1
Design and Implementation of a Water Kiosk System for
3 Water Service Providers
3) Project Implementation Report
Table of Contents
1
2
3
4
Introduction.......................................................................................................... 4
1.1
Objectives of the Kiosk Pilot Project ............................................................. 4
1.2
Current Status of the Project ........................................................................ 4
1.3
Organisation of this Report ........................................................................... 4
Establishment of a Task Team ............................................................................ 6
2.1
Reasons for Adopting a Taskteam Approach ............................................... 6
2.2
Composition of the Project TaskTeam ......................................................... 6
2.3
Management of the TaskTeam..................................................................... 6
2.4
Main Responsibilities of the TaskTeam ........................................................ 7
2.5
Allowances for TaskTeam Members ............................................................ 7
2.6
The TaskTeams Mailing List......................................................................... 8
Community Participation Concept ....................................................................... 9
3.1
Proposed Community Participation Concept ................................................ 9
3.2
Organising Public Meetings .......................................................................... 9
3.3
Kiosk Site Selection Procedure .................................................................. 10
3.3.1
Finding Kiosks Sites Through Involving the Residents ........................ 10
3.3.2
Road Reserves ................................................................................... 10
Management of Water Vendors and Kiosks ...................................................... 12
4.1
The Kiosks of Mavoko-EPZA Management System ................................... 12
4.1.1
Mavoko-EPZA: Current Kiosk Management System ........................... 12
4.1.2
Proposed Privatisation of the Mavoko-EPZA Kiosks ........................... 12
4.1.3
Current Oloolaiser WSC Kiosk Management System ........................ 13
4.1.4
Proposed Kiosk System for Oloolaiser WSC....................................... 13
4.1.5
Proposed Kiosk System: Naivasha WSC ............................................ 14
4.2
The Proposed Kiosk Systems for the 3 WSPs ........................................... 14
4.3
Sale of Other Goods at the Kiosk by Vendors ............................................ 14
4.4
Integration of the Kiosks in the Billing System ............................................ 14
4.5
Supervision is Key ...................................................................................... 15
4.5.1
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Customer Services Assistants............................................................. 15
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4.5.2
5
6
The Introduction of Pro-Poor Tariffs: Mavoko EPZA.......................................... 17
5.1
Current Tariffs and Tariff Structure ............................................................. 17
5.2
Recommendations ..................................................................................... 18
Technical Issues Concerning the Implementation of the Project ....................... 19
6.1
7
8
Water Supply to Pilot Areas: Perceived Technical Constraints .................. 19
6.1.1
Mavoko-EPZA WSC ............................................................................ 19
6.1.2
Naivasha WSC .................................................................................... 19
6.1.3
Oloolaiser WSC................................................................................... 19
6.2
Illegal Connections and Un-metered Connections ..................................... 19
6.3
Metering of Existing Un-Metered Connections in the Project Areas ........... 20
6.4
Repair of Major Leaks ................................................................................ 20
6.5
Installation of Bulk meters .......................................................................... 20
6.6
The Kiosks: Technical Adaptations ............................................................ 20
Preparation of Technical and Financial Proposal .............................................. 22
7.1
Support by the WSTF ................................................................................. 22
7.2
Technical proposal ..................................................................................... 22
7.3
Financial Proposal ...................................................................................... 22
Preparation and Implementation of Technical Works ........................................ 23
8.1
Disbursement of Funds by the WSTF ........................................................ 23
8.2
Procurement of Materials and Services ...................................................... 23
8.2.1
Remarks Related to the Procurement Procedure................................ 23
8.2.2
Procurement and the Communities ..................................................... 23
8.3
Approval of Building Plans and Approval of Sites and Site Plans............... 24
8.4
Implementation of Technical Works ........................................................... 24
8.4.1
Kiosks (only)........................................................................................ 24
8.4.2
Additional Works ................................................................................. 24
8.5
Supervision of Technical Works ................................................................. 24
8.5.1
Supervision by the Water Services Boards ......................................... 24
8.5.2
Technical Support Provided by the WSTF .......................................... 25
8.6
9
Existing Zones in the Kiosk Pilot Towns .............................................. 16
Financial Management and Reporting ........................................................ 25
8.6.1
Procedures of the WSTF ..................................................................... 25
8.6.2
Financial Management of the Project .................................................. 25
To Do Lists ........................................................................................................ 26
9.1
The Water Service Providers ..................................................................... 26
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9.2
The Water Services Trust Fund.................................................................. 26
9.3
The Consultant ........................................................................................... 27
9.4
The TaskTeams ......................................................................................... 27
10
10.1
The Kiosk Pilot Project Implementation Programme ...................................... 28
Introduction ................................................................................................ 28
Glossary and List of Abbreviations ........................................................................... 29
Bibliography .............................................................................................................. 29
Appendix 1: Customer Care at Mavoko-EPZA ......................................................... 30
Recording Customer complaints ........................................................................... 30
Customer Care and the Kiosks ............................................................................. 30
Appendix 2: The Kiosk Pilot Project Implementation Programme............................. 31
The Kiosk Pilot Project Implementation Programme ............................................. 31
Activity CARDS ..................................................................................................... 31
Appendix 3: Proposed Kiosk Management System (Draft) ....................................... 32
Appendix 4: Ministry of Health and Institutional Reform ........................................... 33
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1 Introduction
1.1
Objectives of the Kiosk Pilot Project
The main objectives of the Kiosk Pilot Project can be summed up as follows:

Improve the water supply situation in a number of low income settlements.

