MCC's staff reports on MCC's impact

World Water Day: Turning on Faucets for the Worlds Poor

Approximately $203.6 million of Mozambique’s compact with MCC is dedicated to improving access to water and sanitation services for rural and urban dwellers in the northern provinces.

When World Water Day was first celebrated in 1993, some 5.3 billion people lived on the planet.  Of these, 512 million lived in sub-Saharan Africa, where only 49 and 26 percent, respectively, had access to an improved water source and sanitation facility.  Today, on the seventeenth World Water Day, the global population includes 6.7 billion people, of whom 818 million live in sub-Saharan Africa, where 58 and 31 percent, respectively, now have access to water supply and sanitation services.  This is a moment to celebrate the additional 223 million sub-Saharan Africans who have access to a water supply and the 120 million who now can access sanitation, but we should also focus on the continuing low rates of access.  While tremendous accomplishments have been made, a great deal of work remains undone. Given the tremendous unmet demand for water supply and sanitation, what is being done to facilitate change and accelerate the rate at which these critical services are provided to a billion or so people globally who lack these critical services?  A difficult problem like this requires innovation, experimentation, and a willingness to take risks to find better solutions. MCC was created as a new approach to development assistance: a firm five-year window for implementation, full commitment of the funds upon compact signing, untied assistance, and host country ownership, including proposal development and implementation.  This approach reflects the best thinking about development assistance, as articulated in the Paris Declaration.  In this, MCCs seventh year, we are looking at some important lessons learned, like carefully integrating social and environmental factors into project design and implementation, identifying innovative contracting approaches that accelerate the project life cycle without sacrificing quality, and promoting private sector participation. MCC works closely with partner countries to identify high value water supply and sanitation projects and water resource management and productivity projects that respond to the countries development priorities.  MCC programs in Lesotho, Mozambique, and Tanzania include MCCs three largest water supply and sanitation projects, covering rural and urban water and sanitation, non-revenue water management, and source development.  In addition, Mali, Burkina Faso, Armenia, Senegal, and Moldova are pursuing major irrigation and water resource management projects.  To date, MCC programs have funded approximately $528 million in water supply and sanitation and $769 million in water resource management and irrigation. MCC partnered with the Government of Mozambique to target a traditionally underserved area: water and sanitation investments in urban areas and small towns.  Secondary urban areas are particularly difficult environments in which to build sustainable water supply and sanitation systems because, by definition, they lack economies of scale, are more remote, have higher costs, have difficulty attracting and retaining staff, and are typically less affluent—all of which have negative implications for sustainability.  Yet, a majority of world population growth will occur in urban areas and much of that will occur in these secondary urban areas.  Addressing the projected water supply and sanitation needs of these communities will be one of the sectors most pressing challenges in the coming decades.  In advancing MCC’s mission of global poverty reduction through economic growth, we will continue to work with partners committed to expanding access to water and sanitation.

Effectively Engaging the Private Sector

This week more than 167 companies attended a procurement conference and heard about contracting opportunities arising from projects funded by Millennium Challenge Corporation compacts. Supported by Business Unity South Africa, Standard Bank, and the U.S. Embassy, the conference was hosted at the Development Bank of Southern Africa in Midrand, South Africa. Country teams from Burkina Faso, Lesotho, Malawi, Mozambique, Namibia, and Tanzania discussed over $3 billion in procurement opportunities, ranging from building roads and water systems to building health centers and schools. The compact in Ghana and compacts still being developed with the governments of Malawi and Zambia were also discussed.

The conference highlighted the business opportunities that ultimately support MCC’s mission of reducing poverty through economic growth. The conferences key themes included the openness and transparency of the procurement processes, the ability for international companies to bid on compact projects and the unique opportunities for U.S. and international suppliers.

Companies attending the conference included those focusing on infrastructure engineering, design, and construction, as well as those providing project management and technical assistance. The resounding message: MCC partner countries throughout Africa are open for business.

Burkina Faso Launches Projects in Roads, Land Tenure Security

On Friday, January 29, 2010, I had the privilege of attending a launching ceremony in the town of Sabou with the Prime Minister of Burkina Faso, senior government and local officials, the MCC Resident Country Mission, dedicated members of the MCA Board, hundreds of residents of the Sabou Commune, and the senior management team of MCA-Burkina Faso, which is in charge of implementing Burkina Faso’s $481 million MCC compact. The event was vibrant and animated, filled with pertinent skits and musical interludes. Even though we were just an hour south of Ouagadougou, it felt like we were a million miles away from the hustle and bustle of the capital city and were truly in the heart of Burkina Faso. The town of Sabou, its residents, and MCA animated the countryside with a truly inspiring and motivating ceremony.

The event marks the start of on-the-ground field activities for two components of the Burkina Faso compact: feasibility studies for the 270 kilometers of primary roads to be constructed under the Roads project and the communication and education campaign surrounding the new national land law and regulations in 17 pilot communes under the Rural Land Governance project. With the complexity and intensity of the demands and deadlines revolving around projects of this size and scope, we often get caught up in Ouagadougou with meetings, workshops, project planning, financial number crunching, and all the necessary management responsibilities. When we stop and take the time to go to the field to visit with program participants, we see firsthand the excitement on their faces about the transformation of their future. We realize just where the real energy is with this compact.

The ceremony was filled with information, speeches, gratitude, theater, and music. It was a perfect mix of formal and informal, ceremonial and artistic, and cultural and educational. Information booths were filled with explanatory visuals and maps of project activities. Experts were on hand to explain the components: roads to be constructed, land conflict resolution techniques, decentralized administrative buildings to be constructed, and other aspects.

The skits were dynamic and filled with appropriate humor on the sensitive subject of land tenure. Even with my extremely limited knowledge of Moor_, one of the local languages of Burkina Faso, it was evident that the audience absorbed from the skits that land laws, regulations, and tools are now in place in Burkina Faso to clarify ambiguous land use situations, such as those between cattle herders and farmers. The theater troupe was able to infuse a touch of comedy into a serious subject and provide the audience with a glimpse into the land conflict resolution mechanisms and positive outcomes that will be possible through the Rural Land Governance project.

The official speeches were inspirational, expressing thanks to the American people and MCC, an understanding of the challenges ahead, and a clear message from the Government of Burkina Faso via Minister Laurent Sédogo from the Ministry of Agriculture, Water and Water Resources, who said that the MCC compact, will bring about dynamic change, will require a rigorous pace of implementation, and will change the lives of Burkina Fasos disenfranchised, including women.