Company number: 03597005 Charity number: 1076690 ## International Water Association Report and financial statements For the year ended 31 December 2022 **International Water Association** ## **Contents** ## **For the year ended 31 December 2022** Trustees’ annual report .................................................................................................................. 2 Independent auditor’s report ......................................................................................................... 19 Statement of financial activities (incorporating an income and expenditure account) ...................24 Balance sheet ............................................................................................................................... 25 Statement of cash flows ................................................................................................................26 Notes to the financial statements ................................................................................................. 27 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** ## **Trustees** Thomas Mollenkopf (President, Chair) Kalanithy Vairavamoorthy (Executive Director) Marie-Pierre Whaley (Senior Vice President) Daniel A. Nolasco (Vice President) Teodor Popa (Treasurer) Rose Kaggwa Walter Kling Sankaralingam Mohan María Molinos-Senante Elisabeta Poci Harsha Ratnaweera Satoshi Takizawa Peter Vanrolleghem Xiaochang Wang **Company registered number** 03597005 (England & Wales) ## **Charity registered number** 1076690 (England & Wales) ## **Registered Office** 1.04 & 1,05 Export Building, Republic, 1 Clove Crescent, London E14 2BA, UK ## **Company Secretary** Mr Satkunam Murugathas ## **Executive Director** Dr Kalanithy Vairavamoorthy ## **Independent auditor** Sayer Vincent LLP, Invicta House, 108-114 Golden Lane, London EC1Y 0TL, UK ## **Principal Bankers** HSBC Bank Plc, London SW1H 0NJ, UK 2 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** The IWA Trustees (who are also Directors of the charity for the purposes of the Companies Act) present their annual report together with the audited consolidated financial statements of the International Water Association (the 'Association' or 'IWA') for the year ended 31 December 2022. The Trustees confirm that the annual report and financial statements of the Association and the group comply with: - a) the current statutory requirements; - b) the requirements of the Association, and the Association's governing document; and - c) the provisions of the Statement of Recommended Practice (SORP), applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). ## **1. OBJECTIVES AND GENERAL ACTIVITIES** ## **Objectives of the Association** These are to: - (a) promote the art and science of water management for the public benefit, particularly, but not exclusively, by the encouragement of education, training, study, and research in water management and the publication of the useful results of such research; - (b) advance the education of members of the public in the science and practice of water management; - (c) promote and enable the development and direct provision of water management schemes worldwide for the public benefit, where "water management" means the establishing, maintaining, and securing of safe and sustainable water supplies, storm water systems, and wastewater treatment and disposal systems. ## **Strategies for achieving objectives** The Association fulfils its objectives by: - (a) holding a World Water Congress every two years in different continents of the world; - (b) holding worldwide regional and specialised conferences, seminars, webinars, and workshops, providing a continual source of knowledge and information; - (c) publishing a range of books, journals, and reports; and - (d) promoting multi-level collaboration amongst its members and others through, for example, specialist groups, task forces, forums, regional associations, projects, and programmes. 3 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** ## **Activities for achieving objectives** The International Water Association continues to develop as the global reference point for water professionals working on all aspects of the water cycle. IWA helps water professionals deliver innovative, pragmatic, and sustainable solutions to challenging global needs for safe water and sanitation, within urban areas and river basins. IWA is a unique global knowledge hub for water professionals, and anyone concerned about the future of water. As such, IWA continues to inspire change towards our common vision of a water-wise world. Through the Association, members collaborate to lead the development of effective and sustainable approaches to water management, with emphasis on the science and management of drinking water, wastewater, stormwater, and the conservation of water resources throughout the world. IWA’s World Water Congress & Exhibition is an important component of its activities for achieving its objectives. 2022 saw the world begin to emerge from the COVID-19 pandemic and during the year the Association delivered an extremely successful edition of this event, held in Copenhagen, Denmark. More generally, the Association continued to maintain close working relationships with all the major international water agencies and associations, partnering with these bodies, and engaging members, on joint projects, publications, and representation of positions in international forums. The Association has a strong and developing outreach programme concerned with the transfer of knowledge and skill in water management from professionals across all countries. With members engaged in the delivery of this programme, it maintains a strong focus on environmental health, hygiene, and sanitation issues in lower-income countries. ## **Main charitable activities for the public benefit** The Trustees confirm that they have complied with the duty in Section 17 of the Charities Act 2011 and have taken due regard to the Charity Commission's general guidance on public benefit. This is achieved by the generation and dissemination of knowledge and best practices on all facets of the water cycle. This occurs formally at conferences, facilitated exchanges through the specialist groups, task forces, and other member networks (such as the Young Water Professionals) and through the journals, books and other publications produced by the Association. Activities during 2022 with a particular relevance to public benefit included launch by IWA of a major initiative on Inclusive Urban Sanitation (IUS). This is an ambitious programme that seeks to reshape the urban sanitation agenda globally, securing more inclusive progress, especially in low- and middleincome countries. Also, the unprecedented effects of climate change have already had and will have a significant impact on utilities' ability to provide safe water and sanitation services while also protecting people and assets. It is notable therefore that progress with IWA’s Climate Smart Utilities initiative during 2022 included launch of a dedicated Recognition Programme to inspire progress by utilities. Both initiatives are described in more detail in Section 3. ## **Open Access publishing and the public benefit** In 2022, further progress was made with the delivery of publications under an Open Access model and on increasing diversity and representativeness in relation to publications. In particular, the number of citations of journal papers more than doubled in 2022, increasing by 114%, and with 66% of citations coming from researchers in the Global South. On the books programme, 81% of titles published were Open Access. This help a high level of online readership, with 1.1 million book downloads in 2022. 4 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** ## **2. GROUP STRATEGIC OVERVIEW** 2022 was an extremely successful year for IWA. With the world emerging from the COVID-19 pandemic, a particular highlight of the year was the 2022 IWA World Water Congress & Exhibition 2022, held in the city of Copenhagen, Denmark from 11-15 September. With some 8900 participants and a comprehensive programme that featured, for example, IWA’s first-ever High-Level Summit, this edition represented the most successful ever. Built around the theme of ‘Water for Smart Liveable Cities’, the event secured a high level of visibility for IWA and its activities. There has been strong progress with various programmes. In particular, this year has seen the launch of a new initiative on Inclusive Urban Sanitation, which aims to reshape the global urban sanitation agenda. Also, the Climate Smart Utilities programme is gathering pace, bringing together an increasing number of water and wastewater utilities to share responses to climate change. A particular highlight here was the launch of the Climate Smart Utilities Recognition Programme, under which the activities of 42 utilities from around the world were celebrated during the Congress. 2022 was also a successful year in terms of progress with work to support younger water professionals. Groups in IWA’s Young Water Professionals community held or participated in numerous events across the year, new country Chapters were formed, and YWPs were highly integrated into the Congress programme. In addition to this, two important initiatives were announced during the Congress. One of these was the agreement to create the Emerging Water Leaders Endowment Fund, supported by Glen and Patty Daigger; the other was the IWA-Grundfos ‘Youth Action for SDG 6’ Fellowship, as a result of which 12 young individuals were selected to attend the UN Water Conference in 2023. A further important step for IWA during the year was the inaugural Digital Water Summit – also IWA’s first dedicated business-to-business event. Building on the success of our Digital Water Programme, this brought together solutions providers and utility end users to focus on this rapidly evolving topic. Other activities during the year have included launching an initiative on Diversity, Equity and Inclusivity as a focus for future development that builds on progress already achieved. Also, 2022 was the year in which IWA could note reaching a 75-year heritage. A special project was initiated in 2022 to document the history of IWA and its predecessors and the first outputs of this were delivered. Also, a great deal of work was undertaken during 2022 to develop the Association’s new networking and knowledge platform for members, Connect Plus, ready for launch in the first weeks of 2023. Overall, the Association continued to advance its core mission, visible through our diverse activities and a strong membership base that broadly remained steady in terms of membership numbers. This progress was supported by IWA’s strong foundations, which are based on financial prudence and the commitment of all the many people involved – i.e., the Board, staff, members, and partners. 5 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** ## **Key financial performance indicators** The consolidated financial statements, as presented, comply with the legal requirements of both the Charity Commission and the Companies Act. Income from charitable activities was £6,282,950 (2021: £1,047,006). Other income, including income from trading activities, investments, and other sources, was £4,258,756 (2021: £5,034,396) giving total income for the year of £10,541,707 (2020: £6,081,402). After making provision for Loss on investments of £187,827 (2021: Gain £102,256) the net increase in group funds was £1,442,961 (2021 increase of: £328,113) providing closing group funds as of 31 December 2022 of £4,375,151 (2020: £2,932,190). ## **3. ACHIEVEMENTS AND PERFORMANCE** ## **Programmes** Through 2022, IWA made further important progress with numerous programmatic initiatives that contribute to the Association’s aim of shaping the global water agenda. Designed to facilitate member involvement in issues of strategic importance to the Association, these are broadly focused on cities and on water and wastewater utilities. One important area of progress was on the use and implications of digital technologies in the water sector. The water industry, and in particular water utilities, needs to adapt to meet current and emerging demands. Digital technologies present numerous opportunities to respond and utilities therefore need to transition to become digitally-enabled organisations. The IWA Digital Water Programme helps facilitate the journey of the water industry towards digital uptake and integration into water services. The programme is a gateway for water utilities to access knowledge on the application of digital approaches to improve capacity and performance. A significant output for the Digital Water Programme during 2022 was the launch of the publication ‘A Strategic Digital Transformation for the Water Industry’, which was presented at the 2022 IWA World Water Congress & Exhibition. This publication is a compilation of the knowledge shared and generated so far in the Digital Water Programme. It is an insightful collection of white papers covering best practices, linking academic and industrial studies/insights with applications to give real-world examples of digital transformation. The Digital Water Programme was also instrumental in the delivery of IWA’s first Digital Water Summit, held in Bilbao, Spain, in November 2022 (see Events section below). A major development in IWA’s programmatic activity in 2022 was the launch of the Inclusive Urban Sanitation (IUS) initiative. This aims to alter the global urban sanitation agenda by emphasising the need