PUBLIC-PRIVATE PARTNERSHIPS

Privatization is being considered as a way to increase competition and achieve more cost-effective infrastructure improvements in US public utilities. A broader term-public-private partnerships-includes full pr ivatization as well as other innovative ways through which water utili ties can increase their competitiveness. Among other techniques are co ntract services, turnkey facility construction, and developer financin g. Many of these techniques enable utilities to operate and treat more efficiently and to reap cost benefits. Drawbacks to private involveme nt may but do not necessarily include labor problems, lack of control by the utility, and lack of support from the community.