AETS / PPS Collectivités carry out public service Audits on behalf of local authorities in charge of water and wastewater public services.
These Audits are usually dedicated to draw up a technical, legal, financial and commercial inventory of the related public services in order to improve their management, profitability, cost-effectiveness, durability and sustainability for the future.
This type of Audit is especially useful when the public service is operated by a private enterprise in a context of Public-Private Partnership (PPP) or Delegation of Public Service as the local authority doesn’t directly manage the operation of the related services. Audits are carried out mid-term and/or at the end of the PPP contract. Audits can also be completed before a PPP contract renewal, to best assess the improvements (technical, legal, financial and commercial aspects) to be included in the new contract. Audits are also relevant when the public service is directly managed by the local authority (direct management mode) as it enables them to obtain a third party analysis of the installations (assets) and of their management.
Examples of missions/clients for this type of mission:
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Audit of the water public service: Towns of Saint Georges de Didonne (5,000 inh.); Vierzon (27,000 inh.); SIAEP of Nanthiat (Syndicat Intercommunal d’Alimentation en Eau Potable – 12 towns - 5,000 inh.); Nouméa ( 98,000 inh);
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Audit of the wastewater public service: CCO (Communauté de Communes des Olonnes - 3 towns – 48,000 inh.) Town of Arbois (3,500 inh.);
Audit of the water and wastewater public services: Towns of Tonneins (10,000 inh.); La Possession (30,500 inh.); SICSM (Syndicat Intercommunal du Centre et du Sud de la Martinique - 16 towns, 190,000 inh.); Saintes (26,000 inh.); La Ferté Macé (6,000 inh.) ; Guéret, (15,000 inh.).
Audit of water and wastewater public services operations
Provided Services
Description of Provided Services within the Assignment:
Legal/Technical/Financial/Commercial Audit:
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Study of the delegates’ contracts and contractual obligations;
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Analysis of the delegates’ Annual Reports (DAR);
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Verification of the key performance indicators;
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Visit to the sanitation and/or drinking water installations, verification of the water quality analyses, analysis of the procedures for operational and maintenance activities;
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Verification of the delegate’s compliance with its contractual obligations;
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Assessments of the assets;
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Analysis of the costs and productivity margins; financial assessment/verification of the works and maintenance tasks (effective management), analysis of the delegates’ bank accounts: verification of money transfers between the delegate and the local authority, its tax payments; etc.
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Analysis of the billing and collection plans (assessment of the system for non-revenue water management and control), analysis of the customer service plan;
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Human resources aspects: analysis of manpower and training plans, organisation structure, interview with key staff members working in the service, etc.
Recommendations:
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Drafting of the Audit report;
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Proposition of addendum and negotiations with private entities in charge of the public service operation;
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Preparation of the new PPP contracts and assistance with the procedures.
Project Location
Client
Approx. Contract Value
Mission
Start Date
Completion Date
Associated Consultants
: France
: Water and sanitation utilities, communes, communities of communes, etc.
: €100,000 to €200,000 per year
: Audit of water and wastewater public services operations (technical, legal, financial and commercial aspects)
: 2004
: to date
: PPS Collectivités (subsidiary / brand of AETS comprising only permanent staff of AETS)
