infrastructure adopted and piloted in Kibera will be drawn upon for the training and capacity building effort. Activities: Capacity building will focus on the following areas: 1. Carry out a review of the municipal by-laws as it relates to sanitation and hygiene. 2. Carry out a baseline survey of the existing situation SWM/drainage facilities in each city and accessibility in select poor/informal communities. 3. Carry out SWM/access and drainage development capacity needs assessment in each city. 4. Review solid waste management, access roads and drainage plan for each city, including operational guides for the deployment of SWM equipment and a financial plan to ensure cost recovery. 5. Design capacity development package for the municipality/other relevant stakeholders and prepare training manual based on the capacity needs of each town. 6. Train equipment operators and technicians and provide assistance in setting up a maintenance system for SWM facilities and equipment. 7. Train community based organisations and private entrepreneurs to set up and manage SWM systems at the household level. 8. Support the groups to establish data base on existing / potential SWM networks, markets and partnership at the town level. 9. Train appropriate departments of the municipalities on planning for access roads and drainage facilities. 10. Carry out regular participatory monitoring and performance assessments of the SWM systems, access and drainage set up in the towns. A.3.3. Component 3: Capacity Building for Utilities Output 4: Utilities strengthened through a Fast-Track Capacity Building Programme in Utility Management In order to respond to the capacity challenges emanating from the reforms in the two countries, a fast-track capacity building programme in utility management will be carried out for the towns and cities. The fast track capacity building programme will address thematic areas including such as items as: i) training of change agents (senior managers and board officials) in best practices in utility management, ii) the preparation of Performance Improvement Plans to provide a strategic management tool for the improvement of utility operations, iii) improved billing and revenue collection; iv) water demand management focusing on the reduction of nonrevenue water, v) customer care, and vi) block mapping.
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The fast-track capacity building programme will be carried out using a mix of formal training workshops, systems development, on-the-job training, mentoring and peer exchanges. Best practices from the water sector reforms will be incorporated and applied during the training to strengthen operations of the utilities. Activities: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. Desk review to establish information available on utilities. Build on the institutional assessment of utility operation carried out in this study to establish gaps for detailed assessment to take place. Prepare TORs for the detailed assessment. Carry out a needs assessment in the towns and cities and report on findings. Design capacity development plans based on the needs of each city. Prepare bills of quantity (BOQ) and specification for the fast track capacity building (services, equipment and tools). Contract implementing partners for the implementation of fast track capacity building plan. Coordinate procurement of services, equipment with the PMUs/PTs and Implementing Partners. Design plan, organize and implement a change agent training. Design, plan and implement a Utility TCB package comprising such items as: a. Performance Improvement Planning with focus on: Business Plan Preparation and Management techniques; Improving the operations and maintenance culture; Water production and leakage detection and control strategies; Block Mapping; Billing, revenue collection and database management improvement strategies; Customer care improvement strategies; Finance and accounts improvement strategies; Human resources and administration services improvement strategies; and Monitoring and evaluation.
b. Financial modelling and forecasting (testing creditworthiness through various alternatives). 11. 12. 13. Prepare operating manuals. Carry out performance review. Prepare the final report of Fast Track Capacity Building intervention.
The capacity building programme will be carried out using a mix of formal training workshops, systems development, on-the-job training, and mentoring and peer exchanges. This study carried out a detailed assessment of institutional capacity, and identified capacity gaps in each project town, in terms of human resource skills and other resources required for effective project implementation, that will inform this component of the TCB. These are listed in Appendix A5.
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Output 5: Utilities and customers oriented to appreciate participatory tariff setting and reviews Utilities will be provided with capacity building to enable review of tariffs in line with the policy and regulations of the country, the change in the cost of services and their performance improvement outcomes. Customer involvement is a key part of the process. Each utility will be assisted to develop a process to design and review appropriate tariff structures that are consistent with government policies and regulations while ensuring long-term financial sustainability of the utilities and affordable services for the poor. As part of the delegated management system a participatory tariff setting and review process will be established particularly in the informal settlements. Activities: 1. Situation analysis, including detailed data collection of utilities. 2. Carry out a socioeconomic survey. 3. Design financial module considering different scenarios and tailored for each utility based on the data from utilities and survey outcomes. 4. Estimate tariff levels that will lead to long-term financial suitability of the utilities. 5. Organise a stakeholders workshop and present the outcomes. 6. Design a tool for a participatory development of sustainable utility specific tariff structures for informal settlements. 7. Conduct training workshops on advocacy, IEC and awareness of raising tariff issues. A.3.4. Component 4: Building for Community Level Institutions Output 6: Strengthened Community WATSAN management systems (including informal service operators) with improved access for the poor. In the poor/informal communities, the role of informal service providers is indispensable. In general however, these service providers are not recognized within the formal structures for service provision. It is therefore necessary to create conditions for interactions between the formal and informal service providers where they could be formally recognized, and establish modalities for ensuring that they complement the formal sector, and design and carry out training and capacity building programmes for them. Activities 1. Study and establish a mechanism of formalising informal WATSAN service providers. 2. Design and develop training modules in the following areas: Management and Operation of Community water and sanitation facilities; Repair and maintenance of WATSAN facilities; Controlling NRW; Financial management (General Principles of Bookkeeping); Gender and WATSAN; Micro-finance system for Community Based Projects; and Customer service.
3. Organise Training on developed modules.
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Output 7: Enhanced capacity of local organisations on WASH promotion and microfinance for basic services This will comprise two components, a learning by doing component under which local organisations will be assisted to design and implement WASH promotion activities, and a capacity building component which will aim to build the capacity of the organisations to integrate WASH into their normal operations. In view of the fact that there will be public sanitation facilities and community managed water supply systems as part of the WASH promotion process, the capacity building activities will address the need to create local structures to manage these facilities to ensure sustainability. Accordingly, training and capacity building will be provided to the local authority, the MSFs and local CBOs on the process of setting up operational and maintenance arrangements for such facilities. Lessons will be drawn from the LVWATSAN Phase I, Water for African Cities Programme and will provide practice guidance and training to local stakeholders to implement the models best suited to their local conditions. Training and technical assistance will also be provided for setting up self-help revolving fund schemes to promote access to basic sanitation at the household level. A micro-finance for water and sanitation assessment study on viability of the introduction of the system in the communities will also be carried out. Results of the assessment study will be used to: i) negotiate with microfinance institutions to partner with communities to implement micro credit for sanitation in the towns and cities; ii) identify alternative financing mechanisms based on private and community investments. Activities: 1. Carry out a Knowledge, Attitude and Practices (KAP) Survey. 2. Develop an Integrated Water Sanitation and Hygiene (ISH) promotion strategy for the towns. 3. Provide technical assistance on effective operation and maintenance arrangements for public sanitation facilities and community managed water supply schemes in poor and informal communities in the towns and cities. 4. Assist the PTs to develop terms of reference for the local implementing partners to deliver integrated water sanitation and hygiene promotion in the towns. 5. Carry out feasibility study on sanitation micro-credit for household sanitation and provide technical assistance to develop proposals for funding in each of the towns and cities.
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Appendix A4
A.4. ILU Logframe
Intervention Logic Overall Objectives Overall Objective: To support the WATSAN sector institutions and stakeholders in project towns to achieve the national and international targets on WATSAN and improve the living conditions of the inhabitants, with a focus on the poor Specific Objective 1: Strengthen the capacity of the Municipal Authorities of the towns and cities to effectively deliver their mandate to provide appropriate sanitation and hygiene services to the citizens (including solid/liquid waste management services, improved access and drainage facilities to poor areas etc.) Specific Objective 2: Strengthen the capacity of the utilities/service providers (including the informal providers) in the town and cities through developing and implementing Performance Improvement Plans for the sustainable management, operations and maintenance of the WATSAN facilities to be put in place Specific Objective 3: Enhance the capacity of the community based organisations in the towns cities to effectively contribute to all aspects of the planning, design, implementation and pre/post monitoring of the proposed WATSAN investment programme. Objectively Verifiable Indicators Of Achievement Percentage contribution to the current water and sanitation coverage level Sources And Means Of Verification MDG Reports, Country Water & Sanitation Programme reports, relevant websites Physical inspection of the garbage conditions in the towns and cities; reports on the improvement of drainage system Factors & Conditions: Political stability, stability of the global economy, support of the government Risks: price escalation, Shortage of skilled manpower in the specific areas of expertise Assumptions
