AnnuAl RepoRt 2009
Building better livelihoods
orgut consulting ab is a leading
consulting company in development
programme management, planning
and evaluation. Building on more than
35 years of experience, ORGUT provides
technical expertise to multilateral &
bilateral donors, national governments
and private sector clients worldwide.
ORGUT Consulting AB
Reg no 556177-9538
Annual Report 2009
The Board of Directors and the
Managing Director of ORGUT
Consulting AB herewith submit the
Annual Report for the financial year
January 1 – December 31, 2009.
DAv i D DA R R i C AU
Contents
4 Welcome to ORGUT! ASIA
6 Selected assignments 2009 vIetnAM
22 Chia Se Poverty Alleviation Programme
AFRICA
23 Special-Use Forest Planning and Implementation – Southern
etHIopIA Regional Technical Assistance Team
6 Sida-Amhara Rural Development Programme
7 Establishment of the Institute of Land Administration, l Ao pDR
Bahir Dar University 24 Environmental and Social Capacity Development in the
9 Social Assessment for the Agricultural Growth Program Road Sector
9 Establishment of a Harmonised Land Administration System
9 Study on Institutional Structure and Human Resource MyAnM AR
Development needs in the Land Administration Sector 24 Independent Assessment Mission of the UNDP Human
10 Woreda Integrated Development Study Development Initiative
10 Procurement to the Addis Ababa Chamber of Commerce
and Sectoral Associations LATIn AmeRICA
10 Watershed Monitoring and Evaluation Component of the nIcARAGuA
Tana Beles Integrated Water Resources Development Project 25 FondeAgro
10 Rural Water Supply, Sanitation and Hygiene Programme in 26 Feasibility Study and Final Design of a Watershed
Benishangul-Gumuz National Regional State Management and Climate Change Project
kenyA GuAteM Al A
12 Planning and Formulation of the Rural Development 27 Technical Assistance to Strengthen the Dairy Chain
Programme in Western Kenya – Improving Rural Livelihoods 27 Redesigning a joint UN Rural Development Programme with FAO,
and Productivity PAHO and UNDP
12 Evaluation of the Finnish Development Cooperation in
Western Kenya BolIvIA
13 Technical Assistance to the Ministry of Lands 28 Context Analysis Bolivia
13 Procurement Capacity Development Strategy for Kenya st vIncent AnD tHe GRenADInes
14 Kenya Water and Sanitation Programme 28 Technical Assistance to Land Titling and Land Registration
15 Lessons Learned and Good Practises from Support to the Programme
Kenyan Water Sector
l AtIn AMeRIcA ReGIonAl
MoZAMBIQue/ZIMBABWe 29 Mapping Study of Regional Processes and Actors in South
16 Pungwe Basin Transboundary Integrated Water Resource America and the Caribbean within the areas Environment,
Management and Development Programme Natural Resources and Climate Change
16 Study on Transboundary Water Resources Management 29 Mapping of Swedish Resource Base and Swedish Comparative
and Poverty in the Zambezi River Basin Advantages
kenyA, uGAnDA, tAnZAnIA
16 Integration of Natural Resource Management into Local eUROpe
Government Decision Making BosnIA AnD HeRZeGovInA
30 Fostering Interventions for Rapid Market Advancement
tAnZAnIA
31 Consulting Services to the Fostering Agricultural Markets Activity
17 Securing Sustainability of LAMP Initiatives
31 Review of impact of Sida's Microfinance Support in BiH
18 Facilitation and Creation of Awareness of Participatory
Forest Management kosovo
19 The VICOBA Programme – Community Managed 32 Programme for Development of Land Administration
Microfinance
19 Sustainable Management of Land and Environment in MolDovA
Zanzibar 32 Technical Assistance to Support Moldova First
20 Africa Local Council Oversight and Social Accountability Project Cadastral Project at the Agency of Land Relations and Cadastre
20 A Second Opinion on Hale Feasibility Study in Context sWeDen
of Water Resources 33 Advanced International Training Programme: Rural and
ZAMBIA Peri-Urban Land Administration in the SADC Region
21 Midterm Review and Formulation of a Second Phase of the 33 Sida Framework Agreements
Programme for Luapula Agricultural and Rural Development 35 Annual report for financial year
36 Administration report
West AfRIcA ReGIonAl
21 In-depth Assessment of PREMI, the IUCN Poverty Reduction 37 Income statement
and Environmental Management Initiative for West Africa 38 Balance sheet
40 Cash flow statement
41 Accounting and valuation principles
42 notes
46 Audit report
3
Welcome to ORGUT!
Who we are our clients. Besides the commitment of
ORGUT COnsUlTinG AB is a leading our staff, ORGUTs isO Certified Quality
consulting company in development pro- Assurance system ensures quality of
gramme management, planning and services throughout all assignment stages.
evaluation. Building on more than 35 This tried and tested system for continuous
years of experience, ORGUT provides quality control of technical assistance is
technical expertise to multilateral & bilat- steadily refined and ensures efficient and
eral donors, national governments and effective project performance.
private sector clients worldwide. in 2009,
more than 120 inter national and national What we are good at
experts were fielded in 20 countries and ORGUT facilitates complex long term
company turnover reached almost programmes in a result-oriented manner,
11 million UsD. specialising in integrated rural develop-
ORGUT believes that people’s active ment and sustainable management of
participation in project planning, budget- natural resources to sustain economic
ing, implementing and monitoring is a growth and social well-being. We build the
Managing Director Per Giertz. precondition for sustainable economic and capacity of individuals, organisations and
social development. since 1973, our advi- institutions in agriculture & livestock
sors have promoted equitable access to value chains, food security, forestry, land
natural resources, local participation and management & administration and inte-
rights-based approaches. ORGUT main- grated water resource management, supply
tains its strong poverty alleviation focus & sanitation. Much of this is actively
and supports democratic governance, linked to climate change adaptation and
decentralisation and mainstreaming of mitigation at operational level.
cross-cutting issues. Through our strong field presence,
ORGUT is staff-owned, which over the ORGUT provides decision-makers with
years has ensured a high degree of inde- inputs for informed policy making and local
pendence and continuity appreciated by programme implementers with practical
Core Expertise
project Management,
planning and
evaluation
Principles
• sustainability Methods
• local empaowerment • Institutional strengthening
• equitable access to resources • capacity building & formal education
• Results-orientation • ‘Best practises’ & tool boxes
• cost efficiency • strategic communication
• Integrated approaches
Thematic Focus Areas
• Sustainable Agriculture (value chains, food security, conservation farming, organic farming, extension, irrigation)
• Sustainable Forestry (forest management, inventories, small scale industry, certification, integrated systems, participatory forest Management)
• environmental management (legislation, eIA, seA, conservation, biodiversity)
• Climate Change (adaptation and mitigation measures)
• Land Tenure, management and Administration (legislation, titling, harmonisation, valuation, cadastre, conflict resolution, GIs, land-use planning)
• Integrated Water Resource management (watersheds, transboundary WRM, user associations, conflict prevention, trust funds)
• Water Supply & Sanitation (rural water supply, hygiene, rainwater harvesting)
• private Sector Development (microfinance, value chains, producer associations)
• Local Government Authorities (decentralisation, municipal governance, district
development, accountability)
4
Sweden
Bosnia and Poland
Herzegovina Moldova
Serbia
Georgia
Kyrgyzstan
Bulgaria Tajikistan
Kosovo Armenia
Macedonia China
Afghanistan
Pakistan Nepal
India
St Vincent Mali Bangladesh Lao PDR
Honduras Senegal
Guatemala Nicaragua & The Grenadines Sudan Eritrea
Myanmar
Venezuela Gambia Burkina Vietnam
El Salvador Guinea Bissau Faso Nigeria
Costa Rica Guyana Guinea-Conakry Ethiopia
Panama Sierra Leone Uganda Somalia
Colombia Ghana Indonesia
Cameroon Kenya
Ecuador DR Dominican
Congo Republic
Tanzania
Peru
Angola Zambia Malawi
Bolivia
Zimbabwe Madagascar
Namibia
Mauritius
Chile Botswana Mozambique
Swaziland
Lesotho
South Africa
tool boxes and access to international alleviation – in an integrated way, across Tanzania, Rwanda, Vietnam, lao PDR and
experiences. Our national and international boundaries and through the active partici- nicaragua. The office in Vietnam helped
consultants support local programme pation of target groups are becoming ever securing the contract for the second phase of
ownership and integration into existing more evident in times of climate change. the Chia se programme. Our Ethiopia office
administrative structures, which promotes in 2009, ORGUT continued addressing was instrumental for winning and imple-
efficient scaling up of ‘best practises’. We these issues in a pragmatic and hands-on menting several World Bank agriculture
facilitate institutional change and empower manner. Especially national governments and land administration assignments and
stakeholders through technical skills and ministerial staff recognise the impor- extending several long term programmes.
transfer, capacity building, method devel- tance of having continued access to top- The planning of the Rural Water supply,
opment, and setting up of strategic com- class national, regional and international sanitation and Hygiene Programme in Ben-
munication & management information technical expertise for realising their ishangul-Gumuz was followed by winning
systems. Building lasting relationships is ambitious development strategies. the four year implementation contract
the basis of ORGUTs activities and in our ORGUT consolidated results and ‘les- together with niRAs. ORGUT Kenya
daily work we bring together national and sons learnt’ in ongoing assignments world was contracted for several evaluation and
international representatives from private wide. At the same time we broadened our planning missions that will result in a new
sector, civil society, nGOs and academia client base and thematic & country portfo- generation of integrated natural resource
& research institutions worldwide. lio. several new assignments for the World and rural development programmes.
Many development interventions are Bank and sida illustrate ORGUTs growing ORGUT HQ would like to thank our
today designed and procured locally. strength in the lands sector. in Bosnia and Representative Office staff and our
ORGUT maintains and expands full-scale Herzegovina, ORGUT secured two UsAiD/ national and international partners and
offices or other representations in many sida agricultural growth and value chains associates for the good cooperation. last
countries to match a steadily growing contracts with American partners. The but not least we want to show our appreci-
capability of national and regional experts multi-donor funded ViCOBA programme ation to all the national and international
with the needs of local development in Tanzania proved to be an exceptionally experts that did such a good work under
partners. These offices provide valuable successful approach to rural microfinance time pressure and often tough living and
in-depth country knowledge and allow reaching approximately 50,000 people working conditions in 2009!
for instant technical and administrative after less than two years of implementation.
backstopping during long- and short term A wide range of short term assignments Yours sincerely,
assignments. in Bolivia, Guatemala, nicaragua, Zambia,
Tanzania, Western Africa, southeast Asia
What we achieved in 2009 and the Balkans complemented our long
The importance in managing natural term programmes.
resources like water, land or forests – ORGUT continued to invest in represen- Per Giertz
crucial for sustained growth and poverty tations in Ethiopia, Kenya, Mozambique, Managing Director
5
Selected assignments 2009
Technical Advisors discussing land
demarcation with farmers.
ETHiOPiA
Sida-Amhara Rural Development tates local government activities, in partic-
Programme ular the decentralisation of planning, deci-
ORGUT has provided technical assistance sion making and resource allocation rights
to the sida financed sida-Amhara Rural from regional to woreda and kebele (com-
Development Programme (sARDP) since munity) levels. The programme goal is to
1995 in cooperation with Haddis Consult contribute to poverty reduction and its
ltd. sARDP is essentially a budget sup- components aim at enhancing basic service
port to the Amhara Region, with most of delivery through access to improved rural
the funds being channelled directly to 30 infrastructure such as water points, sani-
rural woredas (districts), with some 5 mil- tation, rural roads and better delivery of
lion in habitants in East Gojjam and south social services. To boost food security and
Wollo zones. sARDP supports and facili- rural income, sARDP invests in various
value chains by increasing agricultural
production & productivity, marketing of
Gender mainstreaming in SARDP: Percentage of women members in various local authority bodies agricultural products and household
Local authority body East Gojjam South Wollo income diversification. These activities are
Before 2006 2009 Before 2006 2009 clearly dependent on the sustainable man-
Woreda agement of natural resources such as land,
cabinet 13 14 12 18 forest and water. Cross-cutting issues such
council 18 38 21 44
as environment, gender and HiV/AiDs are
Kebele
cabinet 13 22 16 26 mainstreamed throughout the programme.
council 20 35 18 37 One of sARDPs major achievements is
the strengthening of land administration
6 africa
systems introduced through the Bureau of process by passing on financial decision
Water systems built through SARDP
Environmental Protection, land Admin- making to the communities. Today, the
1997–2010
istration and Use (BoEPlAU). Recognising Community Development Fund covers No. of People
that certified land ownership is a key factor 121 kebeles with a population of approxi- system built served
in sustainable land management, activities mately 0.9 million. The funds are invested village supply
have focused on the reduction of conflicts in more than 500 community projects such systems
Wells 679 260,000
and promotion of female land ownership. as water points, schools, clinics, gully capped springs 534 300,000
The number of households with access to treatment, etc. The financial management Rural town
secure land tenure has steadily increased capacity at kebele level and the number of water supplies 12 90,000
Total 1,223 650,000
in Amhara Region. ORGUTs technical pro-poor growth investments has visibly
advisors provide capacity development increased after the introduction of partici-
in land administration, law development, patory and transparent Community
mapping and surveying. More than 3.5 Development Fund planning and project
Major achievements in road
million temporary first certificate books of implementation processes backed up by infrastructure
holding have been issued, covering 95% of on-the-spot technical assistance.
