Water Privatisation Revisited: Panacea or pancake?

Updated - Tuesday 09 December 2003

Jarmo J. Hukka and Tapio S. Katko. (2003)

In Water Privatisation Revisited the authors set out to demonstrate that, far from increasing competition in the operation and management of water and sewerage services, privatisation actually reduces it. It is a myth, they argue, to suggest that the private sector will always be more efficient than the public sector in managing water services.

Privatisation, the authors say, is unlikely to be the best way to convert a malfunctioning municipal water and sewerage utility into an effective and efficient service benefiting all consumers and taxpayers. On the other hand, public-private cooperation can work to everyone's benefit. The key criterion is that public services should remain under public control.

As the privatisation bandwagon continues to roll, Water privatisation revisited presents a challenging alternative view. It should be compulsory reading for any government or municipal officer viewing privatisation as a panacea for remedying poorly performing water and sewerage services.

Target audience: government or municipal officers, other professionals interested in privatisation of water and sanitation services

The study was financed by the three Finnish Ministries; Ministry for Foreign Affairs, the Ministry of the Environment, the Ministry of Agriculture and Forestry in Finland as well as the Finnish Water and Waste Water Works Association.