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Cost-Benefit Analysis as a Tool to Evaluate the Distributional Impacts of Water Sector Reform


Presentation (149Kb)
Paper (183Kb)
Monday, March 16, 2004
12:30 - 2:00 PM
Speaker: Caroline Van den Berg

Cost-benefit analysis can be used to determine the distributional impacts of sector reform through a stakeholder analysis. In Argentina, water sector reform resulted in the concessioning of water and snaitation utilities. These concessions can boost service coverage and quality and improve the efficiency of utility operations. But who wins and who loses when a concession is put in place depends on how the contract is designed and regulated and the particular environment in which the concession is working. Modelling the distribution of benefits before a contract is designed can help to avoid problems with a skewed distribution and avoid that transactions go sour.

The presentation in the highlight box dicusses how cost-benefit analysis can be useful in gaining insight in the distribution of benefits amongst stakeholders. The paper covers the same subject and applies the analysis to Argentina's water utility reform. Please refer to these materials for more information.

(Use the free  Adobe Acrobat Reader to view the PDF files).

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