1. Water & Sanitation IN KHYBER PAKHTUNKHWA Zubair Qureshi Executive Director Urban Policy Unit, KPK

2. SEQUENCE OF PRESENTATION Background and Institutional framework Background and Institutional framework Brief facts about Peshawar Water Supply, Sanitation and SWM Brief facts about Peshawar Water Supply, Sanitation and SWM Issues and need for Reforms Issues and need for Reforms Water and Sanitation Company Peshawar Water and Sanitation Company Peshawar Agenda and Issues for the Company Agenda and Issues for the Company

3. LOCAL GOVERNMENTS Up to 1959, District Boards, Municipal Committees and notified Area Committees. Basic Democracies (BD) system in 1959. In 1979 LG Ordinance In 2001, The concept of Local government and devolution to lower level of management Provincial Khyber Pakhtunkwha Local Government Act-2012 LG Act 2013 with strengthened LGs

4. Institutional Framework TMAs working under PLGO 2001 (could have been integrated using sec 36). LG Act KPK 2012, which talk of Municipal Corporation in Peshawar City (Mayor) New LG Act 2013, with TMAs Other Departments like Cantonment Board working under CB Act 1924, PDA revived under a notification, PHED building infrastructure in rural areas only Local Area Development Authorities Galliyat, Peshawar Development Authority, Mardan, Swabi, Mansehra, Abbotabad, Kohat, Karak, Bannu, Dera Ismail Khan, Swat, Kaghan The Only CDG in the country, without a WASA

5. District Wise Water Supply Coverage District Pop: served (000)% age Coverage TotalUrbanRuralTotalUrbanRural Abbottabad73417855672.3990.0068.05 Bannu7223568786.0570.1887.00 D.I.Khan85614271378.0397.9574.97 Kohat5559546076.7648.6187.20 Mardan108526981658.9070.0056.00 Peshawar--1106--79.66 Swat66610855840.8545.3740.05

6. WATER SUPPLY Over reliance on tubewells and wells Greater water supply Peshawar Feasibility study done. Surface water supply system from four possible locations in the vicinity of the city. Warsak Dam Jabba Dam Barra Dam Munda Dam (pre-feasibility)

7. SEWERAGE & DRAINAGE SYSTEM The sanitation & drainage system consists of mostly open/covered drains (in older parts of the city) and combination of collection sewers and trunk sewers (in new developments). The system caters to both domestic sewage and sullage as well the storm water. Additionally, Irrigation Canals running in various parts of the city have been turned into sewers, causing water quality issues. All KPK Sewage is passed on to canals and rivers without treatment

8. WASTEWATER TREATMENT PLANTS There are three wastewater Treatment Plants in Peshawar City (constructed in 1990’s). These plants were never put to operation and have since been abandoned. Primary, secondary and Tertiary Sewers and house connections were not completed. Canals passing through Peshawar cannot continue to be used as Sewers.

9. SOLID WASTE MANAGEMENT SYSTEM Antiquated departmental arrangements for municipal services, with SWM accorded lowest priority. 800 Tons of solid waste is being generated in the city of Peshawar Landfill site being identified, and new agreement in place by District Government (with Waste Busters), though that is yet to take off. WSSP may improve things

10. NoMeasuresY1-Y2Y3-Y5Y6-Y7Total 1Sector institutions’ strengthening and capacity building 9614448288 2Provincial Drinking Water Supply Strategy 1000 3Supply of water and sanitation to new areas 2,8802,9764,51210,368 4Rehab of existing water supply schemes 9601,9202,8805,760 5Incentives program for Sanitation Strategy 96288 672 6Water saving measures 489648192 7Drinking water supply regulation including ground water 489648192 8Emergency Preparedness & Response 7214496312 9Greater water supply scheme for Peshawar 4801,4409602,880 10Abbottabad gravity water supply scheme 2,6501,45904,109 Total 7,3398,5638,88024,782 10 (Rs. Million)

11. Peshawar expansion over the years

12. Peshawar Institutions in WATSAN

13. Peshawar URBAN Population

14. Water & Sanitation To expand the availability of clean water to all, especially in areas threatened by conflict, and to ensure that people in Kpk have access to safe sanitation. 14 KPK POLICY & VISION IN WSS

15. INTRODUCTION TO PESHAWAR WATER SUPPLY Peshawar Population 1.60 million Existing Water Supply System based on ground water, with 477 deep tube wells. Nearly 65.0 MGD water is being supplied Seven Agencies involved in providing water supply and sanitation services i.e. Four (04) TMAs (Town 1 to 4), Peshawar Development Authority (PDA), Cantonment Board (CB) and Public Health Engineering Department (PHED)

16. WATER DEMAND ANALYSIS #YearPopulation Average Daily Demand (Mgd) Peak Daily Demand (Mgd) 11998964,79443.7665.64 220101,534,73169.444104.166 320111,581,17671.536107.304 420202,134,90096.487144.73 520302,987,770134.903202.354 620404,190,243189.057283.585 Peak Daily Demand = 1.5 times the average daily demand 45 gallons per capita per day

