Select Committee on International Development Written Evidence


Memorandum submitted by DG Development, European Commission

THE ETHIOPIAN COUNTRY DIALOGUE—LAUNCHED THROUGH THE EU WATER INITIATIVE

  The information provided in the submission is in response to a request from the Committee Chair, to supplement the evidence of Mr A Garc-«a Frag-«o, Head of Unit B1 (Economic Development: Infrastructure & Communication Networks, Trade & Regional Integration), DG Development, European Commission.

BACKGROUND

  Ethiopia has set itself ambitious targets of achieving 100% national coverage for water supply and sanitation by 2012. These national targets surpass the water and sanitation MDGs: to halve the proportion of people without access to safe drinking water and basic sanitation by 2015. Currently, more than half of Ethiopia's 70 million people lack access to water. 50 million people have no access to basic sanitation services. For Ethiopia to achieve the water and sanitation MDGs an additional 38 million Ethiopians will require access to water and an additional 45 million people will require access to sanitation services by 2015.

  Even though Ethiopia has achieved considerable progress towards these goals, some key challenges remain. These include:

    —  limited capacity to implement policy at the local level;

    —  limited stakeholder participation—especially by local private sector and consumers—in the design and construction of projects; and

    —  the need for greater political commitment and public goodwill.

DONOR HARMONISATION

  The OECD DAC Survey & Progress on Harmonisation & Alignment (2005) notes in the Chapter on Ethiopia that:

    "The Water Sector Development Programme (WSDP) was formulated in 2002 and systems around it, such as formalised dialogue mechanisms and performance monitoring systems are currently under development. A government-donor water sector dialogue has been established and is attempting to reach agreement on sector harmonisation issues. At the present time, negligible donor support is integrated in the sector Medium Term Expenditure Plan (MTEP) and, compared with other sectors, donor co-ordination and harmonisation issues are in their infancy."

EU WATER INITIATIVE COUNTRY DIALOGUE

  Ethiopia was selected by the African Ministerial Council on Water (AMCOW) to become a pilot country for Water Supply and Sanitation Country Dialogue component of the EUWI. The objective of the Country Dialogue is to contribute to the achievement of Water and Sanitation related MDGs through improved coordination and strategic planning built on the consensus of stakeholders (Government, Donors, Civil Society and Private Sector).

  The Ethiopia Country Dialogue process was launched in November 2005 at the Italian Culture Institute in Addis Ababa. The Country Dialogue process is planned to work through a number of phases leading to Annual or Bi- Annual joint review of progress towards the MDGs.

  An EUWI Task Force was established at the beginning of the Country Dialogue, co-chaired by the Ethiopian Ministry of Water Resources and the Italian Cooperation Addis Ababa. It comprises multi-stakeholder representatives, including the four sector Ministries (Water Resource, Health, Education and Agriculture & Rural Development), the main donors of the WSS sector in Ethiopia and Civil Society Organisations. UK (DFID) has provided essential technical assistance to the Ethiopia Country Dialogue process and has seconded an expert as support to the Ethiopian Ministry of Water Resources.

  The Task Force agreed to focus on three major areas (Policy and Regulation; Planning, Financing, Information & M&E; and Implementation & Coordination) that would complement and add value to existing Government policies and strategies. Three Working Groups were established within the Task Force to review these three areas. A draft Sector Review Report and a draft Financing Strategy (facilitated by the EUWI Finance Working Group) for Water Supply, Sanitation and Hygiene were prepared for debate with all stakeholders.

  The Ethiopian Ministry of Water Resources and the Italian Embassy in Addis Ababa organised the first water sector multistakeholder forum from 11 to 13 October to bring together all sector stakeholders to agree and commit to key sector issues, goals and actions. Over 200 participants, from national and regional governments, UN agencies, NGOs, the private sector, academia, and the donor community took part. Participants went on a field visit to water and sanitation projects in Oromia region, to substantiate evidence at the community level and to bring the views and concerns of water users to the discussion.

  The outcome was a commitment by all parties to action on nine key Undertakings in the year ahead, as follows:

    —  Popularise and operationalise the Universal Access Plan.

    —  Disseminate and communicate Water, Sanitation and Hygiene sector policies.

    —  Implement policy and regulatory measures to increase private sector participation.

    —  Establish and improve regulations for community management in the sector.

    —  Enhance and harmonise financing mechanisms.

    —  Implement M&E system for water, sanitation and hygiene.

    —  Plan, budget and scale up existing Human Resource Development activities.

    —  Implement and monitor the WASH MOU.

    —  Establish Supply Chain outlets.

  Details of the EUWI Ethiopia Country Dialogue and an electronic library of relevant sector papers may be found at: http://www.itacaddis.org/italy/index.cfm?fuseaction=basic_pages.basic_page&page_name=121

  The strength of the Country Dialogue is the strong leadership provided by the Ethiopian Government and the support that is being made available through the Donor Advisory Group, which has been galvanised by the process, addressing many of the issues behind the comments made in the OECD Report (above) on progress with donor harmonisation in the water sector. Progress will be monitored at the next Multi Stakeholder Forum in 2007.

December 2006

EUROPEAN COMMISSION ACTIVITIES IN ETHIOPIA

  The EC-response to the development and poverty reduction challenges in Ethiopia—notably for the identification of the focal sectors of support—is designed to assist in removing structural constraints in sectors that are considered key for the future development of the country. The response reflects in particular the following elements and criteria:

    (i)  the development priorities of the government, as laid down in the the PRSP;

    (ii)  the financial requirements and implementation capacities in a particular sector;

    (iii)  the existence of a sector development policy;

    (iv)  the historic development relationship between the EC and Ethiopia and its strengths and weaknesses;

    (v)  complementarity with other donors; and

    (vi)  the comparative advantages of the EC as a donor.

  The EC provided support to strengthening Water Supply and Sanitation in Addis Ababa under the 7th and 8th European Development Funds. Under the 9th EDF (2002-07), three focal sectors for EC support to Ethiopia were identified:

    (i)  transport;

    (ii)  macro-economic support and capacity building for economic reform; and

    (iii)  food security.

  The Country Strategy Paper and Programming for the 10 EDF is currently being finalised.

  Ethiopia has also benefited from the ACP-EU Water Facility First Call for Proposals. A total of seven projects were approved for EC co-funding of nearly €35 million, as follows:

ACP-EU Water Facility—First Call for Proposals Projects in Ethiopia


Name of Applicant
Title
Requested EU
Contribution

Ministry of Water ResourcesSmall town Water & Sanitation Programme
€16,500,000
United Nations Children's FundAccelerating Progress Towards the MDGs on Water and Sanitation in Ethiopia
€11,594,747
Comunita Volontari per il Mondo Rural Water Supply and Sanitation project in Oromia and Southern Regions—Ethiopia
€300,000
Lay Volunteer International Association Joining effort in increasing access to safe, affordable and sustainable water and sanitation services in five Wederas (East Shewa, Arsi and Bale Zones)
€745,000
HORIZONT3000Integrated Community Development Program—Water Extension Project (WEP)
€1,358,797
Christian AidKedida Gamela water development, sanitation , hygiene promotion and environment project
€1,327,800
Deutsche WelthungerhilfeMDGs Water and Sanitation Program in Rural Amhara
€2,887,500

December 2006







 
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