Improving Water Services Through Competition
Water sector reforms in recent years have concentrated on involving the private sector in the operation and management of monopoly water utilities. Much effort has gone into regulation to stop utilities from abusing their monopoly power, but relati...
Main Authors: | , |
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Format: | Viewpoint |
Language: | English |
Published: |
World Bank, Washington, DC
2012
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Subjects: | |
Online Access: | http://documents.worldbank.org/curated/en/1998/12/441571/improving-water-services-through-competition http://hdl.handle.net/10986/11511 |
Summary: | Water sector reforms in recent years
have concentrated on involving the private sector in the
operation and management of monopoly water utilities. Much
effort has gone into regulation to stop utilities from
abusing their monopoly power, but relatively little into
considering ways to reduce that monopoly power. This Note
explains how to bring competitive pressures to bear in the
water industry. It shows that while it can be difficult to
implement conventional product market competition, this
option should not be ruled out. Better, cheaper water
services can also be achieved by increasing the use of
competition in purchasing inputs, relying on competitive
bidding for the right to supply an area, and benchmarking
rival utilities in different areas. |
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