Financial incentives along with other key factors can move a reform process forward. The interim evaluation concluded that availability of infrastructure grant funds helped to influence support of the reforms by persuading leaders of the municipal water utilities to join the new water utility, Águas de Santiago (AdS), in order to qualify for grant funds. But in addition, effective communications and stakeholder engagement were also important, and contributed to activities such as the retrenchment of municipal water utility staff and creation of a unified block tariff on Santiago Island. While financial incentives are important, they should be linked to other factors such as these to be effective.
Lesson Learned