AFRICAN DEVELOPMENT FUND Language: English Original: French

SENEGAL SUB-PROGRAMME FOR THE LAUNCHING OF

THE RURAL WATER SUPPLY AND SANITATION INITIATIVE

APPRAISAL REPORT

DEPARTMENT OF INFRASTRUCTURE OCIN WEST & CENTRAL REGIONS May 2005

TABLE OF CONTENTS Page

SUB-PROGRAMME INFORMATION SHEET, CURRENCIES AND MEASURES, LIST OF TABLES, LIST OF ANNEXES, LIST OF ACRONYMS AND ABBREVIATIONS, BASIC DATA, SUB-PROGRAMME MATRIX, EXECUTIVE SUMMARY i to xi . 1. INTRODUCTION 1 1.1 Bank’s Initiative 1 1.2 Bank’s Initiative in Senegal 2 2 WATER AND SANITATION SECTOR 2 2.1 Characteristics of the Sector 2 2.2 Organization of the Sector 4 2.3 Sector Constraints and Opportunities 6 2.4 Sector Policy and Development Strategy 8 2.5 Donor Interventions 9 2.6 Bank Group Strategy 10 3 DWSS SUBSECTOR IN RURAL AREAS 10 3.1 DWS in Rural Areas 10 3.2 Rural Sanitation 10 3.3 Sub-sector Constraints and Opportunities 11 3.4 Sub-Sector Policy and Development Strategy 12 3.5 Lessons Learnt From Donor Intervention 13 4 COUNTRY PROGRAMME 14 4.1 Design and Rationale 14 4.2 Objectives of Country Programme and Launching Sub-Programme 17 4.3 Intervention Areas and Sub-Programme Target Communities 17 4.4 Strategic Context 20 4.5 Description of Country Programme and Launching Sub-Programme 20 4.6 Impact on Cross-Cutting Issues 23 4.7 Costs of Country Programme and Launching Sub-Programme 25 4.8 Sources of Finance and Expenditure Schedule 27 4.9 Performance Indicators 30 5. IMPLEMENTATION OFSUB-PROGRAMME FOR

THE LAUNCHING OF THE INITIATIVE 30 5.1 Implementation Framework 30 5.2 Executing Agency and Coordination of Interventions 31

5.3 Steering Committee 32 5.4 Sub-Programme Implementation Plan 32 5.5 Project Site Eligibility Criteria 32 5.6 Implementation and Supervision Schedules 33 5.7 Procurement Arrangements 34 5.8 Disbursement Arrangements 38 5.9 Financial and Audit Reports 38 5.10 Partnerships 38 5.11 Sustainability and Risks of Launching Sub-Programme 39

6 ANALYSIS OF IMPACTS FO SUB-PROGRAMME 41 6.1 Analysis of Economic and Financial Impact 41 6.2 Sensitivity Test 43 6.3 Analysis of Social and Health Impact and its Financial Effect on the Communities 43 6.4 Analysis of Impact on Poverty 45 6.5 Analysis of Impact on Women 46 6.6 Analysis of Impacts on Environment 47 7 CONCLUSION AND RECOMMENDATIONS 48 7.1 Conclusion 48 7.2 Recommendations and Conditions 48 LIST OF TABLES Page Table 2.1 (a) : Rates for Household and Stand-pipe Users ( as of 1st January 2003) 4 Table 4.7 (a) : Summary of Cost Estimates of Sub-Programme by Component 26 Table 4.7 (b) : Summary of Cost of Sub-Programme by Category of Expenditure 26 Table 4.8 (a) : Sources of Finance 28 Table 4.8 (b) : Sources of Finance by Component 28 Table 4.8 (c) : Sources of Finance by Expenditure Category 29 Table 4.8 (d) : Expenditure Schedule by Source of Finance 29 Table 4.8 (e) : Expenditure Schedule 33 Table 5.1 : Procurement Arrangements 34 LIST OF ANNEXES No. of Pages Annex 1 : Map of Launching Sub-Programme Area 1 Annex 2 : List of Bank Operations in Senegal 1 Annex 3 : Organization Chart of Sub-Programme 1 Annex 4 : Implementation Schedule of Sub-Programme 1 Annex 5 : Detailed Costs of Components of Sub-Programme 4 Annex 6 : Intentions of Water Sector Donors for PEPAM 2 Annex 7 : Summary of Environmental and Social Management Plan 3 Annex 8 : Financial Analysis of a Typical ASUFOR 1 Annex 9 : Summary of Economic Costs and Benefits 2 Annex 10 : List of sub-Programme Documents 1

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AFRICAN DEVELOPMENT FUND

BP 323 – 1002 Tunis Belvédère Tel : 71 333 511

SUB-PROGRAMME INFORMATION SHEET

Date : May 2005

The information given hereunder is intended to provide some guidance to prospective suppliers, contractors, consultants and all persons interested in the procurement of goods and services for projects approved by the Boards of Directors of the Bank Group. More detailed information and guidance should be obtained from the Executing Agency of the Borrower. 1. COUNTRY : Senegal 2. NAME : ADB Rural Water Supply and Sanitation Initiative –

Launching Sub- Programme. 3. LOCATION : Three (3) regions of the country (Louga, Ziguinchor and

Kolda). 4. BORROWER : Government of Senegal 5. EXECUTING AGENCY : MINISTRY OF AGRICULTURE AND WATER RESOURCES

ADMINISTRATIVE BUILDING 3RD FLOOR BP 4005 DAKAR - SENEGAL

FAX: (221) 823 32 68 TEL: (221) 849 72 13

6. DESCRIPTION OF LAUNCHING SUB-PROGRAMME The main outputs of the sub-programme are: (i) 17,100 new household latrines and wash tubs fitted with hand-wash basins; (ii) 477 new multi-compartmental latrines, constructed at village public facilities (markets, schools, health centres and other public places); (iii) 151 masons and 169 trained school teachers; (iv) 400 female intermediaries put in place for hygiene education at village level; (v) 27 new boreholes constructed and 52 old ones rehabilitated; (vi) 85 new DWS systems constructed, including water towers to serve an estimated 240 villages; (vii) 86 pumping units (motors and pumps) provided and installed; (viii) 30 borehole electrification undertaken; (ix) 9,050 individual connections put in place; (x) 750 distribution meters and 178 production meters installed; (xi) 178 borehole users’ associations (ASUFOR), put in place, supervised and trained in the management and maintenance of water points; (xii) 178 ASUFOR managers and borehole operators trained; and (xiii) training, outreach and awareness raising campaigns undertaken in nearly 240 villages in the three regions (Louga, Ziguinchor and Kolda) of the sub-programme. Implementation of these operations will help satisfy the needs in water and sanitation infrastructure for an estimated 800,000 persons in the three priority regions (Louga, Ziguinchor and Kolda), of whom 183,000 will be directly concerned by clean drinking water, 172,000 by household sanitation (about 17,100 households) and the entire population by community sanitation facilities.

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7. SUB-PROGRAMME COST : UA 29 million i) Foreign Exchange : UA 6.96 million ii) Local Currency : UA 22.04 million 8. ADB GROUP FINANCING : UA 25 million i) ADF Loan : UA 25 million 9. OTHER SOURCES OF FINANCE : UA 4 million Beneficiaries : UA 0.882 million Government : UA 3.118 million 10. APPROVAL DATE OF SUB-PROGRAMME : September 2005

11. PROBABLE START UP DATE AND DURATION OF SUB-PROGRAMME : January 2006 and 48 months. 12. PROCUREMENT OF GOODS, WORKS AND SERVICES : Procurement of goods, works and services financed by the ADF will be in accordance with the Rules of Procedure for the procurement of goods and works or, where necessary, the Rules of Procedure of the Bank for the use of consultants based on the Bank’s appropriate standard bidding documents. Contracts for private sanitation,

individual water connections and installation of distribution meters will be based on the ADB procedures for community contracts.

13. CONSULTANCY SERVICES REQUIRED : Required for the Sub-Programme Coordination Unit, monitoring and inspection of works, construction of drinking water supply systems, IEC campaigns on drinking water and sanitation as well as for audits. 14. ENVIRONMENTAL CATEGORY : II

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CURRENCY EQUIVALENTS (May 2005)

UA 1 = CFAF 767.883

WEIGHTS AND MEASURES m = metre m² = square metre lm = linear metre m3 = cubic metre km = kilometre Mm3 = Millions of cubic metres km² = square kilometre m3/h = cubic metre per hour l/s = litre per second l/d/cap = litre per day per capita

FISCAL YEAR

1st January – 31 December

ACRONYMS AND ABBREVIATIONS ABEDA : Arab Bank for Economic Development of Africa ADF : African Development Fund AFD : French Development Agency AFDS : Social Development Social Fund Agency ASUFOR : Borehole Users Association CIB : Consolidated Investment Budget WADB : West African Development Bank CBAO : Bank of West Africa CREPA : Regional Centre for Water and Sanitation CV : Curriculum Vitae DAS : Sanitation Directorate DCEF : Directorate for Economic and Financial Cooperation DDI : Directorate for Debt and Investment DEEC : Directorate for Environment and Classified Establishments DEM : Directorate for Operation and Maintenance DGPRE : Directorate for Water Resources Management and Planning DHY : Directorate for Water Resources EA : Executing Agency EIB : European Investment Bank EIG : Economic Interest Grouping ESMP : Environmental and Social Management Plan EU : European Union SFD : Saudi Fund for Development FT : Flush Toilet GVT : Government HP : Hand Pump ICB : International Competitive Bidding IDB : Islamic Development Bank IEC : Information, Education and Communication IWRM : Integrated Water Resources Management KFAED : Kuwait Fund for Arab Economic Development KFW : Kreditanstalt für Wiederaufbau LDP : Local Development Plan LTP : Long Term Water Project

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LWSP : Local Water and Sanitation Plan MAH : Ministry of Agriculture and Water Resources MDG : Millennium Development Goal MP : Motorized Pump MPHPA : Ministry for Prevention, Public Hygiene and Sanitation MVWS : Multi-Village Water Supply NCB : National Competitive Bidding NGO : Non Governmental Organization NIDF : Nordic International Development Fund NPV : Net Present Value NRIP : National Rural Infrastructure Programme ONAS : National Agency for Sanitation of Senegal PADMIR : Rural Development Support Programme PAQPUD : Programme for Private Sanitation in Peri-Urban Areas of Dakar PARPEBA : Project to Strengthen Water Points of the Groundnut Basin PC : Private Connection PCU : Sub-Programme Coordination Unit PEPAM : Millennium Water and Sanitation Programme PEPTAC : Project on Safe Water and Support for Community Activities PVC : Polyvinyl Chloride SDE : Senegal Water Distribution Company SONES : National Water Company of Senegal SP : Standpipe SSP : Sanitation Strategic Plan SYSCOA : West African Accounting System UA : Unit of Account VIP(latrines) : Ventilated Improved Pit Latrine SWS : Single-Village Water Supply WB : World Bank DWS : Drinking Water Supply WSP : Water Sector Project DWSS : Drinking Water Supply and Sanitation

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SENEGAL : ADB Rural Water Supply and Sanitation Initiative Millennium Water Supply and Sanitation Programme Matrix (PEPAM-rural) 2015

Hierarchy of Objectives (HO) Objectively Verifiable Indicators (OVI) Means of Verification (MoV) Major Assumptions and Risks

Sector Goal: Provide sustainable supply of drinking water and sanitation in rural areas to improve the living conditions and health of the communities.

- Achievement of MDGs for water (82%) and Sanitation (59%) for Senegal by 2015 - Reduce infant mortality from 78 per thousand in 2005 to 39 per thousand by 2015

- Reduce incidence of poverty from 60% in 2005 to 30% by 2015 .

-National statistics on water-borne diseases - Socioeconomic data

(Sector goal to super goal) :

Programme Objectives: - Improve the supply of drinking water to rural communities; - Ensure adequate sanitation to rural communities; - Contribute to improving the performance of the rural water and sanitation sub-sectors.

- In 2010, rate of access to drinking water in rural areas decreases from 64% to 73 % and the rate of sanitation coverage from 17 to 38 %. - By 2015 1. Rate of access to drinking water in

rural areas rises from the current level of 64% to 82%

2. Sanitation services coverage rate increases from 17% to 59% in rural areas;

3 Rate of breakdown of pumps falls below the current rate of 03 %; 4 Intervention time for breakdowns is 3

days maximum 5 All water points undergo at least two

quality analyses per year.

- DHY, DEM, DAS and DGPRE statistics.

1 , 2 and 3 : Statistics and DHY, DEM, DAS et DGPRE activity reports . 4 et 5 : DPS statistics

(Programme objective to sector goal) : - Stable macroeconomic framework. - Reforms related to decentralization policy pursued - Institutional framework of sector strengthened and implemented

Outputs: - A modern water point is provided for every 250 rural dwellers and all the rural localities have at least one modern water point. - An efficient system of sanitation is provided in all rural localities (household latrines and/or compartmentalized semi-community latrines) - Structures for the management of water and sanitation systems exist in all localities and are viable - communities sensitized and involved in the design and management of DWSS facilities

By 2015 1 – Drinking Water : 3251 localities equipped, providing access to a total of 3,200,000 persons. 2 - Sanitation: 355,000 households equipped in latrines and 3360 public latrines constructed. 3 – Other Outputs 4500 community DWSS management structures strengthened and 3251 new ones created, with at least one female representative in each structure ; about 2500 artisans (masons, well operators, repairers, etc.) trained; over 500 IEC campaigns conducted.

1 – Works acceptance reports, visits to programme sites, programme completion reports by the country and the Bank 2 - Works acceptance reports, visits to programme sites, programme completion reports by the country and the Bank 3 - Works acceptance reports, visits to programme sites, programme completion reports by the country and the Bank

(Outcomes to programme objectives) 1. Reform of the management of motorized boreholes (REGE-FOR) is effectively implemented.

Activities: Competitive bidding, award of contracts, inspection and monitoring training/awareness supply/ works

Resources : Total cost of rural PEPAM: UA 357 million Donors: UA 303.4 million Government, and Beneficiaries: UA 53.6 million Coordination Unit Consulting Firms Contractors NGOs and Sectoral Associations

Loan or Grant Agreements Contracts signed Disbursement statements Audit reports

(Activities to outcomes) -Timely mobilization of beneficiaries’ contributions -External finances are put in place in time

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NAME : Rural Water Supply and Sanitation Initiative in Senegal – Launch Sub-Programme DATE OF INCEPTION : May 2005 DATE OF COMPLETION : 31 December 2009 DESIGN TEAM : MBAYE / CARIOU / JOOTTUN

Narrative Summary (NS)

Objectively Verifiable Indicators (OVI)

Means of Verification (MV)

Key Assumptions

1. SECTOR GOAL Provide sustainable supply of drinking water and sanitation in rural areas to improve the living conditions and health of the communities.

1.1 The poverty index is reduced from 60% in 2005 to 30% in 2015 ; 1.2 Achievement of MDGs for Water (82%) and Sanitation (59%) in Senegal by 2015

Socioeconomic statistics Health statistics Environmental statistics

(Sector goal to super goal)

2. SUB-PROGRAMME 2.1 Improve drinking water supply services in 240 rural localities in the 3 regions (Louga, Ziguinchor and Kolda) ; 2.2 Improve household sanitation services in 240 rural localities and community sanitation services in 60 rural communities in the 3 regions.

- By 2007 (mid-term) * The rate of drinking water supply of population targeted by the sub-programme rises from 64% in 2005 to 73 %, 68% and 67% respectively in the Louga, Ziguinchor and Kolda regions; * The rate of coverage of private sanitation increases from 17% in 2005 to 26 %, 20% and 21% in Louga, Ziguinchor and Kolda respectively; * The average prevalence rate of water borne diseases and faecal peril in the 3 regions falls from 22% in 2005 to 20%. - By 2009

* The rate of water supply coverage for communities targeted by the sub-programme increases from 64% in 2005 to 82 %, 71% and 69% respectively in the Louga, Ziguinchor and Kolda regions; * Private sanitation coverage increases from 17% in 2005 to 34 %, 23% and 24% respectively in Louga, Ziguinchor and Kolda; * The average prevalence of water borne-diseases in the 3 regions falls from 22% in 2005 to 18%.

Country reports and statistics on the 3 regions concerned Project completion report by country Consultants’ final reports

(Sub- Programme Objective to Sector Goal) - Stable macroeconomic framework. - reforms related to decentralization policy pursued -Institutional framework of the strengthened sector implemented

3. OUTPUTS 3.1 DWS facilities provided or rehabilitated in 240 rural localities in the 3 regions of the sub-programme; 3.2 Household and public sanitation structures provided in 240 localities and 60 rural communities in the 3 regions.

By 2009, in the 3 regions of Louga, Ziguinchor and Kolda. 3.1.1 : Drilling of 27 new boreholes 3.1.2 : Construction of 85 new DWSS systems 3.1.3 : Supply and installation of 86 pumping equipment (motors and pumps) 3.1.4 : Electrification of 30 boreholes 3.1.5 : Rehabilitation of 52 boreholes 3.1.6 : Putting in place of 9050 private connections, 750 distribution meters and 178 production meters. 3.1.7 : Putting in place and training of 178 ASUFORs and ASUFOR managers 3.2.1 : 17,100 private, household sanitation facilities provided 3.2.2 : 477 community latrines built 3.2.3 : 151 artisan masons and 169 school teachers trained; 400 women hygiene intermediaries put in place and 800,000 beneficiaries sensitized.

Consultants and sub-programme coordination unit quarterly activity reports quarterly activity reports of NGOs in charge of outreach/awareness and training. ADF supervision missions Contractors’ reports Completion report

(Outputs to Sub-Programme Objectives) 1. Reform of management of motorized boreholes (REGEFOR), extended to all the sites of the sub-programme financed by the Bank 2. Situation of instability prevailing in Casamance over the last 20 years.

4. ACTIVITIES 4.1 Putting in place of the Coordination Unit of the sub-programme ; 4.2 Recruitment of Consultants and Auditors for the monitoring of works, outreach/awareness (IEC campaigns) and audits; 4.3 Award of tenders to contractors for the execution of works.

SOURCES OF FINANCE ADF Loan : UA 25,000,000 Beneficiaries : UA 882,000 Government : UA 3,118,000 TOTAL UC 29,000,000

Loan agreement Supervision and completion missions Consultants and contractors’ contracts

(Activities to Outputs) -Early mobilization of contributions by communities

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EXECUTIVE SUMMARY

1. ORIGIN AND HISTORY 1.1. In Senegal, the level of supply of clean water in rural areas is estimated at 64%. That of access to sanitation (collection and evacuation of wastewater and domestic solid wastes) is estimated at 17%. This situation, whereby the vast majority of the country’s rural localities do not as yet have adequate systems for the collection and evacuation of wastewater, excreta and solid wastes has serious implications for the health of the communities concerned. 1.2 The present rural water supply and sanitation sub-programme aims at addressing this major concern. It falls within the scope of the Bank’s Initiative for the sector and constitutes its maiden sub-programme in Senegal. At the same time, it represents an effective component of the country’s Millennium Water Supply and Sanitation Programme (PEPAM) and thus reflects the Government’s aim to ensure the equitable development of the various regions of the country as well as remedy the inadequacies noted in line with the policy of decentralization and regional balance. To this end, it will be based on: (i) the new sectoral policy letter of PEPAM adopted by the Government and donors in April 2005 and; (ii) the Government’s strategy in rural sanitation outlined under the PEPAM. This strategy has translated into the setting up of structures at national level in charge of defining the strategic orientations and proposing global solutions for the problem of wastewater, solid wastes and excreta in the rural areas in question. 1.3 The actions envisaged in the present report will be underpinned by a process of permanent consultation with the major donors in the country’s water sector. This consultation desired by the Government, and already incorporated in the appraisal of this sub-programme, will be pursued as it constitutes an important guarantee for the successful achievement of the objectives outlined in the PEPAM. 2 PURPOSE OF FINANCIAL CONTRIBUTION The ADF loan amounting to UA 25 million will cover about 86% of the total cost of the first sub -programme of the Initiative. It will cover 100 % of the foreign exchange costs and 82% of the local currency costs. 3 OBJECTIVES Country Programme (PEPAM) 3.1 The goal of PEPAM is to ensure the sustainable supply of safe drinking water and sanitation in the rural areas aimed at improving the living conditions and health of the people. The specific objectives are to: i) improve water supply to rural communities; ii) provide adequate sanitation to the rural communities and; iii) contribute to improving the performance of the rural water supply and sanitation sector.

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Launching Sub-Programme 3.2 The sector goal of the launching sub-programme is to contribute to improving the socioeconomic and health conditions of rural communities. Specifically, it aims to: (i) improve water and household sanitation services in 240 rural localities of 3 regions (Louga, Ziguinchor and Kolda) and; (ii) improve community sanitation services in 60 of the 114 rural communities of the 3 regions. 4. BRIEF DESCRIPTION OF OUTPUTS OF COUNTRY PROGRAMME AND LAUNCHING SUB-PROGRAMME Country Programme (PEPAM) 4.1 Measures to be taken to achieve the millennium goals in the area of rural water supply and sanitation in the country have been precisely defined in the national programme (PEPAM) which was formulated and approved by the Government on 7 and 8 January 2005 and by the donor community of the sector on 29 April 2005 in Dakar. The targets defined under the country programme are 82% supply of drinking water and 59% of sanitation services for the rural areas by 2015. On this basis, the PEPAM is expected to result in the following outputs within this timeframe: (a) the “drinking water infrastructure” component targets drinking water supply for 3,251 localities for a population of 3.2 million by 2015 and the strengthening of existing facilities; (b) the “sanitation infrastructure” component targets the provision of 355,000 private domestic systems and 3,360 public latrines and; (c) the “unified framework for action” component comprises: (i) building of the implementation capacities of Government services, local authorities and the private sector; (ii) building of the management capacities of users’ associations, (iii) building of monitoring-evaluation capacities; (iv) building of local financing capacities through decentralized financial systems; and (v) coordination of consultants’ programme and services. Launching Sub-Programme 4.2 The main outputs of the sub-programme are: (i) 17,100 new household latrines and wash tub fitted with hand-wash basins; (ii) 477 new multi-compartmental latrines, constructed at village public facilities (markets, schools, health centres and other public places); (iii) 151 masons and 169 trained school teachers; (iv) 400 female intermediaries put in place for hygiene education at village level; (v) 27 new boreholes constructed and 52 old ones rehabilitated; (vi) 85 new DWSS systems constructed, including water towers to serve an estimated 240 villages; (vii) 86 pumping units (motors and pumps) provided and installed; (viii) 30 borehole electrification undertaken; (ix) 9,050 individual connections put in place; (x) 750 distribution meters and 178 production meters installed; (xi) 178 borehole users’ associations (ASUFOR), put in place, supervised and trained in the management and maintenance of water points; (xii) 178 ASUFOR managers and borehole operators trained; and (xiii) training, outreach and awareness raising campaigns undertaken in nearly 240 villages in the three regions (Louga, Ziguinchor and Kolda) of the sub-programme. Implementation of these operations will help satisfy the needs in water and sanitation infrastructure for an estimated 800,000 persons in the three priority regions (Louga, Ziguinchor and Kolda), of whom 183,000 will be directly concerned by clean drinking water, 172,000 by household sanitation (about 17,100 households) and the entire population by community sanitation facilities.

