Evaluation of Water Services Public Private Partnership Options for Mid-sized Cities in India
Successful mid-sized cities will be vital to India’s growth and prosperity in the coming decades. Indian cities are home to over 375 million people now, and their population is likely to double by 2035. Yet water supply in most mid-sized cities fal...
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| Format: | Report |
| Language: | English en_US |
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World Bank, Washington, DC
2015
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2015/06/24606978/evaluation-water-services-public-private-partnership-options-mid-sized-cities-india http://hdl.handle.net/10986/22042 |
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okr-10986-22042 |
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| recordtype |
oai_dc |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
WATER QUALITY TARIFFS WATER SERVICES AFFORDABLE WATER PUBLIC UTILITIES SERVICE STANDARDS OPERATIONAL EFFICIENCY ASSET OWNERSHIP QUALITY OF WATER URBAN GROWTH OPERATIONAL EXPENDITURE SERVICE IMPROVEMENT PERFORMANCE BENCHMARKS HOURS OF SERVICE WATER COMPANY WATER SECTOR MIXED PRIVATE-PUBLIC OWNERSHIP OPERATIONAL IMPROVEMENTS WATER SUPPLY JOINT VENTURE INVESTMENT PLANNING PIPE NETWORK URBAN WATER PRIVATE PARTICIPATION UTILITY STAFF TARIFF SETTING DISTRIBUTION FUNCTIONS WATER BOARD TOWNS WATER SUPPLY SERVICES SMALL TOWNS WATER CONSUMPTION WATER RESOURCES CASH FLOWS GOVERNANCE ARRANGEMENTS MAINTENANCE COSTS CUSTOMER RELATIONS MUNICIPALITIES DISTRIBUTION SYSTEM PRIVATE OPERATOR WASTEWATER TREATMENT TARIFF ADJUSTMENTS CONCESSION CONTRACT PRIVATE OPERATORS COST RECOVERY POPULATION GROWTH TOWN WATER OPERATOR PERFORMANCE WATER CONCESSION CONTRACTS WATER RESOURCES MANAGEMENT RAW WATER BULK SUPPLY WASTEWATER SECTOR CONTRACT MANAGEMENT FINANCIAL VIABILITY LOCAL ENGINEERING SERVICE PROVISION LITRES PER DAY POTABLE WATER UTILITY MANAGEMENT TOWN WATER SUPPLY WATER SERVICE PROVISION FINANCE WATER OPERATORS INVESTMENT DECISIONS RESPONSIBILITY FOR WATER SUPPLY OPERATIONAL RISKS METER READING OPERATIONAL PERFORMANCE CAPITAL PERFORMANCE INCENTIVES SERVICE IMPROVEMENTS UTILITIES WATER DEMAND MUNICIPAL PROVIDERS PRIVATE SECTOR OPERATORS COLLECTION EFFICIENCY SYSTEMS WATER PRODUCTION CONCESSION AGREEMENT URBAN AREAS WATER TARIFFS TARIFF INCREASE FIXED FEE SERVICE QUALITY QUALITY WATER TOWN WATER UTILITIES WATER SUPPLY FACILITIES IRRIGATION SYSTEMS INVESTMENT HOUSEHOLDS URBAN WATER SUPPLY LEAKAGE REDUCTION MAINTENANCE OPERATIONS WATER PARTNERSHIP RESPONSIBILITY FOR WATER WATER SERVICE PRIVATE FINANCING WATER INFRASTRUCTURE LOCAL OPERATORS NUMBER OF CONNECTIONS BULK WATER SUPPLY URBAN WATER UTILITIES WATER DISTRIBUTION MUNICIPAL COUNCIL CONTRACT DURATION QUALITY OF SERVICE UTILITY OPERATOR SERVICE PROVIDERS |
| spellingShingle |
WATER QUALITY TARIFFS WATER SERVICES AFFORDABLE WATER PUBLIC UTILITIES SERVICE STANDARDS OPERATIONAL EFFICIENCY ASSET OWNERSHIP QUALITY OF WATER URBAN GROWTH OPERATIONAL EXPENDITURE SERVICE IMPROVEMENT PERFORMANCE BENCHMARKS HOURS OF SERVICE WATER COMPANY WATER SECTOR MIXED PRIVATE-PUBLIC OWNERSHIP OPERATIONAL IMPROVEMENTS WATER SUPPLY JOINT VENTURE INVESTMENT PLANNING PIPE NETWORK URBAN WATER PRIVATE PARTICIPATION UTILITY STAFF TARIFF SETTING DISTRIBUTION FUNCTIONS WATER BOARD TOWNS WATER SUPPLY SERVICES SMALL TOWNS WATER CONSUMPTION WATER RESOURCES CASH FLOWS GOVERNANCE ARRANGEMENTS MAINTENANCE COSTS CUSTOMER RELATIONS MUNICIPALITIES DISTRIBUTION SYSTEM PRIVATE OPERATOR WASTEWATER TREATMENT TARIFF ADJUSTMENTS CONCESSION CONTRACT PRIVATE OPERATORS COST RECOVERY POPULATION GROWTH TOWN WATER OPERATOR PERFORMANCE WATER CONCESSION CONTRACTS WATER RESOURCES MANAGEMENT RAW WATER BULK SUPPLY WASTEWATER SECTOR CONTRACT MANAGEMENT FINANCIAL VIABILITY LOCAL ENGINEERING SERVICE PROVISION LITRES PER DAY POTABLE WATER UTILITY MANAGEMENT TOWN WATER SUPPLY WATER SERVICE PROVISION FINANCE WATER OPERATORS INVESTMENT DECISIONS RESPONSIBILITY FOR WATER SUPPLY OPERATIONAL RISKS METER READING OPERATIONAL PERFORMANCE CAPITAL PERFORMANCE INCENTIVES SERVICE IMPROVEMENTS UTILITIES WATER DEMAND MUNICIPAL PROVIDERS PRIVATE SECTOR OPERATORS COLLECTION EFFICIENCY SYSTEMS WATER PRODUCTION