Specific Objective
Change in the volume of solid waste removal; works carried out in improvement of drainage channels,
Type of PIP strategies developed, Number of staff trained; PIP implemented and changes achieved (e.g. reduction in NRW) Manuals and guidelines developed; Number of staff trained, Number of informal service providers established and legalized
Project progress reports, monitoring mission reports, annual performance reports of the local institutions Project progress reports, monitoring mission reports, annual performance reports of the local institutions
Output 1: Strengthened and well oriented Project Management Units (PMUs)/Project Teams (PTs) and Multi Stakeholder Forums (MSFs) to facilitate Pro-poor water and sanitation services Output 2: Capacities of Utilities, Municipalities and stakeholders strengthened to Monitor and Evaluate the implementation of WATSAN projects under their domain Output 3: Strengthened Capacity of Municipalities and other stakeholders to manage Solid/Liquid Waste Systems , improved access and drainage (particularly to poor areas) Outputs Output 4: Utilities strengthened through a Fast-Track Capacity Building Programme in Utility Management Output 5: Utilities and customers oriented to appreciate participatory tariff setting and reviews Output 6: Strengthened Community WATSAN management systems (including informal service operators) facilitates improved access to the poor Output 7: Enhanced capacity of local organisations on WASH promotion and
Number of PMUs/PTs/MSFs established and type of training provided; number of trainees Number of staff/stakeholders trained on M&E of projects; Change in the quality of monitoring & evaluation reports Type and number of Training and Capacity Building modules developed Number of utility staff trained and outcomes recorded as a result of utility management training Tariff review process carried out and submitted for endorsement Number of service providers created through delegated management approach in the towns and cities Number of WATSAN customers that have
Progress reports; mission project completion reports
reports,
Progress reports; mission project completion reports Progress reports; mission project completion reports
reports,
reports,
The required fund should be made available before the commencement of the project; The institutional mechanism to commence the implementation of the project should be in place;
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Intervention Logic microfinance for basic services For Output 1: Establish (where they do not exist) PMUs/PTs and MSFs. Undertake training and capacity needs analysis of the PMUs/PTs and MSFs and design training plan and orientation guidelines. Develop tools, training manuals and M&E indicators (for PMUs/PTs and MSFs) Deliver training and orientation for PMUs/PTs and MSFs implementation manual and M&E) (on programme
Objectively Verifiable Indicators Of Achievement accessed microfinance facilities
Sources And Means Of Verification
Assumptions
Orient PMUs/PTs and MSFs on the programme implementation manual. Share experiences and lessons learned (in LVWATSAN Phase I/WAC/GWOPA) with PMUs/PTs and MSFs. Establish thematic working, groups (physical infrastructures, capacity development. public awareness and education working groups) within the multi- stakeholder forums. Review performance of PMUs/PTs and MSFs. For Output 2: Develop monitoring and evaluation indicators (water, sanitation, solid waste management, access and drainage, etc.); Activities Preparation of monitoring and evaluation plans (see e.g. LVWATSAN monitoring and evaluation protocol); Carry out a baseline survey to establish baseline data, including mapping the poor; Training Activities Schedule post-training monitoring and evaluation of the performance of the monitoring activities with partners. Provide assistance to the PMUs/PTs/MSFs in setting up a consolidated implementation schedule (e.g. using Microsoft project or other appropriate software) to provide a basis for progress monitoring Monitor the progress of infrastructure works through periodic site inspections and submission of progress reports to the Municipality/Water Service Boards, highlighting areas that need attention either at the local level or the national level. For Output 3: Carry out a review of the municipal by-laws as it relates to sanitation and hygiene Carry out a baseline survey of the existing situation SWM/drainage facilities in each city and accessibility in select poor/informal communities Carry out SWM/drainage capacity needs assessment in each city Review solid waste management, access roads and drainage plan for each city, including operational guides for the deployment of SWM equipment and a financial plan to ensure cost recovery.
Experts input for 3 months to develop TCB manuals for PMUs, PTs and MSFs and provide training (US$45,000)
TCB manuals; progress training completion reports
reports,
Implementing partners input for 3 months (US$120,000)
Training manual on monitoring & evaluation of WATSAN projects; Training completion report; progress report of the implementation of projects
Pre-conditions: assigning a focal person to undertake the overall coordination and supervision of the TCB programme in the towns and cities,
Consultancy (US$360,000)
input
for
months
Assessment and baseline survey reports, TCB packages for municipal Councils, community based organisations and private sector, Training completion reports of various stakeholders
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Intervention Logic Design capacity development package for the municipality/other relevant stakeholders and prepare training manual based on the capacity needs of each town Train equipment operators and technicians and provide assistance in setting up a maintenance system for SWM facilities and equipment Train community based organisations and private entrepreneurs to set up and manage SWM systems at the household level. Support the groups to establish data base on existing / potential SWM networks, markets and partnership at the town level. Train appropriate departments of the municipalities on planning for access roads and drainage facilities Carry out regular participatory monitoring and performance assessments of the SWM systems set up in the towns. For Output 4 Desk review to establish information available on utilities. Undertake a preliminary institutional assessment of the operations of the utilities to establish gaps for detailed assessment to take place. Prepare TORs for the detailed assessment. Carry out needs assessment in the cities and prepare report on findings. Design capacity development plans based on the needs of each city. Prepare bills of quantity (BOQ) and specification for the fast track capacity building (services, equipment and tools). Contract implementing partners for the implementation of fast track capacity building plan. Coordinate procurement of services, equipment with the PMUs/PTs and Implementing partners. Design plan, organize and implement a change agent training. Design, plan and implement a Utility TCB package Prepare operating manuals. Carry out performance review. Prepare the final report of Fast track Capacity Building intervention. For Output 5 Situation analysis, including detailed data collection of utilities. Carry out a socioeconomic survey. Design financial module considering different scenarios and tailored for each utility based on the data from utilities and survey outcomes Estimate tariff levels that will lead to long-term financial suitability of the utilities
Objectively Verifiable Indicators Of Achievement
Assumptions
Cooperation Agreement with Implementing Partner for 9 months (US$360,000)
Signed Cooperation Agreement, TCB implementation progress reports; Project completion reports
Experts input for 5 months to develop tariff review through participatory process (US$90,000)
Tariff review document approval and endorsement
ready
for
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Intervention Logic Organize a stakeholders workshop and present the outcomes Design a tool for a participatory development of sustainable utility specific tariff structures for informal settlements Conduct training workshops on advocacy, IEC and awareness of tariff issues. For Output 6: Study and establish a mechanism of formalizing providers informal WATSAN service
Objectively Verifiable Indicators Of Achievement
Assumptions
Design and develop training manual for the service providers Train members of the service providers on management of WATSAN facilities For Output 7: Carry out a Knowledge, Attitude and Practices (KAP) Survey. Develop an Integrated Water Sanitation and Hygiene (IWSH) promotion strategy for the towns. Provide technical assistance on effective operation and maintenance arrangements for public sanitation facilities and community managed water supply schemes in poor and informal communities in the towns and cities. Assist the TPTs to develop terms of reference for the local implementing partners to deliver integrated water sanitation and hygiene promotion in the towns. Carry out feasibility study on sanitation micro-credit for household sanitation and provide technical assistance to develop proposals for funding in each of the cities. Total budget (Indicative only)
Consultancy (US$90,000)
inputs
for
months
By-laws to formalize informal service providers, training manuals, training reports
Experts input for 6 months (US$90,000)
Strategy document on IWSH promotion, Feasibility study report on microfinance for household sanitation
US$1,155,000
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Appendix A5
A.5. Technical Capacity Gaps
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Appendix A5
Specific current capacity needs identified by key specialists, TCB component assigned and notes on how they are currently being addressed by other programs, or will be addressed by EIB project KISUMU Category Issue identified Proposed TA/training approach to addressing the issue Material assets required The main requirement is to establish a robust planning culture The KMC planning culture is very weak, in part resulting from mistrust and, more important to gain political and public acceptance for with Ministry of Lands who prepared the city development plan. This is need for good urban planning/management and for limits on compounded by strong resistance to perceived interference by Central individual actions. Failure to do this will seriously compromise Government authorities in Nairobi. Result is a strong laisser faire planned watsan investment. Due to mistrust of culture which allows individuals to develop their own land as they central government, TA support will be most effective if please - there is little overall planning direction from KMC which commissioned by KMC from outside sources (international seriously compromises systematic delivery of infrastructure networks. consultants, training institutions etc). UNHabitat can play important TA role in raising KMC awareness of Need to ensure integrated structure plan is comprehensive with importance of urban planning/management, and to create political policies and programmes to facilitate sensible growth at appropriate consensus for planned interventions in urban development. densities that can be adequately serviced. Eg a mechanism for planned provision of serviced plots for low income households and limit expansion on hills Continue to reduce and control NRW. Distinguish between physical and commercial losses. Covered by AFD Water Project + UNHABITAT's Water Demand Management project to provide support to KIWASCO 1 TCB Component
