Accountability in the privatized state
By: HODGE, Graeme A
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Contributor(s): COGHILL, Ken.
Material type: 
ArticlePublisher: Oxford, UK : Blackwell Publishers, October 2007Governance : an international journal of policy, administration, and institutions 20, 4, p. 675-702Abstract: As well as better efficiency and improved services, privatization has also often promised improved accountability. But how does the empirical evidence on this look and what are the lessons here? This article looks at the notion of accountability and the degree to which privatizing public sector activities might improve or worsen such mechanisms. It then looks specifically at the different systems of accountability existing following three privatization activities in Victoria and compares these against that existing previously under public operation. The sale of electricity sector enterprises, the operation of urban rail service franchises, and the implementation of a publicprivate partnership project to supply transport infrastructure are adopted as case studies. For each case study, accountability systems are articulated and the operation of these systems is discussed. Overall, the article analyses the effectiveness of accountability systems now operating in the privatized state from the perspective of stakeholders. Importantly, the degree to which trade-offs may have been made under new accountability arrangements is also discussed. Finally, the article draws together some general lessons on accountability for future privatization activities and proposes a conceptual model for a pyramid of accountability
As well as better efficiency and improved services, privatization has also often promised improved accountability. But how does the empirical evidence on this look and what are the lessons here? This article looks at the notion of accountability and the degree to which privatizing public sector activities might improve or worsen such mechanisms. It then looks specifically at the different systems of accountability existing following three privatization activities in Victoria and compares these against that existing previously under public operation. The sale of electricity sector enterprises, the operation of urban rail service franchises, and the implementation of a publicprivate partnership project to supply transport infrastructure are adopted as case studies. For each case study, accountability systems are articulated and the operation of these systems is discussed. Overall, the article analyses the effectiveness of accountability systems now operating in the privatized state from the perspective of stakeholders. Importantly, the degree to which trade-offs may have been made under new accountability arrangements is also discussed. Finally, the article draws together some general lessons on accountability for future privatization activities and proposes a conceptual model for a pyramid of accountability
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