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Hydraulic ram pumps and Sling Pumps

Hydraulic ram pumps and Sling Pumps

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Key Factors for Sustainable Cost Recovery1.4.3 Formalising distribution of responsibilitiesThe next step consists of sealing the distribution of financial responsibilities through an agreement orcontract which describes the rights <strong>and</strong> obligations of each party, <strong>and</strong> defines the mechanisms fordealing with breaches of this agreement.In many countries, the Water Committee does not have a proper legal status. This puts the WaterCommittee in a vulnerable position in the event of any material, financial, contractual or legalproblem, <strong>and</strong> is a reason why the legal status of the Water Committee should be part of the agreement.The usual forms of legal status include the following:• The Municipality officially registers a Committee which has been elected by a General Assemblyof users. The Assembly must produce a “constituting” Act.• The Water Committee is registered at the Chamber of Commerce as a non-profit makingassociation.• The Water Committee is registered at the Chamber of Commerce as an association with aneconomic interest, which gives it the right to operate under a concession <strong>and</strong> to make contractualarrangements with local authorities.• The Water Committee operates under the legal m<strong>and</strong>ate of a Development Association.1.5 Accompanying measures <strong>and</strong> capacity-building1.5.1 Establishing an enabling environmentGovernment agencies <strong>and</strong> sector NGOs can play a major role in supporting activities at local level <strong>and</strong>national level, which can contribute to improved financial sustainability. This support can includeestablishing a clear legal f<strong>ram</strong>ework <strong>and</strong> policy on cost recovery, by which Governments clarify the“rules of the game” for communities, water enterprises <strong>and</strong> local authorities, so that each is aware ofits rights <strong>and</strong> obligations. The sector policy should either specify the level of water rates or outline thelegal pa<strong>ram</strong>eters within which communities can determine their own water rates. Governments canalso give incentives to private or local operators.Today, governments are beginning to promote education campaigns about the benefits of safe drinkingwater, the need to protect water resources <strong>and</strong> the beneficial effects of the proper use of water. Othersupport can include giving clear <strong>and</strong> accurate information before the start of a project <strong>and</strong> promotinghygiene education. These steps make users more aware of their responsibilities for their own watersupply. This can contribute to willingness to pay.1.5.2 Capacity-buildingTraining community members, especially members of the Water Committee, in financing <strong>and</strong> otherissues is very important to sustain services. Training needs to be adjusted to ensure it is not too farfrom the community, it is not too long, <strong>and</strong> it matches the appropriate level of education forcommunity members. These issues, <strong>and</strong> others, are especially important to ensure that women as wellas men are trained. In many cases, communities need training on bookkeeping <strong>and</strong> financialmanagement. They might need to discuss with local authorities what to do in the event of majorproblems, <strong>and</strong> will need to rely on support from the private sector. Communities must be ready <strong>and</strong>able to fight for their rights.Training might also be needed for project staff, who often see cost recovery as secondary to technicalissues. They will need to be aware that cost recovery is a key factor in sustainable water supplies <strong>and</strong>that it needs to be planned for right from the start.This implies that some provision has been made by support organisations for training <strong>and</strong> capacitybuilding, in order to achieve sustainable cost recovery.25

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