for a faster and more inclusive approach to expanding safe service coverage that goes beyond technological improvements and infrastructure development. The programme is funded by the Bill & Melinda Gates Foundation. It will develop a framework with broad practical application to identify global goals and the basics of a public-sector approach to service outcomes that may improve inclusive urban sanitation, particularly in low- and middle-income countries. The IUS initiative was formally launched at the World Water Congress & Exhibition, whose focus included an emphasis on the necessity of sustainable and inclusive sanitation. focusing on the need for an accelerated and inclusive approach to expanding safe service coverage – beyond just technology advancements and infrastructural development. IWA also continued to progress its Climate Smart Utilities initiative. The effects of climate change, such as flash floods, sea level rise, drought, changes in precipitation patterns, have substantially impacted utilities' ability to provide clean water and sanitation services while protecting people and assets. On the other hand, utilities are responsible for up to 2% of global greenhouse gas emissions, as evidenced by high energy consumption related to water and wastewater conveyance and treatment, as well as 6 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** fugitive GHG emissions from processes. The Climate Smart Utilities initiative champions real-world examples, best practices, and technologies that can inspire utilities and the larger water professional community to embrace informed decision-making processes, as well as lead and embrace the cultural shift on three interconnected pillars of climate action: climate adaptation, mitigation, and leadership. IWA opened its first year of calls for submissions to the new dedicated Recognition Programme within the Climate Smart Utilities initiative. The goal of this recognition programme is to inspire utilities to become more Climate Smart, fostering Climate Action by them. Following a large number of applications, 42 utilities were recognised for their outstanding performance in combating climate change in a special ceremony during the World Water Congress & Exhibition. In the programme area of Basins of the Future, the ‘Handbook on Basin-Connected Cities’ was launched during the 2022 World Water Congress. This publication, created in a collaboration between IWA and the International Network of Basin Organizations (INBO), aims to aid decision-making in increasing the city's connectivity and integration with its river basin. It builds on the IWA Action Agenda for Basin-Connected Cities, which provides a framework for utilities, cities, and their industries to become water stewards in collaboration with basin stakeholders. ## **Events** With the world emerging from the COVID-19 pandemic, opening the way for resumption of travel, IWA’s events programme began to return to strength. **2022 World Water Congress & Exhibition:** The 2022 IWA World Water Congress & Exhibition, held in Copenhagen, Denmark from 11-15 September, was a great success. It drew some 8900 participants from 102 countries. The comprehensive programme included 162 technical sessions, 64 workshops, 1167 submitted papers, 500 posters presented, 6 forums, 9 plenaries, 8 keynotes, 2 master lectures. The Copenhagen edition featured IWA’s first-ever high-level political summit which saw the participation of four national ministers and other high level governmental, state, city and UN representatives among the 184 invited participants. The event therefore represents IWA’s largest and most successful Congress to date. Titled ‘Water for Smart Liveable Cities’, the event drew participants from across the spectrum of the sector, including water experts from utilities, academia, private firms, governments, and global organisations. National politicians, mayors and policymakers attended the event, demonstrating a successful link between policy and practice. Discussions centred on six major theme tracks: water utility management; wastewater management; drinking water and potable reuse; city-scale planning and operations; communities, communications, and collaborations; and water resources and largescale water management. **Digital Water Summit:** IWA’s inaugural Digital Water Summit, and first dedicated business-to-business event, held in Bilbao, Spain, in November 2022 was co-organised with local water utility Consorcio de Aguas Bilbao Bizkaia and AEAS - the Spanish Water and Wastewater Association. The aim of the Summit was to support the industry on its 'digital transformation path', serving as a focal point for the water sector's digitalization by bringing together all stakeholders from technology providers to end users. Technical Sessions, ‘InnoHub’ presentations, and Interactive Sessions with the audience were all part of the Summit's agenda. Furthermore, the Summit provided ample networking opportunities, with delegates able to schedule one-on-one meetings. **IWA Leading Edge Conference:** The Seventeenth edition of the IWA Leading Edge Conference on Water and Wastewater Technologies Conference did not fail in its world-class reputation as the forum for leading innovators. Gathering more than 200 delegates in Reno, Nevada, the conference 7 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** successfully achieved its aim to share and debate pioneering science, technological innovation and leading practices. As the first ‘in-person’ IWA event since the pandemic, discussions at the conference were also able to highlight how the pandemic shone a light on the essential role played by the water and wastewater sector. ## _**The Source**_ **magazine** _The Source_ is IWA’s quarterly magazine, delivered both in print and online. It is available to all IWA members as a benefit of membership. The magazine’s content reflects IWA’s goal of inspiring a world in which water is wisely managed, offering features, viewpoints, and updates to help readers keep up to speed with the issues that shape the sector, and leading responses to these topics. Recent topics covered in detail in 2022 included: growing use of wastewater based epidemiology as a means of informing public health measures; opportunities for utilities to pursue climate-positivity; the role of systems thinking as the basis for progress with the UN Sustainable Development Goals; the need and opportunities for better management of the world’s groundwater resources; the role of traditional and Indigenous knowledge; and examples of integrated urban water management, especially in light of climate change. ## **IWA Publishing** In 2021, all IWA Publishing journals became Open Access, with new articles free to read by everyone. The results of this transformation began to be seen in 2022. The median Impact Factor of the journals increased by 39%. The number of citations of journal papers more than doubled, increasing by 114%. More importantly, citations to the journals came from a much wider range of countries around the world, with 66% coming from researchers in the Global South. It is also worth mentioning that IWA Publishing journals are maturing. Water Research X attained its inaugural Impact Factor of 9.365, ranking it 4/100 in the Water Resources category. Blue-Green Systems, H2Open Journal, Ingeniería del Agua and Water Practice & Technology will receive their first Impact Factors for the 2022 publication year. Blue-Green Systems is projected to receive an Impact Factor of c4.5, ranking it in the top 12% of journals in the Water Resources category. This is an impressive achievement which recognises the excellent work of the journal’s Editors, reviewers and authors over the past five years. Work continues to increase the diversity and representativeness of IWA Publishing journal Editorial teams. Between 2017 and 2022, the number of Editors-in-Chief from Africa, Asia, Middle East, and Latin America more than doubled. Editorial Board membership from these regions grew by 42%. These engagement initiatives will carry on in future years, with one of the key objectives of IWA Publishing’s new Strategic Plan being to ensure that the teams running the journals align closely with the authors who publish in them. Journal Editorial teams have also focused on rapid publication and author satisfaction. The Net Promoter Score for 2022 – which measures how happy authors are with their journal publishing experience – increased to 77. That is higher than Apple, Sony, Hyundai, BMW and Louis Vuitton. In addition, the books programme flourished in 2022. 81% of titles published were Open Access, helping drive dramatic growth in online readership of the books. There were 1.1 million book downloads in 2022. Notable books published during the year included A Strategic Digital Transformation for the Water Industry, Michael Abbott’s Hydroinformatics, Resource Recovery from Water, Pathways to Water Sector Decarbonization, Carbon Capture and Utilization, the Scientific and Technical Report on Quantification and Modelling of Fugitive Greenhouse Gas Emissions from Urban Water Systems, and Integrated Wastewater Management for Health and Valorization. 8 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** ## **Young Water Professionals (YWP)** IWA’s Young Water Professionals activity works to foster participation and opportunities for water professionals up to the age of 35. The YWP community was involved in more than 20 events in the water sector in 2022, both local and international. A key event was the high-level UN Water Conference in Tajikistan in June, at which a delegation of YWPs represented IWA. The Conference provided a platform to discuss how to engage youth in the water sector up to and during the UN Water Conference in New York in 2023. Nine country Chapters were created in 2022 (Argentina, Colombia, Ecuador, India, Nepal, Pakistan, Singapore, Sri Lanka, USA). In total, there are 38 IWA-branded country Chapters, which reflects the global outreach of our association. IWA hosted five online ‘Get-togethers’ for YWPs (IWA YWP Steering Committee Elections and About Us; Connecting YWPs in the Middle East region; YWPs Intergenerational Stories: Entrepreneurship in WASH; IWA-Grundfos ‘Youth Action for SDG6’; Lessons learned from COP27 and the 2022 Groundwater Summit) and two Global Coordination Calls for IWA-branded YWP Chapters (Strengthening connections between YWP; Challenges and Solutions for IWA YWPs Chapters membership engagement). ## **IWA Awards** IWA’s Awards programme honours outstanding achievements and thought leadership by individuals, companies, and organisations in the water sector. The programme is supported by the contributions of global and diverse judging panels and juries. The main awards presented during 2022, at the World Water Congress & Exhibition, featured the IWA Global Water Award. This honours those who have made an extraordinary contribution to progress toward a future where water is properly managed via creative leadership and practice. The IWA Global Water Award was won by Ms. Nisha Mandani, Our Aim Foundation, USA/India. The IWA Gender Diversity and Water Award, which recognises individuals for their excellent professional contributions to the growth of gender diversity in the water industry, was won by Annabell Waititu, Bigfive Africa Ltd., Kenya. The IWA Young Leadership Award is granted to an extraordinary water professional under the age of 35 who has made significant achievements in his or her career. This was won by Dr Céline Vaneeckhaute from Canada. The IWA Development Award for Research went to Professor Damir Brdjanovic, and the IWA Development Award for Practice went to the Africa SandDam Foundation. Honorary Membership, given in recognition of a career devoted to progress in the water sector and to the Association, was awarded to Helena Alegre from the Laboratorio Nacional de Engenharia Civil/LNEC (Portugal), Joan Rose from Michigan State University (USA), Gérard Payen, Honorary President of AquaFed (France) and Former Adviser on Water to the UN Secretary General, and Diane d’Arras, former IWA Board Member and past IWA President. IWA marked further notable contributions through the IWA Award for Outstanding Service, which was granted to Eveline Volcke, Professor at Ghent University (Belgium) as well as Founder and Head of the ‘Biosystems Control (BioCo)’ research group, and Jurg Keller, Distinguished Fellow of IWA and of the Australian Academy of Technological Sciences and Engineering (Australia). Also in 2022, IWA’s Project Innovation Awards recognised outstanding innovation and leadership in the water industry, with 18 winners across six categories. The overall Grand Innovation Award went to the Keppel Marina East Desalination Plant, Singapore, with the 2022 edition of the PIA being sponsored by the Saline Water Conversion Corporation. ## **4. FINANCIAL REVIEW** 2022 represented a solid financial outcome for the group, driven largely by the success of the World Water 9 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** Congress and Exhibition and the continued contribution of Gift Aid from IWA Publishing. Due to global market fluctuations, there was a loss on group investments for the year, but overall, the result for the year was a surplus of £1,442,961 (2021: £328,113). This is an encouraging result as IWA tends to rely on surpluses in its Congress year to smooth out lower income in alternate years. Additional details on the group's financial results for the year are provided under the section on 'key financial performance indicators' on page 5 above. ## **Investment