Presentation to UN-HABITAT CPR The Work of Focus Area 4 MTSIP

1. Presentation to UN-HABITAT CPRThe Work of Focus Area 4 MTSIP Graham AlabasterChief Section I Water Sanitation & Infrastructure BranchUN-HABITATNairobi, 13 January 2010

2. HS Financing Division Two main branches: • Water, Sanitation and Infrastructure Branch - lead for MTSIP Focus Area 4 on Infrastructure • Urban Finance Branch – Policy, SUF, and ERSO - lead for MTSIP Focus Area 5 on Finance Systems

3. Historical Perspective • In 1990 water sanitation and infrastructure activities comprise 4-5 staff members as a “Building Infrastructure Technology Section” Today a Branch of over 50 staff operational in over 30 countries • Water and Sanitation Trust Fund (WSTF) founded in 2002 • Current turnover US$ 20 million / annum but leveraging much more • Current strategy 2008 – 2012 aligned with MTSIP • Support from the Governments of Spain, Norway, Canada, Sweden, Netherlands, Italy

4. Expanded access to environmentally sound urban services with a special focus on the un- and underserved populations in targeted countries • EA 1: Increased Efficiency in Urban Service Delivery • EA 2: Enhanced Environmental Sustainability in Urban Infrastructure and Services • EA 3: An Enabling Policy and Institutional Environment Promotes Expanded Access to Environmentally Sound Urban Services

5. Focus on Core Competence: What is our added value? Promoting smart partnerships Pre-investment capacity-building we have a unique relationship with Dev. Banks & other partners Model setting Initiatives Focusing on urban centres of all sizes Promoting regional and inter-regional cooperation Truly regional programmes taking the opportunity of regional funding windows Monitoring the sector Going to a greater level of detail for targeted delivery Integrating WATSAN and Human Settlements Planning and Management Leading to specific tools not generic approaches Advocacy and Communication Work at all levels in the sector, crossing traditional sectoral boundaries

6. Balancing the normative and operational activities of the programme • Regional operational programmes identify “normative” work • Normative activities build credibility and lead to new operational programmes • More recently: strategic model setting initiatives offer a combination principally investment focused with some supportive capacity-building

7. Current Delivery Mechanisms Operational Activities • Regional Programmes • Water for African Cities programme • Water for Asian Cities programme • Water for Latin American and Caribbean Cities • Strategic Initiatives at Regional Level • Lake Victoria Water & Sanitation Initiative • Greater Mekong Water and Sanitation Initiative • Energy & Transportation

8. What is the difference between our regional programmes & strategic initiatives? • Regional programmes follow the models of other lending institutions and donors providing pre-investment capacity-building (mainly software but some hardware through piloting) • Strategic model setting initiatives develop new delivery approaches, covering both hardware and software, which are designed to be supported by other institutions and donors • BOTH have the same target group

9. Current Delivery Mechanisms Normative Activities • Global Policy Assessments: State of Water & Sanitation • Pro-poor Governance toolkits & rights-based approach to water and Sanitation • Integrated Urban Water Resource Management & environmental Assessments • Monitoring Progress with Achievement of MDG • Global Water Operator Partnerships • GEF Transport & Energy

10. WSTF Forward Looking Strategy 2008-2012 • Delivering sustainable services for the poor • Ensuring synergy between the built and natural environment • Monitoring the MDGs and beyond • Integrating Infrastructure and Housing

11. Lessons learned (1) • Different models needed for the continuum of urban areas particularly with financing models : grant/loan balance, critical to sustainability • Support for normative work can be achieved on the back of operational projects: Lake Victoria (local level governance, monitoring) • Leveraging must go beyond cosmetic collaboration: Afdb/AsDB reduced project preparation, inclusion of sustainable urbanization concepts in sector projects. The project may be sectoral but the “Board” is cross disclipline. Credibility takes time to build!

12. Lessons learned (2) • Need for a robust communication strategy (including a publications policy) to project the results of our work more effectively, especially to other partners/supporters on the world stage.Our normative work focuses on “the bigger picture”: IYS, Water Operators Partnerships, JMP • Build on our core competence of linking to sustainable urbanization, housing & infrastructure (40%)

13. Lessons learned (3) • Going to scale: brokering investment partners, economic scale-up, business plans and models • Basic infrastructure provision can be used as an entry point for all cross-cutting themes to secure more support: • WSIB/MSB: google support for monitoring • WSIB/SUF: slum upgrading • Energy/transport in utilities/climate change/water scarcity

14. Challenges & Opportunities Constraints of funding and need for multi-year financing New opportunities to work with other focus areas of MTSIP: Understanding urban systems of different sizes Include more sustainable urbanization components in our basic services projects: climate change is the current “opportunity” land/water governance, local level catchments Sustainability: need for improved approaches especially environmental/ecology (governance) Linking water, waste, energy & transport, and its role in the urban economy needs much closer attention e.g.Linking livelihood to basic services: resuse/recycling

15. FOCUS AREA 4: Environmentally Sound Basic Urban Infrastructure and Services FA 4 Goal Sustainable Urbanization becomes a driving force in public policy and practice at the national and local levels FA 4 Strategic Result Expanded access to environmentally sound urban services with a special focus on the un- and underserved populations in targeted countries EAs / Outcomes-level Results EA 1: Increased Efficiency in Urban Service Delivery EA 2: Enhanced Environmental Sustainability in Urban Infrastructure and Services EA 3: An Enabling Policy and Institutional Environment Promotes Expanded Access to Environmentally Sound Urban Services Sub-EAs / Sub-Outcomes Sub-EA 1.1: Strengthened service provider capacity Sub-EA 1.2: Improved service delivery monitoring mechanisms informs decisions Sub-EA 1.3: Consumer demand for efficient urban services Sub-EA 2.1: Environ mentally sound standards & practicesin place Sub-EA 2.2: Sustainable end-user consumption practices Sub-EA 2.3: Enhanced capacity for service providers to address / respondto climate change Sub-EA 3.1: An enabling pro poor policy and institutional environment Sub-EA 3.2: Increased resources flow for improved urban services from internal and externalresources FA / EA Output Outputs Attached Outputs Attached Outputs Attached Outputs Attached Outputs Attached Outputs Attached Outputs Attached Outputs Attached FA Activities Illustrative Activities Attached Illustrative Activities Attached Illustrative Activities Attached

16. Thank You for your Attention ! Medium Term Strategic and Institutional Plan (MTSIP) FA 4