Linking tariff structure changes to improved utility performance in Uganda

摘要

The tariff is a key instrument in determining the efficient allocation of resources and provision of services - and the design and implementation of an efficient, equitable, and sustainable tariff system is both a high priority and a considerable challenge for public and privately operated water utilities in developing countries. However, sustain-ability need not mean tariff increases. Interim improvements in performance can be achieved through the introduction of specific tariff changes that address the inherent weaknesses of the tariff structure. In Uganda's case, this was possible because the average tariff was adequate to cover what was considered (or benchmarked) to be an acceptable efficiency level.