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Public sector pricing policies : a review of Bank policy and practice

Author

Listed:
  • Julius, DeAnne
  • Alicbusan, Adelaida P.

Abstract

Nearly a decade has passed since the Bank codified its position on cost recovery policies (OMS 2.25) for public sector projects. In a review of 13 sectors, the authors find that the Bank guidelines are followed fairly closely in seven sectors: coal, irrigation, oil/gas, power, roads, telecommunications, and water/sewerage. In the other six sectors the focus is heavily on either distributional (health, education, housing) or financial (fertilizer, ports, railways) concerns - with little attempt to incorporate economic pricing principles. Efficiency pricing is not irrelevant or impossible in these sectors, and - even if used only as a benchmark - could improve sector management and project selection and design.

Suggested Citation

  • Julius, DeAnne & Alicbusan, Adelaida P., 1989. "Public sector pricing policies : a review of Bank policy and practice," Policy Research Working Paper Series 49, The World Bank.
    • Handle: RePEc:wbk:wbrwps:49
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