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Sector organization, governance, and the inefficiency of African water utilities

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Author Info
Estache, Antonio
Kouassi, Eugene

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Abstract

The authors analyze the determinants of the efficiency levels reached by twenty one African water utilities. They assess efficiency through the estimation of a production frontier for the sector in Africa. The efficiency estimates confirm much of the common perceptions from partial productivity indicators. They point to a great heterogeneity in the African water utilities'performances, the predominance of constant returns to scale, and the great rate of technological progress. And the authors show that the institutional capacity of the country, as well as its governance quality, are significant driving factors in the performance of each firm.

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Paper provided by The World Bank in its series Policy Research Working Paper Series with number 2890.

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Date of creation: 30 Sep 2002
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Handle: RePEc:wbk:wbrwps:2890

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Keywords: Water and Industry; Environmental Economics&Policies; Water Conservation; Decentralization; Health Economics&Finance; Town Water Supply and Sanitation; Environmental Economics&Policies; Water Supply and Sanitation Governance and Institutions; Water and Industry; Health Economics&Finance;

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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  21. Hausman, Jerry A & Taylor, William E, 1981. "Panel Data and Unobservable Individual Effects," Econometrica, Econometric Society, vol. 49(6), pages 1377-98, November. [Downloadable!] (restricted)
  22. Bauer, Paul W. & Berger, Allen N. & Ferrier, Gary D. & Humphrey, David B., 1998. "Consistency Conditions for Regulatory Analysis of Financial Institutions: A Comparison of Frontier Efficiency Methods," Journal of Economics and Business, Elsevier, vol. 50(2), pages 85-114, March. [Downloadable!] (restricted)
    Other versions:
  23. Seale, James M, Jr, 1990. "Estimating Stochastic Frontier Systems with Unbalanced Panel Data: The Case of Floor Tile Manufactories in Egypt," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 5(1), pages 59-74, January-M. [Downloadable!] (restricted)
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  26. Peter Schmidt, 1985. "Frontier production functions," Econometric Reviews, Taylor and Francis Journals, vol. 4(2), pages 289-328. [Downloadable!] (restricted)
Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Estache, Antonio & Goicoechea, Ana & Trujillo, Lourdes, 2006. "Utilities reforms and corruption in developing countries," Policy Research Working Paper Series 4081, The World Bank. [Downloadable!]
    Other versions:
  2. Thierry Buchs, 2005. "Privatization in Sub-Saharan Africa: Some Lessons from Experiences to Date," Microeconomics 0502007, EconWPA. [Downloadable!]
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