Water and Sanitation Program Fiscal Year 2006 End-Year Report (July 1, 2005 June 30, 2006)

Transcription

1 World Bank 1818 H Street, N.W. Washington, D.C voice +1 (202) fax +1 (202) Water and Sanitation Program Fiscal Year 2006 End-Year Report (July 1, 2005 June 30, 2006) 1. Introduction This End of Year Review (EYR) report summarizes the results achieved during FY2006 (July June ). The report provides an assessment of the extent to which the targets of the FY06 Business Plan were achieved and draws lessons for strengthening implementation for the current year. The EYR provides the critical link between the FY06 and FY07 business plans and ensures coordination, linkage and continuation between the two fiscal years. The report provides an overview of WSP s achievements along the main thematic areas of the business plan, a summary status of project delivery, budget expenditures, new funding and human resources. Finally, the report provides a description of the main results in WSP focus countries (Annex 1). At the end of the Fiscal Year in June 2006, the WSP work program included 114 multi-year projects with an average expenditure of approximately US$189,000 per project. The total expenditure at the end of the FY was $21.6 million against an initial budget of $23.4 million. The review shows that the portfolio expanded by about 16% (from 98 projects at the end of FY05) while the expenditures increased by about 23% between the two fiscal years. This expanding trend is expected to continue into FY07 and beyond, arising mainly from the urgent need for strengthened support to countries to make progress towards the MDGs combined with additional support from donors. To adequately respond to this expanding portfolio, WSP hired in FY06 high-caliber staff and embarked on significant efforts to design and implement more effective systems to plan, implement, monitor, and report on outcomes and results. 2. Status of Implementation at the end of FY2006 This section highlights the main activities and results achieved from implementation of the business plan during the year, along the key themes under which the various projects fall, but based on specific actions and progress at country level. This thematic format for progress reporting is a departure from the past when reporting was based on specific and individual projects. Thematic reporting has the advantage of capturing the program s activities and results in a more comprehensive manner as well as strengthening cross-regional learning and sharing among staff and ultimately with clients. This format was used for progress reporting to the 2006 WSP council meeting and was a superior format than the project-based one. The Council also endorsed this reporting format. 2.1 Roadmaps for Sector Development: The objective is to support country dialogue, develop policies and financing strategies to stimulate sector investments to achieve national targets and the MDGs. MDG roadmaps were completed for all focus countries in Africa and for Honduras and Nicaragua in Latin America as well as scale-up action plans for Indonesia and states in India. WSP also completed Country Status Overviews (CSOs) for 20 African countries, as a flagship product. The Country Status Overviews report on WSS MDG achievement by seeking to bring

2 together current data that sector leaders and support agencies can use to assess progress and have a comparative basis for sharing country experiences and identifying corrective action. WSP also worked with the government in Indonesia to develop Sector Action Plans and financing strategies including city-wide strategies for scaling up sustainable sanitation. WSP provided programmatic support to RWSS in India by completing sector assessments and sector transformation plans that leveraged more than $1billion from the Government of India, States and donors. The focus for FY07 will be to prepare annual reports on progress on WSS MDG roadmaps in Africa, strengthen M&E and capacity building in all the regions, continue reform advocacy with central and local government agencies, and carry out more MDG advocacy work and visioning exercises especially in Latin America. 2.2 Large Scale RWSS (Rural Water and Sanitation System) Investments: WSP supported country-led reforms and development of strategies for planning of large scale RWSS investments to leverage resources, improve sector coordination and help to bring donors together to focus their support on government-led programs. WSP has had significant engagement in the development of RWSS investment program and implementation in Senegal and Benin which is contributing to the expansion of the population s access to services in the two countries. In Senegal, access to water supply and sanitation increased from 64% and 17% in 2004 to 67% and 20% in 2006, respectively and is expected to further increase to 77% and 44% by In Benin, access to improved rural water supply increased from 35% (2002) to 46% (2006) and is expected to reach 55% by Program activities also included support to development of RWSS reform programs in India, leading to increased investments from the Government of India and donors. In Indonesia, WSP supported policy reform implementation which has been able to leverage investments from the World Bank, the Asian Development Bank and the government. This has led to scaling up of RWSS implementation in 80 districts out of 400. Preparation of a SWAP, and a sector financing strategy has been completed under the Bank-funded PAMSIMAS (Community Based Drinking Water and Sanitation Services) which will also finance scaling up of community based water supply and environmental policy implementation in 15 out of 23 provinces. In Latin America, WSP supported the transition from pilot to RWSS program in Peru through the IDA-funded PRONASAR which increased coverage of the rural population by more than 30%. RWSS has been WSP s most mature area of work and has been able to show results over the years. The focus going forward will be to: (a) continue strengthening local governments to plan and monitor RWSS activities and to develop incentives for reforming local governments, (b) develop tools for M&E of impacts; (c) strengthen sustainability of services by identifying alternative management arrangements/models; (d) examine options for responding to the needs of dispersed communities; (e) identify new and innovative areas/topics, and (f) strengthen documentation and sharing of lessons. 2.3 Domestic/Local Private Sector: This initiative seeks to leverage more financial and technical inputs from the domestic private sector to expand services especially to the poor in rural areas, small towns, and peri-urban/slums in urban areas. WSP work has focused on two primary areas of action needed to unlock the market, developing the capacity of the supply and demand sides of the market, and promoting an enabling environment for domestic private operators, During the FY, WSP engaged in a wide range of innovative activities to: a) create an enabling environment for small providers (Philippines, Lao PDR, Cambodia); 2

