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Performance Contracting In Practice: Experience and lessons from the water sector in Ghana

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  • George Larbi

Abstract

This article provides some insights into how performance contracting works in practice in a developing country context, using the case of the Ghana Water and Sewerage Corporation (GWSC). Performance contracting has been a useful instrument for restructuring the state-owned enterprises (SOE) sector in Ghana, and the GWSC has made some moderate improvements since its introduction. However, the article highlights some of the institutional constraints and capacity issues that reformers will have to pay attention to, including overstretched capacity of the monitoring agency, a weak information management system and inconsistent compliance to contract by government. The findings also highlight the difficulty of separating politics from operational/management issues, especially in politically sensitive public services, yet performance contracting relies on such separation to be effective. Also it shows how informal behaviour undermines the formality of performance contracting.

Suggested Citation

  • George Larbi, 2001. "Performance Contracting In Practice: Experience and lessons from the water sector in Ghana," Public Management Review, Taylor & Francis Journals, vol. 3(3), pages 305-324, September.
    • Handle: RePEc:taf:pubmgr:v:3:y:2001:i:3:p:305-324
    DOI: 10.1080/14616670110044018
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    Cited by:

    1. David Sarpong & David Botchie & Bidit Dey, 2018. "From marginal to mainstream: The revival, transformation, and boom of plant medicine," Science and Public Policy, Oxford University Press, vol. 45(6), pages 843-852.
    2. Chandana Rathnasiri Hewege, 2012. "A Critique of the Mainstream Management Control Theory and the Way Forward," SAGE Open, , vol. 2(4), pages 21582440124, December.

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