Private Sector Participation in the Provision of Quality Drinking Water in Urban Areas of Ghana: What Do Households Want and Can Afford?

Abstract

This study conducts a survey among households in three cities in Ghana on how water delivery should be managed. The contingent valuation method was used to estimate the willingness to pay for improved water delivery under private sector participation. Results indicate that most households will remain connected to their current water supplies if private sector is engaged to improve water delivery at higher monthly water bills. Given that the mean household monthly water bill of GH¢10.82, the results indicate that there is demand for water quality improvement, and private sector engagement is likely to provide these services. However, this policy measure marginalises the poor in terms of access to water. Therefore, private sector participation in water delivery may require a complementary programme to promote access to water.