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5 COSTS Country Programme 5.1 The total estimated cost of the PEPAM for the rural areas is CFAF 274.1 billion (UA 357 million) over the 2005-2015 period comprising UA 201 million for drinking water infrastructure, UA 135 million for sanitation facilities and UA 21 million to put in place a unified framework for action. The financial schedule of the programme comprises the following 4 phases: (i) a two-year preparation and launch phase covering 2005-2006, which will include negotiation with partners for the financing of the programme, putting in place of the unified framework for action, implementation of a priority investment programme and invitation for bids for works of the first phase of implementation;(ii) three implementation phases of 3 years between 2007 and 2015. A review will be conducted at the end of each phase to make the relevant adjustments to the objectives. Launching Sub-Programme 5.2 The estimated cost, excluding taxes, of the sub-programme is UA 29 million, comprising UA 6.96 million in foreign exchange (24%) and UA 22.04 million in local currency (76%). This includes provisions for physical contingencies (10% for works, 5% for services) and annual price escalation (2% for foreign exchange and 3% for local currency). 6 SOURCES OF FINANCE The country programme (PEPAM) and launching sub-programme will be jointly financed by the ADF, the beneficiary communities, donors and the Government of Senegal. For the launching sub-programme, the ADF contribution amounting to UA 25 million, represents 86% of the total cost of the sub-programme. The contribution by the beneficiary communities will amount to UA 0.882 million and that of the Government to UA 3.118 million. 7 IMPLEMENTATION The executing agency for the launching sub-programme will be the Ministry of Agriculture and Water Resources (MAH). The MAH will create a Sub-Programme Coordination Unit (PCU) for the management and general coordination of the implementation of the sub-programme. Consultancy firms will be contracted for the supervision and quality control of works. The information, education and communication (IEC) of the beneficiary communities on the outputs of the sub-programme will be entrusted to NGOs or specialized consultancy firms. All these activities will be conducted under the direct supervision of technical executing agencies with the coordination of the PCU.

8 CONCLUSIONS AND RECOMMENDATIONS 8.1 The sub-programme to launch the ADB Rural Water Supply and Sanitation Initiative forms part of the Government’s strategies and those of the Bank aimed, inter alia, at combating poverty and strengthening social amenities in the rural areas. A participatory and concerted approach with the major donors of the sector prevailed throughout the appraisal of the sub-programme. A consultative framework was put in place by the country’s authorities at the initial phases of formulation of the millennium water and sanitation programme

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(PEPAM) in September 2004, up to its approval in January 2005 and the organization by the Government of the donors’ roundtable on 29 April 2005 in Dakar (see Annex 6). This participatory approach augurs well for the speedy and concerted achievement of the goals of the said programme which has henceforth received the approval of all the stakeholders of the country’s water and sanitation sector. 8.2 The water supply facilities provided will contribute to meeting the quantitative and qualitative needs of the rural communities in clean water and sanitation in the three regions of the country (about 800,000 persons). The sub-programme will help improve the health conditions of the inhabitants, reduce health expenditure, promote water-related income-generating activities and develop the private sector in the intervention areas. 8.3 To implement this sub-programme as described in the present report, it is recommended that an ADF loan not exceeding UA 25 million be granted to the Republic of Senegal, subject to the fulfilment of conditions outlined in the loan agreement.

1. INTRODUCTION 1.1 Bank’s Initiative 1.1.1 Clearly disadvantaged in relation to urban areas in terms of access to water and sanitation systems, rural Africa has received only a paltry portion of investments in this sector. The high deficit in drinking water supply and sanitation services increases the incidence of water-borne diseases, deprives both children of time that they would normally use for studies and women of time they could devote to income-generating activities. Investing in the rural water and sanitation sector constitutes a means of having a rapid and significant impact on poverty reduction. The Bank’s initiative in this regard is a pertinent response for contributing to accelerating access to rural water supply and sanitation in Africa, and thereby contributing to achieving the Millennium Development Goals (MDGs) in the water sector and the African Water Vision under the integrated water resources management framework (IWRM). 1.1.2 This Initiative aims at covering 66% drinking water and sanitation needs by 2010 and 80% by 2015 using the following strategic actions: i) mobilize more financial resources to promote and support local initiatives for the financing of DWSS services in rural areas; ii) putting in place and using accelerated mechanisms for preparing and undertaking interventions aimed at activating national rural DWSS programmes; iii) implementing, with the participation of beneficiaries, notably women, projects intended to extend and consolidate in a sustainable manner the coverage of DSS services in the rural areas using the demand-responsive approach; iv) promote simple and appropriate technologies involving the consensus of beneficiaries with regard to the acceptable standard of service, facility of use as well as knowledge and local skills for its operation and maintenance. 1.1.3 Accelerated mechanisms recommended by the initiative will entail the putting in place of flexible, transparent and rapid procedures for the preparation, appraisal and implementation of programmes and projects, procurement, disbursement and financial management while maintaining the quality and sustainability of the actions envisaged. 1.1.4 Instead of isolated projects, the initiative rather recommends the programme approach in the identification, preparation, appraisal and implementation of interventions. Investments are based on the agreed minimum level of service of drinking water supply and sanitation, taking into account hydrological and hydro-geological conditions, population density and the socioeconomic situation of the communities. 1.1.5 Community financing will be primarily based on decentralized financing structures. At community level, implementing structures and services management will be based on existing institutions, local organizations and associations and women’s groupings. The capacity of executing agencies and beneficiaries will be strengthened to enable them to undertake the execution, planning and adequate management of the services. 1.1.6 This Initiative will be implemented through permanent partnership with other donors operating in the country’s rural water and sanitation sector. The partnership will be geared towards encouraging the coordination of the activities of various donors on the ground, capacity building and enhanced effectiveness in the implementation of the sub-programme on the whole.

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1.2 Bank’s Initiative in Senegal 1.2.1 Officially launched during the water week in July 2004, the initiative began in an initial group of countries where the institutional framework was deemed to be particularly advanced and a 2015 DWSS programme available (Mali, Rwanda, Ghana and Benin). The initiative will be extended to other eligible countries based on the criteria outlined in its implementation framework: i) level of financing needs; ii) level of implementation of an efficient institutional framework; iii) political will to promote the rural water and sanitation sector; and iv) existence of a national programme. With the setting up of the millennium water supply and sanitation programme (PEPAM) and its approval by the country’s authorities, the Bank’s RWSSI has fulfilled all the conditions for its commencement in Senegal. The present report therefore covers the first phase of implementation of the initiative in the country. It presents the national programme as approved by the donor community in the sector at the round table held on 29 April 2005 in Dakar, and the launching sub-programme proposed by the Bank. 1.2.2 The aim of the round table mentioned above, in which 25 diplomatic representations, donors and bilateral or multilateral cooperation and development agencies participated, was to present to the development partners the new sectoral policies of Senegal in the area of drinking water supply and sanitation and ascertain their financing intentions. Thus, the new strategic orientations defined in the PEPAM by the Government to achieve the MDGs in rural and urban water and sanitation received the resolute and enhanced support of the development partners present who also undertook to set their future assistance within the “unified framework for action” to be put in place by the end of 2005. The Bank’s delegation pledged its financing and intention to undertake the appraisal of the first sub-programme under its Initiative. In view of the commitment of the other donors to the financing of ongoing operations at least up to 2007, they set their assistance from that year onwards (see Annex 6, intentions of 25 potential financing institutions for the PEPAM). 1.2.3 In the light of the paragraph above, it is obvious that the entire process that led to the preparation of this report was carried out in conjunction with the Government and other development partners in the sector. Indeed, the latter were not only informed and consulted during the round table of 29 April 2005 in Dakar, but also, during consultative visits conducted by the appraisal team. 2 THE WATER AND SANITATION SECTOR 2.1 Characteristics of Sector 2.1.1 Water Resources. Senegal has a significant potential in water resources (surface and ground water). Indeed, available renewable water resources are estimated at 4747 m3/inhabitant/year, which by far exceeds the water scarcity reference value of 1000 m3/inhabitant/year. In terms of surface water, Senegal is drained by the river basins (catchment areas) of the Senegal, Gambia and Casamance rivers as well as the Kayanga (Anambé) stream, totalling an average volume of 24 billion m3/year, of which 20.4 billion m3/year for the Senegal River alone. In terms of ground water, four aquifers have been identified: (i) shallow groundwater (50 to 75 billion m3 and renewal of 5 billion m3/year); (ii) semi-deep groundwater (10 billion m3); (iii) the deep Maastrichtian groundwater (300 to 400 billion m3 and renewable potential of 200 million m3/year); and (iv) the groundwater of the bedrock in the Eastern part of the country (mobilizable 50,000 m3/year).

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2.1.2 In view of the multiple uses of water, the challenges related to the management of water resources can only be fully understood through a sectoral approach. To this end, an integrated water resources management approach was introduced in 2004 by the Ministry of Agriculture and Water Resources under the supervision of the Directorate for Water Resources Management and Planning (DGPRE). The integrated water resources management (IWRM) action plan, of which the MWSSP constitutes a component, will be finalized by end June 2006. 2.1.3 Access to Drinking Water. In the urban areas, access to drinking water is at two levels: 95.7% of households in the Dakar region and 84.3% of households of other urban centres supplied had access to potable water in 2002. In the rural areas, 64% of the rural population has access to safe water that may be described as “reasonable” as defined by WHO/UNICEF and adopted for the MDGs. Rural water projects that began 30 years ago in the country have resulted in the drilling of 1000 motorized boreholes, 1,500 boreholes fitted with hand pumps and over 4,600 modern wells. 2.1.4 Access to Sanitation. In the urban areas, the rate of access by urban households to sanitation was 64% in the Dakar region (25% of which through community sanitation), 39% in the other centres1 (4% of which through community sanitation) and 39% in the other centres (only with private sanitation). In the rural areas, only 17% of rural households have one of the excreta evacuation systems that met MDG definitions in 2004, and nearly a third of rural households do not have any evacuation system. Furthermore, evacuation of household wastewater is virtually non-existent. 2.1.5 Payment of Drinking Water Services. In the urban areas, the rate structure applied to households with private connection (cf. table hereinafter) includes a social rate (SR) with a subsidized rate of CFAF 191/m3 in a city with sanitation system (Dakar, Rufisque, Thiès, Saly, Kaolack, Louga and Saint-Louis) and CFAF 181/m3 in the other cities. The SR subsidy is particularly high and equivalent to 60% of the average price of water2 in 2002 which was CFAF 456/m3. A breakdown of the rate is as follows: (i) “water” rate made up of capital rate the Senegal National Water Authority (SONES) and an “operator” rate paid to the Senegalese Water Distribution Company (SdE); (ii) the “sanitation” rate applied in cities with sanitation systems to all users, be they connected or otherwise to the sewerage system; (iii) an 18% VAT applied to the sum of “water” and “sanitation” rates, except in cases of exemption; (iv) a water surcharge of CFAF 1.95/m3, solidarity tax for the rural community that is paid to the National Water Fund (FNH); (v) the municipal surcharge of CFAF 3.25/m3, except for exemptions. Standpipes are operated by individuals who do so at their own risks and benefits. The SDE sells water to such operators at a single rate of CFAF 264 or CFAF 322/m3 depending on whether the city has a sewerage system or not. The resale price to users is CFAF 15 or CFAF 25 per 25-litre container, equivalent to CFAF 600/m3 (CFAF 15 per container) or CFAF 1000/m3 (CFAF 25 per container).

1 Saint-Louis, Thiès, Kaolack, Louga and Saly (hotel zone). 2 In 2002, the price was CFAF 456/m3. This is the rate that would apply if the latter was the same for all consumers and all users.

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Table 2.1 (a): Schedule of Rates for Household and Standpipe Users (as of 1 January 2003) Cities with sanitation

Cities without sanitation Consumption Block CFAF/m3 including

taxes CFAF/m3 including

taxes

VAT Applied

Water Surcharge

Applied

Municipal Surcharge

Applied

Social Block 0-20 m3 bimonthly 191.32 181.32 0% Yes No Full Block 20-40 m3 bimonthly 629.88 584.23 0% Yes Yes Dissuasive Block > 40 m3 bimonthly 788.67 714.98 18% Yes Yes

Standpipes Single rate 322.31 263.98 18% Yes Yes Source: SONES

2.1.6 In the rural areas, the operating costs of water supply are shared between the Government (expenses related to the renewal of boreholes, reservoirs or water towers and mains) and the users (expenses related to fuel and lubricants, staff, maintenance and overhaul and repair of equipment, renewal of pumping systems, lateral mains and distribution points). The cost of drinking water supply borne by users is currently recovered through the following tariff systems: fixed subscriptions and sale of water by volume. To date, 51% of boreholes use the per volume sale method, as against 49% for fixed subscriptions. The fixed subscription method was the first to be applied and remains the only means of selling water for boreholes where meters are either non-existent or have broken down. Sale of water by volume essentially entails the use of 25-litre containers or per m3 for individual connections. This method of pricing is systematically used for new projects and is gradually being introduced in existing sites under the REGEFOR. Out of the 80% of boreholes, the price per container is CFAF 5 (that is CFAF 200/m3) or CFAF 10 (that is CFAF 400/m3). An estimated 10% of the rural population has individual connections often in the form of a drawing point located within the household and qualified by UNICEF as “intermediate” access level. 2.1.7 Payment of Sanitation Services. In the urban areas, only the cost for community sanitation is included in the water rate as indicated above. In the rural areas, there are no community sanitation systems to justify such payment by the users (with regard to the evacuation of excreta and household wastewater). 2.2 Organization of Sector 2.2.1 Water Supply Sector. In the urban areas, the water sub-sub-sector is organized into: (i) the Ministry of Agriculture and Water Resources that supervises the sub-sub-sector on behalf of the Government through the Directorate for Water Resources; (ii) Ministry of Economy and Finance, that caters for the implementation of water and sanitation programmes and projects financed by the Government, mobilizes financing for the latter, and manages the debt service; (iii) the Higher Water Council, placed under the authority of the Prime Minister, is responsible for the overall orientations of the sector as well as deciding on the major water resources development and management policies; (iv) SONES, a public establishment that holds the concession for urban water resources; (v) SdE, a private company that manages the urban water service based on a 10-year lease contract; and (vi) the Water Technical Committee, in charge of addressing water management issues on behalf of and at the request of the Higher Council. 2.2.2 In the rural areas, the water sub--sector is organized into the following entities: a) The central directorates of the Ministry in charge of water resources, comprising: (i) the Water Directorate (DHY); (ii) the Operation and Maintenance Directorate (DEM) and (iii) Water Resources Management and Planning Directorate (DGPRE). The main mission of the

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DHY relates to the programming and implementation of new works, while ensuring the application of national norms and standards. The DEM guarantees the proper operation and maintenance of motorized rural boreholes and, consequently, has the operational responsibility for the quality and continuity of clean water supply. In this regard, it is responsible for rehabilitation works. The mission of the DGPRE is to develop knowledge and plan the use of water resources, issue authorizations for the creation of structures, monitor and supervise sample-taking, as well as monitor the quality of water. b) The deconcentrated directorates of the Ministry of Water Resources, supervised by the DEM since the beginning of 2004 comprise: (i) ten (10) Regional Water Divisions (DRH); (ii) fifteen (15) Wells and Borehole Brigades (BPF), responsible for the monitoring of the operation and maintenance of boreholes; (iii) three (3) Regional Maintenance Subdivisions (SRM), structures for heavy maintenance and training of borehole drillers; and (iv) four (4) Hydrological Brigades (BHY), responsible for monitoring surface water on behalf of the DGPRE which is the supervising body. c) Borehole users’ organizations which are in the form of either (i) borehole management committees, or (ii) borehole users’ associations (ASUFOR). To date, there are 700 management committees, representing 70% of organizations, that are mostly informal structures. The recently created (1999) borehole users’ associations (ASUFOR) have resulted from the application of the motorized rural borehole management reform. There are about 300 ASUFOR, representing 30% of water users’ organizations, concentrated in the regions of Diourbel, Fatick, Thiès and Kaolack. The borehole operator, chosen by the management committee or the ASUFOR, operates the pumping system. The borehole manager, a newly introduced actor under the REGEFOR, caters for overall water supply (production, distribution and sale). To date, an estimated one hundred managers have been put in place. d) The 320 rural communities that exist across the territory are increasingly becoming active stakeholders in rural water supply, notably through support projects for decentralization and local development. They also manage underground or surface water resources with the exclusion of water bodies of international and national status. It has also been noted that rural communities are increasingly involving themselves in water infrastructure although rural water supply does not form part of their devolved responsibilities. e) The national formal private sector has been active in the last thirty years at all levels of implementation of rural water projects, be it at the level of companies (borehole, civil engineering, pumping equipment, electrification and maintenance) or consulting firms (studies, monitoring, outreach-awareness and training). 2.2.3 Sanitation Sector. In urban areas, the sanitation sub-sector is organized into the following entities: (i) Ministry of Prevention, Public Hygiene and Sanitation responsible for the preparation and implementation of the policy defined by the Government in the area of hygiene and sanitation; (ii) Ministry of Economy, Finance and Planning that is responsible for the implementation of water and sanitation programmes and projects financed by the Government, mobilizes the relevant financings and manages the debt service; (iii) the Sanitation Department (DAS), in charge of defining sectoral and tariff strategies and policies, identifying and implementing sanitation programmes, implementing and monitoring sanitation programmes; and (iv) the National Sanitation Agency of Senegal (ONAS), a public industrial and commercial establishment, in charge of collecting, treating, recycling and evacuating both wastewater and storm water in urban and peri-urban areas. However, it is worth noting that other ministerial departments are directly or indirectly related to sanitation, notably with regard to the health, environment or education sectors.

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2.2.4 In the rural areas, the sanitation sub-sector is organized around the following actors: a) The Ministry of Prevention, Public Hygiene and Sanitation (MPHPA) and more particularly the DAS responsible for these same tasks in the rural areas. The MPHPA recently undertook the setting up of deconcentrated directorates through the creation of regional sanitation divisions that will operate under the supervision of the DAS. b) Rural Communities have responsibilities in the environment area that are related to sanitation such as (i) formulation of communal action plans for an environment and; (ii) management of waste, fight against insalubrity, pollution and nuisances. Local authorities are involved in the sanitation sector, in the form of decentralized cooperation and in collaboration with the NGOs or Government services. c) Community-based organizations (CBO) serve as effective community linkages for outreach and awareness raising at grassroots level enabling (i) the development of an appropriate education programme in health and hygiene, (ii) the creation of a linkage between the project managers and the community, (iii) the motivation of the community to participate, (iv) explanation of technological options and (iv) development of appropriate financing mechanisms in conjunction with the project managers. d) Some twenty (20) NGOs play a key role in the rural sanitation sector. Their activities mainly concern support services, notably in capacity building, but they also include physical realizations through the design and implementation of projects as well as financial support. e) The national private sector comprises consulting firms, works and services enterprises and artisans. In the rural areas, it is mainly the artisans (particularly masons) who undertake the construction works and participate in the construction of private sanitation structures (latrines, wells, septic tanks, wash trays, etc.). 2.3 Sector Constraints and Opportunities 2.3.1 Safe Water Sector. In the urban areas, there is a broad consensus among the stakeholders of the water sector that the 1995 reform (privatization of the sector, with concessions to SONES and lease to SdE) has been a success: the deficit in production has been absorbed and the financial equilibrium of the sector was restored in December 2003, in accordance with the projections. The putting in place of a broad-based process involving all the Senegalese stakeholders, at all key levels of the design of the reform as well as the scale of resources devoted to capacity building have been considered as crucial factors in the success of the reform. 2.3.2 However, several constraints or inadequacies persist: (i) the expected outcomes of the 2001 sector policy letter have not yet been achieved: these are the reduction of water used for market gardening irrigation, control over water consumption by the administration and control over the leakages on the network; (ii) there are still wide disparities in access among users. Firstly, there is a wide disparity in individual connections between the region of Dakar and other urban centres. Secondly, 20% of the poorest urban and peri-urban households that depend on standpipes for their water supply pay 3 to 5 times more than the social block price; and lastly, (iii) physical and chemical problems of the quality of water persist (salinity, nitrates, iron and fluorine), but these are localized at a few sites and will be managed under the long-term water project (LTP). Measures to address these constraints include the following: (i) improvement of the losses index in the distribution network will be a priority. To this end, the pace of renewal of the latter will be 60 km/year in order to reduce its average age; (ii) new programmes of access to water and sanitation targeted to the poorest households will be implemented to improve the effectiveness of the social connection

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programmes and earmark official assistance resources to such households3 as a priority; and (iii) boreholes with high nitrate content that renders potability treatment costly, will be disconnected from the network operated by the SDE and used exclusively for vegetable gardening. 2.3.3 In the rural areas, the results obtained in potable water are insufficient, albeit substantial: (i) there are 36% of rural households that do not have “reasonable” access to safe water, and 19% have access through modern wells that does not always guarantee the availability and potability of the water; (ii) specific consumptions are still low: standpipe users who account for 35% of households barely consume 20 litres/day/person. Only users with individual connections, who account for a mere 10% of households, have a consumption of 30 litres/day/person approaching the 35 litres/day recommended by WHO. Furthermore, structural and organizational factors weigh heavily on the sustainability of the achievements and constitute serious setbacks for the extension of the coverage: (i) the institutional and regulatory environment is no longer adapted to the current context since it has not changed for many years; (ii) inadequate means and internal organization of Government technical services constitutes an impediment to the increase in the absorptive capacity of the sub-sector; (iii) management of motorized boreholes remains fragile despite the good results of the REGEFOR and serious risks of discontinuity in delivery subsists; (iv) monitoring-evaluation of the sector, an indispensable tool both for planning and assessment of impacts, is at the embryonic stage and; (v) average age of water intake structures, 10% of which are over 30 years old, constitutes a major area of concern. 2.3.4 However, the rural water supply has undeniable assets in the perspective of a programme approach that is today deemed to be vital by all the actors of the sub-sector: (i) institutional reform of REGEFOR, began in 1996, has produced tangible results; (ii) the process of transfer of maintenance to the private sector has begun, with 10% of the equipment currently under private maintenance; (iii) general state of surface water infrastructure is reasonably sound; (iv) the implementation capacities of enterprises for water studies and works (other than intake structures) are generally in line with the potential needs. Furthermore, there is a high interest in the private sector for the operation and maintenance of motorized rural boreholes and; (v) the decentralized financial sector has begun to concretely support the management of rural motorized boreholes by proposing specific financial products to users’ associations. 2.3.5 Sanitation Sector. The urban sanitation sector is still facing serious constraints namely: (i) low rate of access by households to sanitation in relation to that of potable water. The origin of this situation is attributable to both the supply (economic and financial constraints, limited interest in autonomous sanitation4) and demand (the higher level of priority given by households to water, electricity or telephone services); (ii) financial balance of the sanitation sector has not been attained and remains a long-term objective. In this regard, the financial balance of ONAS has been made even more fragile by its failure to cover its stormwater management costs. However, the situation of urban sanitation is more favourable and mature to substantially improve access rates, indeed: (i) sanitation now enjoys a high level of sectoral priority (the Government has assigned a ministry to sanitation); (ii) household demand for excreta and wastewater evacuation systems rises as soon as adequate support mechanism is put in place; this is evidenced by the individual sanitation programme

3 A study for the definition of these programmes has been planned for end 2005. 4 The PAQPUD project marks a significant change of attitude towards individual sanitation but is only recent.