policy and performance** Preservation of capital is the primary objective in guiding the risk profile of the Association’s investment policy. After satisfying the primary objective, the secondary objective is to maximize the return on the investment in accordance with the ethical investment policy. The investment position has been considered from both a Euro and Sterling currency perspective. The group's investments totaled £1,164,700 as of 31 December 2022 (2021: £1,337,045). The Trustees were disappointed with the investment performance of 2022 although they recognized that this was partly impacted by increased market volatility (in addition to poor stock selection). The trustees will continue to closely monitor future investment performance. ## **Assessment of going concern** After making appropriate enquiries, the Trustees have a reasonable expectation that the Association has adequate resources to continue in operational existence for the foreseeable future. In making this assessment, the Trustees have taken account of the reserves position as of 31 December 2022 (see below) and the financial forecasts and projections for a period not less than one year from the date of approval of this report and financial statements. Our current reserves are robust, thanks to the better than anticipated outcomes from our biennial World Water Congress in 2022 (although some of these reserves will be utilized in 2023, which is a noncongress year). This, coupled with good financial management and discipline, means that our mediumterm outlook is secure. We do not currently anticipate that the overall financial position of the group will be adversely affected, or its financial solvency threatened. The Trustees believe there are no material uncertainties with respect to the group’s financial position that may severely curtail its work and/or threaten its ability to operate as a going concern. The Trustees therefore continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies accompanying the financial statements. ## **Reserves policy** IWA’s reserves policy seeks to balance spending the maximum amount of its income to meet its charitable objectives, while maintaining an adequate level of reserves to ensure uninterrupted operation and provide time to adjust to changes in financial circumstances. Based on the prudent assessment of the financial impact of risk events on reserves, the trustees have estimated a target level of free reserves of £1.2M +/- £100k. The group free reserves as of 31 December 2022 are at the level of £2,725,401 (compared with 2021: £1,882,431). This is above the intended target level; however, some of these reserves will be utilized in 2023 since it is a non-congress year. As we transition our Journals to being Open Access through S2O, we anticipate a decrease in our publishing income. Consequently, maintaining adequate reserve levels becomes crucial to mitigate any 10 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** potential shortfall in Gift Aid, which is essential for advancing our charitable goals. Business plans are set with the aim of maintaining reserves within the target range. The reserves may move outside of the target range because of factors such as operational issues, short-term investment requirements, and economic changes. If this were the case, management would adjust business activities over the medium term with the aim of restoring reserves to within the target range. ## **Principal funding** Principal funding sources for the charity are membership, conferences, Gift Aid Income from its wholly owned subsidiary IWA Publishing Limited, and grant and contract income from various organisations. The group does not work with any commercial or professional fundraisers and does not solicit donations from the public. ## **5. RISK MANAGEMENT** The Trustees have assessed the major risks to which the group is exposed, those related to the operations and finances of the Association. They are satisfied that systems and procedures are in place to mitigate our exposure to the major risks. The Board recognises the importance of identifying and managing the risks of the Association and its subsidiaries. A risk management framework, which includes a risk and control register, identifying and prioritising the Association's key risks, is maintained. The register includes a programme of control measures and actions to manage material risks. The risk register is reviewed and updated quarterly by the management. A risk report is presented to the Finance and Investment Committee at the following meeting to discuss the basis for any movements in the risk register, and any “emerging risks”, and to confirm the summary which will be presented at the next board meeting. Once per year, the Board is informed on the status of the risk register and the related mitigation measures. ## **Key internal risks for the Association include:** - a) Reduction in Gift Aid from IWA Publishing leading to lower revenues to support IWA’s business: - b) Breaches in the security of the IT systems including hacking, unauthorised access, fraud, permanent damage to electronic data, and manipulation of key data. - c) Business disruption caused by loss of key staff. ## **Key external risks to the Association include:** - a) S2O model is unsustainable and IWA Publishing must transition to a new Open Access business model for the S2O journals - b) Inflation leading to higher operating costs especially utility bills - c) Inflationary pressure and cost of living increases leading to higher operating costs, higher pay demands and employee demoralisation - d) Reduced income from congresses and events due to lower attendance due to concerns around overseas travel. - e) Declining income from membership fees (especially corporate members) due to the emergence of alternative networking opportunities. ## **Financial risk management objectives and policies** The management team reviews, on behalf of the Board, matters concerning accounting, financial reporting, and internal controls, including the risk register. It also reviews the management accounts and the annual report and financial statements before they are submitted to the Board of Trustees and 11 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** deals directly with the external auditor regarding the conduct of the audit. ## **6. STRUCTURE, GOVERNANCE, AND MANAGEMENT** ## **7. Constitution** The Association is constituted under a Memorandum of Association dated 13 July 1998 and is a registered charity (number 1076690). The Articles of Association were most recently revised in September 2020 to authorise virtual general meetings. Liability of the members is limited by guarantee and the Association does not have share capital. Members of the Association guarantee to contribute an amount not exceeding £1 in the event of a deficiency of assets on winding up. The total number of such guarantees on 31 December 2022 was 14 (2020: 15) . ## **Method of appointment or election of Trustees** The management of the Association is the responsibility of the Trustees who are elected and appointed under the terms of the Articles of Association. As noted earlier, the Trustees also constitute the Board of Directors for the purposes of the Companies Act. An Annual General Meeting was held on 10 September 2022 at which there was an election of two Vice Presidents, and the appointment of other officeholders and a new Board of Directors for the period September 2022 to August 2024. ## **Policies adopted for the induction and training of Trustees** The Board of Directors has adopted a programme of trustee training which covers existing and new Board members. New Trustees attend an induction programme and a formal training session covering governance and trustees' legal responsibilities. New Trustees are provided with an induction pack that covers their general duties as well as a briefing on IWA-specific matters such as Strategic and Business Plans, financial reports, governance documents, and other relevant reports. All Board members attended a training session on the Duties and Responsibilities of Directors and Trustees in February 2023. . 12 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** ## **Organisational structure and decision-making** The Board, as Trustees and Directors, are responsible for the management of the affairs of the Association. It sets the strategic direction of the Association, appoints the Executive Director (also a Trustee), and provides financial and programme oversight to the Association. The Board generally meets at least four times each year. The amelioration of the COVID-19 pandemic allowed in-person meetings of the Board in 2022 with face-to-face meetings and two shorter (2-hour-long), virtual meetings to discharge its governance and strategic responsibilities. The 2022 AGM and Governing Assembly was called in accordance with the IWA’s articles of association and was held in Copenhagen, Denmark on 10 September 2022, at which the audited accounts of the Company for the year ended 2021 and the Directors’ Report and the Auditors’ Report were duly received and two Vice Presidents were elected, and other officeholders and a new Board of Directors were appointed for a term of two years commencing at the 2022 World Water Congress and concluding at the conclusion of the 2024 World Water Congress. ## **The Board of Directors** The names of the individuals serving on the Board, at any time during the year of report and up to the date of approval of this report, are as follows: Thomas Mollenkopf (President, Chair) Kalanithy Vairavamoorthy (Executive Director) Marie-Pierre Whaley (Senior Vice President) Daniel A Nolasco (Vice President, appointed on 9 September 2022) Teodor Popa (Treasurer) Enrique Cabrera Rochera (retired on 9 September 2022) Diane d’Arras (retired on 9 September 2022) Asma Elkasmi (retired on 9 September 2022) Hamanth Kasan (retired on 9 September 2022) Rose Kaggwa Walter Kling Yoshihiko Matsui (retired on 9 September 2022) Sankaralingam Mohan (appointed on 9 September 2022) María Molinos-Senante Elisabeta Poci (appointed on 9 September 2022) Harsha Ratnaweera (appointed on 9 September 2022) Virgillo Rivera (retired on 9 September 2022) Satoshi Takizawa (appointed on 9 September 2022) Peter Vanrolleghem Xiaochang Wang 13 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** ## **The Board of Directors (continued)** The Board comprises elected officers and other officeholders. Under the Articles of Association, all Board members (except the Executive Director) serve two-year terms. The elected officers (President and two Vice Presidents) generally serve for a single term of two years but may be re-elected to serve a second term. The other officeholders will usually serve two terms on the Board, aside from the Immediate Past President, who is limited to a single term. The Board nominations process is overseen by the Governance and Nominations Committee and, to the extent possible, a practice of rolling retirements is adopted to maintain continuity on the Board. By accepting to serve on the Association’s Board, Trustees commit to conduct themselves in accordance with the highest ethical standards in carrying out their responsibilities. The Board has therefore adopted an internal Code of Conduct, which provides ethical standards and criteria. All Board members are required to adhere to the Code in the performance of their responsibilities to the Board. ## **Governing Assembly** The Governing Assembly is comprised of the representatives of the Governing Members around the world, each of whom is entitled to appoint three representatives to the assembly. The Governing Assembly meets at least annually and is responsible for electing the Officers of the Association and appointing other Office holders and approving constitutional changes. As mentioned above, the 2022 AGM and Governing Assembly were held in Copenhagen, Denmark on 10 September 2022, in accordance with the articles of association. The Governing Assembly ensures that the interests of members – including Individual, Corporate and Governing Members – are represented and it provides oversight and input into the Association’s overall direction. The Governing Members of IWA represent the core mechanism for national and regional interaction with members across a range of issues. ## **Key Committees and Strategic Council** The Association has established a number of key Committees and a Strategic Council, each of which plays a specific role in the Association’s governance or activities. Further details on the Strategic Council and the various Board Committees are provided below. ## **Finance and Investment Committee** Teodor Popa (Treasurer) chairs the Finance and Investment Committee. Other members of the committee are Marie-Pierre Whaley (past Treasurer), Richard Hoult (resigned November 2022) and Matt Woodcock (appointed November 2022). Mr Thomas Mollenkopf (President) and Dr Kalanithy Vairavamoorthy (Executive Director) are ex officio members. It reviews, on behalf of the Board, matters concerning accounting, financial reporting and internal controls, including the Risk Register. It also reviews the management accounts and the annual report and financial statements before they are submitted to the Board of Trustees and deals directly with the external auditor regarding the conduct of the audit. It also, on behalf of the Board, sets the Investment Manager’s mandate and monitors performance on a quarterly basis. 