April 19, 2012 Alexander Obuobisa-Darko

April 19, 2012 Alexander Obuobisa-Darko

Outline

WASHCost project

LCCA concept

Key findings

Use of LCCA in Ghana

April 19, 2012 Alexander Obuobisa-Darko

WASHCost project

April 19, 2012 Alexander Obuobisa-Darko

Time

Investment (Capital expenditure)

Service level

Implement Implement Implement

Business as usual

Business as usual scenario

April 19, 2012 Alexander Obuobisa-Darko

Time

Investment (Capital expenditure)

Investment (Operational expenditure)

Service level

Upgrade Upgrade

Replace

Implement

Service delivery approach

SUSTAINABLE Water Service Delivery

April 19, 2012 Alexander Obuobisa-Darko

Disaggregated Life Cycle Costs

April 19, 2012 Alexander Obuobisa-Darko

WASHCost study areas

1273 household surveys (1032 in rural and 241 in small towns)

Regions District No. of WPS

STWSS

Ashanti Bosomtwe 28 1Norther

nEast Gonja 31 2

Volta Ketu South 25 1

Total 84 4

April 19, 2012 Alexander Obuobisa-Darko

Sanitation

The cost of rural VIP latrines range (inter-quartile) from US $ 64 –US $ 118 (median US $106). The lump sum capital expenditure for rural VIPs may not be affordable to the poorest in the rural areas.

The operational and minor maintenance expenditure (OpEx) on latrines is between 3-4 US$ per capita per year .

The OpEx on latrines for about five years is greater than the cost of constructing the latrines.

April 19, 2012 Alexander Obuobisa-Darko

Key findings on Water

Rural water supply with boreholes fitted with hand pumps cost US$ 40 to build the facility and an annual recurrent cost of US$ 1 per person to deliver basic water service.

A small towns system with a combination of house connections and standpipes cost US$ 80 to build the facility and an annual

recurrent cost of US$ 6 per person to deliver basic water service.

April 19, 2012 Alexander Obuobisa-Darko

Key findings on Water

Inadequate expenditure on direct support cost (0.5 US $ per person) contributing to significant levels of non functional systems

Low expenditure and Lack of financing mechanism for addressing capital maintenance needs in the sector.

April 19, 2012 Alexander Obuobisa-Darko

LCCA uptake in Ghana

The use of LCCA to benchmark cost for urban and rural water service delivery MWRWH.

LCCA incorporated in the Sector Strategic Development Plan (SSDP)

LCCA being used to determine Realistic Expenditure on direct support cost Level of capital maintenance

April 19, 2012 Alexander Obuobisa-Darko