Public Expenditure Tracking Report 2010-12 PRESENTED AT: T H E M O L E X X I I I C O N F E R E N C E 2 2 ND - 2 4 TH AUGUST 2012 BY: HAWA NIBI AMENGA-ETEGO GRASSROOTSAFRICA Supported by: WATER AID IN GHANA
Outline of the presentation Background the budget tracking project Aim of the project Overview of the findings of the last 3 years Issues of Disbursement and Absorptive Capacity Changes Faced over the 3 years Conclusion
Background-1 Started in 2009 as a pilot - Level: National (tracking national budget allocation to the WASH sector - Budget Component: Government of Ghana component - Institutional Coverage: MWRWH, GWCL and CWSA - Scope: track GOG allocation and disbursement for services and investment 2010-2011 the coverage was extended to include - MWRWH and all its water agencies (GWCL, CWSA, WRC), and MLGRD and its sanitation agency (EHSD) and SHEP under GES - Scope: Overall budget allocation to the WASH sector Ministries - A comparison of this allocation to MOE and MOH. - Check the percentages of the approved WASH sector ministerial budgets against total national budget - Percentage of GOG contribution and Donor contribution - Actual receipts against budgetary allocations - Issues of absorptive capacity as well as - Problems associated with the disbursement process
Aim of the project To advocate for increased funding for investment and services and particularly the GOG component of the WASH funding using the findings of the budget tracking and To monitor GOG commitments made to the WASH sector
Overview of the Findings 1. 2009 findingsGOG Budget Allocations for Services and InvestmentsMINISTRY/AGENCY SERVICE S GHC ‘000’ INVESTMENTS GHC ‘000’GWCL 6,319 1,342,277CWSA 30,533 30,231,134MWRWH 302,033 57,175,184*Disbursements from the MOFEP for the period 1st January to 30thSeptember, 2009 were as follows:GWCL 5,206 (80%) 7,312,499 ** (GOG127,116)CWSA 7,633 (25%) 3,029,978.54(10%)MWRWH 182,044 11,999,115.07* Includes HIPC funds of GHc19.5mn**Total disbursement to GWCL for Investments includes GHC 7,185,383.00 fromthe HIPC funds.
2. 2010 & 2011 Findings: Grand Total Allocation and % of the Total National Budget to the WASH sector against that of MOE & MOH 2010Ministry G.Total to Sector Total National Budget % of Total National Budget GHȼ GHȼMWRWH 178mn 6,5bn 2.70%MLGRD 233mn 3.55%MOE 1,7bn 26.26%MOH 726mn 11.03% 2011MWRWH 558,6mn 7,9bn 7.0%MLGRD 241,3mn 3.0%MOE 1,6bn 20%MOH 987,4mn 12.4%
2010 & 2011 Findings continued Overview of the %age of total GOG and total Donor allocation to the four sectors in GHcm 2010Ministry Total GOG Total Donor Grand % of Total % of Total Total to GOG to Donor to Sector Sector SectorMWRWH 23mn 138mn 178mn 13% 78%MLGRD 76mn 88mn 233mn 32.65% 37.85MOE 1.2bn 89mn 1.7bn 73% 5.15%MOH 400mn 110mn 726mn 55% 15.16% 2011MWRWH 16,6mn 529mn 558mn 2.97% 94.8%MLGRD 77,1mn 88mn 241mn 31.97% 36.6%MOE 1,4bn 89mn 1,6bn 92.17% 5.5%MOH 406mn 219mn 987mn 41.18% 22.22%
2010 & 2011 Findings continued Total allocations for WASH Agencies 2010-2011 in GHc 2010Sector Agency Total GOG Total IGF Total Donor Grand Total to AgencyGWCL 2,048,531 0 69,346,510 71,395,041CWSA 6,681,573 0 42,549,862 49,231,435WRC 382,718 30,522 0 413,240EHSD 1,565,259 0 0 1,565,259 2011GWCL 1,028,369 0 223,248,500 224,276,869CWSA 4,774,065 0 32,608,756 37,382,821WRC 283,585 651,108 652,500 1,587,193EHSD 5,613,137 0 0 5,613,137
