Internal Delegation Contracts for Water in Uganda : An Innovative Approach to Establishing a Successful Public Utility

Internal Delegation Contracts for Water in Uganda : An Innovative Approach to Establishing a Successful Public Utility

Uganda's national water utility has become known for its successful turnaround under public management. Less well known is that this success owes much to the introduction of private-sector-like practices to motivate employees. Following a mixe...

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Bibliographic Details
Main Authors:	Marin, Philippe, Muhairwe, William, Mugisha, Silver, Mugabi, Josses
Format:	Brief
Language:	English
Published:	World Bank, Washington, DC 2012
Subjects:	ADMINISTRATIVE COSTS BILL COLLECTION BRANCHES BUSINESS UNITS CASH FLOW COMPANY CONNECTION POLICY CONNECTIONS CONTRACTS FOR WATER CORPORATIZATION CUBIC METERS CUSTOMER SERVICE EMPLOYMENT EXPANSION FINANCIAL INCENTIVES FINANCIAL VIABILITY GENERATION HOUSEHOLD CONNECTION HOUSEHOLDS INVESTMENT PROGRAM MAINTENANCE COSTS MANAGEMENT CONTRACTS NATIONAL WATER NONGOVERNMENTAL ORGANIZATIONS OPERATIONAL EFFICIENCY OPERATIONAL PERFORMANCE PERFORMANCE AGREEMENTS PERFORMANCE CONTRACTS PRIVATE INFRASTRUCTURE PRIVATE OPERATOR PRIVATE PARTNERSHIP PROVISION OF SERVICES PUBLIC ENTERPRISES PUBLIC MANAGEMENT PUBLIC UTILITY PUBLIC WATER PUBLIC WATER UTILITIES PUBLIC-PRIVATE PARTNERSHIPS RESIDENTIAL CUSTOMERS REVENUE COLLECTION SANITATION SEWERAGE SEWERAGE CORPORATION TARIFF INCREASE TECHNICAL ASSISTANCE TOWNS URBAN WATER URBAN WATER UTILITIES USERS UTILITY MANAGEMENT UTILITY MANAGERS WATER DISTRIBUTION WATER INFRASTRUCTURE WATER LOSSES WATER PRODUCTION WATER SOURCE WATER SUPPLY WATER SUPPLY NETWORK WATER UTILITY
Online Access:	http://documents.worldbank.org/curated/en/2010/06/12821017/internal-delegation-contracts-water-uganda-innovative-approach-establishing-successful-public-utility http://hdl.handle.net/10986/10482

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Summary:	Uganda's national water utility has become known for its successful turnaround under public management. Less well known is that this success owes much to the introduction of private-sector-like practices to motivate employees. Following a mixed experience with two short-term management contracts in Kampala, the utility's management introduced an innovative concept of internal delegation, inspired by public-private partnership contracts. Local managers establish private partnerships to operate systems under contract with the utility, with part of their pay depending on performance. The experience offers interesting lessons for those involved in reforming urban water utilities in developing countries.