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Warner, M.E. 2011.  "Water Privatization Does Not Yield Cost Savings," in Reclaiming Public Water: Achievements, Struggles and Vision from Around the World, Transnational Institute and Corporate Europe Observatory. Released at the World Water Forum in Cape Town, South Africa for World Water Day, March 22, 2011.

This article describes a meta analysis of all published large scale studies of water privatization from around the world which shows privatization does not yield cost savings. It then shows how these results should have been predicted by a more careful reading of economic theory. The article then presents privatization experience of US local governments in water where public managers demonstrate a latent understanding of the theoretical limitations of privatization in services that lack competition, are hard to monitor and are natural monopolies.

This article is also available in Spanish



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Subject: Privatization