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Valuing Water, Valuing Livelihoods

Valuing Water, Valuing Livelihoods

J. Cameron | Paul R. Hunter | P. Jagals | Kathy Pond

(2011)

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Book Details

Abstract

The aim of Valuing Water, Valuing Livelihoods is to give decision-makers, health professionals and analysts a comprehensive view of the arguments and challenges associated with establishing the value of drinking-water interventions. 
The experts who have contributed to this publication provide guidance on assessing the benefits from improving access to safe drinking-water and from reducing the burden of water-related diseases. They show how to compare the value of these benefits to the costs of interventions, with special reference to small-scale drinking-water systems. Valuing Water, Valuing Livelihoods provides decision-makers, health professionals and analysts with the tools to promote improved access to safe drinking-water, especially for small and vulnerable communities in developing countries, by presenting comprehensive coverage of principles and practice, technology and economics, health, livelihoods and ethics.

Table of Contents

Section Title Page Action Price
Cover\r Cover
Contents v
Foreword vii
Acknowledgements ix
Introduction xi
1:\rBackground 1
SAFE DRINKING-WATER AS A HUMAN RIGHT 4
HOW LACK OF ACCESS TO SAFE DRINKING-WATER AFFECTS WELL-BEING 6
WHAT ARE COST–EFFECTIVENESS ANALYSIS AND SOCIAL COST–BENEFIT ANALYSIS? 8
REFERENCES 12
2:\rThe practice of economic assessment of small-scale drinking-water interventions 15
ASSESSING THE EFFECT OF DRINKING-WATER INTERVENTIONS ON PEOPLE’S LIVELIHOODS 16
Livelihoods 17
COSTING FEASIBLE INTERVENTIONS AND ASSESSING COST–EFFICIENCY 18
Discounted cost-efficiency 21
ASSESSING COST–EFFECTIVENESS 21
Benefits of reducing morbidity and mortality 22
Time saved in collecting and processing water 23
Savings on health-care expenditure 24
The complete cost–effectiveness analysis 24
UNDERTAKING A SOCIAL COST–BENEFIT ANALYSIS 26
Estimating costs and benefits for a full social cost–benefit analysis 27
Bringing costs and benefits together for analysis 30
SENSITIVITY TESTING TO DETERMINE THE ROBUSTNESS OF THE SOCIAL COST–BENEFIT ANALYSIS RESULTS 33
Deciding which variables to include in a sensitivity test 33
A LAST WORD 37
REFERENCES 37
3: Economic assessments of improvements in drinking-water supply– the global evidence\r 39
THE NEED FOR PUBLIC SECTOR INTERVENTIONS 40
THE NEED FOR AN ECONOMIC ASSESSMENT 47
COST-EFFECTIVENESS ANALYSIS AND THE CASES FOR AND AGAINST PRIORITIZING DRINKING-WATER IMPROVEMENTS 48
SOCIAL COST–BENEFIT ANALYSIS AND THE UNDP 2006 HUMAN DEVELOPMENT REPORT\r 50
THE WAY FORWARD 52
REFERENCES 53
4:\rCurrent situation in access to drinking-water 55
GLOBAL LEVELS OF ACCESS TO SAFE DRINKING-WATER 59
LIVELIHOODS ANALYSIS 61
WATER FOR DRINKING AND LIVELIHOODS IN RURAL AREAS 63
LIVELIHOOD ASPECTS OF ACCESS TO WATER 66
CONCLUSIONS 71
REFERENCES 71
5: Defining the current situation\r– epidemiology 75
MEASURES OF DISEASE OCCURRENCE 76
ESTIMATING DISEASE OCCURRENCE 77
Case definition 77
Primary surveys 78
Sampling 81
Using existing local health data 81
Extrapolating from previous studies 83
Using existing global estimates 84
ESTIMATING DISEASE ATTRIBUTABLE TO A SPECIFIC ENVIRONMENTAL RISK 84
Risk assessment 85
Epidemiological approaches 86
Existing global and regional estimates 88
NONCOMMUNICABLE DISEASE 88
CONCLUSION 91
REFERENCES 91
6:\rDefining the current situation 101
USING THE LIVELIHOODS FRAMEWORK 102
REDUCING INFORMATION ERROR IN A COMPLEX LIVELIHOODS CONTEXT 104
