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Past Issue: October 2005

New GPOBA Projects

GPOBA has awarded funding for technical assistance for several projects this past quarter. These projects also involve requests for GPOBA subsidies ranging from US$0.8 million to US$5 million.

• Microfinance for Small Water Schemes in Kenya

  The government of Kenya is committed to decentralizing the provision of water services to broaden access to safe drinking water. The government is also open to the use of public-private partnerships, although it has not yet made significant use of formal contractual arrangements with the private sector. Recently, a pilot project has been proposed to develop and test an output-based aid (OBA) approach to water supply by community-based providers in Nairobi, recognizing the comparatively strong track record of community-based organizations as providers of last resort. Under the proposed OBA pilot, the community-based providers would manage water supply schemes and bear performance risks, and subsidies would be provided to up to 25 communities selected in a first phase. GPOBA has approved technical assistance of US$260,000 to support the pilot. For more information, contact Dirk Sommer

   

• Rural Access to Telecommunications in Cambodia

  In Cambodia most telecommunications services are concentrated in the major cities and towns and along main highway routes, leaving large rural areas with little or no access to modern communications. In 2002, with assistance from the World Bank, the Cambodia Ministry of Posts and Telecommunications undertook a study to devise options for developing rural communications. A pilot OBA-based subsidy tender to provide cellular coverage in five northeastern provinces will be developed in 4 phases, and GPOBA has approved US$66,000 for technical assistance to cover phase 1 of the design. Phase 1 involves a complete assessment of economic rationale for and overall design of the proposed project in terms of demand assessments, selection of areas, subsidy estimates, and main parameters of the OBA program, including the performance monitoring strategy. For more information, contact Jeff Delmon

   

• Connecting Poor Households to Natural Gas in Egypt

  The energy sector in Egypt has recently seen a policy shift whereby the Government no longer subsidizes the full connection fee for customers connecting to the natural gas network, but only a portion of it. But an ongoing study suggests that switching to natural gas (from the most likely alternative of liquefied petroleum gas, or LPG) could save customers money in the medium and long term, eliminate burdens (mainly for women and children) such as carrying large LPG canisters, and prevent related hazards. Moreover, given the heavy subsidies for LPG imports, it could lead to large savings for the government. GPOBA has approved an initial technical assistance of US$74,500 to help develop sound and innovative solutions for financing gas connections for the poor. The aim is to devise a sustainable OBA scheme that connects the poor to the natural gas network while harnessing the savings generated by customers switching from LPG to natural gas. For more information, contact Yogita Mumssen

   

• Expansion of Water Services in Low-Income Areas of Jakarta

  Despite the existence since 1995 of two concessions to provide water services in Jakarta run by consortia including large international water companies and local sponsors, the water supply network in Jakarta is still growing far too slowly, leaving large areas of the city without access. A proposed pilot project would test an output-based approach in low-income areas of Jakarta, to extend full coverage through metered household connections. GPOBA funding will provide technical assistance for the design of a detailed OBA scheme. For more information, contact Dirk Sommer

  Read more on these and other projects here.

• Asia-Pacific ICT Development, Bangkok, July 5 to 7, 2005

  This forum, co-sponsored by GPOBA, created an opportunity to share global experiences with OBA approaches. Information on best practices in using OBA-type schemes to leverage private investments for developing rural communications was discussed. Participants included decision-makers, policymakers, regulatory agencies, and private sector representatives from the Asia-Pacific region (South Asia, East Asia and Pacific, and Iran). 

   

• Accra INPUT Proinvest-EU Conference, November 30 to December 2, 2005

  The upcoming Investment Conference in Public Utilities and Transport (INPUT) is the first stage of a program to develop and support the water, energy, and transport sectors in West and Central Africa. INPUT 2005 will mobilize the major actors in these sectors in West and Central Africa as well as in Europe, bringing them together at a regional investment conference in Accra, Ghana. GPOBA program manager, Patricia Veevers-Carter, will make a plenary presentation and hold one-on-one business meetings with interested parties. For more information, contact Yogita Mumssen at ymumssen@worldbank.org.
  Read more here.

• The GPOBA Web site now has a new look. Please visit www.GPOBA.org and let us know what you think.

   

• GPOBA has new application forms, tailored to the type of funding required.

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