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of peri-urban districts of Dakar (PAQPUD); (iii) technical expertise and project management capacities for sanitation are available at the ONAS and through the PAQPUD project for individual systems; and (iv) ONAS is already fully involved in the system of subcontracting and private sector participation related to the institutional development process5. 2.3.6 Access rate by rural households to sanitation is still low. The main development constraints of the sector are the following: (i) absence of a planning and programming framework specific to the rural areas has been a major obstacle to the large-scale development of rural sanitation; (ii) the construction cost of an adequate sanitation system is unaffordable for the majority of rural households; and (iii) the quality and volume of the private supply of services are poor and do not meet the minimum norms and standards. However, the situation of rural sanitation today is more favourable to the extent that: (i) it enjoys a high level of sectoral priority both at Government level and that of Senegal’s development partners; (ii) field experience has shown that rural households demand rises sharply as soon as adequate, communication and financial support is provided; and (iii) technical expertise and capacities for the management of sizeable private sanitation projects were recently developed in the rural area. 2.4 Sector Policy and Development Strategy 2.4.1 The Government of Senegal is committed to achieving the MDGs which generally aim at reducing the level of poverty in development countries by half by 2015. The principle of a programme approach expressed through the PEPAM was adopted by the Government as an operational means for achieving the MDGs in the potable water and sanitation sectors. To support the implementation of PEPAM, a new sectoral policy letter was prepared and presented to the development partners at the round table held on 29 April 2005, prior to its signature by the governmental supervisor. 2.4.2 The strategy of the PEPAM in urban areas is based on four (4) thrusts: (i) development of organizational and institutional water and sanitation frameworks stemming from the first batch of reforms of 1996, with the implementation of the so-called “second generation” reforms; (ii) the strengthening and consolidation of technical infrastructure to cater for the increase in demand, improve the quality of service as well as extend supply; (iii) achieve long-term financial balances for each of the water and sanitation sub-sectors and; (iv) the contribution of the programme to poverty reduction with the putting in place of a programme of access to water and sanitation services specifically targeting the poorest urban households. In the rural areas, the implementation of the PEPAM will be based on three (3) key elements: (i) unified framework for action, (ii) institutional reforms, and (iii) sustainable financing systems. Firstly, the unified framework for action set up at the national level will propose to all the actors a set of common rules to significantly improve the implementation and absorptive capacity of the sector. Secondly, the institutional reforms will be a follow-up to the 1996 reform as well as experiences acquired on the ground under the REGEFOR leading to the definition of a rural water and sanitation public service and regulatory modalities of implementation. Lastly, the establishment of tools and sustaining financing systems form part of an objective to improve the management of public finance, guaranteeing the mobilization of public or private resources needed to maintain and extend water and sanitation services to the communities.

5 ONAS has entrusted the operation of the Dakar sanitation network to three private companies.

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2.5 Donor Interventions 2.5.1 In the urban areas, recent donor interventions in water and sanitation have mainly been concentrated on two major projects: the Water Sector Project (WSP: 1996-2004) and the Long-Term Water Project (LTP: 2002-2007). 2.5.2 The WSP. With regard to drinking water supply, the WSP aimed at strengthening Dakar water supply through (i) the doubling of water supply from lake Guiers, (ii) strengthening of the Ngnith treatment plant, (iii) construction of boreholes and piezometres, (iv) increase in the Dakar storage capacity, (v) renewal of distribution pipes and extension of the network in peripheral districts, (vi) provision of social connections and standpipes, and (vii) remote management of installations. The “DWS” component of the WSP is estimated at CFAF 100 billion (UA 151 million) and financed by the WB, AFD, KFW, EIB, WADB, ABEDA and the Nordic Development Fund (NDF). For sanitation, the WSP enabled (i) the rehabilitation and tertiary treatment of the Cambérène purification station; (ii) sanitation works for the city of Rufisque; (iii) densification of sanitation networks of all the cities concerned; (iv) drainage of storm water in St. Louis; (v) study of sanitation master plans for 19 urban centres. The “Sanitation” component of WSP is estimated at CFAF 16 billion (UA 21 million) and financed by the World Bank, Nordic Development Fund and the French Development Agency. 2.5.3 The LTP. With regard to drinking water supply, the LTP includes (i) construction of a pressure pipeline linking Lake Guiers (ALG) to the second treatment plant to be constructed at Keur Momar Sarr, and (ii) installation of a booster at Mekhé. The “DWS” component of the LTP is estimated at CFAF 66 billion (UA 86 million) and financed by the WB, AFD, KFW, EIB, BOAD, NDF, the West African Banking Company (CBAO), SONES and the Government of Senegal for the counterpart fund. In the area of sanitation, the LTP includes (i) the individual sanitation programme for the peri-urban districts of Dakar (PAQPUD); (ii) densification of the sanitation network of Dakar, Rufisque, Saint-Louis, Louga and Kaolack; (iii) extension of the Cambérène station; (iv) cleaning out of plots with sanitation in Dakar; (v) drainage of storm water in the South triangle; and (vi) off-shore sewerage outfall of Cambérène. The “Sanitation” Component is estimated at CFAF 54 billion (UA 70 million) and financed by the WB, NDF and ADF (for the Dakar sanitation project). After a difficult start related to the protracted delay in effectiveness, the project financed by the ADF is currently undergoing satisfactory implementation that will result in the construction of all the structures by end October 2007, in accordance with the initial planning. 2.5.4 In the rural areas, nearly 25 donors have supported Senegal in the last 30 years in the rural water sector. Their cumulative support amounts to nearly CFAF 180 billion (UA 234 million). The sector is mainly supported by four types of financing sources: (i) the national budget; (ii) bilateral cooperation including Japan, Belgium, Luxemburg, France, Italy, Germany, Great Britain, China, and Saudi Arabia; (iii) multilateral cooperation: EU, IDA and OPEC Fund, the Kuwaiti Development Fund, Saudi Development Fund, IDB and ABEDA. It is worth noting that hitherto the Bank has not provided assistance in the rural water sector of Senegal. For rural sanitation, direct donor sector interventions have been few. On the other hand, development partners have been operating through non-sectoral support programmes for local development or community-based organizations (CBOs). These include: (i) the sanitation project in 78 target villages (from February 2004 to June 2005) amounting to CFAF 356.3 million and the pilot sanitation project of 8 central villages (from

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April 2002 to March 2003) amounting to CFAF 72 million, financed by the Grand Duchy of Luxembourg; (ii) the Diourbel medical region support project, financed by the Kingdom of Belgium (from 2001 to 2006), comprising a significant component on latrine construction; (iii) the fecal peril control project in the Thiès region (2000 to 2004), financed and implemented by Eau vive NGO in the amount of CFAF 35.4 million; and (iv) the latrine projects conducted under the local development support programmes (national rural infrastructure programme - NRIP, Rural Development Support Programme– PADMIR, etc.) or support to community-based organizations (Social Development Fund Agency - AFDS, etc.), or as part of NGO programmes (Plan International, etc.). 2.6 Bank Group Strategy The Bank’s medium-term intervention strategy in Senegal aims at poverty reduction and sustainable economic development, in line with its 2003-2007 strategic plan and the Poverty Reduction Strategy Paper (PRSP) of the Government. According to the CSP 2005-2007, the Bank Group’s assistance strategy for the 2005-2009 period will be mainly geared towards the water and sanitation sector. Consequently, in the area of rural development and public utilities, priority will be given to water control, potable water supply and sanitation. 3 THE DWSS SECTOR IN RURAL AREAS 3.1 DWS in Rural Areas The characteristics and organization of the DWSS sub-sector have been described in chapter 2. Drinking water is supplied to rural communities through four main types of water infrastructure: (a) 1000 village or multi-village water supply systems for 3,700 rural localities; (b) lake Guiers supply (ALG), pipeline for the supply of water to the Dakar region but which supplies rural localities located along the line; (c) Ndiock Sall supply situated along the Louga - Saint-Louis road which is used exclusively for rural purposes; (d) about 4,600 modern wells, equipped or otherwise; (e) about 1,500 boreholes with hand pumps, mainly provided by NGOs. A water supply source may serve a single village (Village Water Supply - VWS) or several villages (Multi-village Water Supply - MVWS) and typically comprises: (i) a water intake structure: boreholes or wells, or rather rarely, wells and surface water6; (ii) a motorized pumping system that may be thermal (motor or generator), electric (SENELEC grid) or photovoltaic solar panel; (iii) one or several storage facilities: water tower or ground reservoir; (iv) a network of underground pipes comprising water mains (> 90 mm diameter) for inter-village conveyance and lateral mains (≤ 90 mm diameter), for distribution within localities; (v) water distribution points including: standpipes, individual connections, community connections, tees, drinking troughs and garden tanks (for vegetable gardening). 3.2 Rural Sanitation Individual or community rural sanitation is exclusively provided through private sewerage structures. Most households do not have wastewater evacuation structures. A situation analysis conducted in 2004 indicates that: (i) 28% of rural households, representing nearly a third of the population, do not have any system; (ii) 55% of households use

6 There are a few rural piped-water systems and surface water treatment facilities (Saint-Louis Region).

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traditional latrines that are not considered to be “appropriate” sanitation technology7 and; (iii) only 17% of rural households use an “appropriate” sanitation system (ventilated latrines, pour flush or pit latrines). 3.3 Sub-sector Constraints and Opportunities Drinking Water 3.3.1 Sub-sector Management Capacities: The management of the sub--sector forms part of the functions of Water Services. A review of the situation indicates serious lapses: (i) institutions created to manage rural water supply (Water Council, Water Technical Committee, Technical Approval Standing Committee) are not operational; (ii) operational cooperation between 3 Directorates (DGPRE, DHY and DEM) is only selective and focuses on a few projects or initiatives, whereas it ought to be ongoing; (iii) absence of rural water supply planning and programming constitutes a major handicap. Planning tools exist but are not used whereas there are competent staff to do so; (iv) insufficient managerial staff and lack of specialists in socio-economics, water economy, pricing, training support, IEC, etc.; (v) the current design of projects does not systematically include effective criteria for the use of financial resources (such as cost per person served), economic and financial viability or technical rationalization; (vi) procurement procedures are deemed to be ineffective by the private sector and; (vii) the low average implementation rate of the consolidated capital budget over the last 5 years (28.4%) for rural water supply is an additional concrete indicator of the difficulties facing water supply services in managing the sector. The new law under preparation on rural public water service will target these constraints by proposing ways and means of overcoming them. 3.3.2 Operation and Maintenance: The withdrawal of the DEM from operation and maintenance to the benefit of private operators appears to be necessary and is largely supported by the DEM workers. But for the transfer to be successful, it is vital that all the stakeholders act in synergy and notably that the Government gives an unequivocal signal in this regard to the private sector and users, backed by a divestiture plan and a timetable. These aspects will also be taken into account under the new law. 3.3.3 Management Capacities: Management of water service is the responsibility of management committees and the ASUFOR. In the future, with the institutional development resulting from the law on public water and community sanitation service, rural communities and the private sector should be formally associated with them. The weak capacity of management committees to provide water service, identified early 1996 and which justified their transformation into ASUFOR, still affects a large number of boreholes. There is a general consensus to the effect that the ASUFOR model has given birth to an effective management capacity of rural water supply. This model is today largely recognized and demanded by the users themselves since it has been tested for several years through the REGEFOR project. It is based on the sale of water on a per volume basis, delegation of the management to an individualized operator under control of ASUFOR (physical person or legal entity such as a village economic interest group (EIG) or an enterprise), and the signing of a water maintenance contract with a regionally based and approved professional operator. The juridical personality of ASUFOR enables it to establish a formal framework for contractualization of mutual commitments with the Government. Under the REGEFOR, a

7 WHO/UNICEF definition adopted for the MDGs.

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“provisional operating license” was introduced to realize this relationship. The law on public water service will upgrade this concept to the notion of lease contract (or longer-term concession). Ongoing projects have helped acquire practical knowledge about training support and communication resources needed to build the capacities of ASUFORs. A coordination mechanism is being established between projects to harmonize information, education and communication (IEC) procedures. Sanitation 3.3.4 Sub-sector Management Capacity: The Sanitation Directorate (DAS) was created in September 2003. Prior to this, its functions were devolved to the former Directorate of Water and Sanitation with regard to urban and rural liquid sanitation. In the short term, the MPHPA will be decentralized through the opening of regional sanitation divisions, with the first division located in Louga. The rural sanitation sub-sector therefore has a well-identified steering structure and this constitutes a sure asset. 3.3.5 Implementation and Management Capacity: The experience of past or ongoing projects (Luxembourg, Plan International, etc.) has helped put in place implementation procedures for major interventions (several thousands of individual installations) that have served as the basis for the design and dimensioning of the sub-programme. Such procedures include model structure plans, the training schemes for artisan masons, quality control procedures, IEC activities, etc. These procedures will be fine-tuned through the additional preparatory studies planned for 2005 particularly on the analysis of rural household demand for private sewerage systems and individual water connections. 3.4 Sub--sector Policy and Development Strategy 3.4.1 The development policy of the rural water and sanitation sub-sector is to adopt a programme approach whose objectives and outcome indicators will henceforth be geared towards achieving the MDGs. In this context, the PEPAM has become the reference framework of intervention for all rural water and sanitation stakeholders for the next ten years. It will help link all initiatives to the MDGs and ensure consistency in field interventions. It will apply the guidelines embodied in the PRSP (proximity, make or buy, transparency, participation, equity, speed, complementarity and synergy) and its implementation strategy will be based on three key elements (unified framework for action, institutional reforms and sustainable financing systems). In addition to its general functions, the Government will take charge of the implementation of major rural water projects and the rural communities will fulfil local responsibilities involving planning and implementation of small- to medium-scale projects in conjunction with local development support. To this end, a new sectoral planning tool namely, the “local water and sanitation plan” (LWSP) will be introduced. The LWSP will constitute the technical component of the Local Development Plan (LDP) provided to each rural community. 3.4.2 Institutional reforms will be a follow-up of the first reform of 1996 (REGEFOR) as well as experiences acquired in the field, notably for the management of motorized boreholes. Thus, the Sanitation Code will be formulated by end 2007 and a law on public water and sanitation service promulgated by end 2005. The purpose of this law will be to define the legal framework of the public water and sanitation service and specify the Government’s policies for developing the said public service in both urban and rural areas. The current trend is to extend the REGEFOR to all the country’s water structures, in view of

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the convincing results of this method of management in the pilot areas. The REGEFOR, tested and validated through the project bearing the same name, is presently at the heart of the development strategy of the rural water supply sub--sector (cf. box below).

BOX - REGEFOR Justification: Many constraints encountered in the management of the rural water structures, notably the issue raised by their maintenance, justified the reform option (REGEFOR), initiated in 1996. The constraints encountered include: (i) weak organization of management committees; (ii) dilapidation, diversity and over-sizing of pumping equipment and; (iii) inadequate Government resources to carry out an effective maintenance strategy. In view of these constraints, it became necessary to overhaul the borehole management system in order to safeguard the Government’s considerable borehole patrimony (estimated at over CFAF 150 billion) that represents the exclusive source of water supply for over 2.2 million of rural inhabitants and the country’s livestock. Implementation of REGEFOR: The effective implementation of the reform covered February 1999 to December 2004 in four regions (Thiès, Fatick, Diourbel and Kaolack), with the extension for the last eighteen months to compensate for slippages noted at the start-up as well as those related to the contractualization works and measures. Ownership of the project was held by the DEM through a Project Department based in Thiès and supported part of the time, by the wells and boreholes brigades (BPF) of Diourbel, Fatick, Kaffrine, Kaolack and Thiès. The implementation hinged on three guiding principles, defined in correlation with constraints noted by the reform feasibility study, namely: (i) overhaul of the users’ organization for an effective management of the boreholes with the setting up of a management arrangement; (ii) creation of enabling conditions for the optimum operation of boreholes at the technical and economic level, with the systematization of the installation of water metres for the per volume sale and; (iii) promotion of the private sector and its involvement in maintenance resulting in the withdrawal of the DEM from this activity and refocusing of its functions on monitoring, advisory assistance and regulatory tasks. Impacts of REGEFOR: 282 borehole users’ associations (ASUFOR) were created with the implementation of the reform in the 4 pilot regions. This helped achieve the following results: at the social level: (i) access to drinking water facilitated (proximity of public distribution points, densification of networks making for private connections, gradual phasing out of public standpipes, reduction of access to traditional well and pond water points); (ii) improved access to water (average unit consumption higher than 25 litres/person/day);(iii) access to sustainable water (optimization of pumping systems), assured operation (connection to electric network), maintenance contract with short repair times; (iv) average pricing of CFAF 200/m3 and increased social access: average expense of CFAF 2,000/month, that is for a household of 12 persons, 7% of the incomes of the poorest households; (v) reduced social conflicts related to income recovery (transparent pricing, fair and equitable billing, payment proportional to consumption). At the economic and financial level: (i) increased self-financing capacity of ASUFORs (for example, pre-financing of metres, extension of networks, prepayment of contribution to works, payment of relatively costly repair bills); (ii) capacity to respond to high water demands enhanced (cases of water supply contracts to road enterprises); (iii) creation and stabilization of employment: about 15 persons per borehole, putting in place of managers with monthly incomes varying between CFAF 50,000 and CFAF 150,000; (iv) safeguarding of income-generating activities (market gardening production and stock fattening); establishment of significant savings that can be mobilized for the local economy: the savings made by 271 ASUFOR in the zone rose from CFAF 400 to CFAF 1.060 million between June 2003 and December 2004. An estimated 70% of deposits with some mutual credit funds in the areas were made up of revenue from ASUFOR in May 2004. At the health and environmental level: (i) limited wastage induced by the payment of fixed sums; (ii) improved sanitation at public distribution points (sale of water per volume limiting stagnant water); (iii) preservation of health and hygiene (increased consumption, reduction of water-related chores with the proximity of drawing points – in households) and; (iv) preservation of ground water resources (limited pumping excesses). 3.5 Lessons Learnt from Donor Intervention 3.5.1 Over the last thirty years, resources allocated by donors were mainly concentrated on the water sector, to the detriment of sanitation, particularly rural sanitation. The catching up of rural sanitation as reflected in the PEPAM strategy will only be possible if development partners adhere to the principle of systematic association between drinking water and sanitation. 3.5.2 Rural water supply also suffered from the diverse modes of intervention of projects on the ground, notably with regard to the standardization of the pumping systems, participation of beneficiaries, creation of ASUFOR and contractualization between ASUFOR and the Government. With the adoption of PEPAM and the unified framework for action, a rapid smoothing away of these difficulties should be expected. In particular, there is need to

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pursue efforts initiated between the ongoing major projects (Project to strengthen groundnut basin water points - PARPEBA: Belgium Cooperation, Safe Water and Support for Community Activities Project - PEPTAC: Japanese Cooperation and REGEFOR: French Cooperation-AFD) to harmonize the outreach procedures in order to achieve a consolidated and consensual set of procedures to be included in the PEPAM manuals. 4 THE COUNTRY PROGRAMME (PEPAM) 4.1 Design and Rationale Establishing PEPAM 4.1.1 At the Millennium Summit held from 6 to 8 September 2000 in New York and the one on Sustainable Development held in Johannesburg in September 2002, the world leaders agreed to reduce by 2015 and in a sustainable manner the proportion of the population without access to potable water supply and adequate sanitation services. 4.1.2 To achieve the MDGs in the water supply and sanitation sectors, the Government of Senegal had to set up a national programme based on an updated review of the situation to help quantify the supply targets to be achieved, as well as a sectoral strategy and investment plan to define the means and procedures for achieving such objectives. This was all the more necessary a in the rural areas there was no reference framework of planning and programming: for 30 years the development of water resources entailed a series of “projects” implemented more or less independently of each other. Admittedly, substantial results were obtained in the area of infrastructure, but there was no indicator to ascertain in a definitive manner the rate of access to water in view of the discrepancies in the statistics published in the previous years. Moreover, after a long period of testing the principles of the “motorized rural borehole reforms” through the REGEFOR project, it became necessary to institutionalize and generalize this reform. The rural sanitation sub--sector had a very low level of development. 4.1.3 This led to the decision taken by the country’s authorities to formulate a Millennium Water and Sanitation Programme (PEPAM). The latter stemmed from a participatory development process involving over 150 persons from the administration, local authorities, development NGOs, the civil society (private sector associations, consumer and users’ associations, etc.) and development partners (donors, NGOs, etc.). The formulation process was officially launched at a workshop held on 14 January 2004 in Dakar in the presence of development partners of the sector. This was followed by two major stages: (i) conducting of a review on access to clean water in urban and rural areas from March to September 2004, followed by a validation workshop held in Saly Portudal on 25 and 26 September 2004 still with the participation of the development partners. At this workshop, the strategic frameworks for a programme approach as well as the supply targets for 2015 were formulated and; (ii) preparation of a draft programme document and a draft update of the sectoral policy letter on drinking water supply and sanitation for which a second presentation and validation workshop was held on 7 and 8 January 2005 in Dakar. The overall cost of the programme is estimated at CFAF 515.506 billion (UA 671 million), made up of UA 357 million (53%) for the rural component and UA 314 million for the urban component. Following the second validation workshop, the programme document and sectoral policy letter were finalized taking into account the conclusions and recommendations of the said workshop and subsequently forwarded to all development partners. The Bank participated in all the workshops.