17. AVERAGE AND PEAK WATER PRODUCTION RATES # Town / Areas No of UCs No. of Tube Wells Average Discharge of Tube Wells Average Pumping Hrs Total Quantity of Water (MGD) 1 TMA Town 125255107001335.47 2Town - 22312000100.36 3Town - 312113100001011.33 4Town - 427650060.273 5PDA26621500912.771 6C.B 3314000104.62 Total43477 64.824 7PHED 70 * 850012 7.140 G - Total 547 71.964 * 70 No. Tube wells (49 for Town 1 and 21 for Town 3) are under execution by PHED

18. Urban Institutional Reform Programs Water and Sanitation Services Peshawar Municipal Services Program 98mUSD (PKR 8.5bn) (USAID: 84.7m$, GoKP: 12.7m$ ; PKR 1.1bn) in the Municipal Areas of Peshawar, Malakand & DIK Divisions The Urban Policy Unit

19. Approval by Chief Minister Khyber Paktunkhwa to WSSP Detailed report Feb 2012 and then in Jan 2014 focusing on; Detailed report Feb 2012 and then in Jan 2014 focusing on; institutional structure, institutional structure, governance arrangements, governance arrangements, services delivery and technical aspects & human resource services delivery and technical aspects & human resource asset acquisition arrangements, asset acquisition arrangements, financial forecasting for sustainability financial forecasting for sustainability legal and other requirements for incorporation of the company with Securities and Exchange Company of Pakistan (SECP) legal and other requirements for incorporation of the company with Securities and Exchange Company of Pakistan (SECP)

20. Critical Dimensions of utility 20 Autonomy being independent to manage professionally without arbitrary interference by others reporting & “listening” to customers. Treating them as “clients” not mere consumers Customer orientation being answerable to another party for policy decisions, for the use of resources, and for performance Accountability

21. Water Connections TownsDomesticCommercialTotal Town-135,6881,71337,397 Town-26550 Town-318,3991,30019,699 Town-48320 Hayatabad14,73726415,001 Contonment2,8121,2064,018 Total73,1234,48377,602

22. Connection : Cross Check Electricity Connections:3,64,000 Land Parcels (GIS) : 3,50,000 Housing Units: 3,54,000 Water connections cannot be 77,000, but at least 2,50,000

23. Quality? Living in 2012 in Provincial HQ

24. WWTP Built & abandoned: A case for Institutional Reforms

25. WWTP A case for Professionally capacitated institutions

26. Revenue & Expenditure Sustainable? (Electricity not included )

27. Revenue Collected Existing documented Connections TownConnectionsPotentialCollected%age T-147,68485m34.6m38 T-26151.17m0.91m78 T-319,69937.95m37m98 T-4 PDA27.8m26m94 CB Total

28. LiabilitIES Subsidies annual : Rs 1000 Million Electricity Bill: 475m

29. Sources of Revenue Tariff Water Sewerage Waste Collection Recyclables etc UIPT Share Subsidy by TMA / PDA / CB Subsidy by GoKP Efficiency Gains

30. Employees BPS (Grades)Number 17- 1515 14-1043 1-103665 TOTAL3723 Staff to be transferred to Company from Seven Organizations

31. Structure to match The Vision A legal framework comparable to that of non- government owned commercial companies Provision for Boards of Directors Clarity of corporate objectives Transparency of obligations of each party Requirement for commercial orientation External accountability, and Documented targets and performance expectations.

32. Regulator There is a need for a province wide sector (WATSAN) regulator. Can be developed in the next phase, post July 2012

33. Essential Ingredients for reformS IngredientStatusRemarks Political WillYesCM commitment VisionExcellentWSSP Committee SystemBeing designed Infrastructure50:50Less than optimum Use Human ResourceMid career Managers Gap Workers enough Best practice ModelsCB, PDA, TMAsComplaint center, PPP Demand for ServiceYes

34. STAFFING IN WSSP HQ

35. ZONAL OFFICE

36. TERRITORIAL JURISDICTION wssp

38. FINANCIAL MODELS

40. Support by Donors Water and Sanitation Program (WSP), World Bank Water and Sanitation Program (WSP), World Bank In 2009, senior government officers visited Jo water (South Africa) WSP provided technical assistance to committee USAID USAID Funded 9 experts to prepare blue print of company, and appointed coordinator & legal expert to incorporate the company with SECP. The Municipal Services Program $84.75 million Water and Sanitation master plan for Peshawar -NDC The Engineering Designs by Halcrow The Asian Development Bank (ADB) The Asian Development Bank (ADB) ADB offered in WATSAN $65 million (70%), with $28 million government contribution (30%). PPTA to work out projects They have offered $300,000 TA for establishment and operationalization of WSSP, in which Finance, HR, Legal and Institutional support will be provided.

41. WAY FORWARD & POINTS FOR CONSIDERATION WSSP registered with SECP. AoA and MoA drafted for the Section 42 Company (non profit) PC I for Rs 1137.392 million approved. Start up money to be given as Grant to the WSSP, and BOD be empowered to make decisions on utilization. Interviews have to be arranged for the atleast twenty posts in Senior management Assets transfer through Services and Asset Management Agreement and staff transfer (about 4000) will be next, in which PDA and Municipal Corporation Peshawar, and later District Council Peshawar) staff has to be transferred (77 UCs). Peshawar MC extended boundary has to include 77 UCs. The new LG act should include the inclusion of peri urban areas in MC limits, and should provide for MC and other LG institutions to transfer services delivery to corporate entities, and establishment of a Regulator

42. THANKS& GOD BLESS 42