CONCESSION AGREEMENT URBAN AREAS WATER TARIFFS TARIFF INCREASE FIXED FEE SERVICE QUALITY QUALITY WATER TOWN WATER UTILITIES WATER SUPPLY FACILITIES IRRIGATION SYSTEMS INVESTMENT HOUSEHOLDS URBAN WATER SUPPLY LEAKAGE REDUCTION MAINTENANCE OPERATIONS WATER PARTNERSHIP RESPONSIBILITY FOR WATER WATER SERVICE PRIVATE FINANCING WATER INFRASTRUCTURE LOCAL OPERATORS NUMBER OF CONNECTIONS BULK WATER SUPPLY URBAN WATER UTILITIES WATER DISTRIBUTION MUNICIPAL COUNCIL CONTRACT DURATION QUALITY OF SERVICE UTILITY OPERATOR SERVICE PROVIDERS Ehrhardt, David Gandhi, Riddhima Mugabi, Josses Kingdom, William Evaluation of Water Services Public Private Partnership Options for Mid-sized Cities in India |
| geographic_facet |
South Asia India |
| description |
Successful mid-sized cities will be
vital to India’s growth and prosperity in the coming
decades. Indian cities are home to over 375 million people
now, and their population is likely to double by 2035. Yet
water supply in most mid-sized cities falls short of
Government of India benchmarks for service, efficiency and
cost recovery. In many of them water flows in the pipes for
2 hours a day or less, its quality is poor, and it is
provided by utilities that cannot even cover their operating
costs. Following a brief introduction to the three city case
studies (section two), the report lays out the Indian water
sector’s unique challenges, and using case examples to
substantiate findings (section three). The challenges
include day-to-day operational issues associated with
running a utility, as well as policy and planning issues
that affect the utility’s governance and investment planning
to meet current and future demand. The results of a
financial viability gap analysis, applied to Bhubaneswar and
Coimbatore reveal the magnitude of improvements required,
and the key drivers that affect the utilities’ financial
performance (section four). These complex challenges make
traditional PPP models, Management Contracts, Concessions
and Leases, less amenable for use in mid-size Indian cities.
As section five describes, this is because the traditional
models are too risky for the operator or government or too
limited in scope to create lasting improvements. The
remaining sections focus on explaining the design and
procurement strategy for the two innovative PPP models, the
phased performance based contract and the Joint Venture (JV)
Partnership (section six and seven). These models have the
potential to deliver better results than the traditional
PPPs and business as usual scenarios. This is because in
addition to reforming dysfunctional utilities into focused
and accountable organizations, they are able to respond to
information uncertainty, include strong incentives, have
clear sources of funding, and promote capital efficiency. |
| format |
Report |
| author |
Ehrhardt, David Gandhi, Riddhima Mugabi, Josses Kingdom, William |
| author_facet |
Ehrhardt, David Gandhi, Riddhima Mugabi, Josses Kingdom, William |
| author_sort |
Ehrhardt, David |
| title |
Evaluation of Water Services Public Private Partnership Options for Mid-sized Cities in India |
| title_short |
Evaluation of Water Services Public Private Partnership Options for Mid-sized Cities in India |
| title_full |
Evaluation of Water Services Public Private Partnership Options for Mid-sized Cities in India |
| title_fullStr |
Evaluation of Water Services Public Private Partnership Options for Mid-sized Cities in India |
| title_full_unstemmed |
Evaluation of Water Services Public Private Partnership Options for Mid-sized Cities in India |
| title_sort |
evaluation of water services public private partnership options for mid-sized cities in india |
| publisher |
World Bank, Washington, DC |
| publishDate |
2015 |
| url |
http://documents.worldbank.org/curated/en/2015/06/24606978/evaluation-water-services-public-private-partnership-options-mid-sized-cities-india http://hdl.handle.net/10986/22042 |
| _version_ |
1764450093443842048 |
| spelling |