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4.1.4 Since it was designed in a concerted manner with all the development partners in the sector, the Government of Senegal considers the PEPAM as the only reference framework for intervention by all actors of water resources and rural sanitation for the next ten years. It will help link up all the initiatives to the MDGs and ensure consistency in the interventions. Furthermore, it will apply the implementation guiding principles outlined in the Poverty Reduction Strategy Paper. Technical Design of Sub-programme 4.1.5 The technical design of the present sub-programme is based on (i) the technical supply solutions retained for the PEPAM, (ii) basic planning established at country level for the formulation of the PEPAM investment plan aimed at achieving the MDGs, and (iii) planning of works, which involves the participation and demand of users as well as local elected officials, in consultation with Government technical services. 4.1.6 For drinking water,, the reference or “technical package” of supply solutions for water comprises (i) connection of the locality that has expressed the need for multi-village water supply (MVWS) to be constructed; (ii) connection of the locality to a new or existing borehole through the extension of the network, including, where necessary, construction of a concrete water tower near the borehole with adequate height to ensure supply to all the polarized localities; (iii) construction in the locality of single village water supply system (SVWS) that will only serve this village, with this arrangement being characterized with the putting in place of village water supply networks and construction of standpipes, individual connections and drinking troughs for cattle where needed; (iv) construction of one or several modern wells. 4.1.7 Criteria for assigning a technical supply solution to a locality take into account (i) the expression of needs from the grassroots level by the populations themselves (demand-driven approach); (ii) current situation of its access to water (updating through the physical review of 2004); (iii) its population by 2015; (iv) its position in relation to the area of influence of the existing borehole; and (v) proximity of other similar localities with which it could form a concentration zone, which is enough to justify a new MVWS. Connection of a locality to an existing borehole is the primary option considered, other options are assessed only where a connection is not technically possible or justified. 4.1.8 This assignment process or “grassroots planning” was applied to each locality without a DWS network, using a database of the localities, a database of boreholes and a geographic information system (GIS). The consolidation of results by locality and by region helped identify the works that would define the sub-programmes to be undertaken in each region in order to achieve the MDGs, as well as the corresponding investment plans. These works are divided into five categories: (i) construction of a new MVWS, with a new borehole and new WS structures; (ii) construction of a new SVWS with the putting in place of the same elements as in the above point; (iii) construction of a network extension from an existing borehole without a water tower; (iv) construction of a network extension from a borehole with the construction of a water tower; and (v) construction of one or more modern or alternative wells for a mini-village water supply (“mini-VWS”). This basic planning leads to the definitive programming of works after undertaking preliminary information, outreach and awareness activities among the local elected officials and users. The latter must confirm their demand for water supply and actively participate in the final choices of supply solutions

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and definition of intervention priorities through the formulation of a local water supply and sanitation plan (LWSP). It is after this confirmation has been recorded by the Agency or NGO in charge of the IEC that the structures can be programmed in the localities in question based on the final designs, including the classic technical aspects (size, topography, geophysical, etc.). 4.1.9 With regard to family sanitation, the reference framework or “technical package” of the sanitation solutions comprises: (i) VIP latrine or pour-flush toilet (PFT); (ii) wash tub drain well; and (iii) hand-wash basin. These are low-cost structures that provide reasonable sustainable guarantees. 4.1.10 With regard to community sanitation, the public kiosk model is a standard multiple cabin (7 compartments) structure with flush toilets (FT) and separate male-female compartments including 3 urinals and 2 hand-wash basins. A single model plan will be used for all the structures of the sub-programme. Rationale of Technical Choices 4.1.11 The technical supply solutions adopted for drinking water were widely tested in thirty years of rural water supply in Senegal and closely reflects the demand of the communities. Pipe-borne water supply remains the priority of communities and the concept of multi-village water supply has gained solid ground. Thus, it is significant to note that the majority of water sub-projects recently undertaken by the local development support programmes concern network extensions. As a result, the national private sector enterprises have acquired a wide experience for such works and services and are adequately equipped. 4.1.12 The “individual connections” component constitutes an innovative and strategic aspect of the technical design to achieve the consumption target of 35 litres/day/person. The surveys conducted indeed show that consumption by rural households supplied by standpipes is stagnating at 20-25 litres/day/person, excluding cattle (that is, on average 28 litres/day/person). On the other hand, the measures taken in the country’s rural areas show that domestic consumption on home-based connections frequently exceed 30 litres/day/person (excluding cattle), and are in line with the findings of the study published by the UNICEF/WHO on the issue. Putting in place of financing incentives for individual connections therefore constitutes, from this perspective, a major challenge. 4.1.13 In terms of sanitation, the success of the SEN 011 programme (financed by Luxembourg Cooperation) demonstrates that there is a high demand by rural households for sanitation structures, including the financial contribution by them, model plans exist and those adopted for the most recent projects (SEN 011 or PAQPUD) that are on a similar scale (several thousand structures) reflect the experience acquired for quality execution by artisan masons. Its construction could be undertaken by master masons or local EIGs. The success of the SEN 011 programme resides in the fact that it enabled the significant reduction of diarrhoeal and dysenteric diseases with the putting in place of latrines in the villages concerned. Additionally, the construction of wash tubs contributed to cutting down significantly on malaria (primary cause of mortality in rural Africa) and skin diseases. Indeed, this inexpensive small structure prevents the stagnation of domestic wastewater in the household compounds and thereby deprives the Anopheles mosquito (malaria vector) to have a favourable context for its proliferation.

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4.1.14 With regard to the distribution of interventions by zone, following the analysis of resources allocated to the sub-programme and infrastructure needs as identified with the PEPAM basic planning, the following options appear to be the most optimal: (i) for the Louga region, the option is for accelerated progression towards MDGs, achieved by 2009 (end of sub-programme) 100% of potable water MDGs and 40% of sanitation MDGs. The technical services will thus have the advantage of having a reference zone early enough for the development of the PEPAM which will be highly useful for other regions. The context is conducive since the region is relatively close to Dakar and the Government deconcentrated technical services are well established there with a regional water resource division, two wells and borehole brigades, a regional maintenance subdivision and a regional sanitation Department (undergoing creation). However, in view of the “demand-responsive approach” recommended by the PEPAM and the Bank’s RWSS initiative, if part of the sub-programme supply did not have significant demand by the rural localities of the Louga region, the latter will be systematically redeployed to neighbouring regions, namely: Thiès, Saint-Louis, Diourbel, Matam, Fatick and Kaolack, thus constituting potential extension regions of the sub-programme. (ii) For the Kolda and Ziguinchor regions, the option is to launch the PEPAM at a moderate pace in order to control constraints related to distance and the size of these regions. Subsequently, a second phase will follow with an accelerated intervention. Financing of this second phase could be envisaged from 2008 onwards. In any case, a significant strengthening of the resources of the Government deconcentrated technical services should have been undertaken. Thus, the average objective for the Kolda-Ziguinchor zones is to achieve 28% of MDGs for drinking water, corresponding to a normal progression, and 16% of the sanitation MDGs. To avoid the dispersal of resources, the rural water interventions will be concentrated on existing boreholes, while the rural sanitation component will focus on about fifteen rural communities, in addition to other interventions in the area. 4.2 Objectives of Country Programme and Launching Sub-programme Country Programme (PEPAM) 4.2.1 The goal of PEPAM is to ensure the sustainable supply of clean water and sanitation in rural areas to improve the living and health conditions of the communities. The specific objectives are i) to improve drinking water supply for rural communities, ii) provide adequate sanitation to rural communities and iii) contribute to improving the performance of rural water and sanitation sub--sectors. The Launching Sub-programme 4.2.2 The sector goal of the launching sub-programme is to contribute to improving the socioeconomic and health conditions of rural communities. Specifically, it aims to: (i) improve water and household sanitation services in 240 rural localities of 3 regions (Louga, Ziguinchor and Kolda) and; (ii) improve community sanitation services in 60 of the 114 rural communities of the 3 regions. 4.3 Intervention Areas and Sub-programme Target Communities 4.3.1 The choice of the sub-programme intervention areas is justified, inter alia, by the following three factors: (i) state of access to drinking water and sanitation services in the Louga, Kolda and Ziguinchor regions; indeed, in 2004, rate of access by the communities to safe water, involving all the supply solutions, was 59.9% in Louga, 58.1% in Kolda and

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61.8% in Ziguinchor. However, the access rates per DWS network indicate that these three regions fall below the average with: 45.4% in Louga, 22.5% in Kolda and 29.8% in Ziguinchor. This means that a significant portion of the population of these regions take their supply from vulnerable sources (wells or ponds) of doubtful quality; and (ii) the intersectoral synergy potential in the Louga region, with the rural electrification concession programme and the regional component of the national rural infrastructure programme (NRIP), two operations also financed by the ADF. Thus, the impact of the Bank’s activities in the Louga region can only be strengthened. This is all the more true as under the present sub-programme, 30 boreholes will be electrified at a cost of CFAF 513 million (UA 668,000), thus constituting a substantial and encouraging opportunity for private operators of the rural electrification sector in the region and, lastly; (iii) the top priority given by the Government to the Casamance reconstruction programme, to which the sub-programme will make a major contribution in the area of water supply and sanitation. These actions will certainly contribute to consolidating the peace efforts undertaken by the authorities in this region. 4.3.2 Physical Context. The intervention area of the launching sub-programme covers three priority regions: (i) Louga, located at about 200 km North of Dakar city; (ii) Ziguinchor, at 450 km South of the capital; and (iii) Kolda located at about 600 km Southeast of the capital. These regions have a Sahelian type of climate with a rainfall pattern averaging 350 mm for Louga and 800 to 1500 mm for Ziguinchor and Kolda. Though vegetation is virtually non-existent in the North, it becomes dense in places in the two regions of the South. Rains are essentially concentrated over a short period of the year in general, from June to September. They also have wide spatial variations. The relief consists of vast peneplains with scattered mounds that hardly exceed a few dozens of metres in altitude, particularly in the Kolda region. 4.3.3 The hydro-geological formations of the three regions are as follows: (i) the Maastrichtian groundwater table (the largest reservoir of the country), located at depths ranging between 160 m and 400 m, with flow rates that vary between 60 and 200 m3/hour; the water is generally of low mineral content and high quality, except a few places where it has a high salt or fluorine content; (ii) the Oligo-Miocene groundwater also known as the Continental Terminal (CT): this is made up of the degraded higher portion of marine sediments from the Oligo-Miocene Age of the First Tertiary Era. Boreholes drilled there generally catch sands. The C T. aquifer is often of the loose water type and of good chemical quality except in the estuary areas where it is affected by the invading sea-water. The depth of the hanging wall of the aquiferous sands varies between 30 m and 60 m. The latter can be harnessed by drilling to depths ranging from 70 to 120 m for an average yield of 150 m3/hour. Also, the surface layer of this aquifer feeds virtually all the superficial wells and boreholes, notably in the South zone with flow rates ranging between 5 and 60 m3/hour; (iii) the Lutetian limestone aquifer located at less than 60 m with operating flow rates ranging between 200 and 300 m3/hour and; (iv) discontinuous aquifers of the cristallophyllian basement: the former made up of rocky formations mainly found in the South-East of the Kolda region. These rocky formations do not contain continuous aquifers due to the absence of interstitial porosity. For this reason, boreholes are sited through geophysical surveys. 4.3.4 Socioeconomic Context. At the administrative level, the three regions comprise 9 departments (3 each) and 114 rural communities, 60 of which are concerned by the sub-programme (46 in Louga, 5 to Ziguinchor and 9 in Kolda). The total population of the area is estimated at about 1,591,800 inhabitants (800,000 covered by the sub-programme). The population distribution on a regional basis is as follows: Louga (552,100), Ziguinchor (256,500) and Kolda (783,200).

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4.3.5 The fact that 55% of the populations of Louga, 70% of Ziguinchor and 78% of Kolda continue to draw their water from unprotected wells and sources other than pipe-borne water is the cause of the high prevalence of diarrhoeal diseases and various forms of dysentery in these regions. By putting in place water supply networks, the sub-programme will contribute to a significant reduction of these diseases. 4.3.6 The Poverty Reduction Strategy Paper (PRSP) indicates that the South regions (Ziguinchor and Kolda) are more affected by poverty than the Louga region. The poverty indices of these regions are 67.1; 66.5 and 36.2% respectively. These percentages indicate the portion of households without the minimum food basket that assures a normal level of feeding. The average level of the Louga index represents a paradoxical situation in view of the fact that the region has the lowest per capita investment in the country. This relatively advantageous situation can therefore only be explained by one of the demographic particularities that characterizes the region. Indeed, it is a key point of migratory outflows outside the country and the money transfers made by citizens from the region substantially contribute to the region’s relatively high level of wealth. However, it is worth noting that this impact is unevenly distributed among the communities. This accounts for the precarious situation of the communities in the region with regard to access to basic social services and health. This is the case for access to water (55% of households draw their water from wells and sources other than pipe-borne water), access to adequate sanitation systems (69.7% of households have neither flush toilets nor latrines), literacy (less than 30% of 15-year olds and over can read and write), access to medical services (64.4% of households do not have access to a dispensary located within a radius of 1 km) and chronic malnutrition of under-5-year olds (29% of whom are affected by moderate stunting and 16.2% severe stunting). 4.3.7 In the area of sanitation, the overall national rate indicates that 17% only of rural communities had access to sanitation in 2004. The outlook may be better if all future sub-programmes contained a significant sanitation component, in line with the PEPAM projections. The present sub-programme will help raise the sanitation coverage rate in 2009 from 17% to 34%, 23% and 24% respectively in the regions of Louga, Ziguinchor and Kolda. This constitutes a significant contribution over the period indicated pending the expected impact of other PEPAM sub-programmes. 4.3.8 Target Communities. The beneficiaries of the launching sub-programme will be the rural communities of the Louga, Ziguinchor and Kolda regions who have expressed their needs to the authorities. Preference will be given to areas with the highest deficit indices in 2005. Community sanitation needs expressed by schools, health centres, markets and rural public areas were also taken into account. These collective needs were expressed either by the main towns of the rural communities, or directly by the communities or authorities at the village level. 4.3.9 In fact, the sub-programme actions will cover an estimated 800,000 persons in 60 rural communities among the 114 that make up the 3 regions. Of this population, 183,000 individuals are directly concerned by potable water, 172,000 by household sanitation (about 17,100 households) and the totality by the community sanitation structures.

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4.4 Strategic Context 4.4.1 The present sub-programme marking the commencement of the Bank’s initiative in Senegal will be implemented in the context of the poverty reduction strategy paper, Millennium Development Goals (MDGs) recommended by the PEPAM and the Action Plan for integrated water resources management of the country. It also takes into account the main orientations of the Results-Based Country Strategy Paper (ROCSP 2005-2009) that sets the water supply and sanitation sector as a priority for its actions. 4.4.2 The PRSP currently in force clearly features the promotion of access to basic social services as one of the four thrusts of the country’s poverty reduction strategy. These basic services include drinking water and sanitation, for which objectives have been fixed, namely: (i) enhance the quality and rate of access to drinking water through the construction of boreholes and modern wells and the rehabilitation of old boreholes; (ii) improve access to adequate excreta evacuation systems; (iii) improve access to household wastewater evacuation systems and; (iv) positively change the attitudes and behaviours of beneficiary communities; and (v) popularize appropriate and low-cost technologies. Having adopted this approach, the PEPAM has defined the supply targets relating to these expectations. These were also taken into account under the present sub-programme. 4.4.3 The Bank’s initiative therefore falls in line with the MDGs. The integrated water resources management is a method of management which, unlike sectoral management, takes into consideration all the relevant factors and associates all the stakeholders concerned for the equitable sharing and balanced, ecologically rational and sustainable use of water resources. It aims to optimize measures for achieving a balanced and lasting management. 4.5 Description of Country Programme and Sub-programme 4.5.1 Country Programme (PEPAM). Measures to be taken to achieve the millennium targets in the area of rural water supply and sanitation in the country have been precisely defined in the national programme (PEPAM) which was formulated and approved by the Government on 7 and 8 January 2005 and by the donor community of the sector on 29 April 2005 in Dakar. The targets defined under the country programme are 82% supply of drinking water and 59% of sanitation services for the rural areas by 2015. On this basis, the PEPAM is expected to result in the following outputs by this timeframe: (a) the “drinking water supply infrastructure” component targets drinking water supply for 3,251 localities for a population of 3.2 million by 2015 and the strengthening of existing facilities; (b) the “sanitation infrastructure” component targets the provision of 355,000 private domestic systems and 3,360 public latrines and; (c) the “unified intervention framework” component comprises: (i) building of the implementation capacities of Government services, local authorities and the private sector; (ii) building of the management capacities of users’ associations, (iii) building of monitoring-evaluation capacities; (iv) building of local financing capacities through decentralized financial systems; and (v) coordination of consultants’ programme and services. 4.5.2 The Launching Sub-programme. The expected outputs of the launching sub-programme are: (i) 17,100 new household latrines and wash tubs fitted with hand-wash basins; (ii) 477 new multi-compartmental latrines, constructed at village public facilities (markets, schools, health centres and other public places); (iii) 151 masons and 169 trained school teachers; (iv) 400 female intermediaries put in place for the purposes of hygiene at

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village level; (v) 27 new boreholes constructed and 52 old ones rehabilitated; (vi) 85 new DWSS systems constructed, including water tower to serve an estimated 240 villages; (vii) 86 pumping units (motors and pumps) provided and installed; (viii) 30 borehole electrification undertaken; (ix) 9,050 individual connections put in place; (x) 750 distribution meters and 178 production meters installed; (xi) 178 borehole users’ associations (ASUFOR), put in place, supervised and trained in the management and maintenance of water points; (xii) 178 ASUFOR managers and borehole operators trained; and (xiii) training, outreach and awareness raising campaigns undertaken in nearly 240 villages in the three regions (Louga, Ziguinchor and Kolda) of the sub-programme. 4.5.3 The launching sub-programme consists of the following components:

A. Development of Basic DWSS Infrastructure; B. Institutional Support to Structures under the Sub-programmes; and C. Coordination and Management of Sub-programme

COMPONENT A: DEVELOPMENT OF BASIC DWSS INFRASTRUCTURE 4.5.4 To improve the supply of drinking water to rural communities and their living environment, the sub-programme will finance: (i) the supply of drinking water to an estimated 240 villages in the targeted regions through the provision of new water points and rehabilitation of old ones; (ii) individual sanitation construction works (household latrines); and (iii) school community sanitation, sanitary and other works in the villages to improve the protection of children who constitute the most exposed and most vulnerable section of the population. 4.5.5 These works will be accompanied by training, outreach / awareness and education campaigns for health for the beneficiary communities to build their capacities in operating and maintaining the structures as well as their awareness of the hazards related to the risks of proliferation of water-borne diseases where adequate hygiene rules are not observed. 4.5.6 Drinking Water Supply in Villages of the Sub-programme. This activity concerns: the drilling of at least 27 new boreholes, rehabilitation of 52 former ones, construction of 85 new DWS systems, including water towers to serve an estimated 240 villages; putting in place of 86 pumping units (motors and pumps); undertaking of 30 borehole electrification; execution of 9,050 individual connections; installation of 750 distribution meters and 178 production meters; putting in place of 178 borehole users’ associations (ASUFOR) and training of their members; training of 178 ASUFOR managers and borehole operators. This activity will also help undertake the sensitization and health education of an estimated 200,000 persons in villages covered by the sub-programme. 4.5.7 Household and Community Sanitation of Sub-programme Villages. The works proposed will help provide household and community sanitation systems for school, health and public village infrastructures. The works proposed essentially consist of: (i) construction of at least 17,100 household latrines (VIP or pour-flush toilets) and wash tubs with wash basins and (ii) that of at least 477 institutional, multi-compartment and ventilated latrines.

