Losing the Battle: How Jordan’s Governance Failures Enabled Water Losses and Prolonged its Water Crisis

Abstract

This thesis seeks to address the ongoing water crisis in Jordan and the failure of efforts to date to stem the losses from the water sector. Using data on non-revenue water (NRW), reports from international organizations, and testimony from government insiders, I argue that past attempts at reform have been largely cosmetic and failed to address the root causes of the sector’s governance failures. While I use NRW levels as a proxy for poor governance, the findings are generalizable across the water sector, which has long been captured by political elites. Throughout its past attempts at reform, the government has been constrained by a lack of will more than a lack of ability, one that led it to ignore the problems of water theft among powerful users. Privatization, rather than bringing effective management to the troubled sector, acted as a way for the government to continue to extract political benefits from the system while maintaining the appearance of independence. The same was true of corporatization, which simply introduced new constraints on water utilities without removing the barriers to financial viability. And international assistance, rather than addressing the structural flaws in the system, was often channeled instead into surface-level fixes that allowed unsustainable practices to continue unabated. In spite of these past failures, however, I contend that the current moment presents a significant opportunity for change. With the unprecedented levels of foreign aid flowing into Jordan, donors have an opportunity to demand reforms in water sector governance. In this thesis, I suggest three policy areas that donor governments could conceivably influence as Jordan plans the next iterations of its water strategy: regulation, participation, and accountability. Improvements in these areas will have the help Jordan improve management of its water resources while also increasing public confidence in the sector, an important component of any reform under consideration. Only with such reforms, taken in concert with supply development and demand management, can Jordan truly be prepared for the future decades of its water challenges.