Urban Planning
Urban Planning
Water supply - WCU
Water supply DMM/Informal settlements
There are still a few minor technical issues to resolve, principally related to asset ownership, ensuring adequate technical and operational support to the Managing Operator, and safeguards in the case of Covered by AFD Water Project + UNHABITAT's Water Demand major leakage, but these should be overcome. LTAP is appointing a Management project to provide support to KIWASCO TA who will recruit an NGO to manage implementation of DMM in informal ares. This should include leaks and bursts, general management, customer care, meter reading, revenue collection Work with AFD to ensure operations and maintenance capacity is in place to properly manage the new pumps and networks to ensure design capacity can be delivered and reliable supply for customers. As above. Work with AFD to address concerns in current design and works, and ensure sufficient capacity - skills and resources are in place to ensure plant operates smoothly and discharges acceptable effluent quality Capacity needed in LVWSB to plan the resources strategy - to manage consultants to assess yield and feasibility of dam options, and consider potential for Dunga to provide short term full capacity (if reliabity of gravity source may require it). Modelling to optimise storages (location, size, adequacy to provide backup for system) and zoning - also part of LTAP Both STAP and LTAP contracts include replacement distribution mains. If real benefits are to be gained for the planned mains replacement it will be important to ensure that the works include not just new mains, but also include for tracing and disconnecting the old pipes and service connections. Ensure LTAP contractors have skills and resources to do this. Covered by AFD Water Project + UNHABITAT's Water Demand Management project to provide support to KIWASCO
Water Supply - LTAP
Water supply treatment Water Supply Planning and Information Management Water supply distribution/storage
Covered by AFD Water Project + UNHABITAT's Water Demand Management project to provide support to KIWASCO
Part of Consultancy Package for the Kisumu Project under EIB Programme Covered by AFD Water Project + UNHABITAT's Water Demand Management project to provide support to KIWASCO
Water resources model
Water Supply network extensions
Water Supply Planning and Information Water Supply - billing Water Supply metering and maintenance Water Suplply Governance
Management info and tools need to be established and staff need to Covered by AFD Water Project + UNHABITAT's Water Demand be able to operate to aid planning. Need a network model and network Management project to provide support to KIWASCO mapping system. KIWASCOs billing software is a bespoke system which is no longer supported. Errors cannot therefore be corrected if they originate from the source coding. New billing software is required and sought Meter replacements are needed. As well as meters and stocks of pipes, fittings, valves etc, need improved maintenance protcols and staff capability - targets etc. Eliminate corruption through increased vigilance and management practices Regulation of water kiosk operators Enforce laws - health officers Covered by AFD Water Project + UNHABITAT's Water Demand Management project to provide support to KIWASCO Covered by AFD Water Project + UNHABITAT's Water Demand Management project to provide support to KIWASCO
Hydrulaic model
Billing System
Stock of meters and parts
Wastewater - general
Improve sewer maintenance Work with AFD to ensure operations and maintenance capacity is in place to properly manage the new plants and networks to ensure connections are made, design capacity can be delivered and reliable quality discharge. Very important - Includes siting new plant Contractual management, regulation and revenue collection if condominum sewers are installed - program should work alongside/include manageing the DMM for water supply
Covered by AFD Water Project + Urban Infrastructure Project Regular review of O&M capacity is required in advance of key LTAP phases Consultant to prepare a waste water master plan Wastewater Master plan
Wastewater - LTAP Wastewater - Master Planning Sanitation/Informal Settlements Management
Sanitation/Informal Planning of communal washing and ancillary facilties such as power Covered by AFD Water Project + Urban Infrastructure Project Settlements - planning and lighting to be coordinated into DMM/condominium sewer program Sanitation/Informal Settlements colllection Provision of micro-finance via organisations such as K-Rep for sludge truckers Kisumu municipality needs an integrated storm water management system. The municipality should have a comprehensive and sustainable storm water collection and disposal framework that should encompass citizen awareness, sensitisation and participation. This will Review current systems and consultant to prepare integrated ensure that storm water collection and disposal is managed properly stormwater management plan, including new ploicies. thereby reducing the impact on the lake. The city needs to develop and enforce policies and legislation to deal with storm water management. Proper solid waste managemet KMC will require additional technical and project management support to assist in implementing KISWAMP Improve collection efficicency by providing new waste collection areas/wate transfer stations, and improve site management. Strategise collection options eg contracting. Micro-financing for hand carts Institutional Capacity Review organisational structure KIWASCO Institutional Capacity - Customer care and education - establish a support desk. Needs KIWASCO trained staff backed up by organisational drive on customer focus Change management to get the staff to accept changes in the whole philosophy of water management. The change of emphasis on water and sewerage provision as a commercial service requires a major attitude change. Other sub topics such as meter reading approaches, billing, network policing and customer relations can be included in the package. Institutional Capacity - Management Information Systems KIWASCO Fast Track Training of line patrollers (include LVSWSB staff in any training) Billing and debt management Redefine the functions of meter readers to include: Surveillance and scouting of networks; Meter servicing and maintenance; and Manual distribution of monthly water bills to premises where they read the meters Gender Mainstreaming Address in project interventions and staff culture/recruiting/benefits/transport Covered by AFD Water Project + UNHABITAT's Water Demand Management project to provide support to KIWASCO Covered by AFD Water Project + Urban Infrastructure Project
Urban Drainage Planning
Solid waste - general Solid Waste - general
Covered by AFD Water Project + Urban Infrastructure Project
Solid Waste collection
Training to relevant staff - including billing and statement preparation and unmetered customers. KEWI can provide this function
Included above. LVSWSB suggested meter reading and collection of outstanding invoices could be contracted out.
Provide gender mainstreaming specialist to review all project interventions, strategies and policies.
MWANZA Category Sanitation - Focus on schools Issue identified Proposed TA/training approach to addressing the issue Material assets required 1 Improved hygiene and sanitation measures for schools and public There is a significant shortage of latrines for boys and particularly girls; areas need to be enhanced through focussed and regaulr when considering improvements the needs of girls should be the first education and awareness programs on using them and keeping priority. Hand washing is uncommon and the use of soap even less so thenm in a clean state
TCB Component
Urban Planning - Inst Cap
The Master Plan lists reasons for the poor performance in housing plot delivery: - Bureaucratic government land acquisition and allocation procedures; - The lack of sufficient number of surveyed plots and serviced land; - Ineffective building regulations and construction codes; - Lack of community awareness on planning and building standards; - Lack of housing finance institutions; and - The comparatively cheap and simple procedure for land acquisition on unplanned areas. This assessment is harsh, based on our team's observation of performance and results.
In our team's view this is a harsh assessment - actual performance and practice in terms of planning future housing, land and infrastructure needs is far better than in most African cities. However, it is important to recognise that a strong planning culture to guide development is essential to avoid compromising watsan investment.
Urban Planning - Inst Cap
Town Planning Department operations are clearly limited by weak resources: Technical support staff, office space and equipment/materials. Proficient senior staff lack the necessary technical support staff to allow them to address the full range of development problems and especially strategic issues. They get drawn into detailed review of individual planning and building regulation applications, with members of the public continually interrupting the Urban Planning Officer in his private office.Strategic perspective is needed. Need a network model to plan pressure reduction works to enable system to be used more efficiently. Reducing pressure at lower elevations will reduce system losses.It can be expanded to determine distribution improvements to optimise use of the new source. Ensure skills and resources necessary to keep complex WTP, as well as high spec pumping and booster stations running efficiently are in place - eg display screens working, and are interpreted and acted on. Maintenance procedures and supplier details for spare parts eg switches, diaphragms and pumps for dosing need to be readily available. Outsourcing maintenance is an option Database of repairs made to inform mains replacement program
- TP Department requires additional technical staff to handle routine detailed matters, to allow senior staff to focus on strategic development issues - role for MLHHSD. - TA support required to strengthen administrative procedural organisation - role for MLHHSD plus assistance from UN-Habitat.
Water Supply Planning
NRW and Operational Support Consultancy Project under EIB Programme
Network Model
Water Supply - O&M
NRW and Operational Support Consultancy Project under EIB Programme
Water Supply - O&M Water Supply informal areas Water Supply - NRW Water Supply General Wastewater Industrial
NRW and Operational Support Consultancy Project under EIB Programme Management capacity to establish a program of short duration pumped schemes at reservoirs, manage contratcs and regulate kiosk operators, Best implemented by UN HABITAT based on DMM and serve these customers. NRW and Operational Support Consultancy Project under EIB Waste Control Unit needed with technical assistance Programme MWAUWASA new offices - grant assistance Provide grant funding
Database to plan proactivce maintenance
New Offices
