Drafting of the Management Contract between the Asset Owner and the O&M Service Provider

Created on 28 November 2013 Print Email

Bac Ninh Province is leading the way with the drafting of the management contract between the asset owner and the service provider and this should continue as planned with the first contract signed in January 2014. The PPC has delegated the CPC as asset owner, and the CPC and service company are negotiating final costs and responsibilities of the contracting parties. Experiences in Bac Ninh were shared with the other programme provinces and they have shown strong interest in following the Bac Ninh experience. Presently, provinces use a work order where each year the service provider is provided a budget to remove sludge from the wastewater system. When the budget is exhausted work ceases. The move to the management contract improves transparency, allocates responsibilities clearly, and enhances the accountability of the service provider as well as the asset owner. The end result is significantly greater efficiency and O&M conducted in the system from A to Z.

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