rural-urban dynamics_report.pdf - Khazar University

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144 URBANIZATION AND THE MDGS GLOBAL MONITORING REPORT 2013 FIGURE 3.3 Share of population with access to piped water by country and across city size 100 a. Brazil 100 b. Colombia 80 80 Percent 60 40 Percent 60 40 20 20 0 Largest City size Smallest 0 Largest City size Smallest 100 c. India 100 d. Uganda 80 80 Percent 60 40 Percent 60 40 20 20 0 Largest City size Smallest 0 Largest City size Smallest e. Vietnam 100 80 Percent 60 40 20 0 Largest Smallest City size Sources: Brazil: IBGE 2000; Colombia: DANE 2005; India: Ministry of Home Affairs 2001; Uganda: Uganda Bureau of Statistics 2010; Vietnam: Sources: Brazil: Brazilian Institute of Geography and Statistics (IBGE), for 2000; Colombia: National Administrative Department of Statistics (DANE) for 2005; General Statistics Office of Vietnam 2009. India: Ministry of Home Affairs for 2001; Uganda: Uganda Bureau of Statistics for 2010; Vietnam: General Statistics Office of Vietnam for 2009. through fees will determine the availability of financing (box 3.5). Recall Colombia’s success in providing nearly universal access to water, electricity, and sanitation in cities nationwide. A big part of Colombia’s success is that policy reforms allowed fees to nearly cover costs. For example, average residential water fees more
GLOBAL MONITORING REPORT 2013 URBANIZATION AND THE MDGS 145 BOX 3.5 Expanding access to services: A tale of two sectors FIGURE B3.4.1 in Africa Uganda Swaziland South Africa Nigeria Mozambique Mauretania Kenya Gambia Gabon Botswana Angola Source: Global Water Intelligence 2008. Water services versus mobile phones 0 20 40 60 80 100 % of penetration Mobile phones (Q3 2007) Utility water service For the most clear-cut demonstration of the role of prices and price formation processes, consider access to water versus access to phone services in Sub- Saharan Africa: just about everywhere in Sub-Saharan Africa, access to mobile phones is greater than access to modern water systems (figure B3.4.1). Official policy statements have been full of promises to enhance access to water for decades, yet similar statements have not been made regarding access to cell phones. Hence, official policy stance does not seem the key factor. Maybe de facto administrative capability is more important. Both water and phones need some level of regulation. Yet the regulation of modern phone systems is conceptually more challenging than the regulation of water systems. In all systems, regulation needs to set prices that cover costs. Costs and an allowed rate of return need to be calculated. So it is for water systems that typically have monopoly providers in any given area. The mobile phone sector has both competitive and noncompetitive segments that require regulation. Multiple players pose challenges to regulating interconnection; as a result, telecommunications regulation should be more demanding than water regulation. However, many African countries have been able to provide a regulatory environment that enables penetration of mobile phone usage, even in challenging environments like the Democratic Republic of Congo, whereas they have not been able to achieve the same for water. Hence “capacity” to regulate does not seem to be the deciding factor either. So what can explain the divergent patterns of access? A striking difference between the two sectors is the level of prices relative to cost. In the water sector, prices typically barely cover operating costs and tend to be about 30 percent of total cost. In the mobile telephone sector, prices tend to exceed cost. Unsurprisingly, both public and private system operators, who can charge and collect prices that exceed costs, have an incentive to expand systems and can do so. Providers who receive less than full cost have neither the incentive nor the financial ability to expand access. Source: Klein 2012. than doubled over 1990–2001 (World Bank 2004). With almost 90 percent of households having a metered connection, household consumption was nearly halved. And that, in turn, reduced the need to develop major new infrastructure. Even with fee increases, water remains fairly affordable in Colombia. The fee structure allows the government to cross-subsidize: richer households and industrial users pay for the poorest consumers. As a result, the average poor household spends less than 5 percent of its income on water. Ugandan policy makers have started thinking about the rules that need to be in place to expand access to basic services. Water reform in 1998 focused on creating the right incentives for more efficient service provision, attributing responsibility to local service managers and increasing their accountability. Since 2000, the national government
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Global Monitoring Report 2013 Rural
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© 2013 International Bank for Reco
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vi CONTENTS GLOBAL MONITORING REPOR
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viii CONTENTS GLOBAL MONITORING REP
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Foreword Global Monitoring Report (
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Acknowledgments This report has bee
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Abbreviations and Acronyms ADB Asia
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GMR 2013 Rural-Urban Dynamics and t
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4 OVERVIEW GLOBAL MONITORING REPORT
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10 OVERVIEW GLOBAL MONITORING REPOR
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Goals and Targets from the Millenni
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Progress toward the MDGs Only two y
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primary completion, and access to s
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FIGURE 1a Poverty rates (living on
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MDG 2 Achieve universal primary edu
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MDG 3 Promote gender equality and e
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MDG 4 Reduce child mortality In mos
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MDG 5 Reduce maternal mortality MDG
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MDG 6 Combat HIV/AIDS, malaria, and
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FIGURE 6e Children under age 5 who
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FIGURE 7b Access to sanitation by r
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Improving the measurement of develo
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1 Macroeconomic, Trade, and Aid Dev
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GLOBAL MONITORING REPORT 2013 MACRO
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2 Rural-Urban Disparities and Dynam
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GLOBAL MONITORING REPORT 2013 RURAL
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