Articles and Opinion

OPINION: Nigeria’s Urgent Need for Increased Government Funding in the Water Sector

868

By Sefa Ikpa

In Nigeria, walk two kilometers in any direction, and you’ll likely encounter at least three boreholes. Boreholes and wells have now become ubiquitous features in communities, symbolizing the nation’s struggle with water access. But why, in a land abundant with water resources, do boreholes and wells define our landscape? Dry taps have become relics, haunting reminders of a time when public utilities provided intermittent water supply in the 1970s and 1980s. Today, even this limited public provision feels like a distant memory. Potable water remains an inaccessible luxury, especially for the poor.

Nigeria’s significant water resources—estimated at 215 billion m³ of surface water and 87 billion m³ of groundwater—contradict the reality that many Nigerians face daily. Despite abundant rivers, lakes, and rainfall, the United Nations reports that only 13% of Nigerians have access to clean drinking water services. In rural areas, long treks to fetch water from questionable sources exacerbate issues of hygiene, economic disparity, and gender inequality.

The urban landscape paints a similarly bleak picture as low- and mid-income earners rely on water merchants locally known as ‘mai-ruwas’ who set arbitrary prices, further straining already-lean household budgets. Even the economically advantaged have to rely on privately dug boreholes to fulfill their daily water needs.

These dismal statistics are closely linked to the chronic underfunding of Nigeria’s water sector by the government. Over the years, Nigerians have had to rely heavily on out-of-pocket expenses and donor funding to meet their water needs. While other nations have advanced their infrastructure and social indices, Nigeria has regressed, moving from a public water supply system to one dominated by private and donor-funded solutions. It’s time to ask, what are we doing?  How did we get here?

A 2018 WASH account by the World Health Organization (WHO) revealed that local expenditure in the sector amounted to N3.6 trillion, with households contributing 91%, government expenditure a meager 4%, and the remainder donor-funded. This glaring imbalance underscores the urgent need for increased government investment in the water sector. International organizations and philanthropic foundations have poured dollars and euros into Nigeria’s water sector, while local governance and public investments have faltered.

Relying excessively on donor funding for essential utilities like water often leads to unsustainable and ineffective solutions. While external funding provides temporary relief, it fails to address deeper issues of sustainable management and maintenance critical for long-term success.

This approach is akin to using a band-aid to plug a leaking dam—it may offer a quick fix but does not resolve underlying issues. Sustainable solutions require robust systems and local ownership, achieved through increased government funding and community engagement. This demands a greater focus on developing local leadership, infrastructure, and accountability mechanisms to ensure the longevity of development projects.

Donor funds for the water sector come from international and local non-profits and through grants and loans to state governments from External Support Agencies (ESAs). Over 18 of the 36 states in Nigeria have received huge external support in either loans or grants to support their water sector, with the biggest ESAs being the World Bank, the African Development Bank, and the United States Agency for International Development (USAID).

The World Bank estimates that Nigeria must quadruple its domestic public expenditure on water by 2030 to achieve Sustainable Development Goal 6. The internationally recommended benchmark for government funding of water is 15-20% of total public expenditure and 4-6% of GDP. Nigeria falls woefully short of this benchmark, with the Federal Ministry of Water Resources allocated only 1.11% of the 2023 budget.

The 2024 fiscal budget has even taken it down a notch by allocating only 1.03% (N296.64bn) of the approved 2024 budget for water resources.

More public funds need to flow into the water sector, nourishing it from the roots up. Increasing public funding for the water sector offers several advantages. First, when the government adequately invests in water infrastructure, it ensures that solutions are tailored to local needs. Public control means we can prioritise communities over headlines, ensuring sustainable and equitable water distribution.

Increasingly, the Nigerian government is embracing public-private partnerships (PPPs) as financing models for basic utilities. Yet, history shows privatization often prioritizes profit over community needs. When Nigeria privatized electricity in 2013, we were delusively promised improvements in power supply post-privatization. A decade later, we are paying more for pitch darkness. Darkness has never been this expensive. Water should not follow this path.

As evidenced in a deep-dive report titled Africa Must Rise & Resist Water Privatisation by the civil society watchdog, Corporate Accountability and Public Participation Africa(CAPPA),  public control of water utilities stands not only as the most viable solution for communities but also as a progressive solution for even governments, as case studies around the world have indicated dire consequences for governments that commodified water services.

