Why We Did This Audit
In Pakistan, limited access to potable water, wastewater treatment, and schools pose some of the greatest barriers to a resilient and prosperous country. To support Pakistan in addressing these barriers and underpin sustainable development, USAID invests in construction activities and then hands them off to the recipients to use and sustain. Development progress is lost when activity recipients do not use, operate, and maintain constructed facilities as intended or when USAID does not sufficiently address risks that could jeopardize sustainability. In addition, beneficiary safety and USAID’s reputation are at risk when activities fall short of intended goals.
We conducted this audit to determine whether the selected water supply system and schools that USAID/Pakistan constructed were used, operated, and maintained as intended to achieve sustainable results. We answered this objective by evaluating the following:
- The recipients’ use, operation, and maintenance of selected facilities constructed by USAID/Pakistan
- USAID/Pakistan’s management of risks relating to the recipients’ capabilities to operate and maintain constructed facilities
What We Found
USAID/Pakistan did not ensure that recipients could use, operate, and maintain the selected water supply system and schools constructed under the Municipal Services Program-Sindh and the Sindh Basic Education Program as intended. Specifically, the selected water supply system in Jacobabad, one of the hottest cities in the world, did not provide the intended quality or quantity of water. OIG testing in November 2024 confirmed that the water was unsafe for drinking. In addition, the water supply was irregular and did not sufficiently meet the demands of the residents. The water shortage was about 2 million gallons per day, according to local Pakistani officials.
The selected schools constructed using USAID funds failed to provide a conducive learning environment, with half of them failing to increase or sustain enrollment as intended. None of the selected schools had water, and over half of them had nonfunctional or unsanitary latrines and corroded faucets, as well as a lack of preventative maintenance (see photo below).
In addition, USAID/Pakistan did not adequately reassess the recipients’ capability to operate and/or maintain the selected water supply system and schools after handover, despite major contextual changes, such as high inflation.
What We Recommend
We made four recommendations to address issues concerning the use, operation, and maintenance of the selected programs and to ensure continuous risk assessment and activity management. USAID/Pakistan disagreed with three recommendations and partially agreed with one. We consider all four recommendations open and unresolved.