Dealing with Politics for Money and Power in Infrastructure

Policy recommendations for infrastructure provision usually build on a well-established understanding of best practice for sector governance. Too rarely are they adapted to the country-specific political environment even if this is an area where po...

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Bibliographic Details
Main Authors: Benitez, Daniel, Estache, Antonio, Soreide, Tina
Format: Policy Research Working Paper
Language:English
Published: 2012
Subjects:
TAX
Online Access:http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20101025084550
http://hdl.handle.net/10986/3938
id okr-10986-3938
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic ACCESS TO INFORMATION
ACCOUNTABILITY
ACCOUNTING
AIRPORTS
ALLOCATION OF RESOURCES
ANTI-CORRUPTION
ASSETS
BASIC SERVICE
BEST PRACTICE
BEST PRACTICES
BRIBE
BRIBERY
BRIBES
BUREAUCRATIC CORRUPTION
CASH TRANSFERS
CITIZEN
CIVIL SERVANTS
CIVIL SOCIETY
CIVIL SOCIETY ORGANIZATIONS
COLLUSION
COMMON LAW
CONDITIONALITY
CONGESTION
CONGESTION PRICING
CONSENSUS
CONSTITUENCY
CONSTITUTION
CONSTITUTIONAL DESIGN
CONSTRUCTION COMPANIES
CORRUPT
CORRUPT OFFICIALS
CORRUPT POLITICIANS
CORRUPTION
CRIMINAL
CRONIES
DATA COLLECTION
DECENTRALIZATION
DECISION MAKING
DECISION-MAKERS
DECISION-MAKING
DECISION-MAKING PROCESSES
DECREES
DEMOCRACIES
DEMOCRACY
DEMOCRATIC PRINCIPLES
DEMOCRATIC REGIMES
DEMOCRATIZATION
DEREGULATION
DEVELOPED COUNTRIES
DICTATORSHIP
DISCLOSURE
DISCLOSURE OF INFORMATION
DRIVERS
ECONOMIC DEVELOPMENT
ECONOMICS
ECONOMISTS
EMPIRICAL EVIDENCE
EMPIRICAL INFORMATION
EMPIRICAL STUDIES
ENVIRONMENTAL
ENVIRONMENTS
EXECUTIVE POWER
EXPENDITURES
FINANCIAL INFORMATION
FISCAL RESOURCES
FOREIGN DIRECT INVESTMENT
FOREIGN INVESTORS
FOREIGN OWNERSHIP
FOREIGN POLICY
FRAUD
FREE PRESS
FREEDOM OF SPEECH
FUEL
FUEL COSTS
GOOD GOVERNANCE
GOVERNANCE INDICATORS
GOVERNANCE INSTITUTIONS
GOVERNANCE PERFORMANCE
GOVERNANCE REFORMS
GOVERNMENT ADMINISTRATION
GOVERNMENT INTERVENTION
GOVERNMENT LEVEL
GOVERNMENT STATISTICS
HIGH UNEMPLOYMENT
HIGHWAYS
HUMAN CAPITAL
HUMAN RIGHTS
IDEOLOGIES
INEQUALITY
INFRASTRUCTURE DEVELOPMENT
INFRASTRUCTURE INVESTMENT
INFRASTRUCTURE POLICIES
INFRASTRUCTURE PROJECTS
INFRASTRUCTURE REFORM
INITIATIVE
INSTITUTIONAL ARRANGEMENTS
INSTITUTIONAL CAPACITY
JUDICIARY
JUSTICE
LABOR UNIONS
LACK OF ACCOUNTABILITY
LAWS
LEADERSHIP
LEGAL FRAMEWORK
LEGISLATION
LOBBYING
LOCAL GOVERNMENTS
MARKET COMPETITION
MARKET POWER
MEDIA
MINISTER
MINISTERS
MONOPOLIES
MONOPOLY
MOTIVATIONS
NATIONAL LEVEL
NATIONALIZATION
NATURAL RESOURCES
PARLIAMENT
PATRONAGE
PETTY CORRUPTION
POLICY DECISIONS
POLICY INTERVENTION
POLICY MAKERS
POLITICAL ACCOUNTABILITY
POLITICAL AGENDA
POLITICAL AUTHORITY
POLITICAL COMPETITION
POLITICAL CONTROL
POLITICAL CORRUPTION
POLITICAL ECONOMY
POLITICAL INFLUENCE
POLITICAL INSTITUTIONS
POLITICAL INTERFERENCE
POLITICAL LEADERS
POLITICAL PARTIES
POLITICAL POWER
POLITICAL RISK
POLITICIAN
POLITICIANS
POPULISM
PORK BARREL
POTENTIAL INVESTORS
PRESENT VALUE
PRESIDENTS
PRIME MINISTER
PRIVATIZATION
PROCUREMENT
