IDEAS home Printed from https://ideas.repec.org/a/spr/waterr/v33y2019i3d10.1007_s11269-018-2154-7.html
   My bibliography  Save this article

Sustaining Reforms in Water Service Delivery: the Role of Service Quality, Salience, Trust and Financial Viability

Author

Listed:
  • Olivia Jensen

    (National University of Singapore)

  • Namrata Chindarkar

    (National University of Singapore)

Abstract

The long-term success of water service reforms depends on sufficient revenues being collected from users to allow access to be extended and quality of service to be maintained, given constraints on the availability of other sources of funding. Financial sustainability will be undermined if a large proportion of users do not pay their water bills. Using household survey data collected around a unique water supply intervention to provide universal piped connections with continuous supply in the city of Nagpur in India, this paper explores the determinants of household water bill payment. We consider the importance of global service improvements and service extension, coping behaviours, specific service quality measures, and behavioural factors affecting decisions, including salience, trust and social norms, as well as external constraints. We find that global service improvements and extensions are strongly associated with bill payment, alongside salience and trust in the utility. Our findings highlight the advantages of integrated, area-wise reform programmes in improving service and achieving financial sustainability.

Suggested Citation

  • Olivia Jensen & Namrata Chindarkar, 2019. "Sustaining Reforms in Water Service Delivery: the Role of Service Quality, Salience, Trust and Financial Viability," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 33(3), pages 975-992, February.
  • Handle: RePEc:spr:waterr:v:33:y:2019:i:3:d:10.1007_s11269-018-2154-7
    DOI: 10.1007/s11269-018-2154-7
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11269-018-2154-7
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s11269-018-2154-7?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Zak, Paul J & Knack, Stephen, 2001. "Trust and Growth," Economic Journal, Royal Economic Society, vol. 111(470), pages 295-321, April.
    2. Ernst Fehr & Klaus M. Schmidt, 1999. "A Theory of Fairness, Competition, and Cooperation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(3), pages 817-868.
    3. Brian Mantel, 2000. "Why do consumers pay bills electronically? an empirical analysis," Economic Perspectives, Federal Reserve Bank of Chicago, vol. 25(Q IV), pages 32-48.
    4. J. Luis Guasch & Jean-Jacques Laffont & Stéphane Straub, 2007. "Concessions of infrastructure in Latin America: Government-led renegotiation," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 22(7), pages 1267-1294.
    5. Herrera, Veronica, 2014. "Does Commercialization Undermine the Benefits of Decentralization for Local Services Provision? Evidence from Mexico’s Urban Water and Sanitation Sector," World Development, Elsevier, vol. 56(C), pages 16-31.
    6. Michael Kremer & Jessica Leino & Edward Miguel & Alix Peterson Zwane, 2011. "Spring Cleaning: Rural Water Impacts, Valuation, and Property Rights Institutions," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 126(1), pages 145-205.
    7. David Hensher & Nina Shore & Kenneth Train, 2005. "Households’ Willingness to Pay for Water Service Attributes," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 32(4), pages 509-531, December.
    8. Florencia Devoto & Esther Duflo & Pascaline Dupas & William Parienté & Vincent Pons, 2012. "Happiness on Tap: Piped Water Adoption in Urban Morocco," American Economic Journal: Economic Policy, American Economic Association, vol. 4(4), pages 68-99, November.
    9. Philippe Marin, 2009. "Public-Private Partnerships for Urban Water Utilities : A Review of Experiences in Developing Countries," World Bank Publications - Books, The World Bank Group, number 2703.
    10. Brown, Colin Andrew & Pena, João Luiz, 2016. "Water Meters and Monthly Bills Meet Rural Brazilian Communities: Sociological Perspectives on Technical Objects for Water Management," World Development, Elsevier, vol. 84(C), pages 149-161.
