Prevalence of Public-private Partnerships
There are widely differing estimates of the number of people served by private water companies. The World Bank estimated that, as of 2007, about 270 million people received water from private companies in more than 40 countries, including about 160 million in developed countries and 110 million in developing countries. The report did not include estimates of the number of people served by private companies on the wastewater side. The Pinsent Masons Water Yearbook uses a broader definition including also wastewater services. More importantly, it also includes cases where a water or wastewater treatment plant is operated by a private company on behalf of a publicly owned and operated utility that serves the final customer. On the basis of this broader definition and taking into account the growth of both population and water privatization between 2007 and 2011, it estimates that 909 million in 62 countries or 13% of the world population were served by the private sector in one form or another. This includes 309 million people in China, 61 million in the United States, 60 million in Brazil, 46 million in France, 23 million in Spain, 15 million in India and 14 million in Russia. In England and Wales the entire population of 55 million is served by private companies. In addition, in Chile, the Czech Republic, Armenia and four African countries – Côte d'Ivoire, Ghana, Gabon and Senegal – private companies provide water services to the entire urban population. In Hungary they serve almost half the population. In Algeria, Colombia, Germany, Italy, Malaysia, Mexico, Morocco, Poland and South Africa less than half the population is served by private companies. In the Philippines, Indonesia, Bulgaria, Estonia and Cuba private water companies serve only the capital city. 24 countries, such as Argentina, Bolivia and a number of small countries like Guyana or the Central African Republic, had reverted to public management as of 2009. However, 84 percent of contracts awarded mostly in the 1990s were still active.
List of countries with formal private sector participation in urban water supply with number and type of contracts
Country | Cities | Type and number of contracts | Start date |
---|---|---|---|
France | 9,000 | Concessions and leases | 1853 |
England | Entire country | Full privatization (26) | 1989 |
United States | 73 million people, including through PPPs 14% of water revenues without PPPs |
Investor-owned and 2,000 PPPs | 1772 in Providence |
Côte d'Ivoire | All urban areas | Lease (1) | 1960 in Abidjan 1973 country-wide |
Gabon | All urban areas | Concession (1) | 1997 |
Mozambique | Maputo and other cities | Lease (1) and management contract (1) | 1999 |
Senegal | All urban areas | Lease (1) | 1996 |
South Africa | Mbombela and Dolphin Coast | Concessions (2) | 1992 |
Malaysia | Selangor and Penang | Concession (1) and full privatization (1) | 1992 |
Indonesia | Jakarta | Concessions (2) | 1998 |
Philippines | Manila | Concessions (2) | 1996 |
Armenia | Yerevan and others | Lease (1) and management contracts (2) | 2000 |
Brazil | 65 cities in 10 states | Concessions | 1995 |
Chile | All urban areas | Full privatizations and concession (1) | 1998 |
Colombia | Barranquilla, Cartagena, Colombia and more than 40 other cities and towns | Mixed-ownership companies and concessions | 1996 |
Ecuador | Guayaquil | Concession (1) | 2001 |
Morocco | Casablanca, Rabat, Tangiers and Tetouan | Concessions (3) | 1997 |
Honduras | San Pedro Sula | Concession (1) | 2000 |
Ghana | All urban areas | Management contract (1) | 2000 |
Saudi Arabia | Riyadh, Jeddah, Mecca and Taif | Management contracts (3) | 2008 |
Algeria | Algiers, Constantine and Oran | Management contracts (3) | 2005 |
Cuba | Havana | Concession (1) | 2000 |
China | Shenzhen, Fuzhou, Lanzhou, Wuhu City and 23 others | Concessions (22), full privatizations (3) and management contracts (2) | 2001 |
Spain | Barcelona and more than 1,000 other municipalities | Mixed-ownership companies and concessions | 1867 |
Romania | Bucharest, Timisoara, Ploesti and Otopeni | Concessions (3) and Lease (1) | 2000 |
Bulgaria | Sofia | Concession (1) | 2000 |
Poland | Gdansk, Bielsko-Biala, Tarnowskie Gory & Miasteczko Slaskie, Dabrowa Gornicza, Glogow, Woźniki, Drobin and Toszek | Full privatizations (4), concession (1), leases (2) and management contract (1) | 1992 |
Estonia | Tallinn | Concession (1) | 2001 |
Czech Republic | Prague and 23 other cities | Concessions (24) | 1993 (reform) and 2001 (Prague) |
Hungary | Budapest, Szeged, Debrecen and five other cities and towns | Concessions (8) | 1994 |
Germany | Berlin | Mixed-ownership company (1) | 1999 |
Mexico | Cancun, Saltillo and Aguascalientes | Mixed-ownership company (1) and concessions (2) | 1993 |
A World Bank report lists the following examples of successful public-private partnerships in developing countries: the full privatization in Chile; the mixed companies in Colombia; the concessions in Guayaquil in Ecuador, Brazil, Argentina, Eastern Manila in the Philippines, Morocco and Gabun; and the lease contracts in Côte d'Ivoire, Senegal and Yerevan in Armenia.
In many countries, such as in Japan, Canada, Egypt, Pakistan or Scandinavia, there are no private water companies. Nicaragua, the Netherlands and Uruguay have even passed laws banning water privatization. In Italy, in June 2011 a law favoring water privatization was repealed by an overwhelming majority of Italians through a referendum.
Read more about this topic: Water Privatization, Prevalence
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