Kenny, CharlesSøreide, Tina2012-05-222012-05-222008-12https://hdl.handle.net/10986/6326This paper discusses mechanisms of grand corruption in private sector utility provision in developing countries. By the term "grand corruption," the authors abstract from the petty corruption that consumers experience - for example, when firms and individuals pay bribes to get water delivery or an electricity connection. The paper focuses on decisions made at the government level involving private sector management, ownership, and provision of utility services. Corruption at that level may influence the pace and nature of private sector involvement and competition in utilities, as well as the level and form of investments, subsidies, and prices. On the basis of a literature review and interviews with firms and regulating authorities in two countries, Tanzania and the Philippines, this paper discusses the levels and determinants of grand corruption in utilities. The paper concludes by discussing a research program to extend this knowledge through a cross-country survey instrument.CC BY 3.0 IGOABUSEACCESS TO CAPITALACCESS TO FINANCEACCESS TO INFORMATIONACCESSIBILITYACCOUNTABILITYANTI-CORRUPTIONASIAN DEVELOPMENT BANKASSETSASYMMETRIC INFORMATIONAUTHORITYAWARENESS OF CORRUPTIONBANKSBIASESBIDDINGBRIBEBRIBE PAYERSBRIBERYBRIBESBUREAUCRATIC STRUCTUREBUSINESS ENVIRONMENTCABINETCARTELSCITIZENCITIZENSHIPCIVIL SERVANTSCODESCODES OF CONDUCTCOLLUSIONCOMPETITION LAWCOMPETITIVE BIDDINGCONFIDENCECONFIDENTIALITYCONSENSUSCORPORATE GOVERNANCECORRUPTCORRUPT ACTCORRUPT ACTSCORRUPT OFFICIALSCORRUPTION PERCEPTIONCORRUPTION PERCEPTION INDICESCORRUPTION PERCEPTIONSCORRUPTION PERCEPTIONS INDEXCORRUPTION SURVEYSCOUNTRY CHARACTERISTICSCPICRIMECRISESCRITICAL REVIEWCRONYDATA QUALITYDECISION-MAKERSDECISION-MAKINGDECISION-MAKING PROCESSDECISION-MAKING PROCESSESDEMOCRACYDIRECT INVESTMENTDISCRETIONECONOMIC CHARACTERISTICSECONOMIC CRIMEECONOMIC DEVELOPMENTECONOMIC GROWTHECONOMIC PERFORMANCEECONOMIC POLICYECONOMIC SECURITYEMINENT DOMAINENTERPRISE SURVEYSETHICAL BEHAVIORETHICSEXPENDITURESFAIR TRADINGFIGHTING CORRUPTIONFINANCIAL COSTSFINANCIAL MANAGEMENTFINANCIAL SITUATIONFINESFISCAL COSTSFIXED COSTSFOREIGN DIRECT INVESTMENTFOREIGN INVESTMENTFOREIGN OWNERSHIPFRAUDGENDERGOVERNANCE CHALLENGESGOVERNANCE FAILURESGOVERNANCE INDICATORSGOVERNMENT INTERVENTIONGOVERNMENT LEVELGRAND CORRUPTIONGREATER ACCESSILLEGAL CORRUPTIONINCOMEINEQUALITYINFLUENCE PEDDLINGINSTITUTIONAL WEAKNESSESINTEGRITYINTERNATIONAL BANKINTERNATIONAL BUSINESS TRANSACTIONSINVESTMENT CLIMATEINVESTMENT DECISIONINVESTMENT DECISIONSJUDICIAL SYSTEMJUSTICELAWSLAWYERSLEADERSHIPLEGAL FORMSLEGAL FRAMEWORKLEGAL INSTITUTIONSLOBBYINGLOCAL GOVERNMENTSLOCAL POLITICIANSMEASURING CORRUPTIONMEASURING GOVERNANCEMEDIAMINISTERMINISTERSMONOPOLIESMONOPOLYMORAL VALUESMULTINATIONALNATURAL RESOURCESOPPOSITION PARTIESPARLIAMENTARY OVERSIGHTPATRONAGEPENALTIESPERSONAL GAINPETTY CORRUPTIONPOLICEPOLITICAL CORRUPTIONPOLITICAL ECONOMYPOLITICAL INFLUENCEPOLITICAL INSTITUTIONSPOLITICAL LEADERSHIPPOLITICAL PARTIESPOLITICAL PARTYPOLITICAL RISKPOLITICAL SENSITIVITYPOLITICAL UNCERTAINTYPOLITICIANSPOOR GOVERNANCEPOOR PERFORMANCEPRIME MINISTERPRIVATE INVESTMENTPRIVATE INVESTMENTSPRIVATE OWNERSHIPPRIVATE SECTOR INVESTMENTSPRIVATE SECTOR INVOLVEMENTPRIVATE SECTOR PARTICIPATIONPRIVATIZATIONPROCUREMENTPROFITABILITYPROPERTY RIGHTSPROSECUTORSPUBLIC INVESTMENTPUBLIC LAWPUBLIC OWNERSHIPPUBLIC POLICYPUBLIC PRIVATE PARTNERSHIPSPUBLIC PROCUREMENTPUBLIC SECTORPUBLIC SERVICEPUBLIC SERVICE DELIVERYPUBLIC UTILITIESRATES OF RETURNREGULATORY BODIESREGULATORY BODYREGULATORY INSTITUTIONSREGULATORY INTERVENTIONREGULATORY OVERSIGHTREPRESENTATIVESRISK OF CORRUPTIONSANCTIONSSECRECYSENIOR GOVERNMENT OFFICIALSSERVICE DELIVERYSOCIAL CHANGESOVEREIGNTYSTATISTICAL CONFIDENCETAX CONCESSIONSTHEFTTRANSACTION COSTSTRANSITION ECONOMIESTRANSPARENCYWORLDWIDE GOVERNANCE INDICATORSWorld Bank10.1596/1813-9450-4805