Policy and strategy

Introduction

National policies and strategies need to be developed in a way which recognizes

the service-based nature of water supply and the need for government to play a
crucial role, especially in providing support, co-ordination and regulation. There
is a range of institutional frameworks and models that can be used for service
delivery, and respective governments should be free from external pressure to
select the most appropriate options for them. Appropriate legislative and
regulatory frameworks that are compatible with government policy must also be
developed. This chapter aims to identify where policy may have an adverse
effect on sustainability, how this impacts on existing roles and responsibilities,
and what changes may be required.

1.1 Policies and strategies affecting water supply

The terms 'policy' and strategy' are often used interchangeably. For the purposes
of the following definitions are used:

 'Policy' is a specific statement that guides or directs decision-making; and

Strategy' refers to an elaborate and systematic plan of action.

There is a wide range of government policies and strategies that affect rural water
supplies, some directly, others indirectly. Many of these have a significant
impact on the sustainability of water services, intentionally or otherwise.

1.1.1 National policies

A number of general national policies influence sustainability. Many African

countries have developed similar generic policies due, primarily, to the influence
of the International Monetary Fund (IMF) and World Bank. The most common
of these are policies to promote:

 Decentralization and civil service reform;

 Privatization;
  Economic liberalization and free trade;
 Poverty reduction and health improvement; and
 Government co-ordination of donors and NGOs.

In addition, there are often policies specific to the water sector, such as:

 Community management of water systems; and

 Hand pumps standardization.

These policies and subsequent strategies, and how they impact on service
sustainability, are addressed in the following sections of this chapter.

1.1.2 Poverty Reduction Strategy Papers

Poverty Reduction Strategy Papers (PRSPs) describe a country's

macroeconomic, structural and social policies and programmes to promote
growth and reduce poverty, as well as associated external financing needs. Many
African governments have now developed, or are developing, PRSPs through a
participatory process involving civil society and development partners,
including the World Bank and the IMF. The emphasis placed on water and
sanitation in these strategy papers varies enormously, from entire chapters
devoted to the subject, to passing references alone.

The World Bank (2004) aims to assist policy-makers and sector departments to
design PRSP water and sanitation strategies that actively address the needs of the
poor. The approach used is to:

 Provide guidance on analysis of the linkages between poverty, water and

sanitation;
 Assist in identifying problem areas that require intervention and in defining
objectives;
 Provide a menu of possible public interventions, and a framework that assists
in their prioritization;
 Assist in defining a monitoring and evaluation framework that allows reevaluation of the
linkages, appraisal of poverty outcomes, and assessment of whether the chosen
intervention has been effective.
Sustainable rural water supply has a number of positive effects on poverty
reduction, such as reducing the burden of disease and money spent on medical
treatment; releasing time previously used for collecting water for other activities;
and facilitating income generation through productive use of water. Where
existing policy and strategy papers fail to emphasize these links, advocacy
campaigns may be necessary to highlight the need to incorporate rural water
supply strategies into national PRSPs.

1.1.3 Rural water supply strategies

Many African governments have ambitious targets for increasing rural water
supply coverage in line with international targets such as the Millennium
Development Goals. In general, these national targets include time-bound
percentage coverage figures and set appropriate service levels in terms of litres
per person per day, water quality standards and distance of water points from
dwellings. Many African countries have developed rural water supply strategies
in order to reach these targets. These strategies may be in the form of five or ten
year operational plans, or may cover longer time periods. Current strategies from
different African countries are typified by the following:

 The setting of minimum quantities of water per person per day;

 Water sector reforms that define water as an economic good and adopt an
integrated approach to delivering water and sanitation services;
 A decentralized approach to service delivery in which the role of the public
sector at all levels is mainly to monitor, regulate and facilitate the
performance of stakeholders in O&M;
 A demand responsive approach to the delivery of community based water
supplies, for which users are responsible for managing O&M to ensure
sustainability;
 Private sector provision of all goods and technical services including the
provision and distribution of spare parts; and
 Capacity building and sector reform. In addition, some examples of recurring issues
are:
 Integration of hygiene education with the provision of water and sanitation
facilities;
 Gender mainstreaming at all levels of sector activities;
 Appropriate technology and research activities;
 Cost recovery in order to ensure sustainability;
 Monitoring stakeholder, system and sector performance; and
  Integrated Water Resource Management (IWRM) promoting economic use of
water.

