'Public-Private Partnerships for Urban Water Utilities: A Review of Experiences in Developing Countries' analyzes the market growth of Public-Private Partnerships (PPPs) in the developing world since 1990, and the performance of more than 65 large water PPP projects representing more than 100 million people for access, service quality, operational efficiency, and tariff levels. Although a relatively small portion of the water utilities in the developing world are operated under PPPs (about 7 percent in 2007), the urban population served by private water operators has grown every year since 1990. Despite many difficulties encountered by PPP projects and a few contract terminations, a large majority of contracts awarded since 1990 are still in place. The track record for improving service and efficiency reaffirms the value of PPPs to help turn around poorly performing water utilities, even though the level of private financing did not match initial expectations. Over time, a more realistic market has developed, the number of private investors from developing countries has grown, and contract designs have become more pragmatic concerning risk allocations between partners. The water sector has many features that set it apart from other infrastructure sectors. This book suggests the need for careful consideration of those specificities to successfully involve private operators. Although concessions with private financing have worked in a few places, contractual arrangements that combine private operation with public financing appear to be the most sustainable option in many countries. Policy makers, stakeholders, and donors need to remain heavily engaged in the water sector, especially in the poorest countries and during a global financial crisis. This book contributes to a better understanding of the various options to tackle the many challenges of providing water and sanitation services to urban populations in the developing world.

This publication explores the challenge of providing universal access to water and sanitation in fast-growing cities in Asia and the Pacific. It highlights the potential of well-managed public–private partnerships (PPPs) to help meet this challenge and discusses lessons from seven water sector PPPs in the region. It explains how countries can strengthen water governance, foster enabling environments, and design tailored strategies to promote successful PPPs. The report emphasizes that governments can work with the private sector to enhance value for money and provide equitable urban water and sanitation access that will help improve lives.

Historically, public utilities have been mainly delivered by the public sector. However, as a result of financial and technological constraints faced by public sector entities in developing infrastructure facilities and due to management related inefficiencies in the public sector, various alternative governance mechanisms have been considered by governments in developing public utility infrastructure and providing the related services to the end-users. Consequently, for nearly three decades now countries have relied on the procurement model of public-private partnerships (PPP) to finance, develop and manage infrastructure facilities in the water sector. In order to analyze the viability of PPP as an alternative governance model for water, it is important to examine a sample of PPP projects from around the world and analyze the reasons for their successes and failures. For this purpose, Institute of Water Policy, Lee Kuan Yew School of Public Policy, National University of Singapore, has undertaken a research project to compile a database of PPP projects in the urban water supply sector in different regions (Africa, Asia, Europe, Latin America, Australia and Middle East and North Africa). This paper presents a brief analysis of PPPs as a water governance architecture based on the study of 672 PPP projects from the said database, the selection being made on the basis of availability of data, and presents the preliminary findings on current usage of PPP for water governance.

This book examines the role played by business in urban water governance by analyzing the evolution of the global private water sector along with four public-private partnerships in Mexico and the U.S. The local nature of water services often hides the global developments behind the rise of transnational water corporations, which have gone from being local operators to becoming dynamic and powerful actors within an interconnected transnational space for water. This book focuses on the French groups Veolia and Suez, two of the most prominent private actors in global water governance, and the development and adaptation strategies of both companies in the cities of Aguascalientes, Mexico City, Atlanta, and Milwaukee over the past 30 years. Drawing on over 100 interviews conducted with corporate executives, public authorities, and local users of water services, this book moves beyond the simplistic dichotomy of the public-private debate and develops a theoretical framework that analyzes the economic and political power wielded by transnational business actors in global water governance. Not only does the book explain how Veolia and Suez strategically mobilize resources at difference scales in order to expand their global operations, but it also provides a nuanced picture of how state regulation remains of central importance to understanding the dynamics and evolution of the global water sector. Students and scholars interested in business and the environment, including public-private partnerships, business management and transnational corporations, and water governance, will find this book of great interest as will professionals and policymakers working in these fields.

Under the joint initiative of the Government of India and the Asian Development Bank (ADB), "Mainstreaming PPPs in India," ADB supports state public–private partnership (PPP) cells in several challenging sectors in state-specific activities to arrive at possible PPP structures. In Maharashtra, ADB supported the Department of Urban Development and Water Supply and Sanitation to develop possible PPP structures in the water supply and sanitation sector. After studying possible PPP structures, their applicability in the context of selected sample cities were assessed leading to the development of proposed term sheets, which were identified as suitable and feasible for implementation. This tool kit is expected to assist the relevant public entities in Maharashtra state for developing PPP-based projects in water supply and sanitation, and may also be used as reference by similar other cities across the country.

ÔEnsuring that everybody has access to drinking water, sanitation and enough nutritious food, which depends on water to grow it, are prerequisites for a healthy life. Water management is not just about the technical aspects of water supply and sanitation. It is equally about our water governance systems, including policies, regulation and societal perception of water rights. This book presents many helpful examples of how different societies are dealing with these issues and of the performance of public and private sector players in this important arena.Õ Ð Colin Chartres, International Water Management Institute (IWMI), Colombo, Sri Lanka ÔI congratulate the Institute of Water Policy, the two editors and the contributors for a very thoughtful book on urban water governance. Our objective is to deliver sustainable water and sanitation services to our people. This book contains useful lessons on how to achieve that objective.Õ Ð Tommy Koh, Chairman, Governing Council, Asia-Pacific Water Forum This insightful book explores urban water governance challenges in different parts of the world and highlights the advantages and disadvantages of publicly run, privatized, and publicÐprivate partnership managed water facilities. The contributors expertly discuss various types of public and private water governance architectures as well as identifying the trends, challenges, opportunities and the shifts in perceptions with regard to the provision of water supply services. Many chapters are dedicated to analyzing the urban water supply scenarios in selected countries, with specific focus on legal, policy and institutional frameworks. The study reveals that while private sector participation has been largely promoted by multilateral institutions as part of institutional and financial reforms, ultimately governments bear the major responsibility for provision of water supply services either as Ôservice providerÕ or as Ôregulator and policy-makerÕ. Containing a detailed overview and analysis of the global urban water supply sector, this timely compendium will strongly appeal to academics, researchers and university students following water-related courses. Water sector professionals, water regulators and public officers as well as managers and researchers employed by private sector water operators will also find plenty of invaluable information in this important book.

Part of OECD Water Policy and Finance Set - Buy all four reports and save over 30% on buying separately! Many countries have sought the involvement of the private sector to upgrade and develop their water and sanitation infrastructure and improve the efficiency of water systems. However, high capital intensity, large initial outlays, long pay-back periods, immobility of assets and low rates of return generate high risks. These factors, when combined with poor initial information and weak investment environment, limit the scale of private sector participation in water and sanitation infrastructure. Recognising this, the OECD has developed practical guidance, building on the OECD Principles for Private Sector Participation in Infrastructure, to help governments and other stakeholders to assess and manage the implications of involving private actors in the financing, development and management of water and sanitation infrastructure. The resulting OECD Checklist for Public Action provides a coherent catalogue of policy directions for consideration by governments, including appropriate allocation of roles, risks and responsibilities, framework conditions and contractual arrangements necessary to make the best of private sector participation and harness more effectively the capacities of all stakeholders. This title is co-published with the OECD See also: Public and Private Participation in the Water and Wastewater Sector - Developing Sustainable Legal Mechanisms, Cledan Mandri-Perrott, 2009; Public Private Partnerships in the Water Sector, Innovation and Financial Sustainability, Cledan Mandri-Perrott and David Stiggers, 2012