Program to improve pre-treatment esp around lakeshore. Map point sources. Grants to industries to install oil and grease traps and address Mwanza Project under EIB Programme fish processing industry revenue. Ensure waste flows to plant, not lake, especially during heavy rains.
Development of the sewerage system requires co-ordination to ensure the sewer network aligns with the available and planned sewage Wastewater - Planning treatment capacity, and house connections. TA needed to plan and Wastewater TA role ensure a coordinated implementation in MWAUWASA, inlcludig making household connections and generating revenue collection. Sanitation Urban Drainage Address sanitation in informal settlements Needs to be improved. Where drains exist they seem to function OK. Noted that mainentance procedures needs to be established and followed to prevent delapidation. Technical support in the site selection exercise to identify optimum location for new dumpsite Ilemela. Technical support to identify new/ additional centralised waste collection areas General capacity building measures to improvement management of waste collection sites, dump sites, and to strategise the collection recepticles and fleet of vehicles. Oversee fleet management - repairs and maintenance. Skiploader and skip containers to increase waste collection capacity. Alternative option of compactor truck and dumpsters to increase collection capacity. Provide grants to the Council to procure new vehicles and containers Review structure, particularly numbernof reporting lines to MD. Mwanza Project under EIB Programme Institutional Capacity Increase meter penetration (30% of opoulation metered, 90% served)? Assist with the identified 'Capacity Buildling Roadmap' wich includes: Improve motivation for professional growth in lower grade staff; customer focus; attitude to change. Training needs are identifed: Budget Management and monitoring Strategic Planning Basic computer application skills Other areas of training and capacity building needs are highlighted in this report section. MWAUWASA has listed areas of quick wins that will help kick start performance improvement. Investigate opportunitiy to delievr short courses in Mwanza (normally delievered in Dar es Salaam). An existing member of MWAUWASAs staff be appointed to oversee environmental and social impact monitoring. This person can undergo the necessary training in order to be able to pre-empt or recognize issues of consequence and to be able to deal with them appropriately. Alternatively, as LVSWSB has done, MWAUWASA can hire an Environmental / Social Expert to do this Address in project interventions and staff culture/recruiting/benefits/transport Meters installed Mwanza Project under EIB Programme
Solid Waste
Solid Waste
Technical measures for urban drainage and solid waste are not intended to be included in the EIB project. However some training and capacity building could be provided in order to improve public health and dicsharges to the environment. The potential benefit of this compared to other TCB activities should be assessed on project implementation.
Solid Waste
New vehicles and containers grants
Institutional Capacity
Institutional Capacity
Mwanza Project under EIB Programme
Environmental and Social Monitoring
Upskill an existing staff member and provide training to support the role
Gender Mainstreaming
Provide gender mainstreaming specialist to rebview all project interventions, strategies and policies.
BUKOBA Category Issue identified Proposed TA/training approach to addressing the issue Ministry of LHHSD can assist with institutional strengthening in urban planning/management with UN-Habitat technical support: - Appoint consultants to review/modify SUDP - either through UNHabitat or separate commission via central MLHHSD. - TA support to Municipality to formulate short/medium term development initiatives to guide infrastructure investment. Material assets required 1
TCB Component 2
Urban Planning
BMC staff display a good understanding of general urban management problems and interventions.- but BMC has been illserved by poor quality consultant work on the Strategic Urban Development Plan 2010.
Water Supply Planning/operations
Planning for spring source abandonment and need for Phase 1 plant Waste control unit, GIS database of records and network model. Computers and software
Water Supply - O&M
Database of repairs made to inform mains replacement program Musoma and Bukoba Sewerage Project under EIB Programme
Wastewater - Planning Master Plan needed. Training associated with operating and maintaining new sludge digestor. Stock of parts. Wastewater Operations Improve disposal operations at lagoons
Grants for industrial wastewater management? Provde grant funding to imporve on-site treatemnt Procure exhausters or develop contracts with local operators. Consider affordability. Extend revolving fund mechanism for on site sanitation improvements Education and awareness creation through a sanitation and public health support programmes.This is geared towards improving social acceptance for the implementation of new improved sanitation concepts.Households will also be sensitised on selection and implementation of options that are relevant to their sanitation requirements. Training and capacity building to the sanitation and commercial departments of the council and BUWASA.The technical and commercial staff in the departments will be equipped with skills on the operation and maintenance of sludge emptying equipments, treatment and disposal of sludge, revenue collection from the emptying services etc.This intervention may also see the deployment of new staff in the affected departments or movement of staff to strengthen the sanitation workforce for it to be able to deal with sanitation matters effectively. Define needs and acquire waste collection vehicles and construct more collection points. General capacity building measures to deal with solid waste management issues. Sensitising of residents on proper waste management nethods. The council staff will be empowered to deal with issues pertaining to solid waste management and this is expected to greatly improve the management models and revenue collection hence the financial standing of the waste management department. This may see also deployment of more staff to this department to enable it deal with the issues. Improved record keeping. Management model. If waste management is outcourced then staff need to be trained to manage this. Ensure hazardous waste is properly managed Institutional Assessment Institutional Assessment Address in project interventions and staff culture/recruiting/benefits/transport Waste management model Billing system adequate for proposed extension to water system and increased metered connections? Is there an appropriate systenm in other WASAs that can be easily transferred with training given? WSAI was asked to do a rapid assessment of technical needs in Bukoba. Therefore the adequacy of the organisation to perform the core functions - and the gaps that may open up with new AFD interventions need to be assessed at project implementation stage. Provide gender mainstreaming specialist to rebview all project interventions, strategies and policies. MUSOMA Category Issue identified Proposed TA/training approach to addressing the issue Ministry of LHHSD can assist with institutional strengthening in urban planning/management with UN-Habitat technical support for: Preparation of urban development plan, to develop long-term vision with focus on short/medium-term initiatives (say over next 10 years) - NB UN-Habitat support must be stronger than at Bukoba. - Strengthening local staff capability by short/long-term secondment of experienced staff and regular training programmes. Material assets required 1 TCB Component Technical measures for urban drainage and solid waste are not intended to be included in the EIB project. However some training and capacity building could be provided in order to improve public health and dicsharges to the environment. The potential benefit of this compared to other TCB activities should be assessed on project implementation. In theory this could forma whole project in itself, developing the strategy through toi implementation with training, contractual arrangements etc which others may wish to fund.
Sanitation
Mwanza Project under EIB Programme to consider the options raised in developing the most appropriate approach to improving sanitation in informal settlemets.
Solid Waste
Urban Planning
- Urban planning capability is very weak due to shortage of experienced/skilled staff. Need for an overall urban development plan to guide short/ mediumterm development (say over next 10 years).
Master Plan? Water Supply Planning/operations Water quality monitoring training and kit? Waste control unit, GIS database of records and network model. Water Supply - O&M Database of repairs made to inform mains replacement program Musoma and Bukoba Sewerage Project under EIB Programme
Wastewater - Planning Master Plan needed. Wastewater Operations Sanitation Sanitation Training associated with operating and maintaining new sludge digestor. Stock of parts. General Procure exhausters and Vuc Tug tankers Waste study to define needs and acquire waste collection vehicles and construct more collection points. Capacity building of the Municipal staff to deal with solid waste management issues. This will also involve sensitising the residents on proper waste management methods including collection, sorting and recycling at household level; and investment in proper record keeping aimed at improving the effectiveness of the collection systems and boosting the council revenues. This will see procurement and installation of a weigh bridge at the dumpsite. Sensitising the residents of Bukoba on proper waste management methods including collection, sorting and recycling. Ensure hazardous waste is properly managed Institutional Assessment Institutional Assessment Address in project interventions and staff culture/recruiting/benefits/transport Waste management model Billing system adequate for proposed extension to water system and increased metered connections? Is there an appropriate systenm in other WASAs that can be easily transferred with training given? WSAI was asked to do a rapid assessment of technical needs in Bukoba. Therefore the adequacy of the organisation to perform the core functions - and the gaps that may open up with new AFD interventions need to be assessed at project implementation stage. Provide gender mainstreaming specialist to rebview all project interventions, strategies and policies. Technical measures for urban drainage and solid waste are not intended to be included in the EIB project. However some training and capacity building could be provided in order to improve public health and dicsharges to the environment. The potential benefit of this compared to other TCB activities should be assessed on project implementation. In theory this could forma whole project in itself, developing the strategy through toi implementation with training, contractual arrangements etc which others may wish to fund. Training from Supplier organisation and stock of parts Mwanza Project under EIB Programme to consider the options raised in developing the most appropriate approach to improving sanitation in informal settlemets. Grant funding to procure plant Exhausters Vuc Tug tankers Parts
Solid Waste
Appendix A6
A.6. Utility Partnering Proposal DUNEA / MWAUWASA
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Appendix A7
A.7.
Discipline
Master List of Proposed Intervention by Location and Sector

