NGO "ANOTHER WAY" (STICHTING BAKENS VERZET), NETHERLANDS, SUSTAINABLE INTEGRATED SELF-FINANCING DEVELOPMENT PROJECTS AND ADVANCED DEVELOPMENT TECHNOLOGIES

As shown in the description in part 01. Introduction to costs and benefits analyses it is not easy to define the efficiency and effectiveness of the structures set up under integrated development projects, especially the social and financial structures. Improvement of the quality of life of the inhabitants can only be numerically («objectively ») measured for some of the services. Otherwise, it is question of obtaining information on the « subjective feelings » of the populations. These « subjective feelings » can be registered during specific enquiries or polls and through visual observation of the intensity of the activities of the populations. Some results should be visible from statistics, for example statistics on the number of students in the project area and on the rate of disease there. These statistics are rarely available on a short term in poor countries and their quality is often very approximate. It is likely then that direct on-site research be preferred.

Logical framework.

Refer to section 05.02 The logical framework of the Model. Study it carefully. Integrated development projects are quite complex. That means that their logical framework is also rather complex. However, when individual projects are being prepared, the logical framework can be used in its entirety. Only the numerical quantities need to be altered and any structures not included in the example added to it.

In the table of the logical framework each of the main project goals is taken in turn, then the specific goals, then the individual results, then the groups of structures. For each one, columns 3 and 4 refer to objectively verifiable indicators and how they can be measured.

The logical framework is a tool which is designed to ensure a certain degree of standardisation in the presentation of projects, to make it easier for funding institutions the compare one project with another.

One of the features of integrated development projects is that the planned basic structures are never exclusive. They apply as of right to all of the inhabits at each of the three administrative project levels. The physical structures created are visible, there for everyone to see. Information on the operation of the financial structures can be obtained daily in real time at all levels.

For studies and evaluations of the level of acceptance of the structures and the satisfaction of the populations with regard to their operation and management, questions can be put to anyone in the project area, at any level, at any place, at any time. This is because the entire population is integrated in all of the structures set up.

Subject to possible consequences of population concentrations in smaller or larger villages, or in the presence of ethnic concentrations within individual project areas, each tank commission area and each well commission area should represent a typical cross-section of the population in the project area.

Monitoring of results concerning specific services

Some services lend themselves to a monetary analysis which some financing institutions may sometimes consider useful.

Efficiency and effectiveness

Efficiency

Cost per beneficiary (in Euros per person):

What is the average cost under the project for each person gaining access to basic clean drinking water facilities?

The average investment cost in formal money = Euro 75 per person in coverage of the entire package of services offered. It is extremely difficult to separate the net costs of the various structures made available. The structures are completely integrated with each other. An indicative separation for the initial formal money investment for drinking water services = 50% of the total, or about Euro 37,50 per person.

What is the average cost under the project for each person gaining sustainable access to basic hygienic sanitation facilities?

An indicative separation for the initial formal money investment for hygienic sanitation facilities = 15% of the total, or about Euro 11,25 per person.

What is the average cost for each person gaining access to hygiene education promotion structures?

An indicative separation for the initial formal money investment for hygiene education promotion structures = 15% of the total, or about Euro 11,25 per person

2) Costs per installed unit (in Euro per m³):

What is the unitary cost per m³ of water distributed through the project’s systems?

Taking the amount of distributed drinking water at tank commission level (1300m3/jour) the unitary cost is Euro 1447. Excluding the hand-pump back-up facilities at well commission level; excluding the rain-water harvesting structures. Over 20 years, including formal money costs of maintenance, the cost would be about Euro 0,21 par m3, excluding the back-up hand-pump structures; excluding the rain-water harvesting structures.

What is the unitary cost of the eco-sanitation structures installed under the project?

The unitary formal money investment cost of complete eco-sanitation structures, including recycling structures les structures assuming the installation of 10.000 systems is Euro 56.

General administration costs of the project. These are the general and agency costs directly connected with the project execution, expressed as a percentage of the total project costs.

About 2%.

Effectiveness

The projects offer a complete package of social, financial, and productive structures and services for all or the inhabitants in each project area, without exclusion.

The project activities are executed by the inhabitants themselves. The inhabitants own the structures themselves through their elected organs. Their monthly contributions into their own Cooperative Local Development Fund cover all of the formal money management, maintenance, service extension, and long-term capital replacement costs.

The social and financial structures set up give full multi-tiered social security guarantee with regard to coverage of formal money and local money obligation of the elderly, the sick, the poor and the handicapped members of the community.

The structures created offer full employment possibilities in the project area, including activities suitable for the elderly and the handicapped. These aspects are not specifically mentioned in the project documentation, as they do not directly fall under the stated goals of the ( fund or programme under which the application for financing is being made.)

