Introduction

Provincial Nam Papas are termed "Nam Papa State-owned Enterprises (NPSEs)" in Decision No. 37/PM. The abbreviation PNP is, however, commonly used. PNPs are, in accordance with the decision no. 37/PM, responsible for:

• Management and operation of all water supply and wastewater management systems and development of raw water in urban and rural areas within their respective provincial boundaries. The operation shall be on commercial principles and in accordance with three-year rolling corporate plans
• Compliance of the management of sanitation facilities with the sanitation regulations issued.

A water supply system in Lao PDR may be defined as a Nam Papa if it meets the following characteristics (WASA 2000):

• The water is treated to WHO drinking water quality standards, the system is piped, with individual house connections, and
• it is located in an urban centre, defined as a centre with more than 2,000 dwellings and a population density greater than 30 persons per hectare.

There are four categories of urban centres in Lao PDR, namely: The Capital Vientiane, 4 regional centres (also provincial capitals), 13 other provincial capitals (including one special region) and 130 small towns. In principle all water supply systems in these urban centres should eventually be owned and operated by a Nam Papa based in the Capital or a provincial capital. However, it is not expected that all will accelerate their development sufficiently to become part of a Nam Papa water supply system.

Water supply systems not defined as a Nam Papa (e.g. urban), are rural water supply systems. These may have been established with the support of Ministry of Public Health, NGOs, other donors, or the villagers may have established them on their own initiative.

There are established PNPs in Vientiane, 16 provincial capitals and one special region, with a total of 36 urban water supply systems, supplying 85,700 service connections, and serving a population of 488,000 of a total urban population of approximately 1 mill, of which Vientiane caters for 42 % . Full water treatment is provided in 16 of the 36 systems.