Money matters

Only 45 percent of public water points in central Tanzania are functioning. Research in the Dodoma and Singida regions shows that poor financial management often undermines the sustainable use of water.

As a result, village water points are frequently abandoned because there are no savings available to pay for simple maintenance.

Many public water points in the two regions are managed by Village Water Committees (VWC). However, revenue collection improved significantly in villages that introduced a private operator (PO) to manage water points. The research shows:

• The PO model originated as a community driven process. The first observed PO was invited by villagers to operate the village water scheme because the community was frustrated with the poor service levels achieved under VWCs.
• POs have financial incentives to deliver water to a community; they can keep surplus revenue from water sales, after giving an agreed sum to the village water fund for maintenance and capital expenditure. POs have generated record savings in the village water funds.
• Communities have benefited from an improved water provision service. They are also more able to cope with technical failures in water points.

It is important to regulate POs to avoid profiteering, which is already evident in some villages. Metering the volume of water sold is essential to balance the incentives of POs and the interests of users. This process is notably absent from the Dodoma and Singida regions, either by external agents or by the villagers themselves. This issue must be addressed to ensure that POs do not overcharge villagers for their services.

Rural Tanzania desperately needs sustainable water supplies. In the regions studied, POs represent an innovative and practical improvement to the financial management and service supply of public water points. However, their accompanying disadvantages must be recognised and addressed.

Alexia Haysom
33 Charnley Drive, Chapel Allerton, Leeds, LS7 4ST, UK
alexia.haysom@environment-agency.gov.uk

See also

The Technical Annex for the Jack Wright Memorial Trust, by Alexia Haysom, September 2006 (unpublished)
Copies are available from the author on request.

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