Osmo T. Seppälä

Public-Private Partnerships in Water and Sewerage Services: Privatization for Profit or Improvement of Service and Performance?

There is no empirical proof that private enterprises manage and operate facilities more efficiently than public ones. Instead of privatization, it is better to promote viable public-private partnerships and commercialization of services. The core businesses of water and sewage works should preferably be retained by a municipalityowned enterprise. In the selection of the mode(s) of water service implementation, one must consider the nature of the services, the long-term experiences, and transaction costs. The nature of water and sanitation service activity itself requires that long-term development should be considered in decision making. The institutional framework must be such that all parties benefit from cooperation. Whichever management or contract model is selected, the ownership of the utilities should preferably remain in the hands of municipalities whose decisions on services citizens should be able to influence through local democracy. The responsibility for arranging water services lies de facto with the public sector.

Effective water and sanitation policy reform implementation: need for systemic approach and stakeholder participation

Abstract This paper analyzes development trends in water and sanitation policies and strategies of donor organizations and developing countries. The review covers Finnish development assistance and recent water and sanitation sector policies of Kenya, Zanzibar, Sri Lanka and South Africa. Donor agencies have earlier concentrated on fashionable issues that have once been considered crucial, but a holistic and systemic approach has been lacking. Integration of water and sanitation policies with other sector policies is important. Implementation of reform processes in the field has often failed, because involvement and commitment of stakeholders at all levels has been inadequate. It is essential to build the capacity of sector professionals, civil society and communities to understand, commit to and promote the new policies. Successful policy and reform implementation requires political will and facilitation, but technical, economic, environmental and social considerations are also important. The impediments to implementation are complex, and effective solutions are demanding and highly interrelated. Futuristic systems thinking and visionary approach are useful tools in dealing with the complex institutional environment and assessment of future reform impacts.

Inadequacy of positivistic research to explain complexity of water management

The paper looks at alternative scientific research approaches and traditions related to Water Resources Management (WRM) and Water Supply and Sanitation (WSS) services. How can they explain the problem-oriented water governance challenges, and how do they apply to multi- and inter-disciplinary research? It is argued that the bias in favour of a positivistic approach and natural sciences in water research prevents adequate answers to wider water governance challenges and institutional and management issues. Water research should be expanded to include diverse multi-, pluri-, cross-, inter- and multi-disciplinary approaches as joint efforts, while individuals could be encouraged to seek transdisciplinarity.

Many Ps Needed for Sustainable Water Services Expansion of the Scope of Public–Private Partnerships

This research note discusses the commonly used concept of public-private partnerships (PPPs) promoted particularly by international financial bodies in water and sanitation services during the past few years. The article argues that the scope of PPPs, which now includes only private operators, should be expanded. The article proposes a related list of policies, principles, and practices with selected priorities for viable and sustainable water and sanitation services. They must be assessed in a long-term perspective rather than in a historical vacuum.