1. EU Regional Water Seminar Amman 21-24 March 2011 Water and Sanitation in the Occupied Palestinian Territory

2. Brief History of EC Support to the Water Sector in the oPt. Major past interventions EU contribution (M) Total cost (M) Year StartedEnd year EXACT Water Data Banks – phase I to phase IV Del Amman 10,0?19952008 Partnership for Peace - Friends of the Earth Middle East "Good Water Neighbours" Del Tel Aviv MEDA Water projects EMPOWERS, Empowering local stakeholders to improve water management, CARE International, UK (Egypt, Jordan and Palestinian Authority) 3,84,820032007 EMWATER, Improving wastewater management and reuse, InWent, Germany (Jordan, Lebanon, Palestine and Turkey) 3.13.920032008 MEDAWARE, management Promoting sustainable water reuse, National technical University of Athens (NTUA), Greece (Cyprus, Jordan, Lebanon, Morocco, Palestinian Authority and Turkey) 1.82.320032007 MEDWA, Improving water management at the farm level, HWA Hilfswerk (Austria), Jordan and Palestinian Authority 4.45.520042008

3. Current Process of Programming Ongoing Projects EU contribution (M) Total cost (M) Year Started End year North Gaza Emergency Sewage Treatment6,0$20062014 UNRWA / Environmental and Sanitation Project, West Bank and Gaza Strip Refugee Camps 14,6 20022011 2009 Food Security Thematic Programme, small and medium scale wastewater treatment facilities and reuse of treated water 8.49.220102013 Partnership For Peace- Friends of the Earth Middle East – Trans-boundary Advocacy of Parliamentarians over shared water issues 0,40,520092011 Rural infrastructure development1,3 20082011 EXACT phase V (Fostering cooperation in between water management authorities in Israel, Jordan, Palestinian Authority) 1,5 20102014 In programmation EU contribution (M) Total cost (M) Commit. Year Status Waste Water treatment plant and reuse for agriculture for Tubas/Tayasir, Northern West Bank 17,0 2011 Feasibility study "Soft component" for the Water and Sanitation sector 2,0 2011 Needs assessment

4. Assessment Factors for The National Sector Framework: Sector Policy & Strategy Sector Budget Sector Coordination Institutional Capacity Performance Monitoring Macro-Economic Environment Public Financial Management

5. SECTOR POLICY & STRATEGY National Sector Strategy for Water and Wastewater in Palestine 2011-2013 Finalised in September 2010 Palestinian National Plan 2011- 2013 including financial allocations, under inter-ministerial negotiations

6. Strategic Objectives: (a)Promote good governance and provide a legal and institutional environment, that guarantees equitable services, and sound management of the sector ensuring its sustainability (b) Integrated water management ensuring equitable and continues services as well as resources sustainability (c) Integrated wastewater management which ensures equitable and continuous services, contributes to preserving public health and safeguards the environment (d) Efficient and effective water and wastewater institutions engaging all segments of society

7. Policies and programmes Strategic Objectives Interventions Policies Projects - Restructure the water sector framework - Rectify the legal status of the water sector - Increase water resources through: Drilling equipment and operating new wells Constructing two desalination plants (Al Fashkha and Gaza Strip) Building Dams for the collection of rainwater - Provide Communities with sufficient and good quality water through: Constructing, equipping and connecting non- serviced areas Building rainfall collection cisterns Rehabilitation of water systems - Implementing a water quality monitoring system - Connect residential communities with wastewater collection networks - Build wastewater collection and treatment plants - Enhancing and maximizing the participation of civil society segments, private sector, women and the marginalized in planning and decision making process - Developing the capacities of water sector Institutions - Providing a conductive environment for retaining and building capacities of qualified water sector staff - Raise water awareness of all population segments

8. Strategic ObjectivesCost in (M) Restructure the water sector framework 5.6 Rectify the legal status of the water sector 2.2 Increase water resources 598.9 Provide Communities with sufficient and good quality water 148.2 Connect residential communities with wastewater collection network 398.1 Build wastewater collection and treatment plants 15.9 Enhancing and maximizing the participation of all civil society segments, private sector, women and the marginalized in planning and decision making 0.24 Developing the capacities of water sector institutions 0.99 Raise water awareness of all population segments 0.20 BUDGET

9. COORDINATION Local Aid Coordination Committee (LACC) was established as a mechanism to increase the efficiency of development efforts at the local level, bringing together 25-30 donor countries on a monthly basis. In an effort to improve information sharing and coordination at the operational level and to direct donor assistance towards the needs and priorities identified by the Palestinian Authority, the LACC has established twelve Sector Working Groups (SWGs).

