water pricing for sustainability and the poor david zetland senior water economist wageningen...
TRANSCRIPT
Water pricing for sustainability and the poor
David ZetlandSenior water economistWageningen UniversityThe Netherlands
• Covers some or all O & M costs• Do not reflect externalities• Do not usually recover capital costs• Political pressure to keep prices low• Operator desire to minimize
spending
Traditional water pricing...
• Will reflect scarcity and system costs• People decide to use less or more• Rebate excess € per person or meter
Full cost pricing is sustainable
• Social tariffs are hard to target• Failure to provide service (LDCs)• Diversion from poor to rich
Full cost pricing is fair
• Prices that exceed cash costs • Regulation for local conditions• Social income transfers to the poor• Independent of other policies (nexus)One priority: Allow private/public
corporate water companies to serve customers without political interference
Suggestions
Blog: aguanomics.comBook: endofabundance.comData: WaterDataHub.orgContact: [email protected]
Thank you!
This research project has received funding from the European Community's Seventh Framework Programme (FP7/2007-2013) / grant agreement #265213 Project EPI-WATER “Evaluating Economic Policy Instrument for Sustainable Water Management in Europe”