Publication:
Performance of Water Utilities in Africa

Loading...
Thumbnail Image
Files in English
English PDF (5.99 MB)
12,130 downloads
English Text (799.6 KB)
337 downloads
Other Files
French PDF (6.18 MB)
3,328 downloads
Published
2017-03
ISSN
Date
2017-03-02
Editor(s)
Abstract
Africa’s urban population is growing rapidly. Between 2000 and 2015, the urban population increased by more than 80 percent from 206 million to 373 million people. Although access to piped water increased over the period (from 82 million urban dwellers with piped water in 2000 to 124 million in 2015), African utilities were not able to keep up with the rapid urbanization as reflected in the decline of piped water as a primary source of water supply in percentage terms. The objective of this assessment is to inform Bank and government policies and projects on the drivers of utility performance. The report describes the main outcomes and lessons learned from the assessment that identified and analyzed the main features of water utility performance in Africa. The report includes the following chapters: chapter one gives introduction, chapter two describes the methodology used in the study, including details on the data collection process. In chapter three, the study team undertook a trend analysis of utility performance of the sector. Chapter four examines the efficiency of utilities using a data envelopment analysis (DEA) while also using an absolute performance approach. Chapter five investigates the effect of institutional factors on utility performance. Chapter six presents an econometric analysis of the drivers of utility performance, using various definitions of utility performance. The results from the econometric models are triangulated with a set of case studies of five utilities (Burkina Faso’s l’Office National de l’Eau et de l’Assainissement (ONEA), Cote d’Ivoire’s la société de distribution d’eau de la Côte d’Ivoire (SODECI), Kenya’s Nairobi City Water and Sewerage Company (NCWSC), Senegal’s Sénégalaise des Eaux (SDE), and Uganda’s National Water and Sewerage Corporation (NWSC), similar to those that the electricity study team undertook, which are presented in chapter seven. The report concludes in chapter eight with the lessons learned from the assessment.
Link to Data Set
Citation
van den Berg, Caroline; Danilenko, Alexander. 2017. Performance of Water Utilities in Africa. © World Bank. http://hdl.handle.net/10986/26186 License: CC BY 3.0 IGO.
Digital Object Identifier
Associated URLs
Associated content
Report Series
Other publications in this report series
Journal
Journal Volume
Journal Issue

Related items

Showing items related by metadata.

