Performance Monitoring and Benchmarkıng (A Tanzania Experience)

1. Performance Monitoring and Benchmarkıng (A Tanzania Experience) Eng. Mutaekulwa T.K Mutegeki Director of Water and Sewerage Energy and Water Utilities Regulatory Authority (EWURA) Tanzania Istanbul 18th March 2009

2. Background • In 1998, 19 autonomous urban water utilities were established in all regional capitals of Tanzania after amending the Water Act- based on 3 categories depending on the ability to cover O&M. • Hence, the start of full monitoring and benchmarking using the MOU between Ministry and each utility • More than 20 Indicators( technical, commercial and financial). • Submission of Monthly, Quarterly and Annual reports in paper form • Annual benchmarking + Incentives (move to higher category with more independence)

3. 10 years Achievement (1998 to 2008) • Utilities capable of covering O&M + part of investment increased from 3 to 12 out of 19 • Coverage increased from 65% to 80%. • Revenue Collection has increased from TZS 4.3 (USD 3.3 M) billion to TZS 28 (USD 21.6 M). • Number of Customers have increased from 55,000 to 290,000 out of which 80% are metered (target 100% by 2010). • UfW reduced from 70% to 36%, target is 20% by 2010.

4. Performance Monitoring using a Water Utilities Information System (MajIs) • MajIs was established in 2006 and is used by the Energy and Water Utilities Regulatory Authority (EWURA) for performance monitoring of water utilities and by the Ministry responsible for Water for assessing the implementation of the Water Policy+MDG’s. • MajIs is tailor made database developed locally on the basis of data and indicators which were originally reported in paper form. • Reports are sent electronically to EWURA and copied to the Ministry responsible for Water. • MajIs produces Utility progress report and Utilities comparison report • The data collected is raw and the software does the calculation in order to; • Minimize calculation errors and differing understanding of performance indicators by different utilities Benchmarking facilitates comparative competition.

5. MajIs

6. Benefits of using MajIs • Identification of data inaccuracies by analyzing trends and provide early feedback

7. Benefits of using MajIs (cont.) • Easy to make comparative analysis and benchmarking of different Utilities

8. Benefits of using MajIs (cont.) • Faster analysis and compilation of reports. • Analysis of requested tariff increases. • To track the attainment of performance and MDG targets. • Special Version of MajIs now in use for capturing basic data from 104 district and small water utilities which wil be ultimately monitored using the same system. • Utilities use MajIs to monitor their performance – thus an increased demand from utilities to include more data and analysis in MajIs

9. Challenges • Delays in submission of reports • Reliability of Internet. • Data inconsistences • Continuous feedback to Utilities

10. Application of MajIs Service Provider MajIs Database Data input Analysis and compilation of data Service provider Regulator Ministry resp. for Water Monitor Policy implementation+ Invest-ments+MDG’s Self assessment Performance Moni-toring +Bench-marking (selected indicators) Reports (hard copies+website) Customers, Government, Global Monitoring(MDG)’s, stakeholders

11. Ahsante (Thank You)