Piped Water Systems (PWS)

Water tap

By Waldemar Brandt on Unsplash

Back to Search
Piped Water Systems (PWS)
Piped Water Systems (PWS)
For Peri-Urban and Rural Areas in Cambodia
Select for Comparison
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Infrastructure
Utilities
Business Model Description

Invest in businesses engaged in supply and distribution of affordable and safe piped water to rural households through PWS, covering the entire end to end water utility services from source to consumer household. Business model can be under PPP arrangement with the Royal Government of Cambodia (RGC), or under a license.

TapEffect is a social enterprise that brings the technical know-how and financial capabilities to manage a portfolio of commercially viable PWS, providing safe & affordable water to underserved rural & semi-rural communities. It operates in a region near the Thai border, covering an area of ~2,300 households.(13)

In 2020, TapEffect received USD 220,000 as a loan from The Pioneer Facility for constructing and operating a new piped water station and pipeline in Banteay Meanchey province in rural Cambodia.(7)

Khmer Water Supply Holding (KWSH), seeded in 2013, by the project promoters, Obor Capital and an early stage investor, Insitor Seed Fund [majority owner (14)]. It operates a portfolio of small-scale piped water networks that distribute clean drinking water directly to households in rural Cambodia. (15)

Each rural water station is a subsidiary company with its own water license, operations team & water treatment / distribution facilities. Currently, KWSH manages 5 stations, for a total of over 40,000 households. KWSH has received a grant from a Development Finance Institution (DFI) and its program is designed to expand the delivery of key infrastructure services. (14)

Expected Impact

Expansion of PWS across rural and remote areas to reduce regional disparities in access to affordable and clean water.

How is this information gathered?
Updated: 30 Aug, 2022 Date of Production: 31 Aug, 2022
Cambodia
Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
15% - 20% (in IRR)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Long Term (10+ years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
USD 100 million - USD 1 billion
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
Investment needs can vary from USD 500,000 to several millions depending on the size (capacity of the company) and growth stage of the water supply business.
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Clean water and sanitation (SDG 6) Reduced Inequalities (SDG 10)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Good health and well-being (SDG 3) Industry, Innovation and Infrastructure (SDG 9) Climate Action (SDG 13)