14 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** ## **The Governance and Nomination Committee** Marie-Pierre Whaley (Senior Vice President) chairs the Governance and Nomination Committee. Other members of the committee are Rose Kaggwa, Walter Kling, Elisabeta Poci, Satoshi Takizawa and Yang Villa. Thomas Mollenkopf (President) and Kalanithy Vairavamoorthy (Executive Director) are ex officio members. The Committee advises the Board on corporate governance matters for the Association, including its subsidiaries, committees, and other Association entities; assists the President or the Board to ensure that appropriate individuals are selected for various Association entities; and defines and revises the processes for choosing the nominees and winners of the different awards of the Association. ## **The Membership and Engagement Committee** Daniel A Nolasco (Vice President) chairs the Membership and Engagement Committee. Other members of the committee are Ed McCormick, Sankaralingam Mohan, María Molinos-Senante, Harsha Ratnaweera and Xiaochang Wang. Thomas Mollenkopf (President) and Kalanithy Vairavamoorthy (Executive Director) are ex officio members. The Committee provides necessary policy oversight concerning the Association members, their expectations, and their participation follows the effectiveness of the recruitment process, discusses new schemes of membership, discusses the communications policy towards different segments of members, and the schemes of honours and awards. ## **Strategic Council** The Strategic Council plays two key roles within the Association. It provides strategic input to the Association’s Board of Trustees and Governing Assembly. In addition, it provides guidance and assistance to the Association in the development of new activities and in the coordination of key existing activities. ## **Key management personnel** The IWA Management Team, led by the Executive Director Kalanithy Vairavamoorthy, comprises several Directors: Daniela Bemfica (Strategic Programmes & Engagement Director); Keith Hayward (Marketing & Communications Director); Keith Robertson (Operations Director); Kizito Masinde (Events and Awards Director); Satkunam Murugathas (Finance Director & Company Secretary); Tao Li (Strategy & Development Director) and Varghese Babu (IT & Digital Transformation Director). The Trustees consider that they, together with the IWA Management Team, comprise the Association's key management personnel, in charge of directing and controlling the charity. Except for the Executive Director, none of the Trustees are remunerated for their services to the charity. The Executive Director is remunerated (as permitted under clause 4 of the charity's memorandum of association) for his role as Executive Director. The Executive Director's remuneration is set by the nonexecutive members of the Board based on benchmarking of similar international roles in the charity or NGO sector and having regard to prevailing market rates. The remuneration of the members of the IWA Management Team is determined in line with those of other personnel within the group. Pay is determined by the Executive Director based on industry benchmarking of similar international roles in the Charity or NGO sector. 15 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** ## **IWA Publishing Limited** The Association has a wholly owned subsidiary, IWA Publishing Limited (IWAP), the principal business of which is the provision of publishing and information products and services to the international water supply and wastewater market. This includes the production and distribution of various publications of the Association. Profits are transferred to the Association by way of Gift Aid. The financial results and year-end position of the subsidiary have been incorporated in the consolidated financial statements accompanying this report. ## **Other related companies** ## **In China:** - Nanjing IWA Science & Technology Co. Ltd. ## **In India:** - IWAT Science and Technology Private Limited IWA also owns the following companies in full, which have remained dormant since incorporation: - IWA – Conferences Limited - IWA Solutions International Limited - IWA Global Enterprises Limited (previously named Aquarating Limited) IWA also created NGOs in Kenya - called IWA Africa - and in India - called IWAI Water Foundation. Both have remained dormant since their creation. ## **8. FUTURE PLANNING** IWA’s 2019-2024 Strategic Plan has been in operation since its adoption at the Governing Assembly at the 2018 IWA World Water Congress & Exhibition in Tokyo. This plan remains effective as the strategic foundation for the day-to-day activities of the organisation. We are actively progressing with further implementation of the plan, by working with our members, strengthening our Association’s membership value, providing insights into trends for the sector and beyond, being a platform for members to exchange knowledge and accelerate the diffusion of innovation, and from collaborating to address the SDG challenges. Importantly, the IWA Strategic Plan refers to diversity. This is backed by a strong Board-level commitment to champion diversity throughout the organisation. Actions to progress diversity include working across the Association’s many structures, rotating roles to extend this diversity, and monitoring our progress. For 2023, IWA anticipates being able to escalate its plans of achieving more comprehensive progress on diversity, especially in terms of supporting and securing more equal participation by developing countries as well as individuals and organisations from developing countries, with the support of funding received from the Bill & Melinda Gates Foundation. An expedited and all-inclusive approach to expanding safe service coverage is necessary. The Inclusive Urban Sanitation initiative will create a framework with broad practical application to define global goals and the core principles of a public service approach to outcomes that can advance inclusive urban sanitation, particularly in low- and middle-income countries. We will also continue to work to make our published material more easily accessible online and available in different languages, to enhance our contribution to resolving water challenges around the world. This will be done by building on the progress with Open Access achieved during 2021 and 2022. Also, in the first days of 2023, IWA officially launched its new digital membership platform, _IWA Connect Plus_ , for which most of the work has been underway throughout 2021 and 2022. This platform improves on core needs, such as membership administration, and provides the basis for enhanced and expanded functionality in terms of information sharing and networking, strengthening IWA’s membership offeri 16 **International Water Association** ## **Trustees’ Report** ## **For the year ended 31 December 2022** ## **Five-year goals** The Strategic Plan is based on the following five commitments for the IWA to achieve over the coming five years: **1. An engaged and balanced membership -** The IWA will have an engaged membership that is globally representative of the multiple segments, actors, and practice areas of the water sector. **2. A source for leading-edge water knowledge -** The IWA will have strengthened our position as an authoritative source and a global reference point for water knowledge, addressing and informing on emerging and potentially disruptive trends within the sector and the wider world. **3. A space for professionals to exchange water knowledge -** The IWA will have provided a broad range of professional content and programming that is relevant and widely valued by the water sector worldwide. **4. A bridge between research and practice -** The IWA will play a pivotal role in bridging the chasm between research and practice to accelerate the development and diffusion of innovation in the global water sector. **5. Support to the implementation of SDGs -** The IWA will support and promote the Sustainable Development Goals and strengthen the sector through professional and capacity development so that people and countries can pursue their ambitions in relation to water-related SDGs. ## **8. TRUSTEES’ RESPONSIBILITIES STATEMENT** The Trustees (who are also Directors of the International Water Association for the purposes of company law) are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and the group and of income and expenditure of the group for that period. In preparing these financial statements, the Trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in Accounting and Reporting by charities; - make a Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Report Standard applicable in the UK and Republic of Ireland (FRS 102); - make judgments and estimates that are reasonable and prudent; - state whether applicable UK Accounting Standards have been followed, subject to any material departure disclosed and explained in the financial statements; - prepare the financial statements on a going concern basis, unless it is inappropriate to presume that the charity will continue in operation. The Trustees are responsible for keeping accounting records that disclose with reasonable accuracy at any time the financial position of the charity and the group and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities Act 2011, and regulations made thereunder. They are also responsible for safeguarding the assets of the charity and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the group's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. 17 **International Water Association** **Trustees’ Report** ## **For the year ended 31 December 2022** ## **Disclosure of information to auditor** In so far as the Trustees are aware: - there is no relevant audit information of which the group's auditor is unaware; and - the Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. This confirmation is given and should be interpreted in accordance with the provisions of s418 of the Companies Act 2006. Approved by the Trustees and signed on their behalf by: Mr. Thomas Mollenkopf President and Chairman Approved on: 9th August 2023 18 **Independent auditor’s report** ## **To the members of** ## **International Water Association** Independent auditor’s report to the members of International Water Association ## Opinion We have audited the financial statements of International Water Association (the ‘parent charitable company’) and its subsidiaries (the ‘group’) for the year ended 31 December 2022 which comprise the consolidated statement of financial activities, the group and parent charitable company balance sheets, the consolidated statement of cash flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements: - Give a true and fair view of the state of the group’s and of the parent charitable company’s affairs as at 31 December 2022 and of the group’s incoming resources and application of resources, including its income and expenditure, for the year then ended - Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice - Have been prepared in accordance with the requirements of the Companies Act 2006 and the Charities Act 2011 ## Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the group financial statements section of our report. We are independent of the group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. ## Conclusions relating to going concern In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on International Water 19 **Independent auditor’s report** ## **To the members of** ## **International Water Association** Association's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. ## Other Information The other information comprises the information included in the trustees’ annual report, including the strategic report, other than the group financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the group financial statements does not cover the other information, and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the group financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the group financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. ## Opinions on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit: - The information given in the trustees’ annual report, including the strategic report, for the financial year for which the financial statements are prepared is consistent with the financial statements - The trustees’ annual report, including the strategic report has been prepared in accordance with applicable legal requirements ## Matters on which we are required to report by exception In the light of the knowledge and understanding of the group and the parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report, including the strategic report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and Charities Act 2011 requires us to report to you if, in our opinion: 20 **Independent auditor’s report** ## **To the members of** ## **International Water Association** - Adequate accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or - The parent charitable company financial statements are not in agreement with the accounting records and returns; or - Certain disclosures of trustees’ remuneration specified by law are not made; or - We have not received all the information and explanations we require for our audit; or ## Responsibilities of trustees As explained more fully in the statement of trustees’ responsibilities set out in the trustees’ annual report, the trustees (who are also the directors of the parent charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the group’s and the parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so. ## Auditor’s responsibilities for the audit of the financial statements We have been appointed auditor under the Companies Act 2006 and section 151 of the Charites Act 2011 and report in accordance with those Acts. Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud are set out below. Capability of the audit in detecting irregularities 21 **Independent auditor’s report** ## **To the members of** ## **International Water Association** In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following: - We enquired of management, which included obtaining and reviewing supporting documentation, concerning the group’s policies and procedures relating to: - Identifying, evaluating, and complying with laws and regulations and whether they were aware of any instances of non-compliance; - Detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected, or alleged fraud; - The internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations. - We inspected the minutes of meetings of those charged with governance. - We obtained an understanding of the legal and regulatory framework that the group operates in, focusing on those laws and regulations that had a material effect on the financial statements or that had a fundamental effect on the operations of the group from our professional and sector experience. - We communicated applicable laws and regulations throughout the audit team and remained alert to any indications of non-compliance throughout the audit. - We reviewed any reports made to regulators. - We reviewed the financial statement disclosures and tested these to supporting documentation to assess compliance with applicable laws and regulations. - We performed analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud. - In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments, assessed whether the judgements made in making accounting estimates are indicative of a potential bias and tested significant transactions that are unusual or those outside the normal course of business. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities _._ This description forms part of our auditor’s report. 22 **Independent auditor’s report** ## **To the members of** ## **International Water Association** ## Use of our report This report is made solely to the charitable company's members as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. Jonathan Orchard (Senior statutory auditor) 16 August 2023 for and on behalf of Sayer Vincent LLP, Statutory Auditor Invicta House, 108-114 Golden Lane, LONDON, EC1Y 0TL Sayer Vincent LLP is eligible to act as auditor in terms of section 1212 of the Companies Act 2006 23 Int•matlonal Watsr Assada￿On Consolldat•d stat8rn8ntof flnanclal aEtlvttl•s linco￿rat1￿ an Incom8 and @mp8r￿lIUra xcounti For th8 r8nd8d 31 D8cernb8r2022 Cortiwi Unt8StrLt8d Discon11￿ed Unrest￿l￿d un￿111Ctad R88trLtsd Totsl Uni8Strthd Réslrict8d Tol Not Incom8frarn'. charila￿ actNitI8S subscwions I￿o￿9frOM pioigcts and gian18 I￿o￿9frOM confor9￿9S h8rtradiw activili I￿o￿9frOM pUbl￿a￿Or I￿0￿@frOM Naniirg op￿all0￿ Oth81 sal8s Ir￿￿8 680.488 680,488 1,562,463 4,039,999 733.927 56.980 138,069 733.927 175.010 138.069 1.562,463 4,039.999 4,￿6.670 4,006,670 42,OS3 38,S18 26,371 145,144 4.104,502 4.104.502 837.191 68.393 24.310 42.05S 68,393 Ckh8r Inco 8,937.191 42.053 1.562,463 10,541,707 5.126,181 6.081.402 Exp8nditur80n'. Irwéstmont Manag8m￿lcostS Publica1￿￿ costs NaTh11￿ ￿￿rationS costs charila￿ actNitigs Enga9od &collabotaliv8 Th8mb8rshp Sourc&of18adin9.gdggwat8rknowl8dg8 PIaffO￿ f0rwatgrknowl8d9&8xc￿rye 10,889 2,004,202 497,760 2,￿.202 1.knry,540 1.969.540 599.346 497.760 599.S46 1,894.036 458.398 3,189.754 1,894,036 458,398 3,189,754 855,881 1.598,509 4￿.691 385.995 .295 1.598.509 400.691 385.995 881.975 TO1￿ 8xp8ndAur8 497.760 8,910,919 5.072.104 599.$46 5.847.130 Not incarn8118xp8ndlknr81 b8f4Jr• taxat 784.600 1455.70n i.SOi,895 1,630,788 54,077 2S7.845 4.272 Taxation on Naniiwop8ratio Not incarn8118xp8ndlknr81 att•rtaxation, befor nBt galnson Inv8strn8ntS 784.600 1455.70n i.SOi,895 1,630,788 54,077 229.4SO 225.857 N81 gains OTh 1rwéstm￿IS 1187,82 102,256 102256 Not incarn8118xp8ndlknr81 Iorttr￿￿￿r 596.773 1455.70n I.SOl,895 1,442,961 156,333 229.430 328.113 Transf&rs b8M88nfurrfls 53.035 153.0351 123.$441 23.344 Not incarn8118xp8ndlknr81 b8far8 olh8r r8Bognl88d and Ioss85 649.808 1455.70n 1.248,860 1,442,961 132,989 229.4SO S28.113 cluarial loss8s ond8linéd b￿￿frt Pans￿￿ Not mo￿￿￿nt infunds 649.808 1455.70n 1.248,860 1,442,961 132,989 229.4SO S28.113 R8conclllatlon offunds.. TOl￿f￿￿ btoughl lotward 2,432.378 454.849 2,932,190 2299,389 225.419 79.269 2.604.077 TO1￿ fundscarrf8d forward 3.082.186 18581 1.293.823 2.432.378 454.849 44.963 2.932.1 DISC￿lIn￿8d￿dIV￿Ie&I￿1ats10 Mani￿￿ ry8ral￿n& pjthBT￿Wrt￿5￿￿￿￿fi￿1￿.ThBra￿ar&￿llOihar rBcounI￿dg￿￿&0r ID558&oth￿1haTrlh￿ &tatEd8b￿￿8. PknvBmBN5 In ￿￿&￿r￿dIScIDs& In Note213tr 24 **International Water Association** Company no. 03597005 ## **Balance sheets** ## **As at 31 December 2022** |Note
**Fixed assets:**
9
10
11
**Current assets:**
14
15
**Liabilities:**
16
18
19
21a
Total unrestricted funds
**Total assets less current liabilities**
**Net assets excluding pension asset / (liability)**
Stock
Debtors
**Funds:**
Restricted income funds
Unrestricted income funds:
Designated funds
Revaluation reserve
Pension reserve
General funds
Non-charitable subsidiary funds
Creditors: amounts falling due within one year
**Net current assets**
**Total net assets**
Creditors: amounts falling due after one year
Defined benefit pension scheme asset
Investments
Cash at bank and in hand
Tangible assets
Intangible assets
**Total funds**|**2022**
2021
**£**
**£**
**44,190**
106,700
**312,595**
443,247
**1,164,700**
1,337,045
**1,521,485**
1,886,992
**52,953**
52,953
**2,289,204**
1,733,713
**4,354,381**
2,940,672
**6,696,538**
4,727,338
**(3,722,872)**
(3,562,140)
**2,973,666**
1,165,198
**4,495,151**
3,052,190
**(120,000)**
(120,000)
**4,375,151**
2,932,190
**-**
-
**4,375,151**
2,932,190
**1,293,823**
44,963
**355,927**
1,004,796
**139,177**
327,004
**2,586,224**
1,555,427
**-**
-
**-**
-
**3,081,328**
2,887,227
**4,375,151**
2,932,190
**The group**|**2022**
2021
**£**
**£**
**44,190**
106,700
**312,595**
443,247
**1,164,700**
1,337,045
**1,521,485**
1,886,992
**52,953**
52,953
**2,289,204**
1,733,713
**4,354,381**
2,940,672
**6,696,538**
4,727,338
**(3,722,872)**
(3,562,140)
**2,973,666**
1,165,198
**4,495,151**
3,052,190
**(120,000)**
(120,000)
**4,375,151**
2,932,190
**-**
-
**4,375,151**
2,932,190
**1,293,823**
44,963
**355,927**
1,004,796
**139,177**
327,004
**2,586,224**
1,555,427
**-**
-
**-**
-
**3,081,328**
2,887,227
**4,375,151**
2,932,190
**The group**|**2022**
2021
**£**
£
**-**
-
**312,595**
396,429
**1,314,703**
1,487,048
**1,627,298**
1,883,477
**-**
-
**1,669,510**
1,565,278
**3,336,724**
2,076,380
**5,006,234**
3,641,658
**(2,137,523)**
(2,927,794)
**2,868,711**
713,864
**4,496,009**
2,597,341
**(120,000)**
(120,000)
**4,376,009**
2,477,341
**-**
-
**4,376,009**
2,477,341
**1,293,823**
44,963
**356,785**
549,947
**139,177**
327,004
**2,586,224**
1,555,427
-
-
-
-
**3,082,186**
2,432,378
**4,376,009**
2,477,341
**The charity**|**2022**
2021
**£**
£
**-**
-
**312,595**
396,429
**1,314,703**
1,487,048
**1,627,298**
1,883,477
**-**
-
**1,669,510**
1,565,278
**3,336,724**
2,076,380
**5,006,234**
3,641,658
**(2,137,523)**
(2,927,794)
**2,868,711**
713,864
**4,496,009**
2,597,341
**(120,000)**
(120,000)
**4,376,009**
2,477,341
**-**
-
**4,376,009**
2,477,341
**1,293,823**
44,963
**356,785**
549,947
**139,177**
327,004
**2,586,224**
1,555,427
-
-
-
-
**3,082,186**
2,432,378
**4,376,009**
2,477,341
**The charity**| |---|---|---|---|---| ||**1,521,485**
**52,953**
**2,289,204**
**4,354,381**|1,886,992
52,953
1,733,713
2,940,672|**1,627,298**
**-**
**1,669,510**
**3,336,724**|1,883,477
-
1,565,278
2,076,380| ||**6,696,538**
**(3,722,872)**|4,727,338
(3,562,140)|**5,006,234**
**(2,137,523)**|3,641,658
(2,927,794)| ||**2,973,666**|1,165,198|**2,868,711**|713,864| ||**4,495,151**
**(120,000)**
**4,375,151**
**-**|3,052,190
(120,000)
2,932,190
-|**4,496,009**
**(120,000)**
**4,376,009**
**-**|2,597,341
(120,000)
2,477,341
-| ||**4,375,151**|2,932,190|**4,376,009**|2,477,341| ||**1,293,823**
**355,927**
**139,177**
**2,586,224**
**-**
**-**|44,963
1,004,796
327,004
1,555,427
-
-|**1,293,823**
**356,785**
**139,177**
**2,586,224**
-
-|44,963
549,947
327,004
1,555,427
-
-| ||**3,081,328**|2,887,227|**3,082,186**|2,432,378| ||**4,375,151**|2,932,190|**4,376,009**|2,477,341| Approved by the trustees on and signed on their behalf by9th August 2023 - Thomas Mollenkopf President and Chairman 25 Intornatlonal Watèr A$soclatlon Consolldalgd $tat8m8nl of cash Ilow$ For th èar ondèd 31 Dèc8mbèr 2022 Note 2022 2021 Cash flows from opèratlng aetlvltl8$ Net income lor the reporting period las per the statement ol linan¢ial a¢tivitiesl Depreciation Charges Amortisation chargès Gains on investments Dividends, interest and rènt from investments Finance and administrative eosls in respect ol delingd benefit pension scheme Foreign exchange loss Ilncreaselldeerease in stocks Ilncreaselldeerease in debtors Increase in creditors 1,442,961 328,117 118,262 69,646 187,827 126,3711 130,624 67,862 1102,2561 124,3101 {144,7471 264 18,2521 559,796 609,634 {555,4911 160,732 Nèl eash provld8d by opèratlng actlvltlg$ 1,252,818 1,561,479 Cash flows from Invosllng actlvltl8s- Investment income Purchase ol tangible and intangible fixed assets Disposal ol tangible and intangible fixed assets Proceeds from sale ol investments Purchase ol investments Change in cash held by investment manager 26,371 117,5161 167,517 218,316 {227,6111 16,1871 24,310 113,5391 233,110 1239,5801 17,0311 Nèl cash provld8d usgd In Invè$tlng aetlvltlg$ 160,890 12,7301 Chang8 In ea$h and cash gqulvalonts In Ihg yoar 1,413,709 1,558,749 Cash and cash equivalents at the beginning ol thè year Change in cash and Cash equivalents due lo exchange ralè movèments 2,940,672 1,381,923 Ca$h and cash equlvalènt$ at Ihg end ol the year 4,354,381 2,940,672 26 Intemational Water Association Notes to the financial statements For the ear ended 31 December 2022 1 Accounting policies al Company status The Association is a charitable company limited by guarantee and is incorporated in England. The registered office address is Export Building, First Floor, 1 Clove Crescent, London, E14 2BA. bl Basis of preparation and consolidation The financial Slalemenls have been prepared in accordance wlh Accounting and Reporting by Charities.. Statement ol Recommended Practice applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 Icharities SORP FRS 1021, The Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 and the Companies Act 2008. These financial statements consolidate the results ol the Association and its wholly-owned subsidiaries IWA Publishing Limited and Nanjing IW A Science & Technology Co. Ltd. Transactions and balances ￿tween the charity and its subsidiaries have eliminated from the consolidated financial statements. Balances between the enlilies are disclosed in the notes ol the charity's balance sheet. A separate statement of financial aclivilies, or income and expenditure account, lor the Association itself is not presented because the charity has taken advantage of the exemptions afforded by section 408 of the Companies Act 2006. Assets and liabilities are initially recognised al histori¢al cost or transaction value unless othemse staled in the relevant ac¢ounting policy or note. The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded lo the nearest £. I Public benefit entity The charity meets the definition of a public benefit entity under FRS 102. dl Assessment of going concern The Trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability ol the company to continue as a going concern. The Trustees make this assessment in respect of a period of at least one year from the date of authorisation lor issue of the financial statements. In forming their assessment, the Trustees have also given consideration to financial lorecasls and business plans, including group entities. They have also given due consideration to the impact of the COVID-19 pandemic on the group's operations, with a locus on ils ellecl on the Association's membership, customers, suppliers, employees and investments. The Trustees acknowledge the disruption caused by the pandemic to the group's day-to-day operations and confirm that they do not consider this to be cause for material uncertainty in respect of the group's ability to continue as a going concern. The group has successfully employed contingency plans, and trustees have considered that the charity has sufficient cash resources lo continue for the foreseeable future, despite the current crisis. The Trustees have therefore concluded that the group has adequate resources to continue in operational existence for the foreseeable future and lo meet liabilities as they fall due for a period of at least 12 months following the Trustees. approval ol these financial statements. Further commentary on the Trustees. assessment of going concern may be found within the Trustees, report accompanying the financial statements. 