PRODUCTION COSTS
PROPAGANDA
PROPERTY RIGHTS
PUBLIC FINANCING
PUBLIC GOOD
PUBLIC GOODS
PUBLIC HEARINGS
PUBLIC INVESTMENT
PUBLIC OPINION
PUBLIC PERCEPTIONS
PUBLIC SECTOR
PUBLIC SERVICE
PUBLIC SERVICE DELIVERY
REGULATORY AGENCY
REGULATORY AUTHORITY
REGULATORY BODY
REGULATORY CAPTURE
REGULATORY FRAMEWORK
REGULATORY INSTITUTIONS
REGULATORY MEASURES
RESEARCH AGENDA
RESOURCE CURSE
RISK OF CORRUPTION
ROAD
ROAD MAINTENANCE
ROADS
SANCTION
SANCTIONS
SANITATION
SECTORAL POLICIES
SECURITIES
SEPARATION OF POWERS
SERVICE DELIVERY
SOCIAL COSTS
SOCIAL PROGRAM
SOVEREIGNTY
STATE REVENUES
STATE-OWNED ENTERPRISES
SUSTAINABLE DEVELOPMENT
TAX
TAX BASE
TAX BURDEN
TAX REGIME
TECHNOLOGICAL PROGRESS
THEFT
TOLL
TOLL ROADS
TRAFFIC
TRANSPARENCY
TRANSPORT
TRANSPORT SECTOR
TRANSPORT SERVICES
TRANSPORTATION
TRANSPORTATION SYSTEM
TRUE
UNEMPLOYMENT RATES
URBAN TRANSPORT
VESTED INTERESTS
VOTING
WAGES
WEALTH
WHITE ELEPHANTS
WILLINGNESS TO PAY
spellingShingle ACCESS TO INFORMATION
ACCOUNTABILITY
ACCOUNTING
AIRPORTS
ALLOCATION OF RESOURCES
ANTI-CORRUPTION
ASSETS
BASIC SERVICE
BEST PRACTICE
BEST PRACTICES
BRIBE
BRIBERY
BRIBES
BUREAUCRATIC CORRUPTION
CASH TRANSFERS
CITIZEN
CIVIL SERVANTS
CIVIL SOCIETY
CIVIL SOCIETY ORGANIZATIONS
COLLUSION
COMMON LAW
CONDITIONALITY
CONGESTION
CONGESTION PRICING
CONSENSUS
CONSTITUENCY
CONSTITUTION
CONSTITUTIONAL DESIGN
CONSTRUCTION COMPANIES
CORRUPT
CORRUPT OFFICIALS
CORRUPT POLITICIANS
CORRUPTION
CRIMINAL
CRONIES
DATA COLLECTION
DECENTRALIZATION
DECISION MAKING
DECISION-MAKERS
DECISION-MAKING
DECISION-MAKING PROCESSES
DECREES
DEMOCRACIES
DEMOCRACY
DEMOCRATIC PRINCIPLES
DEMOCRATIC REGIMES
DEMOCRATIZATION
DEREGULATION
DEVELOPED COUNTRIES
DICTATORSHIP
DISCLOSURE
DISCLOSURE OF INFORMATION
DRIVERS
ECONOMIC DEVELOPMENT
ECONOMICS
ECONOMISTS
EMPIRICAL EVIDENCE
EMPIRICAL INFORMATION
EMPIRICAL STUDIES
ENVIRONMENTAL
ENVIRONMENTS
EXECUTIVE POWER
EXPENDITURES
FINANCIAL INFORMATION
FISCAL RESOURCES
FOREIGN DIRECT INVESTMENT
FOREIGN INVESTORS
FOREIGN OWNERSHIP
FOREIGN POLICY
FRAUD
FREE PRESS
FREEDOM OF SPEECH
FUEL
FUEL COSTS
GOOD GOVERNANCE
GOVERNANCE INDICATORS
GOVERNANCE INSTITUTIONS
GOVERNANCE PERFORMANCE
GOVERNANCE REFORMS
GOVERNMENT ADMINISTRATION
GOVERNMENT INTERVENTION
GOVERNMENT LEVEL
GOVERNMENT STATISTICS
HIGH UNEMPLOYMENT
HIGHWAYS
HUMAN CAPITAL
HUMAN RIGHTS
IDEOLOGIES
INEQUALITY
INFRASTRUCTURE DEVELOPMENT
INFRASTRUCTURE INVESTMENT
INFRASTRUCTURE POLICIES
INFRASTRUCTURE PROJECTS
INFRASTRUCTURE REFORM
INITIATIVE
INSTITUTIONAL ARRANGEMENTS
INSTITUTIONAL CAPACITY
JUDICIARY
JUSTICE
LABOR UNIONS
LACK OF ACCOUNTABILITY
LAWS
LEADERSHIP
LEGAL FRAMEWORK
LEGISLATION
LOBBYING
LOCAL GOVERNMENTS
MARKET COMPETITION
MARKET POWER
MEDIA
MINISTER
MINISTERS
MONOPOLIES
MONOPOLY
MOTIVATIONS
NATIONAL LEVEL
NATIONALIZATION
NATURAL RESOURCES
PARLIAMENT
PATRONAGE
PETTY CORRUPTION
POLICY DECISIONS
POLICY INTERVENTION
POLICY MAKERS
POLITICAL ACCOUNTABILITY
POLITICAL AGENDA
POLITICAL AUTHORITY
POLITICAL COMPETITION
POLITICAL CONTROL
POLITICAL CORRUPTION
POLITICAL ECONOMY
POLITICAL INFLUENCE
POLITICAL INSTITUTIONS
POLITICAL INTERFERENCE