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4.5.8 The semi-community sanitation structures will be provided in schools, village health centres and markets where generally, overcrowding is such that it fosters the occurrence and spread of water-borne diseases, notably resulting from poor hygiene and environmental sanitation conditions. 4.5.9 Control and Supervision of Works and IEC Campaigns of the Sub-programme. These activities entail: (i) control and supervision of construction works and (ii) training, sensitization and outreach activities for the communities. A consulting firm will be commissioned for the control and supervision services of the sub-programme component covering works, with, additionally, assistance to be provided to executing agencies for the relevant procurement procedures. At the same time, NGOs or specialized consulting firms will be commissioned for the sensitization and training activities among communities in the sub-programme area on maintenance, hygiene and sanitation issues. This will be based on appropriate health education, for the efficient operation, maintenance and overhaul of the water structures provided in order to guarantee their sustainability. These latter activities will be carried out separately for water supply and sanitation. COMPONENT B: INSTITUTIONAL SUPPORT TO STRUCTURES INVOLVED IN THE SUB-PROGRAMME 4.5.10 The executing agencies of the sub-programme are: (i) the DHY and the DEM for the implementation of the drinking water supply component and (ii) the DAS for the implementation of sanitation component. The DGPRE on the other hand, will focus on the monitoring, management and quality control of water resources to be harnessed. Additionally, the regional divisions of these Directorates in Louga, Ziguinchor and Kolda will also be involved in the close monitoring of the sub-programme’s outputs. To enable these structures to be operational and to effectively fulfil their role under the sub-programme, they will be provided support to strengthen them. This support will essentially entail: (i) computer training modules to upgrade their level and the use of technical software procured as part of the implementation of the sub-programme; (ii) computer equipment and technical services (electrical surveys to measure the level of underground water, chemical and bacteriological water analysis kits and GPS for positioning); (iii) an allowance for the staff of the executing agencies operating in the field; and (iv) facilitating the travel of experts on the field, in order to ensure a more frequent and efficient monitoring of the works. COMPONENT C: SUB-PROGRAMME MANAGEMENT 4.5.11 This component comprises the following activities: a) general coordination of the sub-programme and b) auditing of its accounts. 4.5.12 General Coordination of Sub-programme. General coordination tasks will be undertaken by the Coordination Unit (PCU). This Unit, which will be based in Dakar, will work in close collaboration with the Technical Departments (executing agencies) concerned. Its team will be made up of a coordinator, an administrative and financial manager, an IEC expert and support staff. The unit will coordinate the activities of the Water Resources Directorate (DHY) and Operations and Maintenance Directorate (DEM), executing agencies for the water sub-sector and those of the Sanitation Directorate (DAS), executing agency for the sanitation sub-sector. More specifically, they will undertake the following tasks: i) coordinate the PEPAM donors to ensure compliance with the unified framework for action; ii) ensure compliance with Government’s commitments and those of executing agencies

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featuring in the sectoral policy letter, the Bank’s loan agreement and the PEPAM manual of procedures; iii) prepare and monitor the operations plan (procurement and disbursements); iv) oversee the monitoring of sub-programme components; v) support executing agencies in the implementation of their components, notably the IEC and monitoring-evaluation activities; vi) prepare and/or oversee the quality control of bidding documents prepared by the executing agencies prior to their transmission to the Bank; vii) monitor compliance with the implementation schedule of studies and works at the level of the executing agencies, notably the effectiveness and relevance of the intervention of counterparts seconded by each of them for the sub-programme; viii) prepare sub-programme progress reports; ix) prepare ADB supervision missions and monitor the execution of recommendations; x) prepare counterpart budgets and ensure their availability within the time limit; xi) undertake the financial management of the sub-programme (auditing of accounts, transmission to the ADB of direct payments, manage the ADB special account opened at the BCEAO and the counterpart funds, consolidate financial statements and prepare annual financial reports); xii) undertake the monitoring of audits and ensure the timely submission of audit reports; xiii) coordinate annual reviews of the sector with all the stakeholders, including the donors. 4.5.13 Annual Auditing. This activity concerns the financial auditing of the sub-programme. An external auditing firm will be commissioned to verify the accounts of the sub-programme and the corresponding bank accounts once a year. The cost of the audit will be borne by the ADF. 4.6 Impacts on Cross-Cutting Issues 4.6.1 The first phase of the sub-programme, which will be based in the Louga, Ziguinchor and Kolda regions, will comprise the following components: (i) development of basic infrastructure; (ii) institutional support to local structures involved; (iii) coordination and management of sub-programme. At the environmental and social level, the sub-programme activities will entail the improvement of drinking water supply for rural communities in the regions concerned, improvement of the health conditions of the communities, monitoring of the implementation of environmental and social measures, sensitization on environmental protection, STD/AIDS, malaria and other water-borne diseases, environmental protection and management, as well as support measures to improve the living environment and conditions of the population. 4.6.2 Given its health impact, average size, location in relatively stable areas, the multiple environmental and social benefits generated and the easily-controllable environmental impacts through the application of appropriate measures, the sub-programme is classified environmentally as category 2. The assessment of environmental conditions during the field visits indicates that the impacts will be positive in general and the few negative impacts that will occur during the construction and operation of structures can be easily controlled with the application and monitoring of mitigative measures. 4.6.3 At the socioeconomic level, the sub-programme will induce significant positive impacts such as: improvement of drinking water supply; reduction of the cost of water (from CFAF 930/inhab./month to a price ranging between CFAF 150 and 300/inhab./month in the region); decrease in water-borne diseases and improvement of the living conditions and environment of the rural population. The most important social challenge will be the improvement of the health status of local residents after the implementation of the sub-programme. Indeed, malaria, cholera, gastro-intestinal complications, skin infections and

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other water-borne diseases will reduce significantly with the improvement in sanitation and the quality of water. Children who are often burdened with water collection will have more time for their school activities. Furthermore, in villages without boreholes where women devote 3 to 6 hours to water collection, the savings in time will be by as much. The sub-programme will contribute to the development of the regional private sector with the use of artisans for the construction and maintenance of water and sanitary facilities. 4.6.4 The most significant negative impacts could be the following: nuisances caused to the population during works through the release of dust and smoke; risks of pollution of underground waters through infiltration caused by non-watertight structures; risks of contamination and pollution of water with the use of the same water troughs for both humans and cattle, as is currently the case in the village of Keur Madialé (Louga region); risks of water pollution related to salt water intrusion or shallow salty levels; and odour nuisances due to the location, maintenance and management of latrines. The recommended mitigative measures are: (i) provide those sites requiring one, with a separate drinking trough, located at a distance, for cattle and (ii) enhance the capacities for retention, pest control and emptying of latrines. 4.6.5 With the participation of the beneficiaries, the sub-programme will undertake the construction of 17,100 household latrines, 477 public latrines and 17,100 wash tubs. These latrines have been designed, located and constructed in a manner to eliminate any risks of odour nuisances and pollution of the groundwater in case the static level of the latter should rise. Awareness campaigns will be undertaken in the communities on hygiene, health, protection of food products, washing of hands, construction, use and maintenance of latrines in public places, in families and schools, use and maintenance of structures for the evacuation of domestic wastewater, management of solid wastes, STD/AIDS, water-borne diseases, rational use and conservation of water and environmental protection. The awareness campaigns will mainly focus on women and children. 4.6.6 Furthermore, the sub-programme will encourage, with the involvement of the DGPRE, the putting in place of a water surveillance and monitoring system. Also, physical and chemical and bacteriological analyses will be conducted by the enterprises involved in constructing water points to ensure the potability of the water. In order to enhance the achievements of the rural electrification project financed by the Bank in Louga, and in a bid to reduce sound nuisance and pollution from the emission of carbon dioxide by diesel pumping equipment as well as to enhance the return on investments, (reduction of energy costs by 50%) the sub-programme will finance 30 connections of the borehole pumping systems to the electric network. 4.6.7 The monitoring of the implementation of mitigative and optimisation measures will be carried out by the environmental expert. He will also be responsible for the implementation of the ESMP, management of work sites, undertaking of specific environmental and social works and the search for solutions to specific environmental problems as well as definition of the indicators for the monitoring of the biological and abiotic environment. The expert will work in collaboration with the head of the regional environment and classified establishments division of each region covered by the sub-programme.

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4.6.8 Training, outreach and awareness campaigns will be organized for all the actors of the sub-programme, including the communities, on hygiene and salubrity, health, protection of food products, washing of hands, construction, use and maintenance of latrines in public places and in households, use and maintenance of domestic wastewater evacuation structures, management of solid wastes, STDs/AIDS, water-borne diseases, protection and safeguarding of the quality of water, rational use and conservation of water as well as environmental protection. It is worth noting that the sum of UA 1.62 million, including environmental mitigative measures, has been earmarked under the sub-programme for these activities. 4.7 Costs of Country Programme and Sub-programme 4.7.1 The Country Programme (PEPAM). The total estimated amount of the PEPAM for the rural areas is CFAF 274.1 billion (UA 357 million) over the 2005-2015 period comprising UA 201 million for drinking water infrastructure, UA 135 million for sanitation facilities and UA 21 million to put in place a unified framework for action. The financial schedule of the programme comprises the following 4 phases: (i) a two-year preparation and launching phase covering 2005-2006, which will include negotiation with partners for the financing of the programme, putting in place of the unified framework for action, implementation of a priority investment programme and invitation for bids for works of the first phase of implementation;(ii) three implementation phases of 3 years between 2007 and 2015. A phase assessment will be conducted at the end of each phase to make the relevant adjustments to the objectives. 4.7.2 Launching Sub-programme. The estimated cost, excluding taxes, of the sub-programme is UA 29 million, comprising UA 6.96 million in foreign exchange (24%) and UA 22.04 million in local currency (76%). This includes provisions for physical contingencies (10% for works, 5% for services) and annual price escalation (2% for foreign exchange and 3% for local currency). Tables 4.7(a) and 4.7(b) below present a summary of the sub-programme by component and by category of expenditure.

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Table 4.7 (a): Summary of f Sub-Programme Cost estimates by Component

Table 4.7(b) : Summary of Sub-Programme Cost Estimates by Expenditure Category

Millions of CFAF Millions of UA Component L.C. F.E. Total L.C. F.E.s Total

A. Development of Basic Infrastructure Sanitation Works 5885.310 - 5885.310 7.664 - 7.664 Boreholes and Rehabilitation Works 751.088 881.712 1632.800 0.978 1.148 2.126 Boreholes Electrification Works - 513.000 513.000 - 0.668 0.668 DWS Works Including Networks Extension 4191.702 1796.444 5988.146 5.459 2.340 7.799 Pumping Equipment for Boreholes 423.276 987.644 1410.920 0.551 1.286 1.837 Private Connections 506.800 126.700 633.500 0.660 0.165 0.825 Distribution Meters 3.375 30.375 33.750 0.004 0.040 0.044 Works Supervision and Inspection 458.859 196.654 655.513 0.598 0.256 0.854 IEC for DWS Structures and Environmental Mitigation 529.775 - 529.775 0.690 - 0.690 IEC for Sanitation and Environmental Mitigation 663.100 - 663.100 0.864 - 0.864Sub-Total 13413.285 4532.529 17945.814 17.468 5.903 23.371

B. Institutional Support to Local Structures Involved

In Sub-Programme - Support to Regional Divisions of Sub-Programme 313.644 66.266 379.910 0.408 0.086 0.494 - Support to Water Resources Directorate 133.818 15.240 149.058 0.174 0.020 0.194 - Support to Sanitation Directorate (DAS) 93.959 13.300 107.259 0.122 0.018 0.140 - Support to Operation and Maintenance Directorate (DEM) 93.959 13.300 107.259 0.123 0.017 0.140 - Support to Water Resources Management and Planning D 17.640 6.760 24.400 0.023 0.009 0.032Sub-Total 653.020 114.866 767.886 0.850 0.150 1.000

C.Sub-Programme Management

Sub-Programme Coordination Unit (PCU) 555.620 71.780 627.400 0.724 0.093 0.817 Annual Audit of PCU Accounts and Sub-Programme 60.000 - 60.000 0.078 - 0.078Sub-Total 615.620 71.780 687.400 0.802 0.093 0.895

Total Base Cost 14681.924 4719.175 19401.099 19.120 6.146 25.266

Physical Contingencies 1339.434 459.288 1798.722 1.744 0.598 2.342 Price Escalation 900.700 168.085 1068.785 1.173 0.219 1.392TOTAL SUB-PROGRAMME COST 16922.058 5346.548 22268.606 22.037 6.963 29.000

Categories of Expenditure Millions of CFA.F Millions of UA

LC. FE Total LC FE Total A. GOODS 458.071 1148.749 1606.820 0.597 1.496 2.093

B.WORKS 11462.275 3317.856 14780.131 14.926 4.321 19.247 C.SERVICES 2237.378 252.570 2489.948 2.914 0.329 3.243 D.OPERATION 524.200 - 524.200 0.683 - 0.683 Total Base Cost 14681.924 4719.175 19401.099 19.120 6.146 25.266 Physical Contingency 1339.434 459.288 1798.722 1.744 0.598 2.342 Price Escalation 900.700 168.,085 1068.785 1.173 0.219 1.392 TOTAL SUB-PROGRAMME COST 16922.058 5346.548 22268.606 22.037 6.963 29.000

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4.8 Sources of Finance and Schedule of Expenditure 4.8.1 The sub-programme will be financed by: (i) ADF in the amount of UA 25 million (86%); (ii) the Government to the tune of UA 3.118 million (11%); and (iii) the beneficiary communities to the tune of UA 0.882 million (3%). 4.8.2 The ADF financing will be used to cover: (i) 95% of private sanitation works; (ii) 100% of community sanitation works and wash tubs fitted with hand wash basins; (iii) 75% of the water supply works; (iv) 86% of borehole works; (v) 70% of pumping equipment; (vi) 100% of borehole electrification works; (vii) 80% of individual connections; (viii) 83% of support to local structures involved; and (ix) 100% of control of works and IEC campaigns for drinking water and sanitation. The components financed will help cover the needs in water and sanitation facilities as specified in paragraph 4.3.9. 4.8.3 Indicators for monitoring the outputs corresponding to the ADF financing are as follows: (i) 17,100 new household latrines and wash tubs with hand-wash basins; (ii) 477 new multi-compartment latrines, constructed at village public amenities (markets, schools, health centres and other public places); (iii) 151 masons and 169 pupil teachers trained; (iv) 400 women’s outposts put in place for hygiene at village level; (v) 27 new boreholes provided and 52 old ones rehabilitated; (vi) 85 new DWS systems constructed, including water towers to serve 239 localities; (vi) 86 pumping equipment (motors and pumps) supplied and installed; (vii) 30 borehole electrification undertaken; (viii) 9,050 individual connections put in place; (ix) 750 distribution meters and 178 production meters installed; (x) 178 borehole users’ associations (ASUFOR), put in place, supervised and trained in water point management and maintenance; (xi) 178 ASUFOR managers and borehole operators trained and; (xii) training, outreach and awareness campaigns undertaken in nearly 240 villages of the sub-programme. 4.8.4 Ten percent (10%) of the supplementary financing for the construction of household latrines will be provided by the beneficiary families, representing 5% of the total cost of the private sanitation component, comprising VIP latrines and wash tubs with hand-wash basins. 4.8.5 Communities requiring the intervention of the programme for the construction of drinking water supply structures, will pay an initial contribution of 3% of the amount of investments. This financial contribution will be mobilized by the beneficiaries in the form of initial savings. This will be paid as and when the corresponding demands for structures are made by the concerned parties. In any event, the relevant amounts should be collected prior to the construction of the structure requested. 4.8.6 On its part, the Government will contribute UA 3.118 million, representing CFAF 2394 million (11%) of the total cost of the sub-programme. It will open a bank account into which its contribution will be paid. Payment of the contribution of CFAF 216 million (UA 0.281 million) representing the Government’s share for the first year, will constitute a loan condition. The Government’s contribution will be used to cover the following operations: (i) 23% of WS works; (ii) 12% of borehole works; (iii) 28% of pumping equipment; and (iv) 17% of support to structures involved in the implementation of the sub-programme. Tables 4.8 (a), 4.8 (b) and 4.8 (c) below indicate the sources of finance and their breakdown by component and by category of expenditure.

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Table 4.8(a) : Sources of Finance

Table 4.8(b): Sources of Finance by Component (UA Million)

UA Million Sources of Finance L.C F.E> Total

% Total

ADF 18.037 6.963 25.000 86 Beneficiaries 0.882 - 0.882 3 Government 3.118 - 3.118 11 TOTAL 22.037 6.963 29.000 100

Component ADF Beneficiaries GVT Total

A. Development of Basic Infrastructure Sanitation Works 8.534 0.415 - 8.949 Boreholes and Rehabilitation Works 2.078 0.049 0.293 2.420 Boreholes Electrification Works 0.758 - - 0.758 DWSS Works Including Networks Extension 6.786 0.182 2.048 9.016 Pumping Equipment for Boreholes 1.458 0.041 0.592 2.091 Private Connections 0.756 0.190 - 0.946 Distribution Meters 0.045 0.005 - 0.050 Works Supervision and Inspection 0.932 - - 0.932 IEC for WS Structures and Environmental Mitigation 0.762 - - 0.762 IEC for Sanitation and Environmental Mitigation 0.959 - - 0.959 Sub-Total 23.068 0.882 2.933 26.883

B. Institutional Support to Local Structures Involved

In Sub-Programme - Support to Regional Divisions of Sub-Programme 0.435 - 0.110 0.545 - Support to Water Resources Directorate 0.188 - 0.025 0.213 - Support to Sanitation Directorate (DAS) 0.129 - 0.025 0.154 - Support to Operation and Maintenance Directorate (DEM) 0.129 - 0.025 0.154 - Support to Water Resources Management and Planning Directorate 0.036 - - 0.036 Sub-Total 0.917 0.000 0.185 1.102 C.Sub-Programme Management

Sub-Programme Coordination Unit (PCU) 0.928 - - 0.928 Annual Audit of PCU and Sub-Programme Accounts 0.087 - - 0.087 Sub-Total 1.015 0.000 0.000 1.015 TOTAL COST 25.000 0.882 3.118 29.000

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4.8(c) : Sources of Finance by Expenditure Category (UA Million)

Table 4.8(d) : Expenditure Schedule by Source of Finance (UA Million)

Source of Finance 2006 2007 2008 2009 Total

ADF 4.009 11.330 7.459 2.202 25.000 Beneficiaries 0.139 0.392 0.279 0.072 0.882 Government 0.281 2.014 0.823 - 3.118 TOTAL 4.429 13.736 8.561 2.274 29.000 Table 4.8(e) : Expenditure Schedule by Component (UA Million)

Component 2006 2007 2008 2009 Total

A. Development of Basic Infrastructure

Sanitation Works 1.429 2.932 3.020 1.568 8.949 Boreholes and Rehabilitation Works 0.799 1.031 0.590 - 2.420 Boreholes Electrification Works 0.173 0.379 0.206 - 0.758 DWSS Works Including Networks Extension - 5.716 3.300 - 9.016 Pumping Equipment for Boreholes - 2.091 - - 2.091 Private Connections 0.276 0.378 0.292 - 0.946

Distribution Meters 0.015 0.020 0.015 - 0.050 Works Supervision and Inspection 0.256 0.413 0.264 - 0.933 IEC for DWS Structures and Environmental Mitigation 0.258 0.191 0.197 0.115 0.761 IEC for Sanitation and Environmental Mitigation 0.248 0.264 0.270 0.177 0.959 Sub-total 3.454 13.415 8.154 1.860 26.883

B. Institutional Support to Local Structures Involved

In Sub-Programme - Support to Regional Divisions of Sub-Programme 0.365 0.058 0.060 0.062 0.545

- Support to Water Resources Directorate 0.118 0.032 0.033 0.030 0.213 - Support to Sanitation Directorate (DAS) 0.079 0.024 0.025 0.026 0.154 - Support to Operation and Maintenance Directorate (DEM) 0.079 0.024 0.025 0.026 0.154 - Support to Water Resources Management and Planning Directorate 0.014 0.008 0.007 0.007 0.036 Sub-Total 0.655 0.146 0.150 0.151 1.102

C.Sub-Programme Management

Sub-Programme Coordination Unit (PCU) 0.299 0.154 0.234 0.241 0.928 Annual Audit of PCU and Sub-Programme Accounts 0.021 0.021 0.022 0.023 0.087 Sub-Total 0.320 0.175 0.256 0.264 1.015 TOTAL COST 4.429 13.736 8.560 2.275 29.000

Sources of Finance ADF Beneficiaries GVT Total Loan

A. GOODS 1.737 0.047 0.592 2.376 B.WORKS 18.912 0.835 2.526 22.273 C.SERVICES 3.573 - - 3.573 D.OPERATION 0.778 - - 0.778 TOTAL COST 25.000 0.882 3.118 29.000

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4.9 Performance Indicators A system of monitoring-evaluation of the PEPAM, including easily-quantifiable performance indicators, will be put in place by end 2005. This system will define a set of criteria aimed at measuring, at any moment, the performance of the various sub-programmes conducted during the four cycles of the PEPAM, that is up to 2015 [i) 2005-2006; ii) 2007-2009; iii) 2010-2012; and iv) 2013-2015]. Thus, it will make it possible to make an assessment of each stage at the end of each cycle and determine the relevant adjustments to be made. The monitoring-evaluation indicators for the sub-programme financed by the Bank are given in section 5.11 on “sustainability and risks of sub-programme”. The sub-programme coordination unit will be responsible for this exercise. Mention may be made of the following indicators in the sub-programme areas:

Effectiveness Indicators of Sub-programme Outputs by 2009 Existence and efficacy of a water resources monitoring system Existence and efficacy of a system of monitoring the construction of DWSS facilities Number of water points and supply systems established (86) Number of adequate sanitation systems provided (17,577) Rate of breakdown falling below the current rate of 3% Number of water points subjected to quality analysis of drinking water (86) Number of artisan masons trained (151) Number of ASUFORs created (178), with training of their members Number of borehole operators (178), trained and set up Number of persons sensitized about hygiene / percentage of women sensitized (400 women representatives for hygiene, put in place) Number of women managers of water points Number of women involved in income-generating activities resulting from the water points

Effectiveness Indicators of Sub-programme in terms of Impact on Development Prevalence rate of water-borne diseases reduced from the current level of 22% to 18% by 2009 Infant mortality rate reduces from current average level of 78 per thousand to 62 per thousand in 2009 Number of efficient private operators in the sector, notably in the maintenance of water structures Average per capita safe water consumption reaching national standard of 35 litres/day/person by 2009