27 Intemational Water Association Notes to the financial statements For the ear ended 31 December 2022 1 Accounting policies Icontinuedl el Critical accounting estimates and areas of judgement Preparation ol the financial statements requires the trustees and management to make significantjudgements and estimates. The items in the financial statements where these judgements and estimates have been made include.. The estimate of the group's liability in respect of a defined benefit pension scheme previously ottered lo IWA staff, the valuation of which has ￿en estimated by an independent actuary taking account ol various assumptions including the long term rates of return on scheme assets, the long-term anticipated rate of inflation, the life exwclancy of scheme participants, and the discount rate applied., The estimates of the useful economic lives ol tangible and intangible fixed assets used to determine the annual depreciation charge,. The estimated future cost of reinstating short term leasehold property to ils original condition in line with the terms of the lease agreement The assumptions adopted by the Iruslees and management in determining the value of any designations required from the charitys general unrestricted funds., The basis on which support costs have ￿en allocated across eX￿ndItUre headings,. and Judgements and assumptions made in forecasting future income and expenditure lor the purposes of assessing whether the going concern basis ol preparing the financial slalem8nts is appropriate. f) Income All income is recognised once the Association or group has entitlement to the income, any performance conditions attached to the income have been met, il is probable that the income ￿11 be received and that the amount of income receivable can be measured reliably. Donated services or facilities are recognised when the Association or group has control over the item, any conditions associated ￿th the donated item have b&en met, the receipt ol economic benefit from the use ol the item is probable and the economic benefit can measured reliably. On receipt, donated gifts, professional services and donated facilities are recognised on the basis of the gilt to the Association or group which is the amount the Association or group would have been willing to pay to obtain services or facilities ol equivalent economic ￿n￿lIt on the open market,. a corresponding amount is then recognised in expenditure in the period of receipt. Interest on funds held on deposit is included when receivable and the amount can ￿ measured reliably by the company., this is normally upon notification ol the interest paid or payable by the bank. gl Fund accounting General funds are unrestricted funds which are available for use at the discretion ol the Trustees in furtherance ol the general objectives ol th8 Association and which have not b&8n designated lor other purposes. Designated funds comprise of unrestricted funds that have been sel aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. The investments revaluation reserve is an unrestricted fund and reflects the balance included ￿thin fixed asset investments which has arisen as a consequence of the cumulative impact ol market value changes to the Association s investment assets. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have bene raised by the Association for particular purposes. The costs of raising and administering such funds are charged against the specific fund. the aim and use of each restricted fund is set out in the notes to the financial statements. Investment income, gains and losses are allocated lo the appropriate fund. hl Expenditure and irrecoverable VAT Expenditure is recognised once there is a legal or constructive obligation to make a payment lo a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis. All expenses including supwrt costs and govemance costs are allocated to the applicable expenditure headings. Irrecoverable VAT is charged against the eX￿ndItUre heading for which it was incurred. The estimated costs ol reinstating short term leasehold propety is also capitalised at the point of the modification works being undertaken. 28 Intemational Water Association Notes to the financial statements For the ear ended 31 December 2022 1 Accounting policies Icontinuedl il Allocation of support costs Resources expended are allocated to the particular activity where the cost relates directly to that activity. However, the cost of overall direction and administration ol each aclivily, comprising the salary and overhead costs of the central function, is apportioned on the following basis which are an estimate, based on slalf time, ol the amount allributable lo each aclivily. Where information about the aims, objectives and projects ol the charity is provided to potential ￿n￿lItiarIes, the costs associated with this publicity are allocated to charitable expenditure. Where such information about the aims, objectives and projects ol the charity is also provided to potential donors, activity costs are apportioned ￿tween fundraising and charitable activities on the basis ol area of literature occupied by each activity. Engaged & collaborative membership Source of leading-edge water knowledge Platform for water knowledge exchange Bridging science to practice Support costs Governance costs 58°/. 12°/. 10°/. 19°/. OY. 1W. Support and govemance costs are re-allocated lo each of the activities on the following basis which is an estimate, based on staff time, of the amount attributable to each activity. Engaged & collaborative membership Source of leading-edge water knowledge Platform for water knowledge exchange Bridging science to practice 25°/. 25°/. 25°/. 25°/. Govemance costs are the costs associated with the governance arrangements of the charity. These costs are associated with constilulional and statutory requirements and include any cost8 associated with the strategic m8nagement of the charity's activiti88. jl Tangible fixed assets Assets are capilalised where the purchase price exceeds £500. Tangible fixed assets are stated al cost less depreciation. The estimated cost of reinslaling short term leasehold properties is also capilalised at the point of the modification works being undertaken. Depreciation is provided al rates calculated lo write off the ¢ost of the fixed assets, less their estimated residual value over their expected useful lives on the following basis.. Leasehold improvements Fixtures and fittings Off ice equipment Computer equipment 10 years straight line 5-6 years straight line 6 years straight line 3 years straight line kl Intangible fixed assets Assets are capilalised wher8 the purchase price exceeds ts00. Intangible fixed assets are stated at cost less amortisation. Amortisation is provided al rates calculated lo write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases.. Computer equipment 5 years straight line 11 Investments Investments are a form of basic financial instrument and are initially recognised al their transaction value and subsequently measured at their lair value as at the balance sheet date using the closing quoted market price. Any change in lair value will be recognised in the 81alement of financial 8clivilies. Investment g8ins 8nd Ios8es, whether r881is8d or unreali8ed, are combined 8nd shown in the h88ding'Nel gainslllo8sesl on inve8lments" in the statement of financial activities. The charity do&s not acquire put options, derivatives or other compl8X financial instruments. Investments in subsidiary companies which are unlisted are carried on the Association's balance sheet at cost less impairment. 29 Intemational Water Association Notes to the financial statements For the ear ended 31 December 2022 1 Accounting policies Icontinuedl ml Stocks Stocks are valued at the lower ol cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion ol fixed and variable overheads. Net realisable value is the price at which stocks can sold in the normal course of business after allowing lor the costs of realisation. nl Taxation The Association is an exempt charity within the meaning of schedule 3 of the Charities Act 2021 and is considered lo pass the lesls sel out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition ol a charitable company lor UK corporation tax purposes. The group's liability for current tax in this regard is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period within the relevant jurisdiction. The group incurred tax charges in Nanjing, China. ol Debtors Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount repaid net of any trade discounts due. pl Cash at bank and in hand Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening ol the deposit or similar account. ql Creditors and provisions Creditors and provisions are recognised where the Association has a present obligation resulting from a past event that will probably result in the Iransler of funds to a third party and the amount due lo settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount aller allowing for any trade discounts due. Long term liabilities are discounted where the effect of discounting would be material lo the accounts. rl Financial instruments The Association only has financial assets and financial liabili118s of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised al transaction value and subsequently measured al their settlement value with the exception of bank loans which are subsequently measured al amortised cost using the ellective interest method. $1 Foreign currencies Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated into sterling al rates of exchange ruling at the balance sheet date. Exchange gains and losses are recognised in the Statement ol Financial Aclivilies. tl Pensions Group employees are able to participate in defined contribution schemes administrated in the UK, Netherlands and China. The assets of the schemes are held separately from those ol the group. In addition, IWA Publishing Ltd makes contributions into the wrsonal wnsion plans for some of its employees. The costs of providing pensions are charged lo the SOFA as incurred, i.e. in line with the contribution payable by the group in the ￿riod. The Association also previously offered employees access to a defined benefit pension scheme administered in the UK. The defined benefit nsion scheme is now closed lo future new enlranls and there are no remaining active members in the scheme. For the defined benefits scheme, the Statement of Financial Activities ISOFAI is charged with the cost of providing pension benefits earned by former employees in the period. The exwcled relum on ￿nSIOn scheme assets less the interest on the pension scheme liabilities is included as part of this charge. Actuarial gains and losses arising in the period for the difference between actual and expected returns in the pension scheme assets, experience gains and losses on wnsion scheme liabilities and the ellect ol changes in demographics and financial assumptions, are included as after recognised gains and losses in the Slalement of Financial Activities. The accumulated pension scheme deficit 1$ recognised in lull and included in the balance sheet. However, in the event that the scheme is in net surplus position, the asset is not recognised in the balance sheet as it is not expected that the surplus ￿11 be realisable by the Association until after buying out pension nelits to the pensioners. ul Conferences The Wortd Water Congress is held bi-annually. Expenditure incurred in preparing for the Congress is also carried forward and recognised in the year of the Congress itself, except lor the cost ol staff time which is recognised in the financial year in which the services were rendered by the employees. 30 Intemational Water Association Notes to the financial statements For the ear ended 31 December 2022 1 Accounting policies Icontinuedl vl Specialist group funds Specialist groups run independently from the Association and their income, expenditure, assets and liabilities are not included in the Association's financial statements. Where sp8cialist groups use the Association's services, these are charged to the group and shown as income lor the Association. In many cases, this relates to a share of income from events organised by the swcialist group in agreement with the Association. This income is accounted lor once ¢onlirmation is received ol the amount due and it is reasonably certain that it will be received. The Association holds funds on behalf of the specialist groups. The balances due lo the groups are included in creditors. 31 International Water AssociBtion Notesto the financial statement Forthe ear ended 31 Decernber 2022 2a Analysis of expenditure Icurrenlyearl Raisin funds Charitable activities Source ol leading*dge water knowledge Platrorm tor water knovledge exchange Engaged & Colla￿ratiVe membership Bridging science to Investment anagement Operation- discontinued Governan costs Support costs 2022Total 2021 Total Staff costs (Note 51 Other costs Investment management costs Support costs Vvilhin subsidiaries Rents. rates and services Legal and professional fees IT costs Insurance Depreciation and impairment Audit AGM and Trustee meeliws 874.043 J3.394 392,276 39,469 1,120,388 419,956 293,189 155,747 219.100 2.905.039 520.376 187.655 20.1 60,000 3,439.372 4,625.399 3.061.912 1.765.320 10,889 98,015 200,727 39,015 50,749 42,545 59,258 9,000 54,059 94015 291039 51A34 71A59 60.966 199.994 141B4 54059 293.965 293.639 49.616 81.786 5.325 20.382 17.410 92.862 9.OlW) 9,526 7,094 328 36.203 219,514 24,282 47,874 184 10,889 2,￿4.202 497,762 1,540,344 388,936 3.124.139 708.031 23.250 613,368 8,910.921 5,847,126 Supwrtcosts 347,879 63,649 59.80S 142.037 1613.3681 Governancecosts 5,813 5,813 5.819 5.813 123,2501 TotBI expenditure 2022 10,889 2,￿4,2(r2 497,762 1.894.036 454398 3,189,754 855,881 8,910.921 Total expenditure 2021 11,074 1,969.540 599,542 1,598,509 400,691 385.995 881.975 1,969,540 5.847.126 32 International Water AssociBtion Notesto the financial statement Forthe ear ended 31 Decernber 2022 2a Analysis of expenditure Iprioryearl Raisin funds Charitable activities Source ol leading*dge water knowledge Platrorm tor water knovledge exchange Engaged & Colla￿ratiVe membership Bridging science to Investment anagement Operation- discontinued Governan costs Support costs 2021 Total 2020 Total Staff costs (Note 51 Other costs Investment management costs Support costs Vvilhin subsidiaries Rents. rates and services Legal and professional fees IT costs Insurance Depreciation and impairment Audit AGM and Trustee meeliws &86.557 807.643 443,665 109,415 1,030,422 158,030 194,193 160.145 149.366 316.931 421.869 20.1 59,999 3,061.912 1,765.320 11.074 293.965 293.639 49.616 91.601 34203 219.514 242B2 3.230.501 1.568.720 11,074 64.61W) 91.279 14.563 39.182 12.975 93.741 9.OlYJ 229,365 187,195 29,865 51,187 21,991 105,615 12,000 450.266 1￿.173 65.864 .438 30.721 80.021 18.750 30.918 15,165 5,188 1,232 1,237 20,158 3,282 11,074 1,969.540 S99,￿2 1,188,452 309,724 309.511 738.800 23.466 697,217 5,847.126 5,732,403 Supwrtcosts 401,690 82,601 68.118 154.808 10.1 1697.2171 Governancecosts 8,367 8,366 8.366 8.367 133,4661 1969540 I1,￿,540) TotBI expenditure 2021 11,074 1,969,540 599,342 1.598.509 400.691 385,995 881,975 5,847.126 Total expenditure 2020 10.031 2,073.353 452,228 1,829,627 383,110 345.452 638.602 5.732.403 33 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 Other activities Explain re Nanjing Net income I lexpenditurel after taxation, before net gain8 on inve$tment8 This is staled aft8r charging I Icr8dilingl'. 