Many national strategies are influenced by external donors and international organizations, and
hence there is a significant degree of uniformity of policy among different countries, at least on
paper. As a result, despite local differences in culture, environment and politics, many effects of
policy and strategy are region-, rather than country-, specific.

1.1.4 Sector-Wide Approaches

The Sector-Wide Approach (SWAp) is a mechanism whereby governments and development

partners agree on a strategy to achieve improvement in sector performance and more effective
use of resources through programmes rather than projects. Various definitions of SWAp
have been put forward, reflecting a range of views as to what is actually meant by this term.
CIDA (2000) suggests the following definition: 'The sector-wide approach defines a method of
working between Government and donors. The defining characteristics are that all significant
funding for the sector supports a single policy and expenditure programme, under Government
leadership, adopting common approaches across the sector, and progressing towards relying on
Government procedures to disburse and account for all funds.' SWAps have already been
developed and implemented by a small number of countries in Africa and are likely to be
developed by many more in future. At the heart of the strategy is central budget support,
whereby donors give funds directly to central government which allocates funds for sector
activities to local government. This is sometimes referred to as a 'basket fund' approach. While
there is no fixed formula for their development, SWAps should always follow a highly
consultative process to ensure that all stakeholders participate in the development of the
approach. Typical features of SWAp include:

 It is developed on principles of partnership and collaboration and the goal of achieving

sustainable access to water supply and sanitation services;
 All significant funding for the sector supports a single policy and expenditure
programme;
 Government provides leadership for the programme;
 Common implementation and management approaches are applied across the sector by
all partners;
 The programme progresses towards relying on government procedures to disburse and
account for all funds.

One of the key features of SWAp is to improve the sustainability of services (DWD, 2002a). The
shift from facility-driven 'projects' with a finite lifespan to service-based 'programmes' has
significant potential to achieve this aim. The overall drive for greater efficiency and effectiveness
should also contribute to service sustainability, as should greater co-ordination and consistency
among implementing agencies. However, if these benefits are to be realized, it is essential that
government bodies are accountable, that activities and outputs are adequately monitored, and that
roles and responsibilities are clearly defined.

1.2 Roles and responsibilities

National policies and water supply strategies inevitably determine the roles and responsibilities
of different sector stakeholders. Increasingly, African countries are adopting the following
structure: In the framework shown in Figure 2.1, decentralized government institutions take on
an enabling role and are responsible for initial financing and regulation, facilitation and
monitoring of sector stakeholders. The private sector is responsible for the delivery of technical
services such as drilling, installation and spare parts supply; and community-based organizations
(CBOs) are responsible for the management and financing of O&M. Actual O&M activities may
be conducted by the private sector or communities themselves.

1.2.1 National government

National government is the principal policy-making body and should also be the leader,
administrator and co-ordinator of sector activities. The appropriate line ministry or agency for
rural water supply should be the key driver in developing and implementing sector strategies.
These should include overall strategies for service delivery and monitoring of sector activities,
but these should not be so rigid as to restrict regional and local government institutions from
being able to develop sub-strategies suited to local context. When national governments become
reliant on financial support from external donors for virtually all investment in the water sector
they may become locked into the dependency syndrome. This places a Government in a difficult
position since they require financial support, yet inevitably lose some autonomy as a result of
this. Government staff may be unwilling to say 'no' to, or disagree with, policy initiatives of
major donors for fear of losing precious external funding. If policy is to be truly developed by
governments they must develop the capacity to say 'no' and to seek ways in which to generate
internal revenue for water supply provision. This is likely to lead to the promotion of low-cost
solutions which can be sustained, rather than ongoing dependency on high investment solutions
and the need for repeated rehabilitation.
Figure 1. Typical stakeholder framework

1.2.2 Local government

Current PRSPs from many African countries promote decentralized government involvement in
service provision, in partnership with the private sector.

