Lebanon is one of the most expensive countries in the Middle East relative to its per capita income as citizens suffer from a rising cost of living and low salaries. High prices are primarily driven by two factors. The first is unfair market competition due to government monopolies, oligopolies, and exclusive agencies. The second factor is the ineffective infrastructure, including electricity, transportation, and telecommunications, which has a direct impact on the prices paid by citizens, and affects prices indirectly by increasing the cost of production, transportation, and storage of products. This policy brief examines existing research and policies to assess the true nature of the problem, under the limitations imposed by the lack of reliable research and data on cost-of-living, which affects effective, evidence-based policy-making. This is followed by an assessment of possible policy options to address the high cost of living, along with recommendations for practical actions that can be pushed forth by civil society organizations (CSOs). The recommended policy calls for development of a unified vision for revamping infrastructure across all sectors, with decentralized implementation in the hands of the relevant ministries. A robust implementation strategy must be adopted detailing the structures, people, processes, and systems required to turn this vision into reality. Implementation of these recommendations require CSOs in Lebanon to recognize the importance of this issue and their own ability to effect change, while challenging citizen apathy towards a problem that many deem too complex for them to influence. Citizens must be reminded that improved infrastructure such as electricity and water is not only essential for reducing the cost of living and fostering growth, but is also a basic human right for all Lebanese across geographic locations, confessions, and walks of life. With effective citizen mobilization, civil society will be equipped to generate sufficient political will at the level of government to make infrastructure reform a national priority.

1. POLICY BRIEF
Towards an improved
infrastructure

2. 1
This policy brief was developed by the Youth Economic Forum, in close collaboration with experts, activists
and civil society organizations.
Lebanon, 2012
Lebanon is one of the most expensive
countries in the Middle East relative
to its per capita income as citizens
suffer from a rising cost of living
and low salaries. High prices are
primarily driven by two factors.
The first is unfair market
competition due to government
monopolies, oligopolies, and
exclusive agencies.
The second factor is the
ineffective infrastructure, including
electricity, transportation, and
telecommunications, which has a
direct impact on the prices paid
by citizens, and affects prices
indirectly by increasing the cost
of production, transportation, and
storage of products.
This policy brief examines existing
research and policies to assess the
true nature of the problem, under
the limitations imposed by the lack
of reliable research and data on
cost-of-living, which affects effective,
evidence-based policy-making. This
is followed by an assessment of
possible policy options to address
the high cost of living, along with
recommendations for practical
actions that can be pushed forth by
civil society organizations (CSOs).
The recommended policy calls for
the development of a unified vision
for revamping infrastructure across
all sectors, with decentralized
implementation in the hands of
the relevant ministries. A robust
implementation strategy must be
adopted detailing the structures,
people, processes, and systems
required to turn this vision into
reality.
Implementation of these
recommendations require CSOs in
Lebanon to recognize the importance
of this issue and their own ability to
effect change, while challenging
citizen apathy towards a problem that
many deem too complex for them to
influence. Citizens must be reminded
that improved infrastructure such
as electricity and water is not only
essential for reducing the cost of
living and fostering growth, but is also
a basic human right for all Lebanese
across geographic locations,
confessions, and walks of life. With
effective citizen mobilization, civil
society will be equipped to generate
sufficient political will at the level of
government to make infrastructure
reform a national priority.
EXECUTIVE SUMMARY

3. 2 3
The Problem
There is increasing citizen and media
concern regarding the cost of living
in Lebanon, a concern justified by
the trends observed in the economic
indicators.
The Central Administration for
Statistics (CAS) indicates an increase
of 20.6% in the Consumer Price Index
(CPI) between January 2010 and
October 2012 to reach a record high
of 130.1% increase in prices since the
base year in 2007. This exacerbating
trend is also evident in the inflation
rates as CAS calculated the average
rate from 2008 until 2012 to be 3.94%
reaching an all time high of 11.1% in
October of 2012.
The main problem reveals itself
when we see income levels far from
matching the record increases in the
CPI and inflation rates. According to
the World Bank, the Gross Nation
Income (GNI) per capita, adjusted to
the Purchasing Power Parity (PPP),
has increase by only 1.3% between
2010 and 2011.
