Lagos — A new legal framework for the privatisation of the water sector in the sate has been passed and signed into law by the Lagos State Governor, Bola Tinubu.

Announcing the framework for the new law, the Group Managing Director and Chief Executive of Lagos Water Corporation LSWC, Mr Olumuyiwa Coker, noted that aside from unbundling the former corporation by establishing six subsidiaries: LSWC, water utilities Ltd/Gte; Property and General Services Company Limited, Information Technology and Telecommunication Company Limited; Training and Research Centre Ltd/Gte; and Power Generation Company Limited, the new law also made provision for a water regulatory commission.

Explaining the functions of the commission, the Chief Executive officer said its duties and responsibilities are primarily to ensure that water and sewage functions are properly undertaken adding also that it will regulate production, distribution, supply and use of water, as well as the quality of service, the fees, charges and prices for goods and services supplied in the water sector.

According to him, a water court comprising 3 persons (a serving judicial officer not below a Chief Magistrate Grade I; an environmental engineer and an economist), established will also enforce the regulations provided for under the law while also imposing stipulated fines for offences such as pipe vandalisation due to road repairs, construction, vandalisation of production centres/boreholes, illegal water connection (water vending, car wash facilities and domestic connections and illegal bottling of LSWC water.

Listing other finable offences as including assault on staff, property modification without prior permit, illegal advertisement on LSWC overhead tanks and pipe network, payment of cash to LSWC overhead tanks and pipe network, payment of cash to LSWC staff, discharge of industrial waste to the raw water river course, dumping of chemical wastes, petroleum products and collusion to defraud the corporation, the chief executive officer said apart from imposition of fines ranging from N10,000 to N5 million with option of 2 or 5 years jail term.

Describing the transformation of the corporation from a debt ridden organisation reeling under the weight of a N15.5 billion debt to a viable private sector company, Mr Coker said the corporation while implementing the new law will ensure it addresses the "Paradox of Water" whereby the poor pay more for water.

He said further that the corporation will continue to strive for a rate which is substantially affordable to all and sundry.

He said that the corporation had to restructure if it is to meet the magnitude of demand by Lagosians put at 1,200 million gallons per day, Coker said improved strategies had resulted in a 160.5 million gallons per day up from the 74 million it inherited in 1999.

Stating also that the corporation, while embarking on the rehabilitation and modernisation of obsolete water supply infrastructure in the state, will require between $1.8 billion and $2.5 billion to meet the projected 2 billion litres per day requirement by 2020.

He said aside from the rehabilitation of Onikan overhead tank booster neglected for the past 36 years, ten new micro waterworks and Adiyan waterworks are also under construction and rehabilitation respectively.