Institutional Options for the Provision of Infrastructure

摘要

The paper develops a comprehensive framework for identifying the criteria forchoosing among various institutional forms for infrastructure activities. The framework is based on the presumption that the objectives of the decision are to promote efficiency, fairness, and accountability in the supply of infrastructure services. The discussion starts from the premise that the competitive private market is the preferred mode of supply when the economic and technological characteristics of the activity permit it. The characteristics of various infrastructure activities are discussed to identify the scope for applying competitive markets, and the appropriate functions to be played by the government and private sector. The intention here is to make the rationale for choice as transparent as possible. However, this process of analysis does not lead to one unique institutional solution for any infrastructure activity in all contexts. A variety of institutional arrangements which involve different degrees of involvement by the public and private sectors are discussed with reference to specific examples in developed and developing countries.