Public-private partnerships in small town piped water supply: the effectiveness and profitability of Ugandan private water operators

Abstract

In this paper the Public-Private Partnership in the Ugandan small town water sector was studied. In this partnership private water operators are contracted by local governments to operate and maintain water systems in small towns. In such a partnership the potential is there to create public as well as private benefits; respectively profit for the private operator and safe water supply for the Ugandan population. It has been reported by private operators that they have a hard time reaching these private benefits. The question this paper wishes to answer is then: Under what circumstances could private operators in Ugandan small towns run an effective and profitable business in providing safe water delivery services? This paper argues it is the dynamic between the public and private actors that is distorting the proper functioning of the PPP in the Ugandan small town water supply sector and thus making it hard to achieve private and thus public benefits. Only when the government would treat the private operator as a development partner instead of a contracted entity, will the PPP function as intended. This research contributes empirical evidence to the wider debate on how Public-Private Partnership in developing countries can contribute to providing the world population with safe water.