Decision making under information constraints

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The purposes of placing sensors in water distribution systems vary from complying with water quality regulations, monitoring accidental contamination events, and detecting intentional contamination events.

Experiments, Policy Design

The economic benefits of potable water supply projects to households in developing countries

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EfD Authors:

In this report the authors argue that there is a need for both improved procedures and better preactice in th eestimation of the economic benefits of water supply projects.

The authors discuss the concept of "economic benefits" in the water supply sector, and then present several approaches that can be used the estimate the economic benefits to households of portable water supply improvements.

Policy Design

“An Analysis of Water Users’ Preferences for a Community Based Management Regime to Manage Groundwater Use: an Application of Choice Experiment to the Merguellil River Basin”

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EfD Authors:

One of the most pressing problems faced by the Tunisian farmers and authorities is the inexorable decline of the water table over the past twenty years due to the over-exploitation of the groundwater. This study is an attempt to find how this issue can be resolved through collective action.

Policy Design

Competition policy and privatisation in the South African water industry

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The aim of this working paper is to investigate the optimal regulatory routes from a competition and public interest point of view for the South African water industry.

Policy Design

Colombia's discharge fee program: Incentives for polluters or regulators?

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EfD Authors:

Colombia's discharge fee system for water effluents is often held up as a model of a well-functioning, economic incentive pollution control program in a developing country. Yet few objective evaluations of the program have appeared.

Water

A net back valuation of irrigation water in the Hardap region in Namibia

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Namibia is currently in the process of phasing out water subsidies in its government-sponsored irrigation schemes. However, the financial effects on the affected farmers are frequently unclear, and so are the economic effects on society as a whole.

The net back method provides a framework for estimating rough values of irrigation water in situations such as those in Namibian agriculture, where farmers face a number of constraints which are difficult to model explicitly due to the dearth of reliable data.

Agriculture

Understanding the Basics

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EfD Authors:

Reform of the water and sanitation sector is occuring in many countries, and offers the potential to improve services to all. Of particular concern, however, is the sitation of the poor, and reform must be designed so that they recieve increased access to affordable services.

A key issue in this regard is water pricing, which is one of the main variables affecting the distribution of benefits between different stakeholders.

Fisheries

Water tariff design in developing countries: Disadvantages of increasing block tariffs and advantages of uniform price with rebate designs

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Increasing block tariffs (IBTs), widely used in the developing world, are claimed to produce desirable income transfers, discourage wasteful use, promote economic efficiency, and assure access to sufficient water for basic sanitation. In fact, these claims are either excessive or incorrect. In practice, IBTs are likely to promote inefficiency, inequity, unfairness, net revenue instability, and other negative consequences. An alternative tariff design, a uniform price with rebate (UPR), is presented.

Policy Design

Possible Adverse Effects of Increasing Block Water Tariffs in Developing Countries

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EfD Authors:

The use of increasing block water tariffs is widespread throughout developing countries. An increasing block tariff (IBT) is a price structure in which a commodity is priced at a low initial rate up to a specified volume of use (block), then at a higher or several increasingly higher rates for additional block used.

The ordinary household municipal water bill in developing countries is often calculated on some sort of IBT structure, and donor organizations and consultants continue to recomend this practice for town and city water systems.

Policy Design