Current debates on urban governance suggest that multi-stakeholder arrangements between providers and users of environmental services - especially those in which there are direct links between providers and users in decision-making - lead to more accountability and better performance in service provision. The article analyses the situation in two municipalities around Chennai, India, with regard to a major type of environmental service under construction. It compares a successful and non-successful case of underground sewerage system investment, analysing the factors in multi-stakeholder arrangements that led to different results. The study is based on strategic interviews with governmental and civil society organisations involved, and on-site observations on the level of service. The study looks at inclusion of citizens and other stakeholders, decision-making patterns and accountability, and assesses outcomes in terms of equitable distribution of services. It concludes that multi-stakeholder arrangements are limited to middle-class neighbourhoods, where a high level of RWA organisation promotes accountability. Trusted political leadership is a pre-requisite for success, and political interference from opposing parties at the higher state level, are important factors explaining the differences in the outcomes found. (c) 2006 Elsevier Ltd. All rights reserved.
