Friday27 December 2024
inbusinesskz.com

State auditors uncovered financial violations in the wastewater management sector.

The amount of the violations totals 18.7 billion tenge.
Государственные аудиторы обнаружили финансовые нарушения в области водоотведения.

The Supreme Audit Chamber (SAC) has identified a number of systemic issues in the wastewater sector, reports Kazpravda.kz citing the press service of the state agency.

The state audit revealed a range of deficiencies in wastewater management, including inconsistencies in the actions of authorized bodies, gaps in the regulatory framework, lack of quality monitoring and reliable operational data, low levels of automation and digitalization, poor development of investment projects, and more.

The low level of payment for utilities and low local tariffs create risks of underfunding for infrastructure. Additionally, the absence of a unified approach to collecting, processing, and summarizing information leads to discrepancies in data regarding the length of networks, the number of wastewater treatment plants (WWTPs), emergency sections, and so on.

“In 67 cities of the republic, new construction, modernization, and reconstruction of WWTPs are required, while in 27 they are completely absent. There is a disparity in the distribution of funds among regions. For instance, the largest amounts of financing are directed to Astana, Turkestan, and Almaty regions, despite a higher level of wear and tear on engineering networks in Karaganda, Pavlodar regions, and Ulytau,” the press release states.

The expertise of 27 complex wastewater projects across Kazakhstan was conducted by organizations lacking the appropriate rights, which contradicts legislation. For 15 projects in Turkestan and Karaganda regions, Shymkent, and Astana, deadlines were violated, and for some projects, no repeated expertise of the corrected project documentation was conducted. Overall, the cost of implementing 35 wastewater projects increased by 70 billion tenge as a result of adjustments – from 109 to 180 billion tenge.

Moreover, inconsistencies in actions and low control lead to the idling of some facilities. For example, the reconstruction project of the wastewater treatment facilities in Priozersk, Karaganda region, costing 1.9 billion tenge, has been idle since 2017, with 98% readiness. In Turkestan and East Kazakhstan regions, six commissioned wastewater treatment projects worth 5.6 billion tenge are idle due to the absence of sewage networks.

At the meeting, the SAC chairman emphasized that without developing a unified information system in the housing and communal services sector, the issues discussed will remain relevant.

“Without digitization, without having reliable information, you cannot plan expenditures effectively. You need to see the whole picture: across the country, by region, and by types of infrastructure. And the most critical issues should be addressed first. Without quality monitoring, you end up operating in the dark: whichever region comes first, that’s who you work with. This is incorrect and inefficient,” said Alikhan Smailov, addressing the Ministry of Industry staff.

As a result of the audit, it was established that there are: financial violations totaling 18.7 billion tenge; ineffective planning of budget funds and assets – 23.4 billion tenge; and their ineffective use – 26.7 billion tenge.

Potential losses and missed profits amounted to 17.3 billion tenge. State auditors identified 59 systemic deficiencies and 277 procedural violations.