social connection policy – the pilot in kayole soweto, nairobi
DESCRIPTION
Social connection policy – the pilot in Kayole Soweto, Nairobi. Phillip Gichuki MANAGING DIRECTOR NAIROBI CITY WATER AND SEWERAGE COMPANY, KENYA. Contents. Introduction Highlights on characteristics of Informal Settlements in Nairobi Initiatives on Improving access to water - PowerPoint PPT PresentationTRANSCRIPT
SOCIAL CONNECTION POLICY – THE PILOT IN KAYOLE SOWETO, NAIROBI
Phillip Gichuki
MANAGING DIRECTOR
NAIROBI CITY WATER AND SEWERAGE COMPANY, KENYA.
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CONTENTS
Introduction Highlights on characteristics of Informal
Settlements in Nairobi Initiatives on Improving access to water Social connection policy – Kayole Soweto
Pilot Project Conclusion
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INTRODUCTION 0
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Nairobi is the capital City of Kenya with a population of 3.3 million people (2009 population census result)
About 40% of the population is in the informal settlements Developed on land with
freehold tenure Others are squatters
either on private or public land;
INFORMAL SETTLEMENTS CHARACTERISTICS
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Lack of basic services The housing structures
are mostly temporary Mainly located along
the Nairobi River Basin The trunk sewers Water pipes are at high
pressures
IMPROVING WATER ACCESS IN THE INFORMAL SETTLEMENTS
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Water Kiosks Initial Water kiosks in
Nairobi were developed in Kibera around 1970
Communal Water Points
IMPROVING ACCESS TO WATER SERVICES
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Ablution Blocks Water sale point as
well as public toilets and bathrooms are provided Ladies and gents
sanitation facilities are separated
Communal Water Points cont’
IMPROVING ACCESS TO WATER SERVICES
Water Tariff for community water points KES 2.00 per 20 liter (translate to KES 100/m3) For individual connections highest tariff block is KES
53.6/m3 (USD 0.63/m3) and lowest tariff block is KES 18.7/m3 (USD 0.22/m3)
The main barrier to individual connections in low income settlements has been the high connection fees (KES 8215 (Approx. USD 100))Survey fee of KES2,500 (USD 30) (non-refundable), KES2,500 (USD 30) refundable meter deposit and; KES3,215 (USD 40) cost of piping and fittings.
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Individual connections and the Barrier
SOCIAL CONNECTION POLICY - KAYOLE SOWETO PILOT PROJECT
• Through social connection policy NCWSC established a financing arrangement to bridge the gap
• A commercial Bank (K-Rep Bank) is providing loan to finance 80% of the first time connection fees while applicant is supposed to pay the balance 20% as commitment fee.
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Bridging the gap and commitments
SOCIAL CONNECTION POLICY - KAYOLE SOWETO PILOT PROJECT
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The pilot project covers Kayole Soweto in the Eastlands of Nairobi.
Kayole Soweto is an informal settlement with a population of over 90,000
Previously served through water vending through water kiosk Illegal connections
were rampant
Description of the Project Area
SOCIAL CONNECTION POLICY - KAYOLE SOWETO PILOT PROJECT
Under the output based aid (OBA) of the World Bank, the loan will be subsidized based on the following pre-agreed outputs At least 2200 connections in one year and; 90% of the new accounts under the project are billed and
revenue collected The OBA subsidy will be up to 40% of the project
cost, reducing loan burden to the applicant by up to 50%.
The applicants will pay the balance of the loan in installments within 3 years.
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The OBA Support
There are 2908 plots and it was estimated 2200 will be connected with water within one year
2076 plots were connected by 30th October 2013 and 2288 had paid their commitment fee The average billing per month per customer is
Kshs.281.00 Out of total billing of Kshs.1.5M between July and
September 2013 Kshs.0.5M (33%) was paid The number of paying customers is at 14%
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SOCIAL CONNECTION POLICY - KAYOLE SOWETO PILOT PROJECT
The Progress
SOCIAL CONNECTION POLICY - KAYOLE SOWETO PILOT PROJECT
The wait and see attitude of the community Several Community mobilization meetings
Slow internalization of the concept within the utility Customer management system took long to be
upgraded to capture loan repayment Political interference
Cartels previously exploiting consumers tried using politicians to work against the project
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Challenges
WATER TOKENS INITIATIVE
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• In the informal settlement where individual water connections is not possible, the Company is piloting on stand pipe dispensing prepaid meterso Water is dispensed using
electronic tokenso The selling price for the
token meter is at 50 cents per 20 litres jerrican compared to water at 2 shillings per 20 litres jerrican by the vendors.
o WSUP (an NGO) have offered 80 token dispensers.
CONCLUSION
• Formal supply of water in the informal settlements can alleviate poverty and enhance water rights
• Communities in the informal settlements are ready to deal directly with the water utility but …• The utility presence should be felt• Innovative way of billing customers there
need to be devised• For the success of the projects, there is
need to involve the beneficiaries from inception to completion of the project
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ENDTHANK YOU
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