As Managing Director of National Water and Sewerage Corporation, Dr. Eng. Silver Mugisha doesn’t see his mission as turning around the state utility so much as pumping more safe water for the people of Uganda.
Eng. Mugisha who has recently been elected the first African Vice president of the board of the International Water Association and is armed with a PhD in engineering and economics. He also has over 20 years’ experience in water utility operations, international policy, research and advisory services.
Eng. Mugisha believes in NWSC championing and implementing transformational changes in the water sector in Uganda. Systematic upgrade of infrastructure, laying of new water supply mains, rapid geographical expansion, prudent financial management and a strong focus on customer delight.
As at January 2018, NWSC, one of the well performing water utilities in Africa operated in 225 towns providing services to a total population of about 8 million. This was after the transfer of management of over 180 towns since July 2013 from Ministry of Water & Environment to NWSC.
In 2013 when Mugisha formerly took over its leadership, a new Board of Directors, and a dynamic management team, NWSC changed its strategic focus in keeping with changing Government Policy and launched the first ever Five Year Strategic Direction (SD) 2013 – 2018. In June 2017, NWSC launched the 2nd Five Year Strategic Direction 2016-2021, aligning the Corporation’s strategic focus to the new Government priorities geared towards achieving the lower middle income status by 2020, while taking care of the Sustainable Development Goals (SDG 6), NDPII Goals and Vision 2020 aspirations.
The NWSC customers base has dramatically gone up from 470, 000 in June 2016 to 550,000 connections. The average new connections per annum have grown from 20,000 connections in 2013 to 45,000 connections. The annual target for FY 2017/18 is 50,500 connections with new Water mains per annum have increased from less than 100 kms in 2013 to over 1000 kms per annum. The target for the FY 2017/2018 is 2,547 kms.
Dr. Mugisha has also proudly pushed their pro-poor, a reach out to the underprivileged through installation of public taps with subsidized tariffs. Currently, the Corporation has installed over 1000 public stand posts compared to less than 100 PSP per annum before 2014. The target for the FY 2017/18 is to install 6,200 new public taps across the country.
The annual sewer extensions have grown from a paltry of less than 1 kms per annum to over 20 kms Per annum. In addition, deliberate interventions are being under taken especially in Kampala to increase sewer coverage under the protection of Lake Victoria – Kampala Sanitation Project.
The project being financed by NWSC together with the Government, aims at providing safe water to 100% of the population, targeting all villages under NWSC jurisdiction at least 12,000 villages.
Turning around the NWSC finances
On the financial axis, the Corporation has remained diligent in ensuring financial sustainability, notwithstanding the accelerated geographical coverage. This discounts the myth that increased Geographical expansion will compromises operational efficiency.
The NWSC annual income has increased from Shs 170 billion in 2013 to Shs 321 billion per annum. The target for the FY 2017/18 is to achieve a turnover of Shs 370 billion (VAT Exclusive) and a profit before depreciation of Shs 81 billion.
A look into their books shows that NWSC’s average billings per month have grown by over 110%, from Shs 15.3 billion per month in 2013 to the current billing of Shs 32.5 billion per month while Collections on the other hand have grown by over 190%, from Shs 11.5 billion per month in 2013 to the current collections of Shs 33.5 billion per month.
Ploughing profits into bigger projects
To ensure sustainable delivery of services and meet the exponential growth in demand emanating from accelerated geographical expansion, the Corporation has intensified its Capital development programme with a plethora of projects being implemented in the various NWSC operational areas.
Among the projects that are in advanced stages of implementation is the Kampala Sanitation Project (Nakivubo waste water treatment plant, Nakivubo and Kinawataka sewer project, Kinawataka lifting station and pumping mains.
NWSC is also investing money in the improvement of water and sewerage services in the towns of Arua, Gulu and Bushenyi.
The construction of a Water Treatment Plant in East of Kampala (Katosi) and the accompanying transmission main to Kampala is also on course.
The Katosi plant will have a capacity of 160 million litres per day. Once complete the additional 160 million litres plus the current 240 million litre per day from Ggaba Water Treatment will give Kampala 400 million litres per day. This will meet Kampala Water needs up to 2040.
Eng. Mugisha says as they embark on their second corporate plan running from 2018-2021, high on the agenda is bringing on board innovations tailored towards aligning staff competences to the Corporation’s business.
“We want managers who understand the technical, financial and commercial aspects of the water business. We have been concentrating on vocational education for technical level staff,” he said, explaining that with the new institute, they want to strengthen their curriculum which they have been offering at the International Resource Center in Bugolobi by introducing online courses.
He added that other innovations they intend to introduce include; assembling their prepaid water meters by developing the software which can mounted on the meters so as to cut costs of importing the meters and paying for the software.
They also intend to start producing charcoal from the sewerage sludge which is cleaner and environmental friendly rather than depending on wood fuel.
He added that they have already secured partners who are ready to work with them to produce the charcoal.
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