3 b) pilot private operation of small towns (Vietnam, Peru, India and Bangladesh); c) improve efficiency of borehole drilling through the Drilling Entrepreneur Support Initiative (Africa); c) introduce innovative management models through partnerships between utilities & informal/small providers (Kenya, Tanzania); d) design OBA schemes (Kenya), design-operate and lease contracts (Bangladesh); e) transition from government ownership and operation to private sector and joint stock companies (Red River Delta, Vietnam); (f) develop large scale PPPs with pro-poor focus (Delhi, Bangalore, Goa and Dar-es- Salaam) and in towns (Burkina); and (g) strengthen action planning to improve services to the poor (Seven Cities in LATIN AMERICA). WSP will continue to document and disseminate successful experiences from implementing these and other activities and to support scaling up of domestic private sector engagement as a means of expanding access to reach the MDGs. Other areas needing focus are to: (a) develop innovative models for reaching the poor in large cities and design pro-poor components in large scale investments; (b) support development of large scale domestic private sector operators to enable them partner and compete for contracts in large cities; (c) strengthen awareness on the need for reform and the risks of not serving the poor; and (d) continue to advocate for a bigger role for the local private sector and prepare clients to counter misinformation Sanitation and Hygiene: Under this theme, program activities have focused on behavior change and informed choice, promotion of small-scale providers, development of enabling environment to increase access to finance and involvement of local stakeholders, and development of strategies to raise the profile of sanitation and attract investments. WSP supported implementation of Community-Led Total Sanitation in India, Bangladesh, Pakistan, India and Indonesia) where national policies and fiscal rewards are incentivizing rapid scale up, resulting in significant impacts. Coverage in Bangladesh has increased from 33% (2003) to 70% (2006). A study to evaluate health impacts of behavior change in India is underway where initial findings show that collective behavior change has an influence on changing perceptions and sanitation behavior at the household level. In Latin America and Africa, program activities have focused on development of sanitation marketing by promoting local businesses and behavior change. WSP will continue to have significant engagement in organizing and supporting regional conferences (AfricaSan +5, SacoSan II, EASan, LatinSan) to highlight the importance of sanitation. One area that WSP needs to look more into is identifying approaches to scale up sanitation in low income urban areas/slums. The Public-Private Partnership for Hand Washing has had a successful year with a near tripling of the number of country-level programs and strengthening of existing ones. The Secretariat s activities have contributed to increasing the profile of HW amongst both the global public health and water communities. The Secretariat created the first ever PPPHW at the Global Health Council and American Public Health Association and is playing a key role in advancing development of indicators for HW. The threat of a global Avian Flu pandemic provided the Secretariat with an opportunity to showcase the advantages of hand washing as a rapidly implementable, low cost form of prevention. The Secretariat was able to provide the World Bank and WHO Avian Flu teams with timely and relevant information on HW as a first line defense against pandemic flu. The Secretariat s 3

