Water and sanitation tariffs for the poor : guidance notes

This book is about the design of pro-poor water and sanitation tariffs, a key issue in provision of services to the poor. The study concentrates on water rather than sewerage. It focuses on tariffs with special attention to poor communities. In many developing countries, poor people are not connected to the official distribution system but pay often a higher price than those who are connected. The review of existing tariff structure in several developing countries shows a clear link between highly subsidized water consumption and poor maintenance, and the absence of capacity to expand infrastructure to cope with urban growth. The study examines the different types of principal tariff structures that are available and discusses their impact on the poor. The paper also explores first time connection charges that can be a significant barrier to those without services. The guidance notes are based on a collection of case studies undertaken in Africa, Asia and Latin America.