RISKS IN FORMULATING THE DEEP ISSUES AND ESTABLISHING THE BASELINE 107
IDENTIFYING OBJECTIVELY MEASURABLE VARIABLES 108
DESIGNING THE MEASURING INSTRUMENT -\rTHE RISK OF MEASUREMENT INACCURACY 108
RISKS IN IDENTIFYING THE RELEVANT POPULATION 111
DECIDING WHICH CASES TO INVESTIGATE - THE RISK OF BIAS AND SAMPLING ERROR\r 111
NEGOTIATING CONTRACTS - THE RISK OF UNDER-RESOURCING AND INFLUENCE OF VESTED INTERESTS\r 112
RISKS IN FIELD MANAGEMENT 113
RISKS IN EMPLOYING, TRAINING AND SUPERVISING INTERVIEWERS OR ENUMERATORS 114
PROCESSING DATA 116
ANALYSING DATA TO PRODUCE INFORMATION 117
COMMUNICATING INFORMATION 118
CONCLUSION 119
REFERENCES 119
7:\rInterventions for water provision 121
WATER INTERVENTIONS 122
SOURCES OF WATER 122
Rainwater harvesting 123
Groundwater sources 124
Surface water sources 125
Regional supply 126
SOURCE PROTECTION AND SUPPLY INTERVENTIONS 127
Resource and source protection 128
Supply interventions 129
Water treatment 135
SMALL-SCALE WATER DISTRIBUTION SYSTEMS 136
Water haulage 138
Household interventions 139
EDUCATION AND COMMUNITY TRAINING 141
POLICY INTERVENTIONS 142
REFERENCES 146
8:\rEstimating the costs of small-scale water-supply interventions 149
CHALLENGES OF COSTING A SMALL-SCALE WATER SYSTEM INTERVENTION 151
ELEMENTS OF COSTING 152
Capital costs 153
Recurrent costs 154
ESTIMATING COSTS FOR A SMALL-SCALE WATER SYSTEM 156
Preliminary requirements 157
Activity cost estimation 158
Developing the source 158
Storage 159
Treatment 159
Distribution 160
Pumping 160
Public source points 161
General remarks on estimating maintenance cost 161
General remarks on estimating operational costs 162
Estimating unit costs 163
POLICY, EDUCATION AND COMMUNITY TRAINING FOR COST ESTIMATION AND RECOVERY 163
REFERENCES 165
9:\rEstimating health impacts of interventions with a focus on small-scale drinking-water interventions 167
INTERVENTION STUDIES 168
USING PREVIOUS STUDIES AND SYSTEMATIC REVIEWS 170
RISK ASSESSMENT 174
GLOBAL SCENARIOS 176
PHASED INTERVENTIONS 176
CHRONIC DISEASE 178
VULNERABLE GROUPS 178
CONCLUSION 179
REFERENCES 179
10:\rCost-effectiveness analysis in practice 181
ECONOMIC ASSESSMENT -\rTHE STEPS TO BE TAKEN 182
Step one: describe the present position 182
Step two: identify the feasible improvements 182
Step three: estimate the costs of improvements to water supply 182
Step four: estimate the health benefits 183
HOW COST-EFFECTIVENESS ANALYSIS IS CARRIED OUT 185
THE DISEASE CONTROL PRIORITIES PROJECT AND DISABILITY-ADJUSTED LIFE YEARS 188
WHO PROJECT FOR CHOOSING INTERVENTIONS THAT ARE COST–EFFECTIVE 192
GENERALIZED COST–EFFECTIVENESS ANALYSIS AS APPLIED TO WATER INTERVENTIONS 193
REFERENCES 196
11: Social cost–benefit analysis – principles\r 199
SOCIAL COST-BENEFIT ANALYSIS - BACKGROUND\r 200
Conditions for a perfectly competitive market 205
Structure 206
Conduct 206
Performance 206
WILLINGNESS TO PAY 208
THE SPECIFICS OF SOCIAL COST-BENEFIT ANALYSIS FOR DRINKING-WATER INTERVENTIONS 208
REVIEW OF THE COMPLETE PROCESS FOR SOCIAL COST–BENEFIT ANALYSIS 213
REFERENCES 216
12: Social cost–benefit analysis - summarizing the available global evidence on drinking-water interventions\r 217
THE MONETARY VALUE OF A DALY 221
WHAT ARE INVESTMENTS IN WATER IMPROVEMENTS WORTH? 222
THE WAY FORWARD: POLICY, PACKAGES AND SEQUENCING 225
REFERENCES 226
ANNEX 1. EXAMPLE OF THE COSTS AND BENEFITS OF A DUG WELL 228
BENEFIT/COST RATIO 228
THE NET PRESENT VALUE 229
THE INTERNAL RATE OF RETURN 229
THE THREE MEASURES BROUGHT TOGETHER 233
SENSITIVITY ANALYSIS 233
REFERENCE 233
ANNEX 2:\rTHE VALUATION PROBLEM 234
REFERENCES FOR THIS ANNEX 236
Index 239