    11. Dale Whittington, 2002. "Improving the Performance of Contingent Valuation Studies in Developing Countries," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 22(1), pages 323-367, June.
    12. M. Genius & E. Hatzaki & E. Kouromichelaki & G. Kouvakis & S. Nikiforaki & K. Tsagarakis, 2008. "Evaluating Consumers’ Willingness to Pay for Improved Potable Water Quality and Quantity," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 22(12), pages 1825-1834, December.
    13. Davis, Jennifer, 2004. "Corruption in Public Service Delivery: Experience from South Asia's Water and Sanitation Sector," World Development, Elsevier, vol. 32(1), pages 53-71, January.
    14. Berg, Sanford V., 2013. "Best practices in regulating State-owned and municipal water utilities," Documentos de Proyectos 4079, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    15. Nava Ashraf & James Berry & Jesse M. Shapiro, 2010. "Can Higher Prices Stimulate Product Use? Evidence from a Field Experiment in Zambia," American Economic Review, American Economic Association, vol. 100(5), pages 2383-2413, December.
    16. Whittington, Dale & Briscoe, John & Mu, Xinming & Barron, William, 1990. "Estimating the Willingness to Pay for Water Services in Developing Countries: A Case Study of the Use of Contingent Valuation Surveys in Southern Haiti," Economic Development and Cultural Change, University of Chicago Press, vol. 38(2), pages 293-311, January.
    17. Inter American Development Bank, 1999. "Spilled Water: Institutional Commitment in the Provision of Water Services," IDB Publications (Books), Inter-American Development Bank, number 331, December.
    18. Herrera, Veronica & Post, Alison E., 2014. "Can Developing Countries Both Decentralize and Depoliticize Urban Water Services? Evaluating the Legacy of the 1990s Reform Wave," World Development, Elsevier, vol. 64(C), pages 621-641.
    19. Griffin, Charles C, et al, 1995. "Contingent Valuation and Actual Behavior: Predicting Connections to New Water Systems in the State of Kerala, India," The World Bank Economic Review, World Bank, vol. 9(3), pages 373-395, September.
    20. Alan Gilbert, 2007. "Water for All: How To Combine Public Management with Commercial Practice for the Benefit of the Poor?," Urban Studies, Urban Studies Journal Limited, vol. 44(8), pages 1559-1579, July.
    21. Shirley, Mary & Walsh, Patrick, 2000. "Public versus private ownership : the current state of the debate," Policy Research Working Paper Series 2420, The World Bank.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Nicholas, William & Vedachalam, Sridhar, 2021. "Poor accessibility of water utilities’ consumer confidence reports," Utilities Policy, Elsevier, vol. 72(C).
    2. Nahui Zhen & Jon Barnett & Michael Webber, 2020. "Is Trust Always a Precondition for Effective Water Resource Management?," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 34(4), pages 1423-1436, March.
    3. Tonke, Sebastian, 2024. "Providing procedural knowledge: A field experiment to encourage resource conservation in Namibia," Journal of Development Economics, Elsevier, vol. 166(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zhang, Fan & Fogarty, James, 2015. "Nonmarket Valuation of Water Sensitive Cities: Current Knowledge and Issues," Working Papers 207694, University of Western Australia, School of Agricultural and Resource Economics.
    2. Michael Kaplowitz & Frank Lupi & Oscar Arreola, 2012. "Local Markets for Payments for Environmental Services: Can Small Rural Communities Self-Finance Watershed Protection?," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 26(13), pages 3689-3704, October.
    3. Alexandra K. Shannon & Faraz Usmani & Subhrendu K. Pattanayak & Marc Jeuland, 2019. "The Price of Purity: Willingness to Pay for Air and Water Purification Technologies in Rajasthan, India," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 73(4), pages 1073-1100, August.
    4. Herrera, Veronica, 2019. "Reconciling global aspirations and local realities: Challenges facing the Sustainable Development Goals for water and sanitation," World Development, Elsevier, vol. 118(C), pages 106-117.