Expand all

Print

Sector Sources
  • (1) Business and Sustainable Development Commission. (2017). Better Business, Better World. https://sustainabledevelopment.un.org/content/documents/2399BetterBusinessBetterWorld.pdf (2) Sachs et al. (2021). The Decade of Action for Sustainable Development Goals. Sustainable Development Reprot 2021. Cambridge: Cambridge University Press. https://dashboards.sdgindex.org/profiles/cambodia (3) Asian Development Bank. (2019). ADB to Help Cambodia Expand Access to Water Supply, Sanitation Services. https://www.adb.org/news/adb-help-cambodia-expand-access-water-supply-sanitation-services#:~:text=Sustainable%20and%20reliable%20water%20supply,population%20of%2016.4%20million%20live. (4) Government of Nepal. (2009). National Urban Water Supply and Sanitation Sector Policy. https://www.lawcommission.gov.np/en/wp-content/uploads/2021/01/National-Urban-Water-Supply-and-Sanitation-Sector-Policy.pdf (5) World Bank. (2015). Water Supply and Sanitation in Cambodia. https://www.wsp.org/sites/wsp/files/publications/WSP-Cambodia-WSS-Turning-Finance-into-Service-for-the-Future.pdf (6) UNICEF. (2016). Collecting Water is Often a Colossal Waste of Time for Women and Girls. https://www.unicef.org/press-releases/unicef-collecting-water-often-colossal-waste-time-women-and-girls (7) Nexus for Development. (2020). Pioneer Facility Approves USD 220,000 Loan to Tap Effect for Piped Water Infrastructure in Rural Cambodia. https://nexusfordevelopment.org/blog/pioneer-facility-approves-usd-220000-loan-to-tapeffect-for-piped-water-infrastructure-in-rural-cambodia/ (8) Schmidt, L. (2020). Infrastructure Development in Cambodia. https://borgenproject.org/infrastructure-in-cambodia/ (9) WaterAid. (n.a.). Rural Water Supply in Cambodia: A consolidation of data & knowledge and identification of gaps & research needs. https://washmatters.wateraid.org/sites/g/files/jkxoof256/files/rural-water-supply-in-cambodia-consolidation-of-data-and-knowledge-gaps.pdf (10) Moik, K. (2018). Scalable Solutions for Clean Water Access in Cambodia. https://socialinnovationsjournal.org/editions/issue-47/75-disruptive-innovations/2819-scalable-solutions-for-clean-water-access-in-cambodia (11) Ministry of Rural Development. (2019). National Action Plan Rural Water Supply, Sanitation and Hygience 2019-2023. https://www.unicef.org/cambodia/media/2741/file/NAP_II.pdf_.pdf (12) TapEffect. (2021). A Business Providing Safe Piped Water in Rural South-East Asia. https://www.tapeffect.asia/
IOA Sources
  • (13) Aqua for All. (2020). TafEffect: Tap Water Supply, Cambodia. https://aquaforall.org/project/tapeffect-tap-water-supply-cambodia/ (14) Moik, K. (2018). Scalable Solutions for Clean Water Access in Cambodia. https://socialinnovationsjournal.org/editions/issue-47/75-disruptive-innovations/2819-scalable-solutions-for-clean-water-access-in-cambodia (15) Khmer Water Supply Holdings. (n.a.). KWSH: Water to Your Reach. https://kwshsite.wordpress.com/who-we-are/ (16) World Hope International. (n.a.). TapeEffect. https://whi-site-images.s3.amazonaws.com/PDF/TAP-EFFECT-fin.pdfhttps://whi-site-images.s3.amazonaws.com/PDF/TAP-EFFECT-fin.pdf (17) SEVEA. (2017). Access to Drinking Water in Rural Cambodia: Current Situation and Development Potential Analysis. http://www.seveaconsulting.com/wp-content/uploads/2018/01/Sevea-Access-to-drinking-water-in-rural-Cambodia-2017.pdf (18) United Nations. (2014). Every dollar invested in water, sanitation brings four-fold return in costs – UN. https://news.un.org/en/story/2014/11/484032-every-dollar-invested-water-sanitation-brings-four-fold-return-costs-un (19) Ibid (20) UNICEF. (2019). Water, Sanitation and Hygience. https://www.unicef.org/cambodia/water-sanitation-and-hygiene (21) Connolly, S., & Sommer, M. (2013). Cambodian girls' recommendations for facilitating menstrual hygiene management in school. Journal of Water, Sanitation and Hygiene for Development, 3(4), 612-622. https://iwaponline.com/washdev/article-abstract/3/4/612/30336/Cambodian-girls-recommendations-for-facilitating?redirectedFrom=fulltext (22) Royal Government of Cambodia. (2018). Cambodian Sustainable Development Goals (CSDGs) Framework (2016-2030). https://data.opendevelopmentmekong.net/dataset/3aacd312-3b1e-429c-ac1e-33b90949607d/resource/d340c835-e705-40a4-8fb3-66f957670072/download/csdg_framework_2016-2030_english_last_final-1.pdf (23) Royal Government of Cambodia. (2018). Cambodian Sustainable Development Goals (CSDGs) Framework (2016-2030). https://data.opendevelopmentmekong.net/dataset/3aacd312-3b1e-429c-ac1e-33b90949607d/resource/d340c835-e705-40a4-8fb3-66f957670072/download/csdg_framework_2016-2030_english_last_final-1.pdf (24) World Bank. (2016). Strengthening Sustainable Water Supply Services Through Domestic Private Sector Providers in Cambodia. https://openknowledge.worldbank.org/bitstream/handle/10986/23769/Final0Synthesi0te0Sector0Providers.pdf?sequence=1 (25) Royal Government of Cambodia. (2000). Law on Water Resources Management of the Kingdom of Cambodia. https://www.wto.org/english/thewto_e/acc_e/khm_e/wtacckhm5_leg_8.pdf (26) World Bank. (2015). Water Supply and Sanitation in Cambodia. https://www.wsp.org/sites/wsp/files/publications/WSP-Cambodia-WSS-Turning-Finance-into-Service-for-the-Future.pdf (27) Ministry of Economy and Finance. (2007). Customs Declaration Provision and Procedures. http://cambodiantr.gov.kh/kcfinder/upload/files/Prakas%20No.%201447%20on%20Customs%20Declaration%20Provisions%20and%20Procedures%20-%20EN.pdf (28) WEPA. (n.a.) State of Water Environment Issues. http://www.wepa-db.net/policies/state/cambodia/drinking5_2.htm#:~:text=Otdar%20Meanchey%20Province%20has%20the,Ratanakiri%20Province%20at%20three%20percent.