Public-private partnership strategy for water service delivery, for sustainable urban development; a case of Kayole, Soweto In Kenya

Abstract

The role played by Public-Private Partnerships (PPPs) in infrastructure and service provision globally continues to take root. This is demonstrated by the numerous projects that have been initiated through Public-Private Partnerships in both developed and developing states. PPPs make a vital contribution towards narrowing the gap in infrastructure and service provision through effective management, funding, resource allocation and expertise. Despite this, developing countries such as Kenya are yet to bridge the gap in service delivery, especially water service delivery for its urban areas, which are characterized by high population growth and limited resources compared to the rural areas. The study aimed to examine PPPs as a strategy in water service delivery for urban areas in Kenya. The study employed the agency theory, public choice theory and game theory. The study focused on Kayole Soweto area and Maji Mashinani as its case study design. The study population was 135 households in the Kayole-Soweto area. The study also targeted 4 experts in the Maji Mashinani PPP project as well as PPP project consultant. Simple random sampling was used to select 100 household heads in Soweto Kayole area. Purposive sampling of all the 4 at Maji Mashinani PPP was conducted. The study applied a survey sampling method and used questionnaires and interview guides as an instrument of data collection. The questionnaires and interview guides consisted of both open-ended and closed ended questions. A mixed methods approach was used, and data presented through tables, pie charts, bar graphs, and a histogram. The study revealed that implementation of public-private partnership strategy, viability of public-private partnership and challenges in the implementation of PPPs explain 48 percent of the variations in the dependent variable which is water service delivery. The study found that there is potential in PPPs as strategies in filling the water service delivery gap for urban areas in Kenya. However, this has not fully been achieved and has a long way to go. Regression analysis results shows that public-private partnership and water service delivery is positively and significantly related (r=0.291, p<0.05). The results further indicate that the viability of public-private partnerships and water service delivery is positively and significantly related (r=0.262, p<0.05). It was further established that challenges in the implementation of PPPs and water service delivery are negatively and significantly related (r=-0.228, p<0.05). Arising from the study, it can be concluded that the most favored model for PPPs in water service delivery for urban areas in Kenya is the Output-Based Aid because it is designed to be pro-poor populations such as Kayole-Soweto where the study was carried out. Some of the factors considered as criteria for projects suitable for PPPs to be engaged include the size of the budget, level of expertise required and risks and mitigation which should be shared based on the capability of the parties in the partnership. The study also concluded public-private partnership in the water sector enhances access to quality and adequate. The quality of water significantly improved as a result of the PPP water project; the cost for water per household significantly decreased resulting to enhanced water access by households. This study recommended that beneficiary orientation should be a priority in PPPs planning phase and therefore include not only landlords but also tenants; clear communication channels should be developed to enhance efficient and effective monitoring and evaluation. While the influence of PPPs seems to be widespread in bridging the gap in water service delivery, its presence in most urban areas remains elusive.