10. Aid Coordination Structure in oPt Aid Coordination Structure in oPt - Local Level - Economic Strategy Group (ESG) Co-Chairs: Ministry of Finance / World Bank Governance Strategy Group (GSG) Co-Chairs: Ministry of Planning & Admin Development / EC Infrastructure Strategy Group (ISG) Co-Chairs: Ministry of Public Works & Housing / USAID Social Development Strategy Group (SDSG) Co-Chairs: Ministry of Social Affairs / UNSCO Local Development Forum (LDF) Co-Chairs: Ministry of Planning & Admin Development, Norway, World Bank, UNSCO Members: All donor and aid agencies and representatives of relevant PA institutions Status October 2010 © LACS Members: PA institutions: MoPAD, PMA, OoP Donors: EC, France, Germany, IMF, Netherlands, Norway, OQR*, Spain, UK, US Members: PA institutions: MoPAD*, MoLG, MoT, MoTIT, PWA, EQA, PEA Donors: EC, France, Germany, Italy, Japan, Norway, Spain, Sweden, UNDP Members: PA institutions: PMO, MoF, MoI, MoJ Donors: Canada, Germany, Italy, Japan, OQR*, Netherlands, Norway, UK, US, World Bank Members: PA institutions: MoPAD, MoEHE, MoH, MoL, MoF Donors: Canada, EC, France, Italy, Japan, Norway, Sweden, Switzerland, US, OCHA,UNICEF, UNIFEM, World Bank NGO Representatives: AIDA, PNGO Local Aid Coordination Secretariat (LACS) Agriculture Private Sector Devt. & Trade Judiciary Elections 2 Social ProtectionEducationHealth Task Force on Project Implementation (TFPI) 1 Secretariat: LACS EC, World Bank, USAID, UNSCO Water & Sanitation Fiscal Public Administration & Civil Service Security Municipal Dev. & Local Gov. Remarks: * Observer status 1 TFPI chair rotates bi-annually amongst the members 2 Adapted sector coordination mechanism 3 The Humanitarian Task Force reports directly to the SDSG Sector Working Groups (SWG) Micro and Small Finance Humanitarian 3 Solid Waste. Environmental Thematic Groups, Task Forces Affordable Housing.

11. Infrastructure Strategy Group (ISG) 1 Co-Chairs: Ministry of Public Works & Housing / USAID Status April 2010 Members: PA institutions: MoPAD, MoLG, MoT, MoTIT, PWA, EQA, PEA Donors: EC, France, Germany, Italy, Japan, Norway, Spain, Sweden, UNDP, OQR* Municipal Development & Local Governance Municipal Development & Local Governance Sector Working Group 2 (MDLG SWG) Water & Sanitation Water & Sanitation Sector Working Group (WSWG) © LACS Co-Chairs: MoLG, Denmark Technical Advisor: World Bank PA institutions Members: PA institutions : APLA, EQA, MoPAD, PWA Donors : Donors : Belgium, EC, France, Germany, Italy, Japan, Netherlands, Sweden, UNDP, UN-HABITAT, USAID Co-Chairs: PWA, Germany Technical Advisor: World Bank PA institutions Members: PA institutions : EQA, MoLG, MoPAD, MoPWH, National Water Council (NWC) Donors : Donors : Austria, EC, Finland, France, Japan, OQR*, Sweden, USAID, UNDP NGO representative: PHG Private Sector: JWU Remarks: * Observer status 1 An Energy review team headed by the PEA reports to the ISG 2 The MDLG SWG reports to the Governance Strategy Group (GSG) on local governance issues 3 The AH TSG reports to both the ISG and the ESG Aid Coordination Structure in oPT – Infrastructure Affordable Housing Thematic Thematic Group (AH TSG) 3 Solid Waste Thematic Group Thematic Group (SW TSG) Co-Chairs: MoPWH, World Bank Members: PA institutions PA institutions : EQA, Land Authority, MoPAD, Palestinian Housing Cooperation Donors Donors : Canada, DFiD, Japan, UNDP, USAID Private sector: Private sector: Palestinian Mortgage and Housing Corporation, Portland Trust Fund Co-Chairs: MoLG, Germany PA institutions Members: PA institutions : EQA, MoLG, MoPAD, MoPWH, National Steering Committee for Solid Waste (NSC SW), PMO Donors : Donors : Italy, Japan, EC, UNDP, WB NGO representative: AIDA Environmental Environmental Sector Working Group (ENV SWG) Co-Chairs: EQA, Sweden Technical Advisor: UNDP PA institutions Members: PA institutions : PWA, MoLG, MoPAD & MoA Donors Donors : EC, FAO, Italy, Japan, Spain, Switzerland NGO representative: PNGO (represented by ARIJ)

