Publication: Troubled Tariffs: Revisiting Water Pricing for Affordable and Sustainable Water Services
Loading...
Date
2021-12-02
ISSN
Published
2021-12-02
Author(s)
Saltiel, Gustavo
Misra, Smita
Lombana Cordoba, Camilo
Thibert, Michael
Fenwick, Crystal
Editor(s)
Abstract
Tariffs are essential but not the only pathway to cost recovery, addressing affordability, and managing water conservation. To maximize their potential, they must be well designed, complemented by appropriate instruments, adequately regulated, and understood by customers. This report builds upon that one, and provides policy makers with the information needed to design better tariffs to further the economic efficiency, affordability, and environmental sustainability of water supply services. Through a layered and comprehensive analysis of the most prevalent tariff structures, it provides policy makers with specific guidance on pricing water supply services in response to the sector’s often-competing goals. This document comprises a synthesis of fifteen unique research papers that, combined, articulate a step-by-step thought process for designing effective tariffs with a view to achieving sustainable development goal (SDG) 6.
Link to Data Set
Citation
“Saltiel, Gustavo; Andres, Luis A.; Misra, Smita; Lombana Cordoba, Camilo; Joseph, George; Thibert, Michael; Fenwick, Crystal. 2021. Troubled Tariffs: Revisiting Water Pricing for Affordable and Sustainable Water Services. © World Bank. http://hdl.handle.net/10986/36661 License: CC BY 3.0 IGO.”
Associated URLs
Associated content
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections
Related items
Showing items related by metadata.
Publication Diagnosing Angola’s WASH Sector(World Bank, Washington, DC, 2021-05-10)Angola’s human development potential is constrained by the state of its water supply, sanitation, and hygiene (WASH) sector. The Angola WASH sector diagnostic identifies key service-delivery problems in the WASH sector and their enabling environment through an institutional assessment and political economy analysis that takes into account the cross-sectoral links underpinning human development. Specifically, the diagnostic first explores inequalities in access to WASH services and their relationship to childhood health in Angola, using data from the most recent demographic health survey (DHS, 2015-16) and the joint monitoring program (JMP) of the United Nations Children’s Fund and World Health Organization. Next, the diagnostic identifies key institutional constraints and bottlenecks through a comprehensive governance and public expenditure review of Angola’s WASH sector. Finally, the report provides guidance on how to improve the effectiveness of the WASH sector in support of broader policy goals to achieve sustainability and meet the targets of the sustainable development goals (SDGs). The diagnostic answers the following questions, each of which probes the links between access to safe WASH services and human development and highlights opportunities to improve policy, investments, and practice: (1) what is the current level and quality of access to WASH services in Angola, and how does access vary temporally and spatially?; (2) what are the links and synergies between WASH and other sectors critical to human development in Angola?; (3) what constrains WASH service delivery; and (4) what solutions will have the greatest effect on overall human development?Publication Doing More with Less(World Bank, Washington, DC, 2019-08-28)This report explores how scarce public resources can be used most effectively to achieve universal delivery of water supply and sanitation services. It analyzes the prevalence and performance of subsidies in the sector, then guide policymakers on improving subsidy design and implementation to improve their efficacy and efficiency in attaining their objectives.Publication A Blueprint for Resilience(Washington, DC: World Bank, 2024-12-17)The Europe and Central Asia region is highly heterogeneous, and water security challenges vary widely. Although relatively similar, some challenges are of a different size, especially given each country's various geographical, cultural, economic, and political departure points. This assessment explores the main regional challenges and opportunities related to water security by delving into the situations faced by each of the three major subregions: the Danube, Central Asia, and the South Caucasus. Despite the region’s heterogeneity, a common theme many countries share is the low and inconsistent political priority given to water. This report’s goal is, therefore, threefold: (a) to raise awareness among policymakers of the importance of prioritizing water (including allocating adequate funds) for people, the planet, and economic prosperity; (b) to stimulate national and regional policy dialogue to harness water for greater economic, social, and environmental good; and (c) to offer clear, actionable recommendations that orient policy makers and sector practitioners toward sustainable, long-term regional water security.Publication Utility of the Future(World Bank, Washington, DC, 2021-03-23)The sustainable development goal for water and sanitation to ensure availability and sustainable management of water and sanitation for all is a lofty goal. Worldwide, 2.4 billion people remain without access to improved sanitation and nearly 0.7 billion remain without access to improved drinking water sources. Those who have access to water supply and sanitation (WSS) services often must cope with intermittent water supply, sewerage system overflows, and poor customer service. Poor service frequently stems from a vicious cycle of dysfunctional political environments and inefficient practices. Global forces - including climate change, water scarcity, population growth, and rapid urbanization - exacerbate these challenges in providing high-quality, sustainable WSS service delivery. Therefore, WSS utilities require a new approach to planning and sequencing reforms to provide WSS services in a sustainable manner. The utility of the future (UoF) program provides this new approach and was designed in a way that builds on the extensive body of knowledge on utility performance improvement. Chapter one gives introduction. Chapter two defines the UoF concept, the determinants of success, and the analytical basis of the program. Chapter three presents the methodology developed specifically to conduct the diagnostic assessment and determine the utility’s desired maturity level. Chapter four presents a 15-step approach to translating the results of the diagnostic assessment into a prioritized and sequenced action plan.Publication Utility of the Future 4.0, Taking Water and Sanitation Utilities Beyond the Next Level(Washington, DC: World Bank, 2024-12-04)This document outlines the Utility of the Future (UoF) program’s methodology, which is divided into two main phases: the UoF Standard and UoF Advanced. The UoF Standard phase focuses on establishing a solid foundation for transformation through initial analysis, action planning, and strategic vision development. The UoF Advanced phase builds on this foundation by implementing a comprehensive business and investment plan, followed by an intensive one-year deep-change program. This approach aims to address both immediate and long-term needs, ensuring utilities are well-equipped to meet evolving demands and achieve sustainable success.