4 advocacy activities have also continued to leverage new funding and partnerships (USA, Irish Aid, Danida Vietnam). 2.5 Country M&E systems: Activities under this theme seek to increase accountability and improve provision of WSS services by helping clients to develop systems for sector implementation and results monitoring. Demand for support to develop M&E system has been growing steadily as pressure to meet the MDGs increases. During FY06, WSP worked with clients to develop Sector Information Management Systems (SIMS) and organize regional dissemination of best practice in Peru as well as other countries in the Latin America region and in Africa in support of the Country Status Overviews and MDG roadmaps. WSP is also in the process of elaborating a concept note on M&E upon request from the African Development Bank, the EU and the World Bank. In India, WSP designed M&E systems for RWSS which are now being piloted in four states. As part of its support to the JMP, WSP, together with UNICEF, carried out RWSS sector assessments in 22 Indian states that uncovered inconsistencies between HH survey data and government data, leading to broader reflection and elaboration of a set of benchmarks for the RWSS sector. Activities also included benchmarking 13 utilities to each other and to best practice in South Asia and benchmarking of small providers (Philippines and Vietnam). These positive experiences are leading to institutionalization of benchmarking in the region. The IBNET database was launched during the FY and provides access to a large dataset of water utility performance data. The database currently has data available for about 1,800 utilities in more than 70 countries. Use of the IBNET database has increased dramatically, with hits now standing at about 75,000 per month and cross referencing in more than 60 websites. 2.6 Finance and anti-corruption: The goal of activities under this theme is to improve the efficiency and effectiveness of resources, strengthen integration of WSS into national budgets and poverty reduction strategies, develop innovations to leverage local domestic resources, and reduce financial leakages. Support included: (a) mobilization of private sector/market-based resources (Bangladesh, Philippines, Kenya); (b) design of municipality-operator contracts (Peru), pro-poor tariff and subsidies, guidelines for financial planning and efficiency improvement (Delhi and Bangalore); (c) design of fiscal mechanisms to provide incentives for sector institutions and service providers (India); (d) development of sector information and monitoring systems (Africa and Latin America); (e) development of fiscal incentives to stimulate outcomes in rural sanitation and services to the urban poor (India, Pakistan, Bangladesh), and (f) development of tools to improve sectoral allocations and strengthening the budget process (Kenya). On anti-corruption, WSP prepared a framework paper diagnosing corruption in the sector and was among the founding partners of the Water Integrity Network. WSP also participated in the first high level meeting on anti-corruption in the sector together with the World Bank and Sida in Uganda, implemented activities to strengthen consumer/citizen voice as a tool in fighting corruption (India, Kenya), and developed the widely disseminated Cartoon Calendar with corruption as the theme. Going forward, WSP will also work to ensure stronger integration of the anti-corruption work into the broader context of support to reforms, policies and strategies and to strengthen collaboration with the Bank s activities in this area. 2.7 Global Practice Teams: WSP established Global Practice Teams (GPTs) in FY05 to enhance global knowledge management and learning and to strengthen influence on the Bank 4

5 and other IFIs. During FY06, GPTs built cross-regional teams and continued implementation of their work programs in: a) Communications: cross-regional learning on how to support strategic communications in client countries b) Finance: improving the efficiency and effectiveness of public financial management practices and leveraging additional resources for WSS financing c) RWSS: Multiple use of domestic water, to establish the links with poverty reduction and improved sustainability d) Sanitation and Hygiene: sustainability of changed behaviors under different sanitation and hygiene approaches and programs e) Urban WSS and the poor: reforms to support service expansion for the poor, develop modalities for linking local private operators to utilities and municipalities and strengthen the role and voice of the poor During FY06, GPTs strengthened links with other organizations and started to share and disseminate their work by participating in national/regional/international fora (the finance GPT participated in the regional Conference on Water Financing held in Philippines; the finance, sanitation and hygiene and the urban WSS GPTs prepared WSP s presentations in Mexico). The WSP Council gave strong endorsement to the GPTs as a means of strengthening global learning and recommended enhancement of their analytical capacities Development Marketplace 2006: WSP and ESMAP were the technical partners for the 2006 Development Marketplace (DM). The DM focused on basic needs for clean water, hygiene, sanitation and access to energy. A total of 2,525 proposals were received, the bulk of which related to water (45%) and sanitation (27%). Thirty innovative projects (14 from Africa) were awarded $5million. Examples of the winning projects included: (a) pro-poor demand creation in Bolivia; (b) providing rope pumps in Cambodia; (c) local Water Pyramid in the Gambia; and (d) Roof water harvesting in HIV/TB Households in Uganda. The winning projects are expected to provide concrete benefits to their communities and beyond through implementation of the approved activities and replication of lessons learnt. WSP and ESMAP will provide supervision support in the implementation phase to ensure that the projects are implemented as planned and that lessons are well documented and disseminated. 2.9 Efficiency and Streamlining of WSP & ESMAP: The World Bank carried out a business efficiency review in 2005 which identified opportunities to merge common support functions by pooling teams and streamlining procedures among global programs. Arising from the recommendations of the review, the efficiency and streamlining process between WSP & ESMAP was launched in Nov This process led to the streamlining of: (a) the management of WSP and ESMAP under one Program Manager; (b) financial management under one Resource Management Officer; (c) communications and knowledge management under a joint Communications Officer; (d) HR activities into one team under a joint HR Officer. Work program activities for domestic private sector and SMEs will also be streamlined under one Financial/SME Specialist whose recruitment is to be finalized during the first semester of FY07. Both programs are also working to strengthen and possibly integrate their M&E systems with a focus on strengthening monitoring and reporting of outcomes and results. Highlights of progress 5

