The IFF-OBA team carried out a project proposal field assessment at the Iringa Water Supply and Sanitation Authority from 11th to 12th December 2018. The team visited different water sources which include the intake and water treatment plant at Ruaha river, Kitwiru spring and a borehole. Mgongo tank, the area for the construction of a 300m3 storage tank at Igwachanya hill and an existing storage tank that was constructed by DANIDA in 1980`s were also seen.
The proposed project intends to extend the distribution network to uncovered service areas of Iringa UWASA.The IFF team therefore held meetings with Village Government leaders of Igwachanya, Kitwiru and Nduli to assess the resident’s willingness to pay for the proposed services.
Way forward: The utility was advised to revise their proposal, particularly with regard to actual production figures for demand calculations and update of the presented BOs. Further, the working schedule should include the anticipated number of customer connections so as to assess the increase in revenue collection in different years.
The IFF OBA team attended the sixth annual water Conference (AWAC 2018) organized by ATAWAS in collaboration with the Ministry of Water and Development Partners. It was held at Belmont Fairmount Hotel in Mwanza from 15th - 16th of November 2018. The IFF OBA Team Leader briefed the audience about the IFF Programme and its objective to mobilise commercial finance for water supply and sanitation investments. The IFF – OBA presentation can be downloaded here.
The IFF OBA team carried out a project verification visit in Tabora from 17.10.2018 to 18.10.2018. The visit aimed at the verification of output targets which include (i) the extension of distribution pipelines, (ii) 900 customer connections, (iii) the construction of 3 water kiosks in low income areas and (iv) a collection efficiency of at least 90% within the entire service area. Based on the findings of the visit and TUWASA’s final completion report, the Consultant will compile a comprehensive verification report that will be presented to the IFF Steering Committee for approval during the next meeting that is tentatively scheduled for the end of November 2018.
The IFF-OBA team carried out a project proposal field assessment from 17th to 18th September 2018. The team visited the proposed project areas in Machinjioni, Bugashani, Nshambya, Kahororo, Kyebitembe and Buhembe, as well as the existing Bunena intake and water treatment plant, existing FFU tank, Kashura tank and Machinjioni tank. The ongoing project for the construction of a new storage tank, distribution network, Machinjioni pump house and sump which have been financed by the Government of Tanzania were also seen.
The team held a meeting with Village Government leaders of Kahororo, Nshambya and Buhembe areas to assess the resident’s willingness to pay for the proposed project services. The proposed project intends to extend the distribution network to uncovered service areas of Bukoba UWASA.
Way forward: The utility was advised to revise their proposal, particularly with regard to the option of including or removing the booster station at Nshambya. Further, the working schedule should include the anticipated number of customer connections so as to assess the increase in revenue collection in different years.
From 20.09.2018 – 21.09.2018, the IFF team conducted a project assessment visit at the Kigoma Urban Water Supply and Sanitation Authority. The utility has been implementing an EU and KFW financed project that has reached 90% completion according to the judgment of the Contractor. The investments include the installation of a total of nine high level pumps and transmission mains that supply different storage tanks in the entire supply area. The remaining works also cover the completion of the intake structure at Lake Tanganyika so as to increase the supply of raw water. Currently the utility pumps water at a volume of 10,500 m3 per day, which is by far not sufficient to cover the demand of the town.
The assessment visit was instrumental to identify priority areas that need to be further supported in the near future so the utility is able to increase their coverage once the additional supply of raw water is ensured.
From 20.06.2018 – 21.06.2018, the IFF – OBA Team organised a workshop in Dodoma. A total of 39 participants from different UWASAs, Tanzanian Banks, Ministry of Water and Irrigation, Treasury Registrar and EWURA joined this event. All participants got acquainted with the IFF Financial Analysis Tool that was developed to project utility cash flows in the context of the IFF Project Assessment. In addition to the theoretic structure of the tool, participants were exposed to a case study that provided the required data for the practical application of the tool.
The IFF- OBA team also convened an internal meeting with CRDB, NMB, TIB, EWURA, MoWI and Treasury Registrar representatives during this workshop. The Workshop report, including the outcome of the evaluation can be viewed here.
See some pictures of the Workshop below (click to enlarge):
The IFF-OBA Secretariat received two project proposals for the extension of the water supply network in Shewa and Itezi-Isyesye on 25.05.2018. A field assessment was carried out from 6th to 7th of June 2018. The team visited the proposed project areas in Shewa and Itezi-Isyesye, as well as the existing water supply infrastructures.
The assessment also included a meeting with Village Government leaders of Shewa to assess the resident’s willingness to pay for the proposed project services. The proposed project intends to extend the distribution network to uncovered service areas of Mbeya UWASA.
Way forward: Since the utility cannot manage to implement two water supply projects in parallel, they were advised to focus on the Shewa proposal that shall be implemented in the context of IFF - OBA at this time.
The IFF-OBA team spent the last month investigating how supplier credits for financing infrastructure in the water sector are practiced in Tanzania and subsequently evaluated the potential integration of these supplier credits into the IFF-OBA Programme.
The team met with five local pipe suppliers in Dar Es Salaam to obtain their views and experi-ences in providing pipes on long-term credit terms to water utilities. Commercial Banks were likewise interviewed taking into account their views regarding supplier credits. The IFF-OBA team also visited the Moshi Urban Water Supply and Sewerage Authority (MUWSA) to better understand procurement and tendering processes for goods such as pipes.
The IFF – OBA would like to thank all the suppliers, commercial banks and water utilities that took the time to share their experiences and ideas with the IFF-OBA team.
From 29.05.2018 to 31.05.2018, the IFF team visited the Shinyanga Water Supply and Sanitation Authority. The main aim of the visit was to assess the existing water supply situation and the proposal that was submitted to IFF-OBA.
The team explored the 18,000m3 water storage tank which is fed by KASHWASA bulk water from Lake Victoria. Due to high pressure the water is distributed to four elevated break pressure tanks that have a capacity of 250m3 each.
The team also visited the earmarked project areas in Ndembezi, Butengwa, Masekelo and Kitangili to assess the tapping point and to conduct meetings with Mtaa leader. Those meetings were instrumental to assess the prevailing water situation in the areas and the future customer’s willingness to pay for the water connection.
From 18th April 2018 – 20th April 2018 and from 14th May 2018 – 16th May 2018, the IFF Consultant conducted an interim visit to Tabora Urban Water and Sewerage Authority (TUWASA) and Moshi Urban Water and Sewerage Authority (MUWSA), respectively. The aim of the visits was to assess the documentation of financial expenditure and to clarify some inconsistencies that occurred in the interim report.
The IFF-OBA team visited NMB, TIB, CRDB and NBC in March 2018 to discuss their role in financing Water Authorities, seek to understand their key requirements in lending and whether there is a possibility of negotiating loan terms offered in their term sheets. All four banks expressed their strong interest in cooperating with water authorities to finance projects. They commonly considered the IFF Programme and the potential OBA subsidy as beneficial to the successful implementation of projects.