Infrastructure Regulation

Abstract

The increased cooperation of the private and the public sector in the provision of infrastructure is often referred to as Private Participation in Infrastructure (PPI). PPI carries the potential to create multiple development benefits as it enhances the transfer of management skills, technical know-how and capital as well as it improves the provision of services to the poor and increases the operational efficiency of utilities. In this series of discussion papers on Private Sector Participation in Infrastructure we intend to publish contributions that deal with PPI in the water, energy and transport sector. We would thereby like to establish a forum for discussion that enhances the exchange of points of view and experiences regarding the practical implementation of PPI projects in development cooperation. The discussion papers present the personal opinion of the authors and do not necessarily reflect the position of the institutions they represent. GTZ is implementing a number of regulatory projects worldwide-mainly in the water sector. Given the increasing interest in infrastructure regulation and the need for information on the subject, the objective of this manual is to give a brief overview of the fundamental concepts of regulation. It is written at a high level to serve as an introductory reading to practitioners and other interested parties with less experience in the subject.