Improve the design of water kiosks and make them more user-friendly and
vandalism proof.

Develop and implement a kiosk management concept which allows the Water
Service Providers (WSP) to operate kiosks in a sustainable manner.

Build capacity, through on-the-job training, at the level of the Water Services
Trust Fund (WSTF).

Prepare, on the basis of the experience gained and lessons learned during the
pilot project, a Toolkit for Low Income Water Supply, which can be used by
other WSPs.
1.2
Current Status of the Project
The following Kiosk Pilot Project activities have been carried out so far (June 2007):

Potential kiosk pilot areas were identified by the WSPs.

Data was collected on all these areas.

A Data Collection and Identification of Kiosk Pilot Areas report has been
prepared (see Project Report 2)

On the basis of the collected data and discussion with the WSPs, the Kiosk
Pilot Project areas were identified and the number of kiosks needed to
adequately supply these areas (or parts of them) was determined.

Kiosk drawing were adapted on the basis of field observations and discussions
with staff of the 3 WSPs.

The outlines of the kiosk management systems were discussed by the WSPs
and the Consultant.

The planning and implementation of the technical works were discussed in
some detail.
1.3
Organisation of this Report
This report discusses the following topics:

The formation, composition and responsibilities of the project TaskTeams
(Chapter 2).

The proposed community participation concept (Chapter 3).

The management of vendors and kiosks (Chapter 4).

Pro-poor kiosk tariffs (Chapter 5).
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
Technical issues to consider (Chapter 6).

Preparation of the project proposal (Chapter 7).

Implementation of technical works (Chapter 8).

To do lists for the various stakeholders (WSP, WSB, WSTF and the
Consultant) (Chapter 9).

The Kiosk Pilot Project Implementation Programme (Chapter 10).
This report has 4 appendices:

Appendix 1 summarises the customer care concept of MEWSC.

Appendix 2 presents the Kiosk Pilot Project implementation programme.

Appendix 3 shows the proposed kiosk management systems for the 3 WSPs.
Other documents such as the WSP-Vendor Contract and the Rules and
Guidelines for Water Vendors will be based upon this document.

Appendix 4 summarises the proposed institutional reform within the health
sector.
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June 2007
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2 Establishment of a Task Team
2.1
Reasons for Adopting a Taskteam Approach
The various kiosk pilot schemes will be implemented by a number of TaskTeams.
The reason for establishing TaskTeams is to bring together the various stakeholders
and to benefit from their knowledge, expertise and authority.
The TaskTeams will carry out or coordinate all activities related to the planning and
implementation of kiosk systems in their area.
This chapter discusses the composition and the responsibilities of the TaskTeams
2.2
Composition of the Project TaskTeam
The TaskTeam should be composed as follows:

(At least) 2 staff members of the WSP preferably one technical staff member
and one staff member with experience in public relations or community works.

2 staff members of the Municipality (one of them being the Community
Development Officer, the other TaskTeam member could be the Municipal
Planner or the Surveyor).

(At least) 2 representatives of the community (Preferably elected office
bearers or elders who are respected). The companies should also consider
the participation of the Chiefs and of community-based organisations.1

A member of the local Public Health Department.

The Community Development Expert of the Water Services Board can be
asked to participate in specific community-related activities.
Although it is preferable to create one TaskTeam for each project area, the staff
members of the WSP and of the Municipality can be members of several
TaskTeams.
In additional to the above-mentioned community members, the companies should
also consider making use of other community entry points such as the churches.
2.3
Management of the TaskTeam
The Taskteam should be managed by a staff member of the Company who will act as
an anchor person responsible for cording all activities and for informing the other
TaskTeam members.
1
The WSP may decide not to include area Councillors in its TaskTeams if the feeling exists that this
may result in political interference and tensions. It will be important, however, to keep Councillors
informed on plans and progress made.
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2.4
Main Responsibilities of the TaskTeam
The TaskTeam is responsible for the following activities:

Data collection on the project area.

Assessing the number of kiosks required to adequately supply the area.

Making a technical assessment which establishes if the area can be supplied
with treated water (water pressure, supply hours, etc.).

Mobilising and informing the community on the Kiosk Pilot Project.

Identifying, together with local residents, appropriate sites for the kiosks.

Preparing a project proposal which consists of a technical proposal and a
financial proposal (based upon a detailed bill of quantities). This work has to
be carried out together with the WSP management.

Prepare technical works.

Implement technical works (network extensions and related works).

Supervise technical works (the construction of the kiosks).

Sensitise the residents of the area on the importance of consuming treated
water.

Sensitise the residents of the area on the kiosk management system (role of
the Vendor, customer rights and responsibilities, business hours, etc.).

Identifying water vendors.

Training water vendors.

Commissioning of the kiosks.

Provide on-the-job training to vendors.

