PPIAF

When utility sectors undergo reform, regulation is needed to ensure fair competition among service providers—whether public or private—and to oversee natural monopoly segments. Effective legal and regulatory frameworks protect consumers. They also build credibility with investors, helping the government develop partnerships with private companies that can invest in and deliver infrastructure services.

But regulation is complex and demanding, both technically and politically. Regulatory policies need to strike a balance between stakeholders (policy makers, service providers, and consumers) in a way that is fair, transparent, and sustainable—while also providing incentives for efficiency. And regulatory agencies are often new and underfunded, with limited expertise and little access to knowledge.

Global and Regional Knowledge Development

PPIAF has been at the forefront in identifying global best practices in the design of regulatory frameworks. In partnership with the Public Utility Research Center (PURC) at the University of Florida, it developed a Web site, the Body of Knowledge on Utility Regulation, that brings together some of the most important work in this area. New research on infrastructure regulation in developing countries features PPIAF Working Papers exploring hybrid and transitional models, expert panels in Chile, and the outsourcing of regulation.

PPIAF also has helped establish regional regulatory bodies—in Africa, Latin America, Central Asia, East Asia, and South Asia—that provide valuable forums for exchanging experiences and lessons.

Technical Assistance

Since inception PPIAF has supported more than 165 regulatory activities, including these examples:

• In Afghanistan PPIAF supported a review of the legal and regulatory framework for public-private partnerships.
• In Haiti PPIAF is helping the government develop a legal and regulatory framework for the telecommunications sector with the aim of increasing private participation.
• In Tanzania PPIAF support aims to help the government establish effective legal, regulatory, and institutional frameworks for public-private partnerships in the road sector.
• In Latin America PPIAF is supporting Regulatel, the regional association of telecommunications regulators, in helping to achieve universal access to information and communication technology services.