Water Privatization in Chile
Water Supply and Sanitation in Chile, Eduardo Frei, Ricardo Lagos
Herausgegeben: Ethan, Sören J.
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The privatization of water in Chile was undertaken from 1998 to 2005 under the democratically elected governments of Eduardo Frei and Ricardo Lagos. Chile is the only country in Latin America that privatized its entire urban water supply and sanitation sector. It also carried out the most far-reaching reform in Latin America transferring ownership of assets to the private sector while in other Latin American countries, this involved the private sector governments' signing concession agreements while maintaining ownership of assets in public hands. The privatization was preceded by a decade of ...
The privatization of water in Chile was undertaken from 1998 to 2005 under the democratically elected governments of Eduardo Frei and Ricardo Lagos. Chile is the only country in Latin America that privatized its entire urban water supply and sanitation sector. It also carried out the most far-reaching reform in Latin America transferring ownership of assets to the private sector while in other Latin American countries, this involved the private sector governments' signing concession agreements while maintaining ownership of assets in public hands. The privatization was preceded by a decade of reforms, during which a robust regulatory framework was created, public utilities were strengthened, tariffs were increased, and a system of subsidies for needy households was introduced to help them cope with higher tariffs. These reforms may be a crucial element in explaining the relative success and stability of water privatization in Chile compared to other countries such as Argentina and Bolivia.
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