Water briefs for U4 Anti-Corruption Resource Centre
Updated - Tuesday 03 April 2012
Not so petty: Corruption risks in payment and licensing systems for water
The water “business” involves large numbers of consumers using water in different ways including households, industries, and farms. Management of water at the user level, and the associated collection of charges or fees, carries a potential corruption risk. This U4 Brief focuses on the risks at the service provider-consumer interface associated with these small but numerous transactions, and how donors may help prevent so-called petty corruption. The related losses of revenue and harm to consumer confidence can seriously threaten the financial sustainability and viability of service providers.
Improving the framework? Corruption and institutional reform in the water sector
It has been recognised that the world’s failure to provide many of its citizens with access to water and sanitation is an issue of governance, and institutional reforms have been a constant feature in the drive for better sector performance. Reducing corruption is sometimes one of the objectives of decentralisation, privatisation, harmonisation and other reforms but it is often not considered directly. Since institutional reforms may potentially either reduce or even worsen corruption, the issue needs to be carefully considered in reform measures and programmes.
Grand designs: Corruption risks in major water infrastructure projects
Multi-million dollar water infrastructure projects carry some of the largest corruption risks in the sector linked to the procurement of civil works and associated design, supply and consultancy services. The potential for ‘grand’ corruption in big dam projects and upgrading urban water and sanitation systems can be so significant as to skew policy making towards the most lucrative investments. ‘White elephants’ such as overly sophisticated new wastewater treatment plants may come at the expense of maintenance of existing assets and more appropriate lower cost technologies and approaches.
