The pricing of water services in developing countries

Mohan Munasinghe

Natural Resources Forum, 1990, vol. 14, issue 3, 193-209

Abstract: This paper focuses on improving efficiency in the water and sewerage sectors through long‐run marginal cost pricing, adjusted for financial needs, externalities, second best considerations, lifeline tariffs and cross subsidization within an integrated water resource planning (IWRP) framework. Supply efficiency suggests that for a given price structure, an optimal long‐run investment plan and a corresponding level of supply quality should be determined which maximizes net social benefits. Supply efficiency also requires efficient operation of the water system, including optimization of losses.

Date: 1990
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https://doi.org/10.1111/j.1477-8947.1990.tb00518.x

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Persistent link: https://EconPapers.repec.org/RePEc:wly:natres:v:14:y:1990:i:3:p:193-209

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