Annex 2- PROGRESSIVE 5-YEAR ACTION PLAN AQUAVIRUNGA FOR THE YB&MM, MUTERA AND LOT 3 AND 4 OF WATER SUPPLY SYSTEMS NYABIHU DISTRICT (2016-2020)
The objective of this action plan is to present a global overview of the specific activities that will be undertaken by AQUAVIRUNGA LTD for a period of 5 years. This plan has been realized in the context of rational use of availableresources or the search for additional resources by way of the partners of the company in the context of the delegated management contracts of the YB-MM in Rubavu District, Mutera water supply systems in Musanze and Nyabihu Districts and lot 3 and 4 of water supply systems in Nyabihu District.
The financial simulation of the company for the period 2016 – 2020 is presented in Annex.
Objective / Activities / Result / Outcome / InputsGENERAL MANAGEMENT
- Efficient management of the company.
- Coordinate and supervise the activities of all company departments;
- Manage the company staff;
- Ensure the availability of sufficient financial resources for the operations of the company;
- Review the standard procedures for the technical, administrative and financial management of the company;
- Up to date internal company rules and regulations;
- Up to date staff register and organization chart of the company;
- Up to date statements of bank accounts and cashbook;
- Up to date company procedures manual.
- Develop a dynamic HR policy to ensure the long term continuity of the company.
- Ensure the staff training
- programming ;
- Identify/Recruit qualified management staff, capable of replacing on the long run the actual management team.
- Develop an individual career planning for management staff.
- Identify subjects in which the partner PWN can support such as capacity strengthening for company staff;
- Renew themedical insurance for all staff with an insurance company.
- Make available protective equipment for company staff.
- Progressive annual staff training program to be presented in the Board of Directors Meeting of November each year.
- Individual career plans for management staff.
- Terms of reference for support missions of PWN staff.
- Medical insurance for all staff starting from April 2013.
- Availability of protective equipment.
- Improved staff performance
- Continuity of management of the company guaranteed.
- Better working conditions for the company staff.
- Improved medical wellbeing of the company staff.
- Improved job satisfaction of the company staff
- The cost of the annual premium for medical insurance of the company staff is estimated at € 8,500 per yearand it is included in the regular operating cost.
- The cost of protective equipment is estimated at € 2,500 per year and it is also included in the regular operating cost.
- Mobilize AQUAVIRUNGA partners (PWN, A4A, NWP, etc) for funding special training programs such as GIS, use of Sage i7 software, Database software, NRW, etc.
- Efficient management of relations with the Districts of Rubavu, Nyabihu andthe Inter-District association of Musanze and Nyabihu.
- Organize periodic meetings with the Steering committees and District Water Boards ;
- Submit monthly reports on timely basis;
- Submit annual reports on timely basis
- Pay client Royalties on timely basis;
- Up to date internal rules and regulations of the Steering Committees and District Water Board;
- Periodic Steering committee and District Water Board meetings (at least once each quarter);
- Monthly reports submitted before the 15th of the following month;
- Annual reports submitted before the end of the first quarter of the following year;
- Royalty payments before the 15th of the following month.
- Reduction of operating cost.
- Optimization of personnel cost;
- Optimization of cost of inputs for the production and distribution of drinking water;
- Optimization of cost of operation and maintenance of infrastructure assets;
- Optimization of cost of maintenance of operating equipment.
- Introduce a more stringent budgeting system.
Yungwe Bikore & Mizingo-Mutura:
Year / Rwf/m3
Baseline 2015 / 630
Average 2016 / 625
Average 2017 / 620
Average 2018 / 615
Average 2019 / 610
Average 2020 / 610
Mutera:
Year / Rwf/m3
Baseline 2015 / 620
Average 2016 / 615
Average 2017 / 615
Average 2018 / 610
Average 2019 / 610
Average 2020 / 610
Nyabihu:
Year / Rwf/m3
Gravity / Pumping
Baseline 2015 / 675 / 1,125
Average 2016 / 670 / 1,100
Average 2017 / 640 / 1,100
Average 2018 / 620 / 1,075
Average 2019 / 610 / 1,075
Average 2020 / 610 / 1,075
/ Reduced operating cost and thus increased operating result of the activity which could lead to more affordable tariff for the population. / Included in the regular operating cost of the company.
- Extend the activity of Aquavirunga by acquiring more delegated management contracts.
- Develop an active marketing system by generating more publicity around the activities of the company, notably towards the Districts, financiers and aid-organizations;
- Actively participate in national forums of the water sector (Sector Working Group, FEPEAR, etc.);
- Private connections and Extensions
- Website operational first quarter of 2013;
- Website updated on a half-yearly basis;
- Aquavirunga calendars issued each Year.
Year / Contracts
Baseline 2015 / 3
2016
2017
2018 / 4
2019
2020
Additional water sales in new contracts:
Year / m3/year
Baseline 2015 / 30,000
2016 / 50,000
2017 / 60,000
2018 / 70,000
2019 / 75,000
2020 / 80,000
/ Expansion of Aquavirunga’s activities as operator of piped water supply systems. / Additional cost will have to be made for:
- Publicity activities;
- Development and maintenance of the website;
- Hiring new staff for operation and maintenance of the newly acquired delegated management contracts;
- Renew and purchase of additional operating equipment for the existing and new contracts such as transport means, office equipment and tools.