  • Publication
    The IBNET Water Supply and Sanitation Performance Blue Book
    (World Bank, 2011) van den Berg, Caroline; Danilenko, Alexander
    The International Benchmarking Network for Water and Sanitation Utilities (IBNET) blue book creates a baseline and, at the same time, offers a global vision of the state of the sector in developing countries. By tracking progress in and quantifying and assessing the water supply and sanitation sectors, IBNET helps meet the goal of providing safe, sustainable, and affordable water and sanitation for all. This report serves three purposes. First, it aims to raise awareness of how IBNET can help utilities identify ways to improve urban water and wastewater services. Second, it provides an introduction to benchmarking and to IBNET's objectives, scope, focus, and some recent achievements. Third, it elaborates the methodology and data behind IBNET and presents an overview of IBNET results and country data. By providing comparative information on utilities' costs and performance, IBNET and this study can be used by a wide range of stakeholders, including: 1) utilities: to identify areas of improvement and set realistic targets; 2) governments: to monitor and adjust sector policies and programs; 3) regulators: to ensure that adequate incentives are provided for improved utility performance and that consumers obtain value services; 4) consumers and civil society: to express valid concerns; 5) international agencies and advisers: to perform an evaluation of utilities for lending purposes; and 6) private investors: to identify opportunities and viable markets for investments.
  • Publication
    The IBNET Water Supply and Sanitation Blue Book 2014 : The International Benchmarking Network for Water and Sanitation Utilities Databook
    (World Bank Group, Washington, DC, 2014-08-06) Macheve, Berta; Danilenko, Alexander; Moffitt, L. Joe; van den Berg, Caroline
    Well-run water utilities play an important role in ending poverty and boosting shared prosperity. Consumers need reliable access to high quality and affordable water and sanitation services. To deliver these basic services efficiently and effectively requires high-performing utilities that are able to respond to urban growth, to connect with the poor, and to improve wastewater disposal practices. The IBNET Water Supply and Sanitation Blue Book 2014 summarizes the water sector status from 2006 to 2011. Since 2006, municipal water performance has improved despite accelerated urbanization and the impacts of triple crises (food, fuel, and financial). Overall coverage has increased and piped water and wastewater services became accessible to more people. An increasing number of utilities now actively handle the water billing, collection, and water management through metering. IBNET tools, such as data collection instruments and protocols, the IBNET database, and the IBNET tariff database, enable enhanced sharing of information on close to 4,500 utilities from more than 130 countries and territories.
  • Publication
    A Primer on Energy Efficiency for Municipal Water and Wastewater Utilities
    (World Bank, Washington, DC, 2012-02) Liu, Feng; Ouedraogo, Alain; Manghee, Seema; Danilenko, Alexander
    This primer is concerned with energy use and efficiency of network-based water supply and wastewater treatment in urban areas. It focuses on the supply side of the municipal water cycle, including the extraction, treatment, and distribution of water, and collection and treatment of wastewater-activities which are directly managed by Water and Wastewater Utilities (WWUs). The main challenges to scaling up Energy Efficiency (EE) in municipal water and wastewater services stem from sector governance issues, knowledge gaps, and financing hurdles. Utility governance affects the overall performance of individual WWUs and influences decision making, incentives and actions for energy management. This is likely the most significant barrier to WWU EE in many developing countries. Addressing knowledge gaps requires efforts to systematize data collection, training, and capacity building at utilities, supported by local and national governments. Financing hurdles can be reduced by introducing dedicated EE funds to address large but disaggregated investment needs and by promoting third-party financing through energy/water savings performance contracts. This primer is part of Energy Efficient Cities Initiative's (EECI's) knowledge clearinghouse function to inform World Bank (WB) staff working in urban water supply and wastewater management, as well as in energy, about the opportunities and good practices for improving EE and reducing energy cost in municipal WWUs.
  • Publication
    A Benchmark for the Performance of State-Owned Water Utilities in the Caribbean
    (Washington, DC: World Bank, 2020-01-29) Burdescu, Ruxandra; van den Berg, Caroline; Janson, Nils; Alvarado, Oscar
    Improving the management and governance of state-owned enterprises in the water supply and sanitation sector in the Caribbean is critical. State-owned enterprises play a significant role in the economy through their impact on fiscal accounts and service delivery to citizens. This benchmark analyzes the strengths and weaknesses of 14 water utilities, with focus on Belize, Dominica, Grenada, Jamaica, and St. Lucia. It is a tool for policy makers and practitioners seeking to improve service delivery in the sector, restore or maintain fiscal discipline, and pursue sector goals in a sustainable manner. In the Caribbean region and beyond, building smart and resilient water utilities for the future is a priority. The challenges are complex and multidimensional. Political problems, weak institutions, low capacity, and inefficient practices exacerbate less-than-satisfactory performance. These challenges cannot be met by applying a cookie-cutter approach or by focusing only on standard technical and managerial techniques. Improving corporate governance will increase operational and managerial efficiency. Evidence shows that water supply and sanitation utilities with access to commercial finance are more likely to achieve the Sustainable Development Goals. This benchmark finds that many of the analyzed state-owned water utilities are underperforming in terms of coverage, quality of service, operating efficiency, and financial performance. Overcoming these challenges will require long-term measures, with implementation that is likely to be ambitious and challenging. Shorter-term measures targeted at strengthening financial sustainability would involve establishing reliable cash flows that allow utilities to cover their costs. Benchmarking governance in state-owned enterprises varies across the region. Some countries have a strong governance framework with well-developed policies and legal and regulatory frameworks, while others have unclear sector policies and underdeveloped legal and regulatory frameworks. Water supply and sanitation utilities with better-developed governance frameworks usually perform better than those with underdeveloped frameworks.
  • Publication
    Does Private Sector Participation Improve Performance in Electricity and Water Distribution?
    (Washington, DC : World Bank, 2009) Gassner, Katharina; Popov, Alexander; Pushak, Nataliya
    This study addresses the question with a rigorous econometric approach and distills global results from a multitude of evidence. The data set compiled is unique in its coverage, size, and composition, making it possible to address for the first time methodological problems that have plagued empirical research and hampered conclusive results. The findings provide some answers, but also indicate where the challenges lie going forward. Privately run water and electricity utilities outperform comparable state-owned companies in terms of labor productivity and operational efficiency, but staff reductions also occur. Policy makers need to be aware of and acknowledge both the benefits and the costs of reform. Clear communication between stakeholders plays an important role in the acceptance and success of private participation, and a strategy for mitigating labor issues should be an integral part of reform efforts. The study also makes it clear that the investment problem is not solved by private participation alone, and it raises questions about the scope for increasing residential tariffs in low-income countries and thus the long-term sustainability of improvements in service delivery, be it by public or private operators.