5. IMPLEMENTATION OF LAUNCHING SUB-PROGRAMME OF INITIATIVE 5.1 Implementation Framework 5.1.1 The strategic orientations needed for the achievement of the MDGs were identified in a sectoral policy letter on urban and rural water supply and sanitation. Based on the principles outlined in this letter, the PEPAM constitutes the only framework by which the Government of Senegal intends to develop its interventions by 2015 in order to attain the relevant MDGs. 5.1.2 As mentioned above, the PEPAM is also a follow-up of the Water Sector Project (WSP) and the Long-term Water Project (LTP) both in its objectives and implementation modalities. Indeed, the process of establishing the PEPAM was prepared and financed by the World Bank as part of the LTP and under the supervision of the coordinator of this project. To this end, it is worth noting that the ADF contributed to the financing of the LTP through the Dakar sanitation project. The coordinator of this project had to prepare the terms of reference for the formulation of PEPAM, undertake the recruitment of consultants and organize all the consultative workshops that led to the donors’ round table for the sector, held on 29 April 2005. The implementation of PEPAM will therefore be based, as for WSP and

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the LTP, on a set of rules common to all the partners and a unified coordination framework for the significant improvement in the implementation capacity and absorptive capacity of the sector. 5.2 Executing Agency and Coordination of Interventions 5.2.1 The Ministry in charge of water resources will supervise the sub-programme. To build on the existing expertise, the coordination unit created under the WSP and LTP and in charge of the coordination of the said projects between the Government, executing agencies (SONES, ONAS, DGPRE and DEEC) and the donors will be maintained and strengthened as the coordination unit of the present sub-programme (PCU). The current coordination unit is headed by a water engineer, who was also the coordinator for the WSP and LTP, and made up of an accountant and financial manager, a Government counterpart manager and an assistant. In view of the fact that the LTP and the WSP only concerned the urban area, it will be necessary to strengthen the existing coordination unit with the recruitment of an IEC expert specialized in rural interventions. He/she will contribute to the change of behaviours in relation to potable water and hygiene in rural areas. Furthermore, a public service expert in procurement will be seconded to the coordination unit to prepare and monitor all the procurement activities of the sub-programme. Lastly, the unit will include support staff consisting of an assistant accountant to support the financial manager, two drivers, a secretary and a messenger. 5.2.2 The costs of the equipment and operation of the PCU will be covered by the sub-programme. A manual of administrative, financial and accounting procedures of the sub-programme will be developed by the borrower and submitted to the ADF for approval. The manual will include aspects related to the accounting and financial management of funds transferred by the ADF into the BCEAO special account and earmarked for works relating to household sanitation, private connections and installation of distribution meters. Proof of the development of this manual by the Government will constitute a condition for the first disbursement. It is worth noting that the funding of this manual by the World Bank has already been secured. 5.2.3 The contract of the coordinator will include one or several clauses relating to the performance of the unit he/she manages. In addition to the other performance criteria, it is worth mentioning the following: (i) effectiveness date, in view of the fact that this should be as soon as possible to enable the start-up of the sub-programme on 1st January 2006; (ii) deadline for fulfilment of conditions of first disbursement before 1st January 2006; (iii) quality of monitoring of procurement plan procedures; (iv) support to executing agencies for the follow-up of the execution of contracts; (v) quality of monitoring of effective implementation of tasks assigned to each executing agency, notably those of the counterparts seconded for the purpose to the sub-programme; (vi) quality and timely submission of reports as well as of the monitoring-evaluation (gathering and processing of indicators); (vii) quality of monitoring of disbursements (time-limit for processing payment applications, deadline for settlement with ADB and counterpart funds); (viii) quality of financial and accounting management (system of internal control, reliability of accounting information system, financial statements, timeliness of audit reports and minimization of possible reservations). 5.2.4 The implementation of the sub-programme activities will be the responsibility of the three executing agencies, namely the DHY for boreholes and new water supply structures, the DEM for the extension of networks and aspects related to the operation and maintenance,

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and the DAS for sanitation structures. Each one will appoint a counterpart for the specific monitoring of the sub-programme. Moreover, at the level of each of the three regions of the sub-programme, a regional counterpart will be appointed at the water and sanitation services for close monitoring. Proof of the appointment of the counterparts of the coordination unit at the central and regional level and presentation of their CVs to the ADF will also constitute a condition precedent to the first disbursement of the sub-programme resources. 5.2.5 Thus, the sub-programme will be supported by the deconcentrated structures of the Ministry in charge of water resources and the Ministry in charge of sanitation. The regional water resources services will cater for the monitoring and technical quality of the ‘drinking water supply’ while the regional sanitation services will supervise the “sanitation” subcomponent. These regional services will be adequately supported in terms of logistics and financial resources by the sub-programme to be able to perform their duties. 5.3 Steering Committee To ensure sound coordination between the activities of the sub-programme and future sub-programmes, as well as consistency with the current sectoral policies, a steering committee will be created for PEPAM. This committee will be placed under the authority of the Minister in charge of water resources and cater for the coordination of all the actors of PEPAM (central and deconcentrated administration, civil society, local authorities, private sector, consumers’ associations and NGOs). In addition to other members, it will also include: two representatives from the Ministry in charge of Finance (DCEF and DDI) and a representative of the Ministry in charge of territorial administration and decentralization, the Ministry in charge of the environment, a representative of each of the following bodies: DHY, DAS, DEM, DGPRE, SONES, SDE, ONAS, regional divisions of the sub-programme, local authorities, private sector operators, NGOs, consumers’ associations and each of the technical and financial cooperation partners of the water and sanitation sector. Any other structure deemed to be relevant by the Government could be part of the committee. Proof of the creation of the steering committee will constitute a condition for the disbursement of the sub-programme resources. 5.4 Sub-programme Implementation Plan Some measures taken for the implementation of the sub-programme could be adjusted in accordance with the recommendations of the supervision missions. Thus, the rate of disbursement of advances may be revised if the pace of implementation of the project is affected. Similarly, the various amounts defined as ceilings for the ex-post procurement review could be raised or lowered with the authorization of the Bank. 5.5 Project Site Eligibility Criteria 5.5.1 The eligibility of a site whose infrastructure will be financed under the Bank’s sub-programme is determined by the “demand-responsive approach” and the fulfilment of certain related criteria. The approach currently used requires that only requests made by the beneficiaries will be considered . The consulting firms in charge of the IEC component will collate requests by the beneficiaries and local authorities, ascertain the fulfilment of the criteria and forward them to the regional Departments for validation prior to start of works. Moreover, only water points serving a population of at least 250 persons or located close to a water supply source will be declared eligible under the sub-programme. Also, in order to

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guarantee the sustainability of the system, the initial contribution by the beneficiaries will constitute a general principle that will accompany any investment in potable water or sanitation. 5.5.2 Specifically, the adherence of the communities to the sub-programme is confirmed by an official request from the rural communities addressed to the water resources and sanitation services as well as their consent to undertake certain arrangements. For the “drinking water”subcomponent, these entail the following guiding principles: i) overhaul of the users’ organization for an effective management of the borehole, through the establishment of a users’ association (ASUFOR) and contractual links between all the actors involved, on the REGEFOR Project model; ii) creation of viable borehole operation conditions at the technical and economic level, through the sale of water by volume and the installation of meters at all distribution and private points; and lastly iii) promotion of the private sector and its involvement in maintenance, through the contractualization between users’ associations (ASUFORs) and maintenance operators. For potable water infrastructure, the beneficiaries’ contribution will entail 3% of the total cost of works. This contribution will be mobilized by the beneficiaries in the form of initial savings. 5.5.3 For the “sanitation” subcomponent, the main eligibility criterion is the consent of the beneficiaries to contribute to the financing of household latrines. The financial contribution requested of households benefiting from private sanitation structures is fixed in the PEPAM document at 10% of the cost of the structure. However, households can contribute in kind (participation in the construction of the structure) in order to minimize their contribution in cash. As for community facilities (public toilets) and wash tubs, the sub-programme will cover the entire cost. 5.6 Implementation and Supervision Schedules The sub-programme will be implemented over a 48-month period, starting from January 2006. The works will begin in June 2006 and be spread over 42 months up to December 2009. To monitor the implementation, the Bank will field a launching mission as well as regular supervision missions, in accordance with the current provisions. The Bank’s regional office in the country will use its proximity to ensure the close monitoring of the sub-programme. This approach will facilitate the circulation of information between the PCU, the Bank’s executing agencies and thereby help accelerate the start-up and implementation of the sub-programme in line with the ADB’s RWSS initiative. The proposed implementation schedule of the sub-programme is detailed in Annex 4 and summarized hereinafter. Activity Responsible Body Date / Period Loan approval ADF September 2005 Effectiveness ADF/GOVT November 2005 Setting up of PCU ADF/GOVT January 2006 Preparation of BDs and issue of invitations to bid PCU /ADFS October 2005 to April 2006 Signing of contracts PCU March to May 2006 Commissioning of consulting firm PCU May 2006 Works PCU /Contractors June 2006 - December 2009 End of sub-programme PCU December 2009

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5.7 Procurement Arrangements 5.7.1 Procurement of goods, works and services financed by the ADF will be in accordance with the Rules of Procedure for the procurement of goods and works or, where necessary, to the Rules of Procedure of the Bank for the use of consultants based on the Bank’s appropriate model bid documents. The following table provides details of the sub-programme procurement:

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Table 5.1 :Procurement of Goods, Works and Services(UA Million) - Amounts in parentheses are ADF Contributions;

-“ Other” refers to procurement by local shopping, by negotiation, , support to technical services involved, payment of allowances and amounts of items fully financed by Government.

DESCRIPTION ICB NCB Shortlist Community

Works Other Total

A. WORKS

Sanitation - 2.90 - 6.05 8.95

(2.90) (5.60) (8.50)

Boreholes Electrification - 0.76 - - - 0.76

(0.76) (0.76)

Boreholes Works 2.42 - - - - 2.42

(2.07) - (2.07)

DWS Works 9.01 - - - - 9.01

(6.76) - (6.76)

Private Connections - - - 0.95 - 0.95

(0.76) (0.76)

Water Distribution Meter Installation Works - - - 0.05 - 0.05

(0.04) (0.04)

Technical Services Premises Rehabilitation - - - 0.19 0.19

B. GOODS

Water Pumping Equipment 1.96 - - - - 1.96

(1.40) - - - - (1.40)

- - - - 0.32 0.32 Computer. Technical, Office and Computer Training Equipment for PCU and Support - - - - (0.32) (0.32)

Vehicles for PCU - - - - 0.07 0.07

(0.07) (0.07)

C. SERVICES

Institutional Support to Technical Services Involved - - - - 0.80 0.80

(0.80) (0.80)

Works Monitoring and Inspection - - 0.93 - - 0.93

(0.93) (0.93)

IEC for DWS - - 0.76 - - 0.76

(0.76) (0.76)

IEC for Sanitation - - 0.96 - - 0.96

(0.96) (0.96)

Audit - - 0.09 - - 0.09

(0.09) (0.09)

D. SUB-PROGRAMME COORDINATION UNIT

PCU Staff - - 0.10 - 0.25 0.35

(0.10) - (0.25) (0.35)

PCU Operation - - - - 0.43 0.43

(0.43) (0.43)

Total 13.39 3.66 2.84 7.05 2.06 29.00

(10.23) (3.66) (2.84) (6.40) (1.87) (25.00)

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Works: 5.7.2 Contracts for borehole construction works (new and rehabilitated) amounting to UA 2.42 million and that of water supply structures and networks amounting to UA 9.01 million will be based on international competitive bidding (ICB) with the application of the country preference margin. 5.7.3 Tenders for the following works will be awarded by national competitive bidding (NCB). Indeed, for these works, there is a sufficient number of qualified enterprises in the country. These are: (i) community sanitation works (public latrines) amounting to UA 2.9 million, with the maximum amount of each market not exceeding UA 550,000 and; (ii) boreholes electrical connections works amounting to UA 0.760 million with each contract not exceeding UA 260,000. 5.7.4 The following works will be awarded in accordance with the ADB procedures for community works: (i) household sanitation works (latrines and wash tubs with hand-wash basins) amounting to UA 6.05 million; (ii) private connection works and installation of distribution meters amounting to UA 1 million. To this end, the PEPAM manual of procedures expected to be established by end 2005 should indicate in detail the modalities of administrative, accounting and financial management to be used for funds intended for community works. Proof of the establishment of this manual of procedures will constitute a loan condition. Goods: 5.7.5 Tenders for the pumping equipment, including production meters amounting to UA 1.96 million will be based on international competitive bidding (ICB) with the application of the country preference margin. 5.7.6 Contracts for the procurement of vehicles and office equipment for the sub-programme coordination unit, computers and technical support to structures involved in the sub-programme as well as training, in the amount of UA 390,000, will be by local shopping, in view of the contract amounts that do not exceed UA 100,000 and the existence in the country of a sufficient number of qualified suppliers. For the operation of the PCU, the local shopping procedure will also be used since the amounts of the corresponding contracts will not exceed UA 50,000. Services: 5.7.7 Services will be procured by shopping based on shortlists. The consulting firms in charge of monitoring of works will be selected on the basis of the evaluation of the technical proposal taking into account the bid prices. The firms or services in charge of auditing or computer training of counterpart officers involved in the sub-programme will be selected on the basis of a shortlist and the lowest bid prices for comparable services. 5.7.8 Training, sensitization and outreach activities (IEC campaigns for potable water and for sanitation) will be carried out by NGOs and consulting firms to be selected on the basis of shortlists and the evaluation of the technical proposals taking into account the bid prices.

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5.7.9 The managerial staff of the PCU already working in the LTP unit (the coordinator and administrative and finance manager) will be covered through co-financing (World Bank / ADB) for the 2006-2007 period and by the sub-programme alone for the remaining period leading up to 2009. In any event, the contract of the coordinator will include one of the clauses for assessing the periodic performance of the unit he supervises (see paragraphs 4.5.12 and 5.2.4). Recruitment of the IEC expert to strengthen the coordination unit will be based on a shortlist. In view of the amount of fees (maximum UA 100,000), the advert for the procurement will be limited to the country. Prospective applicants should be free from all other professional commitments, where necessary, prior to their recruitment. Counterpart officers assigned to the sub-programme at the central and regional levels will receive a flat monthly allowance. National Regulations 5.7.10 The laws and regulations contained in the national procurement code were examined and deemed to be acceptable in relation to the findings of the last country procurement assessment review (CPAR: ADB/WB-2003) and subject to the fulfilment of statutory obligations relating to the eligibility for the procurement of goods, works and services. These conform to relevant international standards. 5.7.11 Executing Agency. The PCU will be responsible for: (i) procurement of goods for its operation, support to the DHY, DAS, DEM, DGPRE and regional services of the sub-programme; (ii) commissioning of auditing and training firms for the support. The executing agencies will be responsible for the following: (i) commissioning of consulting engineering firms for the monitoring of works; (ii) commissioning of consulting firms and/or NGOs to carry out training and outreach/awareness activities. The PCU will be represented on the evaluation committees in order to assist executing agencies upstream to abide by the procedures. 5.7.12 The PCU and the executing agencies will use the Bank’s model bidding documents for all their procurement. Where documents do not exist for some categories of goods or works, the corresponding bidding documents of the World Bank will be used. To save time and step up the start-up of the sub-programme in accordance with the provisions of the implementation of the Bank’s initiative, the PCU has already started the preparation of the bidding documents to facilitate the invitation for bids immediately following the approval of the ADF financing. 5.7.13 Review Procedures. The following documents will be submitted to the Bank for approval prior to publication: (i) specific procurement notices; (ii) bidding documents or letters of invitation to consultants; (iii) contractors and suppliers bids evaluation reports or consultants’ proposals comprising recommendations on tender awards and; (iv) draft contracts, if those incorporated in the bid documents have been changed. Also, to avoid any delay in the recruitment of consultants, the PCU will request a non-objection notice from the Bank based on the overall evaluation report, including both the technical and financial evaluations. 5.7.14 All contracts valued at below UA 100,000 will be subjected to an ex-post review procedure. This will enhance the speed of execution of works recommended in the policy guidelines of the Bank’s initiative.

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5.8 Disbursement Arrangements 5.8.1 As part of the execution of the present sub-programme, disbursements will be based on three methods: a special account, direct payment and, where necessary, reimbursement. The direct payment method will be used by the Bank for contracts relating to: (i) borehole works, structures construction and water supply networks, supply and installation of pumping equipment, borehole electrification and construction of public latrines; (ii) the services for the control and supervision of works and for the outreach / sensitization (IEC campaigns for potable water and sanitation) activities. For the other activities, namely: operating expenses of the PCU, support to structures involved in the sub-programme (DHY, DAS, DEM, DGPRE and relevant regional services), financing of household sanitation works (household latrines and wash tubs) and individual connection works and installation of distribution meters, the Bank will use the special account method by transferring funds into the special account opened and managed by the PCU at the BCEAO. 5.8.2 The special account opened by the PCU at the BCEAO will be replenished with an initial payment based on a schedule of expenses covering 4 months of activities previously approved by the Bank. It will be replenished periodically upon presentation of a request and after justification of the use of at least 50% of the previous transfer, in accordance with the Bank’s procedures. Proof of opening of the special account at the BCEAO intended to receive the ADF resources will constitute a loan condition. 5.9 Financial and Audit Reports 5.9.1 The Coordination Unit will issue a quarterly report on the progress of the sub-programme to be submitted to the Bank at the latest one month after the end of the quarter. The PCU’s quarterly reports will outline not only the status of the physical infrastructure but also that of the relevance and the effectiveness of the intervention by the counterpart officers provided by the executing agencies of the sub-programme. 5.9.2 An audit firm will be commissioned to conduct the annual auditing of the sub-programme accounts. The audit reports including the financial statements audited will be submitted to the Bank at the latest six months after the closing of the period. 5.10 Partnerships 5.10.1 As indicated above (paragraphs 1.2.2 and 1.2.3), all the major donors of the water sector were associated by the Government of Senegal in all the phases of formulation of the PEPAM leading to the donors’ round table aimed at mobilizing financing and organized in Dakar on 29 April 2005. Also, the steering committee put in place under the present sub-programme (paragraph 5.3) will include the same actors in addition to the others operating in the sector. This committee will hold periodic meetings during which a review of the progress of the activities of the sub-programme will be undertaken. 5.10.2 Furthermore, on the occasion of the donors’ round table mentioned above, the Bank expressed the desire to have a co-financing mechanism put in place involving other financing institutions for the current PEPAM first sub-programme. But in view of the commitment of virtually all the other donors to ongoing operations, scheduled to last until at least 2007, such a mechanism could not be established. However, the new strategic orientations defined in the PEPAM by the Government to achieve the MDGs in the area of

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rural and urban water supply and sanitation received a clear and resolute support from all the development partners present. Moreover, some partners undertook to set their short-term operations within the PEPAM “unified framework for action”, expected to be fully established by end 2005 (see Annex 6, intentions of 25 potential financing institutions of the sector in the country). 5.11 Sustainability and Risks of the Launching Sub-programme Executing Agencies Operating Costs 5.11.1 Costs related to the operation of the unit for 4 years amount to CFAF 627 million, made up of 48% for fees and 52% for operation. The costs related to support to structures involved in the sub-programme amount to CFAF 768 million, consisting of 23% for allowances and 77% for the support and operation during the 4-year period. Annual Expenses and Revenues related to the Operation, Management and Maintenance of Water Supply Structures of an ASUFOR Producing 3000 m3 of Water per Month 5.11.2 Estimates of the recurrent costs and annual revenues of an ASUFOR were made using a zero risk scenario. Indeed, the latter is based on quantitative data obtained from a sample of ASUFORs already established and the assumption that an ASUFOR with a low yield, that is producing 3000 m3 of water per month, and for which the recurrent costs are proportionally very high. For an ASUFOR of this type, operating according to the REGEFOR model and producing 3000 m3 of water for sale, at the rate of CFAF 200/m3, that is CFAF 5 (the smallest currency unit of the country) per 25-litre container, the following table gives a breakdown of the annual corresponding recurrent costs, associated revenues and savings made by the association. This estimated operating account shows that even in the case of an ASUFOR with low production, and therefore potentially unprofitable, a situation that should not occur under the present sub-programme, the operation and management of the latter remain an income-generating activity. Such revenues are used, depending on the borehole sites, for the following: extension of networks, electrification of boreholes, schools or health centres and development of village-market gardening. A more detailed analysis of these revenues, including the minimum selling price of water to break-even is presented in section 6.1 and detailed in Annexes 8 and 9.

