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There's some shit that's just basic, commodity technology with no real room for high margins or disruptive interventions. No upside to trying to be clever about it. Raise taxes, provide the services, move on.
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Yes. There are pipeline inspection robots, roads that generate solar power etc. That innovation stuff is meant for the private sector and public utilities etc should be just buying that stuff from them when it becomes available. Not drop the ball on having water/roads at all.