Financial planning and modelling for regional water supply service providers

Manual to help understand and use the 'Regional Water Supply Services Model' (RWSSM). RWSSM is an investment planning model developed by Palmer Development Group for the Water Research Commission and Development Bank of Southern Africa. The model was designed as a financial planning tool with a central objective of providing financial inputs into business planning. Its key focus is on financial viability and sustainability of regional water supply service providers. Decisions concerning the service level provided to consumers are linked to the cost of providing the service. With this information tariff trends can be calculated which can be used to assess whether the type of services offered is affordable. It also enables assessment of the implications of expanding systems to accommodate new consumers. The manual includes two case studies at two water boards providing bulk water to areas with substantially different retail customers. They provide useful contrasts of the conditions under which regional water services providers function. Key factors influencing the viability of regional water services providers are explained. The model has been developed and tested by the researchers but has not been used interactively with the staff of regional water services providers and it has not been applied in a real planning situation.