Opportunities

 Opportunities provided by decentralization policies are that local government:

 Provides a sustainable institution close to the communities served;
 Is strategically located to determine local needs and priorities; and
 Is ideally placed to develop and implement monitoring strategies.
Constraints
 Current constraints to decentralization include:
 Insufficient resources, knowledge and expertise in local government institutions,
 Lack of local revenue/taxation and over reliance on central government funding;
 Underdeveloped private sector unable to provide services;
 A mismatch of knowledge and capacity between the private and local public sector;
 Increased layers of corruption at different levels of government;
  Lack of regulation to ensure transparency in public-private partnerships; and
 Central ministries of constituent sectors (health, water, environment, local government
etc.) may be unwilling to devolve powers to local authorities.

The basic principle of decentralization can make a valuable contribution to sustainable rural
water services, but only if the above constraints, which are considerable, can be overcome.
Perhaps the most crucial constraint is that local government institutions often lack the resources
and expertise to provide sufficient regulation and support to the private sector (Sohail, 2001). It
is essential that institutions be provided with sufficient resources, the capacity of public and
private institutions is sufficiently strengthened, and appropriate structures are developed to
ensure accountability and transparency. If greater autonomy and responsibility is to be given to
district level institutions then there is a need for a regional power base to support, monitor and
regulate activities.

1.2.3 Community-based organizations

Many government strategies stipulate that rural water services should be community-based. This
means that communities select a water supply technology, of which they become owners, are
involved in its implementation, and are responsible for managing the operation and maintenance
of their chosen technology (they may or may not actually conduct maintenance themselves). This
assumes that communities are:

1. Given a range of technologies and information in order to make an informed choice;

2. Willing and able to manage O&M (this may mean that they use a third party to
actually carry out maintenance and repair); and
3. Willing and able to finance the cost of O&M in the long-term.

These three criteria are prerequisites for sustainable community management and yet they are not
often investigated fully before a water supply initiative commences, despite rhetoric to the
contrary. Communities are rarely provided with sufficient information and options in order to
make an informed decision regarding technology choice, and hence their willingness and ability
to manage and finance O&M on a long-term basis is not firmly established. Community based
organizations (CBOs) usually take the form of committees which lack legal status, meaning they
are often unable to take legal ownership of systems and facilities. These issues are addressed in
more detail in Chapter 4. It is also important to note that current strategies do little to address
long-term rehabilitation needs apart from recognizing the fact that this is currently beyond the
means of most communities, and the need for government to provide for this in the medium
term.
1.2.4 Private sector
Privatization is another key component of many African governments' poverty reduction
strategies. While there is nothing inherently wrong with private sector involvement, it is
important to recognize its limitations and some of the constraints to its promotion.
Opportunities

Opportunities provided by privatization policies are:

 Income generation for the indigenous private sector;

 Development and growth of indigenous private sector where it does not exist or is very
weak;
 Increased potential for local revenue generation through taxation of business;
 Increased efficiency of service delivery by promoting competition; and
 Economic growth and employment.

Constraints

 Constraints relating to privatization include:

 The local private sector is often underdeveloped and lacks required expertise,
especially in 'software' areas;
 Private sector organizations may lack the capacity and skills needed to enter into and
manage contracts;
 Private companies may be less likely to relate positively to communities;
 Tendering for contracts locally increases potential for corruption at this level; and
 The prioritization of profits over services may lead to social exclusion, especially
affecting the poorest in society.

In order to overcome these constraints, proficient government regulation is essential including

sound pro-poor strategies. Effective contract management strategies also need to be put in place
to prevent over-pricing or sub-standard workmanship.

