SYNTHESIZING PRIOR RESEARCH ON BLUE ACCOUNTING, MFCA, ABC, AND PUBLIC HEALTH: TOWARD AN INTEGRATED WATER GOVERNANCE FRAMEWORK FOR FRAGILE STATES

Abstract

Water governance in fragile states remains a persistent and multifaceted challenge, driven by political instability, weak institutional capacity, and limited integration of environmental and public health data (Akhmouch & Clavreul, 2020; UN-Water, 2021). This study synthesizes prior research on Blue Accounting, Material Flow Cost Accounting (MFCA), and Activity-Based Costing (ABC), aiming to develop a multidimensional framework that supports integrated water resource management in fragile contexts. Blue Accounting has emerged as a transparent tool for linking water-related investments and outcomes across institutions and sectors (Schultz et al., 2021). MFCA enhances resource-use efficiency by identifying material and energy losses within water systems (Christ & Burritt, 2021), while ABC supports cost transparency and accountability across complex service chains (Kranenburg et al., 2020). Integrating these cost-based approaches with public health indicators—such as access to safe drinking water and incidence of waterborne diseases—can enable evidence-based policymaking, improve intersectoral coordination, and strengthen resilience in water governance. The proposed conceptual model addresses the institutional and operational challenges facing fragile states and offers practical guidance for sustainable, equitable, and accountable water resource management.