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Water For Profit
The World Bank requires about 1/3
of companies applying for loans to privatize their
water operations. These companies have gained a foothold
on every continent and within the next 15 years will
control up to 75 percent of waterworks.
Though South Africa's biggest problem
is water it is trying to end water subsidies, forcing
millions to seek water from polluted rivers and lakes…
Free water 'is not so good an idea,' managing director
of Vivendi, 'It is better to ask people --- to pay
something.' Free water, he said, 'gives the impression
that water is free, service is free and you can use
water as much as you want.'
In the Argentine, a million new people
were hooked up to the water system by 2000, which
failed to live up to contractual commitments and vanished.
In the Philippines, two companies
brought running water to thousands of poor people
but bailed out, leaving behind enormous debts.
In the 1970s Indonesia privatized
its utilities - while the poor continued to live in
the slums, usually without electricity or running
water - 'the companies ... just came in and robbed
everything that we had. —‘.
In Columbia, Cartagena privatized
its municipal water company at the end of 1994. 'Following
many years of chronic inefficiency, political interference
and poor quality of service, the Mayor decided to
liquidate the public utility,' after being offered
$40 million loan for water reform.
The Spanish company Aguas de Barcelona
won the 20-year contract but didn't take long to turn
a profit. Bogotá's water utility started out
in 1888 as a private company but became a public utility
in 1914. Now, the private companies want it back.
The utility’s general manager: 'There are huge private
interests after this company.'
In the U.S., private companies spent
millions of dollars to sway Congressional votes on
privatization laws. America's drinking water may not
be so cheap or public for long.
In Canada, Hamilton was the first
privatized large water utility… untreated human waste,
heavy metals and chemicals spilled into Hamilton harbour
and Lake Ontario. Payen says 'Canada is a vast untapped
market for profits.’. CUPE: ‘If Canadians were asked
in an open and transparent manner, they'd say we're
absolutely against having water taken over by private
corporations.'
In Australia after Adelaide privatized
its water, high levels of Cryptosporidium and Giardia
were found at several locations. More than 3 million
residents were forced to boil their drinking water.
Private investors extracted millions
in profits but they will not be held accountable,
jobs are lost, quality wanes causing outbreaks of
cholera - killing untold numbers … millions of poor
still do not have sewage, have had their water cut
off, or have been evicted from their homes for not
paying utility bills, which add up to 40 percent of
their monthly income.
City manager of Pekin, Ill: 'Why does
somebody need to make money on your water?’ 'Does
somebody need to make money off the air you breathe?
It is as simple as that.'
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Resources:
30 Nov 04 / '2AM GMT:
Promoting Privatization: http://www.publicintegrity.org/water/report.aspx?sID=ch&rID=44&aID=45
Water for Profit: http://www.cbc.ca/news/features/water/
World Bank Water Loans: http://www4.worldbank.org/sprojects).
France: http://www.publicintegrity.org/water/default.aspx?sID=ch&aID=47
South Africa: http://www.publicintegrity.org/water/report.aspx?sID=ch&rID=49&aID=49
Argentina: http://www.publicintegrity.org/water/report.aspx?sID=ch&rID=50&aID=50
Philippines: http://www.publicintegrity.org/water/report.aspx?sID=ch&rID=5'&aID=5'
Indonesia: http://www.publicintegrity.org/water/report.aspx?sID=ch&rID=52&aID=52
Columbia: http://www.publicintegrity.org/water/report.aspx?sID=ch&rID=53&aID=53
United States: http://www.publicintegrity.org/water/report.aspx?sID=ch&rID=54&aID=54
Canada: http://www.publicintegrity.org/water/report.aspx?sID=ch&rID=58&aID=58
Australia: http://www.publicintegrity.org/water/report.aspx?sID=ch&rID=59&aID=59
By Margot B
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About the Author Margot
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