The Water Supply Authority expects to face the following issues and challenges over the next 2-3 years:

• There needs to be a firm commitment by the government on the regulatory role of WASA and what other roles WASA is expected to perform. There also needs to be an understanding of WASA’s role by the water consumers. Consumers need to appreciate the benefits of having a water supply regulator that will ensure good quality service and maintain a fair price. The drive for the regulator needs to come from both directions and in this regard a comprehensive communications strategy is of paramount importance. 
• Lack of formal recognition of its role as a regulator is restricting WASA’s potential to raise a levy from the operators to finance its regulatory activities. This means that WASA must continue to seek funds through involvement in projects and in undertaking other allocated tasks. Establishment of self-funding mechanism and obtaining levies from operators is needed. 
• The Water Regulatory Board has not yet been established. 
• There have not yet been formal performance agreements between the water suppliers and WASA. 
• Staff resources will need to be substantially enhanced for WASA to be able to undertake its activities. 
• Tariff levels in some provinces are too low and insufficient to cover the full cost of water supply. This is constraining the financial autonomy of the water companies and as a consequence their managerial and operational autonomy. There are insufficient funds for proper operations and maintenance and staff training. There is a need for significant additional support to WASA in the development of suitable tariff policy, structures and levels and a firm action plan progressing towards full cost recovery. 
• Existing office and facilities are sufficient for current needs. However, once additional staff is engaged, there will eventually be a need for increased office space, preferably at an independent location, increased office equipment and networking facility to enhance communications with the water suppliers and the community at large. 
• There is a need to develop appropriate planning, design criteria, design standards, standard drawings, specifications and financial toolkit for development of water supply schemes in different conditions including small town water schemes and appropriate institutional models as well as methods for up-scaling / improving water supply systems over time. 

There is a need to establish a regulatory based reference library in WASA, performance reports, guidelines, standards and PSP information.