All estimates are pointing to a similar
minimal growth in 2012 affected by
the political and security instability
the country is facing.
The government should recognize
this issue as a pressing concern
and place it as the top priority on its
agenda.
Situation Brief
Research, focus group discussions,
and expert meetings conducted by
the Youth Economic Forum stressed
the need for reform in multiple
sectors to address the high cost of
living, highlighting the fundamental
failures of the legal and physical
infrastructure in Lebanon:
Inadequate infrastructure.
The poor quality of public
infrastructure related to
electricity, water, transportation,
telecommunications, and public
education impacts household
expenditure levels and the cost of
doing business, thus hampering
economic growth and investment.
Electricity.
Electricité du Liban (EDL) has
failed to meet minimal operational
standards, supplying electricity well
below demand. EDL’s net thermal
capacity has varied from 1600 MW
to 2000 MW. This falls short of peak
demand for electricity, which was at
least 2600 MW in 2006 and is expected
to grow 4-6% annually between 2008
and 2015 (El-Fadel et al, 2009). As
a result, blackouts have become
routine and reach 13 hours a day
in some areas. Blackouts increase
dependence on off-grid generators,
which cost twice as much as public
electricity, leading consumers to pay
large utility bills (Dagher & Ruble,
2011). Standby generators
Framing the Issue
account for 33-38% of electricity
consumption (Hamdan et at, 2012),
causing a high import bill given that
93% of fuel and diesel oil is imported
(Dagher & Ruble, 2011).
Water.
Like electricity, water is unevenly
distributed across Lebanon due
to inadequate infrastructure and
management. Lebanon currently has
a water supply deficit of 24% of total
demand, which may reach 51% by
2035 if no action is taken (Basil, 2010).
Transportation.
More than 20 years since the
end of the civil war, the public
transport system is still woefully
inadequate and is in fact in a state
of continuous decline in quality and
reach. It is no surprise then that
the most commonly used means of
transportation is privately owned
automobiles, which comprise 83% of
all trips (Directorate General of Land
and Maritime Transport, 2007). The
rising cost of fuel translates into high
energy bills for Lebanese citizens,
who have few alternatives to private
car usage.
Telecommunications.
Communications make up
approximately 5% of household
expenditure (CAS, 2004). Lebanese
consumers pay more than double
the price for prepaid mobile services
in regional countries: the regional
average price per minute is $0.14,
while it is $0.36 in Lebanon. Lack of
competition in the mobile market
results in poor quality of service
combined with limited offers and high
prices (Shehadi, 2010).
Education.
According to the Center for
Educational Research and
Development (CERD), about 1.22
millionstudents(32%oftheLebanese
population) were registered in an
educational institution in 2009, with
47% attending public schools and
37% in private schools (Yaacoub
& Badre, 2012). Although private
institutions are more expensive than
public ones, a significant portion
of Lebanese households opt to pay
higher tuition rates due to the low
quality of public education.

4. 4 5
Framing the Issue
Limited reliable research on
cost of living. A study by Rima
Turk-Ariss demonstrates the lack
of reliable cost-of-living data in
Lebanon. Two institutions calculate
household expenditures: the Central
Administration of Statistics (CAS),
which covers all of Lebanon, and
the Consultation and Research
Institute (CRI), which covers only
Greater Beirut. According to CAS,
Lebanese households spend the
most on food, housing, transport,
and telecommunications, whereas
CRI data indicates that food,
transport, communications, and
education comprise the highest
household expenditures. The most
striking difference is in the housing
expenditure, which CAS puts at 25.7%
and CRI at a mere 6.49%.
This translates into unreliable data on
prices and consumption patterns to
guide evidence-based policy-making,
including taxation and counter-
inflationary measures. Moreover,
the absence of a Cost of Living Index
(COLI) makes the mechanism by
which wage is adjusted to inflation
unjustifiable.
