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Complete Book PDF (4.12MB) - World Bank eLibrary

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Rural Water Supply Corruption in Ethiopia 163<br />

(a) interference in the selection of committee members by powerful<br />

village members; (b) nomination of noncommittee members for training;<br />

(c) failure to bank all of the money collected from users; and (d)<br />

unauthorized withdrawal and theft of funds by committee members.<br />

Interference in committee selection and hence training has a financial<br />

implication because those attending courses receive an allowance.<br />

A general conclusion is that although our survey did not highlight<br />

evidence of corrupt practice in local payment systems, 23 there are clear<br />

risks—particularly in larger schemes, where banks are distant, where<br />

money is left in the care of individuals for long periods of time, and where<br />

woreda officials find it difficult to keep tabs on community-held funds.<br />

Partly as a response to these risks, civil society organizations have lobbied<br />

government to grant WUAs legal status through a Proclamation on the<br />

Establishment of Rural Water Users’ Associations (see box 4.8), under a<br />

task force coordinated by the MOWR. One of the key aims is to reduce<br />

the risk of local, village-level corruption.<br />

Box 4.8<br />

Proclamation on the Establishment of Rural Water Users’<br />

Associations<br />

Although household contributions to local O&M funds are small (Br 1 to Br 2 per<br />

month), combined funds can quickly add up. A village of 500 households, for<br />

example, would contribute Br 6,000 to Br 12,000 over the course of a year. Funds<br />

should be deposited regularly in a bank account, but where banks are difficult to<br />

reach, cash is often kept in the house of a committee member. Moreover, although<br />

woreda officials are supposed to authorize the opening of a WUA bank account<br />

and are responsible for investigating any reports of misuse, the job is a difficult<br />

one, especially when there are repeated changes in committee membership.<br />

Over time, woreda oversight becomes weaker.<br />

NGOs that work with communities on a long-term basis are more aware than<br />

most of the opportunities that local oversight creates for the misappropriation of<br />

funds. One NGO staff member interviewed reported how a committee member<br />

had disappeared with more than Br 15,000 from a large village project—a major<br />

(continued next page)

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