POLITICAL LEADERS
POLITICAL PARTIES
POLITICAL POWER
POLITICAL RISK
POLITICIAN
POLITICIANS
POPULISM
PORK BARREL
POTENTIAL INVESTORS
PRESENT VALUE
PRESIDENTS
PRIME MINISTER
PRIVATIZATION
PROCUREMENT
PRODUCTION COSTS
PROPAGANDA
PROPERTY RIGHTS
PUBLIC FINANCING
PUBLIC GOOD
PUBLIC GOODS
PUBLIC HEARINGS
PUBLIC INVESTMENT
PUBLIC OPINION
PUBLIC PERCEPTIONS
PUBLIC SECTOR
PUBLIC SERVICE
PUBLIC SERVICE DELIVERY
REGULATORY AGENCY
REGULATORY AUTHORITY
REGULATORY BODY
REGULATORY CAPTURE
REGULATORY FRAMEWORK
REGULATORY INSTITUTIONS
REGULATORY MEASURES
RESEARCH AGENDA
RESOURCE CURSE
RISK OF CORRUPTION
ROAD
ROAD MAINTENANCE
ROADS
SANCTION
SANCTIONS
SANITATION
SECTORAL POLICIES
SECURITIES
SEPARATION OF POWERS
SERVICE DELIVERY
SOCIAL COSTS
SOCIAL PROGRAM
SOVEREIGNTY
STATE REVENUES
STATE-OWNED ENTERPRISES
SUSTAINABLE DEVELOPMENT
TAX
TAX BASE
TAX BURDEN
TAX REGIME
TECHNOLOGICAL PROGRESS
THEFT
TOLL
TOLL ROADS
TRAFFIC
TRANSPARENCY
TRANSPORT
TRANSPORT SECTOR
TRANSPORT SERVICES
TRANSPORTATION
TRANSPORTATION SYSTEM
TRUE
UNEMPLOYMENT RATES
URBAN TRANSPORT
VESTED INTERESTS
VOTING
WAGES
WEALTH
WHITE ELEPHANTS
WILLINGNESS TO PAY
Benitez, Daniel
Estache, Antonio
Soreide, Tina
Dealing with Politics for Money and Power in Infrastructure
geographic_facet The World Region
The World Region
relation Policy Research working paper ; no. WPS 5455
description Policy recommendations for infrastructure provision usually build on a well-established understanding of best practice for sector governance. Too rarely are they adapted to the country-specific political environment even if this is an area where policy choices are likely to be subject to private agendas in politics. The fact that such private agendas are often ignored goes a long way toward explaining why infrastructure policies fail and why best practice can be counterproductive. While non-benevolence and rent-seeking are well described in the literature and anecdotes abound, there is only limited consideration of how the different incentive problems in politics impede policy improvements in infrastructure. This paper addresses why politics in infrastructure cannot be ignored, drawing on theoretical results and a systematic review of experiences. It reviews how different private agendas in politics will have different impacts for sector-governance decisions -- and hence service delivery. The concept of best practice in policy recommendations should be reconsidered in a wide perspective and allow for tailored solutions based on an understanding of the given incentive problems. Policy recommendations should take into account how coordination trade-offs may complicate efforts to reduce the possible impact of private agendas on infrastructure policy decisions. Although more transparency linked to service delivery indicators is a "safe" recommendation, it is also clear that the demand for good governance will not be sufficient to secure political accountability in a sector with huge vested interests combined with complicated funding schemes and complex contracts.