The case for democratic control of water infrastructure is further strengthened by the fact that public funds come with inherent scrutiny and accountability, enabling citizens to demand transparency and efficiency, which is not often feasible with distant donors. Under this governance approach, resources allocated for projects are viewed as coming from the collective purse, fostering a communal desire to ensure and interrogate their effective utilization.

Consider this: The World Bank hypothetically announces a $100 million loan facility to improve water access in Lagos State. The project includes constructing new treatment plants, repairing infrastructure, and extending pipelines. However, issues like lack of transparency, financial mismanagement, delays, and cost overruns arise, leading to public frustration.

If funded by public money, the project would be subject to parliamentary oversight, detailed audits, and greater transparency. Citizens feel more empowered when their tax money is at stake, enabling them to pressure representatives and officials for efficient and transparent use of funds.

Donor funds, if needed at all, should complement, not replace, robust and sound public funding systems. If Nigeria has any hope of achieving SDG 6 and providing water for its teeming population, the government must boost domestic public funding of the sector. The current 1% of total public expenditure allocated to water resources is simply inadequate and frankly calls to question if Nigeria has any intention of ever providing clean, cheap water for its citizens at all.

Sefa Ikpa is the Programme Officer, Water Campaign, Corporate Accountability and Public Participation Africa (CAPPA)

 

Leave a comment

Related Articles

US polls: Kamala Harris poses formidable opponent to Trump – Prof. Akinyemi

Nigeria’s one-time Foreign Affairs Minister, Prof. Bolaji Akinyemi, has said Kamala Harris...

Implications of Biden’s Withdrawal from America’s Presidential Race

By Paul Ejime It is not entirely surprising, yet the implications can...

Books From The Heart Of A Nation by Dakuku Peterside

Nigeria is a complex and multifaceted country that elicits various thoughts and...

The Need for Serious Disruption Prevention Orders as an Act of Parliament in Nigeria

By Dr George Ogunjimi, Esq. New public order powers to prevent individuals...

NNPC’s Operations: Interrogating Businessday newspaper’s “opacity” tag and other matters, by Olufemi Soneye

I have read the story published by Businessday newspaper in its edition...

Towards genuine local government autonomy, By Dakuku Peterside

Last week, Nigeria’s Supreme Court took a fundamental step towards dismantling the...

Ensuring Global Best Practices in Nigeria’s Oil Industry is Key to National Security

By Nelson Ekujumi The Nigeria oil industry is without doubt the mainstay...

Correcting the Lies in Dr. Olisa Agbakoba’s Assertions

By Kingsley Ariamaodo Eminent lawyer and Senior Advocate of Nigeria, Dr. Olisa...

Ruto sacks cabinet as Kenya reels under youth angst

By Paul Ejime Embattled Kenyan President William Ruto has dissolved his cabinet...

The Geo-Politics Of Nigeria’s Insecurity by Dakuku Peterside

In the past ten years, the South-East and North-East geopolitical zones, more...

The June 25 Rage in Kenya, which Country is Next?

By Paul Ejime Only politicians and their supporters numbed by greed and...

Cholera in Hard Times, by Dakuku Peterside

Yemen, a West Asian country in the Arabian Peninsula, reported one million...

Beyond National Profligacy, by Dakuku Peterside

Jonathan Tepperman’s book, The Fix, is about how some nations fixed significant...

Minimum wage review: My take away, item 34 of 1999 Constitution’s Exclusive List should be amended

By Mr. Babatunde Fashola, SAN, CON *An Opinion piece titled, “MININMUM WAGE...

American Democracy’s Trump Test By Dakuku Peterside 

There is currently no evidence to support the claim that democracy is...

South Africa’s 2024 Election, A Referendum on Black Leadership

By Paul Ejime The results of South Africa’s 2024 elections further illustrate...

South Africa: Economics above politics By Dakuku Peterside

South Africans voted in national and local elections on May 29, exactly...

One Year On: Words Above Action

Amidst the initial fanfare, good feelings, and high expectations, a new era...

The Scourge Of Rising Inflation by Dakuku Peterside

An increasing number of Nigerians are being driven into poverty, not by...

THE ECOWAS OF YESTERDAY, TODAY AND TOMORROW

by Paul Ejime Nigeria’s late Professor Adebayo Adedeji and Togo’s Edem (Kodjovi)...