`FIETS` principles of sustainability: Financial

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WASH in a Day
The Hague, 11 December 2012
Reason
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•
•
•
•
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MDG7c starting point: 50 million programme
Result based programming
IOB Report underlines need for reorientation
Policy reaction send to Parliament
WASH results chain (input/output/outcome/impact)
Future: sustainable results framework
– SDGs (Rio+20)
– Post-2015 consultations (NL leading thematic
consultations water)
70000000
An example:
investments in
water and
sanitation
60000000
50000000
40000000
30000000
20000000
10000000
0
1
2
Cap Ex
3
4
5
Recurrent Costs
6
7
8
Project Delivery
9
10
DGIS
Sustainability clause
UNICEF
Sustainability compact
Central and local
government
Sustainability
and
accountability
framework
Consumers
Example UNICEF WASH
(Based on World Development Report 2004: Making Services work for poor
people), World Bank
Striving for sustainable results
• Policy framework for sustainability: FIETS
• Sustainability clause in DGIS contracts/arrangements:
providing assurances for sustainable WASH outcomes for at
least 10 years
• In country sustainability compact to be signed:
accountability framework
• Life cycle costs funding for WASH: 3T’s (Tariffs, Taxes,
Transfers)
• Sample based yearly audit by independent third party
• Management response requested by DGIS from partner
'FIETS' principles of sustainability:
1.
Financial sustainability: diminish dependency on external subsidies, using the
principle “local finance first”.
2.
Institutional sustainability: ensure systems, institutions, policies and procedures at
the local and national level are functional to meet the (long term) demand of users
of water and sanitation services.
3.
Environmental sustainability: ensure long-term availability of natural resources,
climate resilience and a healthy environment.
4.
Technological sustainability: Seeking and applying locally appropriate technologies
of high quality, which are context-specific, affordable, durable and demand-driven.
5.
Social sustainability: Making WASH interventions demand-driven, inclusive and
needs-based, sensitive to local and cultural incentives.
Issues for programme
management
• Accept duration of activities: min. 10-15
years?
• Outsourcing or internal monitoring?
• Penalties and rewards for partners?
• Financial/legal implications?
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