Assisting customers.
WSP management has to approve the project proposal and submit it to the WSTF.
The Financial Committee or the Procurement/Tender Committee of the Company will
be responsible for the procurement of materials and Contractor services.
The WSP will be responsible for financial management of the project(s).
WSP management will be responsible for reporting to the WSTF.
2.5
Allowances for TaskTeam Members
It may be necessary to pay the representatives of the communities where the kiosk
project will be implemented for their input. The WSP, therefore, should include the
costs related to the functioning of the TaskTeam. This budget should be based upon
the number of activities (days) which will require the input of these members of the
TaskTeam.
According to Oloolaiser WSC TaskTeam members should receive an allowance of
KSH 200/day (for a full days work).
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2.6
The TaskTeams Mailing List
The 3 WSPs are requested to send all the contact details (name, organisation,
position/function/ phone, fax and e- mail) of their own staff involved in the project and
of the members of the TaskTeam to the Consultant (hanseur@hotmail.com), who
shall prepare and send all participants a mailing list.
This list should also enable the 3 WSPs and the various TaskTeams to exchange
information and ideas.
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3 Community Participation Concept
3.1
Proposed Community Participation Concept
Community participation is a key element of the successful introduction of
sustainable kiosk system in urban contexts. It is important, however, to clearly
separate the roles and responsibilities of the various stakeholders:
The community should be involved in:
 Finding appropriate sites for the kiosks (implementation phase).
 The identification, recruitment and training of Water Vendors (implementation
phase).
 The mobilisation and sensitisation of the population (implementation phase).
 The prevention of vandalism (operation phase).
 The communication of customer complaints (operation phase).
The Water Service Provider should be responsible for:
 Financial management and control (including cash collection).
 Tariff setting (tariffs have to be approved by the Regulator).
 Water quality.
 Supervision of Vendors.
 Assuring adequate service levels.
 Assuring that all kiosks and their surroundings are kept clean.
 Technical management (operation and maintenance).
The community participation concept should be linked to- and be compatible with the
customer care/customer relations/customer complaints concepts and procedures of
the WSP (see also Appendix 1).
3.2
Organising Public Meetings
The TaskTeam will have to organise a number of public meetings in order to inform
residents on the Kiosk Pilot Project, to select appropriate sites for the kiosks, to
identify individuals or groups capable of and interested in operating the kiosks and to
inform residents on the way the kiosk will be operated.
The TaskTeam has to ensure that these meetings are well organised and well
attended. If residents are informed about an upcoming meeting, they may end up not
feeling part and parcel of the project.
Involving all residents and not only certain factions or groups within the area is also a
means to avoid political tensions and intrigues.
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3.3
Kiosk Site Selection Procedure
3.3.1 Finding Kiosks Sites Through Involving the Residents
Finding appropriate sites for water kiosks is a participatory process which follows a
procedure which allows for the active participation of the community and its
representatives. In fact the identification of sites for kiosks is the first activity in which
the community will be asked to participate.
During the identification of appropriate sites for the kiosks, the following criteria
should be taken into account:
 The views preferences of the residents of the kiosk catchment area.
 Accessibility and distance (between dwellings and kiosks).
 Other socio-economic constraints such as distance to grave yards, bars,
markets, main roads (a kiosk should not be transformed into a car wash
facility).
 The sites of the kiosks in the other catchment areas.
 Technical constraints such as soil condition, the layout of roads, and distance
to the main distribution network and the likelihood of erosion and flooding.
 Environmental constraints (is the area prone to flooding, erosion, etc.).
 Financial constraints (every budget has its limits) and maximum per capita
investment costs (investment per resident of the kiosk catchment area).
 Public health considerations; it should be easy to keep kiosks clean, also
during the rainy season (kiosks should not be constructed next to garages or
butcheries, on slopes, etc. It should not be possible to turn a kiosk into
carwash).
 Commercial considerations; the Company kiosk should be located next to an
existing private water kiosk.
 Legal constraints such as land use and land ownership.
 The Development Plans of the Municipality.
The kiosk site selection procedure has to give potential beneficiaries the opportunity
to select a number of alternative sites. The Consultant or Taskforce responsible for
the implementation of the kiosk system will have to organise one or 2 public meetings
during which the project and the kiosk site selection procedure can be explained and
during which a number of sites can be identified. During the meeting, the residents
present may propose a particular site, but the Taskforce will have to verify (on the
spot) whether or not this site is already used or owned by individuals, institutions or
organisations.
3.3.2 Road Reserves
If water kiosks can be constructed on road reserves2 there will be no need to
purchase the land.3 Road reserves are part of public utility land owned by the
2
Roads have been classified; some roads are the responsibility of the Municipality whereas others are
maintained by the Ministry of Roads and Public Works.
3
Purchasing a piece of land large enough to construct and operate a kiosk, according to MavokoEPZA staff would probably cost between KSh 50,000 and KSh 100,000, depending on the location.
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Municipality and can be allocated in order to provide public amenities. It is of crucial
importance, therefore, to involve the Municipality in the kiosk site identification
process. Involvement means:

Staff of the Municipality should, therefore be asked to become part of the
Kiosk TaskTeam.

The selections of the kiosk sites should therefore be guided by the interest of
the main stakeholders:
o Residents: kiosks should be accessible and the site should be safe.
o Mavoko-EPZA WSC: the kiosk site should not result in technical
constraints.
o Municipality: the land should be public utility land not earmarked for
other developments.
o WSB: being the assets owner, the WSB should approve of kiosk design
the site and the site plan.4
After the public meetings the TaskTeam will have to mark the site make, a digital
picture and GPS readings.
Picture 3.1: Discussions between MEWSC staff and residents after a public meeting
4
EPZA (Export Processing Zones Authority) owned the assets used by MEWSC before they were
transferred to the Athi Water Services Board. Currently the Company is leasing these assets from the
WSB. An assets evaluation has not yet been carried out.
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4 Management of Water Vendors and Kiosks
4.1
The Kiosks of Mavoko-EPZA Management System
4.1.1 Mavoko-EPZA: Current Kiosk Management System
Currently Mavoko-EPZA is operating 15 water kiosks. The kiosk management system
can be summed up as follows:

Vendors are employees of Mavoko-EPZA.