1997–2004
the Region’s households. The decentralised An empirical assessment of the impact • 437 km of roads rehabilitated
computerisation of registration, considered of sARDP agriculture initiatives carried • Woreda road desks established
a benchmark by other donors active in the out in 2007 showed that the number of • Length–person maintenance system
established
sector, has been introduced in 42 woredas rural households covering their total food
and close to 500 kebeles, resulting in requirements from their own production 2004 – 2010
increased transparency in land registra- has noticeably improved in the last five years. • 1,251 km of community roads
constructed
tion. The surveying techniques for the • 251 km upgraded to Regional
second registration have been further Establishment of the Institute of Land standards
developed and satellite imagery is now used Administration, Bahir Dar University • 10 major bridges built
• Road density increased from 85 m
and evaluated together with existing meth- ORGUT has been contracted by the
to 120 m per square kilometre
ods (total stations, precision GPs). since Division of Real Estate Planning and • 350 road foremen trained
an updated and reliable reference network land law at the Royal institute of Tech- • 1,350 road caretakers trained
is of paramount importance for the second nology in stockholm, sweden, to support
registration mapping, a regional network the establishment of the institute of land
is under development and is expected to be Administration at the Bahir Dar Univer-
finalised and operational in mid 2010. sity (BDU) in Ethiopia. The programme
What has been achieved in the Amhara is the first of its kind in East Africa and
Region is now resulting in the spreading of follows the successful piloting of land
‘best practises’ and land administration registration and related administration
skills to other regions of Ethiopia, at the as part of the ongoing sida-Amhara Rural
same time as university level training is Development Programme. The activities
starting at the newly established institute have led to a steadily increasing demand for
of land Administration at the Bahir Dar
University.
Economic diversification for sustained
economic growth and support to the private
sector are other major achievements of
sARDP. initiatives to link private and
public sectors have been consolidated, for
example in the outsourcing of roads, water
points and smaller irrigation schemes to
private contractors and non-governmental
organisations, and by facilitating linkages
between durum wheat producers and pasta
processing enterprises. An Enterprise
Development Facility provides flexible
financial access to small loans for micro-
and small-scale enterprises and for strength-
ening competitive microfinance institutions.
The Amhara Credit and savings institution
is the largest such institution that has been
assisted in establishing outlets in all wore-
das. Particularly women and youth, have
benefited directly from the more than 1800
small loans that so far have been issued
and repayment rates are close to 98%.
A Community Development Fund has
successfully deepened the decentralisation Simple technology for income generation within the Sida-Amhara Rural Development Programme.
africa 7
GEBEyEHU BELAy
Land administration and registration
specialist, BoEPLAU
“We are developing a home grown and
robust land administration system in
Amhara. the system was designed and
tested in two pilot projects and now we
are scaling it up with very fast speed,
efficiency and quality. the major
achievement of the programme is
capacity building. the technical support
contributed a great deal for the formula-
tion of the current way of working which
is effective, low cost, gender sensitive
and participatory.
the technical advisors support us to
solve problems with local people and
knowledge. Short and long term
education programmes, procurement of
equipment, linkages created with Construction of the new campus for the institute of Land Administration at the Bahir Dar University.
universities both with in the country and
abroad are successful examples of
capacity building. the technical inputs to competent national land administration services for surveying equipment and other
IslA development and maintenance, full
professionals. The programme is designed inputs, while KTH provides short term
surveying and mapping chain, kebele
to meet this immediate need but also to lecturers and M.sc. and Ph.D. training.
calk development and maintenance,
strategically address the increased institu- The institute of land Administration
regional reference network establish-
ment, legal framework review, land law tional capacity needs required for the (ilA) was established in 2008. The B.sc.
development were also really crucial. development of a robust and self-sustain- education programme is based on a cur-
We have a very strong ownership ing land administration sector in Ethiopia. riculum developed in cooperation with the
of the system. no doubt that after The project supports the development Bureau of Environmental Protection,
programme termination we will face of an institute for higher education in land land Administration and Use and KTH,
shortage of resources, but the implemen- administration to an institute of excellence. by teachers who already have attended the
tation of activities introduced with the Major components include a 4-year B.sc. master training in land administration,
help of the programme will definitely level programme in land Administration, geodesy and geomatics at KTH in stock-
continue in the future.” capacity building of the lecturers at the holm. intake of regular students increased
institute, distance education and evening to 130 in 2009 and more than 900 students
programme for upgrading of current prac- enrolled in evening and distance pro-
titioners to B.sc. level, and upgrading of grammes. An internship programme for
academic staff from B.sc. to M.sc. and different land administration organisa-
from M.sc. to PhD level. The programme tions was introduced in 2009.
also supports construction of a new cam- ilA has become a member of the inter-
pus, administration, popularisation and national Federation of surveyors (FiG).
networking on national and international Project sponsorship has enabled two ilA
levels, curricula development, quality staff to present papers at international
control of teaching and teaching material conferences during 2009, one at the FiG
and support to the establishment of a working week in israel and one at the FiG
Research and Publication Unit. Regional Conference in Vietnam. The
Bahir Dar University implements the institute has also initiated the formation of
programme with technical assistance from a national association for land administra-
the Royal institute of Technology (KTH) tors and a workshop for the formation of
and ORGUT. ORGUT fields a Chief Tech- Ethiopian land Administration Associa-
nical Advisor and carries out procurement tion was held in Bahir Dar in late 2009.
First Registration: SARDP achievements
South Wollo East Gojjam Total
number of parcels registered 3.7 million 1.2 million 4.9 million
number of landholdings registered 600,000 440,000 1,040,000
Area of landholdings registered 1.87 million ha 0.98 million ha 2.85 million ha
number of HH receiving primary
Certificates (“green books”) 580,000 310,000 890,000
8 africa
Social Assessment for the Agricultural implementation was another element develop a strategy to establish and main-
Growth Program of the assignment. tain a spatial framework for land records
The Government of Ethiopia and the in Ethiopia. The team proposed a standard
World Bank are preparing the Agricul- Establishment of a Harmonised Land data model and standard business proc-
tural Growth Program (AGP) that will Administration System esses to keep land information up to date
be implemented in more than 80 woredas ORGUT consultants have together with together with an iCT strategy to implement
with a high potential for agriculture-led Blom info A/s, carried out two studies for these models and processes as well as a
growth. The study covered in the regions the World Bank Country Office in Ethiopia software development strategy and phased
of Amhara, Oromia, snnPR and Tigray. on land administration, iCT and software roll-out plan.
The World Bank contracted ORGUT to development strategies and specifications Another assignment objective was to
carry out a social Assessment (sA) as part of a monitoring system. The studies feed identify human and other resources neces-
of the preparation process. The study into the preparation of a proposed long sary for successful programme imple-
assessed potential adverse social impacts term development programme aiming at mentation, to identify gaps and develop a
of AGP and determined whether the harmonising support to the land sector in strategy for addressing them. The mission
project will trigger World Bank social safe- Ethiopia. A team of international and also developed indicators and appropriate
guards, especially since AGP will focus national experts shared global experiences reporting systems to enable monitoring of
particularly on women and youth farmers. with respect to institutional models and progress in a harmonised land sector.
The social Assessment studied the social land administration system reform.
characteristics of local communities and The main objective was to suggest Study on Institutional Structure and
established socio-economic baseline arrangements for a spatial and textual Human Resource Development needs
information, including the existence of land record management that could be in the Land Administration Sector
particularly occupational minorities and implemented sustainably and in a cost- sweden has supported the development of
other vulnerable segments of society in the effective way. The team reviewed existing the land administration sector in Ethiopia
proposed AGP intervention areas. it also land records management systems and since the early 1990s. Especially in Amhara
comprised a gender analysis of the oppor- data models in Amhara, Tigray, Oromiya region, sida has strongly supported the
tunities and constraints of women, men and snnPR as well as these regions’ strat- strengthening of land administration insti-
and youth to participate in agricultural egies to achieve complete coverage with tutions and training of land administration
growth and in local organisations that are textual records. in particular, the urban professionals through various programmes
active within various AGP value chains situation was investigated in Oromiya and initiatives, among them the ORGUT
already identified. The team proposed a region where the organisations for Urban implemented sida-Amhara Rural Devel-
range of measures to make the programme and Rural land Management have been opment Programme. Based on encourag-
design more supportive towards reaching merged, and in the City Administration ing results and interest of the Ethiopian
its intended target groups. An institutional of Addis Ababa. government, other land administration
capacity analysis of government units and The advisors also reviewed available programmes are also under implementa-
private sector actors responsible for AGP technology options and experience to tion or development in Ethiopia. However,
Using common land for grazing.
africa 9
the institutional capacity to deal with land Woreda Integrated Development Study Watershed Monitoring and Evaluation
administration is still generally very low Under the auspices of the Ethiopian Road Component of the Tana Beles Integrated
in the country and there is a serious lack Authority and with financing from the Water Resources Development Project
of trained manpower in the area of land nordic Development Fund, ORGUT par- The Watershed Monitoring and Evaluation
administration. This sida Framework ticipated in an international consortium to (WME) component of the Tana Beles inte-
study on institutional structure and Human formulate integrated development plans for grated Water Resources Development
Resource Development was requested six woredas (districts) in the two regional Project (TBiWRDP) originates from one
by the Government of Ethiopia (GoE) in states of Amhara and Tigray. The studies of the Fast Track Projects under the nile
collaboration with the World Bank with form part of a larger World Bank/nordic Basin initiative, which were targeted at
the aim to assist the GoE, Ministry of Development Fund financed rural roads bringing tangible benefits to the rural
Agriculture and Rural Development, in programme and were focused on mapping population of the Eastern nile area.
making informed decisions on land the location of current services and infra- The overall objective of TBiWRDP is to
administration issues and decide on how structure, and designing complementary develop enabling institutions and invest-
to structure the responsibilities at the infrastructural investment activities to ments for integrated planning, management
Federal level for land administration. in improve rural accessibility to economic and development in the Tana and Beles
the regions of Amhara, Tigray, Oromia and social services. sub-basins to accelerate sustainable
and snnPR, the consultancy team ORGUT provided three of the four growth. The Tana Beles WME has been
assessed and reviewed the current situa- international experts on the study team, specifically designed to support
tion for land administration institutions, including the Team leader and Environ- sustainable watershed development and
including their roles, responsibilities and mental impact Experts. Together with management through community based
relations to other institutions. They also seven Ethiopian experts, a number of planning and participation in the Ribb,
assessed the staffing situation in those sub-consultants, district coordinators and Gumera, and Jema sub-watersheds in the
institutions and carried out a basic train- enumerators, they carried out comprehen- lake Tana sub-basin. The WME provides
ing needs assessment resulting in a Human sive topographical, demographical, and specific monitoring and evaluation techni-
Resource Management and Development household socio-economic surveys using cal assistance, carried out by ORGUT
strategy. Based on the field work in the appropriate instruments including Geo- together with niRAs (lead) and GiRDC.
four regions, meetings with important graphical information systems. The The main focus of the intervention is to
central level authorities & donors and resulting data was analysed and compiled support the Bureau of Agriculture and
earlier international experiences gathered into six integrated Woreda Development Rural Development and the national
by the team members, the ORGUT team of Plans based on local priorities. The assign- Project Coordinating Unit in regular
advisors contributed with comprehensive ment was extended to give enough time routine monitoring of project activities,
recommendations and sharing of experi- for the draft plans to be discussed in local evaluation of project impact and training
ences to the Government of Ethiopia and workshops and in the different Woredas of stakeholders to improve the efficiency
development partners for the further to harmonise their plans with national and sustainability of the M&E system.
development of the land administration structures and priorities. This is carried out through horizontal and
sector in Ethiopia. vertical interaction with regional govern-
Procurement to the Addis Ababa ment institutions and various level stake-
Chamber of Commerce and Sectoral holders, but also between the different
Associations project components.
The Addis Ababa Chamber of Commerce
and sectoral Associations (AACCsA) is Rural Water Supply, Sanitation and
the oldest and largest Chamber in Ethiopia Hygiene Programme in Benishangul-
and has been promoting and protecting the Gumuz National Regional State
interests, rights and benefits of the business The Finnish Government supports Ethio-
community since 1947. in 2009, AACCsA pian efforts to provide rural access to
received a grant from sida to procure water and sanitation facilities through the
hardware, system software and network Rural Water supply, sanitation and
equipment for its three branch offices in Hygiene (WAsH) Programme in Benis-
Ethiopia. ORGUT was commissioned by hangul-Gumuz national Regional state.
AACCsA to coordinate the procurement Main programme objective is to help the
and delivery of all goods from suppliers in Government of Ethiopia to achieve its
sweden to the customer in Ethiopia. Universal Access Programme goals in the
ORGUT managed the purchase and pay- Region by building the overall capacity
ments to the supplier, transportation of of public, private and civil society imple-
the goods, insurance, documentation and menting partners to plan, implement and
customs clearance. Coordination of the manage a harmonised and sustainable
purchases and logistics was handled by a rural water supply, sanitation and hygiene
Project Management Coordinator at HQ programme. Programme target is that 98%
in stockholm. While the documentation of rural people live at a maximum 1.5 kilo-
and customs clearance were mainly carried meters distance to a water point, where
out by a local Procurement specialist at they can collect at least 15 litres of water
Participatory planning in the WASH
Programme in the Benishangul-Gumuz the ORGUT Representative Office in per person a day of a quality that meets
National Regional State. Addis Ababa. national standards. 100% of the people in
10 africa
MiCHAEL WOOD
Water, Sanitation & Hygiene Advisor, Rural Water
Supply, Sanitation and Hygiene Programme in
Benishangul-Gumuz National Regional State
“I am working in the small town of Gilgel
Beles, 10 hours drive north West of Addis
Ababa. Here only 25% of people have
access to safe water and less than 10% to a
latrine. Most schools don’t have water let
alone hand washing facilities. I’m here to
provide technical Assistance to the Zonal
Water Desk, the five Woreda water desks
and to three senior ethiopian field Advisors.
We use community Development funds to
help people construct water points and
sanitation facilities at schools and health
posts. Government of ethiopia officials,
who show up on motorbikes or walk for six
hours, encourage villagers to form WAsH
committees and apply for cDf funding.
once projects are approved, artisans are
trained on how to dig and construct wells.
