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NWASCO suspends Luapula, Western Water Companies’ licenses

• NWASCO has heightened surveillance on adherence to license conditions.
• The regulator has suspended operating licences for Luapula and Western Water Supply and Sanitation Companies.
• Minister of Water Development has since appointed the Statutory Managers for the respective Commercial Utilities.

National Water Supply and Sanitation Council (NWASCO) has suspended the operating licences for Luapula and Western Water Supply and Sanitation Companies for non-compliance to license conditions
NWASCO Director Kelvin Chitumbo tells Money FM News that the license conditions include failure to provide water supply and sanitation services according to the Service Level Guarantees and failure to comply with directives.
Mr. Chitumbo explains that NWASCO has heightened surveillance on adherence to license conditions in line with its mandate to regulate the provision of water supply and sanitation services that ensure safe, adequate, efficient and sustainable service delivery for all.
He revealed that the regulator has since completed the annual In-depth Inspections for 9 out of the 11 Commercial Utilities for 2022 and has urged all the 11 firms to strive towards attaining Sustainable Development Goal Number 6, Vision 2030 for Zambia and the 8th National Development Plan which focus on increasing access to clean and safe drinking water and adequate sanitation for all.
“We have suspended the operating licences for the Luapula and Western Water Supply and Sanitation Companies pursuant to Section 21(4) of the Water Supply and Sanitation Act, No. 28 of 1997 (as amended by Act No. 10 of 2005) and the Minister of Water Development and Sanitation Mike Mposha, has since appointed the Statutory Managers for the respective Commercial Utilities (CUs),” Mr. Chitambo said.
Mr. Chitumbo stated that the Statutory Managers have been working tirelessly to resolve the issues that led to the suspension of the licences for the two commercial utilities, adding that NWASCO will continue to monitor progress being made by the firms.

He said the Statutory Managers are expected to assist the Commercial Utilities to improve performance through enhancing governance, improving financial management and operational efficiency and institute performance reporting.

“NWASCO undertook steps to redeem the situation ranging from placing the utilities under Special Regulatory Supervision, Regulation by Incentive (RBI), Capacity-building, directives based on findings from scheduled inspections, issuance of a notice of intention to suspend the operating licences and finally the suspension of the operating licences.”

“We are glad to note that the Minister of Water Development and Sanitation has since appointed the boards of directors for these utilities, which is one of the prerequisites for lifting the suspension of the licences,” he added.

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