Vendors receive a monthly salary but have to deposit cash according to the
meter readings.

Vendors deposit the amounts they collect to the Meter Reader of the Company
and receive a receipt.

The kiosks are not integrated in the computerised billing system of the
Company. Kiosks do not have an account number and revenue management
is done manually.
4.1.2 Proposed Privatisation of the Mavoko-EPZA Kiosks
Mavoko-EPZA Water and Sewerage Company intends to privatise its kiosks. This
exercise should also benefit the kiosks that will be rehabilitated within the framework
of the Kiosk Pilot Project. The privatisation programme should result in a kiosk
management system which consists of the following elements:
5

Each water kiosk is metered.

Water vendors are charged according to the meter readings.

Meters are read on a daily basis.

Meters are installed in a lockable meter chamber.

Although the meter can be read without opening the meter chamber, the
vendor cannot access the meter as the keys to the meter chamber are kept by
the Company.

Vendors sign a contract with the Company.

Vendors, before they can sign their contract, need to pay a refundable deposit
of KSh 50,000.

Kiosks can be operated by individuals or by groups.

Only registered (self-help) groups can apply for the operation of one or more
kiosks.5
The Ministry of Culture and Social Services keeps a register of all social groups and self-help groups.
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
Vendors should deposit the money they collect from their customers on a daily
basis.

The cash is collected by the Company at the kiosk. Vendors have to deposit
according to the meter readings.

Vendors only have to deposit the amounts they owe the company. In other
words, vendors do not have to deposit all the cash they collect.

The vendor is allowed to determine the business hours of the kiosk.
4.1.3 Current Oloolaiser WSC Kiosk Management System
The kiosk management system of Oloolaiser WSC, which operates 8 kiosks (3 in
Ngong, 4 in Kiserian and one in Ongata Rongai), can be summarised as follows:

Water is sold at the kiosks at KSh 3/20-litre container (instead at the gazetted
KSh 2/20-litre container).

If we assume that a full 20-litre container contains 22 litres, customers pay
KSh 136/m3.

The vendors pay the company KSh 15/m 3 in other words the commission of
the vendor is KSh 121/m3 (Vendors receive 89% of the retail price).

Vendors operate without a contract.

Some kiosks are metered and the consumption of the other kiosks is assessed
on the basis of an assessed consumption.

All kiosks have an account number.6
Kiosk customers pay much more for safe water than customer who own or who have
direct access to a domestic connection. Oloolaiser charges its customers KSh 200 for
the first 10m3. When consumption ranges between KSh 11 and KSh 20m 3,
customers pay KSh 25/m3. Between 21 and 30m3 the tariff is KSh 35/m3.
4.1.4 Proposed Kiosk System for Oloolaiser WSC
The kiosks management system of Oloolaiser has to take into account that all
customers have to make their water payments at the post office. A minimum payment
of KSh 200 has been introduced to prevent very low deposits (the Company pays a
fee of KSh 29 for each transfer).
The Company believes that it should determine the business hours of the kiosk but
that the vendor can decide whether he or she wants to provide (passers-by) with free
drinking water (using a cup). The business hours of a kiosk, however, should be
discussed with the vendors and the customers of the kiosk.
The company believes vendors should be responsible for carrying out minor repairs
and for replacing leaking taps, etc. In principle the maintenance and repair
responsibility of the company should end at the meter. The vendor, who should keep
the kiosk fully operational, is also responsible for the cleanliness of the kiosk. The
6
The Company has a computerised billing system.
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contract the Company signs with the vendor should specify the duties of the vendor
and of the company.
4.1.5 Proposed Kiosk System: Naivasha WSC
Company management thinks it is up to the Vendor to determine the business hours
of his or her kiosk.
The Company wants the meters at the kiosks to be read on a weekly basis. 7
4.2
The Proposed Kiosk Systems for the 3 WSPs
Appendix 3 shows the proposed kiosk management systems for the 3 WSPs. Other
documents such as the WSP-Vendor Contract and the Rules and Guidelines for
Water Vendors will be based upon this document.
The WSPs proposed that all documents provided to the water vendors, be written in
English.
4.3
Sale of Other Goods at the Kiosk by Vendors
In Zambia the average monthly earnings of vendors are relatively low in some towns.
This is why vendors are given the opportunity to sell other goods at their kiosks. The
goods which they are not allowed to sell (insecticides, meat, etc.) are listed in the
appendix of their contract. The kiosks are equipped with shelves and are lockable in
order to facilitate the sale of other goods.
According to the management of MEWSC the Water Act of 2002, prevents water
vendors from selling other goods at their kiosks. According to the management of
the WSTF there are no legal constraints preventing vendors from selling, in addition
to water, other goods at the kiosk.
The WSTF will establish whether the concerns expressed by MEWSC are founded.
4.4
Integration of the Kiosks in the Billing System
The successful implementation of the Kiosk Pilot projects will require that all kiosks
are integrated into the exiting billing system. This means that they have to be given
an account number and that the billing system is able to produce a bill which uses the
lowest tariff irrespective of consumption levels.
7
Meter reading in Naivasha takes place between the 27th and 31st of each month. Bills are delivered
the first week of the next month. Customers are given one week to pay any arrears. Meters at estates
are used to estimate the consumption of the un-metered plots also number of residents. Many
customers prefer a flat rate.
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4.5
Supervision is Key
4.5.1 Customer Services Assistants
Water vendors and kiosks require regular supervision. The objectives of regular
supervision are to facilitate carrying out:





