The impact of privatization approaches on the productivity growth of the water industry: A case study of Chile

The water industry faces the challenge of implementing privatization reforms. This process mainly adopts the following two approaches: the privatization of public water and sewerage services (WSS) and the privatization of water companies’ ownership. This paper investigates the impact of both privatization approaches on changes in productivity in the water industry. In doing so, the Luenberger productivity indicator (LPI) was computed for a sample of Chilean water and sewerage companies (WaSCs) for the period 1997–2013. Unlike the most commonly applied index (Malmquist productivity index), the LPI simultaneously takes into account output expansion and input contraction. The results evidenced that productivity in the Chilean water industry decreased after its privatization. However, in the sub-periods in which the ownership of WaSCs was privatized, the productivity of the water industry increased due to technical improvements. On the other hand, the concession of WWS to private WaSCs involved a regression in productivity. From a policy perspective, regulators and managers of WaSCs at the international level can learn important lessons from the Chilean case to improve the productivity of the water industries in their countries.     

Relations of fish community composition to environmental variables in streams of central Nebraska,USA

Nine sites on streams in the Platte River Basin in central Nebraska were sampled as part of the US Geological Survey's National Water-Quality Assessment Program during 1993–1994. A combination of canonical correspondence analysis and an index of biotic integrity determined from fish community data produced complementary evaluations of water-quality conditions. Results of the canonical correspondence analysis were useful in showing which environmental variables were significant in differentiating fish communities at the nine sites. Five environmental variables were statistically significant in the analysis. Median specific conductance of water samples collected at a site accounted for the largest amount of variability in the species data. Although the percentage of the basin as cropland was not the first variable chosen in a forward selection process, it was the most strongly correlated with the first ordination axis. A rangeland-dominated site was distinguished from all others along that axis. Median orthophosphate concentration of samples collected in the year up to the time of fish sampling was most strongly correlated with the second ordination axis. The index of biotic integrity produced results that could be interpreted in terms of the relative water quality between sites. Sites draining nearly 100% cropland had the lowest scores for two individual metrics of the index of biotic integrity that were related to species tolerance. Effective monitoring of water quality could be achieved by coupling methods that address both the ecological components of fish communities and their statistical relationships to environmental factors.     

Environmental strategies: A case study of systematic evaluation

A major problem facing environmental managers is the necessity to effectively evaluate management alternatives. Traditional environmental assessments have emphasized the use of economic analyses. These approaches are often deficient due to difficulty in assigning dollar values to environmental systems and to social amenities. A more flexible decisionmaking model has been developed to analyze management options for coping with beach erosion problems at the Sandy Hook Unit of Gateway National Recreation Area in New Jersey. This model is comprised of decision-making variables which are formulated from a combination of environmental and management criteria, and it has an accept-reject format in which the management options are analyzed in terms of the variables. Through logical ordering of the insertion of the variables into the model, stepwise elimination of alternatives is possible. A hierarchy of variables is determined through estimating work required to complete an assessment of the alternatives for each variable. The assessment requiring the least work is performed first so that the more difficult evaluation will be limited to fewer alternatives. The application of this approach is illustrated with a case study in which beach protection alternatives were evaluated for the United States National Park Service.Portions of this paper have been excerpted from Sherman and Garès (1978).     

STATE VARIABLE MODEL FOR URBAN RAINFALL-RUNOFF PROCESS1

ABSTRACT: A nonlinear hydrologic system model has been developed for analyzing the urban rainfall-runoff process. The model is formulated as a state variable model consisting of several parameters. A search technique is employed to find the set of parameters for which the model's response best fits observed data. The model could be used in either a simulation or forecasting mode. The model is applied to observed data for the Waller Creek Watershed in Austin, Texas, to develop the model parameters for various levels of urbanization of the watershed. The trend of each parameter with respect to levels of urbanization is examined.     

SEQUENTIAL GENERATION OF STREAMFLOW1

ABSTRACT: An auto-regressive model has been developed for hydrologic data simulation. The model is computationally easier, parsimonious in number of model parameters and more stable in statistical characteristics than the existing auto-regressive model. The proposed model was used for synthesizing 10 sequences, each of 100 year length, of monthly flows for the river Beas. The statistical parameters were calculated using 49-year historical record for the river. The data was also synthesized using existing auot-regressive model. The synthesized sequences have been compared. The results indicate that the proposed model is as good as the existing auto-regressive model in preserving the mean and standard deviation of historical record. It is further shown that the proposed model requires less parameters than the auto-regressive model for simulation of long-term dependence.     

