USAID/Caucasus engaged SEGURA to assist the government of Georgia (GOG) in addressing water and sanitation sector performance issues and creating conditions that would eventually attract private sector participation. SEGURA provided technical assistance to the Water Reform Commission (WRC), the organization responsible for the development and elaboration of water supply and sanitation sector policy, to develop and prepare an overall plan for water utility reform. 

The assistance was provided in three stages, which translated into three primary deliverables:

First Report: Assessment of Sector Status, Issues, and Reform Options 

SEGURA assessed the existing conditions of the sector, including the most important institutional, organizational, legal, regulatory, and operational aspects. SEGURA also analyzed the most critical challenges facing the sector, and the main relevant options for reform, including options that have been successful in other countries. 

Second Report: Development of a Preferred Option 

This report provided further analysis of the option selected by the GOG, including elements such as:

  • Legal requirements, 

  • Financial reengineering (debt consolidation and debt management, cash flow projections, opening balance sheets, etc.) 

  • Investment needs (estimate of resources needed over the next five years for capital investment to rehabilitate pipe networks and pumping stations, how to close the “financing gap”)

  • Potential private sector participation

  • Regulatory implications and assessment of the regulatory entity (GNEWRC) 

SEGURA then helped outline a plan and timeframe of key implementation steps. 

Third Report: Georgia Water Utility Reform Plan & Implementation Strategy

SEGURA prepared the first draft of the Action Plan for the Water Utility Sector Reform Program (WUSRP), including specific descriptions of the type of assistance needed from international donors to implement the plan, outlining each element of reform and institutional strengthening needed. As a direct implementation of the recommendations made by the team, by decree #192 of April 21, 2009, the "Water Supply Regional Development Agency" was created as a legal entity of public law under the Ministry of Regional Development and Infrastructure. Subsequently, the European Bank for Reconstruction & Development (EBRD) decided to assist the GOG in the implementation of the WUSRP plan.

Client:
USAID/Caucasus

Years:
2008-2009

Technical Areas:
Infrastructure & Environment

Region:
Europe & Eurasia

Location:
Georgia