Technical tasks.
Customer care and customer services tasks.
Administrative tasks.
Community participation tasks.
Monitoring and supervision of Water Vendors and kiosks.
In Zambia, the Lusaka Water and Sewerage Company will soon start experimenting
with the introduction of Customer Services Assistants (CSAs). These CSAs will be
responsible for well defined zones. Their main tasks will be:
In order to strengthen the relationship with the customer, to improve monitoring
capacities and put a stop to the proliferation of illegal connections, it will be important
to divide each peri-urban area up in a number of sub-sections. Each area should
become the responsibility of a Plumber. However, in order to increase the efficiency
and output of the Plumbers we believe that Plumbers should be given additional
responsibilities. Some of these additional responsibilities are related to the new kiosk
management system.
Adding new responsibilities may require the creation of a new title, for instance
Customer Services Assistant (CSA).
The Customer Services Assistant should be responsible for the following tasks:
 Communicating with the water vendors and keeping them informed on
Company issues.
 Monitoring of Water Vendors.
 Inspecting the technical state of the kiosks in the area.
 Inspecting the hygienic state of the kiosks.
 Customer care and customer services; Communicating with customers and
recoding customer complaints.
 Inspecting the network and repairing minor damage and reporting major
damage to Head Office.
 Identifying illegal connections.
 Meter reading.
 Delivery of Water Bills.
 Disconnections and reconnections.
 Maintaining direct contacts with the community elders and community-based
organisations.
 Assisting the Peri-Urban Department and the CDA in the sensitisation and
education of customers.
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 Assisting the WSP in customer database updating.
Through the introduction of the CSA the LWSC hopes to improve its (visible)
presence in the peri-urban areas. Making each CSA responsible for his or her own
section will facilitate supervision and the introduction of performance-based
remuneration.
Preferable CSAs are found among the existing Company staff (meter readers or
plumbers) and who receive additional training.
The CSAs are supervised by staff of the local Company offices. In order to prevent
CSA from becoming involved in illegal activities, they can be rotated once every 6
months.
4.5.2 Existing Zones in the Kiosk Pilot Towns
Naivasha is divided up in 5 supply zones. Each zone is supplied by one of the 5
boreholes. Each zone has one plumber and one pump operator.
The Company has 2 meter readers who in addition to reading meters are responsible
for disconnections, reconnections and the distribution of water bills.
It is obvious that if the WSPs would consider introducing CSAs in their low income
areas, the job description and training programmes of these CSA should take the
responsibilities of the other staff members into account.
Also Oloolaiser WSC has divided up the towns it is supplying into supply zones.
Ongata Rongai has 8 zones, whereas Ngong is divided up in 10 zones. Each zone is
managed by 3 members of staff: an Inspector, a Plumber and a Meter Reader. Head
Office carries out an inspection round once of month.
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5 The Introduction of Pro-Poor Tariffs: Mavoko EPZA
5.1
Current Tariffs and Tariff Structure
Table 5.1 shows the current tariff structure of Mavoko-EPZA.
Table 5.1:
Tariffs of Mavoko-EPZA
Consumption
Tariff
Customer category
0 – 50m3
KSh 37/m3
All customers with a connection
51 – 100m3
KSh 39/m3
All customers with a connection
KSh
40/m3
All customers with a connection
KSh
89/m3
Vendors (amount to be deposited)
101m3
+
Kiosks
KSh 138/m3 (KSh 3/22 litres)8
Kiosk customers
The following remarks can be made regarding the tariffs and the tariff structure

If compared with the tariffs of the 2 other WSP (Oloolaiser WSC and Naivasha
WSC), all MEWSC tariffs are relatively high. To some extent this is justified by
the fact that the Company has to purchase its water from Nairobi Water and
Sewerage Company (NWSC).9

The lowest tariff band is too large (0 – 50m3). A social tariff usually covers only
the first 6 or 10m3 and is often determined on the basis of indicators such as:
average family size, basic water needs and consumption patterns (cultural
aspects).

The differences between the various tariffs are insignificant. The objective of
having a stratified tariff structure is to conserve the resource (treated water) by
discouraging water wastage , to be able to

Although the Company, which has 5,400 customers, makes a distinction
between types of customers (domestic, industrial, commercial/institutional, and
construction) all customers with a connection, with the exception of the water
kiosks, pay the same tariff.10 In other words, domestic customers pay the
same tariffs as commercial and institutional customers.
8
Customers are usually allowed to fill their containers to the rim. A full 20-litre container contains
between 22 – 24 litres. On average one m 3 equals 46 full 20-litre containers,
9
Naivasha WSC currently charges a tariff of KSh21/m3 for the first 10m3 (the Company would like to
increase the tariff next year to KSh 35/m 3). The retail kiosk tariff will be set at KSh 1.-/20-litre container
(KSH 46/m3) (next years tariff increase will probably result in the doubling of the kiosk retail tariff).
10
The Company, however, has different connection application fees for the various customer
categories.
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
5.2
Customers of kiosks pay considerably more for treated water. The kiosk retail
tariff can not be described as being pro-poor. 11
Recommendations
Mavoko-EPZA should consider making the following adaptations in its tariff structure
and tariffs:

Introducing a social tariff which only covers the first 10m 3. The second tariff
band should cover 11-20m3.

Increasing the tariffs of the subsequent tariff bands, especially if consumption
exceeds 30m3 (a consumption of 100 litres/person/day within a household of
10 persons).

