the principal service provider. The policy also indicates cost recovery provision as key, establishments of sanitary landfills, and solid waste management. The draft National sanitation policy for Jamaica of 2005 notes that there are overlapping responsibilities at the national and local levels of government and a need for greater collaboration between NGOs, Community-based organizations, community members, as well as the government. The Water Sector Policy, Strategy and Action Plan (2004) has as its main objective to ensure that all households have access to water by 2010, sewer all major towns by 2020, as well as rehabilitate existing non-compliant facilities to achieve compliance with national environmental standards. The Rural Water Supply Master Plan, announced in 2008, is currently under elaboration. Regulation The Office of Utilities Regulation (OUR), established by an Act of Parliament in 1995, regulates, among others, water and sanitation service provision. The Office approves tariffs, sets targets for efficiency improvements, processes all license applications for utility services and makes recommendations to the Minister. Service provision Water service on the island is provided by one large public entity and three small private companies: The National Water Commission (NWC) is the main institution responsible for all major water and sewerage operations, including: production of water and collection, treatment and disposal of urban sewage. Provision for rural water is shared between the NWC and the Parish Councils. The smaller private service providers are: Four Rivers Development, Runaway Bay Water Co., Rio Bueno Water Co, among others. The three provide 10-year non-exclusive licenses. Sanitation services are provided by NWC, Can Cara Development Company and Rosehall Utilities Company. Other The Jamaica Social Investment Fund finances community-based water and sanitation projects. Economic efficiency The water and sanitation infrastructure is inadequate and inefficiently operated, as the level of Non-revenue water for the NWC was 66% in 2005. In 2004, service providers produced 277 million cubic meters of water, but only 103 million cubic meters were consumed. Financial aspects Tariffs and cost recovery Cost recovery Despite a tariff increase granted to NWC in 2004, the utility continued to register an operating loss for the fourth consecutive year. There thus is no cost recovery for capital costs. Poor enforcement of tariff payments contributes to the utility's low revenues. Whenever tariffs are adjusted, the NWC and the OUR shall implement a public awareness campaign on how to reduce bills through water conservation. Affordability The average Jamaican household spends 2.1%