Download Trends in the Performance Indicators of the WSS

Trends in the Performance
Indicators of the WSS Utilities in the
Kyrgyz Republic
Ildus Zalyalov
Kyrgyzzhilkommunsoyuz
Helsinki, Finland, 24-25 May 2007
Objectives of Work Carried Out
• Monitoring the water supply and sanitation
system in the Kyrgyz Republic in 2000-2005
based on eleven water utilities of the republic
(IBNET and statistics)
• Capacity building in the collection of technical
and financial data by transferring the World
Bank methodology (IBNET)
Institutional Features of the Water Supply and
Sanitation Sector in the Kyrgyz Republic
• Devolution stage is over and under
respective decrees of the republic’s
Government water utilities were transferred
into the supervision of the local governments
• Assets of the water utilities transferred to the
local level are in municipal ownership of the
local governments
• Tariffs are approved on site by the heads of
oblasts and Bishkek City public
administrations
Data Collection Techniques for Monitoring
the WSS Utilities’ Performance
• State statistical statements
• Sectoral forms taking into account the
specificity of water utilities’ operations
are filed quarterly together with
accounting statements and balance
sheets
• IBNET indicators: sample survey
(questionnaires), on-site visits,
telephone calls.
Analysis of WSS Utilities’ Operational and
Technical Indicators
Cities and urban villages of the republic are covered with the centralized WSS services at
approximately 90 percent. For the localities included in the sample for monitoring purposes,
the indicator is somewhat lower and equals 65 percent for water supply and 25 percent for
sanitation in 2005.
Coverage with Centralized Water Supply Services
80%
70%
60%
50%
40%
30%
20%
10%
0%
Coverage with Centralized Sanitation
100%
80%
60%
40%
20%
0%
2002
2003
2004
2005
Coverage with centralized water supply
Of which (1) “in-house tap”
(2) Street standpipe
2006
2002
2003
2004
2005
Coverage with centralized sanitation
2006
Analysis of WSS Utilities’ Operational and
Technical Indicators (2)
Volume of unaccounted-for water (in percent) at WSS utilities ranges from 9
percent to 66 percent.
80%
70%
60%
50%
40%
30%
20%
2002
2003
2004
2005
Vodniksuu
Kara-Balta
Belovodsk
Chui
Kant
Balykchi
Kara-Kol
Naryn
DzhalalAbad
Osh
0%
Tokmok
10%
Analysis of WSS Utilities’ Operational and
Technical Indicators (3)
• Metering of the water consumption by
households remains at a very low level in
the Kyrgyz Republic. According to the
monitoring data, the indicator did not exceed
1 percent during the analyzed period.
• Wear and tear of the water networks is as
high as 70 percent. In 2001, 22.1 percent of
the street water supply networks had to be
replaced; and in 2005, 37.3 percent.
Analysis of Financial Indicators
Cost recovery by household tariff
Cost Recovery by Tariff (Water Supply)
120%
Cost Recovery by Tariff (Sanitation)
120%
100%
100%
80%
80%
60%
60%
40%
40%
20%
20%
0%
0%
2000
2001
2002
2003
2004
Approved tariff
Statutory percentage of cost recovery
Actual cost
2005
2006
2000
2001
2002
2003
2004
2005
Approved tariff
Statutory percentage of cost recovery
Actual cost
Approved tariff did not go up considerably during the analyzed
period; moreover, it decreased during the past three years from
2004 until 2006. Moreover, the difference between approved tariff
and statutory percentage of cost recovery was almost 30 percent in
2006.
2006
Analysis of Financial Indicators
In addition to low tariffs, the following factors affect the lossmaking by utilities:
• The share of households in service consumption went up
from 60 percent to 68.7 percent and collection rate went
down from 80 percent to 63 percent from 2000 to 2005;
• Households’ arrears increased by 46 percent from 2000
to 2005
! Problems with attracting skilled labour. Monthly average
wage was just USD 67 in 2005 (minimum consumer budget
– USD 63 per capita)
Conclusions
• Despite the stability and regularity (24 hours)
of services, service quality keeps declining
(increase in unaccounted-for water, network
deterioration)
• Water utilities remain loss-making (costs are
not recovered by tariffs, decrease in collection
rate, build up of arrears)
• Investment remains at a very low level