navigation aids and oil-response facilities but also ensures measures are taken to prevent accidents such as oil spills. The use of a UPP system for shipping operators ensures the burden of the cost of provision of those services used only by shipping operators is borne by them. One of the characteristics of the UPP system is that those benefiting from the service must pay for that service ensuring the cost is not borne by those not receiving any benefits.
The Adam Smith Institute (2003) point out that state-run services such as police forces create monopolies, reduce service provision and lack any real control with regard to cost. There is no incentive to provide a competitive service because there is no competition. Quality is not at a premium and as there is no incentive to reduce or control costs and maximise performance, the public suffers. Under a UPP system private competition could be introduced with a public-private sector partnership where some servic
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