NAMWATER: BUILDING RELATIONS WITH CUSTOMERS

Dr. Vaino P. Shivute CEO – Namibia Water Corporation 21 July 2011

WATER SUPPLY IN NAMIBIA

Water Supply and Sanitation Access to potable water:

 Urban  Rural 98% 94%

Access to sanitation:

 National 34%

WATER SUPPLY IN NAMIBIA Water Resources

    

Border rivers Dams on ephemeral rivers Groundwater Seawater desalination Water recycling

COMPOSITION OF POTABLE WATER SUPPLY

WATER SERVICES : SUPPLY CHAIN

Local Authority End Users Abstraction Ministries Purification Bulk Distribution Commercial Enterprises Small customers

WATER SUPPLY IN NAMIBIA

Evaporation



Annual gross evaporation ranges from 2 600 mm in the north east to 3 700 mm in the central southern area.



Evaporation is highest in areas with ..

the lowest rainfall.



Evaporation is highest for the months October and December.



Dams in Namibia can lose between ..

20% and 65% of their water through ..

evaporation within one season.

WATER SUPPLY IN NAMIBIA

Hydrological Cycle in Namibia

ESTABLISHMENT OF NAMWATER

    Act of Parliament, Act 12 of 1997.

Registered as company on 9 Dec 1997.

Supply water in bulk to bulk customers.

Government is the SOLE shareholder, represented by a Board of Directors.

NAMWATER BOARD OF DIRECTORS

10 permanent & 6 alternate Board Members Mr. A. Nehemia (Chairperson)

MANAGEMENT STRUCTUTRE

Dr Vaino Shivute CEO Dr Kuiri Tjipangandjara General Manager: Engineering &Scientific Services Mr. Welbert Ockhuizen General Manager Corporate Services Mr. Luther Rukira General Manager Water Supply Mr. Cornwell Chadya General Manager Finance

OUR MISSION

We shall provide quality water and related services to the satisfaction of all stakeholders, taking cognizance of the environment, scarcity of and dependency of all on water.

OUR VISION

We shall be a company of excellence in the water industry.

OUR VALUES

 

In pursuing our vision we will always value the following principles:

  Growth, Integrity, Accountability, Human Dignity,  Service & Quality,  Value Adding Orientation.

OBJECTIVES OF THE CORPORATION I

PRIMARY BUSINESS:

 Supply bulk water to customers in:     Sufficient quantities, Quality suitable for customers’ purpose, Cost-effective, Environmentally sound & sustainable means.

OBJECTIVES OF THE CORPORATION II

SECONDARY BUSINESS:

   Render water-related services, Supply facilities, Grant rights to customers upon their request.

WATER SUPPLY IN NAMIBIA

  

Major Bulk Water Schemes

Central North Bulk Water Scheme Central Area of Namibia Bulk Water Scheme Central Namib Area Bulk Water Scheme

WATER SUPPLY IN NAMIBIA

Central North Bulk Water Scheme Omusati O s h a n a Central North Water Supply Area Ohangwena Oshikoto

WATER SUPPLY IN NAMIBIA

Central North Bulk Water Scheme (cont’d) Angola N Namibia

WATER SUPPLY IN NAMIBIA

Central Area Bulk Water Scheme ANGOLA Ondangwa

Eto sha Pan

Otavi

Okavango River

Rundu

F ut ur 25 e 0 O ka km va lo ng ng o Li nk

Tsumeb

Ts um eb

Grootfontein

Ka rst

Otjituuo

G ob le nz

Outjo

P la tv el d

Otjiwarongo Okakarara Kalkfeld

Omatako Dam

Karibib Omaruru Okahandja

Von Bach Dam Otjivero Dam Swakoppoort Dam Friedenau Dam

WINDHOEK NAMIBIA Gobabis

 Second largest water scheme in Namibia  Supplies about 25% of Namibia’s population  Sources: 3 Dams – 20 Mm 3 /a   Groundwater – 11.8-18.6 Mm 3 /a  1 Reclamation plant – 5.25 Mm 3 /a

0 50 km 100

Oanob Dam

Rehoboth

Existing Pipeline Proposed Pipeline Existing Canal Dam Ephemeral Rivers Aquifer

Angola Namibia Windhoek

WATER SUPPLY IN NAMIBIA

Central Namib Area Bulk Water Scheme

Rössing Mine

Rooikop Omdel Dam Omaruru delta

Omaruru River Hentiesbay

Omdel 4500 Desalination Plant

Arandis Rössing

60 000

Swakopmund Rössing Mine Town Walvis Bay

Reservoir, m 3 Abstraction Area Existing Pipeline Proposed Pipeline 4500 Mile 7 10 000 Rooikop 1 000 Quarry 15 000

Langer Heinrich Mine

N High Dune 2000 Schwarzekuppe 15 000 Dorop South & Rooibank B Rooibank A Rooibank A&B 2 260 & 2 000 Collector 1 4 500 Collector 2 9 000 Swartbank

Kuiseb   Third largest water scheme in Namibia Supplies about 6% of Namibia’s .

population Sources:  Groundwater – 12 million m 3 /a  Desalination plant – 20-25 million m 3 /a (by 2014)

COST FACTOR-COST RECOVERY I

   Government provided a subsidy to NamWater during it’s the first three years of operations.

The Act requires that water be supplied on a cost recovery basis.

Service of supplying water is a very COSTLY EXERCISE.

COST FACTOR-INFRASTRUCTURE II

   Infrastructure such as dams, water pipes, reservoirs, purification plants are expensive to build, and to maintain.

Money spent on water schemes & related projects should be recovered fully.

Return on those investments should allow the company to invest further in water infrastructure.

COST FACTOR-CHEMICALS & TARIFFS

   Millions of dollars is spent on the treatment & purification of water.

Cost of water is built into tariffs that should be adjusted each year so that costs are recovered fully.

The tariff includes depreciation, operating costs plus a return on investments.

AFFORDABILITY OF WATER

   Recognize that there are people who are not in position to pay for water.

Cabinet decided to task relevant ministries to look at subsidy scheme for pool in urban and rural areas.

Social responsibility to look after poor is mainly the responsibility of government.

CHALLENGES

      Financial sustainability.

Ageing infrastructure.

Limited product portfolio.

Declining/ stagnant water demand.

Managing debtors.

Alternative source of bulk water.

RELATIONSHIP WITH CUSTOMERS

       Want to maintain good relationship.

Want to give excellent service.

Despite floods no water interruption.

Excellent quality of water.

Expect payment in full & on time.

Consult with NW if there are problems.

Realise that Government has purpose when it does not grant tariffs to NW.

RELATIONSHIP WITH CUSTOMERS

contd…       The purpose is for end users to benefit from low tariffs.

NW not granted tariffs for 3 years.

But, some Town Councils increased tariffs.

These are much higher than NW tariffs.

Blame is put on NamWater.

This is not good for the maintenance of relationship.

CONCLUSION-I

   NamWater is the major supplier of water in the country. It is our intention to improve our service delivery.

The service of delivering water is very costly. Maintenance, new infrastructure, purifying, pumping etc) Water is essential for development. It is our intention to supply water in the most effective and cost efficient way to our customers.

CONCLUSION-II

  Our aim is to ensure a reliable and sustainable water supply in Namibia. Join us on this exciting yet challenging path.

Want co-operation with our customers to realise our mission.

Thank you!