COMPLEMENTING OBJECTIVE PROCEDURES WITH SUBJECTIVE PRIORS IN WATER RESOURCE PLANNING1

A procedure is outlined which allows consideration of both objective and subjective indicators to establish priorities in plan implementation of water resource development. The objective procedure utilizes stepwise multiple discriminant analysis to predict community performance regarding planned project implementation, based on previous project implementation in the Northeast. The subjective procedure incorporates prior probabilities developed by the planner, based on observation and experience gained through the planning process. The proposed analysis could eliminate waste through better allocation of planning funds to implementation studies exhibiting higher probability of early implementation.     

EVIDENCE OF CHAOTIC BEHAVIOR IN SINGAPORE RAINFALL1

ABSTRACT: This paper focuses on the investigation of the existence of chaotic behavior in the Singapore rainfall data. The procedure for the determination of the minimum number of variables essential and the number of variables sufficient to model the dynamics of the rainfall process was studied. An analysis of the rainfall behavior of different time periods was also conducted. The correlation dimension was used as a basis for discriminating stochastic and chaotic behaviors. Daily rainfall records for durations of 30, 20, 10, 5, 4, 3, 2, and 1 years from six stations were analyzed. The delay time for the phase-space reconstruction was computed using the autocorrelation function approach. The results provide positive evidence of the existence of chaotic behavior in the daily rainfall data. The minimum number of variables essential to model the dynamics of the rainfall process was identified to be 3 while the number of variables sufficient to model the dynamics of the rainfall process ranges from 11 to 18. The results also suggest that the attractor dimensions of rainfall data of longer time periods are higher than that of shorter time periods. The study suggests a minimum number of 1500 data points required for the computation of the correlation dimension of the rainfall data.     

THE VALUE OF STREAMFLOW FORECASTING IN RESERVOIR OPERATION1

ABSTRACT: The value of streamflow forecasts in reservoir operation depends on a number of factors and may vary considerably. Assessment of forecast benefits is presented here for three specific systems. Statistical streamflow models of increasing forecasting ability are coupled with a recently developed stochastic control method in extensive simulation experiments. The performance of the system is statisticafly evaluated with regard to energy generation and flood and drought prevention. The results indicate that forecast benefits are system specific and may range from quite substantial to fairly minimal.     

THE CHUBB/BAUMAN METHOD FOR ESTIMATING THE RECREATION POTENTIAL OF RIVERS: A CRITICAL REVIEW1

ABSTRACT: The Chubb/Bauman (Ch/B) method for making quantitative estimates of recreation potential for rivers is based on the 1968/ 69 Leopold method for quantitative assessment of the scenic beauty of rivers. Both use classifications of environmental variables as the database. Unlike the Leopold method, the classifications used in the Ch/B method consistently reflect human preferences. The Ch/B method collects information on 67 variables, and uses a computer program to produce estimates of potential for 16 common recreation activities. This critique evaluates selected concepts and procedures of the Ch/B method partly by comparison with other available methods of recreation resource inventory. It considers the validity and utility of numerical weighting of variables, the use of numbers derived from place in a classification, and the transformation process. The quantitative techniques of the method exhibit serious flaws. Much of the data produced by the method appears to be quantitative but in fact is not, and it does not produce truly quantitative estimates of recreation potential. Classifications of generalized geographic or environmental variables are shown to have serious defects as a basis for evaluation of recreational potential.     

PAST AND FUTURE OF ANALYSIS OF WATER RESOURCES TIME SERIES1

ABSTRACT: water resources supply and demand time series consist of several or all of the four basic characteristics: tendency, intermittency, periodicity and stochasticity. Their importance changes from one type of variables to another. Historic developments of analysis of time series in hydrology have varied significantly over the past, from the stress on search for periodicities and persistence in annual series to the emphasis on the series stochastic properties. Supply and demand series are often highly interrelated, which fact is most often neglected in planning water resources systems in general, and water storage capacities in particular. The future of series analysis in water resources will likely be by a joint use of physically-based structural analysis and the use of advanced methods of treating data by stochastic processes, statistical estimation and inference techniques. The most intriguing challenge of the future of this analysis may be the treatment of nonnormal, nonlinear and in general nonstationary hydrologic and water use time series. The proper treatment of complex multivariate processes will also challenge the specialists, especially for the purposes of transfer of information between data on variables at given points, or between data at several points of a given variable, or both.