Lack of market competition. It
is estimated that at least half
the markets in Lebanon have
monopolistic or oligopolistic
structures. This means that
enterprises are working together
to maintain high prices by reducing
competition. Gains from monopolistic
behavior make up more than 16% of
the Gross Domestic Product (GDP) in
Lebanon (Dessus & Ghaleb, 2006).
Exclusive agencies.
Several agents are legally given
exclusive rights to import certain
products: Only 13 companies control
the trade of fuel and asphalt, 5
the import of iron, 2 the trade of
electronics, and 3 the import of
pharmaceuticals (CRI, 2003). This
is a clear restriction of the liberal
market. A draft law was presented
to Parliament in 2002 proposing
the abolishment of government
protection over a five-year period.
This law, however, has yet to be
passed.
Monopolies and duopolies.
Currently, there are 5 monopolistic
companies in Lebanon, including
OGERO Telecom, Sukleen Cleaning
SAL, LibanPost, Middle East Airlines
(MEA), and EDL. Moreover, two cell
phone companies dominate the
market to form a duopoly: Alfa and
MTC Touch (CRI, 2003). With the
current government debt, some of
these are considered to be a good
source of revenue, which receives
more attention than reducing
consumer prices. Some of these
monopolies not only place a heavy
burden on the Lebanese economy
through operational losses, but they
also make minimal effort to provide
better-quality services at lower
prices due to lack of competition.
The Urgency
Lebanon’s infrastructure continues
to regress in a world progressing at a
fast pace. Lebanon ranked 115th out
of 185 countries in the 2013 World
Bank Doing Business survey. Over a
12-year period (2000-2012), Lebanon
dropped 13 ranks from 68 to 81 out
of 146 countries on the Knowledge
Economy Index (KEI).
If Lebanon is to compete for foreign
investmentandcreateanenvironment
conducive to growth for its human
capital, it must develop a sustainable
long-term plan for overhauling its
infrastructure and implement it in
conjunction with the private sector.
Enhancing basic infrastructure
across all regions of Lebanon will
enable equal opportunity for the
entire population, thus improving
the distribution of income, reducing
household expenditure levels, and
consequently increasing citizens’
purchasing power.

5. 6 7
The following policies, laws, and practices reflect the choices made by the
Lebanese government to address cost-of-living issues, most of which are
related to enhancing market competition and introducing privatization in the
electricity and telecommunication sectors.
Looking at Existing Policies
Decree 34,
August 1967
> Lifted protection off existing monopolies, but established
new exceptions to the rule dubbed “exclusive agencies.”
Decisions No.
277/1 of June 15,
1972 and No. 75
of April 27, 1983
by the Ministry of
Economy and Trade
(MOET)
> The Minister of Economy and Trade has the right to set a
ceiling on commodity selling prices or profit rates. Where
no ceiling is indicated, the maximum selling price should
not exceed twice the amount of cost. However, these
decisions were repealed on October 16, 2006 by MOET
Decision No. 263/1/A.T.
Law 73/83
> Prohibits restrictive agreements, notably cartels. However,
this law has two limitations. Firstly, one would have to
prove that the agreement in question inevitably leads to an
artificial increase in prices, which is difficult to determine.
Secondly, the penalty for such agreements (100 million LBP
and/or 3 months in jail) is not high enough to deter traders
from establishing such cartels.
Draft Law on
Competition
> Presented to Parliament in 2007 but has yet to be ratified. Its
purpose, as stated in Article 1, is to ensure true competition
and prohibit monopolies as well as restrictive agreements of
any sort, including trade cartels.
Draft Law on
the Abolition
of Protection
for Exclusive
Agencies
> Approved by Parliament in December 2005 for gradual
implementation over a period of four years. However, former
President Emile Lahoud revoked the law.
Intellectual
property rights
law
> Protects the rights of innovators from having their new
products replicated and sold to others. This has been
blatantly violated through copyright infringements becoming
a regular and unpunished practice.
Policy
Law
Practice
1. Competition Policies
Purpose & Outcome
Privatization Law
No. 228 of May
2000
> Set among its main objectives enhancement of the
competitiveness of the economy and protection of
consumer interests. This law has not been implemented
effectively.
