A Governance Approach to Urban Water Public–Private Partnerships: Case Studies and Lessons from Asia and the Pacific

By Asian Development Bank

This publication explores the challenge of providing universal access to water and sanitation in fast-growing cities in Asia and the Pacific. It highlights the potential of well-managed public–private partnerships (PPPs) to help meet this challenge and discusses lessons from seven water sector PPPs in the region. It explains how countries can strengthen water governance, foster enabling environments, and design tailored strategies to promote successful PPPs. The report emphasizes that governments can work with the private sector to enhance value for money and provide equitable urban water and sanitation access that will help improve lives.

• Language: English
• Publisher: Asian Development Bank
• Release date: Mar 1, 2022
• ISBN: 9789292694142

Book preview

A GOVERNANCE APPROACH TO URBAN WATER PUBLIC–PRIVATE PARTNERSHIPS

CASE STUDIES AND LESSONS FROM ASIA AND THE PACIFIC

MARCH 2022

Creative Commons Attribution 3.0 IGO license (CC BY 3.0 IGO)

© 2022 Asian Development Bank

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Some rights reserved. Published in 2022.

ISBN 978-92-9269-413-5 (print); 978-92-9269-414-2 (electronic); 978-92-9269-415-9 (ebook)

Publication Stock No. SPR220100

DOI: http://dx.doi.org/10.22617/SPR220100

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Cover design by Claudette Rodrigo.

Contents

Tables, Figures, and Boxes

Foreword

The Asian Water Development Outlook 2020: Advancing Water Security Across Asia and the Pacific reveals that 600 million people in the region’s urban areas do not have access to adequate water or sanitation. According to Strategy 2030 of the Asian Development Bank (ADB), Asia and the Pacific needs $53 billion per year in water investment through 2030.

The private sector will need to provide about one-third of this amount. The region has attained remarkable growth over the past 10 years. However, equitable access to clean water and wastewater treatment to improve public health is lacking. Good water sector governance is essential to mobilize public and private finance, especially during the coronavirus disease (COVID-19) pandemic.

This publication aims to support Operational Priority 6 of ADB’s Strategy 2030—to strengthen governance and institutional capacity—and the G20 Principles for Quality Infrastructure Investment (QII). It relates in particular to QII Principle 2, which seeks to increase the economic efficiency of infrastructure through robust project appraisal, including the assessment of life-cycle costs, fiscal sustainability, and affordability. It is also relevant to Principle 6, which focuses on governance of the project cycle from procurement to asset management. In addition, the publication reflects Sustainable Development Goal 6 on access to clean water and sanitation for all.

This report provides practical guidance and advice on the governance of public–private partnerships (PPPs) to support government decision-makers and private practitioners in the water and sanitation sectors. The report also provides a governance perspective based on the operational experience and knowledge of ADB in the water sector. It employs a broad definition of PPPs in the context of Asia and the Pacific’s diverse social and economic conditions.

Seven PPP case studies in Asia are presented—covering water distribution and wastewater treatment. These case studies show that ADB developing member countries require a public policy that is committed to achieving water security that is inclusive and accessible to all. They emphasize