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Thursday, March 23, 2006
Ong: World's water in private hands
By Ted Aldwin Ong
Misreadings
IT seems we are facing more bad news not only in the Philippines but also worldwide when it comes to the issue of water access and sanitation. What we are facing today is a global water crisis primarily because of water privatization.
The 2006 United Nations World Water Development Report stated that over "one billion people remain without access to clean drinking water and around 2.6 billion without adequate sanitation."
This grim reality is the reason why there is not much to celebrate marking the World Water Day last March 21 as highlighted by 11.11.11, a coalition of North South Flemish organizations based in Belgium with advocacy and campaigns on water privatization, among others.
Consumers under the Metro Iloilo Water District can attest this grim reality. Many consumers are confronted without water in their faucets as a result of water rationing, a prelude to a bigger problem - water shortage. Yet water rates continue to sore to unprecedented levels.
Control of water resources has become a global focus for monopoly of giant multi-national and transnational corporations. "Majority of the water companies involved in this global enterprise is European, and these companies operate in countries that sorely need water. Taken all together, the top three big water companies: Vivendi, Suez, Lyonnaise des Eaux and RWE-Thames cover almost the world with their presence in more than 130 countries with a customer base of over 120 million."
These private companies are well established in the Asian region with the upper hand of financial institutions like World Bank, Asian Development Bank and the European Investment Bank. These institutions are known promoters of privatization of crucial services like water and power.
Furthermore, these institutions also ensure the profitable climate of markets through intervention in government contracts that are geared towards ensuring monopoly. "The experience of Asian countries show that privatization has not come close to its promise of universal access to water; instead, it has made water service even more inaccessible to the poor with its high connection fees and tariff rates as in the case of the Philippines, Indonesia, India and other countries in Asia."
European companies are forcing its Asian counterparts to liberalize the market and enter into bilateral agreements. This is among the key issue during the World Trade Organization meeting in Hong Kong in December 2004 as part of the negotiations in the General Agreement on Trade and Services.
No kidding that these companies will move mountains and mobilize resources to make government laws and even the Constitution of target host countries more convenient and accommodating to the whims of Northern governments.
As we consumers continue to carry the heavy brunt of high water prices as a result of massive privatization of water services, let us join with our Asian brothers in demanding that European governments, the European Commission and the European Parliament to subject its privatization policy on water services to a thorough review with due consideration of experiences of Asian and other countries.
Moreover, we are also pressing that no new loans must be extended to countries in the South as far as privatization of water services is concerned while the review process is ongoing. Also, let us exact responsibility from private companies and transnational corporations by subjecting them to higher standards of efficiency, transparency and accountability for their projects overseas.
The contracts and agreements of these companies must be publicly disclosed to allow the participation and scrutiny of stakeholders and consumers.
In addition, water services must also be excluded from any trade negotiations and to exhort member governments to respect the right to water of the poor and marginalized communities through policies that do not trample on citizens' rights to decide on the mode of delivery of these services.
Privatization of water services must stop now or else there will be less and less reasons for the people to celebrate World Water Day in the years ahead. Comments to tao.ssi@gmail.com. (Ong writes for Sun.Star Iloilo)
(March 23, 2006 issue)
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