SUMMARYReform of the rural water supply sector occurred widely in the 1990s, when many low-income countries replaced state-led service provision with decentralized community management in the hope of generating improved technical and financial performance. This article asks whether these expected benefits have materialized in practice, and whether community management has strengthened institutional capacity at local, district and national level. Findings from a mixed-methods study in four districts of Malawi show that both technical and financial performance under community management is weak. Maintenance is rarely done, repairs are slow and sub-standard, and user committees are unable to collect and save funds: Average savings are just 2% of expected levels. Despite these failures, community management has 'worked' for the state (and donors) as a means of offloading responsibility for public service provision. The article suggests elements of an alternative framework for rural water supply that would tackle the technical and financial failures of community management, and notes that efforts to promote 'local ownership' in development must be undertaken with care.

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