Details of GOG allocation and Disbursement for 2010 in GHcMinistry/Agency P.E ADMIN SERVICES INVESTMENT TOTAL ALLOCATEDMWRWH 8,478,339 984,524 342,807 13,336,000 23,141,670MLGRD 72,748,751 660,918 561,308 2,389,040 76,360,018CWSA 2,281,463 562,190 34,655 3,803,265 6,681,573GWCL - - 7,172 2,041,359 1,565,259WRC 153,076 16,751 8,755 204,136 382,718EHSD 1,397,225 32,877 35,157 100,000 1,565,259 DisbursementMWRWH 13,157,397.42 1,070,856.92 164,988.03 27,733,428.69 42,126,671.06MLGRD No Data same same Same sameCWSA 1,301,506.18 562,623.56 17,328 318,101 2,199,558.74GWCL - - 13,762 5,509,013.04 5,522,775.04WRC 283,301.85 19,362.59 2,188.48 42,949.39 347,802.31EHSD 721,922 55,541 16,165 85,507 879,135
Details of GOG allocation and Disbursement for 2011 in GHcSector P.E Admin Services Investme TotalAgency nt AllocationCWSA 2,349,906 485,372 37,154 1,901,633 4,774,065GWCL - - 7,689 1,020,680 1,028,36WRC 157,668 14,462 9,386 102,068 283,585EHSD 5,506,365 32,877 23,895 50,000 5,613,137238,039 allocatedfrom SIP*DisbursementCWSA 2,877,951 468,837 - 544,459 3,891,247GWCL No data No data No data No data No dataWRC - - 994, 827 139,772** 1,134,599EHSD - - 10,500 3,952 *The additional SIP allocation of 238,039 to EHSD was all received ** includes donor component for investment
Issues of Disbursements and Absorptive Capacity1. Disbursements:The major problem with GOG disbursements that is recurrentin the 3 years tracking has been DELAY which makes itdifficult for the sector agencies to carry out their mandateefficiently.2. Absorptive Capacity:All the officers we interviewed at the sector agencies deniedhaving problem with absorption. -CWSA however, indicated that the DA’s are not able to absorb all the allocations due to the delays in awarding contracts- caused by Cumbersome Procurement procedures
Challenges over the 3 years-1 Our major challenge has been accessing information - It has been extremely tiring trying to get budget officers to give out information - Some have continued to support us but others for reasons unknown to us have not been supporting. For instance for 2011 GWCL was not forthcoming and so we could not obtain disbursement information for that year. Another challenge has been funding Water Aid in Ghana has supported this initiative for the past 3 years and we commend them for their commitment and support to this project. Nevertheless we still need to leverage some additional funding to sustain this project and to increase momentum and impact.
Challenges-2 The Last challenge which applies only to the 2011 tracking has been the long absence of the project manager- who went for studies and this had an overall impact on delay and the outcome of project. But hopefully 2012 will see improvement and renewed momentum in the project.
ConclusionGenerally, allocations to the WASH sectors increased significantly in 2011,it still goes without saying that the GOG component funding keeps reducingFurther whiles the Donor component keeps increasing. Though, the donor component includes loans contracted by GOG and could be considered as GOG funding and perhaps the increase could be due to increased loans contracted and/or increased grants in order to fulfil SWA commitments. This is commendable because it shows that government is committed to redeeming the commitments it made BUT Considering increasing global fears that the next world wars could occur over water, we are of the view the reverse should be happening i.e. gradually increasing GOG allocation from tax and non-tax based (e.g. trade receipts) revenue and reducing the over-reliance on donors (loans & Grants) to finance the Sector. This will be KEY not just to guarantee the rights of citizens to access these basic needs of life but also security and total sovereignty as a nation.