Concessionary Financing Programs for the Water and Sanitation Sector in China

China's water and sanitation sector faces challenges from rapid urbanization and industrialization, urban diversification, large investment needs, water scarcity, water pollution, and ecological degradation. This policy note addresses 'concessionary finance.' It is intended to provide a briefing for Chinese government officials who formulate policies for the water and sanitation sector. This note is not intended to provide recommendations on which policies to adopt, but rather to facilitate understanding of the policy options, how to choose among them, and where and how various options have been used in practice. Good water and sanitation services are essential for economic growth, public health, and environmental protection. However, these services can be difficult to finance. When utilities do not have sufficient capital, they under-invest and this will adversely affect the quality of services the utilities provide. Many governments run targeted concessionary financing programs as a method of helping utilities raise the needed capital. International experience has shown that well designed concessionary financing programs can additionally be employed as incentives to successfully improve utility efficiency, sector governance, or both. This policy note draws on successful case studies from concessionary finance programs in other countries.

Bibliographic Details

Main Author:	World Bank
Language:	English en_US
Published:	Washington, DC 2009-12
Subjects:	ABSENCE OF COORDINATION, ACCESS TO CONCESSIONARY FINANCE, ACCESS TO SERVICES, ACCESS TO WATER, ADEQUATE WATER, BOD, BOT, BRANCHES, BUILD OPERATE TRANSFER, CAPITAL COSTS, CAPITAL INVESTMENT, CAPITAL INVESTMENTS, CATCHMENT AREA, CENTRAL GOVERNMENT, CLEAN WATER, COLLECTION OF WASTEWATER, COLLECTION SYSTEMS, COMPETITIVE BIDDING, COMPLIANCE MONITORING, CONCESSION CONTRACTS, CONCESSIONARY LOAN, CONNECTION, CONSTRUCTION, CONSTRUCTION OF INFRASTRUCTURE, COST OF CAPITAL, COST RECOVERY, COST RECOVERY POLICIES, CREDITWORTHINESS, CROSS-SUBSIDIES, DECISION MAKERS, DISTRIBUTION NETWORKS, DISTRIBUTION PIPES, DIVERSIFICATION, DOMESTIC FINANCING, DRAINAGE PROBLEMS, DRINKING WATER, EFFLUENT QUALITY, ENTREPRENEURS, ENVIRONMENTAL IMPACT, ENVIRONMENTAL IMPACT ASSESSMENT, ENVIRONMENTAL MANAGEMENT, ENVIRONMENTAL PROTECTION, ENVIRONMENTAL PROTECTION PROJECTS, EXCESS WATER, EXPANSION, FINANCIAL INSTITUTIONS, FINANCING INSTRUMENTS, FIRMS, GROUNDWATER, INDEPENDENT REGULATOR, INDUSTRIAL CONSUMERS, INFILTRATION, INFRASTRUCTURE DEVELOPMENT, INVESTMENT COSTS, INVESTMENT IN INFRASTRUCTURE, INVESTMENT IN WATER SUPPLY, INVESTMENT PROGRAM, INVESTMENT REQUIREMENTS, INVESTMENT SUBSIDIES, JOINT VENTURES, LAND USE, LARGER UTILITIES, LEAKAGE, LEAKAGE RATE, LEAKY DISTRIBUTION, LONG-TERM CONCESSION, LOW WATER, LOW WATER PRESSURE, MAINTENANCE COSTS, MANAGEMENT OF WATER, METROPOLITAN AREAS, MUNICIPAL GOVERNMENT, MUNICIPAL GOVERNMENTS, MUNICIPAL UTILITIES, MUNICIPAL UTILITY, MUNICIPAL WATER, MUNICIPAL WATER UTILITIES, MUNICIPALITIES, NATIONAL WATER, OPERATION OF WATER SYSTEMS, OPERATIONAL PERFORMANCE, OPERATOR CONTRACT, OPERATOR PERFORMANCE, PIPE NETWORKS, PIPELINE, POLLUTION CONTROL, POOR WATER SUPPLY, PRIVATE COMPANIES, PRIVATE FIRM, PRIVATE SECTOR PARTICIPATION, PROVINCIAL AGENCIES, PROVINCIAL GOVERNMENT, PROVINCIAL GOVERNMENTS, PUBLIC HEALTH, PUBLIC INFRASTRUCTURE, PUBLIC SECTOR FUNDS, PUBLIC UTILITIES, PUBLIC WATER, QUALITY OF WATER, QUALITY OF WATER SUPPLY, QUALITY STANDARDS, QUALITY WATER, QUANTITY OF WATER, RAPID URBANIZATION, REGIONAL DEVELOPMENT, REGIONAL GOVERNMENT, REGULATORY FRAMEWORK, REGULATORY REGIME, RESERVOIRS, RIVER BASIN, RIVER BASIN COMMITTEE, RIVER BASINS, RIVERS, RURAL TOWNS, RURAL WATER, SAFE DRINKING WATER, SANITARY FACILITIES, SANITATION, SANITATION INFRASTRUCTURE, SANITATION SECTOR, SANITATION SERVICES, SERVICE PROVIDERS, SERVICE PROVISION, SERVICE QUALITY, SERVICE STANDARDS, SEWAGE TREATMENT, SEWAGE TREATMENT FACILITIES, SEWAGE TREATMENT PLANT, SEWAGE TREATMENT PLANTS, SEWER NETWORKS, SEWERAGE, SEWERAGE SYSTEMS, SMALL COMMUNITIES, SMALL MUNICIPALITIES, SMALL MUNICIPALITY, SMALL-SCALE SERVICE PROVIDERS, SOLID WASTE, STORMWATER, TARIFF LEVELS, TARIFF REVENUE, TARIFF STRUCTURE, TECHNICAL ASSISTANCE, TOWN, TOWNS, URBAN AREA, URBAN AREAS, URBAN INFRASTRUCTURE, URBAN UTILITIES, URBAN WATER, URBAN WATER SECTOR, URBAN WATER SERVICES, URBAN WATER SUPPLY, URBAN WATER UTILITIES, USERS, UTILITIES, UTILITY EFFICIENCY, UTILITY GOVERNANCE, UTILITY OPERATORS, UTILITY PERFORMANCE, WASTE WATER, WASTEWATER, WASTEWATER COLLECTION, WASTEWATER INFRASTRUCTURE, WASTEWATER SECTOR, WASTEWATER TARIFFS, WASTEWATER TREATMENT, WASTEWATER TREATMENT CAPACITY, WASTEWATER TREATMENT PLANTS, WASTEWATER UTILITIES, WATER AGENCY, WATER BODIES, WATER CONSUMPTION, WATER ENGINEERING, WATER INFRASTRUCTURE, WATER LOSSES, WATER POLICY, WATER POLLUTION, WATER PROTECTION, WATER PROVIDERS, WATER QUALITY, WATER RESOURCE, WATER RESOURCE MANAGEMENT, WATER RESOURCES, WATER SAVING, WATER SCARCITY, WATER SERVICE, WATER SERVICES, WATER SHORTAGES, WATER SUPPLY, WATER SUPPLY TARIFF, WATER SUPPLY UTILITIES, WATER SYSTEM, WATER SYSTEMS, WATER TREATMENT FACILITIES, WATER TREATMENT FACILITY, WATER TREATMENT PLANT, WATER UTILITY, WATER WORKS,
Online Access:	http://documents.worldbank.org/curated/en/2009/12/12633745/china-concessionary-financing-programs-water-sanitation-sector-policy-note https://hdl.handle.net/10986/19474
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