A Service Provision Agreement (SPA) is a contract between a WSB and a WSP to provide water services in a particular area. The agreement is governed by the principal -agent relationship. This means the agent (WSP) has no power other than that given by the Principal (WSB).
Section 47(i and j) requires WSRB to develop model agreements to be used between WSBs and WSPs. There are four categories of SPAs. These are:-
- Category 1 – Medium to large WSPs
- Category 2 – Community Projects
- Category 3 – Community projects Third Party Operated
- Category 4 – Bulk water supply