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The provision of local public goods in water supply

지방노후상수도 관망교체 및 정수장 국비지원의 효율화 방안

  • Kim, Hyun-A (Research Group for Fiscal Policies Korea Institute of Public Finance)
  • 김현아 (한국조세재정연구원 재정연구본부)
  • Received : 2017.03.19
  • Accepted : 2017.04.24
  • Published : 2017.06.15

Abstract

This paper tries to show the efficiency of water financing between central and local governments. From the year of 2017, the operation and maintenance costs for change water pipes has been provided by central government as block grants system(RDSA: Regional Development Special Account). Even though the water financing is responsible for local government, water drought and high production cost in poor area affects the quality of life nowadays. Then, fiscal transfer through block grant for water financing has been decided to invest regional SOC. The purpose of the paper sheds light on the function of the block grant for public provision by water financing. The firstly tried empirical results are based on the survey from local governments and ministry of environments. The point of the empirical analysis shows that the local governments does not have proper measurement for unexpected water leakage and termination until now. In a policy manner, the paper raises the issues about benefit principle for water users by the increase of tariffs. In order to do so, the paper investigates the relationship between the water provision and fiscal status of each local governments.

Keywords

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