Private Sector Engagement and Water Supply Systems: An Example from Ethiopia

Strengthen PSNP4 Institutions and Resilience (SPIR) is a Resilience Food Security Activity (RFSA) funded by the United States Agency for International Development (USAID) Bureau for Humanitarian Assistance. SPIR is implemented by World Vision, Care International, and Organization for Rehabilitation and Development in Amhara (ORDA), and has activities in two Ethiopian regions: Amhara and Oromia.

In order to improve water point reliability, SPIR has worked across a number of complementary areas including improving tariff collection, enhancing the participation of low-income households in water management committees, improving private sector capacity to carry out operation and maintenance, and introducing financial innovation such as local insurance products for water points. Outcomes have included improved water point functionality, better-informed community participation, and establishment of viable private sector service providers that work with local government to respond to breakdowns more efficiently.