Users also downloaded

Showing related downloaded files

  • Publication
    Comoros Country Climate and Development Report
    (Washington, DC: World Bank, 2025-06-18) World Bank Group
    The Union of the Comoros (The Comoros) has significant vulnerability to climate change-related risks but has considerable opportunities to strengthen preparedness and resilience against these challenges. According to the Notre Dame Global Adaptation Index, the Comoros is the 29th-most vulnerable country to climate change and the 163rd most ready to adapt (out of 191). The Comoros archipelago is exposed to many natural hazards that adversely affect the country’s natural capital, people, and physical infrastructure. In 2014, the economic cost of climate-related disasters was estimated at 5.7 million dollars annually, equivalent to 9.2 percent of Gross Domestic Product (GDP). Between 2018 and 2023, as many as 11 tropical depressions or cyclones impacted the country, with Cyclone Kenneth causing the greatest damage, equivalent to 14 percent of GDP, resulting in total economic growth falling from 3.6 percent in 2018 to 1.9 percent in 2019. More than 345,000 people (40 percent of the population) were affected by the cyclone, with 185,000 people experiencing severe impacts and 12,000 people displaced. However, there is an opportunity for the country to grow more robust and shock-responsive, and to establish pre-positioned funding mechanisms to enhance future crisis response efforts. For the Comoros, adaptation and climate-resilient development are the key climate change focus areas, with the country projected to face 836 million dollars 2050 in additional costs due to climate-related impacts. Current plans to adapt to the impacts of climate change in the Comoros include efforts to improve water management, strengthen coastal protection, and develop climate-smart agriculture practices. Given the country’s reliance on its natural resource base for economic growth and mobility, protection of these resources from climate change will be essential for promoting resilient growth and development. In addition to growing the adaptive capacity of the country’s natural resource sectors, strategic economic diversification will be important to help minimize future climate impacts, and development activities will need to be undertaken in such a way as to attract low-carbon co-benefits. The Union of the Comoros is committed to addressing climate change through its Nationally Determined Contribution (NDC) and national priorities. The country’s NDC (which was revised in 2021 for a ten-year horizon) sets ambitious targets, with a goal of reducing greenhouse gas emissions by 23 percent by 2030. The country also plans to significantly increase the share of renewable energy in its energy portfolio, reaching 33 MW by 2030. This will not only promote low-carbon development but also reduce the country’s dependency on imported oil and coal, which currently make up 95 percent of the energy mix. Additionally, the Comoros has declared its intention to increase CO2 removals by 47 percent by 2030, compared to BAU.
  • Publication
    Kyrgyz Republic Country Climate and Development Report
    (Washington, DC: World Bank, 2025-11-03) World Bank Group
    This Country Climate and Development Report (CCDR) on the Kyrgyz Republic aims to support the country’s development goals amid a changing climate. The CCDR considers two policy scenarios up to 2050: the business-as-usual (BAU) and high-growth scenarios. As it quantifies the likely impacts of climate change on the Kyrgyz economy between now and 2050, the report highlights key government actions to best prepare for and adapt to climate impacts (referred to as “with adaptation” measures), with a particular focus on the time horizon up to 2030. The CCDR also outlines a path to net zero emissions by 2050 (referred to as “with mitigation” measures, “decarbonization,” or, simply, “net zero 2050”), highlighting associated development co-benefits.
  • Publication
    Gabon Country Climate and Development Report
    (Washington, DC: World Bank, 2025-11-01) World Bank
