Strengthening the Regulatory Framework for Water Supply and Sanitation in Sri Lanka

As part of its program, the Government of Sri Lanka embarked in 2001-2002 in the preparation of a series of sector reforms to improve its capacity to provide for new investments and improve the operation and maintenance of existing ones.

The Asian Development Bank (ADB) provided technical assistance (TA) to:
(i) developing adequate legislation and guidelines to regulate the water sector, and
(ii) developing institutional capacity for regulatory legislation and guidelines.

Although the TA was to be completed in 2004, political changes delayed work, which could only be resumed in 2006.

Based on the feedback from Government agencies, and an ADB evaluation, including sustainability issues, the TA was considered successful.

The main lessons were:

1. Political commitment to reform remains the single major element to achieving independent regulation. Although interest and dedication is noted in professional circles, major decision-makers at minister level are distancing themselves. In the absence of a more firm response to reform initiatives, ADB’s operations in the sector may need to consider alternative agencies (such as local government) and revise its strategy accordingly.

2. Objectives and scope of TAs involving sector reform need to incorporate sufficient flexibility to accommodate changes in Government’s strategies. The TORs should be adapted to enable easy adjustment as ground realities and needs evolve.

Read the full TA completion report here

For a link to the full report go here