Water and Liberalisation: European Water Scenarios

In most network industries, new dynamics are leading to an unprecedented opening up to competition and private sector participation. With the development of a single European market, the in-stages liberalisation process of public utilities has spread to almost all sectors. However, the water supply and sanitation (WSS) sector is considered somehow different and it has been excluded until recently from the restructuring processes achieved in other sectors. Water and Liberalisation: European Water Scenarios presents a better understanding of the specific demands of the WSS sector. Covering the operators' strategies, the regulatory dynamics as well as their interactions on the evolution of the sector, it addresses the likelihood, the nature, and the forms the WSS sector may take in Europe in the foreseeable future. Adopting a neutral political stance, the book analyses the implications of alternative scenarios in economic, ecological, social, legal, and institutional terms. Key sections include: In depth introduction to the current situation in the WSS sector; The European water supply and sanitation markets; The institutional framework of the water supply and sanitation sector in the EU: a comparative analysis; Analysis of the EU explicit and implicit policies and approaches in the sector; Analysis of the strategies of the water operators in Europe scenarios on the evolution of the water sector in Europe; Economic, environmental, & social implications of the scenarios; Major implications per scenario.

'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 addresses factors that promote or inhibit successful provision of the four key international public goods: financial stability, international trade regime, international diffusion of technological knowledge and global environment. Without these goods, developing countries are unable to compete, prosper or attract capital from abroad. The need for public goods provision is also recognized by the Millennium Development Goals, internationally agreed goals and targets for knowledge, health, governance and environmental public goods. The Report addresses the nature of required policies and institutions using the modern principles of collective action.

Introduction: From the Washington Consensus towards a new global governance / Narcís Serra, Shari Spiegel, Joseph E. Stiglitz -- A short history of the Washington Consensus / John Williamson -- Inequality and redistribution / Paul Krugman -- Is there a post-Washington Consensus consensus? / Joseph E. Stiglitz -- The Barcelona development agenda -- A broad view of macroeconomic stability / José Antonio Ocampo -- The wild ones : industrial policies in the developing world / Alice H. Amsden -- Sudden stop, financial factors, and economic collapse in Latin America : learning from Argentina and Chile / Guillermo A. Calvo, Ernesto Talvi -- Towards a new modus operandi of the international financial system / Daniel Cohen -- The world trading system and implications of external opening / Jeffrey A. Frankel -- The world trading system and development concerns / Martin Khor -- Reforming labor market institutions : unemployment insurance and employment protection / Olivier Blanchard -- International migration and economic development / Deepak Nayyar -- The future of global governance / Joseph E. Stiglitz -- Growth diagnostics / Ricardo Hausmann, Dani Rodrik, Andrés Velasco -- A practical approach to formulating growth strategies / Dani Rodrik.

Setting the scene with a thorough introduction to water resource issues, Water Privatisation critically examines the new role played by Trans-National Corporations in managing and distributing water worldwide. Written from an organisational and institutional perspective, the authors propose new structures of water management at local, national and international scales allowing for the implementation of simple, cohesive and effective policies. Clear, focused, extensively referenced and drawing from cutting edge research in public administration this book is an essential tool for enabling the water and waste water services professional, be they producer, operator or regulator to communicate within a clear regulatory framework.