1.2.5 Non-governmental organizations

Where government policy promotes privatization, decentralization and SectorWide Approaches,
the traditional role of non-governmental and not-for-profit organizations may be threatened.
Traditionally, many rural water systems have been installed under projects funded by donors and
implemented by NGOs, many of which are skilled in participatory approaches, appropriate
technology development and innovative management strategies. If donors are now to commit
funds to central government, which then allocates resources to local government, which then
contracts out service delivery and construction to the private sector, what role remains for the
NGO? At worst, NGOs will cease to operate, the experiences of local and international NGOs
will be forgotten, and valuable knowledge will be lost. At best, NGOs can work in partnership
with the public and private sectors to build capacity and share knowledge, or can reinvent
themselves as private sector organizations to bid for contracts. The reality is, for the time being
at least, that there is still a vital role for NGOs and not-for-profit organizations, since many
African governments have not adopted SWAps or have a long way to go until they are
effectively implemented. It also likely that charities and faith-based organizations will continue
to implement water supply interventions using funds from charitable contributions. These
should, however, be implemented in a manner consistent with government policy.

1.3 From policy to practice

Policies and strategies are written words on paper, but should be much more than that if they are
to result in the desired goal of sustainable water services. In order for policy to be put into
practice there must be:

 Institutions and personnel to drive policy implementation;

 Stakeholders that adhere to policy and strategy guidelines;
 Consistent regulatory and legislative frameworks; and
 Adequate financial resources.

1.3.1 Policy drivers

National governments must be responsible for developing and driving policy. For this reason it is
essential that government institutions 'own' their respective policies and strategies. This means
that they must believe these are best practice for the sector and that they should be in the driving
seat from the onset of strategy development. National and regional government institutions
should act in partnership with other sector stakeholders to develop appropriate strategies and
should establish a national action committee to oversee its development and implementation (see
Section 2.5). Without such a body charged with this task, it is likely to take an excessively long
time before any changes to policy affect practice. Political will and commitment are essential.
1.3.2 Stakeholders
It is important that all sector stakeholders respect and adhere to government policy, and work
within the strategy framework developed. External Support Agencies (ESAs) and NGOs must be
willing to follow policy and strategies. Inconsistent practices of the past can often be put down to
non-adherence to policy and the sidelining of government. Government institutions, from
national to local level, have a responsibility to monitor and regulate ESAs and NGOs. They
should also ensure that they do not bend policies due to external pressure as a result of an offer
of increased investment.

1.3.3 Legislature and regulation

It is essential that regulatory and legislative frameworks correspond to policy and strategies,
otherwise these will be impossible to implement. Where necessary, appropriate legislature will
need to be introduced in order to enforce rules and regulations. This should consider issues of
land and communal ownership and consequences for community-based water systems. Where
community management systems are to be promoted it may be necessary to establish
community-based organizations as legal entities. Regulatory frameworks for public-private
partnerships are also necessary to ensure satisfactory standards of workmanship by private
contractors and effective contract management. Anticorruption legislation is also likely to be
important for increased efficiency of decentralized systems.

1.4 Policy and technology

1.4.1 Handpump standardization

The 1970s and 1980s saw the development of 'Village Level Operation and Maintenance'
(VLOM) handpumps that could be maintained at community level and whose specifications were
available in the public domain (Colin, 1999). Many African governments were encouraged by
external donors to use a small number of public domain handpumps to support the development
of local manufacture and viable markets. This was based on the belief that limiting use to a few
locally manufactured public domain handpumps would stimulate selfsufficiency and eventually
create a demand for spares that would result in the emergence of distribution channels to meet it.
Two decades on, many governments have adopted handpump standardization policies, whereby
usually only one or two public domain pumps are allowed to be used in the country. Such
policies have had positive effects by minimizing the number of different handpump models in
country and encouraging the provision of spare parts, but there is no evidence that sustainable
supply chains have developed as a result. Local manufacture also remains limited, with the
majority of pumps and spares being imported. This may be due, in part, to limited incentives for
local private entrepreneurs and lack of government support.