Due to a lack of Gumuz artisans applying,
most artisans are highlanders who stay
during construction and are fed by the locals
on sorghum porridge which they don’t really
enjoy. In Wombera Woreda, two springs
are being protected and collection chambers
built. the community already dug a trench
2.5km down a steep mountain side to Gochar
village. A pipeline and taps will be provided
with locals contributing gravel and sand from
a far off river on the backs of donkeys since
the Woreda water desk has no vehicle.
some women can’t wait for the wells to be
finished. In uhaber, artisans found water
around 12 meters. Immediately women
came and started to draw water by hauling
Maintaining irrigation channels in the Tana Beles integrated Water Resources Development Project. it up in half an inner tyre tube and pouring it
in to their yellow plastic jerry cans. the
alternative was to walk an hour to some
stagnant pools in a river bed. I was afraid
the children would fall into the unprotected
Benishangul-Gumuz shall have access to advisors to the whole programme with well but the women didn’t seem worried.
at least lowest cost latrines with a hand part of the team based in the regional so there is an impact. Women are not
washing facility. capital Assosa and the field advisors walking as far as they used to. The water they
The programme was initiated through based in Metekel Zone, close to the get is of better quality. the catholic clinic in
a 15 months planning phase to develop programme woredas Bullen, Dibate, Mandura Woreda reported 2,000 cases of
activities for the programme implementa- Mandura, Wombera and Pawe special water borne typhoid last year and we are
waiting to see the figures for this year.”
tion phase July 2009 – June 2013. The pro- Woreda. The technical team supports
gramme introduces WAsH and related responsible authorities in the region in the
working methods with a focus on partici- development of water supply, water point
patory approaches. Community based establishment and small scale irrigation
planning, monitoring & evaluation, and in line with the national WAsH pro-
use of Community Development Funds gramme theme ‘One plan, one budget and
(CDF) are core implementation elements. one report’. They facilitate capacity
Woreda support Group consisting of building, development of participatory
technical advisors, Woreda and Kebele tools, community mobilisation and
staff, water, sanitation & hygiene com- implementation of CDF projects. To
mittees as well as private service provid- ensure access to reliable data for results
ers help to build cross-sector local plan- and impact monitoring, they develop sys-
ning, implemention and monitoring tematic WAsH data collection proce-
Michael with artisan; Field Advisor Bezabih Alem
capacity within local institutions. dures and manuals for data verification,
and Wombera Water Desk Head Haimanot
ORGUT, together with niRAs, pro- updating, entry and management of a Alemu at Ambifatah protected spring,
vides international and national technical Gis database. n Wombera Woreda.
africa 11
KENyA
Planning and Formulation of the Rural constraints and matched those with local
Development Programme in Western development priorities. At this stage,
Kenya – Improving Rural Livelihoods coherence and synergy with Finnish or
and Productivity other externally supported programmes
ORGUT together with niRAs concep- in the area was researched.
tualised and formulated a 4-year Rural An organisational set-up with detailed
Development Programme in Western staffing requirements was prepared and
Kenya for the Ministry for Foreign Affairs the need for international technical assist-
of Finland (MFA). in a highly participa- ance assessed. Considerable attention was
tory process involving local communities paid to designing a participatory plan for
and a broad range of state and non-state carrying out proposed development activi-
stakeholders, a team of international and ties. This included a robust system for
national consultants collected and ana- monitoring and documenting implemen-
A robust monitoring lysed relevant material and identified tation of activities and use of funds, but
approaches and activities for involving also capturing the degree of community
system captures project
citizens in selected districts in a cost- ownership and actual impacts at commu-
impact at community and efficient manner to ensure a high impact. nity and household level.
household level. People’s needs, poverty levels and develop-
ment potentials of selected districts were Evaluation of the Finnish Development
analysed and professionally managed pro- Cooperation in Western Kenya
gramme activities proposed. Promotion Over a five month period, a team of three
of gender and social equality, inclusion senior ORGUT consultants carried out an
of youths and marginalised groups, envi- evaluation of the Finnish development
ronmental sustainability, adaptation to cooperation in Western Kenya for the Min-
climate change and good governance istry for Foreign Affairs of Finland (MFA).
monitoring was considered. The purpose of this evaluation was to assess
The team then formulated the pro- to what extent Finnish development cooper-
gramme document in detail. Consultants ation programmes in water, health and live-
consolidated experiences and lessons stock sectors implemented in western Kenya
learnt in rural and agriculture develop- from the beginning of the 1990’s until today
ment, analysed organisational, policy, have had a direct or indirect impact on the
legal, technical, financial and political development of the area and the living
A local milk-processing centre.
12 africa
standard of target populations. The evalua-
tion identified reasons for successes and
failures and provided ‘lessons learned’ that
could be beneficial for the preparation of a
new programme in the Region. A main
objective was to identify trends and key
factors that promote the achievement of
socially, environmentally and economically
sustainable development. Therefore the
most essential question raised by the evalua-
tion was: ‘What works for whom and in
what circumstances?’ The team of experts
paid special attention to capacity building
and provided an informed opinion on cru-
cial factors that facilitate change in attitudes
of target populations and government
authorities, as well as in legislation and sec-
toral strategies. The team also assessed and
compared different management arrange-
ments of the various programmes. The study
contained conclusions and recommenda- Collecting Napier grass for zero-grazing.
tions on the most favourable approaches,
implementation methods, coordination- and
cooperation patterns and governance & sustainable and equitable use of land for capacity development strategies were
administrative procedures. in addition, the prosperity and posterity’. identified. The core groups of strategies
role that different aid disbursement modali- The implementation of the land Reform identified focus on national enabling envi-
ties and instruments play in hindering or programme is a complex, long term busi- ronment, procurement entity, procurement
promoting successful realisation of pro- ness- and cultural change programme. it professionals, and training institutions
gramme objectives was reviewed. OECD/ involves a wide range of stakeholders and and programmes.
DAC Evaluation Quality standards were the implementation of a considerable At national level, strategies focused
adhered to throughout the evaluation. in number of interlinked activities as well as on strengthening the function of the
addition, the quality of the evaluation was extensive capacity and capability building. Public Procurement Oversight Authority
assessed against nine quality criteria devel- The technical advisors assist the lRTU in and other institutions that promote best
oped by the Evaluation Unit of Europeaid. managing the reform in a coordinated and practises in procurement within the public
systematic manner. Their main role is the sector. At the same time strategies to
Technical Assistance to facilitation of activities in strategic capacity address the organisational structures
the Ministry of Lands building, demonstration interventions, within the Kenya institute of supplies
sida provides international technical institutional reform, public education and Management were presented.
assistance to the Ministry of lands for awareness, land information management At the level of procuring entities,
implementing the land reform in Kenya. system (liMs), legal issues, land manage- the understanding of procurement needs
ORGUT fields two long term technical ment and administration as well as actual to be enhanced and the terms of service of
advisors to the land Reform Transforma- lRs programme management. For creat-
tion Unit (lRTU) at the Ministry of lands ing a transparent land administration
in nairobi since 2009. The assistance is system, the long term strategic liMs Tech-
part of the land Reform support (lRs) nical Advisor provides strategic and pro-
Programme where sida, the World Bank gramme level support.
and UsAiD are major contributors. At the beginning of the assignment focus
Kenya has never had a clearly defined of TAs and their lRTU counterpart staff
national land Policy. This, together with is on long term planning of the land policy
the existence of many land laws, some of implementation and strengthening of the
which are incompatible, has resulted in a land reform transformation unit as such.
complex land management and adminis-
tration system leading to tenure insecurity, Procurement Capacity Development
land grabbing, under-utilisation of agricul- Strategy for Kenya
tural land, urban squalor, disparities in Through a GTZ contract, a team of
land ownership and poverty. Underlying national ORGUT experts and international
land issues regularly result in environmen- backstoppers delivered the ‘Procurement
tal, social, economic and political problems Capacity Development strategy’ for Kenya.
and violent conflicts. To address these in the first phase a detailed capacity
problems the formulation of a national assessment was done on 40 institutions
land Policy started in 2003 in a widely con- drawn from several key sectors and cover-
sultative process. The vision of the policy is ing the whole country, resulting in a facts Record keeping in the MFA-financed Livestock
‘To guide the country towards efficient, and findings report. in the second phase, Development Programme.
africa 13
n es from
Kenya
od Practic
Kenya Water and Sanitation Programme
ed & Go
to the advisors worked with capacity development
or
rn
ns Lea
Lesso
S u
sect
pport
Water
in December 2009 the Kenya Water and to strengthen the new institutions in their
sanitation Programme (KWsP) came to roles and facilitate consolidation of the
1
an end after almost five years of supporting restructured MWi. Almost 300 short term
and operationalising the comprehensive expert missions were also provided on
water sector reforms in Kenya. The main request from the various reforming insti-
the professionals were considered to be key reform elements being to separate actors’ tutions.
to a better working environment. Other roles and functions for delivery of water Technical assistance significantly con-
strategies focused on organisational and services, regulating the sector, financing tributed to all three major KWsP compo-
reporting structures, physical resources, of poor communities and management nents. Under the Rural Water supply and
specialised procurement, legislative and of water resources. The programme was sanitation Component, main results were
regulatory framework, procurement plan- coordinated by the Ministry of Water and the establishment of 8 Water services
ning, budgeting, and financial resources. irrigation (MWi) and focused on improv- Boards and their initial operations; the
strategies regarding procurement pro- ing the administrative, managerial and development of financial management sys-
fessionals included leadership and skills, technical capacity of the restructured tems; the development of systems for rural
academic procurement qualifications, institutions to meet the country’s water community empowerment, the pro-poor
professional procurement qualifications, needs. KWsP was co-financed by sweden allocation of resources and the inclusion
continuous professional development, and Denmark and started in 2005. it aimed of cross-cutting issues within a system of
ethical standards and membership in at creating an enabling environment for support to communities, which encourages
professional associations. the entire sector, ensuring effective and outsourcing and the utilisation of private
Whereas Kenya has a number of uni- equitable delivery of water services and sector capacities.
versities offering procurement training establishing affordable and safe rural The Water Resource Management
programmes, several areas to enhance water supply & sanitation facilities and Component managed to establish the
the capacity were presented, including management modalities. The programme Water Resource Management Authority,
academic procurement curricula, qualifi- facilitated close coordination between the its national office, 6 regional offices and
cation of trainers, equipment and training new institutions, other relevant ministries, 25 sub-regional offices; it’s organisational
facilities, and linkage to research and nGOs, community based organisations and staffing structure, job descriptions
industry. To enable effective and efficient and the private sector. and working environment. The continuous
implementation, several M&E indicators ORGUTs international and national component support included the clarifica-
were suggested. long term advisors supported the Ministry tion of roles and responsibilities of various
The assignment followed the recom- itself, the eight Water service Boards, the sector institutions in relation to water
mended UnDP Guidelines on Procure- Water services Trust Fund, the Water resources management; the establishment
ment Capacity Assessment and strategy services Regulatory Board and the Water of a coherent water resources management
Development. Resource Management Authority. These framework for surface water, groundwater
14 africa
and water quality monitoring & manage- institutions, b) the establishment of finan-
ment and the establishment of the WRM cial and operational systems that are pro- JACqUELiNE MUSyOKi
information system based on the use of poor, enhance community empowerment Chief Executive Officer
Water Services Trust Fund, Kenya
MiKE BAsin and other software for per- and reduce fiduciary risk and c) the estab-
mitting all on a Gis platform. After the lishment of a coherent framework for “I come from an arid area in kenya and
establishment of the Water Resource water resources management for more being a girl, I spent long hours fetching
Users Associations development cycle and equitable water access. water for my father’s family throughout my
development of systems of financing water Through KWsPs financial and tech nical childhood. Well into the 1990s, women’s
resources management, much focus was assistance to the development of effective contributions to the planning of community
on managing water catchments through a systems and massive skills transfer and based water schemes were not really
welcome. the new water policy and the
range of activities at grass roots level. staff capacity development, the reliance
subsequent Water Act of 2002 finally led to
Experts also supported the Water sector upon donor support was found to have
the formation of the Water services trust
Reform Component through an analysis diminished. Many instruments for an effi- fund. It provides financial support to rural
of staffing level requirements, numerous cient, economically and ecologically sus- and urban communities for improved access
studies in regard to the restructuring of the tainable water sector have been acquired to water and sanitation. through kWsp, the
Ministry and other Water sector institu- by reforming institutions and other crucial Wstf developed simple, participatory and
tions (Wsis) existing prior to the reform, sector stakeholders nationwide. The study transparent processes for community
by supporting the strategic development found that designing a reform programme projects. the recent drought in kenya shows
of Wsis and in the preparation of sector around a comprehensive, appropriate that good community schemes become ever
Financing and information systems. legislative framework, such as the Kenyan more important. the technical assistance to
Water Act, is a feature for success. A high the Wstf itself helped create an institution
Lessons Learned and Good Practises from degree of alignment of donor funding that adheres to principles of good corporate
Support to the Kenyan Water Sector flows to sector reforms can be offset by governance. our performance so far actually
impressed even the private sector. I do
On behalf of Danida, ORGUT Consulting inconsistencies between government and
appreciate the support I receive from
Kenya ltd carried out this assignment donor financing of the sector as a whole.
kWsps technical assistance. It provides
with a team of five experts from April to strategic priorities for sector financing
swift and yet strategic solutions to meet the
December 2009. Based on the guiding should be an integral part of any sector challenges in application, funding and
principles of the Kenyan water sector support and governments need to lead follow-up process of so many water and
reform and the Water Act 2002, the assign- donors to align to sector policies and sanitation projects. the ‘best practises’
ment analysed past and projected sector reforms. Freely available data, analyses, acquired by the Wstf staff are systemati-
financing, sector programmes, transaction reports, degree of service provision and cally passed on to the Water services
costs and cost benefits. Particularly the public performance have shown to improve Boards, Water
outcome of the water sector support government accountability and trans- services providers
through the sida-Danida financed Kenya parency. Danida recently published the and communities.