Item Annual Total (CFAF) COSTS 4 983 000

-Pumping equipment operation costs 1 920 000 -Pumping equipment and networks maintenance costs 273 000 -ASUFOR staff expenses 2 460 000 -Miscellaneous ASUFOR operating costs 330 000

REVENUE 7 200 000 MARGIN FOR ASUFOR SAVINGS 2 217 000

System of Recovery of Operating Costs 5.11.3 The management method will be in line with the one applied by REGEFOR (cf. Box on page 12). Costs will be recovered through the sale of water to users by volume, through volumetric meters to be installed on all the public and privative distribution structures for both human and animal consumption. Water sales on the public distribution points will be carried out by standpipe operators directly responsible for collecting sums

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corresponding to the price of the water container. A pricing system based on the per m3 of water consumed with later payment will be used for the private connections. The tariff schedule to be established for each site will take into account the full costs of production of water and renewal of equipment, and could be adjusted depending on the economic and financial results of the operation of the boreholes. In any event, the price level applied, with sound management permitting, should help cover the expenses. In view of the satisfactory results obtained following the application of the REGEFOR, its extension by the Government to the sites of the present sub-programme will constitute a loan condition. Sustainability 5.11.4 As indicated above in the table of standard operation of an ASUFOR and by the trial results of the REGEFOR, the sustainability of drinking water supply services constitutes one of the positive factors provided by the reform. Consequently, its extension to the sites of the sub-programme should be beneficial. Monitoring-Evaluation 5.11.5 In order to safeguard the sustainability of actions pursued under the PEPAM, a monitoring-evaluation system financed by the World Bank will be put in place by end 2005. This system will define up to the year 2015 a set of quantifiable indicators to measure the performance of the sub-programmes during the various cycles of the 2005-2015 period. Thus, at the end of each cycle, a performance assessment will be established and adjustments and corrective measures put in place where necessary. The sub-programme coordination unit will be responsible for this task. Since the sub-programme financed by the Bank covers a four-year period, beginning 2006, an intermediate assessment will be carried out at the end of 2007. On this date, the following intermediate monitoring indicators will be defined:

Intermediate Monitoring Indicators of Outputs of the Sub-programme at End 2007 (mid-term) Number of new boreholes put in place: 20 Number of boreholes rehabilitated: 42 Number of DWS structures and networks put in place: 153 Number of private connections put in place: 6,335 Number of private sanitation systems (household latrines) constructed: 8,535 Number of community sanitation systems (public latrines) provided: 238

Number of artisan masons trained: 75 Number of school teachers trained: 84 Number of borehole operators trained: 59

Effectiveness Indicators of Sub-programme in terms of Impact on Development at End 2007 Prevalence rate of water-borne diseases decreasing from the current average level of 22% to 20% by 2007 Infantile mortality rate decreasing from the current average level of 78 per thousand to 70 per thousand by 2007

Risks of Sub-programme 5.11.6 The lack of contribution by the communities could constitute a sub-programme risk. It is for this reason and, taking into account past and ongoing experiences in this sector, that the levels of contributions proposed are acceptable and average 3% for drinking water structures and 5% for those pertaining to the technical package of household sanitation. In this regard, the contribution requested from the communities, should not constitute an obstacle for the sub-programme, in view of the financial possibilities of the latter which

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should be all the more adequate since part of the latter will be provided in kind by the beneficiaries in the form of participation in unskilled works. Also, the participatory approach adopted for the implementation of the sub-programme and the resultant feeling of ownership by the beneficiaries, will also contribute to boosting their commitment to achieving the targets. To this end, the IEC activities planned will help and encourage the communities to undertake installations in accordance with the recommendations, depending on their financial possibilities and, as owners of private systems, to undertake the maintenance. With regard to private connections (30% of water sales), whose consumptions will be paid on a monthly basis, the experience of existing ASUFORs shows that the risk of unpaid bills is minimal. Furthermore, account should be taken of risks of instability that affected Casamance in the last 20 years. However, the peace efforts undertaken by the authorities augur well for a return to normalcy in the near future. 6. ANALYSIS OF IMPACTS OF SUB-PROGRAMME 6.1 Analysis of Economic and Financial Impact 6.1.1 The economic and financial analysis of the rural water supply and sanitation sub-programme is essentially geared towards the analysis of the overall economic benefits generated by the facilities put in place. Indeed, the financial analysis as usually conducted for projects is restrictive: putting in place of sanitation structures, be they household and/or community, does not generate cashflows (costs and proceeds) required for a financial analysis. The latter can only be applied to drinking water structures for which the sale of water by volume generates financial cashflows. Hence, the approach used for the present sub-programme consists in evaluating the financial returns of the multi-village type of ASUFOR before analyzing more broadly the economic benefits that provide a reflection of the impact of the sub-programme on the country on the whole. Indeed, for the economic benefits to be made, it is essential to demonstrate that the ASUFORs can be self-financing without the additional financial support of the sub-programme, once the water resource facilities have been constructed. 6.1.2 Financial Analysis and Return. To assess the financial sustainability of the sub-programme, a model ASUFOR with a 3,000 m3/month output is used as the unit of analysis. It is worth recalling, as indicated above, that this “pessimistic” estimate reflects a conservative or risk-free scenario, in view of the fact that the great majority of the ASUFORs put in place under the present sub-programme will have a monthly water flow higher than 3,000 m3/month. The assumptions used for the financial analysis of this model ASUFOR have been outlined below and are based on the results already obtained by ASUFORs under the REGEFOR programme: (i) financial analysis has been carried out over a period of 15 years (2006-2021), representing the average life span of drinking water supply infrastructure; (ii) regarding revenue, the water produced is sold at an average price of CFAF 200/m3, that is CFAF 5/25-litre container; (iii) with regard to investments, the pumping equipment (pump and motor) must be replaced every 5 years. The related cost of investment is estimated at CFAF 13.8 million. The network including the superstructures (water tower, distribution points) has an estimated life span of 20 years and its maintenance must be carried out regularly. The related cost of investment is estimated at CFAF 59.2 million. The borehole has an estimated life span of 25 years. The associated investment cost is estimated at CFAF 40.8 million. For these facilities, the related depreciation will be linear. At the end of the period of analysis, the residual value of the structures will be equivalent to the undepreciated value by the end of the depreciation period. The ASUFORs contribute 3% of the financing of

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the infrastructure, with the balance financed by the sub-programme and; (iv) the operating costs include the operating costs of the pumping equipment, maintenance costs, staff expenses and the operating expenses of the ASUFOR. 6.1.3 The financial analysis indicates that the ASUFORs are indeed viable. Assuming a real discount rate of 10%, the net present value (NPV) generated by this ASUFOR type is CFAF 1.8 million. For all the ASUFORs to be put in place, the financial NPV calculated using the same assumptions is CFAF 3.5 billion. This exercise confirms the high rate of return observed for the ASUFORs put in place under the REGEFOR. A sensitivity test on an ASUFOR of this type yields a minimum price guaranteeing the profitability of the operation: this price is CFAF 161/m3 of water sold, that is a minimum selling price of the 25-litre water container at CFAF 4. The detailed results are given in Annex 8. 6.1.4 It is important to note that in the absence of a sub-programme subsidy, the NPV would be negative and the ASUFORs will have to raise the selling price of water in order to fully cover the cost of construction of the facilities. This will increase the use by the communities of unimproved water sources and significantly decrease the detailed economic benefits presented below. Thus, the financial input of the sub-programme will enable the ASUFORs to undertake the project while applying prices that are acceptable to the communities. 6.1.5 Economic Analysis. Since the financial analysis is not applicable to ASUFORs, it is necessary to measure the impact of the sub-programme through an analysis of the overall benefits for the country. Indeed, in view of the nature and specific objectives of the sub-programme, only an economic analysis can translate the benefits generated by the sub-programme and the distribution of the latter among the parties. Assuming an economic opportunity cost of the investments of 12%, this analysis yields an economic NPV of CFAF 27 billion, translating the significant impact and creation of substantial benefits for the entire country. The detailed results are given in Annex 9. 6.1.6 Many benefits are generated by the implementation of the sub-programme. These are, primarily, direct benefits related to the water and sanitation structures. They represent the value created for the beneficiaries by the new water supply and/or improvement in access to drinking water (i.e. increase in consumption and reduced water price) and to sanitation. These direct benefits related to the water and sanitation structures represent 56% of the total benefits generated by the sub-programme for the 2006-2021 period. 6.1.7 Another essential benefit generated by the sub-programme is the savings in time resulting from the supply of clean water and evacuation of excreta and wastewater. More specifically, these benefits express the opportunity gains resulting from the time saved by the beneficiaries consequential to the closeness of drinking water supply to the households and the establishment of a sanitation system. They also represent, albeit in a marginal manner, the avoided cost related to working days spent by parents caring for their sick children. This time is calculted on the basis of the hourly wage observed in rural areas in Senegal. All the benefits generated from the savings in time by the beneficiaries represent 34% of the total benefits over the period considered.

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6.1.8 Furthermore, the impact of the sub-programme financed by the Bank is sensitive to the level of the education sector. Indeed, for the educational system, the community and pupils’ parents, the cost savings related to the reduction of school absenteeism or those related to repetition at school also constitute economic benefits generated by the sub-programme. These benefits account for 7% of the total benefits over the period considered. 6.1.9 Lastly, the sub-programme has a positive impact on the health sector. Indeed, the reduction of the number of cases of water-borne diseases and their impact on the health system (the time of the medical workers, use of medical equipment, drugs) and on the communities (medical expenses, time lost during consultations and examnations, related transport costs, lost time) generates significant economic benefits for the entire country. For the health sector, the benefits generated represent 3% of the total benefits of the sub-programme over the 2006-2021 period. 6.2 Sensitivity Test 6.2.1 The sensitivity analysis helps to identify variables that have a significant incidence on the financial and economic benefits generated by the sub-programme. Following this, a Monte Carlo type of multi-variable simulation is carried out to establish the average financial and economic NPVs as well as their respective probability distributions. The variables tested are: (i) quantity of water sold by the ASUFORs; (ii) fuel price (key input for the operation of boreholes); (iii) surcharges related to the investment; (iv) quantity of water consumed per person per day; (v) reduction of water-borne diseases resulting from the sub-programme and (vi) decrease in the repeater rate in schools. 6.2.2 On the basis of the multi-variable simulation, the financial NPV for all the ASUFORs is CFAF 3.3 billion compared to CFAF 3.5 billion with the base assumptions. Similarly, the average economic NPV created by the sub-programme is CFAF 31.3 billion compared to CFAF 27 billion with the base assumptions. The low discrepancy noted (about +/- 6%) between the NPV previously estimated with the base assumptions and the average NPV obtained with a multi-variable sensitivity test leads to the conclusion that the base assumptions used for the financial and economic analyses are reasonable. More specifically, the simulation indicates that even in the most unfavourable situation, the net financial and economic values are largely positive, at CFAF 623 million and CFAF 23.5 billion respectively (cf. Annex 9). Based on these results, the sub-programme does not appear to be risky. 6.3 Analysis of Social and Health Impact and its Financial Effect on Communities Social Impact 6.3.1 As in the cases of many villages and rural areas in the country where a sustainable water supply system has been established producing clean and sufficient as well as easily-accessible water, the sub-programme should create conditions enabling a sizeable portion of 7-12-year olds (particularly those in villages facing serious supply problems) to overcome the daily water fetching burden and thereby attend school more frequently. This particularly concerns girls of school-going age affected by household chores, particularly regarding water fetching who, as a result either fail to attend school, or drop out of school early. By addressing the structural constraints that hamper girl school enrolment, the sub-programme could contribute to raising the net enrolment rate, particularly in the Louga region, which has

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the lowest rates in the country: only 24% of 7-12-year old girls were enrolled in 2000 (28.4% for boys and 26.1% for the entire region). This will help resolve one of the major concerns of the authorities in the areas of education, in addition to the considerable efforts they have taken in recent years to catch up on girls’ enrolment. 6.3.2 It is equally important to consider the other positive benefits to be generated by the sub-programme in the area of social relations and socioeconomic conditions of the inhabitants of the beneficiary villages. The most important are: (i) strengthening of intervillage social cohesion with the involvement of all the villages and socio-professional groups concerned in the management of water points; (ii) empowerment of users of water points through the legal recognition given to ASUFORs, which will thus be given the necessary legal means to carry out the supervision of water management; (iii) emergence of a local democracy, based on electoral procedures, compliance with schedules for the renewal of management bodies and transparent operational assessment; (iv) development of local human resources with the training of the members of management committees in financial and accounting management (249 ASUFORs have already been trained in the management tools); (v) promotion of local employment that will help create on average 15 permanent standpipe jobs per borehole and help create, as of December 2004, 89 contractual management jobs with monthly wages ranging between CFAF 50,000 and CFAF 150,000 (110 other managers have already been approved by the DEM and are awaiting their effective assignment); (vi) reduction of social conflicts related to the recovery of proceeds, through a transparent pricing system and payment that is proportional to the consumption. Health Impact 6.3.3 The results of one of the rare household sanitation projects conducted in the rural areas in the country (and visited by the team) underscores the significant improvements in health, following the construction of 8 boreholes, serving 85 villages, and provision of household and community sanitation structures (double-pit latrines, flush toilets, ablution rooms and showers), where necessary, in 75 to 91% of households. In the 6 health posts of the area, attendance rates fell considerably, according to the head nurses of the health post, indicating a significant decline in water-borne diseases (malaria, diarrhoeal diseases, skin infections and worms) that invariably feature among the top ten causes of consultation;. Provision of latrines has also reduced the prevalence of diarrhoea and the positive impact on malaria and skin infections is mainly attributable to the widespread use of wash tubs fitted with wash stands. These improvements have occurred in a population where, prior to the project: (a) 62% of households were not equipped with latrines and the others only had unhygienic and rudimentary facilities; (b) in 83% of households, wastewater from body washing was poured directly on the ground; (c) all the households discharge their wastewater within or behind the compounds; (d) 38% of houses that had rudimentary latrines did not clean them; (e) 78% of households did not wash their hands after defecation; and (f) 81% of heads of households were ignorant about diseases related to faecal peril as they failed to establish cause and effect relations between their health and their hygienic living conditions. It is worth noting, for future lessons, that the implementation of this programme was constantly sustained by an ongoing outreach arrangement involving hygiene awareness raising targeting women, pupils and teachers. 6.3.4 The present sub-programme follows this integrated drinking water and sanitation approach. The health situation is precarious in its intervention regions. For the year 2002, malaria, skin infections and diarrhoeal diseases ranked invariably 1st, 3rd and 4th as the causes

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of morbidity in the three regions. Dysenteric diseases ranked 8th in the Louga and Kolda regions, and worm infections 5th in Ziguinchor and 9th in Louga regions. Overall, these diseases affected a total population of 65,869 persons (12% of rural inhabitants) in the Louga region, 160,140 (22%) in the Kolda region and 52,262 (21%) in the Ziguinchor region, who reported to the health services. Living conditions relating to water and environmental hygiene account for this high prevalence. Thus, for the year 2000: (i) the proportion of households without an adequate excreta treatment system was 76% in Louga, 90.4% in Kolda and 78% in Ziguinchor; (ii) proportion of households without any household wastewater evacuation system (and who use the immediate environment for this purpose) was 90% in Louga, 81% in Kolda and 79% in Ziguinchor. The physical outputs of the sub-programme, accompanied by a sustained information-outreach-sensitization campaign on hygiene, should contribute to reducing the prevalence rates noted which, it needs to be noted, are in fact higher since a significant proportion of the sick population, estimated at 17% for the entire rural area in 2002, consult healers and marabouts. 6.3.5 The impact of the decline of water-borne diseases on health expenditures could be significant in terms of monetary gains for households and, therefore, constitute a vector of changes in the living conditions of communities targeted by the poverty reduction strategy. Indeed, the total average expenditure per sick person for the treatment of a water-borne disease amounts to CFAF 2,950, comprising CFAF 150 for consultation, CFAF 2,450 for purchase of medicines and CFAF 250 for transport. The annual average expenditure estimated on this basis for the entire rural population affected by water-borne diseases is CFAF 194,313,550 in the Louga region, CFAF 472,413,000 in the Kolda region and CFAF 154,172,900 in the Ziguinchor region. 6.4 Analysis of Impact on Poverty 6.4.1 According to a World Bank study published in 1994 on poverty in Senegal, the percentage of poor households fell from 61.4% in 1994-95 to 48.5% in 2001-2002, representing a 16% decline in incidence of poverty. But this reduction concerned the urban areas more than the rural areas, where poverty levels are higher than in the urban areas. The case of the regions selected for the implementation of the sub-programme is a reflection of this. The Kolda and Ziguinchor regions are among the four regions where household poverty is the most widespread: these are estimated at 66.5% and 67.1% respectively of poor households, thus classifying them among the regions with extreme poverty, behind four regions with high poverty and two others with average poverty levels. This situation appears to have resulted from two factors at least: their location on the periphery of the country that renders their access relatively difficult and the harmful effects of a long period of insecurity that contributed to disorganizing production and consumption structures and disrupting the socioeconomic ties established by community-based organizations. As for the Louga region, with a household poverty rate of 36.2%, it is classified among regions (with Dakar, 33.6%) where the incidence of poverty is considered to be the lowest or moderately high. It owes this relatively high standard of living to the remittances by it sizeable migrant population abroad that provide households with additional monetary resources. However, the indicators on its access to basic social services (cf. section 4.3 above) call for a qualification of this overall situation and a more direct and qualified assessment of the situation of these regions, especially with regard to the rural areas.

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6.4.2 The need to pursue efforts for the significant reduction of the high prevalence of poverty has been the focus of the government economic and social policies for several years resulting in the formulation of the poverty reduction strategy based on the satisfaction of the basic needs of the poor (PRSP). With this perspective, which is also that of the Bank through the Initiative, the sub-programme will contribute to reducing the level of poverty of the target communities. This could be achieved as a result of the time saved in fetching water, creation of employment related to the operation of water resource structures and the substantial savings made by households in health expenses. The multiplication of water supply points will promote individual and community initiatives in wealth creation activities. Market gardening in particular as well as cattle and sheep fattening, processing of agricultural produce, handicraft and, in some areas, dyeing are in constant demand from the rural communities targeted by the village water projects implemented throughout the country, especially women. In the Ziguinchor and Kolda region where vegetable farms exist in most of the villages (and are watered with well water, given the limited number of boreholes), the women expressed preference for the expansion of women’s activities already firmly established such dyeing and soap making in the Kolda region, poultry farming and bee keeping in the Ziguinchor region (this latter activity is mainly undertaken by young villagers.) These activities, which are related to availability of water, also contribute to an increase in water consumption and hence the incomes of borehole sites, thus creating opportunities for mobilizing significant savings for the local economy and social development (development of productive activities, construction of education and health infrastructure, etc.). The example of boreholes in the trial area of the reform is a testimony to this progress: gains made by 271 borehole users associations in the area increased from CFAF 400 million to CFAF 1.06 billion between June 2003 and December 2004. 6.4.3 A comparison between the data on the rural population to be covered by the sub-programme to those affected by water-borne diseases in each region can provide a better insight into the impact of the expected outputs on health and monetary gains to be made by households from health expenses. Reduction in morbidity relating to these diseases will concern an estimated population of 27,000 persons in the Louga region, 31,000 in the Kolda region and over 15,000 in the Ziguinchor region. The financial gains of this impact calculated on the basis of the average expenditure per person for the treatment of water-borne diseases will translate into annual reduction of health expenditures of about CFAF 79,500,000 for the Louga region (41 % of health expenditures), CFAF 90,500,000 for the Kolda region (19 %) and CFAF 44,500,000 for the Ziguinchor region (29 %), that is CFAF 215,000,000. regarding enabling socioeconomic, health and environmental conditions created by water supply and sanitation equipment. This available money stock can be used to fund many individual and community production activities that constitute sources of wealth and well-being of the poorest rural population groups. 6.5 Analysis of Impact on Women 6.5.1 From 1984, which marked the start of the involvement of users in the management of boreholes until recently when gender aspects began to receive attention, rural water management in Senegal was characterized by the marginalization of women in the boreholes management committees which are the standard structures on all sites with motorized management committees. They were excluded from the latter despite their attested role in the supply of households and the domestic use of water as well as their acclaimed dynamism in the organization and operation of community-based structures. In a context marked by weak or lack of human capital in all the socioprofessional groups of the village society (low level

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of formal education, absence of management-related training), the traditional standard of social division of labour was the norm in the management of water points. This resulted in the takeover of decision bodies by men (in a number of cases by a traditional or religious notable) and the confinement of women to domestic roles. Except in rare cases, irrespective of the region considered, very few women occupied key positions in decision-making processes concerning the management of water points during the period. 6.5.2 The sub-programme is set in a different context marked by the reform of the system of management of motorized rural boreholes (REGEFOR) which, since 1999, constitutes the terms of reference of the Government’s policy and the interventions of the various actors in rural water supply. The principles on which the reform is based includes the recommendation to stakeholders that, at least 1/3 of the members of decision-making bodies should be women. The implementation of the trial phase of the reform in the country’s four regions has translated into a reversal social norms in respect of the role of women. In one of the pilot regions where the reform is applied, the now key role of women in the active management of water on 21 borehole sites of a project is reflected in the following statistics: (i) women account for over 67% of the lucrative job of stand-pipe operators (and are fewer than men only in 5 sites); (ii) they constitute over 48% of the members of representation, decision-making and control bodies namely steering committees (and are less than 30% on all sites); (iii) on the various executive committees they account for between 24 to 65% of the members occupying executive functions such as president, secretary, treasurer etc. It is worth noting that such sites have posted positive management performance materialized by substantial gains that enable them to cover the cost of renewal of pumping equipment (nearly CFAF 4 million), a responsibility that has been passed on to them. This change in the role of women as empowered actors in the operation of water structures on sites which, until 1999 were characterized by poorly organized committees and high predominance of men underscores the vital role of awareness-raising in the reform of borehole sites. 6.5.3 To the extent that the reform constitutes the operational framework within which the implementation of the sub-programme will be set (extension of reform to the rest of the country decided by the Government), there will be potential conditions for contributing to the extension of the process that will assure the increased empowerment of rural women in the management of water. 6.5.4 Lastly, it needs to be recalled that the initiatives for the creation or revitalization of productive activities generated by the access to drinking water (c.f sub-section 6.4.2) have above all resulted from the efforts women’s grassroots organizations which have spread throughout the country’s villages (the Louga region has 1081) and whose dynamism even in situations of scarcity of water and resources, reflects the capacity of many of them to seize opportunities provided by the existence of a source of safe water. 6.6 Analysis of Impacts on the Environment At the environmental level, the sub-programme is classified as Category 2, in view of the health impact and its size. It will generate many environmental and social benefits, and its environmental impacts can be easily controlled with the implementation of appropriate measures. The evaluation undertaken during the mission indicates that the environmental and social impacts of the sub-programme will be significantly positive for the beneficiary communities. These impacts concern: improvement in the availability and quality of drinking water; reduction of the cost of water; reduced water-borne diseases and

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improvement of the living environment and conditions of rural communities; reduced burden of water fetching, notably for women. The most important social challenge will be the improvement in the health status of the people following the implementation of the sub-programme. Indeed, cholera, gastro-intestinal complications, skin infections and other water-borne diseases will be reduced with the improvement in the life environment consequential to the putting in place of sanitation structures and the quality of the water supplied. Children burdened with water collection will also have more time for school activities. Moreover, the fact of replacing gas-oil operated pumps with electric ones for 30 boreholes will ensure environment-friendly water supply devoid of sound nuisance and polluting carbon dioxide emissions. 7 CONCLUSION AND RECOMMENDATIONS 7.1 Conclusion 7.1.1 The present sub-programme, which constitutes the initial phase of the implementation of the Bank’s Initiative for the rural water supply and sanitation sector of Senegal, is in line with the ADB’s medium-term operations strategy for the country. This aims to reduce poverty and promote sustainable economic development, in accordance with its Strategic Plan 2003-2007 (making potable water one of its major priorities), and the Poverty Reduction Strategy Paper (PRSP) of the Government. It is also consistent with the Bank’s strategy for Senegal as defined in its Results-Based Country Strategy Paper for the 2005-2009 period that places the water and sanitation sector at the core of its priorities. This strategy aims to contribute to the promotion of sustainable economic growth mainly through sector-based investments, with the ultimate aim of reducing poverty. In the water and sanitation sector, the strategy also takes into account the integrated water resources management policy. It aims to support actions geared towards the harnessing of water resources and improvement of the living environment of the population, notably social amenities in the rural areas where both demand and deficit are high. Lastly, it highlights environmental protection, women in development and poverty reduction. . 7.1.2 This first sub-programme financed by the ADF is technically feasible, economically viable, socially justified and in line with the Bank’s initiative and the Government’s priorities in the development of the water and sanitation sector under the decentralized management framework. The environmental impact mitigative measures of the sub-programme, classified as category 2, have been taken into account. Its implementation as the first sub-programme of the 2015 national DWSS programme will help lay the groundwork for the success of the PEPAM and serve as a reference to the Government and the Bank for the implementation of the second sub-programme and to all the donors wanting to contribute to its financing. It will also enhance the capacities of DWSS systems in the three needy and deficit regions concerned and constitute an adequate solution to support the Government’s policy in the rural water and sanitation sector as well as its decentralization efforts. 7.2 Recommendations and Conditions 7.2.1 The Board is invited to note the existence of the rural water supply and sanitation programme in Senegal to be implemented within the framework of the Bank’s Rural Water Supply and Sanitation Initiative and the Millennium Development Goals on the basis of the technical, administrative and financial modalities described in the present report.