Users also downloaded
Showing related downloaded files
Publication Argentina Country Climate and Development Report(World Bank, Washington, DC, 2022-11)The Argentina Country Climate and Development Report (CCDR) explores opportunities and identifies trade-offs for aligning Argentina’s growth and poverty reduction policies with its commitments on, and its ability to withstand, climate change. It assesses how the country can: reduce its vulnerability to climate shocks through targeted public and private investments and adequation of social protection. The report also shows how Argentina can seize the benefits of a global decarbonization path to sustain a more robust economic growth through further development of Argentina’s potential for renewable energy, energy efficiency actions, the lithium value chain, as well as climate-smart agriculture (and land use) options. Given Argentina’s context, this CCDR focuses on win-win policies and investments, which have large co-benefits or can contribute to raising the country’s growth while helping to adapt the economy, also considering how human capital actions can accompany a just transition.Publication Classroom Assessment to Support Foundational Literacy(Washington, DC: World Bank, 2025-03-21)This document focuses primarily on how classroom assessment activities can measure students’ literacy skills as they progress along a learning trajectory towards reading fluently and with comprehension by the end of primary school grades. The document addresses considerations regarding the design and implementation of early grade reading classroom assessment, provides examples of assessment activities from a variety of countries and contexts, and discusses the importance of incorporating classroom assessment practices into teacher training and professional development opportunities for teachers. The structure of the document is as follows. The first section presents definitions and addresses basic questions on classroom assessment. Section 2 covers the intersection between assessment and early grade reading by discussing how learning assessment can measure early grade reading skills following the reading learning trajectory. Section 3 compares some of the most common early grade literacy assessment tools with respect to the early grade reading skills and developmental phases. Section 4 of the document addresses teacher training considerations in developing, scoring, and using early grade reading assessment. Additional issues in assessing reading skills in the classroom and using assessment results to improve teaching and learning are reviewed in section 5. Throughout the document, country cases are presented to demonstrate how assessment activities can be implemented in the classroom in different contexts.Publication Lebanon Economic Monitor, Fall 2022(Washington, DC, 2022-11)The economy continues to contract, albeit at a somewhat slower pace. Public finances improved in 2021, but only because spending collapsed faster than revenue generation. Testament to the continued atrophy of Lebanon’s economy, the Lebanese Pound continues to depreciate sharply. The sharp deterioration in the currency continues to drive surging inflation, in triple digits since July 2020, impacting the poor and vulnerable the most. An unprecedented institutional vacuum will likely further delay any agreement on crisis resolution and much needed reforms; this includes prior actions as part of the April 2022 International Monetary Fund (IMF) staff-level agreement (SLA). Divergent views among key stakeholders on how to distribute the financial losses remains the main bottleneck for reaching an agreement on a comprehensive reform agenda. Lebanon needs to urgently adopt a domestic, equitable, and comprehensive solution that is predicated on: (i) addressing upfront the balance sheet impairments, (ii) restoring liquidity, and (iii) adhering to sound global practices of bail-in solutions based on a hierarchy of creditors (starting with banks’ shareholders) that protects small depositors.Publication The Journey Ahead(Washington, DC: World Bank, 2024-10-31)The Journey Ahead: Supporting Successful Migration in Europe and Central Asia provides an in-depth analysis of international migration in Europe and Central Asia (ECA) and the implications for policy making. By identifying challenges and opportunities associated with migration in the region, it aims to inform a more nuanced, evidencebased debate on the costs and benefits of cross-border mobility. Using data-driven insights and new analysis, the report shows that migration has been an engine of prosperity and has helped address some of ECA’s demographic and socioeconomic disparities. Yet, migration’s full economic potential remains untapped. The report identifies multiple barriers keeping migration from achieving its full potential. Crucially, it argues that policies in both origin and destination countries can help maximize the development impacts of migration and effectively manage the economic, social, and political costs. Drawing from a wide range of literature, country experiences, and novel analysis, The Journey Ahead presents actionable policy options to enhance the benefits of migration for destination and origin countries and migrants themselves. Some measures can be taken unilaterally by countries, whereas others require close bilateral or regional coordination. The recommendations are tailored to different types of migration— forced displacement as well as high-skilled and low-skilled economic migration—and from the perspectives of both sending and receiving countries. This report serves as a comprehensive resource for governments, development partners, and other stakeholders throughout Europe and Central Asia, where the richness and diversity of migration experiences provide valuable insights for policy makers in other regions of the world.Publication World Development Report 2006(Washington, DC, 2005)This year’s Word Development Report (WDR), the twenty-eighth, looks at the role of equity in the development process. It defines equity in terms of two basic principles. The first is equal opportunities: that a person’s chances in life should be determined by his or her talents and efforts, rather than by pre-determined circumstances such as race, gender, social or family background. The second principle is the avoidance of extreme deprivation in outcomes, particularly in health, education and consumption levels. This principle thus includes the objective of poverty reduction. The report’s main message is that, in the long run, the pursuit of equity and the pursuit of economic prosperity are complementary. In addition to detailed chapters exploring these and related issues, the Report contains selected data from the World Development Indicators 2005‹an appendix of economic and social data for over 200 countries. This Report offers practical insights for policymakers, executives, scholars, and all those with an interest in economic development.