Item Estimated Cost million Justification for Intervention Proposal Details Status of Works Required Timeframe
Kisumu
Extend intake pipes at Dunga WTW further out into the lake Chemical dosing at Dunga WTW Problems with the filter backwash system at Dunga WTW Remodelling of the high-lift pumps at Dunga WTW Install functioning flowmeters in all key locations and consider introduction of basic telemetry system for capture and processing of data KIWASCO need Waste Control Unit KIWASCO need to develop / obtain / upgrade its asset records onto a suitable GIS and a suitable network model Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Water Supply of materials, pipes, fittings, replacement valves, etc Supply of consumer meters Expansion of supplies to Kiboswa Expansion of supplies to Maseno Expansion of supplies to Ahero Feasibility Study for a high dam on the Kibos River and reassessment of the capacity of the Dunga source Construction of a dam in the Kibos Valley to provide reliable gravity supplies for the city including treatment plant and distribution pipelines KIWASCO would benefit from an upgrade of its office facilities
25
0.4
Strong
Operational Improvements designed to improve operating efficiency of existing plant and investigate scope to supplement supplies during low flow at Kajulu
Some work already undertaken by LVSWSB. Requires detailed process review and investigations into lake water quality
Immediate
4.1
Strong
Supports actions on NonRevenue Water particularly physical losses and provides KIWASCO with the tools to improve operational performance of the system
Some plans for flowmeters under AFD need coordination to avoid duplication. Some models prepared but not handed over. No mapping available
Immediate
1.6
Strong
Basically fiscal support to KIWASCO to allow purchase of fittings and meters to support above exercise Extension of municipal supplies to satellite towns currently reliant on local boreholes and informal source Current funded development at Kajulu unlikely to be reliable need for further source development Currently in rented office without
Would need to agree requirements with KIWASCO Pre-feasibility only under this study, coverage uncertain as pop data used unreliable. Requires decision on hydro at Kajulu. High pumping costs but no alternative Feasibility required as a number of options exist for increasing the source capacity at Kisumu. No cost included as scheme/solution undefined
Immediate
15.0
Medium
Medium
0.5 Strong (Study) TBA 0.5 Low
Immediate Medium
25
Medium
Depends on reliable yield of the new Kibos weir but could be required within 5 years if yield is low as suggested by this study
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Discipline
Item (and potentially stores and maintenance facilities)
Estimated Cost million
Justification for Intervention
Proposal Details LAN facilities etc
Status of Works
Required Timeframe
Water & Sanitation in Informal Areas
Water Supplies in informal areas Sanitation for properties near to a sewer Sanitation for properties far from sewer Sewer realignment / reconstruction in the Central WTD to relieve load on Kisat. Upgrade the main trunk sewers in Eastern WTD to carry additional load. The cost also includes for construction of new sewers in Mamboleo and Lolwe areas. 4.65 Strong Improvements to existing facilities to improve operational efficiency and effluent quality Enhances LTAP package 3 needs technical investigation of Nyalenda plant Short 5.6 Strong (if required) Further investment in water and sanitation in informal areas Coverage from AFD uncertain needs to follow LTAP interventions. ILU approach not fully costed Short
Sewerage
Capacity check of Nyalenda WTP Construction of a full sewerage system in Kanyakwar, Bandani, areas adjacent to the airport including a treatment plant at Ontonglo area. Prepare a sewerage Master Plan Covering existing lined drains with pre-cast concrete cover slabs Rehabilitation of existing lined drains through dredging to remove accumulated filth and replacement of damaged and dislodged side slabs Construction of lined drains complete with cover slabs. Construction of new lined open drains Construction of new stone pitched open drains Upgrading of existing lined open drains Reconstruction of existing open earth drains by expanding the drains and lining them Rehabilitation of Auji drain Construction of 900 mm diameter concrete culverts in some selected problematic areas Construction of 600 mm diameter culverts in some low lying areas that are problematic Study into potential to let a contract for waste collection services 8.0 Low Medium 1.0 12.1 0.3 Medium Strong Extension of city sewerage system including new treatment plant in West Prepare Master Plan to identify investments for next 25 years No feasibility studies available, site of works not identified, limited availability and proximity to airport for WSP Required to put current and future investments in context Medium Short
Urban Drainage
Rehabilitation and expansion of storm drainage to reduce flooding within city
No studies prepared based upon Council identified needs
Medium
Solid Waste
Develop working plans to improve landfill operation Undertake a feasibility study into development of formalised
2.3
Medium / Strong
Improvement in the collection and disposal of solid waste needed. Current city centre landfill is major
Major Investments in solid waste being planned under the AFD funded Urban Infrastructure Upgrading project which
Medium
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Discipline
Item composting plant KMC will require additional technical and project management support to assist in implementing KISWAMP Skip loader and skip containers to increase waste collection capacity - Alternative option of compactor trucks and dumpsters to increase collection capacity Provide micro-loans or grants to assist locals in procuring handcarts - Alternatively could provide grants to the Council to procure new vehicles and containers Install a weighbridge to record data Construction of lined landfill cell to manage industrial and hospital wastes Rehabilitate existing dumpsite and engineer quarries to receive waste from existing dumpsite Development of a WEEE recycling and reprocessing facility Construct a dedicated lined hazardous waste landfill cell at the proposed new landfill facility
Proposal Details environmental and health hazard. New site needed
Status of Works is just commencing
Required Timeframe
Short
1.5
Medium 11.7
7.0 Training and assistance is needed to ensure benefit from proposed investments is achieved Some capacity building included under AFD LTAP project. Detailed Needs Assessments required as first step
All
Capacity Building for Board, Utilities, Council and Community Organisations
0.5
Strong
Short
Total Kisumu
76.75
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Discipline
Item
Proposal Details
Status of Works
Required Timeframe
Mwanza
Surge problems at Capri Point Pump Station Flowmeters at Capri Point not registering accurate flows Remodel outlet pipework to use existing circular tank at Capri Point Inadequate suction problems at some booster stations Provide a second small pump at the intake to allow better balancing between intake flow and system demand Air locks reported to be problem in parts of network Nyanshana Tank reportedly has to operate air valves to supply high areas Need to set up Waste Control Unit Assistant with Set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Supply of materials, pipes, fittings, replacement valves, etc Supply of consumer meters Expand distribution network Supplies to settlements located above the service reservoirs Six areas under consideration, Capri Point. Nyegezi, Kitangiri, Nyabungu, Nyasaka and Bugando Area Supplies to Igombe Develop new Water Source 34.5 Strong Construction of a new source of water for the city Pre-feasibility (this study) only requires feasibility study and designs Medium (dependent upon speed of investments above but earliest by 2017) Short 27.4 Med/Strong Large investment in expanding the distribution network to most areas of the city Designs and Tender documents have been prepared under the WSDP. These would require review prior to proceeding Short / Medium and Medium consider phasing 0.7 Strong 2.5 Strong Supports actions on NonRevenue Water particularly physical losses and provides MWAUWASA with the tools to improve operational performance of the system Basically fiscal support to MWAUWASA to allow purchase of fittings and meters to support above exercise A detailed network model was prepared and handed over but training needed. GIS/mapping available 0.9 Strong Operational Improvements designed to improve operating efficiency of existing plant and to ensure that the system can supply and receive the full design capacity Some further investigation work required and surge analysis of the rising mains
