A public private partnership in Senegal is being hailed as a way for African cities to provide water for poor communities. Senegalaise des Eaux (SDE), a subsidiary of Saur International, has been running the state owned water system in Dakar since 1996.  Habib Sy, minister for agriculture and water, said: “The water sector is now in the black and water needs for the capital are covered until 2015."

Water production has increased 18 per cent with 81,000 new household connections and 400 standpipes. In 2003, free installations for poor users accounted for 85% of new connections. There are subsidies for low water users, a 3% annual limit on price rises and fines if SDE fails to meet targets. However those who buy from standpipes often pay more.

The World Bank, which provided a US$ 300 million (EUR 233 million) loan, regards Senegal as a model of public-private partnership. However, Frederic Renaut, Managing Director of SDE admits: “Nobody has yet found the answer to rural water provision in Africa."

Related news: Innovative contracts, sound relationships: urban water sector reform in Senegal, Source, 10 Feb 2004; Rope pump: local production and installation capacity being developed in Senegal, Source 17 Dec 2004

Source: IRIN, 22 Mar 2005

Tags: financing, policies & legislation, water distribution