February 2014: The World Bank’s Water and Sanitation Program (WSP) released a report, titled ‘Do pro-poor policies increase water coverage? An analysis of service delivery in Kampala’s informal settlements,’ which highlights the gains and challenges of Uganda’s National Water and Sewerage Corporation (NWSC) pro-poor service delivery, discusses factors that contribute to successful service delivery outcomes, and formulates recommendations.
To achieve 100% coverage for water supply and sanitation (WSS) in urban areas by 2015, NWSC adopted three pro-poor measures. First, the affordable connections policy aimed to increase coverage by lowering the connection fee cost for customers within 50 meters of the water main. Second, NWSC shifted from a uniform tariff structure to a differentiated structure for domestic and non-domestic customers, and public water points (PWPs), thereby promoting equity in pricing and supply across domestic, commercial, government and industrial sectors. Third, a pro-poor targeting project subsidized water supply connections in poor settlements.
Factors that contributed to the project’s success include: improved financial sustainability and operational efficiency; more affordable connections; increased PWP access; creation of a pro-poor branch; an affordable tariff; geographical targeting; and prepaid water metering.
According to the report, despite discounted household connection costs, the price represented 74% of poor households average monthly income and remained a “significant barrier to access.” Additional challenges included non-payment of water bills, resulting in disconnections, and the piecemeal nature of water main extension projects.
WSP’s recommendations focus on measures NWSC can implement alone, ones NWSC can implement with government approval or support, and measures beyond NWSC’s control. For instance, the report recommends NWSC, inter alia: develop a long-term strategic business plan; set clear pro-poor targets; initiate a new connection fund; and improve marketing and availability of prepaid tokens. Broader recommendations include addressing barriers to access caused by the land tenure system, and adopting a policy for closing or rehabilitating unsafe alternative water sources in poor settlements.
The report includes an executive summary, an introduction, an overview of the water supply context in Kampala, a section on urban water sector policy and strategy for improving services to the poor, analysis of the impact of the pro-poor policies on the poor in Kampala, conclusions and recommendations for further study. [Publication: Do Pro-poor Policies Increase Water Coverage? An Analysis of Service Delivery in Kampala’s Informal Settlements] [WSP Website]