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Water Financing and Pricing Mechanisms
Well‐functioning water infrastructure is essential for sustained economic growth and maintaining public health against the demands of a growing population, consumer behaviour, and environmental change. Water infrastructure finance includes capital investment costs as well as the delivery of services to customers and citizens. This chapter focuses on the financing and pricing mechanisms in the context of different models for water governance and economic regulation. Governments can address the issue of control and governance of natural monopolies either by contract management or by establishing economic regulation. There are several models of economic regulation, including: rate of return regulation, and incentive‐based regulation. The chapter provides new insights about how changes to the regulatory governance framework and, in particular, industry behaviours could unlock new financing and pricing mechanisms. The regulatory governance framework defines the environment within which the regulated company operates.
Water Financing and Pricing Mechanisms
Well‐functioning water infrastructure is essential for sustained economic growth and maintaining public health against the demands of a growing population, consumer behaviour, and environmental change. Water infrastructure finance includes capital investment costs as well as the delivery of services to customers and citizens. This chapter focuses on the financing and pricing mechanisms in the context of different models for water governance and economic regulation. Governments can address the issue of control and governance of natural monopolies either by contract management or by establishing economic regulation. There are several models of economic regulation, including: rate of return regulation, and incentive‐based regulation. The chapter provides new insights about how changes to the regulatory governance framework and, in particular, industry behaviours could unlock new financing and pricing mechanisms. The regulatory governance framework defines the environment within which the regulated company operates.
Water Financing and Pricing Mechanisms
Ferrier, Robert (editor) / Jenkins, Alan (editor) / Sutherland, Alan D. A. (author) / McNaughton, Colin (author)
2021-08-30
20 pages
Article/Chapter (Book)
Electronic Resource
English
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