This Operational Manual describes the process for planning and implementing performance-based contracts (PBCs) for non-revenue water (NRW) reduction (hereafter, “NRW-PBCs” or “PBCs”). It outlines how to assess when NRW-PBCs will be useful, and the design and implementation process to follow.

The primary users of this manual are those involved in assessing, preparing, and implementing NRW-PBCs. This includes governments, water utilities, regulators, consultants, contractors, and International Finance Institutions (IFIs).

How to Use the Manual
This manual can be read in its entirety for general knowledge of NRW-PBCs and the NRW-PBC preparation process. Practitioners can also reference individual sections of the guide during the NRW-PBC preparation process.


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