format Publications & Research :: Policy Research Working Paper
author Benitez, Daniel
Estache, Antonio
Soreide, Tina
author_facet Benitez, Daniel
Estache, Antonio
Soreide, Tina
author_sort Benitez, Daniel
title Dealing with Politics for Money and Power in Infrastructure
title_short Dealing with Politics for Money and Power in Infrastructure
title_full Dealing with Politics for Money and Power in Infrastructure
title_fullStr Dealing with Politics for Money and Power in Infrastructure
title_full_unstemmed Dealing with Politics for Money and Power in Infrastructure
title_sort dealing with politics for money and power in infrastructure
publishDate 2012
url http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20101025084550
http://hdl.handle.net/10986/3938
_version_ 1764389113982615552
spelling okr-10986-39382021-04-23T14:02:13Z Dealing with Politics for Money and Power in Infrastructure Benitez, Daniel Estache, Antonio Soreide, Tina ACCESS TO INFORMATION ACCOUNTABILITY ACCOUNTING AIRPORTS ALLOCATION OF RESOURCES ANTI-CORRUPTION ASSETS BASIC SERVICE BEST PRACTICE BEST PRACTICES BRIBE BRIBERY BRIBES BUREAUCRATIC CORRUPTION CASH TRANSFERS CITIZEN CIVIL SERVANTS CIVIL SOCIETY CIVIL SOCIETY ORGANIZATIONS COLLUSION COMMON LAW CONDITIONALITY CONGESTION CONGESTION PRICING CONSENSUS CONSTITUENCY CONSTITUTION CONSTITUTIONAL DESIGN CONSTRUCTION COMPANIES CORRUPT CORRUPT OFFICIALS CORRUPT POLITICIANS CORRUPTION CRIMINAL CRONIES DATA COLLECTION DECENTRALIZATION DECISION MAKING DECISION-MAKERS DECISION-MAKING DECISION-MAKING PROCESSES DECREES DEMOCRACIES DEMOCRACY DEMOCRATIC PRINCIPLES DEMOCRATIC REGIMES DEMOCRATIZATION DEREGULATION DEVELOPED COUNTRIES DICTATORSHIP DISCLOSURE DISCLOSURE OF INFORMATION DRIVERS ECONOMIC DEVELOPMENT ECONOMICS ECONOMISTS EMPIRICAL EVIDENCE EMPIRICAL INFORMATION EMPIRICAL STUDIES ENVIRONMENTAL ENVIRONMENTS EXECUTIVE POWER EXPENDITURES FINANCIAL INFORMATION FISCAL RESOURCES FOREIGN DIRECT INVESTMENT FOREIGN INVESTORS FOREIGN OWNERSHIP FOREIGN POLICY FRAUD FREE PRESS FREEDOM OF SPEECH FUEL FUEL COSTS GOOD GOVERNANCE GOVERNANCE INDICATORS GOVERNANCE INSTITUTIONS GOVERNANCE PERFORMANCE GOVERNANCE REFORMS GOVERNMENT ADMINISTRATION GOVERNMENT INTERVENTION GOVERNMENT LEVEL GOVERNMENT STATISTICS HIGH UNEMPLOYMENT HIGHWAYS HUMAN CAPITAL HUMAN RIGHTS IDEOLOGIES INEQUALITY INFRASTRUCTURE DEVELOPMENT INFRASTRUCTURE INVESTMENT INFRASTRUCTURE POLICIES INFRASTRUCTURE PROJECTS INFRASTRUCTURE REFORM INITIATIVE INSTITUTIONAL ARRANGEMENTS INSTITUTIONAL CAPACITY JUDICIARY JUSTICE LABOR UNIONS LACK OF ACCOUNTABILITY LAWS LEADERSHIP LEGAL FRAMEWORK LEGISLATION LOBBYING LOCAL GOVERNMENTS MARKET COMPETITION MARKET POWER MEDIA MINISTER MINISTERS MONOPOLIES MONOPOLY MOTIVATIONS NATIONAL LEVEL NATIONALIZATION NATURAL RESOURCES PARLIAMENT PATRONAGE PETTY CORRUPTION POLICY DECISIONS POLICY INTERVENTION POLICY MAKERS POLITICAL ACCOUNTABILITY POLITICAL AGENDA POLITICAL AUTHORITY POLITICAL COMPETITION POLITICAL CONTROL POLITICAL CORRUPTION POLITICAL ECONOMY POLITICAL INFLUENCE POLITICAL INSTITUTIONS POLITICAL INTERFERENCE POLITICAL LEADERS POLITICAL PARTIES POLITICAL