Networks in infrastructure with applications to Latin America and the Caribbean

Abstract

The primary drivers of the creation of infrastructure networks are the benefits that can be achieved through collective action. For example, global and regional networks of regulators enable agencies to obtain inputs and create outputs that would otherwise be unavailable or very expensive. Such organizations act as intermediaries, providing forums for discussions, sharing data for benchmarking, producing public pronouncements, developing materials for stakeholders, providing capacity building for professional staff, and evaluating best practice laws (and procedures) that address institutional and policy issues. This article provides a census of such organizations, with particular emphasis on organizations within Latin America and the Caribbean. Although there is some evidence that these activities influence national regulations through the provision of benchmarking data and adoption of shared principles, quantifying those impacts is difficult. Organizations providing infrastructure services also collaborate within and across nations. These operator and regulatory networks can be across countries, within nations, or mixed in nature. Some are more ministerial in structure, while others were created to strengthen regulatory autonomy. Regulatory networks strengthen the operational capacity of national regulators, provide opportunities for improving staff expertise, promote the theme of greater independence of agencies, and reinforce their legitimacy as agencies that can improve infrastructure performance. Operator networks emerged as organizations for promoting best practice, sharing experiences, and developing strategies for dealing with operational and regulatory challenges. Examples from Latin America and the Caribbean illustrate the growth of networks that provide a wide range of “outputs” for those developing, implementing, and responding to public policy.