A new article by Mike Woolston of Frontier (Australia), published in the February 2015 edition of the Australian Water Association’s Water Journal, looks at the issue of funding water infrastructure.
Noting that privatisation of assets is more common in other sectors, the article asks whether private finance should play a bigger role in financing water infrastructure in Australia. While there is not a demonstrable gap in infrastructure funding, what is apparent is a level of inefficiency in water infrastructure investments, often reflecting political priorities of governments. How could greater private sector involvement help? The article follows up with possible options for private financing and identifies the prerequisite for this to occur.
Frontier (Australia) regularly advises on water sector economics in the region.
For more information, please contact m.okeefe@frontier-economics.com.au.au.au, or phone +61 3 9620 4488.