The Kahama Shinyanga Water Supply and Sanitation Authority (“Kashwasa”) (Tariff Adjustment) Order, 2019

1. This Order shall be cited as the Kahama Shinyanga Authority and Water (“KASHWASA”) (Tariff Adjustment) Order, 2018. Sanitation Supply

2. This Order shall be effective from 1st January 2019.

3. KASHWASA tariffs are hereby adjusted as specified in the First Schedule to this Order.

4. The approved tariffs shall be subject to the following conditions- (a) on or before 30th April 2019, KASHWASA shall submit revised Business Plan that incorporates the approved tariffs and action plan for implementation of conditions of this Order; (b) KASHWASA shall implement the projects as detailed in the Second Schedule by using funds generated from the approved tariffs; 1 Kahama Shinyanga Water Supply and Sanitation Authority ("Kashwasa")(Tariff Adjustment) GN. NO. 17 (Contd) (c) KASHWASA shall submit, on semi - annual basis, progress on measures for reducing electricity costs for water production; (d) KASHWASA shall, on annual basis as part of its annual perfomance report, submit to EWURA reports on the implementation of each of the Tariff Order condition and each cost revenue requirement; item of the (e) KASHWASA shall continue to provide EWURA with information about its financial and operating condition in accordance with the requirements of EWURA. This information will be used by EWURA to evaluate KASHWASA's performance in comparison with other Water Supply and Sanitation Authorities and the improvement of its performance over time. This evaluation will be considered by EWURA in evaluating the reasonableness of all future requests for tariff adjustment. Disapplication of Tariff Order

5. This Order hereby disapplies the (Tariff Adjustment) Order No. 2015-005 of 1st September 2015 in the area served by the Kahama Shinyanga Water Supply and Sanitation Authority (KASHWASA). _______ SCHEDULES _______ 2 Kahama Shinyanga Water Supply and Sanitation Authority ("Kashwasa")(Tariff Adjustment) GN. NO. 17 (Contd) FIRST SCHEDULE _________ APPROVED TARIFFS Current, Proposed and Approved Bulk Water Tariff (TZS/m3) Customer Category Current Tariff Proposed Tariff Approved Tariff 2017/18 2018/19 2019/20 2020/21 2018/19 2019/20 2020/21 Urban Water Supply and Sanitation Authorities (WSSAs) Community Owned Water Supply Organisations (COWSOs) Mining (WDL) Weighted Average Tariff (WAT for WSSAs and COWSOs. 580 848 970 1,075 800 900 985 435 636 730 810 1,000 1,250 1,450 1,580 600 1240 675 1240 740 1240 569 832 952 1055 785 883 966 __________ SECOND SCHEDULE __________ PROJECTS TO BE IMPLEMENTED BY USING FUND GENERATED THROUGH TARIFF (MILLION TZS) Targets Activity (Actions to be Taken) 2018/19 2019/20 2020/21 Rehabilitation and Replacement All malfunctioning bulk water meters are replaced by December 2021. Purchase install and electromagnetic flow meters. 24

142.80 28 88 Outdated technology replaced by December 2021. Purchase and install new fixed and variable speed drives for raw water pumps and backwash pumps 37 15 70 Retrofitting of the existing soft starters for High-lift pumps 37 15 70 3 Kahama Shinyanga Water Supply and Sanitation Authority ("Kashwasa")(Tariff Adjustment) GN. NO. 17 (Contd) Targets Activity (Actions to be Taken) 2018/19 2019/20 2020/21 accommodate Adequate on for office and residence provided by December 2021. Operational processes and integration of systems automated by December 2021. Adequate accommodate on for office and residence provided by December 2021. Operational processes and integration systems automated by December 2021. of Adequate facilities throughout transport provided Adequate working provided throughout tools Developing and maintaining maintenance programs improve to overall reliability Security strengthened annually at IWTP Rehabilitation of residential houses at Mwawile. the existing Upgrading billing, accounting and HR and Payroll software New Investment Construction of sub- office buildings at Solwa. 0 0 0 20 0 70 50 Reviving Programmable Logic Controller (PLC). 0 140 0 Procure 8 new motor vehicles (3 in the second year and 5 in the third year) and 16 motor cycles (two in the first year and 14 in the third year). Purchase of basic working tools such as computers, printers and photocopy machines. Purchase other working tools such as tool box and replace Purchase all malfunctioning valves and other fittings such as hydraulic control, butterfly and Needle valves. Acquiring more land at IWTP by compensating affected communities the Purchase new post chlorination systems at Old Shinyanga, Kishapu and Ngudu main storage reservoirs and rehabilitation of chlorination system at IWTP. Improving Police Post at IWTP by adding more Policemen and constructing new building with army. 4 5 320 515

203.94 0 50 40 40 40 60 Kahama Shinyanga Water Supply and Sanitation Authority ("Kashwasa")(Tariff Adjustment) GN. NO. 17 (Contd) Targets Activity (Actions to be Taken) 2018/19 2019/20 2020/21 Security strengthened annually at IWTP Operational processes and integration systems automated by December 2021. of Carry out land survey of the transmission main and acquisition of title deeds. Digitize the Authority permanent assets such as water network and fittings such as their related sectional valves, valves, washouts, customer water meters etc and put in GIS and SCADA system for easy management air Integration of SCADA system and billing software. 25 25 25 0

11.5 160 0 0 15 Grand Total 630 907 1,428 Dodoma, ....................., 2018 NZINYANGWA E. MCHANY Director General 5