6 on the streamlining were presented to the Council meeting in June 2006 and a progress report covering the period up to July 31, 2006 has recently been circulated to the donor councils of both programs. Further streamlining of functions may be reviewed arising from the integration of the Infrastructure and the Environmentally and Socially Sustainable Development that was announced by the President of the World Bank in June This integration presents special opportunities for ESMAP and WSP to leverage its activities across sectors that are naturally related to its activities, such as environment and social development. During the second semester of 2006, the programs will be exploring ways to leverage these opportunities and push innovations in order to provide better support to client countries Developing a new Strategy for WSP: WSP is in the process of developing a new strategy to cover the period The new strategy articulates institutional and behavior change as the key to moving to more effective and efficient services provision. The strategy will focus on achievement of the MDGs, scaling up of sustainable WSS services provision, and on poverty reduction, working along the following broad themes: (a) Governance: regulations, institutions, accountability, participation, decentralization, gender, and anti-corruption; (b) behavior change: sanitation demand generation, hygiene hand washing, conservation, gender; (c) finance: fiscal transfers, leveraging additional resources, economics; (d) improved service providers and options: sustainability, environment, domestic PSP, technologies, approaches to pro-poor services; (e) programmatic approaches: scaling up programs, harmonization, M&E, MDG roadmaps, sector development plans, SWAPs, PRSPs; and (f) cross sectoral linkages: urban governance, rural development, health, education, water resources management, gender, climate change, energy. WSP presented an overview of the strategy at the June 2006 council meeting. As a step towards further development of the strategy, WSP has recently circulated an updated draft of the strategic operational principles for discussion with the donors who will be attending the 2006 Stockholm Water Week. WSP plans to finalize the strategy in the first semester of FY Improving outcome and results monitoring of WSP s work program: Building on the improvements started in FY05, WSP has taken significant measures that will lead to the design and implementation of an integrated M&E system to strengthen the capture and aggregation of outcomes at country, regional and global level, using an innovative methodology storylines and ratings. The new system would in particular, focus on outcomes and results, linking them to WSP s mission and strategy, through the balanced scorecard, and strengthen the capacity of staff to undertake M&E and deepen the results culture using storylines. WSP commissioned a firm, ITAD of UK, to: (a) identify strengths and gaps in the existing M&E system, (b) develop storylines as an alternative and complementary methodology to the log frame; (c) develop and deliver a training package to staff to build their skills and provide them with the tools needed to use the enhanced system; and (d) provide suggestions on how to use the information generated from the M&E system to improve delivery of services. The enhanced M&E system will be grounded in storylines at activity, project, country, regional and global levels to clearly elaborate: 6

7 (a) the problems that WSP is seeking to address, (b) strategies to address the identified problems, and (c) evidence of success and what is happening on the ground including performance indicators. The enhanced M&E is expected to: (a) allow WSP staff to measure progress against its mission and mandate at every level of the M&E system; (b) enable capture of the effects of integrated initiatives and programs that combine WSP s different products to create solutions for our clients problems; and (c) be credible, transparent and include independent elements (e.g., ex-post evaluations by independent organizations). ITAD made a presentation on the proposed approach to the 2006 Council meeting. The Council supported this initiative and agreed to name key experts from their organizations who are engaged in M&E to work with WSP and accompany the process of completing development of the system. WSP will submit to the Council for information, the updated proposal with a view to piloting the system in one region and rolling it out it the others starting with the FY08 business plan. 3 Delivery Status WSP continues to monitor and report on progress based on semi-annual project level monitoring based on outcome/impact. WSP also maintained a flexible approach during the year to take advantage of changing circumstances and to respond to new opportunities and demands from our clients and partners. Monitoring and reporting based on outcomes will be further strengthened as we move to implement an integrated M&E system that will help to capture and aggregate outcomes at country, regional and global level, using an innovative methodology storylines and ratings. The EYR identified projects: (i) that were delayed and required corrective measures, (ii) whose scope of work required modification, and (iii) that can be expanded based on budget planning for FY07. The review shows that overall, 54% of the 114 projects were progressing well on target while 9% had been completed. For purposes of the EYR, projects are defined as delayed if the delivery of their intermediate outputs is delayed by more than two months and this delay may ultimately jeopardize on-time delivery. The EYR has given an opportunity for WSP management to review the reasons for delays. The main causes included: delays in procurement of consultants and recruitment of key staff unexpected departures of task managers and other key project staff delayed response and action by partner governments, and pace of other partners involved in implementation of projects. WSP has been taking measures during the year that are expected to result in improved performance. These measures include: (a) recruitment of key staff in all regions is largely completed, (b) strengthened procurement through establishment of a procurement task force charged with the identification of an improvement plan as well as regional exchanges to enable mentoring of staff and sharing of successful experiences across regions, (c) strengthened administration by hiring a global administration coordinator and RM officer, (d) building in more realism into the FY07 business plan and strengthening our planning, especially quality at entry. Annex 1 summarizes the main activities and results in WSP s focus countries during FY06. 7