Water and sanitation Programme (KWsP) ‘lessons learned and Good Practises these transparent
was analysed in terms of a) effective opera- from support to the Kenyan Water sector’ processes also
attract more and
tionalisation of the Water Act and support describing in detail the programme,
more development
in the delineation and better understanding its policy lessons and other findings. n
partners to the
of roles and responsibilities of respective
Wstf.”
Results in improved water supply and
sanitation, percent of baseline coverage
in KWSP area
60
40
20
0
Household Water
Sanitation Supply
2005 2009
africa 15
MOZ A MBiqUE/ZiMBABWE
Pungwe Basin Transboundary Integrated gradually into existing government contribute to poverty reduction. The
Water Resource Management and administrative structures. The tasks of purpose of this assignment was to assist
Development Programme the PsU staff include the procurement of sida in assessing the poverty focus and
since 2007 ORGUT as lead company in consultants, equipment and works. The impact of its Regional Water initiative
association with COWi A/s provides sup- role of international and national techni- and provide evidence of linkages between
port to the implementation of the Pungwe cal advisors is meant to be temporary, transboundary water cooperation and
Basin Transboundary integrated Water complementary and restricted to the poverty reduction, as well as to provide
Resource Management and Development delivery of support services to the various baseline data for future results assess-
Programme. The programme focuses on institutions implementing the programme. ments and formulation of future support
strengthening of institutions, stakeholders The major ORGUT contract objectives are interventions in the Zambezi River Basin.
and systems, and at the same time attempts related to the establishment, staffing and ORGUT provided a senior international
to achieve visible poverty reduction impact administration of the Programme support consultant who compiled and assessed
through a menu of priority projects, a fund Unit, the provision of an institutional existing macro-level poverty-related infor-
for participatory community led projects development advisor and the procurement mation linked to watersheds, carried out a
and the facilitation of an investment fund. and financial management of expenditures poverty mapping, performed a multi-dimen-
The national Directorate for Water in incurred in Zimbabwe. in addition, sional analysis of poverty and its possible
Mozambique provides the overall guid- ORGUT carries out services for tendering causes, and gave recommendations on the
ance for the programme with the responsi- and contracting of short term consultancies way forward. The study primarily built on a
bility for operational matters resting with on request basis. review of secondary data on transboundary
the Regional Water Administration of water management (TWM), integrated
Central Mozambique in Beira. Here, the Study on Transboundary Water water resources management (iWRM), and
Programme support Unit (PsU) manages Resources Management and Poverty poverty reduction interventions carried out
planning, coordination, implementation in the Zambezi River Basin in the southern part of Africa in general and
and monitoring in close cooperation with sida's Regional Water initiative in south- in the Zambezi River Basin in particular.
Regional Water Administration of Central ern Africa aims at achieving equitable, Together with a national expert, the Team
Mozambique and ZinWA-save in Zimba- sustainable and efficient use and manage- leader carried out complementary field
bwe. This PsU has its own corporate iden- ment of shared water resources through visits in the river basin. n
tity, thereby integrating the programme integrated management and, in this way,
KENyA, UGANDA, TANZ ANiA
Integration of Natural Resource interviewed community and government
Management into Local Government stakeholders, civil society and private sector
Decision Making actors on management of forests, land,
sustainable management of natural wildlife, water and fish in sample locations
Too few local governments resources (nRM) is needed to maintain in the three countries. The report high-
manage their natural economic growth and poverty reduction in lighted major country specific bottlenecks
resources in a sustainable Kenya, Tanzania and Uganda. in all three for sustainable nRM, but also identified
countries with their differing local govern- existing local ‘best practises’ for improved
manner.
ment structures, decentralisation reforms natural resource management with a poten-
are transforming the institutional frame- tial for scaling-up. This was linked to an
work and conditions for local natural analysis of institutional conditions that are
resource management. Yet, local govern- particularly conducive for effective decen-
ments that manage natural resources tralised nRM. The researchers proposed
with a high degree of local participation mechanisms for integrating decentralised
and that plough back gains from these nRM, sector legislation harmonisation and
resources into locally prioritised develop- local government reforms. They also sug-
ment activities are few. This World Bank gested financing mechanisms and account-
study aimed at capturing ‘best practises’ ability tools, discussed capacity building
for efficient and effective inclusion of requirements and identified technical assist-
nRM in decision making within local ance needs in future nRM programmes.
governments of varying institutional study findings and recommendations,
maturity. The study also discussed inte- which despite a broad range of fundamental
gration of cross-cutting issues, use of similarities, vary considerably between the
indigenous knowledge and levels of three countries, were presented to govern-
involvement of non-state actors. ment, civil society and donors in several in-
A team of 7 national and international country workshops and their feedback was
consultants carried out desk studies and incorporated in the final report. n
16 africa
TANZ ANiA
Securing Sustainability of LAMP on improving the quality of life and
Initiatives increasing agricultural yields for food
The post-programme phase of the land security and income generation. Compre-
Management Programme (lAMP) has been hensive land rights and village land owner-
extended until June 2010 to ensure capture ship campaigns introduced good govern-
of ‘best practises’ and sustainability. Activ- ance and democratic participation in the
ities are organised and planned together management of natural resources. During
with stakeholders and are primarily used the latter half of the programme, focus
for technical assistance and for facilitating was on improving overall district public
the districts’ and the communities’ partici- service delivery and promoting business
pation in programme activities and capac- development and microfinance.
ity building events. Based on experiences from the previous
lAMP was implemented by the District lAMP Phases, districts themselves identi-
Councils and lower local government fied activities for this follow-up programme.
levels in the districts of singida, simanjiro, One cluster of activities contains the
Kiteto and Babati, where it was fully inte- strengthening of community user groups
grated into the normal local government within the suledo Forest, Burunge Wild-
development processes. Funded directly life Management areas and various water
by sida, the districts were responsible for schemes for fully utilising, operating and
planning, implementing and reporting maintaining the natural resources they
activities. By the end of 2007 all previous have been entrusted with in a sustainable
lAMP supported activities operated with- way. A smaller pilot coupe for harvesting
out direct funding from sida. lAMP ini- in suledo has been initiated during 2009.
tially focused on natural resource manage- The pilot is set up for the suledo joint man-
ment, with an emphasis on participatory agement to learn lessons in terms of the
forest management to conserve an ever harvesting operations and financial man-
decreasing forest cover. lAMP then con- agement. The management of the suledo
centrated on land management to find forest has now undertaken a procurement
ways of utilising land and water resources process resulting in selection of a local
in a sustainable manner. To mitigate company that will harvest the pilot coupe.
effects of unpredictable weather patterns, in a second group of activities, the pro-
methods in conservation farming and dry gramme provides policy and decision mak-
land agriculture were explored and dis- ers at central level with valuable first hand
seminated, while support to water supply information on the realities in the field.
schemes and rainwater harvesting focused This ‘reality check’ covers lAMP initiated
Roadside drying of grains for milling and sale.
africa 17
Total transparency in logging and sale of timber.
activities as well as the complex decentrali- with the Embassy of sweden and strength-
sation and local Government Reform ens ties between the programme and
process currently underway. reforms affecting the Districts, notably the
Technical Assistance facilitates and ‘Decentralisation by Devolution’. The
strengthens links between communities, Office therefore works closely together
districts, Prime Minister’s Office Regional with PMO-RAlG, District authorities
Administration and local Government and community representatives.
“i like VICOBA because it (PMO-RAlG) and the private sector. This
even changed my lifestyle. assistance is demand driven, flexible and Facilitation and Creation of Awareness
if i have a problem, or get task oriented since community organisa- of Participatory Forest Management
tions are in different stages of institutional Already in 2007, ORGUT successfully
sick, i can come to VICOBA.
maturity and legal status and therefore facilitated the officially approved estab-
Even if i need school uni- require tailor-made support. since full lishment of comprehensive Participatory
forms i can come to the compliance with laws and regulations are Forest Management (PFM) practises in
group. Before my children often tested for the first time in practice 15 villages in Babati District of Tanzania.
were sleeping down on the and communities must be able to plan and During 2008, ORGUT was again contracted
manage their projects independently, advi- by the Forest and Beekeeping Division of
floor. i have now afforded
sors assist in developing robust and sus- the Ministry of natural Resources and
to buy a mattress for them. tainable project management systems and Tourism in Tanzania to initiate implement
This is why i like VICOBA.” routines. links with national and interna- PFM planning in Kigoma and Kasulu
Nangwabi Silerian, 32 tional research institutions are strength- Districts based on these well documented
ened to derive generic lessons learnt on ‘best practises’. The assignment started
most enabling preconditions and proc- towards the end of 2008 and was completed
esses for sustainable natural resource during 2009. ORGUTs technical advisors
management, participatory processes, facilitated the districts in preparing appli-
local empowerment and decentralisation. cations to be submitted for support by the
A Programme support Office (PsO) World Bank funded TAsAF ii programme.
manages short term consultancy inputs, The approach is based on full participation
while long term advisors in two districts of each village in initiating, planning,
support field activities on a continuous implementing and monitoring their own
basis. The PsO also links the Districts forestry projects. This approach ensures
18 africa
that the rights of all stakeholders and user awareness and capacities to demand more
groups are considered and that they are transparency and accountability within the The Progress of the VICOBA Programme
empowered to voice their interests and pri- community. it expands the horizon for a Targets to be Status of
reached by 2011 November 2009
orities. This takes place through formal wide variety of business opportunities and
2,000 groups 1,573 groups
and informal meetings and comprehensive instils an entrepreneurial mind set. Many
60,000 members 41,825 members
training sessions with the respective com- ViCOBAs now also act as a local investor/ 8 million usD 1,63 million usD
munities. entrepreneur in their respective villages,
successfully investing in small but profita-
The VICOBA Programme ble income generating and productive
– Community Managed Microfinance activities, such as go-downs, slaughter slabs,
Following the successful introduction of milling machines, cattle dips or water
a microcredit methodology based on the kiosks. in other instances, ViCOBAs take
Village Community Banks model in the over management of existing local infra-
“Before only 20–25 sacks
sida-funded land Management Pro- structure investments, generate a profit
gramme and the District Development and set up operations and maintenance
per month, now at least 50
Programme in Tanzania, ORGUT was schemes. Many ViCOBA groups are now per month. in a good month
awarded a contract with the Financial linked to other social services such as there is potential to process
sector Deepening Trust for a nationwide health insurance, participatory environ- 130–150 sacks, if i just have
3-year ViCOBA programme. This com- mental conservation initiatives, livestock
munity managed programme aims at management and educational facilities for
the capital. There is more
creating 2,000 new ViCOBAs targeting group members and their families. demand than supply.”
60,000 rural people in the semi-arid and The ViCOBA Programme had at the Abdulah Hamsi, 32
isolated rural areas of central, northern end of 2009 been in operation for 21 months
and southern Tanzania. it is expected in 20 districts, covering 6 regions of north-
that the total amount of funds will exceed ern, Central and southern Tanzania.
8 million UsD by project end. Already 1,748 groups have been created,
The ViCOBA is a village savings and which corresponds to 88% of the target of
loans scheme based on groups of between 2,000 groups at the end of the programme
25–30 people that have proven to be very in 2011. The Programme is already reaching
successful even in very isolated, illiterate over 47,000 people that have mobilised 3,2
and poor rural areas. The programme has Million UsD in savings.
the capacity to mobilise and enthuse
socially and economically marginalised Sustainable Management of Land
individuals and households to influence and Environment in Zanzibar
and master their own future. Experience since 2005, Pöyry Finland Oy, niRAs
shows that the majority of participants in Finland and ORGUT have provided tech-
ViCOBAs are women. nical assistance to the sustainable Manage-
Training and capacity building is the ment of land and Environment Programme
main component of the programme. The (sMOlE) in Zanzibar, Tanzania. The first
model is based on a year long training and phase of the Programme came to and end
follow-up cycle. ORGUT manages a Pro- during 2009, followed by a procurement
gramme Office in Arusha with an interna- process for the second implementation
tional Chief Administrative Advisor/Team phase, 2010-2013. sMOlE is a develop-
leader, a Chief Technical Advisor and a ment cooperation initiative between the
Monitoring and Evaluation Expert. in Governments of Zanzibar and Finland.
addition, ORGUT employs 20 Field
supervisors (Fs) who are responsible for viCOBA group record keeping.
one District each. Each Fs has 10-13 Field
Trainers reporting to them. Field Trainers
initially advise groups on saving methods,
credit group responsibility and business
planning and then successively reduce
their assistance. Once a ViCOBA is up and
running it can play an important role in
stimulating local economic development.
