7 February 2017

New series of PSDI case studies examines private sector’s role in public service delivery

A new series of PSDI case studies profiles the range of private sector involvement in public service delivery in the Pacific.

Our first three Case Studies in Private Sector Participation look at private sector provision of three services: solid waste management, franchise shipping, and water supply services.

Each study outlines the forms of contracting used, the impact of private sector involvement, and opportunities for extracting better value for money in future.

Two case studies in Solid Waste Management examine the contracting of rubbish collection to the private sector in Papua New Guinea and possibility of outsourcing household waste collection in Fiji.

Franchise Shipping finds such services in PNG and Solomon Islands have improved people's ability to plan projects, open markets, confidently increase local production, and raise their standards of living, and that the contracting these services to private operators has been cost-effective.

Water Supply Services draws on a survey of public-private partnerships in eight countries, noting that water and wastewater services in most Pacific countries have been the responsibility of public sector departments or state-owned enterprises and that very few collect enough revenue to recover their costs and provide a commercial return.