    5. Vanaja, Shiuli, 2021. "Are People Making Correct Choices? Drivers of Water Source Choices in Rural Jharkhand, India," 2021 Conference, August 17-31, 2021, Virtual 315156, International Association of Agricultural Economists.
    6. Yusuke Narita, 2018. "Toward an Ethical Experiment," Cowles Foundation Discussion Papers 2127, Cowles Foundation for Research in Economics, Yale University.
    7. Yusuke Narita, 2018. "Experiment-as-Market: Incorporating Welfare into Randomized Controlled Trials," Cowles Foundation Discussion Papers 2127r, Cowles Foundation for Research in Economics, Yale University, revised May 2019.
    8. Irina Klytchnikova & Michael Lokshin, 2009. "Measuring Welfare Gains from Better Quality Infrastructure," Journal of Infrastructure Development, India Development Foundation, vol. 1(2), pages 87-109, December.
    9. Mustapha Alhassan & Christopher R. Gustafson & Karina Schoengold, 2022. "Effects of information on smallholder irrigation farmers’ willingness to pay for groundwater protection," Agricultural Economics, International Association of Agricultural Economists, vol. 53(2), pages 191-203, March.
    10. Yasuharu Shimamura & Satoshi Shimizutani & Shimpei Taguchi & Hiroyuki Yamada, 2021. "Economic Valuation of Safe Water from New Boreholes in Rural Zambia: A Coping Cost Approach with Estimates of Internal Rate of Return," Keio-IES Discussion Paper Series 2021-009, Institute for Economics Studies, Keio University.
    11. Whittington, Dale & Jeuland, Marc & Barker, Kate & Yuen, Yvonne, 2012. "Setting Priorities, Targeting Subsidies among Water, Sanitation, and Preventive Health Interventions in Developing Countries," World Development, Elsevier, vol. 40(8), pages 1546-1568.
    12. Nava Ashraf & Edward Glaeser & Abraham Holland & Bryce Millett Steinberg, 2021. "Water, Health and Wealth: The Impact of Piped Water Outages on Disease Prevalence and Financial Transactions in Zambia," Economica, London School of Economics and Political Science, vol. 88(351), pages 755-781, July.
    13. Matthew Krupoff & Ahmed Mushfiq Mobarak & Alexander van Geen, 2020. "Evaluating Strategies to Reduce Arsenic Poisoning in South Asia: A View from the Social Sciences," Asian Development Review, MIT Press, vol. 37(2), pages 21-44, September.
    14. Alhassan, Mustapha & Gustafson, Christopher R. & Schoengold, Karina, 2017. "Effects of Information Framing on Smallholder Irrigation Farmers’ Willingness to Pay for Groundwater Protection: The Case of Vea Irrigation Scheme in Ghana," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258432, Agricultural and Applied Economics Association.
    15. B Kelsey Jack, "undated". "Market Inefficiencies and the Adoption of Agricultural Technologies in Developing Countries," CID Working Papers 50, Center for International Development at Harvard University.
    16. Hoffmann, Bridget, 2018. "Do non-monetary prices target the poor? Evidence from a field experiment in India," Journal of Development Economics, Elsevier, vol. 133(C), pages 15-32.
    17. Kevin Boyle & Sapna Kaul & Ali Hashemi & Xiaoshu Li, 2015. "Applicability of benefit transfers for evaluation of homeland security counterterrorism measures," Chapters, in: Carol Mansfield & V. K. Smith (ed.), Benefit–Cost Analyses for Security Policies, chapter 10, pages 225-253, Edward Elgar Publishing.
    18. Van Houtven, George L. & Pattanayak, Subhrendu K. & Usmani, Faraz & Yang, Jui-Chen, 2017. "What are Households Willing to Pay for Improved Water Access? Results from a Meta-Analysis," Ecological Economics, Elsevier, vol. 136(C), pages 126-135.
    19. Dinkelman, Taryn & Schulhofer-Wohl, Sam, 2015. "Migration, congestion externalities, and the evaluation of spatial investments," Journal of Development Economics, Elsevier, vol. 114(C), pages 189-202.
    20. Okeke, Edward N. & Adepiti, Clement A. & Ajenifuja, Kayode O., 2013. "What is the price of prevention? New evidence from a field experiment," Journal of Health Economics, Elsevier, vol. 32(1), pages 207-218.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:waterr:v:33:y:2019:i:3:d:10.1007_s11269-018-2154-7. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.