The document discusses sector-wide approaches for funding rural water supply in Benin. It notes that decentralization has been initiated but the transfer of financial resources to intermediate and local levels has been slow. This has hindered effective coordination of financial flows. The sector aims to equitably supply water to 67% of the rural population by 2015. Objective-oriented budgeting is used but not all actors apply it. Coordination structures are needed at intermediate and municipal levels to aggregate information, document experiences, identify capacity needs, regulate quality, and involve civil society to ensure good governance. Tools like financial reporting, participatory planning, and involvement of water user groups can help enable effective coordination across levels.

1. Sector wide approach for the funding of rural water supply Coordination of financial flows at the intermediate level, case study from Benin Michiel Smet PROTOS-Benin

2. Presentation overview Decentralisation has been initiated in 1999, and implemented in 2002 Transfer of human and financial resources have followed slowly Due to slow application of roles and responsibilities: intermediate level administration has not gained authority to coordinate financial flows municipalities have not been able to gain experience in implementation and planning Transfer of financial resources is a prerequisite for effective coordination Simple financial reporting tools need to be developed and applied by all sector actors, including non-state actors Civil society needs to be implicated in the coordination to assure good governance

3. Sector wide approach:towards attaining the MDG Goal Equitable supply of water for at least 67% of the rural population by 2015 Objectives Increased access to water-points (76%) Multiple use of water and IWRM (4%) Reinforcement of water sector actors (3%) Reinforcement of water sector other than drinking water (12%) Improvement of national and provincial government services (4%) (2010 budget allocation)

4. Sector wide approach:Objective oriented budgeting Objective oriented budgeting (2002) based on the 5 sector objectives State and international development cooperation funds apply objective oriented budgeting Non-state actors do not apply objective oriented budgeting Little information is available on financial flows of non-state actors within the sector

5. Decentralisation of rural water supply envisaged roles and responsibilities

6. National Intermediate Current institutional situation Policy, normative and coordination Min. energy and water Min. decentralisation Service provider (Municipalities) Procurement and implementation Provincial water direct. Municipality Community mobilisation Regulation & assistance

7. National Intermediate Service provider (Municipalities) Current financial flows National budget International aid 66% Municipal development fund Programmes Sector budget Provincial sector budget 28% Municipal budget Non-state actors 6% Projects

8. Sector budget 2005-2010:distribution

9. Sector budget 2010:sources and distribution

10. National Intermediate Envisaged decentralised situation Policy and normative role Min. energy and water Min. decentralisation Service provider (Municipalities) Regulation and coordination Provincial water direct. Municipality Implementation, procurement, service delivery Regulation & assistance

11. Coordination structures

12. Coordination on intermediate level Aggregation of information on intermediate level to monitor progress towards attaining MDGs Documentation of experiences on municipal level in order to learn and inform national level and vice versa Identification of municipal capacity shortcomings to reinforce institutional and technical capacities Regulation and quality assurance Implication of civil society in order to assure good governance and equity of service delivery

13. Coordination on municipal level Participatory planning of development interventions Coordination of sector actors and donors Reporting of financial flows Exchange of experiences among municipal actors and projects Portal for water users federations to identify service delivery failures or shortcomings

14. Tools for an effective coordination Strict application of roles proposed by the decentralisation process✖ Application of simple financial reporting tools using the objective oriented budgeting system by all sector actors✖ Participatory municipal sector planning to ensure coherent and transparent planning of implementation✔ Implication of water users federations to ensure equity and good governance✖

15. Thank you