8 4. FY06 Operating Budget and Expenditure As the Table 1 shows, WSP began the year with a budget of US$ 24.3 million, and subsequently revised it upward at mid-year to US$27.5 million. Final disbursements totaled US$21.6 million, very much in line with the projection of $21.8 million presented to the Council. In addition to disbursements, there were some US$ 3 million in commitments at the end of the fiscal year which will be disbursed in early FY07. Table 1: FY06 Budget versus Disbursements (US$ 000) FY05 Midyear Budget Initial Budget Revised Budget at Mid-year Final Disbursements Disbursement rate on initial budget Disbursement rate on revised budget WSP Region Africa % 80% East Asia % 81% South Asia % 77% Latin America % 78% Global % 77% Total % 79% Disbursements continued their upward trend (Table 2 below), with the overall level increasing by 23% over FY05. East Asia showed the strongest growth with a 68% increase, followed by 56% in Latin America and 38% in Africa. Spending in global programs showed modest growth, as the new Global Practice Teams were still in initial stages. In South Asia, disbursements declined somewhat for the reasons cited elsewhere, but were still 35% higher than FY04 and are expected to continue to grow in FY07. Table 2: Disbursement Trends Change on prior year Change on prior year WSP Region FY04 FY05 FY06 Africa % % East Asia % % South Asia % % Latin America % % Global % 2.6 8% Total % % 8

9 5. Fund Raising Activities As proposed in the draft WSP Funding Strategy presented at the June 2005 Council, below is an updated monitoring table (Table 3) on indicators chosen for areas of action as described in Section IV ( Elements of a funding strategy ) of that document. Table 3: Updated monitoring table on Indicators 1 Jul 05 1 Jan 06 1 Jul 06 Higher-level indicators Total funds available and formally pledged (US$ million) (current $53 $66 $57 FY and beyond) Global core funding as a % of total funds available (%) 1 22% 20% 17% Annual WSP spending (US$ million disbursed July June) FY05: $17.5 FY06: $21.6 Intermediate-level indicators Establishment of a multi-donor trust fund (date) TBD Number of funding partners participating in the multi-donor TF (#) --- Establishment of an effective regional/country fundraising support Dec. 06 system (date) Number of successful proposals supported by the fundraising --- support system (#) Number of new funding partners joining WSP (#) 1 (France) 1 (USAid) Funding commitments by new partners since 1 Jul 05 as % of 0.4% 1.2% overall commitment (%) Number of joint proposals/programs prepared with other partner organizations (#) As of 1 July 2006, the level of total funds available and formally pledged to the Program stands at $ 57 million. This is based on actual funds received and undisbursed as of this date, plus additional funding committed through signed legal agreements. Between 1 January and 30 June 2006, the following new funding was secured through signed legal agreements: Australia (AusAid): A$ 400,000 added to existing agreement for South Asia regional core funding. United Kingdom (DFID): US$ 75,000 added to an existing agreement to fund Sector- Wide Investment Financing Tool (SWIFT) finance activities in Mozambique. United States (USAid): US$ 450,000 over 3 years to support the Secretariat of the Public-Private Partnership in Hand washing Fully unearmarked global core funding remains low as a percentage of overall Program funding. Its share slipped further as existing funds were disbursed and new funding agreements during the period were all earmarked in some manner. 1 Core funding for this report has been redefined to include only fully unearmarked global core funding. Data for the earlier reporting periods has been adjusted accordingly. Earlier reports included funding earmarked to regions and to global themes under core funding, but these funds are still restricted in scope, even though they offer more flexibility than narrowly-defined project funding. 9

10 As reported to the Council, progress in establishing a multi-donor trust fund has been slower than anticipated due to accounting issues on regional window earmarking. These should be overcome and a multi-donor trust fund established in the first quarter of FY Human Resources At the close of the FY, WSP had about 85 staff and 45 consultants showing an increase of about 20% since the end of FY05. FY06 has seen significant strategic and coordinated global and regional recruitment in response to: (a) an expanded work program for WSP, (b) streamlining of WSP and ESMAP support functions, (c) strengthening of field presence through recruitment of country coordinators in all regions, and (d) strengthening thematic leadership in the key areas of local urban WSS, sanitation, finance and communications. The recruitment of a SME Specialist is on-going. Some limited recruitment is likely to continue into FY07 in response to the Council s request to strengthen the analytical capacities of GPTs and to replace key thematic leaders that are expected to depart during the first semester of FY07. The list below shows key hires during the last FY. It shows, among others, a strengthening of WSP s in-country presence through recruitment of 9 country coordinators during the FY, and the WSP global team. Iris Marmanillo- Country Coordinator, Peru 07/05 George Kazad Country Coordinator, DRC 07/05 Isabel Blackett Regional Sanitation Specialist, Indonesia and Task Manager ISSDP 08/05 Lydia Kruse Tietz- Resource Management Officer and Global Administration Coordinator 11/05 Nelson Medina Country Coordinator, Nicaragua 11/05 Bruno Mwanafunzi Country Coordinator, Rwanda 11/05 Dilma Flores Country Coordinator, Bolivia 11/05 Samuel Mutono- Country Coordinator Uganda 12/05 Patrick Mwangi- Country Coordinator Kenya - 12/05 Sylvain Migan - Country Coordinator, Benin 2/06 Anup Wadhawan Snr. WSS Specialist, India 2/06 Chris Heymans Senior Municipal Development Specialist 3/06 Seydou Traore Country Coordinator, Burkina Faso - 3/06 Heather Worley Global Communications Officer 4/06 10