2016 / 2018 / 2020
Vehicle / 40,000 / 40,000
Motorbikes / 16,000 / 16,000 / 16,000
Office equipment / 5,000 / 5,000 / 5,000
Various miscellaneous equipment and tools / 10,000 / 10,000
Total / 31,000 / 61,000 / 71,000
- Ensuring efficient functioning of the systems inorder to meet the objectives specified in the Delegation Contracts for the management of drinking water supply systems awarded to AQUAVIRUNGA Ltd.
- Design of rehabilitation and extension works of water supply schemes comprising:
The reinforcement, rehabilitation and extension of Mutera water supply system
The rehabilitation and extension of water supply systems in Nyabihu District
- Assist the District in arranging funds for the new construction, rehabilitation and extension works of the WSS
- Updating the GIS database of water supply schemes operated by Aquavirunga Ltd
- Implementation of the data base
- Preparation of master Plan of water supply schemes managed by Aquavirunga Ltd
- Increased production capacities of the YB, MM and Mutera water treatment plants and the WSS of Nyabihu District
- Increasedcoverage area
- Efficient management of the WSS
- Increased revenue resulting in an increased operating result of the activity which could lead to tariff reduction, more affordable for the population
- Customer satisfaction: more 20l/day/capita
- Expanded Aquavirunga services to un-served areas
- Increased coverage of Opex to 100%
- long term coverage Capex
- Districts involvement in planning, monitoring and arranging funds for the new WSS projects
- Mobilization of the Districts, Central Government and other donors for funding the works
ADMINISTRATIVE AND FINANCIAL MANAGEMENT
- Improvethe quality of service to customers.
- Quick intervention in case of breakdown or act of vandalism;
- Monitoring of service delivered to customers such as water availability at distribution points (BF and BP), opening hours of the BF, and respect of the agreed water tariff at the BF’s.
- Quick action in case of applications for private connections;
- Proper reception of customers;
- Keeping the register of customer complaints and giving follow-up to these complaints.
- Setting up a mobile office (Aquavirunga sub-branch in the future) to provide easy access to services for our customers
- Revitalization of the service of litigation in order to maximize the recovery of water sales, fighting against illegal connections and vandalism
- setting up a communication book with BFs for regular monitoring of the quality of service delivered
- Intervention within 24 hours in case of breakdown;
- Applications for private connections to be settled within one week;
- Up to date register of customer complaints and feedback within 24hours. The objective is to achieve the minimumof 95% complaints settled within a period of one week.
- Improve customer management with the objective of increasing the bill collection efficiency and decreasing the administrative losses in the systems.
- Enforcement of adherence to the contracts with the customers (BF and BP);
- Keeping the register of accounts receivable up to date;
- Identification of dishonest customers;
- Identification of illegal connections;
- Legal prosecution of recalcitrant customers;
- Maximize the two weekly collection of advance payments on BF;
- Limit the time needed for water meter reading and invoicing to 3 days and the time needed for the distribution of the bills to 2 days.
- Disconnect private connections that have not paid water bill;
- Regular inspection of disconnected private connections;
- Involve the local authorities in the process of collection of arrears.
- Annual meeting with the local authorities
- Up to date accounts receivable register;
- Up to date register of dishonest customers;
- Improved bill collection efficiency
Year / %
Baseline 2015 / 96
2016 / 96
2017 / 96
2018 / 98
2019 / 98
2020 / 98
Improved bill collection efficiency for Mutera:
Year / %
Baseline2015 / 93
2016 / 95
2017 / 95
2018 / 97
2019 / 97
2020 / 97
Improved bill collection efficiency for Nyabihu:
Year / %
Baseline 96 / 75
2016 / 80
2017 / 85
2018 / 85
2019 / 90
2020 / 90
/ Increased company revenue / Included in the regular operating cost of the company.
- Increase the sales of water in the areas covered by the YB&MM, Mutera, Nyabihu water supply systems.
Year / m3/year
Baseline 2015 / 375,000
2016 / 395,000
2017 / 420,000
2018 / 450,000
2019 / 485,000
2020 / 520,000
Increase in water sales (billed volume) in the Mutera project area:
Year / m3/year
Baseline 2015 / 93,000
2016 / 98,000
2017 / 103,000
2018 / 110,000
2019 / 115,000
2020 / 115,000
Increase in water sales (billed volume) in the Nyabihu project area:
Year / m3/year
Baseline 2015 / 71,000
2016 / 77,000
2017 / 85,000
2018 / 99,000
2019 / 105,000
2020 / 115,000
/ Increased revenue resulting in an increased operating result of the activity which could lead to, more affordable tariff for population / Included in the regular operating cost of the company.