Immediate
Immediate
Water
Would need to agree requirements with MWAUWASA o
Immediate
Feasibility Study for new source for Mwanza
MWAUWASA - better offices and facilities Expand sewer network to cover Ilemela, Lumala, Kiseke and part of Pasiansi Include for house connections and pumping stations. Capacity check of Ilemela WSP and expansions thereto.
0.5
Low
Support to MWAUWASA in the construction of new office block Expand sewerage network into new areas
New building underway using self financing additional finance may not be required Designs and Tender documents have been prepared under the WSDP. These would require review prior to
Sewerage
19.2
Medium
Medium
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Discipline
Item Sewerage Master Plan study Design and construct sewer network in Mabatini and Isamilo including for house connection and pumping station. Design for sewer network to serve the proposed Igoma waste stabilisation ponds including house connections and pumping stations. The cost includes for the construction of Igoma ponds. Design studies for the proposed sewage treatment plant at St Augustines University grounds and the sewer network to serve the Treatment plant Provision for properties near to a sewer
Proposal Details
Status of Works proceeding
Required Timeframe
12.9
Medium
Further extension to the citys sewerage network to the east
Designs are required
Medium
0.8
Medium
Further extension to the citys sewerage network to the east Additional sanitation to informal areas
No funds identified for construction due to scope uncertainties Designs not prepared. ILU approach not fully costed. The sanitation costs 26 may be over-estimated
Medium
Sanitation
Provision for properties far from sewer Construct line ditches
13.1
Strong
Short
Urban Drainage
Construct Culverts Construct Drifts Construct Bridges Study into potential to let a contract for waste collection services Develop working plans to improve landfill operation and ensure monitoring of groundwater and water quality in the adjacent river Undertake a feasibility study into development of formalised composting plant Technical support in the site selection exercise to identify optimum location for new dumpsite Ilemela
6.3
Low Medium
Rehabilitation and expansion of storm drainage to reduce flooding within city
No studies prepared based upon Council identified needs
Medium
2.2
Solid Waste
Technical support to identify new/ additional centralised waste collection areas Skip loader and skip containers to increase waste collection capacity - Alternative option of compactor truck and dumpsters to increase collection capacity Provide grants to the Council to procure new vehicles and containers Install a weighbridge to record data Construct a lined landfill cell for industrial and hospital wastes Rehabilitate existing dumpsite and install liners and gas/ leachate 11.7
Medium / Strong
Improvement in the collection and disposal of solid waste needed. Current city centre landfill is major environmental and health hazard. New site needed
Major Investments in solid waste are required no support studies or definite plans available
Short / Medium
1.5
26
Utility Staircase option selected for 13,700 inaccessible properties in informal areas this is likely to be a significant overestimation so actual costs may be considerably lower.
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Discipline
Item management systems and construct new landfill cells Construct new sanitary dumpsite for the Ilemela Council. Design and engineering of the facility. Develop a WEEE recycling and reprocessing facility in Mwanza Construct a dedicated lined hazardous waste landfill cell at the proposed new landfill facility and existing dumpsite
Proposal Details
Status of Works
Required Timeframe
28.0
All
Capacity Building
2.00
Strong
Training and assistance is needed to ensure benefit from proposed investments is achieved
Detailed Needs Assessments required as first step
Short
Total Mwanza
162.70
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Discipline
Item
Proposal Details
Status of Works
Required Timeframe
Musoma
Supply of materials, pipes, fittings, replacement valves, etc Supply of consumer meters Water MUWASA need Waste Control Unit Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Construction of town centre sewerage system and waste treatment ponds Construction of VIP toilets Sewerage Servicing On-Site Sanitation Capacity building Procurement of Exhausters Master plan study for Musoma Sewerage Construction of new stone pitched open drains Construction of an overflow drain culvert to drain Kitaji pond to lake Victoria Urban Drainage Recreation of Kitaji pond Construction of 900mm diameter concrete culverts in some selected problematic areas Construction of 600mm diameter culverts in problematic areas Construction of centralised waste collection points Construction of land fill Solid Waste Capacity Building Procurement of refuse collection equipment Further studies and pilot projects All Capacity Building 1.1 Training and assistance is needed to ensure benefit from proposed investments is achieved Detailed Needs Assessments required as first step 2.0 Medium / Strong Improvement to waste collection systems and landfill disposal site Will require some studies and designs Short 3.1 Low / Medium Rehabilitation and expansion of storm drainage to reduce flooding within city 1.3 2.7 Medium 11.0 Provision of city centre sewerage and improvements to the sanitation generally note if the sewerage isnt taken forward there is a pressing need for the construction of the digester 1.0 Strong Supports actions on NonRevenue Water particularly physical losses and provides MUWASA with the tools to improve operational performance of the system A network model was prepared but not handed over under the AFD project. GIS/mapping project ongoing no status report available
Immediate
Designs prepared under AFD project status of tender documents not known
Short / Medium
Proposals from Municipality no designs or studies carried out
Short
0.5
Strong
Short
Total Musoma
22.72
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Discipline
Item
Proposal Details
Status of Works
Required Timeframe
Bukoba
Supply of materials, pipes, fittings, replacement valves, etc Supply of consumer meters Water BUWASA need Waste Control Unit Assistant with set-up of WCU including undertaking network modelling, GIS database records, waste control DMAs etc Construction of town centre sewerage system and waste treatment ponds Construction of long lasting VIP toilets and improvement of poorly constructed toilets through sanitation health programme Sewerage Design and construction of a sludge digestion and disposal facility Procurement of Exhausters Capacity building Master plan study for Bukoba Sewerage Construction of new stone pitched open drains Urban Drainage Construction of diameters 600 to 1200mm concrete culverts in some selected problematic areas Lining of Kanoni river draining into lake Victoria. Construction of centralised waste collection points Construction of land fill Solid Waste Procurement of refuse collection equipment Capacity Building Further studies and pilot projects All Capacity Building 0.50 Strong Training and assistance is needed to ensure benefit from proposed investments is achieved Detailed Needs Assessments required as first step Short 0.9 1.2 Medium / Strong Improvement to waste collection systems and landfill disposal site Will require some studies and designs Short 2.8 Low / Medium Rehabilitation and expansion of storm drainage to reduce flooding within city Proposals from Municipality no designs or studies carried out Short 2.1 9.6 Medium Provision of city centre sewerage and improvements to the sanitation generally note if the sewerage isnt taken forward there is a pressing need for the construction of the digester 1.0 Strong Supports actions on NonRevenue Water particularly physical losses and provides BUWASA with the tools to improve operational performance of the system A network model was prepared but not handed over under the AFD project. GIS/mapping project ongoing no status report available.
Immediate
Designs prepared under AFD project status of tender documents not known
Short / Medium
Total Bukoba
18.13
Page 209
Discipline
Item
Estimated Cost million 7. 6 11.8 6.7 0.4 0.5 0.4 0.6
Justification for Intervention Strong Strong Strong
Proposal Details
Status of Works
Required Timeframe
Satellite Towns, Misungwi, Magu, Lamadi

