This paper proposes a framework that examines three levels of access to infrastructure -- nominal, effective, and quality-adjusted access. Most conventional indicators measure nominal access --whether a household has physical access to a service in or near the house.
... See More + By contrast, effective access incorporates functionality and use of service, and quality-adjusted access raises the bar by incorporating quality metrics. The paper illustrates the analytical utility of this conceptual framework by deploying data from a survey of 14,200 households in 15 Kenyan cities in 2012-13. First, the analysis finds that these cities fall far short of delivering universal access to basic infrastructure. Second, for most services there a large gap -- 3 to 41 percentage points—between nominal and effective access. When the bar is raised to include quality of service, the drop-off in the proportion of those with access is even more dramatic. These findings suggest that conventional nominal measures overreport the level of service in urban communities, and that current approaches to infrastructure delivery might be enhancing availability of a service without ensuring that the service is usable -- that is, functional, reliable and affordable. Third, there is an infrastructure access gap between nonpoor and poor households, as well as formal and informal settlements. Fourth, hedonic regression analysis reveals that four services -- electricity, water, toilets, and garbage collection—are associated with higher rents. The analysis has broader implications for understanding and measuring service access. It raises important questions as global discussions turn to indicators for the Sustainable Development Goals.
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Policy Research Working Paper WPS8750 FEB 19, 2019
Gulyani,Sumila; Ryan Rizvi,Andrea C.; Talukdar,DebabrataDisclosed
This paper explores the investments needed to achieve universal access to electricity in Sub-Saharan Africa by 2030, and the additional operation and maintenance costs these investments entail.
... See More + It also explores the drivers of these costs, by exploring hundreds of scenarios that combine alternative assumptions on the level of service targeted, population growth, urbanization, industrial demand, and technology cost. The main driver of electrification costs is found to be the tier of service offered to newly connected households. The annual investment required to reach universal access varies between US$14.5 billion per year on average for the basic access scenarios (0.7 percent of the region's gross domestic product per year over the period) and US$22.7 billion on average for the high-quality scenarios (1 percent of gross domestic product). In the basic access scenario, costs depend mostly on industrial demand, which takes a large share of total demand. In the high-quality scenarios, costs depend on urbanization rates, as it is cheaper to connect urban households to the grid. Investment costs are not sufficient to provide reliable service, and when operations and maintenance are accounted for, total costs increase to US$39.7 billion on average for the basic scenarios and US$61.5 billion on average for the high-quality scenarios.
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Policy Research Working Paper WPS8747 FEB 19, 2019
Beyond the Gap: How Countries Can Afford the Infrastructure They Need while Protecting the Planet aims to shift the debate regarding investment needs away from a simple focus on spending more and toward a focus on spending better on the right objectives, using relevant metrics.
... See More + It does so by offering a careful and systematic approach to estimating the funding needs to close the service gaps in water and sanitation, transportation, electricity, irrigation, and flood protection. Exploring thousands of scenarios, this report finds that funding needs depend on the service goals and policy choices of low- and middle-income countries and could range anywhere from 2 percent to 8 percent of GDP per year by 2030. Beyond the Gap also identifies a policy mix that will enable countries to achieve key international goals—universal access to water, sanitation, and electricity; greater mobility; improved food security; better protection from floods; and eventual full decarbonization—while limiting spending on new infrastructure to 4.5 percent of GDP per year. Importantly, the exploration of thousands of scenarios shows that infrastructure investment paths compatible with full decarbonization in the second half of the century need not cost more than more-polluting alternatives. Investment needs remain at 2 percent to 8 percent of GDP even when only the decarbonized scenarios are examined. The actual amount depends on the quality and quantity of services targeted, the timing of investments, construction costs, and complementary policies. Finally, investing in infrastructure is not enough; maintaining it also matters. Improving services requires much more than capital expenditure. Ensuring a steady flow of resources for operations and maintenance is a necessary condition for success. Good maintenance also generates substantial savings by reducing the total life-cycle cost of transport and water and sanitation infrastructure by more than 50 percent.
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