11 Annex 1: Results of the Water and Sanitation Program in Focus Countries in FY2006 Main Activities in FY2006 Work Program, including Multi-year projects Results/Achievements Benin Supporting the WS strategy and implementation in Benin Assisting GoB in RWSS communications strategy Burkina Faso Supporting the WSS MDG strategy and action plan implementation Implementing pro-poor strategy and program for towns through local government initiatives Enhancing small and medium private providers (SMPP) capacity for sanitation marketing Democratic Republic of Congo Supporting sector reforms and coordination Ethiopia Preparing regional WSS MDG roadmaps and financing strategy and pushing towards implementation Supporting the implementation and scaling up hygiene and sanitation improvements Kenya Supporting the Kenya WSS MDG Road Map and the WSS sector reform process Developing a strategy for WSS service provision in informal settlements Supporting the sanitation and hygiene policy development AFRICA RWSS strategy adopted by the GoB and implemented in at least 40% of the rural communities in the country. The support contributed to increased access to rural water supply in rural water supply in rural areas from 35% in 2002 to 46% in Working with the Steering committee established by the GoB, drafted an urban water sector strategy which will be submitted to the new government later this year. Contributed/collaborated in a World Bank-funded survey of piped systems with under PSP management with in six West African Facilitated meetings and discussions with Directorate of Hydraulics and other partners to draft communication plan to support the rural water supply program. Working with Danida and GoBF, developed a national WSS MDG roadmap which was officially endorsed and led to the creation of a national coordination committee. Provided technical assistance to two regional project units of a UNDP-funded capacity enhancement program for 6 urban centers which enabled implementation of 60 microprojects. Adoption of the revised policy and regulation by ONEA (utility). Also, 2 local government units established appropriate operating context for SMPP to deliver sanitation products and services. Completed a plan of action for urgent improvement in REGIDESO as well as TOR for carrying out an overall diagnostic for the utility. Both have been endorsed by the government and the utility which has laid a strong foundation for the reform of REGIDESO Prepared a pilot program for support to community based WS which has leveraged funding from Belgium and to be co-financed by DFID and the EU Participated in the review and assessment of the draft Plan for Accelerated and Sustained Development to End Poverty (PASDEP, Ethiopia s PRSP) which articulates the Universal Access Plan for the WSS sector and will provide a basis for the development of regional roadmaps. Provided support to the EUWI country dialogue process and the development of financing strategy which leveraged increased GOE budget allocation for 2007 to the WSS sector. Forged partnerships with USAID/HIP and regional health bureaus to bring about at-scale implementation of hygiene and sanitation. Produced a short documentary film and a field note to capture and disseminate the success story of the Southern Region in the scaling up of sanitation coverage from 15% to 85% in just three years. Developed strategy, action plan and an M&E system for the Water Services Trust Fund which has consistently been increasing funding to community-owned water projects. Supported strengthening of sector institutions identified under the Water Act 2002 through capacity building for all water services boards in budgeting, business and investment planning. Assisted in institutionalizing and implementing WSS delivery mechanisms in informal settlements in Nairobi and Mombasa. Working with the GoK and the Sanitation Working Group, finalized the National Environmental Sanitation and Hygiene Policy which awaits Cabinet and Parliamentary approval Mozambique Building capacity to reach the Completed draft MDG roadmap for RWSS and started preparation of the UWSS section of 11

