Performance and ownership in the governance of urban water
In this paper the differences in terms of performance between public and the private governance in urban water management are investigated. A statistical ranking is implemented to determine programmatic efficiency differences in DEA, using an incomplete panel data that gathers information on 20 water utilities in Andalusia, in Southern Spain. In the model, labour and operational costs are considered as inputs. The volume of revenue water, the number of connections and the network length are used as outputs. The analysis indicates that private management is more efficient. The efficiency indicators adjusted by a variable related to quality are estimated and demonstrate that privatization of the service does not mean any loss in terms of quality. However, there are no significant differences between both types of management including as a desirable input hydraulic yield as a proxy of the degree of network renovation. A lower hydraulic efficiency in private management would suggest that the need to make significant investments could be an important factor when making the decision to privatize the management of the urban water service
|Date of creation:||02 Jun 2009|
|Contact details of provider:|| Postal: Campus Universitario de Cartuja|
Phone: (34)958 24 10 00 /20145
Fax: (34)958 24 99 95
Web page: http://fccee.ugr.es/?q=node/4
More information through EDIRC
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.:
- Antonio Estache & MartÌn A. Rossi, 2002.
"How Different Is the Efficiency of Public and Private Water Companies in Asia?,"
World Bank Economic Review,
World Bank Group, vol. 16(1), pages 139-148, June.
- Antonio Estache & Martin Rossi, 2002. "How different is the efficiency of Public and Private Water Companies in Asia," ULB Institutional Repository 2013/43984, ULB -- Universite Libre de Bruxelles.
- Bhattacharyya, Arunava & Harris, Thomas R. & Narayanan, Rangesan & Raffiee, Kambiz, 1995. "Technical Efficiency Of Rural Water Utilities," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 20(02), December.
- Golany, B & Roll, Y, 1989. "An application procedure for DEA," Omega, Elsevier, vol. 17(3), pages 237-250.
- Claude Ménard & Stéphane Saussier, 2000. "Contractual Choice and Performance the Case of Water Supply in France," Revue d'Économie Industrielle, Programme National Persée, vol. 92(1), pages 385-404.
- Fumitoshi Mizutani & Takuya Urakami, 2001. "articles: Identifying network density and scale economies for Japanese water supply organizations," Papers in Regional Science, Springer;Regional Science Association International, vol. 80(2), pages 211-230.
- Andrés J. Picazo-Tadeo & Francisco González-Gómez & Francisco J. Sáez-Fernández, 2006. "Accounting for operating environments in measuring water utilities’ managerial efficiency," The Service Industries Journal, Taylor & Francis Journals, vol. 29(6), pages 761-773, July.
- Antonioli, B. & Filippini, M., 2001. "The use of a variable cost function in the regulation of the Italian water industry," Utilities Policy, Elsevier, vol. 10(3-4), pages 181-187.
- Andres Picazo-Tadeo & Francisco Saez-Fernandez & Francisco Gonzalez-Gomez, 2009. "The role of environmental factors in water utilities' technical efficiency. Empirical evidence from Spanish companies," Applied Economics, Taylor & Francis Journals, vol. 41(5), pages 615-628.
- Crain, W Mark & Zardkoohi, Asghar, 1978. "A Test of the Property-Rights Theory of the Firm: Water Utilities in the United States," Journal of Law and Economics, University of Chicago Press, vol. 21(2), pages 395-408, October.
- David Saal & David Parker & Tom Weyman-Jones, 2007. "Determining the contribution of technical change, efficiency change and scale change to productivity growth in the privatized English and Welsh water and sewerage industry: 1985–2000," Journal of Productivity Analysis, Springer, vol. 28(1), pages 127-139, October.
- Serge Garcia & Alban Thomas, 2001. "The Structure of Municipal Water Supply Costs: Application to a Panel of French Local Communities," Journal of Productivity Analysis, Springer, vol. 16(1), pages 5-29, July.
- Teeples, Ronald K & Glyer, David, 1987. "Cost of Water Delivery Systems: Specification and Ownership Effects," The Review of Economics and Statistics, MIT Press, vol. 69(3), pages 399-408, August.
- M. A. Garcia-Valinas & M. A. Muniz, 2007. "Is DEA useful in the regulation of water utilities? A dynamic efficiency evaluation (a dynamic efficiency evaluation of water utilities)," Applied Economics, Taylor & Francis Journals, vol. 39(2), pages 245-252.