Water Provide New Water Supply system for Misungwi Provide New Water Supply system for Magu Provide New Water Supply system for Lamadi Provide Sludge Pond/Digester and exhauster for Misungwi Provide Sludge Pond/Digester and exhauster for Magu Provide Sludge Pond/Digester and exhauster for Lamadi All Capacity Building New Intake, Treatment Plant, Rising Main, Service Reservoirs, Distribution System and Connections Digester for the treatment of onsite latrine and septic tank sludges and exhauster facilities Training and assistance is needed to ensure benefit from proposed investments is achieved Studies and Designs prepared but not considered acceptable expensive and over engineered schemes Short Short Short Short / Medium Short / Medium Short / Medium Detailed Needs Assessments required as first step Short
Sanitation
Medium
Outline proposals only
Strong
Total Satellite Towns
28.0
Page 210
Appendix A8
A.8. Project Status Report
State of Preparation and Contracts for Planning, Design and Supervision Note this Annex was prepared post PFS in discussion with EIB and represents the state of the Project in August 2012.
Contracting Authorities: MoW: Ministry of Water MWZ: MWAUWASA Mwanza Urban Water and Sewage Authority EIB: European Investment Bank
Grant-financed TA / monitoring contracts: LS: Lenders Supervisor MPTA: Master Plan TA BMPTA: Bukoba Master Plan TA
Loanfinanced contracts for Detail Design, Tender Documents and Supervision Water40Sup: Supervision of low regret 40% of existing detail designs for water investments in Mwanza Water60Eng: Detail design, tender documents and supervision of 60% of water investments in Mwanza WWEng: Detail design, tender documents, supervision and post-commissioning for of Igoma, Mabatini and Isamilo wastewater systems SchoolWASHSup: Supervision contract for supervising approx.. 3 construction contracts for School toilet blocks POYRYEng: Contract for improvement of detail designs for Musoma City center sewerage and supervision (unfunded contract for supervision already exists as part of the 7 towns programme) MisungwiEng: Detail design, tender documents and supervision of all Misungwi investments MaguEng: Detail design, tender documents and supervision of all Magu investments TBD: To be discussed/decided N/A: Not applicable
All figures are excluding financial and scope contingencies
Page 211
Works and Materials
Tender Documents
Description with main indicators used as basis for costing.
Status and usability of design (who made it, level of design, usability, specific comments/issues)
Notes on TA for Planning and Detail Design Detail Design
Eng (DD Supervision)
Supervision MWZ + LS Water40Sup
MWANZA Water
Remodelling of the outlet pipework and flowmeters at Capri Pt WTW Investigate air locks and low suction pressures in distribution system
Needs detailed studies / analysis and designs conceptual only from PFS
Supervision by MWAUWASA staff (mainly equipment installation) under monitoring by Lenders Supervisor
MPTA (Templates by LS)
Philosophy behind layout and pressure zoning not explained so Phase 1 Works will be selected as low risk (future proof, fairly small diameter network extensions) supported by on-going conceptual review. Overall quality of design detailing prepared to date is poor.
Contract under loan for supervision, with significant involvement of MWAUWASA because of simplicity and mostly small diameter pipes.
Page 212
DUNEA for NRW
Expansion and improvement of the water distribution network - no regret Phase I (40%)
40% of 100km of distribution mains and service connections including 2 new pumping stations and reservoirs
MPTA
9.6
0.8
0.8
Designs and tender documents prepared by Donconsult / CEC under WSDP - will require conceptual and detailed review since justification for works not elaborated.
Master Plan TA for extracting from existing design as future proof work (NRW focus also to be a criterion) for immediate implementation and for limited update of the detail design and incorporation into Tender Document (template prepared by Lenders Supervisor).
DUNEA
Quick win operational improvements on water supply
MPTA
MPTA
New pump-set and surge protection at Capri Pt intake
0.5
0.5
Issues identified by PFS.
Master Plan TA (or earlier smaller consultancy through Cotenou Facility / EIB PJ budget) in cooperation with MWAUWASA
Operations Assistance
Budget
Water60Eng (Templates by LS)
Overall quality of design detailing prepared to date is poor likely to require redesign based on finding of the Master Plan and review. Land acquisition needs to be undertaken for new works / reservoirs and pump stations.
Supplies to unserved area i.e. those above the hydraulic level of the existing network Equipment supplies and other operational improvements of water system Parts and fittings to be identified during studies necessary to improve operational performance of the existing system Approx 5000 additional house connections where distribution system already exists. 1.3 1.3 0.1
MWA+DUNE A+MPTA
MWZ + LS
MWZ TBD/ MWZ
LS + MWZ for standard drawings / contractor for asbuilt
LS + MWZ
MWANZA Wastewater
Page 213
DUNEA
Water connections
0.6
Specific designs not required resolved on site by construction supervisors to standard details. Template design needed.
MWAUWASA, supported by Master Plan TA, will plan roll-out and connection strategy/business plan. The Lenders Supervisor TA will be preparing Template Designs together with MWAUWASA in conformity with Tanzanian standards.
DUENA
None.
Details to be prepared based on studies / findings under Master Plan TA and DUNEA recommendations
DUNEA for NRW
Expansion and improvement of the distribution network Phase II, following master planning and modelling (60%)
60% of 100km of distribution mains and service connections including 2 new pumping stations and reservoirs
Water60Eng
Water60Eng
14.6
13.2
1.5
Designs and tender documents prepared by Donconsult / CEC under WSDP - will require conceptual and detailed review since justification for works not elaborated.
Master Plan TA for planning, modelling and preparation of preliminary designs.
MWZ andCity in cooperation with contractor s and SchoolWASHSup
LS +UN-HABITAT for standard designs/guidelines to be customised during design by City-MWZ task force and construction
City/MWZ task force + LS WWEng
LS +MWZ
Sanitation for informal settlements and public facilities
Approx 20 toilet blocks and condominial-type collection systems for approx. 100,000 people in low income areas, based on approx 150 collection sub-systems
Template designs for collection and storage systems need to be prepared and agreed with stakeholders. The designs will be customised and refined during implementation.
The establishment of approaches, project/community management and standard designs will be supported by UNHABITAT. Individual solutions will be prepared by a City-MWZ sanitation task force (City: tenure & permanency / MWZ: technical feasibility & operability), supported by 1-2 engineers supplied under the LS. Community involvement required for definition of individual solutions for land and access issues and perhaps operational support.
Conceptual designs only under PFS and C Lotti Sewerage plan (2006). Designs prepared under WSDP by Donconsult / CEC for ponds based on tankered waste only - considered inappropriate.
Page 214
Contractor + DUNEA
Sewer system with ponds for Igoma and sewer network for Mabatini and Isamilo
Approx 10 km of trunk sewer, 30 km of feeder sewers, pumping stations and WWTP for Igoma (Mabatini nd Isamilo will feed into existing system)
WWEng
WWEng
12.9
11.6
1.3
No appropriate designs available for implementation.
Master Plan TA.
TDB
7.3
6.4
0.9
Some existing designs have been prepared for sludge collection pipes in a few locations. These may be used for piloting in some locations.
Priority areas and initial pilot locations under discussion with the City. Overall framing of which areas to be able to access network and which areas to be reliant on communal sludge storage to be carried by Master Plan TA.
SchoolWASHSup
N/A
LS
Sanitation for schools
Approx 250 toilet blocks for schools
5.8
5.1
0.7
Numerous examples are available from work carried out by MoH, Poyry, Donconsult, etc. as well as on projects carried by UNICEF and in other countries (eg. Kenya). Template designs need to be prepared and agreed with stakeholders, particularly the Ministry of Health in liaison with the City Health Officer.
