Performance Enhancement of Water and Sanitation Utilities in Kenya through Benchmarking and
Collective Learning
Dr Adriaan Mels - Vitens-Evides International Mr Toon van Kessel - Vitens-Evides International
Mr Peter Dane, Association of Dutch Water Companies
Project: Partnership for Performance enhancement of Water and Sanitation Utilities in Kenya through Benchmarking and Collective Learning
Partners: Water Services Providers Association (WASPA)Association of Dutch Water Companies (VEWIN) Vitens-Evides International (VEI)9 Water Services Providers (WSPs)Kenyan Water Institute (KEWI) SNVWASREB
Budget: € 1.19 million
Period: 1 November 2011 – 31 October 2015
Financers: EU Water Facility, VEI, SNV, GIZ
Aim: To improve the technical and financial performance of Water Services Providers (WSPs) in Kenya by introducing benchmarking and collective learning amongst peer WSPs and strengthen their capacity to implement the necessary performance improvements.
Vitens Evides International (VEI)
International subsidary of two largest Dutch water companies
Evides Vitens
Turnover € 274 million
€ 475 million
Consumers 2.3 million 5.4 million
Staff 550 1,500
50% of Netherlands’ population
The Hague
Water Operators Partnerships
• Since 2005 we are active to support water companies in developing countries in improving operations and financial management
• Cooperation through Water Operators Partnerships: long term partnerships between water companies aiming at capacity development in a peer to peer approach
Peer to peer approach in capacity development
Experienced staff supports colleagues of partners in:
• Finance, Planning & Control• Investment planning, procurement, commisioning (and
fund raising)• Operations (production, distribution)• Water source protection• Customer management• Sanitation
= project references since 2000
= current projects
UFW (2004 -2008) (%)
0
10
20
30
40
50
60
70
Chokwe Inhambane Maxixe Xai Xai
% U
FW
What type of results do we achieve?
NRW for cities in Mozambique in the period 2004 until 2010.
Outline
• Dutch Association of Water Companies (VEWIN)
• Benchmarking in the Dutch Water Sector
• Partnership for Performance enhancement of Water and Sanitation Utilities in Kenya through Benchmarking and Collective Learning
Peter Dane
• MSc in civil engineering
• 25 year in the water industry (utilities)
• at present manager international benchmarking
at Vewin, Association of Dutch Water Companies
• programme manager of the European Benchmarking
Co-operation
• member of IWA’s SG BPA management committee
Vewin - Association of Dutch Water Companies
• established 1952 – 212 water utility members
• today 10 (public) utility members
• runs one of the first national benchmarking programmes of Europe
• coordinating partner of the European Benchmarking Co-operation (international benchmarking programme)
Development of water supply
Number of Dutch water companies
0
50
100
150
200
250
1853
1859
1865
1871
1877
1883
1889
1895
1901
1907
1913
1919
1925
1931
1937
1943
1949
1955
1961
1967
1973
1979
1985
1991
1997
2003
2009
Public limited liability company
Share holdersProvinces
Municipalities
Water company
Assets Assets Assets
(public) customers
WaterIncome
28 May 2010 15
What is benchmarking?
IWA’s Task Group on Benchmarking:
“benchmarking is a tool for performance improvement
through systematic search and adaptation of leading
practices”
• Benchmarking consist of two essential steps:
performance assessment and performance improvement
• Results of benchmarking are made tangible via
Performance Improvement Plans
National benchmarking scheme
voluntary programme since 1997
• initiated by national discussions on privatisation and liberalisation of public
services
objectives
• improving efficiency by learning
• transparency
as of 2011: mandatory national benchmarking programme
Results of national benchmarking scheme
• efficiency improvement 1997-2009 of 27%
European Benchmarking Co-operation (EBC)
• initiative of national water associations and several
utilities of Denmark, Finland, Netherlands, Norway,
Sweden (2005)
Mission:
• to facilitate water utilities in the continuous process
of improving performance and transparency by:
offering a simple, web based, international
benchmarking programme for water services
providing a platform for exchanging best practices on
management and operations
What can Vewin / EBC contribute?
Peer to peer support to WASPA and utility members:
•benchmarking knowledge and –experience: ‘how to benchmark’
•access to peer utility network: ‘learning from best practices’
The project
Objective
To improve the technical and financial performance of WSPs in Kenya by introducing benchmarking and strengthen their capacity to implement the necessary performance improvements
Key performance indicatorPerformance
2008/2009Target (source: National Water
Services Strategy 2007-2010)
Water coverage urban areas 45% > 80%
Sanitation coverage urban areas
50% > 72.5%
Non Revenue Water (NRW) 49% < 30% by 2015
Hours of supply 16 h
Metering ratio 81% > 95%
Revenue collection efficiency 83%
Staff per thousand connections
7
Coverage of O&M costs 97% Recommended value > 150% to achieve full cost recovery
Selected KPIs, results and targets for Kenya’s water services sector in 2008 / 2009 (source: IMPACT 3)
The project
Performance measurement and
comparison
Identification of best practices
(collective learning)
Performance Improvement Plans
Performance Improvement
Performance measurement and
comparison
Identification of best practices
(collective learning)
Performance Improvement Plans
Performance Improvement
(3 demo projects)
The project partners
Performance measurement and
comparison
Identification of best practices
(collective learning)
Performance Improvement Plans
Performance Improvement
Performance measurement and
comparison
Identification of best practices
(collective learning)
Performance Improvement Plans
Performance Improvement
VEWIN
VEI
SNV
WASREB
(3 demo projects)
WASPA
9 WSPs
Participating WSPs in first stage
Selected by WASPA executive commitee in close consultation with members
• Sibo• Isiolo• Kericho• Nyeri• Muranga’a• Thika• Oloolaiser• Malindi
Include more WSPs in the course of the project
Activities
1.1 Training in benchmarking and collective learning (WASPA, WSPs)
1.2 Joint development of methodologies and tools for benchmarking
2.1 To compare performance among the participating WSPs
2.2 Form 3 expert groups for selected KPIs
2.3 Identify best practices and develop & implement enhanced Performance Improvement Plans on the selected KPIs
2.4 Plan, implement and evaluate at least 3 demonstration projects on best practices
3 Sector-wide dissemination and upscaling of benchmarking approaches
Thank you for your attention!
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