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views or policies of the Asian Development Bank ADB), or its Board of Governors, or the governments they represent. ADB does not guarantee the accuracy of the data included in this paper and accepts no responsibility for any consequence of their use. The countries listed in this paper do not imply any view on ADB's part as to sovereignty or independent status or necessarily conform to ADB's terminology.

Basic Urban Services and Livelihoods for the Poor

The Logic Of Public Private Partnerships
Dr. Renu Khosla, Director

Key Words

Services Gender Partnerships:

community, civil society, government, private sector, NGOs

Livelihoods

The Context

Distressingly Unequal and Poor: The Ten Is

Informal Illegal

Insecure
Identity (Lack of) Investment (failure) Inequitable

Invisible

Inability Inflexible Infeasible

Unconnected to Water Pipes:

The Demand Supply Algorithm

Availability, Access, Acceptability, Affordability, Accountability Illegal and Informal no space, land or houses Service norms not equal policy and law mindsets technical Unwilling to pay for poor quality service Unreliable Unpredictable, Inadequate Unaffordable lump sum payments, tariffs, disconnection costs Political Economics Non-clientele-ism - accountability Unwilling to Charge Serving the Tanker Mafia

Why do more people have phones than toilets?

Cheaper Affordable Procedures simple Men want them!!!

Legal land proof Physical Infrastructure; hooked- hitched Construction Retrofitting to spaces/ structure Decentralized Solutions Capital constraints

the combination of a public need with private capability and resources to create a market opportunity through which the public need is met and a profit is made
Heilman and Johnston , 1992

The Politics of Economics of Privatisation

Why Public Private Sector Partnership

What Public Sector may lack

What Private Sector may have

all these plus ability to + include the poor + flexible & customize + innovate & decentralize + micro-home solutions + reach scale + be efficient + recover costs (for-profit) + reduce tariffs

capacity money tools willingness

(including to recover costs)

Break the Rules

Making Private Sector Work for the Poor
What Private Sector Can Do?

Eliminate exclusion Execute affirmative-equitable actions Last mile connections quality based, retrofit designs, synchronize on-off plot infrastructure connect the informal Simplify make pliable processes for connections and payments Cross-subsidise connection costs and tariffs to affordable levels with range of financing models Responsible O&M Not Plain Vanilla - Innovate and decentralize

Why Private Sector Needs to Partner with Able NGOs? Social mobilization Resource community participation process (and understand it!!) Localism: Listen to, not just talk down to people Community-women led planning & implementation Right the data What Public Sector Can do.. Regulate service standards Rewrite policy - laws Delink services from land tenure, BPL, legal status, etc. Ensure vulnerable are targeted & measure Mandate pro poor institutional arrangements Footprint citys development projects Plan for future slum growth Re-imagine development - shake up barriers

Affordability Measure {(I - E+D+S) NC} { 10% of I}

I income; E-Routine Expenditures, D-Debt, S- Savings, NC - New ongoing costs (NC)

The practice of community participation is a skilful art designed to make things happen; recognise the similarities, differences, inequalities among people and open up an opportunity for voice. The challenge is to capture the intelligence that we find on the streets of slums, enable structures to emerge, encourage innovations and liberate resources for development action. Nabeel Hamdi

Partnership .. Meaningful and Real.With Outliers

Community Participation is complex but critical to success

Influenced by contexts, experiences, type, quality of information
Initiation knowing needs & priorities gender differentiated Planning by community bottom up Design shared information Implementation contribution, role identification Maintenance community based management systems

Partnering with community doesnt happen naturally lack of trust, confusion, conflicts, delays and prescriptions the quiz and lecture methods

Genclusive Cities Including the Usually Excluded: Women

True Justice does not just talk, it listens
The Economist March 2nd

Private Partnership: Opportunities for Women

Participation and voice

in slum improvement and local governance through community-based organizations, ward level committees, women's neighbourhood groups ..
water supply meter readers, fee collectors, sanitation entrepreneurs, solid waste management cooperatives..

Employment

Empowerment and leadership in provision and O&M of services

women as agents of change

Reason Backwards
Not ask what 2+2 equals, but what could add up to 4! Not Ask Length of pipelines laid, but how many poor women have access to water or toilets at home Roads built, but how poor women get access to these roads if they do not have motorized vehicles Houses built but how poor women can own them and access formal credit The solution is in localism giving the silent majority control over resources

Improving Services: Partnerships with People

A Few Case Examples

Water to Agra Slums

Heritage Aquifers, Networks and Business Models

Vision In-house-legal connection and quality service Technical-custom built solutions and microfinance Innovations Connect uncharged piped networks to ground aquifers with storage and treatment systems, following business model Revive traditional water bodies and aquifers to make settlements water self-reliant. Community-based water management systems

Water kiosks with vending stations & home delivery Rainwater Harvesting and Ground Water Recharging Regularizing Extraction of Ground Water

Results

Affordable, accessible , acceptable , equitable water supply system Self-reliant communities - water availability

Decentralizing Sanitation

Vision

Innovations

Open defecation free slums Networked Home Toilets built incrementally with financing options In-slum sanitation infrastructure DEWATS Cluster septic tanks Pucca-covered-linked drains Door-to-door waste collection service with recycling, composting Access to toilets dignity Improved environment and health

Results

The Cultural Narrative

(M)Any Trapdoors

No Relaxing the Reins

Regulatory, Policy Environment - National and State Governments Authoritarian centralized set policy controlling generic universal What do we want? How do we know? Setting the Standards for Quality

Measure the tangibles and intangibles: incremental growth, quality parameters, flexibility, connection innovations, inclusive planning, gendering services, generating jobs set up performance-based contracts, exit clauses Legal restraints

Localisation, Facilitation, Monitoring, Incentives - Local Agencies Low capacity for community engagement-traditional - set ways of working Institutional multiplicity-overlaps-gaps, Ownership of bulk resources Procedures and sanctions, foreseen unforeseen

land toilet - water mafias

Decision making control (lack of ) influences servicing the untenable and unfeasible with out-of-box solutions Miscounting the Poor Insensitive finance-admin departments iterant flow of resources with impacts for both management and construction based contracts Create incentives to serve poor - provide subsidies, link to government programmes spend locally Monitoring standards reliability of services

Will the medicine kill the patient:

Reading the Tea Leaves

Private organizations are not social workers Profit versus Social Motive chasing deficit making targets has high financial risk bust the forecast Fortune at the Bottom - Low intent to serve the poor on both sides design flaws-poor quality outputs for the poor non-transfer of profits/ benefits to poor in reduced costs Exploit weak monitoring skills and procedures Off the hook - government, its social obligations

Will Governments Check Out?

social audits with teeth complaint redressal systems poor friendly technology based responsive Citizen report cards

Structural reforms are still fragile the project could become accident prone Higher risk in breaking contractual obligations than benefits from delivering a better result - un-rewardful work

The Logic of Public-Private-People Partnerships

Spatial-Economic-Social Justice - if well managed make good economic and social sense ability to resonate the deeply invisible and informal signature with the formal economy Democratize Local Actions and catalyse peoplecentred development with shared responsibility, trust, ownership, durability and resource efficacy. Shall need some re-imagination to make it work for the poor.