April 24, 2012 (LBO) – State-run National Water Supply and Drainage Board has made a 1.9 billion rupees operational profit with higher revenues and a slight decline in non-revenue distribution. The Central Bank’s annual report said Water Board has given 95,728 new connections in 2011 growing total connections 7.1 percent to 1.4 million.
Revenues had increase 11 percent to 13.8 billion rupees while operational and maintenance cost had declined 9 percent to 11.9 billion resulting in a 1.9 billion rupee operational profit. The water board made a large loss in 2010 partly due to a revaluation loss.
A key reason for the agencies losses is non-revenue water, which had reduced to 31.3 percent from 31.5 percent in the Greater Colombo area and to 25.1 percent from 26.6 percent in other areas.
“High level of losses has been a result of decayed pipelines, consumption of water
by families of underserved settlements through public water outlets, illegal water users through
tampering of meters and operational shortcomings,” the Central Bank said.
“In the short term, non-revenue water is expected to reduce by strengthening maintenance services,
replacement of corroded pipes, establishm