Article // Intergovernmental Fiscal Relations: Questions of Accountability and Autonomy

By Linda Gonçalves Veiga (Núcleo de Investigação em Políticas Económicas (NIPE), Universidade do Minho), Mathew Kurian. — This chapter addresses issues related to the financing of public services in a multilevel system of government, focusing on water, soil, and waste resources management. Because subnational governments play a key role in this sector, capacity building on public finance topics that influence their performance is crucial for the nexus approach to environmental resources. The chapter discusses optimal arrangements for decentralized frameworks as well as the impact of decentralization on policy outcomes and government accountability. It also analyses recent trends in service delivery, namely larger participation of the private sector and of local communities, and recent financing models aimed at improving service delivery.