ental protection and pollution control that the influence on water services is most marked. The raft of directives includes: Drinking Water, Bathing Waters, Wastewater Treatment, Habitats and more recently the Water Framework Directive. All of these had and continue to have a significant impact on the requirements for and provision of infrastructure to meet their conditions. They have also had an impact on the way services are provided and on operation and maintenance activities. The directives have been instrumental in the re-evaluation of the institutional and organisational structures of water service delivery at the level of the state and local levels and have opened up the industry to greater and varying forms of private sector involvement. Meeting directive requirements, given the backlog of past problems and the scale of their objectives, will continue to be a driver for investment in new infrastructure (e.g. Mohajeri et al., 2003). In the United Kingdom some 30% of investments are connected with environmental and quality drivers - approximately 0.25% of GDP; in some countries, given the catch-up required, it could be more. Other regions of the world have aspired to emulate the European model in one form or another, although none has come to a similar degree of co-operation. The impact on infrastructure of the WTO is perhaps more indirect; it tends to be concerned with the terms and openness of trade and services, although of relevance are "dispute settlement panels" that attempt to resolve domestic environmental regulatory problems (Oye, 2005). WTO's main role will probably be to encourage greater participation of the private sector and especially TNC/MNC in the provision of water services. As such it would influence the sources, availability and terms of financing of operating and capital expenditures. However, WTO has influenced behaviour by, for example, ruling against provisions in the US clean air act and sea turtle protection, and also against EU, Australian and Japanese environmental regulations, m