- Bhattacharyya, Arunava & Harris, Thomas R. & Narayanan, Rangesan & Raffiee, Kambiz, 1995. "Specification and estimation of the effect of ownership on the economic efficiency of the water utilities," Regional Science and Urban Economics, Elsevier, vol. 25(6), pages 759-784, December.
- Byrnes, Patricia & Grosskopf, Shawna & Hayes, Kathy, 1986. "Efficiency and Ownership: Further Evidence," The Review of Economics and Statistics, MIT Press, vol. 68(2), pages 337-341, May.
- Tupper, Henrique Cesar & Resende, Marcelo, 2004. "Efficiency and regulatory issues in the Brazilian water and sewage sector: an empirical study," Utilities Policy, Elsevier, vol. 12(1), pages 29-40, March.
- Antonio Estache & Lourdes Trujillo, 2003. "Efficiency effects of "Privatization" in Argentina's Water and Sanitation Services," ULB Institutional Repository 2013/43978, ULB -- Universite Libre de Bruxelles.
- Antonio Estache & Lourdes Trujillo, 2003. "Efficiency effects of "privatization" in Argentina's water and sanitation services," ULB Institutional Repository 2013/167459, ULB -- Universite Libre de Bruxelles.
- Saal, David S & Parker, David, 2001. "Productivity and Price Performance in the Privatized Water and Sewerage Companies of England and Wales," Journal of Regulatory Economics, Springer, vol. 20(1), pages 61-90, July.
- Feigenbaum, Susan & Teeples, Ronald, 1983. "Public versus Private Water Delivery: A Hedonic Cost Approach," The Review of Economics and Statistics, MIT Press, vol. 65(4), pages 672-678, November.
- A. Charnes & W. W. Cooper & E. Rhodes, 1981. "Evaluating Program and Managerial Efficiency: An Application of Data Envelopment Analysis to Program Follow Through," Management Science, INFORMS, vol. 27(6), pages 668-697, June.
- Arunava Bhattacharyya & Elliott Parker & Kambiz Raffiee, 1994. "An Examination of the Effect of Ownership on the Relative Efficiency of Public and Private Water Utilities," Land Economics, University of Wisconsin Press, vol. 70(2), pages 197-209.
- John K. Ashton, 2000. "Total Factor Productivity Growth and Technical Change in the Water and Sewerage Industry," The Service Industries Journal, Taylor & Francis Journals, vol. 20(4), pages 121-130, October.
- Colin Kirkpatrick & David Parker & Yin-Fang Zhang, 2006. "An Empirical Analysis of State and Private-Sector Provision of Water Services in Africa," World Bank Economic Review, World Bank Group, vol. 20(1), pages 143-163.
- Sabbioni, Guillermo, 2008. "Efficiency in the Brazilian sanitation sector," Utilities Policy, Elsevier, vol. 16(1), pages 11-20, March.
- Seroa da Motta, Ronaldo & Moreira, Ajax, 2006. "Efficiency and regulation in the sanitation sector in Brazil," Utilities Policy, Elsevier, vol. 14(3), pages 185-195, September.
- Tito Belchior Moreira & Geraldo da Silva Souza & Ricardo Coelho Faria, 2005. "Public Versus Private Water Utilities: Empirical Evidence for Brazilian Companies," Economics Bulletin, AccessEcon, vol. 8(2), pages 1-7.
- Patrick L. Brockett & Boaz Golany, 1996. "Using Rank Statistics for Determining Programmatic Efficiency Differences in Data Envelopment Analysis," Management Science, INFORMS, vol. 42(3), pages 466-472, March.
- Anwandter, Lars & Ozuna, Teofilo Jr., 2002. "Can public sector reforms improve the efficiency of public water utilities?," Environment and Development Economics, Cambridge University Press, vol. 7(04), pages 687-700, October.
- 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.
- repec:ebl:ecbull:v:8:y:2005:i:2:p:1-7 is not listed on IDEAS
- David S Saal & David Parker, 2000. "The impact of privatization and regulation on the water and sewerage industry in England and Wales: a translog cost function model," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 21(6), pages 253-268.
- Sanford Berg & Chen Lin, 2008. "Consistency in performance rankings: the Peru water sector," Applied Economics, Taylor & Francis Journals, vol. 40(6), pages 793-805.
- John Ashton, 2000. "Cost efficiency in the UK water and sewerage industry," Applied Economics Letters, Taylor & Francis Journals, vol. 7(7), pages 455-458. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:gra:fegper:09/03. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Juliette Milgram Baleix.)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.