Reviews of well-established groups
show that ViCOBAs cause unexpected
positive ripple effects in broader develop-
ment terms: a ViCOBA’s role, as a study
circle for adult education in financial liter-
acy, enables villagers to understand risks,
interest rates, make business plans and
calculate investment returns. This raised
africa 19
The Programme aims at promoting making and service delivery mechanisms civil society organisations in four councils.
sustainable land use by supporting in Tanzania. in a decentralisation context, international experts on local governance,
improved land management practices the delivery of social services, including decentralisation and accountability pro-
through strengthening of the land depart- health and education, are the responsibility vided additional inputs to the final report.
ments under the Ministry of Construction, of local authorities. The findings of the
Water, Energy and lands and the Forestry study paint a mixed picture. At first glance, A Second Opinion on Hale Feasibility
and Environment departments under the there are elaborate systems of accountabil- Study in the Context of Water Resources
Ministry of Agriculture, livestock and ity in place. in practice however, the basic sida received a request from the Ministry
Environment. specific objective for accountability functions in the surveyed of Finance and Economic Affairs to pro-
sMOlE ii is to achieve the medium level councils are poor or non-functioning. The vide funding for a rehabilitation of the
of operations and feasibility in sustainable study made recommendations organised Hale Hydro Power Plant (HPP) on the
land and environmental management. under the three themes of information man- Pangani River in Tanzania. located in
During Phase i (2005–2009) a number agement and transparency; legal frame- Tanga Region, the Pangani river makes
of pilots in land management have been work for electoral representation; and an important contribution to Tanzania’s
implemented, which have resulted in the social accountability at local level. Clear electricity supply and a continuous availa-
establishment of a land Register, piloting regulations on what information should bility of water in the river for production
of cadastral surveys and adjudication be publicly available are needed. These of electricity is essential. A senior ORGUT
processes and functional land transaction regulations should also specify how availa- consultant was hired by sida to carry out
procedures, which will be consolidated in bility of the information can be ensured. an in-depth assessment, which aimed at
Phase ii. support to the institutionalisa- Especially ward and village levels must be providing a second opinion to a Feasibility
tion of environmental management will able to manage such information accord- study done earlier in 2009 in context of
be expanded in Phase ii through focused ing to best practises in accountability. water resources and its sustainability for
institutional support to the Department Additional investments in councillor power production at the HPP.
of Forestry and to the Department of training and raising of their general quali- The scope of work included updating of
Environment, with the aim of reaching an fication is crucial. The study also recom- climate data, collection and analysis of
operational level of land and sustainable mended a review of the O&OD planning water-rights issues, population data &
environmental management by the end process to improve community ownership developing trends up to 2050 and an assess-
of Phase ii. over entire planning and budget process. ment of the River Basin Organisation’s
innovative approaches for civil society capacity. A specific sensitivity analysis with
Africa Local Council Oversight and facilitating accountability, for example regard to variance in climate conditions and
Social Accountability Project expenditure tracking activities, should be water use was carried out. The consultant
The World Bank supported Africa local supported. For this study, ORGUT gov- also provided recommendations regarding
Council Oversight and social Accounta- ernance experts carried out over 180 inter- water availability for hydro power produc-
bility Project (AlCOsA) focused on link- views with councillors, council staff, citi- tion in relation to the estimated lifespan of
ing good governance to local decision zens, representatives of nGOs and other the investment in the Hale HPP. n
20 africa
Z A MBiA
Midterm Review and Formulation
of a Second Phase of the Programme
for Luapula Agricultural and Rural
Development
The Programme for luapula Agricultural
and Rural Development (PlARD) is a new
phase in the 25-year history of Finnish-
Zambian cooperation in the agricultural
sector in luapula Province in Zambia.
The overall objective of the programme
is to contribute to the development of an
efficient, competitive and sustainable
agricultural and rural sector, which
ensures increased income and food secu-
rity for the people of the Province.
ORGUT was during 2009 awarded a
contract with the Finnish Ministry for
Foreign Affairs to carry out a two-phase increasing yields with appropriate technology.
assignment.
The first part of the assignment consisted
of a midterm review of the Programme. Agriculture and Cooperatives (MACO) ently employed by MACO. it consolidated
This was an independent evaluation with in designing a second phase of the PlARD an updated analysis of the situation,
the view of guiding both the current pro- for 2010–2014. The formulation was based resources, restraints, development needs
gramme implementation and the design on results and lessons learnt from the first and priorities relating to the agriculture
of a new phase. The purpose of the mid- phase, which were identified and analysed and rural development in luapula Prov-
term review was to learn lessons from the during the midterm review. The formula- ince. it examined options for a programme
programme design and implementation tion also considered lessons learnt from and presented detailed recommendations
including assessing the relevance, feasibil- other recently evaluated donor-supported on design and implementation consistent
ity and sustainability as well as appropri- agricultural projects. Furthermore, the with the expected requirements and exist-
ateness of funding modalities. formulation reviewed any relevant aspects ing capacity of the partners in the public
The key objective of the second part of of the analysis of different project/ and private sectors. n
the assignment was to assist Ministry of programme implementation models pres-
WEST AFRiCA REGiONAL
In-depth Assessment of PREMI, the IUCN study of documents and field visits to four
Poverty Reduction and Environmental countries in West Africa, where discus-
Management Initiative for West Africa sions and sharing of findings with local
ORGUT has provided the Team leader iUCn staff and project stakeholders took
for an in-depth assessment of PREMi, the place. The consultants assessed each of the
iUCn Poverty Reduction and Environ- projects and its supporting activities as
mental Management initiative for West well as the programme as a whole, analys-
Africa 2009–2011 in Guinea-Conakry, ing the various initiatives in accordance
Mali, Burkina Faso, Ghana, Gambia, sen- with sida’s Contribution Management
egal and nigeria. The initiative receives parameters.
sida support and consists of projects in in 2009 sida requested an additional
ecological restoration and forestry, dams desk review where the consultants revis-
and capacity building for environmental ited and examined the documentation of
management. supporting activities, each of the projects as well as the overall
mainly in capacity building and advocacy, programme document, especially with a
complement these projects. view to verify whether the recommenda-
The initial assignment was carried out tions made a year earlier by the same team
in 2008 through a comprehensive desk had been taken into account. n
africa 21
viETNA M
Chia Se Poverty Alleviation Programme mately 200,000 inhabitants accessed on
‘Chia se’, which stands for ‘partnership’ average UsD 10,000 each on an annual
in Vietnamese, is a sida-funded poverty basis over four years. Villagers selected
alleviation programme applying a rights- activities, decided on the use of the funds
The Chia Se Objectives based approach. ORGUT provided tech- and were responsible for its management
nical assistance in management, institu- and monitoring. Practicing transparency
A just, fair and tional capacity building, methodology and accountability in public decision mak-
sustainable society development and results documentation ing gives villagers better insight into local
is evolving
since the programme inception in 2003. administrative processes and reduces
international and national advisors were corruption.
stationed at the Programme secretariat independent reviewers recorded several
Poverty is alleviated
and economic in Hanoi, at Provincial secretariats, and major results attributed to Chia se. Com-
growth is sustainable district centres. With an overall budget of munities now have better access to rural
UsD 43.5 million for phase i, Chia se is infrastructure, productive farming
part of Vietnam’s socio-Economic Devel- resources, health services and higher
Objective of Provincial opment Plan for 2006–2010 and supported health insurance coverage, secondary
projects
the thrust towards decentralisation by schooling (especially for girls), protected
Poor households have
good acess to poverty making poverty alleviation a demand latrines, and clean drinking water than in
alleviation resources driven process. The discretional manage- comparable areas. in the programme
ment of local Development Funds is a areas, the number of households below
Chia se core concept. it empowers local the poverty line decreased 8–16% faster
Objective of National communities to pursue their own develop- than in comparable areas. Women and
Project
ment priorities and make articulate men reported to have benefited in equal
Effective national support
to poverty alleviation demands for improved public service deliv- proportions. Higher participation of male
ery. Close to 500 villages with approxi- and female villagers in regular meetings
22 asia
led to considerable increase in transpar- dependency on forest products. This is Povert y reduction has been 29.57% higher in
Chia Se areas than Non-Chia Se areas (Bac Me
ency and openness with women and ethnic threatening the biodiversity of the pro- and Hoang Su Phi Districs)"
minorities reporting the highest increases tected areas. The sRTA gave a presentation
50,000
in sense of empowerment and influence. to a World Bank Review Mission, urging a
The management efficiency in the Vietnam- change in policy to allow the project to
ese government system increased during train local communities to collect wild 40,000
the period and as many as 96% of villagers food and medicinal plants of local eco-
consider that “Chia se has enabled cadres nomic importance from inside the sUFs 30,000
to come closer and listen to people’s views”. and to propagate these in their home gar-
Based on these achievements, the dens for food or for sale. 20,000
Ministry of Planning and investment The WB Mission ended up recommend-
(MPi), is applying Chia se methodology in ing that the sUF management board must 10,000
the nationwide socio-economic planning provide mitigating measure in the form of 2004 2005 2006 2007 2008
(sEDP) and a Guidebook for sEDP plan- support to small scale livelihood and
Poor People in Chia Se Areas
ning at lower levels has been approved by income generating activities, when restric-
the Ministry. Positive programme experi- Poor People in Non-Chia Se Areas
tions on collecting forest products are
ences with participatory approaches to imposed. Examples are propagating wild Source: DOLISA Estimate
poverty alleviation have influenced the medicinal plants and tubers for food or for
Ministry of labour, invalid and social sale; developing alternative livelihood
Affairs, the Ministry of Agriculture and options in the buffer zones such as growing
Chia Se have Improved gender equality
Rural Development and the Ministry of ornamental plants from wild forest plants;
• 90% of women feel they are more
Finance. and providing poor households extension knowledgeable about their legal rights
A second phase of Chia se will run advice on growing vegetables in raised • 71% think that men respect women more
from 2010–2013. sida supports the first two beds to feed the family, and breeding wild now than before chia se
• 44% of the trainees were women at
years, while the Vietnamese Government lizards for food. village level
finances the remaining period. The second in 2009 the project successfully rehabil- • 60–80% increase in women’s active
phase will scale up the rights-based meth- itated seven hectares of a remnant wild participation in village community
odology developed in the first phase, rice swamp, infested with Mimosa pigra. meetings
through a) developing an even more cost- The wild rice grows naturally in the marsh,
efficient model; b) field testing of full inte- and provided an important source of food
gration of the Chia se approach into for local people during the Vietnam War. Percentage net income increases in the Ha
nation wide sEDP planning and poverty The wild rice is now producing seeds which Giang Province 2004–2008
reduction programmes, and c) strategic will be planted to expand the restored area
Production Chia Se Non-Chia
communication for high and local level and used in other areas. Chinese scientists item (Ha Giang) Se areas
policy impact. are now seeing if the DnA of the wild rice crop production 103% 77%
can be used to improve yields of rice varie- Animal production 57% –47%
Special-Use Forest Planning and ties in China. n
Implementation – Southern Regional
Technical Assistance Team
The Governments of Vietnam, Finland
and the netherlands, together with the
Active participation in village meetings.
World Bank, support this six-year project
for the conservation of biodiversity in
special-Use Forests (sUFs) throughout
the country. This is being achieved
through the Vietnam Conservation Fund
which provides small grants to initiate and
improve management of forests with high
biodiversity value. ORGUT provides the
southern Regional Technical Assistance
(sRTA) team to help build the capacity
of sUF Management Boards and local
communities at sites that receive grant
support, by helping them prepare project
proposals and supporting documentation.
To date the sRTA has assisted in preparing
proposals for 19 sUFs out of the target
of 23 special Use Forests. A number of
second grants have also been prepared.
The sRTA has shown that the failure
by local communities to achieve food secu-
rity, on small plots of land around their
homes, is resulting in high levels of
asia 23
L AO PDR
Environmental and Social Capacity ning & monitoring systems, resettlement &
Development in the Road Sector compensation action plans, ethnic minor-
The aim of this project was to support the ity development, and social action plans.
An Environmental and Environment and social Division of the A broad range of state and private sector
social Operations Manual Ministry of Public Works and Transport actors at central, provincial and district
standardises procedures. to improve its institutional capacity for levels benefited from comprehensive train-
mainstreaming environmental and social ing and other capacity development
safeguards in the country’s transport sec- inputs.
tor. Much work was focused on capacity A team of international and national
development at central and provincial level advisors facilitated regular working group
in the application of environmental and meetings and interaction between line
social safeguards and assisting govern- ministries and donors, to reach agreements
ment staff in curriculum development, on streamlined roles and responsibilities
teaching aid design, standardising of plan- of various institutions and stakeholders.
Minimising environmental impact of
Particularly, the roles and responsibilities
road construction. of the Department of Roads and its Envi-
ronmental and social Division, as well as
those of actors at provincial and commu-
nity level have been defined and detailed in
various operational manuals.
During 2009, much technical assistance
went to strengthening the ministry in harmo-
nising funding procedures and guidelines
for transport sector projects acceptable to
state agencies, donors and civil society alike.
specific attention was given to finalising
the Environmental and social Operations
Manual (EsOM) that standardises proce-
dures within the Ministry and key donors.
The EsOM was approved by the Ministry
and subsequently translated into lao and
printed. it has been well received by state
agencies, civil society and major donors in
the sector. n
MyANM AR
Independent Assessment Mission of the field visits to four different areas in
UNDP Human Development Initiative the country, including the Delta area
For two annual review missions a senior where cyclone nargis struck in April 2008.
ORGUT consultant has been selected for Extensive structured and semi-structured
assessing the performance of the Human interviews were held with villagers, project
Development initiative (HDi), co-financed and programme staff at different levels,
by UnDP, sida and DFiD. nGOs, Un agencies and a number of
The main focus of the missions was to Embassies. The consultant also gathered
assess UnDPs work to target poor benefi- information and reflected upon potentials
ciaries and whether recommendations of for future development assistance in the
a 2007 Mission had been acted upon. The field of sustainable natural resource use
technical expert focused on reviewing and management in the country.
achievements in reaching the very poor, During the second mission in 2009,
M&E mechanisms, gender considerations the team was requested to also assess
and programme sustainability as well as the performance of HDi itself and in June
management and coordination issues. they presented their findings in a Final
Both missions included desk studies and Report. n
24 asia
A delivery from the nursery.
