The objectives of the Water Districts Development Project are to: 1) help participating local governments and water districts plan and implement sewerage and sanitation investments; and 2) assist the Phillippine government in developing transparent regulatory mechanisms in order to facilitate private sector participation in water utilities. The project consists of two components, financed by two loans. The first loan will finance the Public Performance Audit (PPA component), comprising technical assistance designed to pilot and field-test a privatized public performance audit system. Independent auditors will monitor, evaluate, and publicly report the performance of the two consessionaires who have been awarded the contracts to manage metro Manila ' s water supply and sanitation infrastructure. The second loan will finance the Sewerage, Sanitation, and Drainage component (the SSD component), consisting of constructing sewerage, sanitation, and drainage infrastructure in the cities of Davao, Cotabato, Calamba, and Cagayan de Oro.