Introduce a pro-poor kiosk tariff of KSh 1.- or KSh 2.-/20-litre container.
11
One could argue, however, that if kiosks are operated by low income self-help groups, part of the
kiosk revenues are redistributed among the poorer section of the local population.
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6 Technical Issues Concerning the Implementation of the Project
6.1
Water Supply to Pilot Areas: Perceived Technical Constraints
All 3 WSPs stated that they are able to guarantee that the newly constructed and the
reconstructed existing kiosk will be able to receive sufficient quantities of water.
However, water supply to kiosk pilot areas in Naivasha (CCCR and Kabati) would
continue to be rationed.
Water rationing (redistribution) and at times erratic supply are the main reasons why
all 3 WSPs opted for equipping the kiosks with plastic overhead tanks of 5m3.
6.1.1 Mavoko-EPZA WSC
The Company does not expect any problems as far as water quality and water
pressure are concerned, provided some of the existing pipes are replaced. According
to the Company, the technical condition of the distribution network in the areas where
kiosks will be (re)built is good (consisting of 4 inch pipes and one inch pipes
connecting the kiosks).
The Company prefers the use of PVC pipes as metal pipes tend to corrode due to
soil conditions.
Supply at the kiosks, however, will be affected by the rationing (water distribution)
policy of the Company.12 In order to mitigate the effects of this policy the Company
proposes that 5m3 plastic tanks are mounted on the roof of the kiosks.
6.1.2 Naivasha WSC
The Company expects being able to supply both project areas – Kabati and CCCR –
with sufficient quantities of water. Kabati is likely to receive supply 4-5hrs/day,
whereas CCCR will be supplied 6hrs/day.
In order to ensure supply the management of the Company feels kiosks should have
their own (dedicated) supply pipes.
6.1.3 Oloolaiser WSC
Oloolaiser does not foresee any major problems related to the supply of water to the
newly constructed kiosks.
6.2
Illegal Connections and Un-metered Connections
Kiosks do not operate well if they are surrounded by un-metered or illegal
connections where water can be fetched free of charge or at a lower price. The
metering of un-metered connections and the disconnection or regularisation (and
12
This policy is mainly determined by the supply from Nairobi. The NWSC interrupts supply on
Tuesdays and Thursdays. The normal supply hours of the company are from 06.00hrs – 18.00hrs.
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metering) of illegal connections in the area should, therefore be seen as being part of
the kiosk project. These measures tend to have a positive impact upon:

The revenue of the WSP.

Efforts to reduce water wastage.

The revenue of the kiosk water vendors.
Oloolaiser Water and Sewerage Company, for example, will have to prepare a
detailed list of all un-metered and metered domestic connections in Kware.
6.3
Metering of Existing Un-Metered Connections in the Project Areas
Most connections in of Mavoko-EPZA are metered. In Naivasha, however, few
domestic and other connections are metered.
Naivasha WSC should consider, as part of the Kiosk Pilot Project, purchasing meters
for the 53 un-metered connections in Kabati13 in order to:

Prevent the illegal sale of water by customers who only pay a flat rate.

Reduce the unaccounted for water which is likely to have a positive impact
upon water supply and water pressure at the kiosks.
6.4
Repair of Major Leaks
Also the repair of major leaks affecting water supply (quality and pressure) in the
areas as well as the sale of water at the kiosks (because residents fetch water from
these leaks14 which are sometimes the result of acts of vandalism), should be seen
as part of a successful kiosk project.
6.5
Installation of Bulk meters
Mavoko-EPZA, may decide to include a number of master meters in its proposal as
this will facilitate the effort of the Company to create supply zones.
6.6
The Kiosks: Technical Adaptations
Discussions between the WSPs and the Consultant resulted in the following
adaptations in kiosk design15:

Adding a lockable concrete meter box within the kiosk (the purpose is to
prevent water vendors from tempering with the meter or to temporarily remove
the meter).

The distribution line enters the kiosk through the floor.
13
The installation of a Kent meter (cost of the meter, additional materials and installation costs) is
estimated by Naivasha WSC at KSh 5,000.
14
In Zambia such leaks are often called “initiative leaks”.
15
The drawings of the kiosks constructed by the Southern Water and Sewerage Company (SWSC) in
Zambia and drawings of kiosks that were constructed under project financed by the Zambian
Devolution Trust Fund (DTF) were taken as baseline.
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
Roof adaptations and reinforcement are needed to place a 3m3 or a 5m3
synthetic container on top of the kiosk.

Kiosks in areas with irregular supply or areas where supply is limited due to
the water distribution (rationing) policy of the Company, will be equipped with a
3 or a 5m3 plastic overhead tank. This has resulted in adding reinforcements
to the kiosk.

The synthetic container has to be equipped with a floater.

Adaptations are needed to connect the container to the water inlet and the
container outlet to the taps.

In order to increase the lifespan of the overhead tank as well as to protect the
taste and temperature of the water stored, the overhead tank has a sun
protection.

Kiosks should be accessible to water resellers using animal carts. This means
that it has to be possible to attach hosepipe to the kiosk taps.

All kiosks will be equipped with high-quality taps, meters and valves.
On the basis of these proposed adaptations the architect has prepared the necessary
drawings (A1 format) as well as a bill of quantities (BoQ).
These outputs, prepared for the WSTF, will be made available to the 3 WSPs.
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7 Preparation of Technical and Financial Proposal
7.1
Support by the WSTF
The WSTF will provide the WSPs with project application forms. These forms, once
they are filled in, constitute the project proposal.
Oloolaiser WSC would appreciate it if the WSTF could provide some assistance if
required, during the preparation of the proposal.
7.2
Technical proposal
The WSPs have to collect the necessary data for the preparation of the technical
proposal:

Materials needed for network extensions and additional technical works (the
length of pipes, type of pipes, diameters, number of valves, cement for valve
chambers, etc.).