2022 2021 D8pr8Clation of tangible fixed assets Amorti5ation of intangible fixed as58t5 Los5 or profil on disposal of fixed assets Auditor's remuneration.. Statutory audit Other services For8ign exchange gains or10sses 118,262 69,646 130,624 67,862 18,500 1,500 16,900 1,500 Analysis of staff costs, trustee rernuneration and expense$, and the cost of key management personnel Staff and consultants costs wer8 as follows.. 2022 2021 Salaries and wag85 Redundancy and termination costs Social security costs Other pension c051s Consullanls charg85 2,665,076 71,608 283,168 294,043 125,477 2,323,346 276,401 315,149 147,016 3,439,372 3,061,912 Th8 following number of ernploye8s r8ceived 8mploy88 b8nefits (excluding 8mployer pension costs and 8mploy8r's national insurance) during the year between.. 2022 2021 £60,001 - £70,000 £70,001 - £80,000 £80,001 - £90,000 £90,001 £100,000 £100,001 £110,000 £110,001 £120,000 £130,001 £140,000 £140,001 £1 $0,000 £250,001 - £260,000 Th8 total 8mploy88 benefits lincluding pension contributions and employerfs national insuranc81 of the key management personn81 W8r8 £987,91212021.. £979,197). The total contributiOnS to the defined contribution pension sch8mes during th8 year was £145,71212021.. £131,599). At the year end £Nil12021.. £nill was outstanding. No f88s or r8mun8ralion are paid to any Mem￿rS or ottic8rs of the Association with the exception of the ExecutlV8 Director who r8c8iv8d £270,900 during the y8ar12021.. £258.7001. Clau58 4 of the M8morandum of the Association provides 5p8cific power to make such paym8llt lo the Ex8CUtive Dir8clor. The Association incurred a total of £57.42512021.. £6821 in r8sp8ct of international travel, subsistence and venue costs for 1312021.. 11 Board mernbers. During the y8ar the Association maintained an Indernnity Insuranc8 cover for its officers for up to £10 rnillion12021.. £10 million) al a cost of £6,750 per annum12021.. £5,500). 34 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 Staff nurnber$ The average number of ernploye8s Ihead count based on number of staff ernployedl during the year was 51 12021.. 521. The average number of ernploye8s during the y8ar was as follows (including casual and part-tirn8 staff).. 2022 2021 Charitable activities 33 14 34 14 Manag8ment and administration 51 52 Related party transaction8 During the y8ar Trustees received reimbursern8nl of 8xp8ns8s as set out in nol8 4. Th8 following transactions took place during the year with the Truste85 Enriqu8 Cabr8ra and P8ter Vanro118gh8m. Book royalties of £012021.. £251 was payable to Enrique Cabr8ra and book royalties of £012021.. £251 was payab18 to Peter Vanrolleghern. The total amount of 012021.. £501 was outstanding as at 31 Dec8mb8r 2022. The payment of royalties are made at a standard rat8 ￿th no pr8f8r8nlial treatment due to th8ir involvem8nt with the Association. Truste85 are r8quired lo b8 members of the Association, for which they pay the Association a membership fee. Furth8rmor8, they may from time lo tirn8 purchase goods or services from the Association18.g. books, journals, conference att8ndanc8sI. Th8 payment of fe85 or purcha58 of good or services ar8 on nomial cornmericial 18rms ￿th no pr8fer8nlial treatment by virtue of ￿illg a trustee. Other than th8 abov8, there wer8 no related party transactions to report in th8 period of r8port12021'. non81. Taxation The charity is exempt from corporation lax as all its incom8 is charitable and is applied for charitab18 purpos85. The charitys trading subsidiary IW A Publishing Limit8d dislribul85 under Gift Aid available profits lo the parent charity. Its charge to corporation tax in the year was.. 2022 2021 UK corporation tax at 19¥. 35 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 Intangible fixed asset$ The group Cost Online plattomi Totsl At the start of the year Additions in year Disposals in year 339,311 7,137 339,311 7,137 At the end of the year 346,448 346,44B Amortisation At the start of the year Charge for th8 year Elirninated on disposal 232,612 69,646 232,612 69,646 At the end of the year Net book value At the end of the year 302,258 302,25B 44,190 44,190 At the start of the year 106,699 106,699 All of the above assets are used for charitable purpos85. 36 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 10 Tangible fixed a$8el$ The group L8as8hold irnprov8rn8nl Fixtures and fittings Office 8quipm8nt Computers Totsl Cost At the start of the year Additions in year Disposals in year 120,000 521,000 2,684 1114,2421 11,842 1,832 113,326 5,863 110,5821 766,16B 10,379 1124,8241 At the end of the year 120,000 409,442 13,674 108,607 651,723 Depreciation At the start of the year Charge for th8 year Elirninated on disposal 24,000 12,000 180,927 87,101 3,947 2,279 93,885 16,882 110,5821 302,759 118,262 181,8931 At the end of the year 36,000 196,717 6,226 100,185 339,128 Net book value At the end of the year 84.000 212,725 7,448 8,422 312,595 At the start of the year 96,000 340,073 7,895 19,441 463,409 The charity Leasehold irnprovern8nl Fixtures and fittings Office 8quipm8nt Computers Totsl Cost At the start of the year Additions in year Disposals in year 120,000 420,618 2,684 113,8601 11,842 1,832 88,207 5,863 640,667 10,379 113,8601 At the end of the year 120.000 409,442 13,674 94,070 637,186 Depreciation At the start of the year Charge for th8 year Elirninated on disposal 24,000 12,000 140,206 70,371 113,8601 3,947 2,279 76,085 9,563 244,23B 94,213 113,8601 At the end of the year 36,000 196,717 6,226 85,648 324,591 Net book value At the end of the year 84.000 212,725 7,448 8,422 312,595 At the stsrt of the year 96,000 280,412 7,895 12,122 396,429 All of the above assets are used for charitable purpos85. 37 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 11 Investments The group 2022 The charity 2022 2021 2021 Fair valu8 al the start of the year Additions at cost Disposal proc88ds Net gain I1105sI on change in fair value 1,311,602 227,611 {218,3161 {187,827) 1,221,552 239,580 1233,1101 83,580 1,461,605 227,611 1218,3161 1187,827) 1,371,555 239,580 1233,1101 83,580 1,133,070 1,311,602 1,283,073 1,461,605 Cash h81d by investment broker ￿ndIng reinvestment 31,630 25,443 31,630 25,443 Fair valu8 al the end of the year 1,164,700 1,337,045 1,314,703 1,487,048 Investments comprise.. The group 2022 The charity 2022 2021 2021 Shar8s listed on the London Stock Exchange Overseas li51ed inv8stment5 Unlist8d income bonds in the UK Investment in subsidiari8S 531,950 582,750 50,000 686,851 600,194 50,000 531,950 582,750 50,000 150,003 686,851 600,194 50,000 150,003 1,164,700 1,337,045 1,314,703 1,487,048 38 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 12 Subsidiary undertakings Th8 Association holds a controlling interest in IWA Publishing Lirnited, IWA Confer8nc8s Lirnited, IWA D8V81opment Solutions Lirnited, IWA Global Enterprises Limi18d, Nanjing IWA Sci8nc8 & Technology Co. Ltd Ichinal, IWAT Sci8nc8 and Technology Privat8 Lirnited Ilndial and IWAI Water Foundation Ilndial, whose details are giv8n below. IWA Publishing Limited Th8 charity owns the whole of the is5u8d ordinary share capital of IWA Publishing Limited. a company regi518red in England. The company number is 03690822. The r8gistered office address is Export Building, First Floor, 1 Clove Cresc8nt, London, E14 2BA. Th8 subsidiary is used for non-primary purpose trading activities, th858 bing the publishing ofbooks, p8riodicals and vid80 recordings. All activities have b88n consolidated on a line by line basis in the statem8nt of financial aclivit185. Availab18 profits are distrbuted under Gift Aid to the parent charity. Th8 truste8s Kalanithy Vairavamoorthy, Enriqu8 Cabr8ra Rochera, Mari8-Pierr8 Whaley and Pet8r Vanro118gh8m are also dir8clors of the subsidiary. A summary of the results of the subsidiary is shown b810w'. 2022 2021 Turnover Cost of sales Cost of sales related to purchases frorn parent undertaking 4,006,312 1780,5421 4,104,474 1725,8221 Gro83 profit 3,225,770 3,378,652 Administrative expenses 11,223,660) 11,243,7181 Profit on ordinary activities before intere8t and taxation 2,002,110 358 2,134,934 Interest receivable and similar income 28 Profit on ordinary activities before taxation 2,002,468 2,134,962 Taxation on profit on ordinary activities Profit for the financial year 2,002,468 2,134,962 Retained earning8 Total r8tain8d 8arning5 brought forward Profit for th8 financial year Distribution under Gift Aid to par8nt charity 2,002,468 12,002,468) 2,134,962 12,134,9621 Total retained earnings carried fopward Th8 aggregate of the assets, liabilities and reserves was.. A5S8ts Liabilities 2,900,025 12,750,025) 1,654,346 11,504,3461 Reserve 150,000 150,000 Amounts owed to the parent undertaking wer8.. £1,166,27312021.. £923,639). 39 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 12 Subsidiary undertakings Icontinuedl Nanjing IWA Science & Technology Co. Lld Th8 charity owns the whole of the is5u8d ordinary share capital of Nanjing IWA Science & Technology Co. Ltd, a company regi518r8d in China. The companrfs activities in th8 year were that of promoting the art and 5cienc8 of water rnanagern8nl globally, by the 8ncouragern8nl of training, study and research in wa18r management and the publications of the u58ful results of such research,. lo shar8 advanc8s 18chnol￿1es and best praclic8s with water professionals and organisations. The subsidiary is used for non-primary purpose trading activities. All activities have consolidated on a line by line basis in the slatern8nt of financial activitl85. Availab18 profits are h81d in the company for future operations. A summary of the results of the subsidiary is shown b810w'. 2022 2021 Tumover Turnover from sal85 to parent undertaking Cost of sales Cost of sales related to purchases frorn parent undertaking 41,539 836,156 139,4691 1391,5821 Gro83 profitlllo$sl Administrative expenses Manag8m8nt charge payable lo parent undertaking Manag8m8nt charge due from parent undertaking Other operating income 2,070 1458,2931 444,574 1207,7641 Profitlllo831 on ordinary activitie$ before intere8t and taxation 1456,2231 514 236,810 In18r8st receivable and similar income In18r8st payable In18r8st payable lo parent undertaking 1,035 Profit on ordinary activities before taxation 1455,7091 237,846 Taxation on profit on ordinary activities 18,4151 Profit for the financial year 1455,7091 229,431 Retained earning8 Total r8tain8d 8arning5 brought forward Profit for th8 financial year 454,850 1455,7091 225,419 229,431 Total retsined earning8 carried fopward 18581 454,850 Th8 aggregate of the assets, liabilities and reserves was.. Assets Liabilit185 742 11,6001 508,492 153,6421 Reserve {8581 454,850 Amounts owed tolfrom the parent undertaking w8r8.' £x12021.. £nill 40 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 13 Parent charity The parent charitrfs gross incorne and the r85ults for the year are disclo58d as follows.. 2022 2021 Gross incorn8 Result for the year 6,492,984 11,217,868) 1,139,709 12,240,7911 14 Sto¢k The group 2022 The charity 2022 2021 2021 Goods h81d for r85ale 52,953 52,953 52,953 52,953 15 Deblor$ The group 2022 The charity 2022 2021 2021 Trade debtors Other debtors Pr8paym8nts and accrued income Amounts due from subsidiary undertakings 1,840,188 301,855 146,063 1,098 1,189,365 202,615 340,635 1,098 106,877 301,855 93,407 1,167,371 169,557 192,846 278,138 924,737 2,289,204 1,733,713 1,669,510 1,565,278 16 Creditor$: amounts falling due within one year The group 2022 The charity 2022 2021 2021 Trade creditors Other creditors Social security costs Specialist Group funds Accruals and d8f8rr8d incorn8 Inote 161 882,091 743,426 65,602 230,939 1,800,814 459,939 595,117 65,597 160,467 2,281,021 793,219 528,396 49,561 230,939 535,408 288,581 465,834 48,536 160,467 1,964,377 3,722,872 3,562,140 2,137,523 2,927,794 17 Deferred income Deferred income comprises in¢ome collected in a(Ivance for future journal, m8mb8rship subscriptions and 8V8nts. The group 2022 The charity 2022 2021 2021 Balance al the beginning of th8 year Amount r81eased to income in th8 year Amount d8f8rr8d in the year 2,281,021 12,281,021) 1,800,814 1,981,584 11,981,5841 2,281,021 1,964,377 11,964,377) 535,408 1,125,537 11,125,5371 1,964,377 Balance al the end of th8 year 1,800,814 2,281,021 535,408 1,964,377 41 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 18 Creditor$: amounts falling due after one year The group 2022 The charity 2022 2021 2021 Provision for dilapidation 120,000 120,000 120,000 120,000 120,000 120,000 120,000 120,000 Provision for dilapidations represents the estirnat8d c051 of r8instat8m8llt work5. repairs and redecoration, as w811 as SP8cific works that will ne8d to b8 made in line with the office18ase. (Export Building. First Floor, 1 Clove Cr858nt, London E14 2BA. 19 Pension $cheme Group and company The group operates a D8fined Benefit Pension Scheme. The amounts recogni8ed in the Balance Sheet are a8 follows: 2022 2021 Pr8s8nt valu8 of funded obligations Fair valu8 of 5cherne assets Surplus not rec￿ni58d 11,933,000) 2,461,000 1528,0001 12,950,0001 3,190,000 1240,0001 Surplus in scheme 818nd of the year and available to the Association Th8 latest actuarial valuation at 31 D8C8mb8r 2022 shows a pension Surplus of £528,00012021..