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Managing Water as an Economic Resource (Development Policy by James Winpenny

By James Winpenny

Water, already a scarce source, is handled as if it have been considerable and unfastened. the duty of providing adequate water of the necessary caliber to turning out to be populations is straining experts and governments to the restrict because the financial and environmental expenditures of latest provide resources strengthen and wasteful offer, supply and intake structures persist. coping with Water as an financial source argues that the foundation of the challenge is the failure of providers and shoppers to regard water as a scarce commodity with an fiscal worth. James Winpenny evaluates guidelines for the enhanced administration of current call for, and attracts on case experiences from diverse international locations as he discusses how rules will be carried out to regard water as an fiscal solid conferring significant monetary, monetary and environmental merits.

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Extra info for Managing Water as an Economic Resource (Development Policy Studies)

Example text

In 1989 the OECD’s Council gave high-level endorsement to the role of demand management as an element in integrated policies for water resources. It recommended that: 28 MANAGING WATER AS AN ECONOMIC RESOURCE Member countries review their existing institutional arrangements, comprising administrative, legal and economic systems, in the field of water resources with the view to improving the integrated management of their water resource policies. and that: Member countries develop and implement effective water demand management policies in all areas of water services through making greater use of: forecasting future demand for water; appropriate resource pricing for water services; appraisal, reassessment and transferability of water rights; various non-price demand management measures; and integrated administrative arrangements for demand management.

Over the past 25 years the urban water sector in Côte d’Ivoire has been operated by a private company, SODECI (Société de Distribution d’Eau de Côted’Ivoire) under a mixture of concessions and lease contracts. SODECI is a private company, established in 1960 as a subsidiary of SAUR, a large French water utility, to operate the water supply system of Abidjan under a concession contract. Subsequently the majority of the equity (52 per cent) was acquired by Ivorian shareholders and the shares are now traded on the Abidjan stock exchange.

In this chapter some of the shortcomings of existing approaches are discussed, and the merits of demand management through market processes are then restated. CENTRALISED AND DECENTRALISED SOLUTIONS An important distinction can be made between the appropriate unit for the analysis of problems, and that for implementing solutionse. The two are likely to be different. In the water sector, the collection of data and the analysis of problems are best done centrally, while solutions are often best sought in a decentralised fashion, subject to the creation of the necessary legal, institutional and policy conditions.

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