NiCAR AGUA
FondeAgro associations, agribusiness & marketing,
ORGUT advisors have supported the and export promotion. “The FondeAgro organised
Ministry of Agriculture and Forestry in The programme’s monitoring & evalua- trade fairs have been very
implementing FondeAgro through its tion system documented a considerable important because companies
design and implementation phases since impact. The overall income increase from
2000. FondeAgro’s main objective is pov- 2001 to 2009 is almost 100% for the direct
offering commercial & finan-
erty reduction among small and medium beneficiaries. since 2003, the number of cial services and producers are
sized producers in seven rural municipali- direct participants more than doubled, brought together in one place.
ties in Matagalpa and Jinotega provinces with women making up over 35% of the Ultimately, everyone benefits,
in northern nicaragua. As an operational more than 20,000 people reached directly.
because the producers can
unit of the Ministry of Agriculture and The access to agricultural credit has
Forestry, FondeAgro also has the objec- steadily improved. A corresponding
buy veterinary products, solar
tive of strengthening the capacity of the increase in capitalisation of farms has panels, electric fences, and
Ministry’s personnel for coordinating been noted and repayment rates are close forage choppers at trade fair
agricultural development in the country to 100%. substantial productivity gains in prices, and obtain financing
through structured staff training and milk, coffee and animal breeding have
on the spot”
improvement of administration and man- been achieved and the percentage of milk
agement systems. A marketing component farm sales through formal channels have Martín Lacayo, TechnoServe Manager
based on the full value-added chain sup- increased by more than 95% since 2003.
ports the key programme concept of linking The programme has not only had a pos-
farmers to buyers and markets. Together itive direct impact on smallholder
with their counterparts, ORGUT advisors incomes, but also contributed to broader
designed on-farm extension, rural house- capacity development in the regional agri-
hold economy support, agricultural credits, cultural administration and among micro-
support to individual farmers, farmer’s finance and cooperative organisations.
Latin America 25
in 2009, FondeAgro entered into its provinces. Capacity building on better
final phase of full implementation of activ- land use practices aims at mitigation of,
ities at operational level. Focus for the and adaptation to, the effects of climate
third and last phase lie on transferring change with special focus on vulnerable
knowledge and experience gained during ecosystems. The main components of the
the entire programme and structured project are the reduction of vulnerability
gathering and disseminating of ‘lessons and future risks for small and medium size
learned’ to institutions and initiatives such agricultural producers and the institu-
as the national agricultural sector pro- tional and managerial strengthening at
gramme PRORURAl and international local level in watershed management and
donor organisations. Various studies sug- climate change associated actions. This is
gest that the programme has contributed complemented by a range of studies and
strongly to the creation of sustainable, assessments on future risks related to cli-
robust market linkages. A high level of mate change and development of strategic
capacity has been built within a wide range approaches to adaptation actions.
of local organisations, including produc- ORGUT provided a group of specialists
er’s associations, credit organisations, for the assessment and designing of the
extensionist organisations and women project proposal. The team of experts first
Percent of persons moving out of
groups. ‘Best practises’ from FondeAgro evaluated the proposed interventions tech-
absolute povert y under the FondeAgro, are now used in the design of future agri- nical, socio-economical, financial, institu-
average gross net income increase per
household and day in Jinotega and Matagalp
culture sector support interventions in tional and environmental feasibility and
and beyond the region. then analysed the institutions and target
2001
groups involved. Based on these findings
Feasibility Study and Final Design the advisors compiled recommendations
Above of a Watershed Management and on project organisation, administration
1 dollar
27% Climate Change Project and a draft ‘Operative Manual for Project
Below
1 dollar The Ministry of Environment and natural implementation’. The assignment was
73% Resources in nicaragua, contracted carried out using Gis-tools for multipur-
ORGUT through the Environment and pose evaluation to identify development
social Forestry Program (POsAF), to priorities based on socio-economics,
carry out a Feasibility study and Final technical and environmental key criteria
2008 Design of a Watershed Management and to facilitate informed decision making.
Climate Change programme. The main A wide range of participatory techniques
objective of the proposed five years inter- including review of secondary information,
Below
1 dollar vention, financed by the inter-American field visits, and interviews with key stake-
Above 34%
1 dollar Development Bank, is to improve socio- holders at different levels and consultative
66% economical conditions for the population worshops took place. n
in the project area located in the central
Gross farm income per day and capita,
Jinotega (Inflation adjusted USD 2001)
Gross farm income per day and capita,
Jinotega (Inflation adjusted USD 2001) 2,0
Production of high quality arabica coffee. Selling own produce at local fair organised by women groups.
2,0
1,5
1,5
1,0
1,0
0,5
0,5
0,0
0,0 2001 2003 2005 2007 2008
2001 2003 2005 2007 2008
Gross farm income per day and capita,
Gross farm income per day and capita, Matagalpa (Inflation adjusted USD 2001)
Matagalpa (Inflation adjusted USD 2001) 3,0
3,0
2,5
2,5
2,0
2,0
1,5
1,5
1,0
1,0
0,5 0,5
0,0 0,0
2001 2003 2005 2007 2008 2001 2003 2005 2007 2008
26 Latin America
CARLOS BERRA
Dairy Industry Development Specialist,
Technical Assistance to Strengthen the Dairy
Chain in Guatemala
“the dairy sector in Guatemala has
a big potential role for economic
growth and poverty reduction in rural
areas. In this programme, we technical
advisors put a lot of emphasis on
capacity building, integration,
ownership, and participation of key
actors in the dairy sector in the
country.
Many dairy sector stakeholders
e.g. producer organisations, universi-
ties, institutes of technology, dairy
industries, field technicians, and
individual producers, have told us
that this is the first time a technical
assistance project focused on the
whole commodity chain and included
such a wide range of people in the
sector. they believe that we are actually
The first step in the dairy chain. One of Guatemala’s 300 milk producers. responding to the true necessities of
the different dairy sub-sectors.
As a result, six milk collecting
centres have been established and
GUATEM AL A strengthened. they are now connected
to industrial milk processing plants.
We can measure that the producers
Technical Assistance to Strengthen project proposals aimed at providing have obtained significant economic
the Dairy Chain continuity and further support to the benefits from the commercialisation of
The Project for Technical Assistance to successful key processes started during their milk of higher quality.”
the Dairy Chain in Guatemala is a joint the project.
programme between the Government of
Guatemala (Ministry of Agriculture, Redesigning a joint UN Rural
Cattle and Food), the Chamber of Milk Development Programme with FAO,
Producers and UnOPs. PAHO and UNDP
ORGUT provided technical assistance in July 2009 UnDP, FAO and PAHO
to this 18-month project with a strong (Pan-American Health Organization) pre-
focus on capacity building and organisa- sented to sida a Joint Rural Development
tional strengthening together with niRAs. Programme, which would focus its inter-
The objective of the project was to inte- ventions on 5 of the poorest municipalities
grate all links in the dairy chain in Guate- of san Marcos Department in Guatemala.
mala through the establishment of five net- After an initial assessment by a sida pro-
works with more than 300 milk producers gramme committee, it was found that the
within the country. Technical assistance proposal still lacked cohesion and a well-
built capacity of the Chamber of Milk demonstrated integration between pro-
Producers for competently executing its posed components and that it required
functions in the entire milk supply chain further clarification and detailing of its
from producers to dairy industry plants. stated objectives, outcomes and indicators.
The project also strengthened the basis for The objective of this consultancy was thus
a sustainable overall development of the to facilitate and provide methodological
dairy sector in the country. After an incep- support to counterparts for the redesign
tion phase, during which a team of special- and improvement of the programme docu-
ists carried out a dairy sector assessment ment and its logical framework matrix.
and revised key activities, results and time A results based approach was applied to
schedule of the project document, a wide achieve effectiveness of the programme
range of capacity development activities and an improved integration of interven-
and facilitation workshops took place. tions. As part of the assignment, the con-
Ensuring a shared vision and active par- sultants also facilitated several workshops
ticipation of all stakeholders were crucial with FAO, OPs, UnDP, government coun-
elements. As part of the final outputs, terparts and sida. n
the team of specialists elaborated several
Latin America 27
BOLiviA
Context Analysis Bolivia ties and strategies within the project sup-
Two ORGUT consultants were assigned port as well as for outlining possible future
by the large swedish nGO, Forum syd, interventions of Forum syd in Bolivia.
to carry out a strategic context analysis of During the field phase in Bolivia interviews
Bolivia, with a special focus on application were conducted with a wide range of civil
of rights based approaches and the options society stakeholders and swedish nGOs.
for strengthening of civil society actors. Their views were matched with opinions of
The study provided an overview of the sida and other donors, national authorities
status of civil society actors in Bolivia and and individual key stakeholders. The second
its environment and described and ana- part of the study was carried out in sweden
lysed the framework for nGO work in the and consisted of complementing field find-
country. The suggestions presented serve ings with document desk reviews, partici-
as a base for Forum syd’s strategy for pation in meetings and presentation of the
Bolivia. Findings are used in improving context analysis to a reference group. n
ongoing project support, for setting priori-
ST viNCENT AND THE GRENADiNES
Technical Assistance to Land Titling and mendations on changes to existing legisla-
Land Registration Programme tion based on drafts of detailed policies
ORGUT, in cooperation with University of and bills for submission to the Cabinet and
the West of England, has been providing EU- Parliament. The advisors also drafted a
financed technical assistance to the Govern- detailed action plan for upgrading the land
ment of st Vincent and the Grenadines. administration and management systems
The programme aimed at developing an which includes identification of require-
efficient land administration system by ments for essential technical assistance,
tackling regulatory environment barriers, stakeholder coordination, provision of
strengthening institutions to provide effi- technical training and procurement of
cient land administration services and by relevant equipment. Technical experts
fostering the development of safe and worked with process and systems improve-
secure land and property markets. The ment for collecting, recording and dissem-
successful implementation will enhance inating ownership and use information,
economic growth, social equality and pro- land tenure and land registration, valua-
mote environmental sustainability. tion and taxation of land, revenue genera-
Technical advisors reviewed consulta- tion, land market and property value
tion reports on land policy meetings, com- changes, mortgages and property transfer,
piled an assessment report on existing land land use planning, management systems
policies and legislation and made recom- and risk management. n
28 Latin America
L ATiN A MERiCA REGiONAL
Mapping Study of Regional Processes
and Actors in South America and the
Caribbean within the areas Environment,
Natural Resources and Climate Change
The purpose of this assignment was to
map, analyse and provide information on
regional policies, initiatives, programmes,
processes and main stakeholders within
the areas of climate change, environment
and natural resources in south America.
The assignment was amended to cover also
the Caribbean region. The outcome of the
two studies, presented in two comprehen-
sive reports and including recommenda-
tions, would form base for sida’s new
regional strategy for latin America.
Within the areas of climate change,
environment and natural resources, the
ORGUT consultant mapped, analysed
and compiled information on important
regional processes and programmes and
identified important regional actors,
policy makers and institutional settings
at a political level. The consultant also
assessed the feasibility of swedish cooper-
ation within the mentioned areas in the tors in the strategy for Central America for
region and made recommendations for the reducing poverty and vulnerability among
swedish regional cooperation strategy. rural poor. ORGUT was contracted to
The geographical areas researched provide consultants for the elaboration of
covered the Andean Ridge, the Amazon a new swedish regional strategy for all of
rainforest region and the Caribbean. The- latin America for the years after 2009.
matically, the study covered mitigation of, The new regional strategy cooperation
and adaptation to climate change effects in would focus on few areas/sectors where a
particular as it relates to natural resources demand from the region exists and where
and environment; land use with focus on sweden has experience and a comparative
The studies linked poverty
watershed management; forestry and bio- advantage. Environment and climate reduction and climate change.
fuels as well as climate change effects on change are areas prioritised by the swedish
coastal and marine areas. Government and regional cooperation in
Establishing a link between poverty these areas is foreseen. Two separate stud-
& poverty reduction and climate change, ies for Central America and south Amer-
environment & natural resources was a ica already mapped important regional
guiding principle for the mapping and processes, programmes and regional
analysis. linkages to security and human actors including policymakers and institu-
rights issues were also taken into consider- tional arrangements at political level in
ation. The studies were mainly carried regard to climate change, environment
out as desk studies, including correspond- and natural resources.
ence with key sources of information and ORGUTs experts identified areas of
telephone interviews with regional stake- swedish comparative advantage as well as
holders. current and future swedish actors in the
region and their areas of expertise and
Mapping of Swedish Resource Base and experience in development cooperation in
Swedish Comparative Advantages latin America. The study included insti-
The future swedish bilateral cooperation tutes, universities, governmental agencies,
with latin America will concentrate on nGOs and private sector providers of serv-
Bolivia, Colombia and Guatemala. in ices and goods. The consultants findings
addition to the respective country strate- will, together with the mapping studies of
gies sida has two different regional strate- regional processes, facilitate an informed
gies for Central and south America. so decision making by sida when developing a
far, regional natural resources and envi- new regional strategy for latin America. n
ronmental management has been core sec-
Latin America 29
P H OTO: G O L D F O i L
BOSNiA AND HER ZEGOviNA
Fostering Interventions for Rapid vides demand-driven assistance to sMEs
Market Advancement in the three targeted clusters for address-
ORGUT is part of the team lead by ing critical constraints for growth. This
Cardno Emerging Markets UsA (former includes poor quality or product design,
EMG) that was selected for implementa- inadequate branding and marketing, weak
tion of the UsAiD and sida funded links to global markets, limited supply
Fostering interventions for Rapid Market of skilled labor and restricted access to
Advancement (FiRMA) programme in finance. Another FiRMA component
FiRMA provides assistance Bosnia and Herzegovina in 2009. The pur- provides assistance in addressing policy
in addressing policy con- pose of FiRMA is to increase sustainable constraints for growth of private enter-
straints for growth of private economic growth and generate employ- prises in targeted sectors.
enterprises. ment in three sectors wood processing, The focus of technical assistance is
tourism, and light manufacturing/metal on helping sMEs in the three sectors capi-
processing. For this, FiRMA aims at talise on their relative comparative advan-
enhancing the competitiveness of small tages, on translating these into strong
and medium size enterprises as an imme- competitive advantages and on addressing
diate contribution to poverty reduction identified and emerging challenges.
in Bosnia and Herzegovina and as a long ORGUT provides technical advisors
term input to the country’s economic primarily in the Wood Processing sector
development. component. Aim is to increase sales of
The objective of FiRMA is to generate value-added wood products through
sustained economic growth. The improved improved product design, product quality
competitiveness of participating firms is and safety, application of up-to date tech-
measured as increases in sales and exports, nologies for efficient, flexible, and exact
growing employment and as improved product fabrication, and workforce skills
capacity of private enterprises to withstand and capabilities based on true private sec-
competitive pressures emanating from a tor demand. in the initial stages of
globalized economy. The Programme pro- FiRMA, ORGUT carries out preparatory
30 europe
assignments in areas such as forestry certi- approach, providing the greatest potential
fication; forest-based industries develop- for substantial results and sustainable ZOLTAN MiLiÓ
ment policies; and forestry governance and impact. ORGUT provides international Monitoring and Evaluation/Beneficiary
Database Manager, FARMA
law to provide a sustainable framework for short term technical assistance and con-
further investments in the sector. sulting services in all sub-sectors from “the fARMA project is a response to
environmentally sustainable primary pro- usAID and sida’s vision that Bosnian
Consulting Services to the Fostering duction, processing and local marketing consumers can and should have
Agricultural Markets Activity to creating access to European markets, confidence in buying competitive BiH
The Chemonics international (lead)- export-promoting initiatives, alignment of products produced in an environmen-
tally sustainable way, and that
ORGUT association won the contract for products with EU standards and require-
sophisticated European markets can
implementation of the UsAiD and sida ments and institutional twinning arrange-
regularly source BiH products that
funded Fostering Agricultural Markets ments with other European countries. The
meet eu standards.
