Benchmarking

This report analyses the application of Key Performance Indicators (KPIs) to describe efficiency of water services in WAREG member countries, with the aim to draw out commonalities as well as differences in monitoring of water efficiency measures and performance. It seeks to outline how different European regulators promote water efficiency within their regulated industries. It is noted that although various KPIs and benchmarking platforms exist in the water industry, there appears to be a lack of consistency in the definitions, descriptions, application and consistency of KPIs used to measure water efficiency across Europe. It is further noted that while some countries use KPIs for benchmarking purposes, this practice has still not been fully embraced by regulators in WAREG member countries.

Since 1997, the World Bank, through its International Benchmarking Network for Water and Sanitation Utilities (IBNET), has been working to improve utility performance through enhanced sharing of critical knowledge and expertise. An integrated part of the Water and Sanitation Program and new Water Global Practice, IBNET seeks to expand access to comparative data among utilities globally, helping to promote best practice among water supply and sanitation providers and eventually providing consumers with access to high quality and affordable water supply and sanitation services.

The IBNET Blue Book summarizes water sector development in 2006-11, describing trends and monitoring effects of recent crises. Despite difficulties, municipal water performance has improved and withstood accelerated urbanization and the impacts of the triple crisis (fuel, food, and finance). IBNET
data confirmed that coverage with water services increased and water became accessible to more people. However, the financial crises of 2008 and 2010 significantly hampered the same trend with sanitation. As a result, wastewater services
development has been slower than expected in many urban areas. The Blue Book also provides improved approaches in building comprehensive indices for water utilities performance assessment, as well as a statistical annex providing a comprehensive look at recent water performance of more than 80 countries.