Drawings showing the planned network extension and additional works.

The number of kiosk to be constructed.
The kiosk drawing and BoQ for the kiosk will be prepared by the WSTF.
The Technical Proposal should also include a realist budget for the various “software
activities” such as:
 Community mobilisation and sensitisation.
 Printing of information and sensitisation messages.
 Training of vendors (during a 1.5 days workshop).
 Hiring of a drama group (if deemed necessary).
 Etc.
7.3
Financial Proposal
The Financial Proposal should include:

The costs of the services provided by Contractors and Consultant
(construction supervision).

The estimated costs of the software component (for example the costs of
organising public meetings and a vendor training workshop and the
allowances of the non-salaried TaskTeam members).
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8 Preparation and Implementation of Technical Works
8.1
Disbursement of Funds by the WSTF
The WSTF is expected to make its first disbursement immediately after the approval
of the project proposals prepared by the WSPs.
In order to prepare for the disbursement of funds by the WSTF, each WSP could
decide to open a separate projects bank account. upon approval of the project
proposal.
8.2
Procurement of Materials and Services
8.2.1 Remarks Related to the Procurement Procedure

The 3 WSP expressed their wish and the need to follow Government
procurement guidelines as specified in the Public Procurement and Disposal
Act of 2005 (see Bibliography).

MEWSC has a Procurement/Tender Committee.

Oloolaiser WSC is in the process of establishing its own procurement/Tender
Committee.

Athi Water Services Board has a Procurement Committee and all procurement
to be made by a WSP above KSh 500,000 have to be handled/approved (?)
by the WSB.

All procurement related documents (BoQs, terms of reference for the
contracts, schedules of specifications, payment schedules, etc.) will be
prepared by Tender/Procurement Committee of the Company.

It is therefore necessary that the staff members who are part of the TaskTeam
communicate and cooperate with the Procurement/Tender Committee.

The WSPs will advertise the works and services it intends to procure and look
for a minimum of 5 quotations from certified suppliers.

Suppliers will be given 14 days to prepare their quotations.

These quotations will have to be prepared on the basis of the Schedule of
Specifications.

Offers will be evaluated by the Tender/Procurement Committee of the
Company.

At least 3 offers will be evaluated.

The Company will prefer to purchase from the lowest bidder.

According to Mavoko-EPZA staff the Company may have to procure certain
materials from Nairobi if these are not locally available.
8.2.2 Procurement and the Communities

All 3 WSPs have the intention to ensure that unskilled labourers from the
project areas are recruited by the Contractor and by the Company itself.
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Offering these temporary job opportunities will to a limited extent contribute to
poverty alleviation and to instil a sense of ownership with regard to the project
within the community.

8.3
According to MEWSC the WSPs have to consider the Public Procurement and
Disposal Act, 2005, which states that a certain percentage of the investment
costs have to be reserved for activities or investment resulting in community
empowerment. The Consultant will carry out investigations to establish to
which extent the Act will affect the various kiosk schemes.
Approval of Building Plans and Approval of Sites and Site Plans
All Building Plans and Site Plans have to be approved by the Municipality (5 copies
of Building Plans have to be provided).
8.4
Implementation of Technical Works
8.4.1 Kiosks (only)

All 3 WSPs intend to acquire the services of one or more local Contractors, but
only for the construction of new kiosks or the rehabilitation of the existing
kiosks.

Different local Contractors can be asked to build/rehabilitate kiosks in different
project areas.

The Contractor(s) will be asked (in the advertisement and in the contract
signed with the Company) to recruit people from within the project areas as
unskilled labourers.

The contract with the Contractor should contain a retention fee (5 – 10%) and
a 3 – 6 months liability period. A liability period of 6 months is preferable as it
would cover both seasons.
8.4.2 Additional Works
Networks extensions and other network related works will be carried out by the
Companies.
8.5
Supervision of Technical Works

All 3 WSPs expressed their capacity to supervise the technical works,
including the construction of the kiosks.

Technical supervision will take place on the basis of a detailed works
schedule.

Certificates of completion will be issued by the company to the contractor for
the various stages of completion.
8.5.1 Supervision by the Water Services Boards
The Water Services Boards are requested to provide support to the WSPs whenever
the need arises.
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8.5.2 Technical Support Provided by the WSTF
The WSTF (the urban water supply and sanitation Engineer of the Fund) should
provide support to the WSPs during the construction of the kiosks.
8.6
Financial Management and Reporting
8.6.1 Procedures of the WSTF
Procedures guiding financial management and reporting are provided by the Water
Services Trust Fund.
The WSPs will have to surrender payment schedules, receipts and all statement of
works completed/materials procured.
The WSP Prepare payment schedules.
8.6.2 Financial Management of the Project
Although the implementation of the project is the responsibility of the TaskTeam, the
financial management of the project should remain the responsibility of WSP
management, which is assisted by the Financial Committee/ Procurement/Tender
Committee of the Company.
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9 To Do Lists
On the basis of the previous chapters we are able to prepare the following to-do lists
for the following stakeholders:

The Water Service Providers (WSPs).

The Water Services Boards.

The Water Services Trust Fund.

The Consultant.

The TaskTeam.
These lists only cover the initial project activities.
9.1
The Water Service Providers
The Water Service Providers should:

Establish TaskTeams in the various project areas.

