Privatization of sanitation and desalination projects in Palestine.

Abstract

The present problems that are related to water and sanitation in Palestine are many and varied, and the disparity between water supply and demand is growing with time due to the rapid population growth and aridity. Desalination has the potential to supply unlimited quantities of high quality freshwater to Palestinian Communities. On the other hand, the situation of the sewerage system in the cities is extremely critical, and there are no sewerage systems in the rural areas. There is an urgent need for substantial improvements and extensions to the sewerage systems and treatment plants. The available funds for the Palestinian Water Authority (PWA) and other municipalities to implement wastewater and desalination projects are limited. As a result, it is important to fully explore the use of public-private partnerships that utilize sector resources to finance such projects. The objective of this study is to understand incentives for privatization of water supply and sanitation services, with more emphasis on the households’ Affordability and Willingness-to-Pay (AWTP) for improved water and sanitation services. The results show that people in Palestine bear the burden of high water supply and sanitation costs. Privatization of the water and sanitation sector will guarantee sustainable development of these sectors under limited financial resources and dependency on external funds.