Neum – Dubrovačko Primorje (FB13)

Q4. Between country – water coming from (origin country (1)) and

Bosnia and Herzegovina

Q5. Country (2) – water supplied to (delivered):

and Croatia

Q6. Water supply system name (English):

Regional WSS Gabela-Hutovo-Neum (Dubrovačko primorje detachment)

Q7. Water supply system name (Country 1):

Regionalni vodovod Gabela-Hutovo-Neum (odvajanje za Dubrovačko primorje)

Q8. Water supply system name (Country 2):

Regionalni vodovod Gabela-Hutovo-Neum (odvajanje za Dubrovačko primorje)

Q9. Date/year established cross-border water supply:

Cross-border water supply has been established in 1982.

Q10. Management of origin side of the WSS:

Javno poduzeće Komunalno Neum d.o.o./ P.C.Utility Neum

Q11. Management of delivery side of the WSS:

Javno poduzeće Vodovod Dubrovnik d.o.o. /Public company Vodovod Dubrovnik

Q12. Amount of water supplied (as per contract/agreement):

According to Contract signed between Communal labour organization Vodovod Dubrovnik and Municipal building authority of Neum in 1982. the amount of water to be delivered to Dubrovačko primorje is 15l/s. At the moment this amount is less than agreed due to decreased water demands.

Q13. General nature of the CBWS – emergency water supply, peak water supply, permanent water supply:

General nature of the CBWS is permanent water supply of some settlements of the Dubrovačko primorje.

Q14. Existing legal framework for the CBWS:

The existing legislation is following:
(1)Contract signed between Communal labour organization Vodovod Dubrovnik and Municipal building authority of Neum dating from 1982.
(2) Contract signed between P.C.Utility Neum and P.C.Vodovod Dubrovnik dating from 1991.
(3)Contract signed between Croatian Government and Bosnia and Herzegovina Government on water management relations arrangement dating from 1996.

Q15. Top level CBWS management body (if mutually defined):

According to the last signed contract – Contract signed between Croatian Government and Bosnia and Herzegovina Government on water management relations arrangement dating from 1996. Top level CB WSS management body is mutual Republic of Croatia and Bosnia and Herzegovina Water Management Committee/ zajedničko Povjerenstvo za vodno gospodarstvo Republike Hrvatske i Bosne i Hercegovine.

Q16. Origin country reference body for the management body:

Federalno ministarstvo poljoprivrede, vodoprivrede i šumarstva/Ministry of Agriculture, Water Management and Forestry

Q17. Delivery country reference body for the CBWS management body.

Hrvatske vode

Q18. Legal framework management – Contract party meetings (annual, even more frequent):

Yes, annually or when necessary.

Q19. Issues addressed on the local level:

Apart from Water Management Committee functioning there are many issues that have to be tackled localy. Most of the day-to-day problems, necessary for the regular and continuous functioning of the CB WSS are bound to be solved, regardless from legal frameworks. Due to that, local managing is very important but unfortunately underestimated and it demands higher support from all the levels of governing.

Q20. Issues addressed on the regional level:

None.

Q21. Issues addressed on the state level:

Yes, Republic of Croatia and Bosnia and Herzegovina Water Management Committee. Meetings at least once a year or when necessary. Last meeting was held in December 2013.

Q22. Legal option to increase maximum annual entitlement?

Currently, the water amount contracted and delivered to the settlements in Dubrovačko primorje is not an issue and there are no requests for increasing it. In case of future increasing demands and with sufficient technical capacity already existing it would not be a problem.

Q23. Minimum amount of water delivery defined?

No

Q24. Which is the body assigned by the contract for the resolution of disputes?

As defined in Helsinki Convention, part III, Article 22. the body assigned for the resolution of disputes is court of arbitration.

Q25. Ownership of the cross-border infrastructure:

The Municipality of Neum is a legal establisher of P.C.Utility Neum and accordingly the owner of the infrastructure. P.C. Vodovod Dubrovnik owns the infrastructure on it’s national territory.

Q26. Are the water rights on the water resource assigned to the cross-border partner? In which way?

No, the water rights of the water source are not allocated to cross-border partner. Water permit is issued for the P.C.Utility Neum only.

Q27. Termination of the water delivery of contract

The final date of delivery is not fixed, both in contracts from 1982 and 1991. Contract from 1996 is concluded for an idefinite period of time and it does not envisage the final date od delivery.

Q28 Minimal water consumption legally defined?

According to Contract signed between Communal labour organization Vodovod Dubrovnik and Municipal building authority of Neum in 1982. the amount of water to be delivered to Dubrovačko primorje is 15l/s. At the moment this amount is less than agreed due to decreased water demands.

Q29. Is the legal heritage of the systems resolved

Legal inheritance system is solved, but not completely satisfactory. This has led to numerous problems in the managing of P. C. Utility Neum. Until war (1991) there was a contract with SIZ WSS, where a substantial portion of the cost was beared by SIZ WSS, who was also financing the construction of WSS. After the war, due to new circumstances, these institutions ceased to function and all maintenance costs were transferred to the P. C. Utility. The issue of legal inheritance is not adequate, legal heirs do not know what are their obligations. Following these problems and lack of financial resources, P. C. Utility Neum is not able to maintain the system in a satisfactory way and because of that, the WSS was left unamaintained and today is in unenviable position.

Q30. Is the water price(charge) composed by different components?

No, water price (charge) is not composed of different components. It is defined as a lump sum – Water price Decision issued by the Municipal council of Neum.

