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An Empirical Analysis of State and Private-Sector Provision of Water Services in Africa

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Author Info
Colin Kirkpatrick
David Parker
Yin-Fang Zhang

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Abstract

Under pressure from donor agencies and international financial institutions such as the World Bank, some developing countries have experimented with the privatization of water services. This article reviews the econometric evidence on the effects of water privatization in developing economies and presents new results using statistical data envelopment analysis and stochastic cost frontier techniques and data from Africa. The analysis fails to show evidence of better performance by private utilities than by state-owned utilities. Among the reasons why water privatization could prove problematic in lower-income economies are the technology of water provision and the nature of the product, transaction costs, and regulatory weaknesses. Copyright 2006, Oxford University Press.

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Publisher Info
Article provided by Oxford University Press in its journal The World Bank Economic Review.

Volume (Year): 20 (2006)
Issue (Month): 1 ()
Pages: 143-163
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Handle: RePEc:oup:wbecrv:v:20:y:2006:i:1:p:143-163

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  1. Francisco González Gómez & Miguel Angel García Rubio, 2008. "Efficiency in the management of urban water services. What have we learned after four decades of research?," Hacienda Pública Española, IEF, vol. 185(2), pages 39-67, July. [Downloadable!]
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This page was last updated on 2009-10-23.


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