Investment
Promotion Law No.
360 of August 2001
> Established the Investment Development Authority
of Lebanon (IDAL) and accorded the highest priority
to information technology projects. Subsequent laws
have focused on the sectors that were being primed for
privatization, namely telecommunications and electricity.
Law on Telecom-
munications No.
431 of July 2002
> Allows for a third operator of cellular phone services. Until
today, there are only two cellular phone operators.
Law on
Regulation of
the Electricity
Sector No. 462 of
September 2002
> Electricity Law 462 of 2002 paved way for private sector
participation by allowing up to 40% of the shares in
generation plant and distribution networks to be privatized.
It establishes administrative and financial independence
for the separate phases of production, transmission, and
distribution of electrical power. Privatization is projected
only for production and distribution activities, with
transmission to remain publicly owned. But the National
Electricity Regulatory Authority that would have the sole
right to license independent power producers is yet to be
established
EDL Reform Plan
> The EDL reform plan is a four-year plan to implement
supply-side reform (introducing additional conventional
energy sources) and demand-side reform (reducing demand
for electricity to curb load growth). These reforms were
intended to reduce total losses from $4.4 billion in 2010 to
$0 in 2014, with potential for profit after. It was expected
that by 2014, a solid power sector would have at least
4000 MW in generation capacity. Two years after planned,
EDL has begun implementation of a reform plan by hiring
three private companies to provide services that include
electronic billing and tracking, introducing easy payment
plans, offering discounted rates during certain hours, and
instituting a solid inspection and monitoring scheme.
National Water
Sector Strategy
> This reform plan sets out a short term (2011-2015) and
long term (2016-2020) that aims to optimize surface water
resources, implement artificial water recharge, implement
artificial storage, improve water supply transmission and
distribution, rehabilitate/replace irrigation systems, treat
waste water, and improve the operating model of the water
company. Implementation by the Ministry has begun at very
modest levels with the support of donor agencies.
Policy
Law
Practice
2. Privatization Policies
Purpose & Outcome

6. 8 9
1
2
3
Considering Policy Options
The following table describes policy options for tackling cost-of-living issues
based on thorough research and participatory consultations with stakeholders
around the country.
Policy Option Assumptions Objectives Strategies Advantages Disadvantages
ImprovingPublicInfrastructure
Improve public
infrastructure to
provide citizens
with increased
and equal
opportunity.
> Weak physical
infrastructure is increasing
disparities due to unequal
access to basic resources
> Provide adequate
resources, including
water, electricity,
transportation,
telecommunications, and
education to all Lebanese
citizens regardless of
location.
> Improve the business
environment to
encourage business and
job creation.
> Implement privatization
laws to establish public-
private partnerships and
increase efficiencies in the
public transport sector.
> Implement strategies
already laid out by the
Ministry of Energy and
Water for EDL and water
management reform.
> Increase investment in the
quality of public education.
> Allow for new entrants
to the telecommunications
market.
> Make access to basic necessities
such as electricity and water available
to every resident equally.
> Reduce household expenditure on
energy by providing public transport
and eliminating the need for private
generators.
> Provide equal opportunity for
employment by increasing mobility
via public transport and improving the
quality of public education.
> Reduce household expenditure on
telecommunications.
> Improve overall services that
encourage business creation.
> Improper
implementation
of public-private
partnerships
and opening the
market for new
entrants may
throw these
essential services
into the hands of
the same political
elite
EnhancingCost-of-
LivingData
Pool resources of
various research
institutions
to generate
consolidated data
on cost-of-living
and inflation
rates.
> Current research is
generating policy decisions
that are based on incorrect
data, which is further
increasing inflation and the
cost of living.
> Improve the quality
of data used in analysis,
projections, and policy-
making.
> Develop more indexes
that inform policy-
making.
> Make policy decisions
based on credible
research.
> Pool resources to conduct
nationwide surveys with
consolidated data.
> Discuss statistical
methodology and reach
an agreement on the most
appropriate ones.
> Understand the reasons
for data discrepancy in past
research.