Open project bank accounts.

Collect the necessary information for the preparation of a technical and
financial proposal for the Kiosk Pilot Project.
9.2
The Water Services Trust Fund
The WSTF should:

Establish the financial ceiling of the Kiosk Pilot Project.

Prepare and sign a memorandum of Understanding (MoU) with the 3 WSPs
participating in the Kiosk Pilot Project (priority).

Develop and implement a disbursement procedure. This procedure should
consider the role and responsibilities of all stakeholders, including the Water
Services Boards (WSBs) (priority).

Consider an initial (pre-project) disbursement (+- KSh 35,000) allowing the
WSPs to cover small initial expenses.

Provide the WSPs with a project application/proposal form (priority)

Provide the WSPs with the kiosk drawings and the BoQ.

Prepare the disbursement of funds to the accounts of the WSPs enabling
these providers to procure materials and services.

The WSTF has to submit to the Consultant and the Naivasha WSC the report
prepared by the Engineer with regard to the potential water supply constraints.

Prepare payment schedules. The WSTF should prepare a cheque for the
Company allowing the Company to procure materials and services.
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
Discuss and (if they meet WSTF standards) approve the project budgets on
the basis of the project proposals prepared by the WSPs.

Inform the WSP on the financial accounting and reporting procedures. The
WSTF has to prepare a user-friendly format for the financial and technical
reports the WSPs have to submit.
9.3
The Consultant
The Consultant should:

Prepare the Kiosk Pilot project implementation programme (priority).

Prepare a document which describes the kiosk management system of the 3
WSPs.

Consult experts and inform the WSPs on available billing programmes.

Prepare a vendor training programme.

Job description for staff responsible for the supervision of the vendors and the
inspection of the kiosks.
9.4
The TaskTeams
The TaskTeams should:

Inform the populations of the pilot areas.

Mobilise the populations of the pilot areas.

Create kiosk catchment zones and prepare sketch maps.

Identify, together with the population of the project areas, suitable sites for the
kiosks (priority).
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10 The Kiosk Pilot Project Implementation Programme
10.1 Introduction
The Kiosk Pilot Project implementation programme consists of 2 parts;

A detailed Time Schedule.

A document which contains a set of Activity Cards.
These outputs are presented in Appendix 2.
They should assist the WSP with the preparation of the project proposals.
The completion of the Kiosk Pilot Project is targeted at the 31st of October 2007.
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Glossary and List of Abbreviations
Mzee wa Mtaa:
Community leaders at local level.
CCCR:
County Council Community Residential
EPZA:
Export Processing Zones Authority
GPS:
Global Positioning System
MEWSCO:
Mavoko-EPZA Water and Sewerage Company
NAIWASCO:
Naivasha Water and Sewerage Company
NWSC:
Nairobi Water and Sewerage Company
OWSC:
Oloolaiser Water and Sewerage Company
WSB:
Water Services Board
WSP:
Water Service Provider
WSTF:
Water Services Trust Fund
Bibliography
Government of Kenya (October 2002) Kenya Gazette Supplement, Acts, 2002, The
Water Act, 2002, Government Printer, Nairobi, Kenya.
Government of Kenya (October 2005) Kenya Gazette Supplement, Acts, 2005, The
Public procurement Act, 2005, Government Printer, Nairobi, Kenya.
Ministry of Water and Irrigation, Water Services Trust Fund (November 2004) Water
Services Trust Fund, Operations Manual (prepared by PriceWaterhouseCoopers),
Nairobi, Kenya.
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Appendix 1: Customer Care at Mavoko-EPZA
Recording Customer complaints
Mavoko-EPZA has developed and is implementing a customer complaints concept.
The Customer Care Officer (who reports to the Human Resources Section) keeps a
register which is used to record and follow-up all customer complaints. The time
which elapses between the reporting of the complaint and the ‘action taken’ depends
on the type of complaints. When pipe burst are reported the company tries to repair
the damage within one day.
The major complaints which are reported to the Company are in their order of
importance: pipe bursts, sewer bursts, stuck water meters and low pressure.
According to the Customer Care Officer she often has to deal with “harsh customers”
who are dissatisfied with the slow response of the Company: “Often I have to chase
some of our staff members and urge them to respond to a problem.” Indeed the
report of the Customer Care Officer shows that a considerable number of complaints
– including reports concerning pipe bursts – were not attended to 2 to 3 weeks after
they had been reported.
The fact that she has to deal with dissatisfied customers can, according to the
Customer Care Officer, be attributed to the fact that company staff is not giving
customer care the priority it deserves.
The Customer Care Officer proposed the following solutions:

A customer care survey which provides insight in current customer satisfaction
levels.

Creating awareness among company staff that a quick response to reported
problems results in higher customer satisfaction levels, lower unaccounted for
water levels and higher collection efficiencies.
Customer Care and the Kiosks
Kiosk customers do not report any complaints. This is an indication that these
stakeholders do not as yet consider themselves to be customers of the WSP. In order
to assess customer satisfaction levels among these customers, the Customer Care
Officer intends to carry out a small survey among these customers.
Occasionally kiosk customers address their complaints and frustrations to the vendor
who may report it to the Customer Care Officer.
______________________________________
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Appendix 2: The Kiosk Pilot Project Implementation Programme
The Kiosk Pilot Project Implementation Programme
Activity CARDS
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Appendix 3: Proposed Kiosk Management System (Draft)
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Appendix 4: Ministry of Health and Institutional Reform
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