Economic regulation of water companies
AbstractThis paper provides an overview of approaches to the economic regulation of piped water supply and sewerage systems. The discussion emphasizes the particular importance that quality issues take on in water systems relative to any other infrastructure sector. Water quality is obviously important for the consumer of water, but also to others, who may suffer from diseases spread throughout the water system. The paper first asks the question when and why regulation may be needed. This is followed by a review of options to structure water systems, which in turn affects the way regulation operates. The key regulatory rules that may be chosen are then discussed, followed by a brief survey of institutional options for carrying out the regulatory functions. The paper closes with a brief assessment of the implication of regulatory choices for financing of water projects.
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Bibliographic InfoPaper provided by The World Bank in its series Policy Research Working Paper Series with number 1649.
Date of creation: 30 Sep 1996
Date of revision:
Environmental Economics&Policies; Water and Industry; Water Conservation; Decentralization; Health Economics&Finance; Town Water Supply and Sanitation; Water Supply and Sanitation Governance and Institutions; Water and Industry; Environmental Economics&Policies; Water Conservation;
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