12 MDGs Supporting decentralized service delivery Strengthening networking and communications Rwanda Supporting the MDG Roadmap process and sector policies Facilitating sector coordination and knowledge sharing and networking Senegal the roadmap. Expanded performance monitoring work to a new project focused on a nationwide Sector Information Management System. Carried out work on drilling costs including identification and engagement of private sector drilling companies which formed an Association of Drillers. Strengthened sector dialogue through active participation in the WSS Working Group; twelve additional actors became involved in the dialogue events, bringing the total to 24. Developed WSS MDG action plan that is currently under implementation and has attracted significant investment from the national budget and donors. Developed a communication strategy and action plan which was issued and validated by the sector communication team. Launched of the WSS sub-cluster and sector coordination is currently under implementation. Supporting the WSS MDG strategy Developed WSS MDG action plan that is currently under implementation and has attracted significant investment from the national budget and donors. Supported the development of a communication strategy and action plan which was issued and validated by the sector communication team. Developing a RWSS policy and program Uganda Supporting the enabling environment for sanitation and hygiene promotion Zambia Supporting the development of a WSS MDG Roadmap and SWAP Supporting the development of tools and systems critical to the implementation of the new RWSS framework Cambodia Strengthening domestic private sector participation Evaluating the effectiveness of household water purification systems Contributed to the development and adoption of sector policy by GoS which centered on the following concepts: a sector-wide approach, strengthening ongoing reforms and a redefinition of the state s role, and sustained financing systems. Has contributed to increased access to RWSS to rural populations Completed a review of RWS maintenance which helped update maintenance policy that was endorsed by GoS across all regions. Supported the development and launch of the Environmental Health Policy and legislation. Contributed to the development of a sanitation management information system with a system for collecting data and software for analyzing information piloted in 8 districts. Worked with the GoU and other key partners in developing a 10-year Improved Sanitation and Hygiene Financing Strategy which was approved by the National Sanitation Working Group. Provided technical assistance in the preparation of the National Rural Water Supply and Sanitation Program (NRWSSP), which was officially launched by GoZ in December Re-engaging with the Bank in RWSS, including the provision of finances to propel the development of the RWSS sub-sector in the new Bank financing to Zambia. EAST ASIA/PACIFIC Initiated the development of a capacity building program for private water operators through a training sessions and feedback workshops involving 62 private suppliers. Supported activities to improve the operating environment for small providers Partnered with UNICEF to complete an evaluation of ceramic water purifiers that will inform government and donor interest in establishing a national verification system for domestic water treatment technologies. Developing a sanitation marketing strategy for both rural and urban areas Produced a sanitation informed choice manual that has contributed to increased interest and activities in sanitation by government and external agencies. External agencies are currently using the manual in various provinces. Indonesia Supporting community-based water supply and sanitation as a means of achieving the WSS-MDGs WSP s capacity building activities contributed to the increased area coverage of the policy implementation process 21 district local governments have prepared an Action Plan which includes a financial strategy for WSS. Support of policy implementation leveraged investments from other donors (including the 12

13 Field Trial of WSES policy issues in Large-Scale Projects (Community-led Total Sanitation) Lao Developing institutional capacity to achieve the MDGs Philippines Enhancing performance in the delivery of WSS services Increasing knowledge and demand for sanitation Vietnam Assisting in the development of a unified rural, and small town sanitation strategy Supporting the updating of RWSS strategy through action research initiatives Supporting small domestic private providers in small towns Building a national hand washing initiative Bank, Asian Development Bank) and led to scaling up of RWSS A new national RWSS program, PAMSIMAS, is under design which will scale up community based water supply and environmental sanitation policy implementation in 15 provinces CLTS approach has generated a high level of interest and commitment both at national and local government levels. International NGOs have requested WSP-EAP and GOI for capacity building assistance to allow them to replicate the approach in their project areas, i.e. CARE, Project Concern International. Growing consensus has led to planning of a major scale up of the approach through the WSLIC project - to 10 districts in 2007 and to all 36 districts of WSLIC and 26 districts of CWSH projects in CLTS has also been designed into a forthcoming national RWSS program that will cover 80 districts in 18 provinces during Developed IEC material that embeds cultural sensitivity leading to increasing awareness and demand for hygiene, sanitation and informed choice. Activities actively involved the Ministry of Information and Culture which is crucial to the success of this first trial phase of activities. This work is helping to lay the basis for scaling up amongst 40 more ethnic groups. Supported benchmarking for 20 small towns water utilities, resulting in improved utility performance and the national water regulatory agency s adoption and planned expansion of benchmarking activities to 26 more. Indicators demonstrate improvement in utility performance, particularly in their operating ratio, collection period, and staffing ratio GoP policy makers and regulators are implementing regular performance review and benchmarking to support oversight of small towns utilities Completed and distributed Philippines Sanitation Sourcebook and Decision Aid which are increasing knowledge on a range of sanitation solutions and have been adopted by international aid agencies such as World Bank, ADB, USAID, GTZ and other local partners who have adopted the sourcebook for use in their projects. Facilitated informal meetings between stakeholders and renewed links with the RWSS Partnership and Vietnamese Water and Sanitation Association (VWSA) to further build inter-ministerial consensus in advance of initiating a Sanitation Working Group. WSP provided significant inputs to a study on RWSS Enterprises and the merging RWSS Partnership in Vietnam. Provided feedback and learning materials on the innovative Design Build Lease (DBL) approach in financing small town water supplies. Established a hand washing partnership with members from private sector, NGOs and donors. LATIN AMERICA Bolivia Providing sector support in rural and small towns Colombia Stimulating public private partnership to promote hand washing Ecuador Providing assistance to sector policy design to achieve MDGs in rural areas After opening an office in Bolivia, WSP began coordination work and assisted with the ongoing development of a communications strategy to support the rural WSS sector. WSP completed a study in 8 locations to learn about the hand washing behavior and motivators that would trigger the need to adopt a new behavior; This project was a component of a World Bank Hand washing Initiative. As a follow up of the FY05 study of the sustainability of WSS systems in 95 rural communities, WSP initiated a national capacity building program on sustainable management of WSS services geared towards 50 target communities. 13

