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Borama Water Agency, Privatization Is A Realistic Approach
By Abdirahman Ibrahim (Aleel)
A process is going on to privatize the Borama water agency, but there are loopholes within the system itself, and unless those doubts are cleared, the consumers would not be pleased. The department has to be privatized with a board of directors, shares and complete company rules. Opportunity must be given likewise to any group of people who are competent enough to take over the department. Though the selection of the group has already been made on the basis of financial capacity only and with no other criteria being followed, I think one important criteria was forgotten, as far as the quality of the shareholders are concerned, and that is the trust and prestige these people hold among the public or society in order to avoid friction between the consumers and the shareholders in the future.
Unfortunately, the shareholders are complaining that they do not have documented information regarding what is being done and what is left for the donor agency to complete. It is important for the shareholders to identify the costs and achievements that are resulting from project activities: both the effects and the impact. If there are discrepancies between actual and planned progress, corrective action needs to be taken. Otherwise, nobody would know the fate of the project and shareholders will be kept in the blind. Moreover, the system requires mapping in order to know new connections that should be made, and the pressure as well as the topography, which is very important to the adequate distribution of water for the whole town. On the basis of this information, one could determine the number of reservoirs and pipes needed, as well as the pricing of the water, the cost of production and delivery of a unit quantity of water includes investment to expand the system, tax, operation, and maintenance costs and above all the profitability of the company. Also, the cost should be affordable even by the poorest sections of the society.
Before the actual handing over of the department to the company, the water needs of the town has to be calculated and the future system musts meet the requirements including daily water demand fluctuations for the town and immediate surroundings. There is also the problem of over-staffing which puts the cost-effectiveness of the enterprise in jeopardy. The new water organization must recruit only the number of staff it needs, and this should be done on a professional basis.
If the above issues are not addressed properly, the project’s ability to achieve sustainability and deliver water services will be compromised.
Abdirahman Ibrahim (Aleel)
dharaaryonis@hotmail.com
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