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Privatization in Rural Water Supply and Customer Satisfaction: An Empirical Case Study in Vietnam

Author

Listed:
  • Nguyen Tuan Anh

    (Institute for Water Resources Economics and Management, Vietnam Academy for Water Resources, Dong Da District, Hanoi 11515, Vietnam)

  • Nguyen Huu Dung

    (Faculty of Real Estate and Natural Resources Economics, National Economics University, Hai Ba Trung District, Hanoi 11616, Vietnam)

  • Dao Thi Thu

    (Institute for Water Resources Economics and Management, Vietnam Academy for Water Resources, Dong Da District, Hanoi 11515, Vietnam)

Abstract

This article investigates the private sector participation in investment, management, and operation in rural water supply schemes in Vietnam. Different organizations manage rural water supply facilities, including the private sector, public sector, and others. This paper aims to compare the different characteristics affecting user satisfaction of water supply facilities managed by the private sector and the remaining sectors. An ordered logit model was utilized for calculation with the data collected from semi-structure questionnaires with 1200 households using water from rural water supply systems managed by different sectors in Vietnam. The results indicate that the water-user satisfaction with rural water supply projects managed by the private sector is higher than that in other sectors (community, cooperative, commune people’s committee), whereas there is no significant difference in customer satisfaction between systems managed by the public sector and the private sector (enterprise, private management). The water availability and quality of schemes greatly influence the customer satisfaction. Findings from this study provide considerable information for the private sector on how to improve the management and operation of water supply systems efficiently through customer satisfaction assessment.

Suggested Citation

  • Nguyen Tuan Anh & Nguyen Huu Dung & Dao Thi Thu, 2022. "Privatization in Rural Water Supply and Customer Satisfaction: An Empirical Case Study in Vietnam," Sustainability, MDPI, vol. 14(9), pages 1-15, May.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:9:p:5537-:d:808770
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    References listed on IDEAS

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    1. Katharina Gassner & Alexander Popov & Nataliya Pushak, 2009. "Does Private Sector Participation Improve Performance in Electricity and Water Distribution?," World Bank Publications - Books, The World Bank Group, number 6605.
    2. Clive Harris, 2003. "Private Participation in Infrastructure in Developing Countries : Trends, Impacts, and Policy Lessons," World Bank Publications - Books, The World Bank Group, number 15124.
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    2. Truong Duc Toan & Dang Ngoc Hanh & Dao Thi Thu, 2023. "Management Models and the Sustainability of Rural Water Supply Systems: An Analytical Investigation in Ha Nam Province, Vietnam," Sustainability, MDPI, vol. 15(12), pages 1-22, June.
    3. Husnain Haider & Majed Alinizzi & Md. Shafiquzzaman & Saleem S. AlSaleem & Mohammad Alresheedi & Rehan Sadiq, 2022. "Customer-Driven Water Supply Systems: Synergizing System Reliability and Customer Satisfaction with Bowtie Analysis," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 36(10), pages 3481-3503, August.

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