okr-10986-220422021-04-23T14:04:06Z Evaluation of Water Services Public Private Partnership Options for Mid-sized Cities in India Ehrhardt, David Gandhi, Riddhima Mugabi, Josses Kingdom, William WATER QUALITY TARIFFS WATER SERVICES AFFORDABLE WATER PUBLIC UTILITIES SERVICE STANDARDS OPERATIONAL EFFICIENCY ASSET OWNERSHIP QUALITY OF WATER URBAN GROWTH OPERATIONAL EXPENDITURE SERVICE IMPROVEMENT PERFORMANCE BENCHMARKS HOURS OF SERVICE WATER COMPANY WATER SECTOR MIXED PRIVATE-PUBLIC OWNERSHIP OPERATIONAL IMPROVEMENTS WATER SUPPLY JOINT VENTURE INVESTMENT PLANNING PIPE NETWORK URBAN WATER PRIVATE PARTICIPATION UTILITY STAFF TARIFF SETTING DISTRIBUTION FUNCTIONS WATER BOARD TOWNS WATER SUPPLY SERVICES SMALL TOWNS WATER CONSUMPTION WATER RESOURCES CASH FLOWS GOVERNANCE ARRANGEMENTS MAINTENANCE COSTS CUSTOMER RELATIONS MUNICIPALITIES DISTRIBUTION SYSTEM PRIVATE OPERATOR WASTEWATER TREATMENT TARIFF ADJUSTMENTS CONCESSION CONTRACT PRIVATE OPERATORS COST RECOVERY POPULATION GROWTH TOWN WATER OPERATOR PERFORMANCE WATER CONCESSION CONTRACTS WATER RESOURCES MANAGEMENT RAW WATER BULK SUPPLY WASTEWATER SECTOR CONTRACT MANAGEMENT FINANCIAL VIABILITY LOCAL ENGINEERING SERVICE PROVISION LITRES PER DAY POTABLE WATER UTILITY MANAGEMENT TOWN WATER SUPPLY WATER SERVICE PROVISION FINANCE WATER OPERATORS INVESTMENT DECISIONS RESPONSIBILITY FOR WATER SUPPLY OPERATIONAL RISKS METER READING OPERATIONAL PERFORMANCE CAPITAL PERFORMANCE INCENTIVES SERVICE IMPROVEMENTS UTILITIES WATER DEMAND MUNICIPAL PROVIDERS PRIVATE SECTOR OPERATORS COLLECTION EFFICIENCY SYSTEMS WATER PRODUCTION CONCESSION AGREEMENT URBAN AREAS WATER TARIFFS TARIFF INCREASE FIXED FEE SERVICE QUALITY QUALITY WATER TOWN WATER UTILITIES WATER SUPPLY FACILITIES IRRIGATION SYSTEMS INVESTMENT HOUSEHOLDS URBAN WATER SUPPLY LEAKAGE REDUCTION MAINTENANCE OPERATIONS WATER PARTNERSHIP RESPONSIBILITY FOR WATER WATER SERVICE PRIVATE FINANCING WATER INFRASTRUCTURE LOCAL OPERATORS NUMBER OF CONNECTIONS BULK WATER SUPPLY URBAN WATER UTILITIES WATER DISTRIBUTION MUNICIPAL COUNCIL CONTRACT DURATION QUALITY OF SERVICE UTILITY OPERATOR SERVICE PROVIDERS Successful mid-sized cities will be vital to India’s growth and prosperity in the coming decades. Indian cities are home to over 375 million people now, and their population is likely to double by 2035. Yet water supply in most mid-sized cities falls short of Government of India benchmarks for service, efficiency and cost recovery. In many of them water flows in the pipes for 2 hours a day or less, its quality is poor, and it is provided by utilities that cannot even cover their operating costs. Following a brief introduction to the three city case studies (section two), the report lays out the Indian water sector’s unique challenges, and using case examples to substantiate findings (section three). The challenges include day-to-day operational issues associated with running a utility, as well as policy and planning issues that affect the utility’s governance and investment planning to meet current and future demand. The results of a financial viability gap analysis, applied to Bhubaneswar and Coimbatore reveal the magnitude of improvements required, and the key drivers that affect the utilities’ financial performance (section four). These complex challenges make traditional PPP models, Management Contracts, Concessions and Leases, less amenable for use in mid-size Indian cities. As section five describes, this is because the traditional models are too risky for the operator or government or too limited in scope to create lasting improvements. The remaining sections focus on explaining the design and procurement strategy for the two innovative PPP models, the phased performance based contract and the Joint Venture (JV) Partnership (section six and seven). These models have the potential to deliver better results than the traditional PPPs and business as usual scenarios. This is because in addition to reforming dysfunctional utilities into focused and accountable organizations, they are able to respond to information uncertainty, include strong incentives, have clear sources of funding, and promote capital efficiency. 2015-06-23T21:25:17Z 2015-06-23T21:25:17Z 2015-06 Report http://documents.worldbank.org/curated/en/2015/06/24606978/evaluation-water-services-public-private-partnership-options-mid-sized-cities-india http://hdl.handle.net/10986/22042 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Working Paper South Asia India |