ACP-EU Water Facility

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ACP-EU Water Facility Funding opportunities for Partnerships 1st International Conference of the Global Water Operator s Partnerships Alliance Raising Awareness and Communicating the Urgency to Act Zaragoza, Spain, 3-4 December 2009

Structure of presentation 1. ACP-EU Water Facility - background 2. New Water Facility in 2010 3. Focus on Partnerships under the new Water Facility

1. ACP-EU Water Facility background

ACP-EU Water and Energy Facilities Political Level DG RELEX DG DEV Implementation Level Geographic budget lines Thematic budget lines Quality Direction A Direction B Direction C Direction D DirectionF Direction E Europe Middle East Neighbourhood Latin America ACP Asia Central Asia All World All World 150 Delegations all over the world

Objectives of the ACP-EU Water Facility To boost the sustainable delivery of water and sanitation infrastructure to those most affected by shortages of water and the absence of sanitation To improve water governance and Integrated Water Resources Management (IWRM) practices in ACP countries To help to address the financing gap To implement projects of the Water Facilities, where they are not devolved To catalyse additional funding for financing water and sanitation infrastructure

Funds allocation An allocation of 500 million in 2004 with the main objective of providing water and basic sanitation to the poor in Africa-Caribbean-Pacific (ACP) countries Most of the money has been allocated to projects selected via calls for proposals launched in 2004 and in 2006

175 PROJECTS FINANCED WITH A WATER FACILITY CONTRIBUTION OF 414,5 MILLION TOTAL COST OF PROJECTS 780 MILLION Caribbean: 10 projects Pacific: 4 projects 5 projects covering all ACP countries Africa 156 projects: East : 59 West : 48 South: 29 Central : 15 All Africa: 5

Funding themes Comp. A: "Improving water management and governance (total contracted 64,5 million) Comp. B: Water and sanitation infrastructure (total contracted 180,5 million) Comp. C: Civil Society and decentralised cooperation Initiatives (total contracted 169,5 million)

Beneficiaries For water and sanitation projects, there are about 14,5 million people who will benefit from access to safe water. Some 3,5 million benefit from access to improved sanitation, with about 10,5 million benefitting from hygiene education programmes.

2. New Water Facility in 2010

New Water Facility ( 200M, 10th European Development Fund Intra ACP) Overall objectives: To help achieve the water and sanitation MDGs which is to halve by 2015, the proportion of people without sustainable access to safe drinking water and basic sanitation To contribute to improving water governance and management of water resources and to the sustainable development and maintenance of water infrastructure 11

Expected results Helping to achieve the water and sanitation MDGs 2015 targets, targeting the most vulnerable and needy in rural and peri-urban areas, leading to improvements in health, education & socio-economic development Enhanced ownership and project sustainability by active involvement of local partners and local government in project implementation Assist ACP entities to develop/implement sound water management based on good governance principles

Implementation Modalities 1- Call for proposals: Water, sanitation & hygiene projects 2- Call for proposals: Partnerships project 3- Pooling mechanism: For large-infrastructure projects (not bankable without a WF grant)

3. Focus on Partnerships under the new Water Facility

Water, sanitation & hygiene projects The main beneficiaries of funding are NSAs (non-state actors), local authorities & international organisations The end-beneficiaries are the poor and needy in ACP countries Aims at: - helping to achieve the MDGs - enhanced ownership & project sustainability

Partnerships projects Training and capacity development responding to specific local needs The beneficiaries of funding are water operators & suppliers, local authorities & other public bodies/organisations in ACP & EU countries The end-beneficiaries are water operators & suppliers in ACP countries, ACP state & local authorities & other ACP organisations

Types of partnerships System maintenance and improvement (including leakage reduction) improving efficiency in management practices water quality testing labour management tools accessing investment finance methodologies for expanding access to the poor building a participatory process and institutions to allow a consensual institution-building process within local politics.

Types of partnerships Water resources protection and pollution prevention including preliminary studies to assess the state of water resources & necessity and scale of infrastructure developments awareness-raising and institutional support such as the reinforcement of the municipalities management and control capabilities, in-house organisational restructuring or the development of transparency and accountability practices through the involvement of local civil society organisations.

Eligible costs EC grant may not exceed 75% of the total eligible costs of the action The balance must be financed from the applicant's or partners' own resources, or from sources other than the European Community budget or the European Development Fund. However, the cost of staff assigned to the Action may be considered as co-financing in the Budget of the Action when paid by the Beneficiary or his partners Gross salaries including social security charges and other related costs Travel costs and per diems for missions/travel Contribution in kind may be considered an eligible cost

Pooling Mechanism Actions financed: 1. 1. Large water infrastructure projects for access to water in line with the principal objectives of the Water Facility 2. 2. Governance, capacity building actions and advanced project preparatory studies Eligible applicants: EIB, Member States, their official Development Cooperation Agencies and Development Financing Institutions

Timeline 12th Feb 2009-10th EDF Intra-ACP strategy paper & multiannual indicative programme 2008-2013 approved by the EDF committee. 200 million allocation for Water Facility 18th March 2009 - Identification fiches for Water and Energy Facilities discussed and approved in the DIR C -QSG. March to June 2009 - Consultation of stakeholders July 2009 - Action fiche for Water Facility Oct 2009 - Intra-ACP AAP including AFs for Water and Energy for approval by EDF committee Early 2010 - Calls for Proposals

ACP countries still need support. Please visit http://ec.europa.eu/europeaid/where/acp/regionalcooperation/water/index_en.htm for information related to the next call of proposal Thank you!