14 Honduras Supporting the implementation of sector reform in Honduras Nicaragua Strengthening institutions in the WSS sector Promoting domestic private sector participation in small and medium enterprises in the WSS sector Peru Strengthening networks and institutions for RWSS Improving local capacity for WSS provision in small towns Supporting Access to Improved and Sustainable WSS in Peri-Urban Areas Promoting hand washing through public private partnership Completed gender assessment and sanitation assessments in rural and small towns. Results of the gender assessment are already being implemented by the National Women s Institute (INAM). WSP expanded by hiring a Country Coordinator in Nicaragua and upon signing an agreement with CONAPAS, began leading a working group of bilateral agencies and NGOs to formulate a national sanitation strategy. WSP providing support to develop an enabling environment and capacity for strengthening the participation of small and medium scale enterprises in the WSS provision. Strengthening the presence of regional sector committees in Cusco and Lambayeque through coordination of meetings and publication of two regional bulletins and 2 issues of the magazine AGUA sector coordination group resulted in. Contributed to development of the chapter on rural area and small town WSS in the recently approved National Sanitation Plan Supported the process of contracting specialized operators for 9 small towns with 8 operators Instrumental in incorporating the concept of specialized operators from WSP project into the newly approved Water and Sanitation Services Law and the National Sanitation Plan WSP continued its support and technical assistance to SEDAPAL in the scaling up of 6 pilot projects in Lima s peri-urban areas, partly financed by the WB. Results of the pilot experience in Lima helped influence policy at the utility and national government levels with the condominial water and sanitation systems included in SEDAPAL s new technical norms and national construction norms. Strengthened regional partnerships and facilitated scaling up of hand washing initiative comprised of two mass media campaigns and 80 training workshops held with health professionals and educators in 24 regions. SOUTH ASIA Bangladesh Total Sanitation Demonstration Project Supported development of national policies and fiscal rewards that have incentivized rapid scale up of sanitation. Also supporting implementation of the demonstration projects and refinement of the national sanitation program to improve channeling of funds. This has increased allocation of funds for hygiene promotion, installation of public latrines in public places and government is steering the national program to achieve nationwide total sanitation by National Household sanitation coverage has increased from 33% (2003) to 70% (2006). Arsenic Mitigation The project was expected to provide better knowledge about the occurrence of arsenic and mitigation measures. It has resulted in a number of global products (World Bank Report No Towards a more Operational Response Arsenic Contamination of Ground Water in South and East Asian Countries. The Willingness to Pay study by WSP has helped to direct the sector towards a more decentralized institutional response (as opposed to an emergency one) and to promote piped water Institutionalizing Performance Improvements India Supported introduction of benchmarking initially in 4-5 utilities but now increased to 11, including Dhaka and Chittagong Water and Sewerage Authorities. This work also involved financial institutions which provided a major incentive for the utilities to participate. Implementors of key infrastructure projects including the World Bank will use the benchmarking system as a means of prioritizing the financing of utilities. Design of Transformation Plans Sector assessments completed and states supported to prepare RWSS transformation plans, vision documents and action plans. Community led total sanitation is spreading rapidly (outcome-focused approach to sanitation). Sanitation strategies have been developed and are under full implementation in Maharashtra and Himachal Pradesh. Maharashtra is 14

15 Fiscal and Financial Environment for Reform Developing Monitoring and Accountability Tools for Service Delivery improvements Pakistan leading in development and implementation of a state-wide and sector-wide program for water supply.. WSP is also contributing to the World Bank s work to prepare SWAPs for Uttaranchal and Punjab. WSP has supported the MOUD with the design of the Jawaharlal Nehru National Urban Renewal Mission, a 7-year $12million fiscal incentive program to support 65 major cities. With WSP support, implementation plan for dissemination of the JNNNURM developed; 8 cities approved for JNNURM funding and more to be supported; supported development of a system for appraising and monitoring city applications. Contributed to the Bank s SASEI report on India Water and Sanitation: Bridging the Gap between Infrastructure and Services and supporting workshops to disseminate the findings and recommendations Two utilities have initiated implementation of downward accountability mechanisms while another 6 cities in Maharashtra and AP have operationalized mechanisms for enhanced accountability and responsiveness to consumers. WSP will document the effectiveness of these mechanisms in FY2007 in improving services and utility transparency. Supporting policy/legal reforms WSP enhanced its support to the Ministry of Environment by working with both local and provincial governments in scaling up the DIK pilot project and providing inputs to drafts of the National Sanitation Policy and National Drinking Water Policy. Supporting local governments and SMEs for improved W&S service Improving accountability in service provision in UWSS Continuing its work in building local government capacity and creating an enabling environment for SMEs, WSP initiated a study on alternate service provision arrangements and developed a capacity building plan and manuals for TMAs WSP supported the Karachi Water Services Board (KWSB) to improve customer service systems and accountability by providing recommendations to the design of an institutional and governance reform process and establishing a Civil Society Liaison Cell in the KWSB. 15