> Improved policy-making founded on
proper research.
> Provide a better understanding of
the status quo.
> May result
in creating one
false set of data
that is perceived
as correct, as
opposed to many
sets of data that
are questioned..
IncreasingMarket
Competition
Implement
market
competition
and intellectual
property rights
laws.
> Weak implementation of
existing policies on market
competition and intellectual
property rights is hampering
the growth of the Lebanese
economy by discouraging
research and development.
> Liberalize markets to
ensure fair competition.
> Protect intellectual
property rights.
> Implement existing
liberalization and market
competition laws.
> Continuously monitor
monopolistic behavior and
enable a platform for citizen
complaints.
> Eliminate exclusive agencies that
monopolize products and sell them at
high prices.
> Encourage investment in research
and development to innovate, with
promise of increased profitability in the
long run.
> Encourage business creation and
foreign direct investment.
> Intellectual
property rights
initially generate
products at
high prices until
patents expire
and competitive
trade of the
product is allowed
Each policy is based on different assumptions, has a specific objective and
strategies, and presents different advantages and disadvantages.

7. 10 11
This policy brief focuses on the first policy option highlighted above—improving
infrastructure—as the most urgent and actionable by CSOs, NGOs, and
community-based organizations (CBOs). The other two policy options presented
above are equally important, but require political will and decisions at the
highest levels, which is neither feasible nor realistic in the near to medium
term in the current political context, although they should be pursued in the
long run to create a more competitive economy. In the meantime, this policy
brief encourages civic actors to pool their resources, knowledge, and talents
to exert continued pressure on government at all levels to take action towards
revamping public infrastructure.
Improving Public Infrastructure
Recommending Policy
The lack or low quality of essential
infrastructure in Lebanon is a
major obstacle to lowering prices
and increasing incomes. Improving
infrastructure will not only decrease
household expenditures, but also
lower the cost of doing business,
which in turn will reduce commodity
prices, encourage business creation,
and attract foreign investment.
To that end, a unified vision for
revamping public infrastructure
across all sectors must be developed,
with implementation decentralized in
the hands of the relevant ministries.
A robust implementation strategy
must be adopted detailing the
structures, people, processes, and
systems required to turn this vision
into reality. Key to implementation
of this recommendation is proper
procurement of services to ensure
that citizens’ tax monies are given to
the most qualified service providers
rather than the monopolistic elite
that has contributed to the high cost
of living. A key underlying principle
of infrastructural reform is the
establishment of public-private
partnerships and implementation
of privatization laws to enable the
government to leverage resources by
engaging the private sector.
The following arguments illustrate
how infrastructure improvements
in various sectors can make a
significant contribution to reducing
the cost of living.
Electricity sector.
Electricity is a basic human right
to which every Lebanese citizen is
entitled regardless of location. To
enhance its operational efficiency
and meet demand, EDL must
establish public-private partnerships
as mandated by Law 462 of 2002.
This will enable the company to
expand its operations without
draining the public budget. Such an
expansion would encompass building
additional thermal capacity, creating
facilities for alternative energy, and
ramping up efforts to reform EDL’s
management by creating automated
collection systems and improving
pricing strategies.
Water sector.
Like electricity, reliable and safe
access to water is a basic human right
to which every Lebanese is entitled.
The public deficit in the water sector
has generated dependency on private
sector supply, creating an additional
burden on the household budget and
discouraging business creation. It
is therefore crucial for the Ministry
of Energy and Water to accelerate
the implementation of its water
management strategy in order to
increase efficiencies through public-
private partnerships.
Transportation sector.
Heavy reliance on private
automobiles for transportation
translates into large energy bills for
individual households given the high
cost of fuel, which also increases
the cost of doing business and
discourages job creation. Moreover,
it reduces the mobility of low-income
persons, limiting their access to
job opportunities in areas far from
their residence. To address these
problems, existing public transport
facilities, including the bus network
and jitney system, must be improved
in parallel with efforts to create
additional ones, including tramway
and water ferry systems.
Telecommunications sector.