    Gabon has a unique opportunity to drive inclusive growth, reduce poverty, and build a resilient post-oil economy, with climate action accelerating progress toward these goals. The country’s main development challenge is achieving higher growth and poverty reduction, as stronger growth is needed regardless of projected climate shocks to create jobs, raise living standards, and enable a viable post-oil economy. While pursuing growth-promoting economic reforms, climate action that prioritizes people must remain central to its development pathway. However, climate change risks exacerbating poverty and regional inequalities in a country already facing long-term challenges in expanding economic opportunities and basic public services, especially in rural areas. Climate shifts compound these challenges, making stronger private sector-led growth driven by reforms essential for resilience, diversification, job creation, and poverty reduction, though targeted investments in adaptation will still be required to mitigate climate shocks. Using a whole-of-economy approach, the Gabon Country Climate Development Report (CCDR) estimates that climate change impacts could result in GDP losses of 3.5 to 5.3 percent per year through 2050 compared to a business-as-usual baseline trajectory.
  • Publication
    Jobs in a Changing Climate: Insights from World Bank Group Country Climate and Development Reports Covering 93 Economies
    (Washington, DC: World Bank, 2025-11-05) World Bank
    The World Bank Group’s Country Climate and Development Reports (CCDRs) provide a crosscutting look at how countries’ development prospects, and the job opportunities they offer to their people, can be threatened by climate impacts and supported by climate policies. Climate change and policies affect jobs through impacts on productivity, energy and material efficiency, and physical, human, and natural capital. They can also transform employment opportunities, especially through complementary measures that help workers and firms adapt to and benefit from new technologies and production practices. Prepared by the World Bank, the International Finance Corporation (IFC), and the Multilateral Investment Guarantee Agency (MIGA), CCDRs integrate country perspectives, climate science and economic modeling, private sector information, and policy analysis to assess how countries can successfully grow and develop their economies and create jobs despite increasing climate risks and while achieving their climate objectives and commitments. Each CCDR starts from the country’s development priorities, opportunities, and challenges, and is developed in close consultation with governments, businesses, and civil society, ensuring the recommendations reflect national priorities. By combining evidence on adaptation, resilience, and emissions pathways, CCDRs highlight where climate action can reinforce development and job creation, and where targeted policies are needed to manage risks and smooth labor market transitions. Taken together, these elements can help create local jobs, ensure economic transitions are just and inclusive, and equip workers and firms to navigate the disruptions and opportunities of a changing climate and changing technologies.
  • Publication
    G5 Sahel Region Country Climate and Development Report
    (Washington, DC: World Bank, 2022-07-01) World Bank Group
    The five countries of Burkina Faso, Chad, Mali, Mauritania, and Niger (the G5) in the Sahel region of Africa are among the least developed countries in the world. The now regular and growing climate shocks are causing large losses in outputs, reducing human capital accumulation, and leading to potentially devastating ecological and economic tipping points in the region. This World Bank country climate development report (CCDR) has examined the most critical actions and policy changes needed to accelerate the region's economic recovery, sustainable and inclusive development, and adaptation to the impacts of climate change. This report has three main messages. First, the opportunities for a resilient and lower-carbon development of the G5 countries are significant. They can reverse environmental degradation and maximize the benefits of climate action for the poor. Second, rapid, resilient, and inclusive growth is both the best form of adaptation to climate change and the best strategy for meeting development goals in an effective, sustainable, and productive manner. Third, the costs of inaction are far greater than the costs of action. Early and targeted action on policies and programs presented in this report can move the G5 Sahel countries towards a greener, more resilient, prosperous, and inclusive future.