Original disclosure @ IADB website
Updated in EWS Oct 8, 2026
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The TC aims to design, implement, and rigorously evaluate low-cost behavioral interventions to reduce delinquency in paying residential water bills, accelerate debt regularization, and improve users' understanding of the tariff structure. The proposal addresses a problem relevant to the provider's financial sustainability: approximately 13% of bimonthly residential billings are not paid on time, and accumulated arrears exceed US$140 million, limiting OSE's operating, maintenance, and investment capacity, particularly for climate-resilient infrastructure. The Bank's added value consists of combining sector experience in water and sanitation with specialized capacities in behavioral economics and impact evaluation. The TC will generate the first rigorous evidence in Latin America on behavioral interventions to improve payment compliance in water services, through a randomized controlled trial comparing redesigned notifications and SMS/WhatsApp reminders, as well as their complementarity. The TC is linked to operations UR-L1207 and UR-T1349, aimed at strengthening water resource management, service quality, and reducing drinking water losses, and to operation UR-L1213, currently in preparation, which includes actions to reduce commercial losses in the Costa de Oro region. It also contributes to the IDB Group's Country Strategy with Uruguay by strengthening public resource management, environmental sustainability, and social inclusion through more sustainable, affordable, and resilient water services.
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The Independent Consultation and Investigation Mechanism (MICI) is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an Inter-American Development Bank (IDB) or Inter-American Investment Corporation (IDB Invest)-funded project. If you submit a complaint to MICI, they may assist you in addressing the problems you raised through a dispute-resolution process with those implementing the project and/or through an investigation to assess whether the IDB or IDB Invest is following its own policies for preventing or mitigating harm to people or the environment. You can submit a complaint by sending an email to MICI@iadb.org. You can learn more about the MICI and how to file a complaint at http://www.iadb.org/en/mici/mici,1752.html (in English) or http://www.iadb.org/es/mici/mici,1752.html (Spanish).