POWER POLITICAL RISK POLITICIAN POLITICIANS POPULISM PORK BARREL POTENTIAL INVESTORS PRESENT VALUE PRESIDENTS PRIME MINISTER PRIVATIZATION PROCUREMENT PRODUCTION COSTS PROPAGANDA PROPERTY RIGHTS PUBLIC FINANCING PUBLIC GOOD PUBLIC GOODS PUBLIC HEARINGS PUBLIC INVESTMENT PUBLIC OPINION PUBLIC PERCEPTIONS PUBLIC SECTOR PUBLIC SERVICE PUBLIC SERVICE DELIVERY REGULATORY AGENCY REGULATORY AUTHORITY REGULATORY BODY REGULATORY CAPTURE REGULATORY FRAMEWORK REGULATORY INSTITUTIONS REGULATORY MEASURES RESEARCH AGENDA RESOURCE CURSE RISK OF CORRUPTION ROAD ROAD MAINTENANCE ROADS SANCTION SANCTIONS SANITATION SECTORAL POLICIES SECURITIES SEPARATION OF POWERS SERVICE DELIVERY SOCIAL COSTS SOCIAL PROGRAM SOVEREIGNTY STATE REVENUES STATE-OWNED ENTERPRISES SUSTAINABLE DEVELOPMENT TAX TAX BASE TAX BURDEN TAX REGIME TECHNOLOGICAL PROGRESS THEFT TOLL TOLL ROADS TRAFFIC TRANSPARENCY TRANSPORT TRANSPORT SECTOR TRANSPORT SERVICES TRANSPORTATION TRANSPORTATION SYSTEM TRUE UNEMPLOYMENT RATES URBAN TRANSPORT VESTED INTERESTS VOTING WAGES WEALTH WHITE ELEPHANTS WILLINGNESS TO PAY Policy recommendations for infrastructure provision usually build on a well-established understanding of best practice for sector governance. Too rarely are they adapted to the country-specific political environment even if this is an area where policy choices are likely to be subject to private agendas in politics. The fact that such private agendas are often ignored goes a long way toward explaining why infrastructure policies fail and why best practice can be counterproductive. While non-benevolence and rent-seeking are well described in the literature and anecdotes abound, there is only limited consideration of how the different incentive problems in politics impede policy improvements in infrastructure. This paper addresses why politics in infrastructure cannot be ignored, drawing on theoretical results and a systematic review of experiences. It reviews how different private agendas in politics will have different impacts for sector-governance decisions -- and hence service delivery. The concept of best practice in policy recommendations should be reconsidered in a wide perspective and allow for tailored solutions based on an understanding of the given incentive problems. Policy recommendations should take into account how coordination trade-offs may complicate efforts to reduce the possible impact of private agendas on infrastructure policy decisions. Although more transparency linked to service delivery indicators is a "safe" recommendation, it is also clear that the demand for good governance will not be sufficient to secure political accountability in a sector with huge vested interests combined with complicated funding schemes and complex contracts. 2012-03-19T18:42:31Z 2012-03-19T18:42:31Z 2010-10-01 http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20101025084550 http://hdl.handle.net/10986/3938 English Policy Research working paper ; no. WPS 5455 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Publications & Research :: Policy Research Working Paper The World Region The World Region