The high cost of communications in
Lebanon, affecting both mobile and
internet services, not only represents
a burden on individual consumers
but also on the private sector. Being
a key cost factor and business driver,
telecom needs to become more
attractive to encourage business
creationforexpansionoftheeconomy
and employment opportunities. To
that end, reform is needed to allow
for new entrants into the sector in
order to foster competition, which
will in turn improve the quality of
service at reduced prices.
Education sector.
The low quality of public education
has increased income disparities
among the Lebanese, whereby the
poor can only afford to attend public
schools, thus finding themselves
trapped in a cycle of poverty as public
education limits their employment
options and earning power. The lack
of equal opportunity from the point
of school entry is a violation of basic
human rights. Given that the Ministry
of Education and Higher Education has
thesecond-highestgovernmentbudget
after the Ministry of Defense, it must
allocate resources more efficiently
to enhance the quality of public
education. Needed improvements
include creating and implementing
a proper performance management
system aimed at retaining the most
qualified teachers and releasing the
low performers. Moreover, school
infrastructure, including buildings,
teachingresources,andICTintegration,
must become priorities in order to
provide children with equal access to
learning resources.

8. 12 13
Future Action
Advocacy
• Push The Government To Allow For New Entrants Into The Telecom Sector
• Push The Government To Regulate The Bus Transportation System By Creating
A Body Responsible For:
- Identifying Minimum Quality Standards For Buses And Issuing Their Licenses
- Identifying Bus Routes, Times, And Stops, And Issuing Bids For Private Bus
Companies To Provide The Service
• Push The Government To Better Regulate The Services Of Taxis, Including
Safety Standards And Pricing Strategies (E.g., Installing Taxi Meters)
• Push the government towards serious reform of the electricity and water
sectors through public-private partnerships
• Push for the adoption of a modern performance management system for
teachers and improved school infrastructure, including buildings, teaching
resources, and ICT integration in all regions of Lebanon
• Push for planning and implementation of alternative means of transportation,
including a railway system, tramway systems, and water ferries.
Advocacy
Awareness
• Spread awareness on the harmful environmental and health impact of using
private vehicles as opposed to alternative means of transportation
• Spread awareness on the negative economic, environmental, and health
impact of relying on private generators to produce electricity
• Spread awareness among citizens on the water supply difference between
regions, where some receive water one hour per day while others receive water
24 hours a day.
• Spread awareness on the different forms of privatization, considering the
advantages and disadvantages of each, with a focus on public-private partnerships
Awareness
Monitoring
&Reporting
• Monitor and report on the implementation of existing laws and policies aimed at
enhancing market competition and promoting privatization of public infrastructure
• Monitor and report on supply and pricing in different regions of:
- Government-generated electricity
- Private electricity generators
- Government-supplied water
- Privately supplied water
Monitoring
&Reporting
Capacity
Building
• Build the capacities of public school teachers by introducing them to new and
modern teaching methods
• Build the capacities of public sector officials in developing and implementing
transparent procurement procedures to ensure the best service providers are
selected to implement infrastructure improvements
Capacity
Building
SHORT TO MEDIUM TERM LONG TERM

9. 14 15
CSO initiatives in Lebanon have shown little focus on key issues related to the cost
of living, which are viewed as highly economic and political in nature. Problems
related to the supply and quality of electricity, water, public transportation,
and education have persisted for decades and become part of the Lebanese
lifestyle. Citizens have grown accustomed to paying absurd fees for illegal private
generators, private water suppliers, and private education. It is up to civil society
to lead the way and move citizens out of the current status quo by reminding them
that access to electricity, water, and education is a basic human right that should
not be controlled by the cartels of influential individuals.
As the high cost of living affects every single citizen and household in Lebanon,
civil society should not shy away from these issues because they are ultimately
controlled by politicians. There is a need to move beyond citizen complaints
about the high cost of living and towards concrete measures aimed at spurring
government action. The following are suggestions for illustrative activities based
on expert roundtables, interviews, and focus groups, which can be adopted by
NGOs, CSOs, and CBOs to improve the purchasing power of citizens in Lebanon.
