With available water supplies of only 950 cubic metres per person per year (2004), Egypt is one of the 20 most water-poor countries in the world. Population numbers are growing, putting further pressure on resources. Farming, as the largest consumer of water, is particularly seriously affected. The drinking water supply is characterised by high per-capita consumption and large distribution losses. Increasing the efficiency with which water is used both in agriculture and in the drinking water supply is an urgent necessity.

Irrigated agriculture has always been crucial to life in Egypt. In recent years, however, agricultural production has been unable to keep pace with population growth. The limited availability of water restricts further development. The use of freshwater resources must therefore be improved in all consumption sectors, but most importantly in irrigated agriculture.

Egyptian agricultural policy has in the past focused on maximising production, without regard to water availability and resource conservation. As part of the reform of the agricultural sector, water efficiency, economic management and integration into the world market have assumed higher priority. German development cooperation supports this reform policy, with an additional emphasis on poverty reduction, environmental compatibility and sustainability, by financing modernisation of the irrigation infrastructure and training irrigation advisers and farmers’ water-user organisations.

GTZ’s task is to advise its Egyptian partners on the management and implementation of reforms and development processes. Advice is provided to staff of the Ministry of Water Resources and Irrigation and the Ministry of Agriculture and Land Reclamation. Issues addressed include the implementation of a regional water management approach and reform of the relevant institutional structures at national and regional level. The principles of sectoral policy are also being reformulated, for example by involving water user groups in decision-making and implementation processes and by pursuing sustainability strategies. Strengthening the management skills of the next generation of managers in the water resource sector is key to implementation of the reform.

While almost everyone in Egypt has access to the piped potable water supply, only around 40 per cent of wastewater is properly disposed of and treated. The utility companies have little autonomy in decision-making and must grapple with inappropriate personnel structures, poor cost recovery levels and liquidity problems, which result in operational shortcomings such as high rates of water loss and poor technical efficiency. Because of inadequate maintenance and repair, sustainability is limited and the standard and quality of service tend to deteriorate. Wastewater management is also affected by an absence of the necessary infrastructure and a lack of experience in operating treatment facilities.

The Egyptian government’s declared goal is to make the water supply cost-efficient, significantly improve wastewater management and progressively remove the high subsidies in the sector. Supporting the sector in the areas of both investment and capacity development therefore continues to be a priority.

Through the work of GTZ the German government helps its Egyptian partners improve water supply and wastewater disposal services in selected governorates of Egypt. This involves providing support and advice to:

• the Ministry for Housing in connection with formulation of a new water sector policy;
• the Holding Company for Water and Wastewater (HCWW) and the Qena Water and Wastewater Company (QWWC), helping them to improve their management and operational processes (management, technology, administration and finances); 
• the rural population in connection with the introduction of decentralised wastewater management systems that are designed to be operated sustainably and at low cost by communities themselves.