Does Regulation Really Work? A Principal-agent Approach to the Portuguese Waste Services

Author/s Rui Domingos Ribeiro da Cunha Marques, Hugo Consciência Silvestre
Publishing Year 2019 Issue 2019/1
Language English Pages 19 P. 49-67 File size 193 KB
DOI 10.3280/EP2019-001003
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In this paper we break new ground by investigating the relationship between organizational characteristics and performance in ‘retail’ waste management in Portugal for the year 2016. We found that total costs and tariff revenues can be explained by the management model. Municipal corporations seem to present the lowest results, while private sector participation scores the highest levels. This has implications for the Portuguese regulatory agency. The ongoing regulatory framework is still not sufficient to safeguard users’ interests such as lower prices. We are focusing on performance results that are influenced by previous contractual agreements. Attached to increasing regulatory power, efforts should be placed at contract negotiation between the parties.

Keywords: Principal-agent theory; performance regulation; wastemanagement; Portugal

Jel codes: K2, Q5

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Rui Domingos Ribeiro da Cunha Marques, Hugo Consciência Silvestre, Does Regulation Really Work? A Principal-agent Approach to the Portuguese Waste Services in "ECONOMIA PUBBLICA " 1/2019, pp 49-67, DOI: 10.3280/EP2019-001003