Overall prioritisation and planning is to be carried out by the City. Work schedule is to be set out by joint City-MWAUWASA task force with support from the Lenders Supervisor. Template designs and tender documents will be prepared by Lenders Supervisor and City/MWAUWASA. Customisation will take place during implementation based on template BoQs and consultations with parents, school management and SCHOOL WASH expert (under LS).
LS + MWZ for standard drawings / contractor for asbuilt
LS + MWZ
Need to finalise connection and charging policy.
MUSOMA
Page 215
TBD
N/A
Wastewater connections
3000 additional service connections to existing wastewater network that is underutilised.
0.6
On site designs to standard details.
MWAUWASA, supported by Master Plan TA
DUNEA
Operational improvements for Ilemela WWTP and catchment
Modifications to inlet works and reconfiguring pond layout as required
MPTA
MPTA
MZA
1.0
0.9
0.2
None.
Master Plan TA will support long-term operational optimisation of the Ilamela ponds, including various physical measures and catchment investigations. Designs are available by Poyry for the executed recently refurbished works modifications are dependent upon detailed investigations of performance.
POYRYEng
POYRYEng
WWTP site close to lake level so needs geotechnical review. Land for WWTP has not been acquired but earmarked by the council. No land acquisition for pumping stations yet Design can be improvements: used after some
Realignment of the ponds, reconsideration of the pump stations and pump systems Theres a need for a detailed property survey to confirm property drainage points before sewer designs (levels) are confirmed. House connections are not necessarily straightforward and will require the resources of a contractor to construct (so should be included under the construction contract)
Theres a need to ensure proper commissioning and utilisation of the system after final construction so there should be an additional requirement on the supervision consultant to oversee initial operations POYRYEng POYRYEng POYRYEng On-site sanitation: VIP toilets, a sludge digestion and disposal facility and new exhausters Toilet blocks for schools and public places plus facilities for low income areas required quantities to be determined. N/A 3.1 Template designs exists, prepared under the WSDP project by Poyry / DCL, but could be reviewed in coordination with template designs for Mwanza. Poyr y and MoW need to review scope. Number of installations needs confirmation following site survey. The philosophy for the low Income Areas need reviewing in context of ingoing development trends (upgrading).
Page 216
POYRYEng
Contractor
City Centre sewerage and treatment plant, plus assistance post commissioning
Approx 30 km of gravity sewer, 5 km of pressure sewer, 4 pumping stations and WWTP for 5,500 3 m /day.
11.1
10.0
1.1
Detailed design exists, prepared under the WSDP project by Poyry / Donconsult. (Also includes water supply in Mugumu, Bunda and Tareme plus Mugando/Kiabakari National Project.)
Equipment and software for operational improvements of water supply
Parts and fittings identified during studies necessary to improve operational performance of the existing system
TBD
TBD
BUKOBA
City Centre sewerage and treatment plant, plus assistance post commissioning
Approx 23 km of gravity sewer, 3 km of pressure sewer, 2 pumping stations and WWTP for 4,500 3 m /day.
BMPTA
TBD
TBD TBD TBD
Potential problems over the availability of land for WWTP current site <4Ha BMPTA TBD N/A N/A 3.1 Outline proposals only prepared under 7 towns project Template designs should be coordinated with Mwanza designs. Number of installations needs confirmation following site survey. The philosophy for the low Income Areas need reviewing in context of ingoing development trends (upgrading). 0.6 None. To be prepared by Bukoba Master Plan TA and Technical Advisor under on-going AFD project To be prepared by Bukoba Master Plan TA, separate from Master Plan TA for Mwanza
On-site sanitation: VIP toilets, a sludge digestion and disposal facility and new exhausters
Toilet blocks for schools and public places plus facilities for low income areas required quantities to be determined. Estimation based on figures for Musoma.
Equipment and software for operational improvements of water supply
Parts and fittings identified during studies necessary to improve operational performance of the existing system
BMPTA
SATELLITES
Page 217
TBD
TBD
8.2
7.4
0.8
Outline designs prepared by Poyry under seven towns upgrading project. These will need complete rethink to provide a better hydraulic solution.
To be prepared by Bukoba Master Plan TA
TBD
N/A
0.6
None.
Details to be prepared based on studies / findings under the existing AFD project Technical Advisor
MisungwiENg
MisungwiENg
MisungwiENg TBD MaguEng
New outline design carried out for conceptual and budgeting purposes prepared under follow-up consultancy for Project Formulation Study in consultation with MoW. New detailed designs are required including creation of a high zone, treatment plant and reservoir(s). Designs for completely new scheme prepared Donconsult / DCL under WSDP Urban Programme. These are not considered appropriate due to the cost and technical quality. New outline design carried out for conceptual and budgeting purposes prepared under follow-up consultancy for Project Formulation Study in consultation with MoW. New detailed designs are required for whole lower cost scheme (reduced CAPEX scenario).
MaguEng
TBD
New outline design for conceptual and budgeting purposes prepared under follow-up consultancy for Project Formulation Study in consultation with MoW. Detailed designs required for lower cost scheme (reduced CAPEX scenario).
Page 218
TBD
TDB
Lamadi
Reduced Capex scenario: New intake, 2110 m3/day plant, pumping station and 6.4 km 200 mm rising main, 1000 m3 reservoir and 30 km distribution
New designs prepared under WSDP Rural programme in 2011 by Cowi these are not considered appropriate because of cost and technical quality.
TBD how planning TA will be provided
MaguEng
TBD
Magu
Reduced Capex scenario: New intake, 4500 m3/day plant, pumping station and 13.5 km 300 mm rising main, 2200 m3 reservoir and 60 km distribution.
Master Plan TA will set out long-term concept and short term plan in collaboration with MoW, taking on board PFS findings
TDB
Misungwi
Reduced Capex scenario: Upgrading existing scheme to maximise capacity of 'new' transmission main, with new 1940 m3/day treatment plant, pumping station, replacement of first 2.5 km rising main with 300mm, new 1000 m3 storage and 50 km distribution.
Designs for completely new scheme prepared Donconsult / DCL under WSDP Urban Programme. These are not considered appropriate due to the cost and technical quality.
Master Plan TA will set out long-term concept and short term plan in collaboration with MoW, taking on board PFS findings
Phil Sutherland W S Atkins International Ltd Woodcote Grove Ashley Road Epsom Surrey KT18 5BW England
Email: phil.sutherland@atkinsglobal.com Telephone: +44 (0)1372 726140
Atkins Ltd except where stated otherwise.

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PROJECT FORMULATION REPORT PART 1 - MAIN REPORT

WS Atkins International Ltd in association with Matrix Development Consultants

European Investment Bank

Project Formulation Report Main Report

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

European Investment Bank

Project Formulation Report Main Report

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

Acronyms and Abbreviations

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

Proposed Medium Term Investment Programme

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

included in the above item

Formulation of Priority Short Term Investment Programme

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

The overall estimated cost of the investment programme is summarised below.

Kisumu Mwanza Musoma Bukoba Total

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

Financial and Economic Analysis

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

5099279/70/003/Main Report - Final

European Investment Bank

Project Formulation Report Main Report

5099279/70/003/Main Report - Final

ENTEBBE INTERNATIONAL KISUMU

MUSIARA MARA SERENA

MWANZA Magu Kahangara

DATE FIGURE CREATED

FIGURE NUMBER & TITLE

Major water bodies Major watercourses

River Nile Basin National Borders