Improving the services these people receive is
vital, and a purpose to which the development community is committed. The
Millennium Development Goals include halving the proportion of people without
access to safe drinking water by 2015. The goals announced in Johannesburg in
2002 call for halving the proportion of people without access to basic
sanitation as well. Improving water services is accordingly a critical part of the strategy of the World
Bank and the two other organizations that have funded this Toolkit—the Public–Private
Infrastructure Advisory Facility and the Bank–Netherlands Water Partnership.
This Toolkit aims to help developing country
governments that are interested in using private firms to help expand access to
safe water and sanitation services at reasonable cost. Specifically, it aims to
help them and their advisers design arrangements that maximize the benefits for
their countries, provinces, or municipalities. It is intended to complement
other work being undertaken by the World Bank and others on options for
improving public provision of water services. Instead of identifying a single
best approach to addressing the issues it discusses, the Toolkit presents
options and discusses their main advantages and disadvantages. In so doing, it
aims to give advisers and policy makers the information they need to make
decisions, while taking account of local circumstances and the policy makers’
objectives.
Private participation in water and sanitation
(or “water services” for short) can take many forms. This Toolkit focuses on
arrangements that involve a private firm in the delivery of services to
households and businesses, including management contracts, leases, affermages,
concessions, and divestitures. It does not consider arrangements under which
private companies provide bulk water or wastewater treatment to a
government-owned utility.Nor does it consider arrangements under which private
companies provide selected services—such as billing and collection— to a
utility that is still publicly managed.
The nine chapters of this toolkit as follows:
Chapter 1 provides an overview of private participation in water services and what
it can be expected to achieve.
Chapter 2 provides an overview of the process governments typically follow when
introducing private participation.
Chapter 3 discusses ways of involving customers, potential customers, and other stakeholders
in the design of arrangements and ways of distributing the benefits and costs
of private participation to increase stakeholder support.
Chapter 4 considers some of the options governments have for the water sector as
a whole, such as the appropriate geographic aggregation of utilities and the allocation
of responsibilities among different tiers of government.
Chapter 5 considers the options the government has for setting targets relating to
coverage and quality; the implications of those targets for the cost of
service; options for supplementing tariff revenue with government subsidies;
and some implications for financing.
Chapter 6 provides advice on the allocation of risks and responsibilities among customers,
the operator, and the government, including tariff-adjustment and other rules
that effect the allocation of risk.
Chapter 7 considers the choice and design of institutions—including courts, arbitral
panels, independent experts, and regulatory agencies—that will interpret and
apply the rules over the life of the arrangements.
Chapter 8 considers which legal instruments (laws, regulations, and contracts) should
embody the rules, recognizing that the parties will sometimes have an incentive
to break the rules.
Chapter
9 reviews the approaches governments can use to
select the operator.
Year: 2006
Pages: 504
Publisher: Public-Private Infrastructure
Advisory Facility
Language: English
ISBN: 0-8213-6111-2
e-ISBN: 0-8213-6112-0
Free download here
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