Activity (FARMA) project 2009–2012. team of advisors is actively promoting the the country is abundant with quality
FARMA supports rapid, sustainable and mainstreaming of pro-poor approaches, products, but there is no eu certified
socially broad-based economic growth adherence to good governance and prac- system yet for testing for compliance
through an expanded environmentally ticing of ethnic and gender sensitivity. with the eu regulations. consequently,
sustainable production, processing and fresh and some processed local
sale of value-added agricultural products. Review of Impact of Sida’s Microfinance products cannot be exported to the
The programme offers tailor-made and Support in BiH European markets. We hope that by
demand-driven assistance to farmers, ORGUT provided the team of consultants the end of the project, it will be
agricultural associations, cooperatives, for reviewing the impact of sida’s support possible to find products from Bosnia
food processors, market integrators and to the microfinance sector in Bosnia and and Herzegovina in markets all over
europe. And we measure fARMAs
sMEs in a variety of agricultural sub-sec- Herzegovina during the past five years.
success in sales and employment
tors and helps remove constraints along The study provided independent input for
generated.
the entire value chains. Bosnia and Herze- use in the writing of a new sida Country
What we’ve set out to do is truly
govina is challenged to exploit its agricul- Assistance strategy. The team reviewed ambitious. By helping small, individual
tural comparative advantages and create the impact of EKi, one of the largest farmers, this project attempts to
products that can meet the food hygiene microcredit organisations in the country, incorporate and follow the eu product
and quality standards of mature interna- the loan initiative for the Development quality regulations and the eu
tional markets and develop brands, robust of Economic Regions and the impact of standards in agricultural production.
enough to compete with regional and microbusiness loans for income generation Why? We want to make it possible for
international imports. To take better activities. Data was gathered through agricultural products from Bosnia and
advantage of already identified domestic, structured interviews, random sample of Herzegovina to be sold in the EU. For
regional and international market oppor- clients, and focus group discussions example, we launched a Beekeeping
tunities, FARMA particularly builds the throughout the country. loan beneficiar- School to enhance beekeepers ability
capacity of producers, processors and ies were segregated by type to determine if to meet eu quality standards and
improve productivity and 53 beekeep-
other agribusiness stakeholders to with- loans led to an improvement in business
ers now attend a one-semester
stand pressures from the Central European income and job creation for the benefici-
programme organised with Agricul-
Free Trade Agreement and EU accession ary, and if loans to individuals lead to an tural Institute in Mostar. on top of that,
process. The sub-sectors for interventions increase in household wellbeing measured several technical advisors inform
selected at the onset of the programme in fixed assets, expenditures and savings. producers on sustainable and organic
are fruits and vegetables, medicinal and The KfW refinance line for the sector honey production.
aromatic plants, non-timber forest prod- was also analysed to determine its impact In a couple of years
ucts and dairy. Regardless of sub-sector, and possible effects on financial organisa- you may be able to
environmental sustainability, focus on tions and their end clients if the line were eat Bosnian honey
organic high-value products and inclusion to be withdrawn. on your breakfast
of marginalised social groups in the value The review further assessed existing toast in paris - just
chain are promoted. information of the development impact of wait and see!”
FARMA also contains a strong policy the microcredit sector as a whole, includ-
component. To increase government ing a discussion of the impact of the global
transparency and farmer representation financial crisis on the sector and how it has
in the agriculture sector, it works towards affected microcredit clients. For this, the
enacting farmer-driven policies and team visited major international financial
increasing farmer-led advocacy efforts. institutions such as EBRD, EFsE, iFC,
Private sector driven policy assistance is KfW and World Bank as well as nGOs,
provided in cooperation with farmer-asso- donors, and local financial government
ciations, cooperatives and sMEs to create institutions in the country. The analysis
a generally more conducive policy envi- considered lessons to be learned from past
ronment for market-demand oriented and support in the light of the current sida
efficient agricultural production and food country strategy, and made recommenda-
processing in Bosnia and Herzegovina. tions concerning the overall relevance of
All delivery of technical assistance in further support to the financial sector in
FARMA is based on a demand-driven Bosnia and Herzegovina. n
europe 31
KOSOvO
Programme for Development The support includes development of a
of Land Administration building and apartment register, address
ORGUT, in cooperation with Blom A/s, register, and property value register, and
and financed by sida, is providing techni- the integration of textual and graphical
cal support to developing a land adminis- data. The development of a data interface
tration system in Kosovo for an efficient between the immovable property rights
real property market, economic growth register controlled by other institutions via
and democratic and sustainable develop- internet are included in the programme.
ment. Kosovo is experiencing rapid urban This component supports the development
growth, with cities such as Pristina more of the real property taxation system by the
than doubling its inhabitants since 1999. Ministry of Finance and Economy, and
Therefore a comprehensive registration of land use planning by the Ministry of Envi-
properties is a precondition for a function- ronment and spatial Planning.
ing mortgage system that in turn liberates streamlining of registration procedures
capital for other investments. and clear work processes simplify data col-
The programme supports operations of lection, and the involvement of the private
the Kosovo Cadastral Agency at central sector in cadastre measurement and sur-
level and local cadastral offices at munici- veying has been piloted. Management
pal level. Focus is on strengthening of the issues were in the focus of capacity build-
immovable Property Rights Register and ing inputs as well as support to reorganisa-
the improvement and implementation of an tion, streamlining, business orientation
efficient, cost-effective and customer-service and long term financing of the cadastre
oriented system. This will facilitate a protec- organisation. n
tion of property rights as well as a safe and
easy mechanism for property transactions.
MOLDOvA
Technical Assistance to Support Moldova improve the quality, efficiency and trans-
First Cadastral Project at the Agency of parency of the cadastral register and
Land Relations and Cadastre cadastral data management.
sida supports the goal of Moldova’s national and international technical
Economic Growth and Poverty Reduction advisors assist in strengthening the cadas-
strategy Paper to alleviate poverty tral system, assuring its financial and insti-
through economic growth by facilitating tutional sustainability and support staff in
increased land tenure security and enhanc- capacity building and improved public
ing government revenue through a func- access to cadastral data and information.
tioning property valuation and taxation Assistance is also given to implementing a
system. This is complemented by real new system for mass valuation and
property market development and an appraisal of property improving the qual-
effective delivery of basic public services, ity and reliability of the cadastral system
particularly for the most vulnerable and facilitation of property transactions as
groups of the population. Moldova is not a confidence building measure.
yet an EU candidate country but has set The main institutional beneficiary of the
accession as a strategic goal. A successful project is the central authority Agency for
conclusion of the cadastral programme land Relations and Cadastre of Republic
actively contributes to meeting several of of Moldova (AlRC). specific target groups
the preconditions for EU accession. for capacity building consist of experts of
Project activities are grouped in five the local cadastral system including AlRC,
components: institutional consolidation of the state enterprise ‘Cadastru’ and its ter-
the cadastral system; assistance to devel- ritorial branches. Other stakeholders from
opment of the valuation system and fiscal state and local authorities, organisations,
cadastre; assistance to improve cadastral professional associations and private
data exchange with local public authori- companies are also participating in project
ties; assistance to the centralised informa- execution. n
tional system development; support to
32 europe
SWEDEN
Advanced International Training Sida Framework Agreements resource focus; rural entrepreneurship,
Programme: Rural and Peri-Urban Land ORGUT continues providing short term markets and trade; and institutional,
Administration in the SADC Region experts through a range of framework con- methodology and policy development
ORGUT and Hifab international AB, tracts with sida. Both sida Headquarters with a focus on natural resources.
in association with Blekinge institute of and swedish Embassies worldwide use the Climate change and sustainable devel-
Technology, are conducting an advanced framework facility to quickly mobilise opment; industrial environment and clean
international training programme on short term technical expertise at fixed production; environmental management;
Rural and Peri-Urban land Administra- rates. Typical framework assignments climate and energy are areas where
tion in the sADC Region for sida. include project evaluations, proposal ORGUT provides experts within the envi-
The overall objective of the programme writing, document reviews, results publi- ronment sector framework.
is to contribute to development and change cations, assisting in subject matter discus- The public sector framework includes
processes within rural and peri-urban land sions or seminar moderation. ORGUT rural and urban land administration and
administration. The programme strength- provides swedish and international experts tenure legislation, decentralisation and
ens institutional capacity in cooperating who are either in-house staff or core con- governance, while the private sector
countries and aims at directly enhancing sultants that the company has worked with framework covers business environment;
participant’s managerial and technical successfully in the past. sME development; private sector associa-
skills covering subjects of strategic impor- The water sector framework includes tions; and public private partnerships in
tance for economic and social development. experts in water resources management and infrastructure.
ORGUT provides both technical and development; rural and urban water supply in the financial sector framework,
managerial support to the training pro- & sanitation and coastal management. experts are made available in microfi-
gramme targeting decision-makers, expe- The rural development sector frame- nance; rural finance; remittances; finan-
rienced executives in middle and top man- work covers forestry; agriculture and ani- cial sector infrastructure; and financial
agement positions and otherwise influential mal husbandry; extension with a natural institutions and risk management. n
persons working with rural and peri-urban
land related issues in the sADC countries.
in this three-phased programme, the
first phase is carried out regionally in the
southern African Development Commu-
nity (sADC), the second phase takes place
in stockholm, sweden, and the third phase
is conducted again in the sADC region.
The training raises the participants
understanding of the latest international
development trends in land tenure, land
rights and land administration. An addi-
tional course objective is to establish a
clear understanding of the links between
secure land tenure and human rights, land
and poverty reduction, transparency in
land administration and good governance.
systems for continuous monitoring and
evaluation of current land policy and legis-
lation are promoted and an exposure to
methods for policy formulation processes
is ensured. Course elements also aim at
anchoring change processes that facilitate
pro-poor and non-discriminatory land
policies, environmental protection, sus-
tainable economic development and gen-
erally more effective land administration
institutions.
Additionally, the participants benefit
from becoming part of a professional
network for continuous exchange of
experience and knowledge within the field
of land administration.
europe 33
34
Annual report for financial year
J A n uA Ry 1 – D ec eM B eR 31, 2009
The Board and the Managing Director of ORGUT Consulting Aktiebolag hereby present
the following Annual Report.
Contents
36 Administration Report
37 Income Statement – classified by cost
38 Balance sheet
40 cash flow statement
41 Accounting and valuation principles
42 notes
46 Audit Report
unless otherwise stated, all amounts are in sek (kr).
Information in brackets refers to the previous year.
35
Administration report
Ownership
the company is owned by its employees. the shares are held by the employees.
Information concerning operations
the company provides consulting services in rural development, agriculture, forestry
and environment especially in developing countries.
Financial Position and Performance
Survey (thousand SEK) 2009 2008 2007 2006
net sales 78,686 77,977 67,014 70,753
Result after financial items 2,321 6,492 3,847 3,730
operating profit margin 3% 8% 5% 5%
Return on equity 11% 28% 20% 22%
total capital employed 40,707 42,484 38,602 33,880
equity ratio 52% 54% 49% 50%
Average number of employees 112 118 98 170
liquidity Ratio 247% 278% 218% 216%
Return on capital employed 8.2% 13.3% 8.6% 10.1%
Balance sheet total 40,707 42,484 38,602 33,880
Key Ratio Definitions
Operating profit margin: operating profit in relation to net sales.
Return on equity: Result after financial items in relation to average adjusted equity.
Equity ratio: Adjusted equity in relation to total capital employed.
Liquidity ratio: current assets/current liabilities.
Return on capital employed: net result plus financial income in relation to balance sheet total.