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7.2.2 It is recommended that an ADF loan not exceeding UA 25 million be granted to Senegal to undertake the first sub-programme described in this report, subject to the following conditions: A. Conditions Precedent to Loan Effectiveness 7.2.3 Effectiveness of the loan agreement will be subject to the fulfilment by the Borrower of conditions set forth in Section 5.0.1 of the General Conditions. B. Conditions Precedent to the First Disbursement of the Loan 7.2.4 In addition to the effectiveness of the loan agreement, the ADF will undertake the first disbursement subject to the fulfilment of the following conditions:

i) Submit to the Fund the administrative, accounting and financial management manual of procedures for the sub-programme (Paragraph 5.2.2);

ii) Provide the Fund with evidence of the opening by the PCU of the special

account at the BCEAO to receive the ADF resources intended for community works, institutional support and operation of the PCU (Paragraph 5.8.2);

iii) Provide the Fund with evidence of the appointment of national and

regional counterparts (DHY, DAS and DEM) (Louga, Ziguinchor and Kolda), accompanied by their respective CVs (Paragraph 5.2.4);

iv) Provide the Fund with evidence of the creation of the PEPAM steering

committee. The committee, which will be placed under the authority of the Ministry in Charge of Water Resources, will coordinate all the stakeholders of the PEPAM (central and devolved administration, civil society, local authorities, private sector, consumers’ associations, NGOs, etc.) It will comprise two representatives of the Ministry in Charge of Territorial Administration and Decentralization, a representative of each of the following bodies: DHY, DAS, DEM, DGPRE, SONES, SDE, ONAS, Regional Divisions of the sub-programme; local authorities; private sector operators, NGOs, consumers’ association and each of the technical and financial partners of the water and sanitation sector (Paragraph5.3.1).

C. Other Conditions

i) Provide the Fund with an undertaking to reappoint the Long Term Water Project (LTW) and its managerial staff: coordinator and administration and finance manager as from 1 January 2006 (Paragraph 5.2.1);

ii) Provide the Fund with evidence of the effective implementation of the

administrative, accounting and financial management manual of procedures of the sub-programme by 30 June 2006 (Paragraph 5.2.2);

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iii) Provide evidence of the opening of by the PCU of an account at a bank

acceptable to the ADF and payment into this account, by 31 March 2006, of the Government’s contribution of CFAF 216 million (UA 281,000) for 2006 (Paragraph 4.8.6);

iv) Provide the Fund with evidence of the passing of the bill on rural public

water supply and sanitation service relating to the extension of REGEFOR to all the country’s water supply structures by 31 December 2007.

Annex 1

This map has been prepared by the African Development Bank Group for the convenience of the readers of the report to which it is attached. The denominations used and the boundaries shown on this map do not imply on the part of the Group and its affiliates, any judgment on the legal status of any endorsement or acceptance of such boundaries.

ANNEX 2 SENEGAL: RURAL WATER SUPPLY AND SANITATION INITIATIVE LAUNCH SUB-PROGRAMME LIST OF BANK GROUP OPERATIONS IN SENEGAL (UA Million)

ANNEX 3 SUB-PROGRAMME IMPLEMENTATION ORGANIZATION

Counterparts of Executing Agencies (DHY, DEM, DAS,

and Regional Services)in 3 regions of the sub-programme

Coordination Unit ofSub-programme

(Coordinator and Team)

DGPREfor the monitoring and control of thequality of water resources harnessed

Audit of Sub-Programme Accounts

Works Inspection andSupervision

IEC Campaignsfor WS and Sanitation

Boreholes and WSWorks

SanitationWorks

Steering Committee

Ministry of Agriculture and Water Resources(MAH)

Annex 4

ANNEX 5 Page 1 of 4

ANNEX 5 Page 2 of 4

ANNEX 5 Page 3 of 4

ANNEX 5 Page 4 of 4

INTENTIONS OF WATER SECTOR DONORS FOR PEPAM Declarations of Intention by 25 Development Partners Noted at the PEPAM Donors Conference,

29 April 2005 in Dakar

N° Partner Intentions Declared 1 World Bank Undertaken to participate in the implementation of the PEPAM

focusing on rural water supply and sanitation. The World Bank has undertaken to allocate substantial financing to PEPAM under its country assistance programme (CAS) covering the 2008-2011 period. In the meantime, the Bank will use the Poverty Reduction Strategy Paper (PRSP) and the future national local participatory development programme to support the sector.

2 African Development Bank

Will participate in PEPAM as part of the ADB rural water supply and sanitation initiative. An initial financing of CFAF 19 billion will be put in place for the 2005-2009 period. The sub-programme appraisal mission will begin following the round table.

3 Kuwaiti Development Fund

Willing to be involved in PEPAM if it receives a request to finance master plans and feasibility studies.

4 Saudi Development Fund Willing to support PEPAM and commends Senegal for the sound preparation of the programme

5 Japan Cooperation (JICA) Will mainly intervene in rural water supply. Project briefs are already completed.

6 French Development Agency (on behalf of French Cooperation)

Undertaken to finance urban water supply (a loan of € 15 to € 20 M to the SONES that could be co-financed under the Water Facility). Will support the REGEFOR project for another year in 2005. Does not preclude the study of new rural water projects for a period of 2 to 3 ans.

7 European Investment Bank Undertaken to contribute to the financing of the urban sector (priority sector) of the PEPAM with the development of new financial instruments. Willing to examine financing requests for urban sanitation. Involvement of the EIB in the rural water sector could be examined with other financial partners.

8 Islamic Development Bank Willing to finance the sanitation of Diourbel, Matam, and Nioro and wastewater treatment facilities of Kaolack, Louga and Saint-Louis. Willing to finance the potable water project for Touba under the PEPAM

9 West African Development Bank

Undertaken to contribute to the financing of PEPAM. Willing to finance the extension of networks (CFAF 8 Billion) and social connections (CFAF 8 Billion) of the SONES.

10 Arab Bank for the Economic Development of Africa

Willing to consider Government’s requests for financing for the implementation of the PEPAM.

11 European Union Undertaken to participate in the implementation of the PEPAM through the various bilateral and multilateral cooperation instruments. Sectoral budget support can be envisaged.

12 USAID Will incorporate PEPAM in the definition of its new strategy of support to Senegal starting in 2006.

Annex 6 page 1/2

Annex 6 page 2/2 Intentions of Water Sector Donors

N° Partner Intentions Declared 13 KFW Willing to fund the sanitation of Casamance and rural water

supply under support projects for decentralization and poverty reduction.

14 UN Habitat Undertaken to support the PEPAM under Phase 2 of the African Towns Water Programme

15 Luxembourg Cooperation Undertaken to support the implementation of the PEPAM under the next proposed cooperation programme with Senegal due to start in 2007.

16 UNDP Undertaken to support the sector through mobilization of partners and search for coordination and synergy of interventions with other sectors.

17 UN Millennium Project Idem UNDP 18 Water Solidarity Programme Undertaken to support the mobilization of French local

authorities for the financing of the PEPAM through decentralized cooperation

19 Belgium Technical Cooperation

Undertaken to support the sanitation of Saint Louis and seek synergies with other donors notably with the Water Facility and EU.

20 UNICEF Will support the PEPAM under the new medium term plan for MDGs under preparation

21 WHO Support the PEPAM 22 Water and Sanitation / World

Bank Will contribute to the financing of action plan and support the establishment of a permanent sectoral consultative framework.

23 Embassy of Japan Japan will pursue its support to rural water supply. The ongoing Japan XIII will be implemented until 2009.

24 Embassy of Netherlands Undertaken to contribute to the financing of the sanitation component of PEPAM in the form of budgetary support from 2007.

25 Embassy of Belgium Undertaken to contribute to the financing of PEPAM in accordance with the modalities to be defined in the next Belgium-Senegal Joint Commission.

Annex 7 Page 1 of 3

Summary of Environmental and Social Management Plan 1.1 The first phase of the sub-programme which will be based in the Regions of Louga, Ziguinchor and Kolda, comprises the following components: (i) Development of basic infrastructure; (ii) Institutional support to local structures involved; and (iii) sub-programme management. At the environmental and social level, the programme will entail the improvement of piped water supply in the rural communities of the regions concerned, monitoring of the implementation of environmental and social measures, sensitization about environmental protection, STD/AIDS, malaria, other water-borne diseases and associated measures to improve the framework and living conditions of the population. 1.2 In view of its health impact, average size, location in relatively stable areas, the multiple environmental and social benefits generated and the easily controllable environmental impacts through the application of appropriate measures, the sub-programme is classified environmentally as category 2. The assessment of environmental conditions during the field visits indicates that the impacts will be positive in general and the few negative impacts that will occur during the construction and operation of structures can be easily controlled with the application and monitoring of mitigative measures. 2. Major Environmental and Social Impacts 2.1 At the socioeconomic level, the sub-programme will induce significant positive impacts such as improvement of drinking water supply; reduction of the cost of water (from CFAF 930/inhab./month to a price ranging between CFAF 150 and 300/inhab./month in the region); decrease in water-borne diseases (from an average of 22% in the region to 18%) and improvement of the living conditions and environment of the rural population. The most important social challenge will be the improvement of the health status of the population after the implementation of the sub-programme. Indeed, malaria, cholera, gastro-intestinal complications, skin infections and other water-borne diseases will reduce significantly with the improvement in sanitation and the quality of water. Children who are often burdened with water collection will have more time for their school activities. Furthermore, in villages without boreholes where women devote 3 to 6 hours to water collection, the saving in time will be by as much. The sub-programme will provide fixed employment to many rural women (standpipe operators, 95 to 100% of whom are women throughout the country). The sub-programme will also contribute to the development of the regional private sector with the use of artisans for the construction and maintenance of water and sanitary facilities. 2.2 The most significant negative impacts could be the following: nuisances caused to the population during works through the release of dust and smoke; risks of pollution of underground waters through infiltration caused by non-watertight structures; risks of contamination and pollution of water with the use of the same water troughs for both humans and cattle, as is currently the case in the village of Keur Madialé (Louga region); risks of water pollution related to harnessing methods; increased risks inappropriate location, maintenance and management of latrines, as well as the contamination of the underground water. The lowering of the ground water level will not be significant since the region’s ground water reserve clearly outstrips demand. 3. Optimisation and Mitigative Programme 3.1 The recommended mitigative measures are as follows: frequent watering of dwelling areas to reduce dust; regulate the combustion of engines of machinery; rehabilitation of borrow areas with appropriate plant species; planting of trees around structures. Water points will be provided with storm water and wastewater evacuation systems. Also, following population survey, 239 sites of structures and WSS networks will be provided with a separate drinking troughs for livestock. Latrines will be designed, located and constructed in a manner to eliminate odours.

Annex 7 Page 2 of 3

3.2 Concerning sanitation, the project will entail the construction, with the participation of the beneficiaries, of 17100 household latrines, 477 public latrines and 17100 wash tubs. These latrines will be designed located and constructed in a manner to eliminate bad odours and pollution. Their retention capacities, anti-pest protection as well as emptying will be taken into account. Awareness campaigns will be conducted by NGOs in the communities on hygiene and health, protection of food products, washing of hands with soap and water, construction, use and maintenance of latrines in public places, in households and schools, use and maintenance of domestic wastewater structures, management of solid wastes, STD/AIDS, waterborne diseases, rational use and conservation of water and environmental protection. Additionally, as part of the hygiene and sanitation promotion, the project will organize ‘clean villages’ and ‘clean schools’ contests, create school health committees, teach school food sellers about food hygiene. Awareness sessions will mainly focus on women and children. 3.3 Furthermore, the project will establish systems to monitor fluctuations in the piezometric level of the underground water and appropriate measures will be taken where necessary. Measures will be taken to regulate the maximum authorized sinking of wells and boreholes that must not exceed half of the depth of unconfined groundwater and the surplus load of confined groundwater. Furthermore, measures will be taken to define more precisely the hydrodynamic characteristics of each aquifer and monitor, through an optimum monitoring network, the status of the groundwater system as a result of exploitation and variation in rainfall pattern. Physical and chemical and bacteriological analyses will be conducted by the Department of Management and Protection of Water Resources of the Ministry of Agriculture and Water Resources and by the Hygiene Services of the Ministry of Health to ensure the potability of the water supplied. National standards will be used as quality reference. Equipment will be regularly maintained. All these concerns will be taken into account and appropriate measures included in the contractors’ terms of reference to ensure their meticulous implementation. 3.4 To enhance the achievements of the rural electrification project financed by the Bank in the Louga Region and in order to reduce sound nuisances as well as those related to atmospheric pollution and in order to secure the return on investments (reduction of energy costs by 50%), the sub-programme will finance 30 boreholes with electric pumps. 4. Monitoring Programme and Complementary Initiatives 4.1 The monitoring team will include an environmental specialist who will be responsible for the monitoring of the implementation of mitigative and improvement measures as well as compliance with applicable regulations. The expert will work closely with the Department of Environment and Classified Establishments of the Ministry of Environment and Nature Protection (MEPN). Support of this environmentalist will help take into account all the aspects related to the implementation of the sub-programme. 4.2 Similarly, medical services in regions concerned will undertake an evaluation of the impact of the sub-programme on health. Furthermore, the Sub-Programme Coordination Unit (PCU) will prepare quarterly reports and forward them to the Government and the ADF. The latter will undertake a detailed scrutiny of the implementation of the sub- programme. The reports issued by the PCU will include the physical implementation of works and technical and environmental problems encountered as well as the solutions envisaged. 4.3 Field visits and technical studies indicate that there will not be any expropriation of lands or houses. The ESMP opted to avoid expropriation. Sites for boreholes and water towers with an area of one hectare will be provided freely by the communes to the project, as is the case for projects financed by other donors.

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5. Institutional Arrangements and Capacity Building Needs 5.1 Environmental and Social Institutional framework of Senegal comprises governmental institutions, local communities and their representatives, communities and their organizations, NGOs, private sector, international and multilateral cooperation agencies as well as regional and sub-regional institutions. The Ministry of Environment and Nature Protection is responsible for the definition and implementation of environmental policies and environmental resource management. Law No 2001-01 of 15 January 2001 on the Environmental Code and Decree Nº 2001-282 of 12 April 2001 on its application, define the fundamental principles for managing and protecting the environment against all forms of degradations. The aim is to rationally develop natural resources, combat all forms of pollution, improve the living conditions of the population while maintaining the equilibrium of their relations with the surrounding environment and formulate regulations on the environmental management of priority sectors. 5.2 The monitoring of the implementation of mitigative and improvement measures will be carried out by the environmental expert of monitoring team. He/she will also be responsible for the implementation of the ESMP, management of work sites, undertaking of specific environmental and social works and the search for solutions to specific environmental problems as well as definition of the indicators for the monitoring of the biological and abiotic environment. The expert will work in collaboration with the heads of the regional environment and classified establishments division of each region covered by the sub-programme of the Ministry of Environment. The project will provide these managers the logistical and financial means (transport for their field trips and per diem during site visits). Similarly, the medical services of the regions will undertake health impact assessments of the sub- programme. 6. Public Consultations and Information Dissemination Requirements Since the sub-programme was designed at the request of the beneficiaries, it was necessary to involve them take their concerns into account. The people, NGOs, women’s associations, local authorities, village chiefs and institutions concerned were consulted and their concerns embodied in the sub-programme. The same procedure will be followed during the implementation of the environmental and social measures. 7. Estimated Costs The costs of associated works (development of drinking troughs for livestock, development of water points for small irrigation schemes, etc.), environmental protection measures (rehabilitation of sites, pollution control and nuisances during the works) will be included in the overall costs of the works of the sub-programme. The cost of monitoring the implementation of environmental and social measures will be included in the cost of awareness and outreach campaigns estimated at UA 1.62 millions. 8. Implementation Schedule and Reporting The implementation of the environmental and social measures will cover the entire project cycle. The sub-programme management unit will prepare quarterly reports on the status of the sub-programme. The PCU will forward the reports to the Steering Committee (SC) and the ADF. These will include physical execution of works, effectiveness of environmental and social measures, problems encountered as well as solutions envisaged. .

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Annex 8 Senegal

Rural Water Supply and Sanitation Initiative Financial Analysis of a Typical ASUFOR

Annex 9 Page 1 of 2

Summary Table of Costs and Economic Benefits Millions of CFAF

Population

Served Investment O&M Costs Renewal Costs

Direct Benefits

Education Benefits

Health Benefits

Time Saved

Benefits Residual

Value Net

Benefits

2006 60,600 3,401 1,032 0 3,615 544 44 2,477 0 2,245

2007 139,626 10,547 1,165 0 4,140 551 138 2,559 0 -4,329

2008 200,506 6,573 1,265 0 4,555 558 231 2,640 0 138

2009 206,668 1,747 1,270 10 4,602 565 275 2,670 0 5,077

2010 212,990 1,275 103 4,615 571 269 2,647 0 6,719

2011 219,480 1,280 10 4,628 578 263 2,624 0 6,798

2012 226,149 1,285 1,332 4,642 585 257 2,600 0 5,462

2013 233,004 1,291 103 4,656 592 251 2,576 0 6,677

2014 240,056 1,296 10 4,670 600 244 2,551 0 6,756

2015 247,313 1,302 10 4,685 607 238 2,525 0 6,741

2016 254,786 1,307 1,275 4,701 615 231 2,499 0 5,461

2017 262,486 1,313 3,543 4,717 623 224 2,472 0 3,178

2018 270,422 1,320 2,158 4,734 631 217 2,444 0 4,548

2019 278,606 1,326 103 4,751 639 210 2,415 0 6,588

2020 287,050 1,332 10 4,768 647 203 2,386 0 6,665

2021 295,764 1,339 0 4,787 656 195 2,355 7,255 13,913

Annex 9 Page 2 of 2

Economic NPV at 12 % 27,172

Cumulative Chart

mi ll ion FCFA

Mean = 2,388.000

.250

.500

.750

1.000

0

10000

1,459 1,945 2,431 2,917 3,403

10,000 Trials 9,867 Displayed

Forecast: VAN FINANCIAIRE ASUFOR

Cumulative Chart

mi ll ion FCFA

Mean = 31,346.000

.250

.500

.750

1.000

0

10000

23,581 28,397 33,212 38,027 42,842

10,000 Trials 9,894 Displayed

Forecast: VAN ECONOMICForecast Financial NPN ASUFOR

Forecast ECONOMIC NPN

LIST OF SUB-PROGRAMME DOCUMENTS

1. Review of Rural Water Supply (PEPAM Phase 1 Document). 2. Review of Urban Water Supply (PEPAM Phase 1 Document). 3. Investment Programme 2015 for Rural Water Supply (Phase 2 PEPAM). 4. Investment Programme 2015 for Urban Water Supply (Phase 2 PEPAM). 5. PEPAM Policy Letter. 6. Summary PEPAM. 7. Procurement Code 8. Proceedings of second consultative meeting of water resources actors of Senegal, December

1997, DEM – pS-Eau 9. Internal Validation Seminar of results of REGEFOR Project, July 2004 – Compilation des

documents and procedures, DEM 10. Echos REGEFOR, project quarterly report, July-August-September 2004 11. RRESFMR Project, Half-yearly report January-June 2000, October 2000 12. RRESFMR Project, Final Activity Report of the July-December 2001, January 2002 13. Summary Report of Second Senegalese Survey among households, Department of Forecasts and

Statistics, July 2004 14. Report of survey on the of the end of decade objectives on Childhood, UNICEF, December 2000 15. Poverty Reduction Strategy Paper, Republic of Senegal 16. Report on the mechanisms of implementation and monitoring of the PRSP, Republic of Senegal 17. Poverty in Senegal: from the 1994devaluation to 2001-2002, World Bank – Department of

Forecasts and Statistics, January 2004 18. Health and Population Statistics 1997-2000, Ministry of Health and Prevention, April 2002 19. Health and Demographic Situation 2001-2002, Ministry of Health and Prevention, April 2004 20. Private Sewage Disposal in Central and Target Villages – Environmental Study: Extension

phase of the sanitation component of SEN / 011 Project, Final Report, Water and Sanitation Department, July 2003

21. Economic and Social Situation of Senegal in 2002-2003, Department of Forecasts and Statistics, December 2004

Annex 10