Optimising the water sector market structure in Portugal

Abstract

Research Article| November 29 2013 Optimising the water sector market structure in Portugal Rui Marques; Rui Marques 1Center for Management Studies (CEG-IST), Technical University of Lisbon, Av. Rovisco Pais, 1049-001 Lisbon, Portugal E-mail: rui.marques@ist.utl.pt Search for other works by this author on: This Site PubMed Google Scholar Pedro Carvalho Pedro Carvalho 1Center for Management Studies (CEG-IST), Technical University of Lisbon, Av. Rovisco Pais, 1049-001 Lisbon, Portugal Search for other works by this author on: This Site PubMed Google Scholar Journal of Water Supply: Research and Technology-Aqua (2014) 63 (4): 303–310. https://doi.org/10.2166/aqua.2013.124 Article history Received: July 02 2013 Accepted: October 26 2013 Views Icon Views Article contents Figures & tables Video Audio Supplementary Data Share Icon Share Facebook Twitter LinkedIn MailTo Tools Icon Tools Cite Icon Cite Permissions Search Site Search Dropdown Menu toolbar search search input Search input auto suggest filter your search All ContentAll JournalsThis Journal Search Advanced Search Citation Rui Marques, Pedro Carvalho; Optimising the water sector market structure in Portugal. Journal of Water Supply: Research and Technology-Aqua 1 June 2014; 63 (4): 303–310. doi: https://doi.org/10.2166/aqua.2013.124 Download citation file: Ris (Zotero) Reference Manager EasyBib Bookends Mendeley Papers EndNote RefWorks BibTex This paper investigates the market structure of the water sector in Portugal through the application of distinct methods usually used in the literature (parametric and nonparametric methods). A sample of Portuguese water utilities was used to search for economies of scale and economies of scope in the period 2002–2008. High economies of vertical integration, economies of scale and economies of scope (both in the provision of water supply and wastewater services) were found. Therefore, there are advantages in water utilities merging by joining the retail and wholesale components and the water and wastewater services. The results show that amalgamation in the Portuguese water sector should be encouraged, creating vertically integrated water and wastewater utilities to supply more than 16 mm3/year of drinking water, corresponding to about 120,000 customers. economies of scale, economies of scope, parametric and nonparametric methods, Portugal, water sector This content is only available as a PDF. © IWA Publishing 2014 You do not currently have access to this content.