- Improve financial management procedures
- Monitoring of budget execution and analyzes of deviations between actual and planned expenditure;
- Optimize the (financial) reporting procedure ;
- Use of the new technology introduced by Rwanda Revenue Authority and make the monthly payments by internet (VAT, PAYE, social security due, Income tax, etc )
- Improved budgeting practice and analytic accounting;
- Configuration of the bookkeeping program in place (sage i7) to integrate it with the billing and collection system.
- Monthly and quarterly tax declarations by internet.
- Efficient work flow resulting in a reduction of time needed for meter reading – billing and collection. Moreover it will lead to less error in the bookkeeping
- Gaining of time
- Improve the company procurement process
- Respect the company procurement guidelines: tendering and supplying processes
- Strict monitoring of minimum stock for all company department
- Keep record of incoming and outgoing consumables, supplies, spare parts etc.
- Up to date record of stock: consumables, supplies, spare parts etc;
- Procurement plan of the company.
- Implementation of database
- Optimize and digitalize the “meter-to-cash’ “process: automatization of water meter index reading,billing, retrieval and update of (customer) data in the field by the customer care agent(Use of GSM)
- Update customer data : standpipes, private connections
- Update assets data
- Quality of service improvement
- Up to date assets and customer register
- Geographical localization of all customers and assets
- Improved quality of service and customer satisfaction
- Bill collection efficiency
TECHNICAL MANAGEMENT
- Ensuring the quantity and the quality of water produced and distributed.
- Protection of the intake areas
- Improving and monitoring the production process: WTP, springs and pumping stations from raw water to treated water);
- Monitoring of the quality of water distributed
- Protected intake areas
- Raw water quality improvement
- Reliable quality of water produced(reference WHO standards for drinking water quality)
- Involvement of District authorities inerosionmitigation. Cfr IWRM project
- Included in regular operating cost of the company
- Improving laboratory performance.
- Providing new equipment for water quality analysis: jar test equipment, Portablephotometersfor operators at various sites.
- Good maintenance of existing equipments
- Staff training
- Enough and well operating Equipment
- Qualified laboratory technicians
- Reference laboratory in the region
- Included in the regular operating cost of the company
- Increase the service coverage in the YB&MM, Mutera and Nyabihu project areas.
- Continue the ordinary installation of private connections;
- Promote the installation of private connections through the Revolving Fund (project 12010) and establishment of economic extensions water pipes in order to connect every year 300 new households
Year / BF with new MM project / Project 12010 BP / Ordinary
2016 / 240 / 300
2017 / 230 / 350
2018 / 34 / 200 / 380
2019 / 190 / 400
2020 / 180 / 450
Mutera project :
Year / BF with new Mutera project / Project 12010 BP / Ordinary
2016 / 10 / 90
2017 / 10 / 85
2018 / 19 / 10 / 80
2019 / 10 / 80
2020 / 10 / 80
Nyabihu project :
Year / BF with new MM project and gravitysystem / Project 12010 BP / Ordinary
2016 / 50 / 70
2017 / 60 / 80
2018 / 34 / 90 / 100
2019 / 97 / 100 / 120
2020 / 110 / 120
/ Increased service coverage /
- New extensions fund from renewal and extension fund
- Private connections under the existing Revolving Fund project
- Increasingthe distribution networks efficiency to the minimum level of 85%.
- Continue the leakage detection and repair campaigns;
- Installation of water meters at production unit and at all main antenna of distribution network;
Year / YB&MM / Mutera / Nyabihu
Baseline 2015 / 75% / 69% / 65%
2016 / 83% / 75% / 60%
2017 / 85% / 75% / 65%
2018 / 87% / 75% / 75%
2019 / 87% / 83% / 80%
2020 / 90% / 85% / 85%
/
- Service continuity guarantee
- Included in the regular operating cost of the company and renewal and extension Fund.
- The additional cost forpurchasing the new modern leakage detector, and staff training on its use.
- Implementation of database
- Periodic updating of GIS database of common infrastructures and private connections
- Facilitated identification and planning of new extensions project zones and customer data management;
- Geographic coordinate identification of all infrastructures and customers
Year / YB&MM / Mutera / Nyabihu
2016 / 95% / 97% / 97%
2017 / 100% / 100% / 100%
2018 / 100% / 100% / 100%
2019 / 100% / 100% / 100%
2020 / 100% / 100% / 100%
/
- Data and infrastructure management
- Data compatibility
- Map production
- Included in the regular operating cost of the company.
- Additional GPS device for data collection
- Maintenance of infrastructure assets entrusted to the company with the objective of preserving them.
- Ensure the programming of infrastructure assets maintenance
- Ensure the execution of that programming
- Periodic actualization of the inventory of the infrastructure.
- Updating the GIS database for infrastructure assets
- Up to date maintenance schedule of the infrastructure assets;
- Up to date record of planned and executed maintenance of the infrastructure assets;
- Up to date record of infrastructure assets.
- Up to date GIS.
- Management of company’s operating equipment
- Ensure the maintenance programming of operating equipment;
- Ensure the maintenance programming execution
- Ensure the periodic renewal of operating equipment;
- Periodic actualization of the inventory of operating equipment
- Up to date maintenance schedule of operating equipment;
- Up to date record of planned and executed maintenance of operating equipment;
- Up to date record of operating equipment.
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