Sewerage works : public investments in sewers saves lives

This report focuses on the importance of sewerage systems. The benefits can be delivered by conventional sewerage systems or other systems such as condominial sewerage. The MDGs should include a specific target for urban sewerage. The private sector has failed to deliver any significant investments in sewerage in the south in the last 15 years. By contrast, some major developing countries are already achieving significant extensions of sewers in cities through public finance. Since public finance is the key mechanism, the issue is not increasing user charges but whether countries are raising sufficient taxation. The costs of meeting the MDGs in full, and extending urban sewerage connections, are affordable. The economic and public health benefits of investing in sewers far outweigh the costs, as demonstrated by recent cost-benefit analyses. Where the cost is above 1% of GDP, countries may need aid. This would require a redistribution of the present pattern of aid. Developing countries should continue to adopt policies of extending sewerage systems using public finance and concentrate on raising tax revenues to finance them. They should resist advice to raise user charges and introduce the private sector. Donors should concentrate on providing aid to those countries most in need of it, along with capacity building and training.