Progress made towards the Millennium Development Goals

How many people will have obtained access to clean drinking water and safe sanitation facilities as a result of the execution of each project?

Clean drinking water services:

At year one after delivery of service structures : 50.000 (being all of the inhabitants in the project area)

In 2015 : 50.000 + demographic growth.

Safe sanitation :

At one year after delivery of service structures: 50.000 (being all of the inhabitants in the project area). Delivery of the system will have commenced towards the end of the 24 months’ project period, when about 1500 systems will have been installed. The other systems will be installed during the following three years..

In 2015 : 50.000 + demographic growth.

Which proportion of the total number of people needing access to basic services will have received them by 2015 as result of the execution of this project?

100%.

Number of people with access to basic services under the project expressed as a percentage of the planned goals under the Millennium Development Goals?

100% of the inhabitants and families in the project area.

Orientation note: types of water supply and sanitation structures

Types of water supply and sanitation systems.	Water points with manual installations.	Small autonomous system based on local communities.	Urban distribution organisations
Technology and service level	Triple hand-pump groups next to 35 bore-holes. The pumps serve as back-up and support for the distributed drinking water systems.	200 Local tanks each serving 40-50 families supplied by high-pressure solar submersible pumps installed in 35 (wells/ boreholes) with an internal diameter of at least 8 inches; each with photovoltaic panels with an installed power of the least 300Wp per pump. 40 local tanks serving the schools and the clinics in the project area each with systems as above described.	Not applicable.
Services	According to the preferences of the institutions in question. Service in any case include washing points	Independent rain-water harvesting systems at individual household level for non-potable household and personal use.	Not applicable.
User types	10.000 households in rural areas and small villages.	10.000 households in rural areas and small villages.	Not applicable.
Management	35 Well-level commissions whose members are elected by the tank commissions.	200 Tank commissions chosen by the households served.	Not applicable.
Use and maintenance requirements.	Ownership and management of the structures at well-commission level. Wells (boreholes),manual pumps, platforms, washing places, guards, (also for solar pumps and PV generators), supervision of access to the well area. Maintenance by the cooperatives set up for the purpose. Formal money maintenance and long-term system replacement costs paid out of Cooperative Local Development Fund.	Ownership and management at tank commission level. Feed-pipe installations, tanks, platforms, supervision, access to tanks. Maintenance by the cooperatives set up for the purpose. Formal money maintenance and long-term system replacement costs paid out of Cooperative Local Development Fund.	Not applicable.
Typical way of cost recovery. Periodic forfeit fees and contributions to cover repairs and replacements.	The families pay a monthly contribution of (Euro 0,60 –0,75) per person into the Cooperative Local Development Fund. About one quarter of this contribution (Euro 69.500 per year) is reserved for the coverage of formal money costs especially for spare parts. Most management costs are covered under the local money systems set up as part of project execution.	Management of the monthly contributions is in the hands of the 200 tank commissions. The structures set up offer several layers of social security support to the elderly, the sick, the poor, and the handicapped who either temporarily or permanently have problems meeting their formal money or local money contributions.	Not applicable.

1. Opinion.

The main university in your country has asked you to make an independent evaluation of the results of an integrated development project under the model. On two pages, describe the method you would follow to make the evaluation. Begin with an introduction. Then describe in turn for each of the three levels of project structures which data is available and how you would collect it. Give an indication of the time you think you would need to carry out your evaluation. End with your conclusion.

2. Opinion.

On one page use the evaluation description from exercise 1 and compare it with the evaluation of a traditional development project. Take method, complexity, time needed, and cost of the evaluations into account.

3. Opinion.

Look at the fifth column «Which external factors have to be taken into account to attain the desired results?” in the section “expected results” of the logical framework and make a critical analysis of it. On one page propose changes to adapt the conditions to the situation in your project area.

4. Research.

The analysis of drinking water costs shown above is very summary. The cost comes to Euro 1.500 per m3 of daily installed capacity, or Euro 0,0002 per litre over a period of 20 years, including maintenance and capital renewal costs. On one page make a comparison with the costs of installations known to your for the supply of drinking water in your chosen area.

◄ ►

◄ Eighth block : Section 3 : Costs and benefits analysis.

◄ Eighth block : Economic aspects.

◄ Main index for the Diploma in Integrated Development (Dip. Int. Dev.)

◄ List of key words.

◄ List of references.

◄ Course chart.

◄ Technical aspects.

◄ Courses available.

◄ Homepage Bakens Verzet

"Money is not the key that opens the gates of the market but the bolt that bars them."

Gesell, Silvio, The Natural Economic Order, revised English edition, Peter Owen, London 1958, page 228.

“Poverty is created scarcity”

Wahu Kaara, point 8 of the Global Call to Action Against Poverty, 58^th annual NGO Conference, United Nations, New York 7^th September 2005.

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