Q31. How is the pricing mechanism defined (water charges):

Decision on water prices issued and adopted by the Municipal council of Neum on 05.03.2012. defines the price of water as a lump sum for the whole water supply same for the local and cross-border provision. Established water price doesn’t cover costs of water production and is not actually a product of economic variables but more of a social. This is the way to protect final water consumers due to the deteriorating socio-economic conditions eventhough it is not the best solution for the succesful managing of WSS.

Q32. Are the minimal charges foreseen? – Fixed charges, full for empty:

No

Q33. Is the non-payment procedure regulated by the contract?

No

Q34. Is there a special tariff (surcharge) for the excessive water supply?

No

Q35. Insurance cost covered – insurance cost tariff, insurance model foreseen by the contract:

No

Q36. Depreciaton of the infrastructure, investment/maintenance plans agreed ? (amortizacija, ammortamento):

No

Q37. Penalties for unfulfilment of contractual obligations?

No

Q38. Is the mutual inspection of records/book-keeping established? (due dilligence approach):

No

Q39. General assessment of the CBWS economics :

Regional water supply system Gabela-Hutovo-Neum is a highly demanding and expensive mechanism to maintain. It requests continuous care and investments both from the regular incomes and all government level grants. Since the CBWS is just a detachment of our regional water supply system there are no special issues regarding CBSW economics especially if we take into consideration low water demands from the other side of the border. Nevertheless, increasing investments from Dubrovačko primorje would definitelly help in mutual maintaining of WSS.

Q40. Payment statistics for the last 5 years:

In attachment.

Q41. Other:

No

Q42. Measurement of water delivered:

There are two detachments for the cross-border water delivery. Measurement is performed in a way that P.C.Utility Neum measures the flow in water reservoirs Moševići and Duži both before detachments for Dubrovačko primorje. This measuring using water meters shows the quantity of water delivered to the point of cross-border provision.

Q43. Is continuity of water supply – intermittent water supply an issue?

In case of a regular water supply, when there are no breakages in the system, water supply continuity is not an issue. On the other hand, all the troubles in the system ( breakages, failures, electricity issues, etc) endanger the regular water supply for both of the sides.

Q44. Agreed water quality issues:

No

Q45. Water quality monitoring jointly controlled/verified:

Water quality monitoring is not jointly controlled. It is a regular responsibility of P.C.Utility Neum and is as such delivered to Dubrovačko primorje.

Q46. Temperature regulated by the contract?

No

Q47. Pressure regulated by the contract?

No

Q48. Cross – border profile management:

Yes, there is a pressure measuring on the cross border structure and it is mutually accessible.

Q49. Construction of project facilities:

No

Q50. Is the daily dynamics of water demand/supply an issue ?

No

Q51. Is the seasonal dynamics of water demand/supply an issue ?

There is an issue with the seasonal dynamics of water supply during the peak summer season when local demands multiply.

Q52. Management of water losses – are water losses in the supply, uptake side an issue?

SCADA system

Q53. Is the water availability/demand an issue on supply country or demand country side?

No, there are no issues with water availability-water source.

Q54. Transitional phenomena an issue?

No

Q55. Other technical issues?

No

Q56. Long term planning mechanisms established?

There are no long term planning mechanisms established.

Q57. LIASON OFFICERS DETERMINED? Communication process determined and functioning?

System for the liaison officers is not established on the local level.Communication process is functioning spontaneously and due to the good and positive relations between two utilities.

Q58. Joint supervision of the Water Supply System?

Mechanisms for the joint supervision of the WSS have not been envisaged in the Contract and further to that not established.

Q59. Joint management of the water resource?

Water resource is managed only by one partner which is P.C.Utility Neum from the origin side of the WSS.

Q60. Contingency plans existing?

No, there is no contingency plan existing.

Q61. Main problems identified:

/

Q62. Other comments:

/

Q63. Vision:

There is in general a positive vision on the functioning of the CBWS.

Q64. Do you consider that the legal framework for the CB WSS is adequate, or under-defined:

Legal framework of the CBWS is under-defined and inadequate. The signed agreement between the Government of Croatia and the Government of Bosnia and Herzegovina did not further elaborate on the mechanisms that would help to solve issues and problems at the levels where decisions are actually made and that is at local level. If the entire cross-border management system has been reduced to the level of utility company, it can certainly be concluded that this is a big task and responsibility that small utilities can not handle.

Q65. Do you consider that the economic framework for the CB WS is adequate, or under-defined:

Economic framework of the CBWS is under-defined and inadequate. The price of water that is defined locally it is not good solution. Pricing of water based on social rather than economic variables, although it positively resolves socio-economic issues, however, is not adequate and efficient way for the long-term profitability of WSS.

Q66. Do you consider that the technical framework for the CB WS is adequate, or under-defined:

Technical framework for the CBWS is sufficient but without legal and economic framework folowing, it is also inadequate.

Q67. How would you assess general perception of the cross border water supply in public?

Since the CBWS of Dubrovačko primorje is not a highly demanded part of the overall regional supply and it is not endangering the same on the local level, there is a practical positive opinion of CBWS. It is considered as a positive component in the framework of general cross-country relationship.

Q68. Provide in the attachment shp file of the existing water supply network:

Has been provided.

Q69. Provide documents on general state-level framework for the cross-border water supply:

Contract signed between Croatian Government and Bosnia and Herzegovina Government on water management relations arrangement from 1996.

Q70. Specific delivery contract:

Contract signed between Communal labour organization Vodovod Dubrovnik and Municipal building authority Neum from 1982.; Decision on fees for municipal waste and water price issued and adopted by the Municipal council of Neum on 05.03.2012

Q71. Regulations, technical documentation:

/

Q72. Statistics on the water supplied and payments provided for the last five years:

/