An investigation of the franchising option for water services operation in South Africa

Abstract

There is a need in South Africa for institutional innovations aimed at increasing the coverage of water services, and sustaining those services. The paper describes an investigation of an alternative service delivery institutional concept, viz. the franchising of the operation of water services, and outlines the need to formulate a franchise model that could be developed and made available to emerging entrepreneurs as the basis of a viable business. The franchising would be in respect of components of the water services value chain that are suitable for small businesses in that they can be readily systematized.