36 administration report
Income statement
2009-01-01 2008-01-01
Note –2009-12-31 –2008-12-31
Operating income
net sales 1 78,686,113 77,977,250
other operating income 2,758,648 3,324,935
81,444,761 81,302,185
Operating expenses
Other external costs 2 –48,366,578 –38,054,065
Personnel costs 3, 4 –30,537,150 –36,864,505
Depreciation of tangible fixed assets 5 –263,025 –350,686
–79,166,753 –75,269,256
Operating profit 6 2,278,008 6,032,929
Result from financial investments
other interest income and similar income 55,565 470,250
Interest expense and similar expenses –12,702 –10,746
Profit after financial items 2,320,871 6,492,433
Appropriations 7 957,989 –1,304,444
Profit before tax 3,278,860 5,187,989
Tax on profit for the year 8 –967,166 –1,529,228
NET PROFIT FOR THE yEAR 2,311,694 3,658,761
income statement 37
Balance sheet
Note 2009-12-31 2008-12-31
ASSETS
Fixed Assets
Tangible assets
equipment and vehicles 9 408,531 577,287
Financial assets
participations in group companies 10, 11 9,603 0
Investments held as fixed assets 12 807,900 807,900
817,503 807,900
Total Fixed Assets 1,226,034 1,385,187
Current Assets
Current Receivables
Accounts receivable 11,265,093 12,586,388
Receivables from group companies 1,247,975 0
current income taxes recoverable 13 587,121 121,592
other receivables 104,022 885,740
prepaid expenses and accrued income 14 9,374,537 8,268,157
22,578,749 21,861,877
Investments in securities
other investments in securities 0 205,000
Cash and bank balances 15 16,901,839 19,032,371
Total Current Assets 39,480,588 41,099,248
TOTAL ASSETS 40,706,623 42,484,435
38 balance sheet
Note 2009-12-31 2008-12-31
EQUIT y AND LIABILITIES
Equity 16
Restricted Equity
share capital (1,632 shares) 1,632,000 1,632,000
statutory reserve 81,600 81,600
1,713,600 1,713,600
Non-restricted Equity
profit brought forward 11,694,840 11,300,079
profit for the year 2,311,694 3,658,761
14,006,534 14,958,840
Total Equity 15,720,134 16,672,440
Untaxed Reserves 17 7,788,728 8,746,717
Non-current Liabilities 18 1,213,269 2,300,000
Current Liabilities
Advance payments from customers 286,663 7,151
Accounts payable 3,755,463 2,669,832
liabilities to group companies 737,733 0
other liabilities 2,678,631 3,486,900
Accrued expenses and deferred income 19 8,526,002 8,601,395
15,984,492 14,765,278
TOTAL EQUIT y AND LIABILITIES 40,706,623 42,484,435
PLEDGED ASSETS AND CONTINGENT
LIABILITIES 20
Pledged assets 350,000 3,350,000
Contingent liabilities None None
balance sheet 39
Cash flow statement
2009-01-01 2008-01-01
Note –2009-12-31 –2008-12-31
Operating activities
operating result 2,320,871 6,492,433
Adjustment for non-cash items 5 263,025 350,686
Income tax paid –967,166 –1,529,228
Cash flow from operating activities before
working capital changes 1,616,730 5,313,891
Cash flow from working capital changes
Change in accounts receivable –511,871 –1,963,999
Change in accounts payable 1 219,213 –1,222,885
Cash flow from operating activities 2,324,072 2,127,007
Investing activities
Acquisition of subsidiary –9,603 0
Acquisition of tangible fixed assets –94,270 –32,268
Proceeds from disposals of fixed assets 0 –807,900
Cash flow from investing activities –103,873 –840,168
Financing activities
Insecure undertaking of pensions to personnel 18 –1,086,731 550,000
Dividends paid –3,264,000 –407,999
Cash flow from financing activities –4,350,731 142,001
Net change in cash and cash equivalents –2,130,532 1,428,840
cash and cash equivalents at the beginning of the year 19,032,371 17,603,531
Cash and cash equivalents at the end of the year 16,901,839 19,032,371
40 cash flow statement
Accounting and valuation principles
the accounting standards applied are in accordance with the Annual Accounts Act and general
standards of the swedish Accounting standards Board.
the accounting and valuation principles are unchanged compared to previous year.
Revenue is recognised to the extent that it is probable that the economic benefits will flow
to the group and the revenue can be reliably measured.
Receivables and liabilities in foreign currency have been translated at the rate prevailing on the
balance sheet day. exchange rate differences on receivables and liabilities in the business are
recognised as operating income whereas exchange rate differences in financial receivables and
liabilities are recognised as financial income.
other receivables and liabilities have been recognised at acquisition value, unless otherwise stated.
Distribution of income and expenses has been carried out in accordance with generally accepted
accounting principles.
accounting and valuation principles 41
Notes
Note 1
NET SALES ALLOCATION 2009 2008
the net sales per continent as stated below:
Africa 55,211,273 40,363,721
Asia 6,133,111 19,903,610
latin America 14,028,254 13,798,923
europe and other continents 3,313,475 3,910,996
Total 78,686,113 77,977,250
Note 2
FEE AND ExPENDITURE 2009 2008
ernst & young AB
Audit fees 78,000 75,000
other accountants 231,990 35,400
Total 309,990 110,400
Note 3
PERSONNEL COST, EMPLOyEE BENEFITS AND FEES 2009 2008
Average Number of Employees in Sweden
Women 11 10
Men 7 6
18 16
Average Number of Employees outside Sweden
Women 30 22
Men 64 80
94 102
Number of employees per continent as stated below:
Africa 55 50
Asia 7 22
latin America 32 30
94 102
During the year sub-consultants have been hired to carry out projects on behalf of the company.
the number of hired consultants corresponds to 23 (24) full-time employments.
Salaries, other compensations and payroll overhead 2009 2008
salaries and other compensations to the Board of Directors and
Managing Director 3,438,602 2,761,113
salaries and other compensations to other employees 20,726,631 23,423,594
pension costs relating to the Board of Directors and
Managing Director 655,781 549,126
pension costs relating to other employees 880,770 1,074,716
social security expenses 3,103,786 2,951,610
28,805,570 30,760,159
If the Managing Director gives notice of termination, his employment agreement entitles him to a 3-month
salary. If the company gives notice, the Managing Director is entitled to receive a 9-month salary.
42 notes
INFOR M ATION ABOUT ABSENCE DUE TO ILLNESS 2009 2008
the absence in each category is indicated as the total established
amount of working hours of each category.
total absence due to illness 0.61% 0.72%
of which long term absence due to illness 0% 0%
Women 1.14% 1.07%
Men 0.23% 0.41%
Employees 30–49 years 0.39% 0.76%
employees 50 years or older 0.73% 0.62%
Total absence due to illness is indicated as a percentage of the employees' established working hours.
long term absence due to illness is defined as absence during a consecutive period of time of 60 days or more.
Established working hours are defined as working hours according to collective agreement or other agreement
with the employee. Vacation leave and leave of absence are included in the established working hours.
Note 4
DISTRIBUTION ACCORDING TO GENDER 2009 2008
Distribution of women and men on the company’s board
Women 1 1
Men 5 4
6 5
Distribution of men and women in the management
Women 1 1
Men 5 4
6 5
Note 5
DEPRECIATION 2009 2008
Depreciation of fixed assets is carried out according to plan over the
expected useful life with consideration to significant residual value.
Fixed assets
equipment and vehicles 20% 20%
Note 6
PURCHASES AND SALES BET WEEN GROUP COMPANIES 2009 2008
Purchases from group companies –744,643 0
sales to group companies 1,250,594 0
505,951 0
Note 7
APPROPRIATIONS 2009 2008
Transfer to tax allocation reserve –814,014 –2,003,844
Reversal of tax allocation reserve 1,772,000 699,400
Accelerated depreciation 3 0
Total 957,989 –1,304,444
Note 8
TA x ON PROFIT FOR THE yEAR 2009 2008
Actual tax expense –642,256 –1,683,228
Deferred tax on insecure undertaking of pensions to personnel –324,910 154,000
–967,166 –1,529,228
notes 43
Note 9
EQUIPMENT AND VEHICLES 20 09-12-31 20 08-12-31
Accumulated acquisition cost opening balance 4,596,537 4,564,269
purchases 94,270 32,268
Disposals 0 0
Accumulated acquisition cost closing balance 4,690,807 4,596,537
Accumulated depreciation
Accumulated depreciation opening balance –4,019,251 –3,668,565
Current year depreciation –263,025 –350,686
Accumulated depreciation closing balance –4,282,277 –4,019,251
Net book value closing balance 408,531 577,286
Note 10
PARTICIPATIONS IN GROUP COMPANIES 20 09-12-31 20 08-12-31
Accumulated acquisition cost opening balance 0 0
purchases 9,603 0
Accumulated acquisition cost closing balance 9,603 0
Net book value closing balance 9,603 0
Note 11
SPECIFICATION OF PARTICIPATIONS IN GROUP COMPANIES
Name Share of Equity Share of voting power Number of shares Book value
oRGut consulting (kenya) ltd 98% 98% 980 9,603
9,603
Note 12
INVESTMENTS HELD AS FIxED ASSE TS 20 09-12-31 20 08-12-31
Accumulated acquisition cost opening balance 807,900 0
purchases 0 807,900
Accumulated acquisition cost closing balance 807,900 807,900
Net book value closing balance 807,900 807,900
Note 13
CURRENT INCOME TAxES RECOVERABLE 20 09-12-31 20 08-12-31
Tax debt/claim 1,154,248 –31,424
Deferred tax claim on insecure undertaking of pensions 319,090 644,000
Special employer’s contribution on pension costs –886,217 –490,984
587,121 121,592
Note 14
PREPAID E xPENSES AND ACCRUED INCOME 20 09-12-31 20 08-12-31
Distribution of invoices to be sent periodically 5,410,564 4,251,821
other 3,963,973 4,016,336
Total prepaid expenses and accrued income 9,374,537 8,268,157
Note 15
BANK OVERDRAFT FACILIT y 20 09-12-31 20 08-12-31
The granted Bank overdraft facility amounts to 300,000 300,000
44 notes
Note 16
CHANGES IN SHAREHOLDERS’ EQUIT y
number of A-shares: 1,632
Share Statutory Profit brought Current
Capital Reserve forward year Result Total
opening Balance 1,632,000 81,600 11,300,079 3,658,761
Dividend –3,264,000
Transfer 3,658,761 –3,658,761
current year result 2,311,694
Closing Balance 1,632,000 81,600 11,694,840 2,311,694 15,720,134
Note 17
UNTAxED RESERVES 20 09-12-31 20 08-12-31
tax allocation reserve, tax 04 0 1,772,000
tax allocation reserve, tax 05 950,300 950,300
tax allocation reserve, tax 06 1,055,099 1,055,099
tax allocation reserve, tax 07 1,137,769 1,137,769
tax allocation reserve, tax 08 1,632,985 1,632,985
tax allocation reserve, tax 09 2,003,844 2,003,844
tax allocation reserve, tax 10 814,014 0
Accumulated depreciation in excess of plan 194,717 194,720
Total untaxed reserves 7,788,728 8,746,717
Deferred taxes on untaxed reserves 2,048,435 2,449,294
Note 18
NON-CURRENT LIABILITIES 20 09-12-31 20 08-12-31
Due date later than 5 years after accounting year-end
Insecure undertaking of pensions to personnel 1,213,269 2,300,000
Note 19
ACCRUED E xPENSES AND DEFERRED INCOME 20 09-12-31 20 08-12-31
Accrued holiday pay 318,097 367,062
Accrued payroll overhead 103,127 119,002
profit sharing 4,476,260 4,203,998
consultants 1,055,798 1,040,944
other 2,572,720 2,870,389
Total accrued expenses and deferred income 8,526,002 8,601,395
Note 20
PLEDGED ASSE TS 20 09-12-31 20 08-12-31
for liabilites to credit institutions (sek)
chattel mortgage 350,000 3,350,000
Stockholm, April 13, 2010
Niklas Herrmann Jorge Maluenda Robert Bäckström Jan Bargheer Cecilia Brumér
Chairman
Per Giertz
Managing Director
My audit report was issued on April 13, 2010
Alexander Hagberg
Authorised Public Accountant
notes 45
Audit report
To the annual meeting of the shareholders of ORGUT Consulting AB
corporate identity number 556177-9538
i have audited the annual accounts, the accounting records and the administration of
the board of directors and the managing director of ORGUT Consulting AB for the
year 2009. These accounts and the administration of the company and the application
of the Annual Accounts Act when preparing the annual accounts are the responsibility
of the board of directors and the managing director. My responsibility is to express an
opinion on the annual accounts and the administration based on my audit.
i conducted my audit in accordance with generally accepted auditing standards in
sweden. Those standards require that i plan and perform the audit to obtain reasonable
assurance that the annual accounts are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in the
accounts. An audit also includes assessing the accounting principles used and their
application by the board of directors and the managing director and significant estimates
made by the board of directors and the managing director when preparing the annual
accounts as well as evaluating the overall presentation of information in the annual
accounts. As a basis for my opinion concerning discharge from liability, i examined
significant decisions, actions taken and circumstances of the company in order to be able
to determine the liability, if any, to the company of any board member or the managing
director. i also examined whether any board member or the managing director has, in
any other way, acted in contravention of the Companies Act, the Annual Accounts Act
or the Articles of Association. i believe that my audit provides a reasonable basis for my
opinion set out below.
The annual accounts have been prepared in accordance with the Annual Accounts Act
and give a true and fair view of the company’s financial position and results of operations
in accordance with generally accepted accounting principles in sweden. The statutory
administration report is consistent with the other parts of the annual accounts.
i recommend to the annual meeting of shareholders that the income statement and
balance sheet be adopted, that the profit be dealt with in accordance with the proposal
in the statutory administration report and that the members of the board of directors
and the managing director be discharged from liability for the financial year.
stockholm April 13, 2010
Alexander Hagberg
Authorised Public Accountant
46 audit report
FI D E L I T y S TO C K H O L M
jUNI 2009
P H OTO: M O R i CL AU D i A
oRGut consultInG AB Address svartmangatan 9, se-111 29 Stockholm, Sweden
telephone +46 8 406 76 20 telefax +46 8 21 02 69 hq@orgut.se www.orgut.se