12. Water and Sanitation SWG Composition Co-Chairs: Palestinian Water Authority (PWA) and Germany Technical Advisor: World Bank Members: – PA institutions: Environmental Quality Authority (EQA), Ministry of Local Government (MoLG), Ministry of Planning and Administrative Development (MoPAD), Ministry of Public Works and Housing (MoPWH), National Water Council (NWC) – Donors: Austria, Office of the European Union Representative (EUREP), Finland, France, Japan, Sweden, United Nations Children's Fund (UNICEF), United States Agency for International Development (USAID) Observer: Office of the Quartet Representative Secretariat: Local Aid Coordination Secretariat (LACS)

13. INSTITUTIONAL CAPACITY

14. On 26 April 1995, the Palestinian Authority established the Palestinian Water Authority (PWA). Role of the Palestinian Water Authority: The PWA was established by Decree 90/1995 and its powers and authorities according to Water Law No. 3 include the following: – To allocate water for beneficial uses. – To issue licenses and permits for the uses of water resources. – To charge set fees for issuance of licenses and permits as specified in the Water Law and regulations. – To assure optimal utilization of water resources for public use.

15. PERFORMANCE MONITORING Performance monitoring is a PWA task done through a Performance Indicator Monitoring System. Performance Indicators are: 1.The average water tariff (NIS/m3) 2.O & M cost (NIS) 3.Operation cost unit (NIS) 4.Operating Ratio 5.Collection Efficiency (%) 6.Unaccounted for Water (%) 7.Staff Productivity Index (SPI) 8.Technical water losses per km of main pipes per month (m3) 9.Average daily per capita consumption at domestic level (l/c/d) 10.Drinking water quality - Test for residual chlorine (%) 11.Drinking water quality - Test for feacal coliform (%)

16. Donor Coordination Mechanism Donor coordination is carried out with the support of the Local Aid Coordination Secretariat in the form of Water and Sanitation Sector Working Group which gather all donors in the sector on average once every quarter.

18. Major Challenges Facing the Water Sector: Political Situation, Israeli control of water resources to which Palestinians lack access; The absence of clear strategy to direct funds in the water sector; Capacity building activities do not properly target specific needs in the sector; Lack of clear mechanisms to enforce rules as well as overlapping and conflicts between relevant entities; Conditional funding in some instances; Inactivation of the National Water Council Since 2005; Lack of expertise and competencies; Lack of environmental awareness of water resources and of wastewater; lack of academic and social awareness; Wastewater is not a priority of the water sector; Difficulty in achieving full cost recovery in the wastewater sector; Absence of a clear strategy to manage the wastewater sector; Lack of awareness, on the political level, on wastewater issues.

19. Major Challenges in the Provision of External Support to the Water Sector Political Situation and the conflict in the area; Increase on water demand against limited resources; Brain drain of water sector expertise to other sectors; Contaminates that threaten basins and other water sources; Lack of self initiative and dependency on outside financial assistance; Jewish settlements obstructing the construction of wastewater treatment systems.

20. Areas of Uncertainty & Doubt in Programming:

21. Lessons learnt and avoidable errors: