Water and Sanitation

The world’s poor face a chronic water shortage, with an estimated 900 million to 1 billion people lacking access to clean water. The World Health Organization reports that 1.6 million people die every year from diseases resulting from a lack of access to safe drinking water and basic sanitation. Access to clean water and improved sanitation facilities is essential for economic development, and the challenge of water provision is rising as global water demand expands due to the world’s growing population and economies, together with the impacts of climate change and the problem of water scarcity.  By 2030 it is estimated that demand for water will rise by 40% globally and by 50% in developing countries.

Since inception PPIAF has supported a number of activities that have helped increase access to water services in rural and peri-urban communities. Experience has shown that insufficient resources, management inefficiencies, and a lack of access to market financing mechanisms act as a severe constraint on the expansion of water supply systems. PPIAF and its Sub-National Technical Assistance (SNTA) program can help reduce these constraints by assisting private operators and public utilities identify the best options for the expansion of water provision in these hard-to-reach areas. PPIAF's Water Toolkit (PDF) facilitates the design of policies to encourage private sector participation in the water sector. As part of its technical assistance, PPIAF encourages the use of innovative water supply technologies such as reverse osmosis, which can provide clean water at more affordable prices. PPIAF and SNTA technical assistance also increase the efficiency of existing water systems, by reducing non-revenue water losses.

The SNTA program helps sub-national entities such as water utilities improve their creditworthiness so they can access market-based financing on their own account, without sovereign guarantees.  This combination of PPIAF and SNTA work is uniquely able to provide technical assistance support that will help public water utilities and small-scale private operators expand their water supply systems to rural and peri-urban communities.


Water services and the private sector in developing countries: Comparative perceptions and discussion dynamics (French) (English version coming soon)

Using Credit Ratings to Improve Water Utility Access to Market Finance in Sub-Saharan Africa

This note summarizes support provided by PPIAF's SNTA program in partnership with the Water and Sanitation Program (WSP) to provide technical assistance to water utilities to improve their access to market finance. A mechanism was developed to assess the creditworthiness of the utilities that accounted for internal factors, such as financial and credit management, and external factors, including susceptibility to external shocks. As a result of PPIAF and WSP's support, seven water utilities were assessed and assigned credit ratings in December 2008. Key factors of each utility’s rating and the common challenges facing water utilities are highlighted in this note.

 

Access to Water and Sanitation for All

Former World Bank Managing Director Ngozi Okonjo-Iweala speaks about her personal experiences with a lack of access to clean water and basic sanitation facilities in this video from the World Bank. PPIAF highlighted the key messages from the video and explains how PPIAF can help increase access to clean water and basic sanitation in developing countries in this presentation.
 

 

 

PPIAF In Action: PPIAF Facilitates Micro-Financing for Peri-Urban Water Providers in Kenya

This slideshow examines PPIAF's assistance to facilitate commercial financing for community-based water providers in Kenya. This activity resulted in 18 sub-projects receiving a total of $1.5 million in financing as of June 2011. These projects are benefiting over 40,000 people in peri-ruban and rural Kenya.

 

 

Private sector participation in water infrastructure: review of the last 20 years and the way forward

Private activity in the water sector by number of projects has more than doubled over the last decade. However, since the beginning of the financial crisis, the number of new projects has steadily declined. In light of these important changes this presentation, prepared for the International Finance Corporation, analyzes the scope and evolution of private sector participation in water infrastructure in low-and middle-countries over the last 20 years. It examines private activity in the water sector by region, segment, types of contract and project's size. It also reviews cancellations and top sponsors.

 

New trends in private participation in water infrastructure

This presentation outlines recent trends in private participation in water infrastructure. It examines the level of private activity in developing countries' water sectors, the types of water PPPs being implemented, and the geographic distribution of private financing for water PPPs.