Benchmarking Irish Water against its UK private sector peers should produce huge efficiencies like Scottish Water

Patslatt1

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Benchmarking Irish Water against its UK private sector peers should produce huge efficiencies like Scottish Water

See https://www.thetimes.co.uk/article/renationalising-water-companies-is-one-seventies-revival-best-avoided-nh7tjcrhc (paywall)

In 2001, Scottish Water began benchmarking its new public water system against its private sector peers in England and Wales. This helped close its huge efficiency gap of 44% according to a study by John Earwaker of First Economics.

The regulator of Irish Water is emulating a similar regulatory approach and benchmarking with England's private sector. The potential productivity gains should also be huge given that IW is between 40 and 50% less efficient.

Advocates of water utility nationalisation question efficiencies of private sector water companies. According to First Economics, their productivity growth was 3% a year in the 20 years following privatisation in 1989, comparing favourably with flat productivity in the public sector. According to the author of The Times article, Ian King the business presenter of SkyNews, the water utility industry in public ownership had a poor record for underinvestment,pollution, vast leakages and in 1976 millions of households cut off after a drought.
 


clearmurk

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See https://www.thetimes.co.uk/article/renationalising-water-companies-is-one-seventies-revival-best-avoided-nh7tjcrhc (paywall)

In 2001, Scottish Water began benchmarking its new public water system against its private sector peers in England and Wales. This helped close its huge efficiency gap of 44% according to a study by John Earwaker of First Economics.

The regulator of Irish Water is emulating a similar regulatory approach and benchmarking with England's private sector. The potential productivity gains should also be huge given that IW is between 40 and 50% less efficient.

Advocates of water utility nationalisation question efficiencies of private sector water companies. According to First Economics, their productivity growth was 3% a year in the 20 years following privatisation in 1989, comparing favourably with flat productivity in the public sector. According to the author of The Times article, Ian King the business presenter of SkyNews, the water utility industry in public ownership had a poor record for underinvestment,pollution, vast leakages and in 1976 millions of households cut off after a drought.
Why benchmark when you already know the answer?
 

Bleu Poppy

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Why benchmark when you already know the answer?
Elsewhere around the world 're-mutualisation' has emerged as the only practical solution- state and civic authorities are taking back control of potable water production and effluent treatment companies as the experience of privatisation has not been beneficial or sustainable.
 

Barroso

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See https://www.thetimes.co.uk/article/renationalising-water-companies-is-one-seventies-revival-best-avoided-nh7tjcrhc (paywall)

In 2001, Scottish Water began benchmarking its new public water system against its private sector peers in England and Wales. This helped close its huge efficiency gap of 44% according to a study by John Earwaker of First Economics.

The regulator of Irish Water is emulating a similar regulatory approach and benchmarking with England's private sector. The potential productivity gains should also be huge given that IW is between 40 and 50% less efficient.

Advocates of water utility nationalisation question efficiencies of private sector water companies. According to First Economics, their productivity growth was 3% a year in the 20 years following privatisation in 1989, comparing favourably with flat productivity in the public sector. According to the author of The Times article, Ian King the business presenter of SkyNews, the water utility industry in public ownership had a poor record for underinvestment,pollution, vast leakages and in 1976 millions of households cut off after a drought.
There's a world to the east and to the south of GB.
Maybe you could look at how they do things there. France, Germany, Scandinavia, the Low Countries, Iberia, Italy, i could go on, but instead, I'll direct you to your atlas; or even to google maps.
 

Ardillaun

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There's a world to the east and to the south of GB.
Maybe you could look at how they do things there. France, Germany, Scandinavia, the Low Countries, Iberia, Italy, i could go on, but instead, I'll direct you to your atlas; or even to google maps.
The UK is always a good place to start, given the similarities in culture and legal framework, but the anglosphere and Europe, esp. its small northern countries, should always be considered as well at a minimum. In addition, most problems have produced interesting approaches in other parts of the world. I’m agnostic on privatisation in general but under no circumstances should any further goodies be given to the usual suspects.
 

Eire1976

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The UK is always a good place to start, given the similarities in culture and legal framework, but the anglosphere and Europe, esp. its small northern countries, should always be considered as well at a minimum. In addition, most problems have produced interesting approaches in other parts of the world. I’m agnostic on privatisation in general but under no circumstances should any further goodies be given to the usual suspects.
That's what holds us back
 

Barroso

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The UK is always a good place to start, given the similarities in culture and legal framework, but the anglosphere and Europe, esp. its small northern countries, should always be considered as well at a minimum. In addition, most problems have produced interesting approaches in other parts of the world. I’m agnostic on privatisation in general but under no circumstances should any further goodies be given to the usual suspects.
Only if other places are investigated at the same time. My experience is that they aren't, as that would take an effort.
Or as an ex-boss of mine said, "we're not going to re-invent the wheel" as she instructed me to copy and paste from a British document.
 

Patslatt1

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Elsewhere around the world 're-mutualisation' has emerged as the only practical solution- state and civic authorities are taking back control of potable water production and effluent treatment companies as the experience of privatisation has not been beneficial or sustainable.
Where? US and England water utilities perform well.
 

Patslatt1

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There's a world to the east and to the south of GB.
Maybe you could look at how they do things there. France, Germany, Scandinavia, the Low Countries, Iberia, Italy, i could go on, but instead, I'll direct you to your atlas; or even to google maps.
The US has a very big private sector in water utilities. Under a rate of return model where the regulators set a percentage net profit as a percent of the asset base, utilities like to invest and maybe over invest because the bigger the investment, the bigger the net profit.
 

Patslatt1

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Yes, in your own company. Unless you are in the mimicry business, how others operate is neither here not there.
Benchmarking is universlly accepted as a means of improving performance in business, government, athletics etc.
 

cricket

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I'll be damned if I can remember the details, but, about 20 years ago I read an article about Ireland and international comparisons in service provisions.
It stated that, based on population dispersal and other factors, valid comparisons can be made with Scotland, Sweden and New Zealand.
I wonder how Irish Water would stand up against that background.
 

clearmurk

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Benchmarking is universlly accepted as a means of improving performance in business, government, athletics etc.
So what are the senior managers being paid for then? Do they know nothing about the industry in which they operate, or the inefficiencies in their operations, or the latest fashions in their sector? What are they being paid for?
 

Patslatt1

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So what are the senior managers being paid for then? Do they know nothing about the industry in which they operate, or the inefficiencies in their operations, or the latest fashions in their sector? What are they being paid for?
Among many other things, learning from benchmarking.
 


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