Illustrative Activities
Illustrative Activities at the
National Level:
Use multiple media platforms
to raise citizen awareness and
knowledge of the root causes
behind the high cost of living by
simplifying complex economic
concepts so they can be grasped
by most laypersons.
Create a non-politicized coalition
of national and local CSOs,
NGOs, academic and research
institutions, and relevant
syndicates to pressure the
relevant authorities to adopt the
policy recommendations in this
brief. The coalition should:
• Have a clear vision and common
understanding of the policy
recommendations to advocate
• Map and report infrastructure
gaps in different regions of
Lebanon
Develop a coordinated advocacy
strategy that includes:
> National and customized
evidence-based research and
content, with support from an
academic institution and targeting
specific stakeholders
> Meetings with decision-makers
to place the issue on their agenda
> National media campaigns to
disseminate advocacy messages
Monitor and report on the
development and implementation
of government policies and plans
to ensure measures aimed at
improvementofpublicinfrastructure
are properly implemented.
Periodically evaluate the
effectiveness of the policy
recommendations and their impact,
proposing modifications as necessary
with the proper advocacy efforts to
push for adoption of the modifications
by the relevant authorities.
Illustrative Activities at the
Local Level:
Identify rural areas where there is an
urgent need for basic infrastructure,
and create in each area a local
group to advocate for infrastructure
improvements. The local groups
should be composed of local
NGOs, CSOs, CBOs, municipalities,
representatives of the local private
sector and the educational sector.
The group should receive the
necessary support in terms of
capacity building and resources
to identify its goals, structure,
strategies and tactics based on the
local infrastructure priorities. The
main activities should revolve around:
Monitoring and reporting the price
and status of privately generated
electricity, private and public water
supply, public transportation,
public education, and the internet
censorship policies and practices.
Push the relevant central
authorities, both ministries and
public institutions, to commit to
specific infrastructural projects in
the local area.
Monitor the improvements
in infrastructure, including
procurement procedures and
systems used by the relevant
authorities to ensure transparency
and accountability.
Develop pilot projects at the local
level with the support of donor
agencies and expatriates targeting:
• The establishment of a bus
transportation system at the
local level (at the level of a
municipality or municipality
union) regulated by the public
sector and operated by the
private sector with:
> Specific bus routes, stops,
and schedules developed
based on the need
> Safety regulations for the
private buses and driver
qualifications
• The introduction of new
educational techniques and
technologies at local public
schools with the necessary
training for the local teachers.
• The implementation of effective
and innovative projects for the
processing and distribution of
clean water in a sustainable
manner.

10. 16 17
The suggested policy option must be endorsed by key stakeholders and policy-
makers to be implemented. The influence that the various stakeholders yield
on the decision-making process will determine how they should be engaged
and the messages they should receive. Below is a list of stakeholders to be
considered.
> President of the Republic
> Council of Ministers
> Higher Council for
Privatization
> Council for Reconstruction
& Development
> Ministry of Education
& Higher Education
> Ministry of Energy & Water
> Ministry of Public Works
& Transportation
> Ministry of Telecommunications
> Municipalities
> Chamber of
Commerce
> CAS
> EDL
> Political parties
> Private sector
> Syndicates
> Media outlets
> Voters
> Academia &
research institutes
> NGOs, CSOs, & CBOs
Each of these entities requires a different strategy and approach to ally it with
the suggested policy. The following table highlights the incentives for the key
stakeholders to adopt or support the proposed policy. These incentives can form
the basis for developing communication messages to persuade the stakeholders
to take action.
Stakeholders Incentives
Private Sector
Improved infrastructure will reduce operational and
production costs for businesses.
Council of
Ministers
More foreign investment and economic growth will
increase revenue sources for the government while
reducing the deficit from EDL.
Municipalities
Improved infrastructure in rural areas will encourage
balanced development across the country, thus
benefiting most municipalities.
NGOs, CSOs, and
CBOs
Better infrastructure will improve the quality, supply, and
prices of electricity, water, telecommunications, public
transportation, and education for citizens.
Engaging Different Stakeholders Partial List of References
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