AN ASSESSMENT OF FINANCIAL VIABILITY AND ECONOMIC EFFICIENCY OF WATER SUPPLY IN NASARAWA STATE - NIGERIA

In Nigeria, there is an urgent need, to manage w ater resources, especially the aspects of development and supply, with a policy that aims at financial viability and economic efficiency. Four Local Government Areas (LGAS) were sampled and used for this study because of the current operations of the Nasarawa State's Water Board; each LG A is residentially structured into four zones which coincide with the socio-economic strata in the LGAs. IS specific water consumption rates were examined using standards of measurements. The average water use rate in each stratum was then compared with the present water rates, to highlight the w ide gap between amount of w ater used and the amount charged by the government. The study observed that, the ideal necessity for optimal water pricing in Nasarawa State is to resort to metering every water-using unit in the state. In such a case, prices will be based on amount of water actually used by a household or unit, or individuals; this can only be achieved if pipe connections have been extended to the houses in the unplanned indigenous areas. The study concludes that, water must be exploited economically. The running cost should be borne by revenue from water rates The present water tariff is grossly unrealistic and requires upward review