Governance arrangements define the relationship between the service provider, its owners, its customers and regulatory entities.
Governance arrangements for both public and private utilities can take many forms (Kurian and McCarney, 2010). In recent years, a number of cities have reverted to the public sector in a process called 'remunicipalization'. The largest private water companies in the world are Suez and Veolia Environnement from France Aguas de Barcelona from Spain and Thames Water from the UK, all of which are engaged internationally (see links to website of these companies below). Only in few parts of the world water supply systems have been completely sold to the private sector (privatization), such as in England and Wales as well as in Chile. These arrangements are common in France and in Spain. The public entity continues to own the assets. Under these arrangements the public entity that is legally responsible for service provision delegates certain or all aspects of service provision to the private service provider for a period typically ranging from 4 to 30 years. An estimated 10 percent of urban water supply is provided by private or mixed public-private companies, usually under concessions, leases or management contracts.
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