£240,0001. The surplus valuation results in 2022 15 not r8cognised on th8 balance sh88t as an ass8t b8CaU58 it 15 not available to th8 Association by way of reduced future contributions. Actuarial gains and losses arising from new valuations and from utKlating valuations to the balance she8t date are recognised in the slatern8nl of financi81 activities as other recognised gains and losses. The amounts recognised in the Statement of Financial Activitie8 are as follows: 2022 2021 Interest on obligation Exp8Ct8d return on sch8m8 assets 154,0001 59,000 142,0001 45,000 5,000 3,000 Movements in the present value of the defined benefit obligation were as follow$: 2022 2021 Opening defin8d b8nefit obligation In18r8st cost Actuarial 105ses Ben8fils paid Administration cost 2,950,000 54,000 1893,0001 1293,0001 115,000 3,084,000 42,000 15,000 1288,0001 97,000 Closing d8fined ben8fil obligation 1.933,000 2,950,000 42 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 19 Pension $cheme Icontinuedl Group and company Changes in the fair value of 3¢herne as$ets were a8 follows.. 2022 2021 Opening fair valu8 of 5cherne assets Exp8Ct8d return on assets Actuarial gains Contribution by employer Ben8fils paid 3,190,000 59,000 1640,0001 145,000 1293,0001 3,317,000 45,000 127,0001 143,000 1288,0001 2.461,000 3,190,000 The group 8XP8cls to contribute £154,223 10 ils Defin8d B8nefit P8nsion Sch8me in 202212021.. £147,300). Principal actuarial assumption$ al the Balance Sheet dale lexpressed a$ weighted averages).. 2022 2021 Di5COUnt rate at 31 Dec8mber Future pension increa58S 4.75¢A 3.30% 3.40% 1.90QJ. 3.30QJ. 3.40QJ. 8.60¢A 8.60QJ. Longevity assumption8 a$ at 31 December 2022 Males Base table or Females 2022 S3PA tab18S With 920/. Male and 102Q/. F8mal8 scaling factor 2021 Club Vita base tables reflecting profi18 of individual Sch8m8 rn8mb8rs, in line with th8 2019 formal actuarial valuation. Future improvements CMI 2021 mod81 allowing for 25¥0 of the data from 2020 and 2021 with a long term rate of improvement of 1.5QJD p.a. for rna185 and 1.001. p.a. for ferna18s, with a smoothing param818r of CMI 2018 mod81 with along temi rat8 of improv8m8nt of 1.5QJo p.a. for ma18s and 1.0010 p.a. for females, calibrated to Club Vita experience with a smoothing par8m8t8r of SK- 7.5. Sk-7.0. 43 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 20a Analysis of group nel assets between fund$ Icurrent yearl G8n8ral unr8strict8d Designated funds Revaluation reserve Restricted funds Total fund Inlangib18 fixed assets Tangible fixed assets Investments Net current ass8ts 44,190 312,595 44,190 312,595 1,164,7(Kl 2,973,666 1120,OCW)I 1,025,523 1.680.701 1120.0001 139,177 18581 1,293,823 Net a8set8 at 31 December 2022 2.586.224 355,927 139,177 1,293,823 4,375,151 20b Analysis of group nel assets between fund$ (prior yearl Gen8ral unrestricted Designated funds Revaluation reserve Restricted funds Total fund Inlangib18 fixed assets Tangible fixed assets Investments Net current as58t5 106,700 443,247 106,7(KI 443,247 1,337,045 1,165,198 1120,OCKII 1.010.041 665.386 1120.0001 327,004 454,849 44,963 Net assets at 31 December 2021 1.555.427 1,004,796 327,004 44,963 2,932,190 44 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 21a Movements in fund8 Icurrent year) At31 At 1 January 2022 Income & gains Ex￿ndItUre & Ios58S December Transfers 2022 Restricted funds.. Improving water security for th8 poor Citywide inclusive sanitation GIZ Carbon Neutrality in Water Climate Smart Utilities Initiative Aquarating Sierra Leone Aquarating - Mongolia Climate R8silient WSP'S Operation and Maintenance Network Diffu58 Pollution SG Fund Prim8 Wat8r Water-Wis8 Cit185 Project Reach Project LAC HRWS Youth Action for SDG6 Fellowship fund R￿UlatorS NBS 1,165,189 28,490 36,684 43,495 1166,1551 15251 135,9421 13,5661 16,1641 12021 123,9131 999,034 17,6151 120,3501 742 8,492 873 131,4371 7,037 202 18,4871 11,133 21,164 35,236 13,969 21,164 98,123 13,235 118,653 120,5301 11,5401 14,775 5,506 12,0311 3,475 134,716 134,716 Total restricted funds 44,963 1,562,463 1260,5681 153,0351 1,293,823 Unrestricted funds.. D85ignated funds.. Tangible and intangible assets Nanjing Fund 549.947 454,849 1193,1621 356,785 185BI 42,053 1497,7601 Total designated funds 1,004,796 42,053 1497,7601 1193,1621 355,927 Revaluation reserve 327,004 1187,8271 139,177 General fund$ 1,555,427 8,937,191 18,152,5911 246,197 2,586,224 Total unrestricted fund$ 2.887.227 8,791,417 18,650,3511 53,035 3,081,328 Pension reserve Total fund8 2.932.190 10,353,880 18,910,9191 4,375,151 The narrative to explain th8 purpose of each fund is given at the foot of the note ￿lOw. 45 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 21 b Movements in funds Iprior yearl At31 At 1 January 2021 Income & gains Ex￿ndItUre & Ios58S December Transfers 2021 Restricted funds.. Improving water security for th8 poor Citywide inclusive sanitation GIZ Carbon Neutrality in Water Aquarating - Mongolia Aquarating - Zambia Climate R8silient WSPS Operation and Maint8nance Network Diffus8 Pollution SG Fund Prim8 Wat8r Water-wise Cities Project Reach Project LAC HRWS R￿UlatorS NBS 115,4591 66,800 14,531 135,9361 14,009 130,1401 5,951 21,164 32,843 15,429 30 410 167,2101 122,1461 {7,6151 35,936 114,0091 47,510 33,217 117,3701 128,0351 11,133 21,164 133,3201 17,0991 15001 477 21,874 14,775 500 5,506 5,506 Total restricted funds 79.269 118,030 1175,6801 23,344 44,963 Unrestricted funds.. D85ignated funds.. Tangible and intangible assets Nanjing Fund 614,894 225,419 164,9471 1607,7611 549,947 454,849 837,191 Total designated funds 840,313 837,191 1672,7081 1,004,796 Revaluation reserve 283.642 102,256 158,8941 327,004 General fund$ 1.400.849 5,126,181 15,007,1531 35,550 1,555,427 Total unrestricted fund$ 2.524.804 6,065,628 15,679,8611 123,3441 2,887,227 Pension reserve Total fund8 2,604,073 6,183,658 15,855,5411 2,932,190 Putposes of restricted funds Improving water security for the poor Th8 REACH programm8 is led by Oxford Univ8rsity and brings tog8th8r a consortium of global leaders in water 5cienc8, policy and practice. REACH is a new global research programme lo improve water security for th8 poor by delivering world-class science that transforms policy and practice. Citywide inclusive sanitation Th8 IW A is working with our partnrs, through this project IWA aims at identifying the n88ds, opportunities, and tools for action lo SUPPOrt and inspire r8gulators in their contribution to achi8ving citywide inclusive sanitation in the context of the Sustainable D8v8lopment Goals. GIZ Carbon Neutrality in Water Th8 IW A is working on a project with GIZ, funded by the German F8deral Ministry of Environment, Nature Conservation, to improve th8 carbon balance across utilities. The project focuses on part5 of the nexus as addressing gre8nhous8 gas r8duction and 8nergy efficiency produc85 b8n8fils lor wat8r efficiency and recovers r8sourc8s. The fund curr8ntly having a d8ficit balance, pending payment receivable from th8 donor. 46 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 Movements in fund8 Icontinuedl Putpo$es of restricted funds Aquarating Th8 funds received from Mi118nnium Corporation, USA toward the execution of a technical cooperation programm8 for th8 implern8nlation of a rating system Aqua Rating for the water and Sanitation providers. The Aquarating Mongolia and Aquarating Sierra Leone fund currently having a deficit balanc8, P8nding payment r8c8ivable from the donor. Water-wise Cities Project Funded by SIAAP towards help city18ad8rs ensure that everyone in their cities has access lo safe water and sanitation. One of the airns is lo ensure that wat8r is integrated in planning and design in cities to provide increased r8silienc8 to clima18 change, livability, 8fficienci8s. and a sense of place lor urban communities. Th8 ultimate goal of th8se Principles is to 8ncourag8 collaborativ8 action,underpinned by a shared vision, so that local government5. urban professionals, and individua15 actively 8ngag8 in addressing and finding solutions for managing all waters of the city. Operation and Maintenance Nelwork Funds received from Ministry of Health. Labour and Welfare I'MHLW") Japan to support, raise awar8n85s and d8v8lop capacities to ett8cIIv81y address operations and rnaintenance of water supply and sanitation systerns and prot8Ct public health. GEF Floods & Drought8 Funds received from UN Enviro Prograrnme to d8v8lop adaptive, soci018chnical risk manag8m8nt rn8asures and strat￿185 for coastal cornmunit18s against 8xlr8me hydro-m8t8orological 8v8nts minirnising social, economi¢ and 8nvironment81 impacts arKI increasing the r8silienc8 of Coastal R8gions in Europe. Prime Water Funded through EU Horizon 2020- th8 Framework Prograrnme for R8search 8nd Innov8tion for d8liv8ring 8dvanced predictlV8 tools from medium to seasonal range for water d8p8nd8nl industries and exploiting the cross-cutting potential of EO and hydro- ecological modelling lin short Prirn8Wa18rl. Diffuse Pollution Specialist Group Conference surplus funds receiv8d from the Diffuse Pollution Specialist Group towards th8 Cost of future activities. WSP- A8ia-Pacific Network Fund5 rec8iv8d from UNOPS towards hosting the WSP Network Asia, th8 th8malic network for capacity developrn8nl for water safely plans and to str8nglh8n th8 Asia Pacific WSP network to 5UPPOrt the d8V81opment of climate r8silient, adaptable systems for water supply. Climate Resilient WSP'S funding provid8d by OPEC Fund for In18rnalional D8V81opment IOFIDI for implern8nling climate resilient water safety planning to improve wat8r Supply and public health. 47 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 Movements in fund8 Icontinuedl Putpo$es of restricted funds Youth Action for SDG6 Fellowship fund funding provided by Grundfos towards the participation of 14 bright and promising intemational young water prof8ssionals IYWPsl at the UN 2023 Water Conference. on 22-24 March 2023 in New York, USA. Regulators- Nature Based Solutions INBSI Funds rec8ived from Th8 Nature Conservancy ITNCI towards Supporting regulators and regulation to enab18 consid8ration and investm8nt in natur8 based solution to improv8 water security and safety. Putposes of designated funds Tangible and Intangible asset fund Thi5 fund balance r8pr8sents the carrying value of the Association's tangib18 and intangible fix8d assets nel of any associated liabilities. This fund has been established in reC￿nitIon of the fact that the assets are used in the day to day work of th8 charity and do not represent reserves available lo finance its operations. Investment revaluation reserve Thi5 fund balance r8pr8sents the balance includ8d within fixed asset investments which has ari58n as a con58qU8nc8 of the cumulative impact of market value chang8s lo the Association's inv851m8nt ass8t5. It has been 58parat8d in ord8r to provid8 an indication of the ditt8r8nce b8tW88n the value of li51ed investments at the balance sheet dale relative to its histori¢ cost. A calculation is provided at note 19 to the financial stat8m8nts. Pension reserve This fund repr8s8nts th8 Association'slong-18rm liability in resp8Ct of it5 defined b8nefit pension sch8me. It is separated in order ackn0￿8dgern8nt that the liability 15 long-terrn and may b8 disregard8d in consid8ring th8 availability of fr88 reserves in meeting the day-to-day obligations of the Association and the group. Nanging Fund This fund r8pr8s8nts th8 ll8t as58t under the control of the Association's subsidiary, Nanjing IWA Sci8nc8 & T8chnologyCo.Lld inchina. Th058 ll8t as58t5 are 8ss8nlial to the op8ration5 in China and th8r8for8 separately ring-f8nc8d in these accounts. 48 Intemational Water Association Notes to the financial statements For the ar ended 31 Decernber 2022 22 Operating lease commitrnents payable a$ a lessee Th8 group's total future minirnum lease payrn8nls under non-canc811ab18 operating leases is as follows for each of the following periods.. Propgrty 2022 Equipment 2022 2021 2021 Less than one y8ar One lo fiv8 years Over five years 75,495 1,132,425 452,970 75,495 1,132,425 528,465 2,900 10,150 1,660,890 1,736,385 13,050 Th8 charity's total future minimum lease paym8nts under non-canc8llabl8 operating 18as8s is as follows for each of the following periods.. Property 2022 Equipment 2022 2021 2021 Less than one y8ar One lo fiv8 years Over five years 226,485 1,132,425 301,980 75,495 1,132,425 528,465 2,900 10,150 1,660,890 1,736,385 13,050 23 Legal status of the charity Th8 charity is a cornpany limited by guarante8 and has no shar8 capital. Th8 liability of each rn8mb8r in the event of winding up is lirnited to £1. 49