BONN--The
UN's International Conference on Freshwater got
down to nitty gritty Tuesday with accusations against
privatization in water services and businessmen "just
itching" to answer in the plenary and at later
working sessions.
The
Chairwoman of the plenary session, Uschi Eid, secretary
of the German economic cooperation ministry, set the
goal by saying that after Monday's opening general
remarks delegates had to get down to business and set
strategy.
"We all know
the facts," she
said. "What is
needed now is action."
Debate in the circular
auditorium at the Bundeshaus,
the former German federal
parliament, packed
with official government
delegates and representatives
of nongovernmental
organizations, labor,
women's groups, local
authorities, and business
and industry, centered
on the roles of government
and private industry.
David
Boys of Public Services
International
a union organization
he said represents
20 million workers
in 150 countries, argued
caution in the use
of private companies
to supply water. He
said "water is
a natural monopoly
and the markets are
captive markets."
He
accused private corporations
of "manipulation
of profits and draining
water profits out of
countries."
He cited what he said
were examples of private
water companies who
used water profits
from poor countries
to subsidize purchases
in unrelated fields,
and when the subsidiaries
ran into trouble laid
the loss burden on
the water projects.
"Corporations
don't exist to serve
the poor. " He
said" this cannot
be business as usual. " Answering
quickly Gerard Payen
the director of Suez,
an international water
company, said" corporations
are interested in serving
the poor. "
Payen
said of the one million
people
receiving water from
his company in Manila,
300,000 are shantytown
dwellers who did not
have it before; that "corruption
is the scourge of the
water sector" and
his company fights
it every day, and that
conference participants
should ²stop posing
public against private
sectors."
"The people are
waiting for water," he
said.
Albert
Fry of the world
Business Council
for Sustainable Development
said he and at least
five of his business-oriented
colleagues at the convention "will
certainly have a lot
to say in the conference
workshops and we are
itching to respond" to
claims such as Boys'. "The
crux is that users
ultimately have to
pay. Since we are worrying
about the poor people
it becomes a matter
of allocation. And
then it becomes a mater
of raising outside
development assistance. "But
you can't get there
from here with outside
development assistance.
We must raise capacity," he
said. "But this
is not a public verses
private argument. It
is an efficient verses
inefficient argument.
People will pay a price
for fresh water. What
is needed is a dialogue,
even with labor unions,
who don't seem to like
us very much. "
George
Carpenter of the
Proctor and Gamble
corporation, in arguing
for private enterprise,
said 'we cannot do
it alone."
"Governments
need to create an enabling
environment," he
aid. We need basic
law that is both flexible,
and in force," he
said.
Jim
Oatridge of Severn
Trent, a British utility,
said the conference
was bogged down in
a "myth" of
an argument over ownership
of water. Water, he,
said should certainly
be in the public domain,
but that private companies
should be brought in
-- "only by request" --
to work on training
development, management,
technology transfer,
and other areas where
their skills may be
greater than those
in a given country.
Oatridge
told Conference News
Daily that with
1.2 billion persons
without access to safe
water, "the existing
models are failing
society."
Peter
Dafov a labor representative
from
Bulgaria suggested
the conference set
up a body to monitor
land control water
prices internationally.
He said that privatization
in Eastern Europe had
caused "havoc" and
layoffs on a large
scale.
Speaking
briefly with Conference
News Daily
after his remarks Boys
said that "privatization" had
become a disruptive
term, but "so
we don't use it any
more." "Now
we call it partnership," he
said. "It is the
same thing."
He said that foreign,
private companies did
not really invest in
poorer countries, but
simply used available
outside funding from
development agents.
"A typical water
project will bring
in only about five
per cent the capital
from the private company," he
said.
A
representative of
Namibia made a distinction
between privatization
and commercialization,
claiming that in his
country the government
commercializes water,
selling it to those
who can afford to pay
but providing it for
free to those who cannot.
A delegate from Bangladesh
said large scale dams
were a necessity in
his country, where "we
have too much water
at some times, and
too little at others." Anne
Weir, of Unilever,
a multinational corporation,
said "Effective
governance is vital
to business investment," she
said.
She
called for "more
emphasis on setting
internal targets and
goals. "
"Clear and practical
intentions will attract
business investment" she
said.
Cesar
Gutierrez Cascante
of Mesa Nacional Campesina
of Costa Rica, said
the farmers of the
world "see a the
state as the guarantor
of water resources."
"Set prices should
be put into code, and
a long-term strategies
announced?" he
said, to enable farmers
to be able to depend
over the long run on
government and water
policies. And these
set prices should take
into consideration
the size and kinds
of farms and the ability
of the farmers to pay."
"And
as research is an
important role
in water, irrigation
and drainage technology,
it should be directed
by pubic authorities
and not left in the
hands of multinational
corporations."
Kaarin
Taipale of Finland,
representing
local governments said, "Flexibility
is need in the approach
to all water issues."
"Local governments
will never run out
of water problems,
and what we need are
procedures that are
participatory and therefore
can continue to go
on over the long run," she
said.
Later
Taipale told Conference
News Daily
that "the very
participation of local
government representatives
in the Bonn water conference "was
the event itself, --
it was a major achievement."
Dr.
Marcella de Souza
of the Watershed Development
Trust in India speaking
for the nongovernmental
organizations (NGOs)
said, "water resources
management should be
participatory and the
decisions should be
made at the lowest
possible level."
"Water should
be kept out of international
trade negotiations," she
said.
"Whilst we support
partnership of various
kinds, we strongly
believe that partnerships
should not be imposed,
and partnership should
not be a conditionality
of external financing," she
said. "Small scale
decentralized approaches
should be prioritized.
Large scale infrastructure,
such as large dams
and long distance pipelines
should be a last resort," she
said.
The
delegate from Iraq
said that in his
country the largest
use of water is for
agriculture, and "selling
and pricing water would
mean the large scale
use of monitoring systems
and observers which
wouldn't be practical
and it would mean k,
in the end, the reduction
of farm income."
"Therefore," he
said, "selling
water is not advisable."
Fr.
Frank J Dewane, a
repetitive from the
Vatican said he found
the provision of water
was an ethical issue,
which simply put is "doing
what is doing what
we ought to do. " And
that, he said, meant
providing water "regardless
of cost effectiveness,
but because it must
de done."
Patrick McCuly of
the International River
Network, said he spoke
on behalf of NGOs when
he accepted a French
suggestion of a new
stake holders review
not only of what was
going on at the present
conference, but to
monitor stakeholder
interests at Johannesburg.
Danielle
Morley of the UN
Environmental
Development forum,
an NGO which helped
in the coordination
of the water conference
said " I would
like to compliment
the Germans (hosts)
in the bold step they
took in opening the
process here for the
NGOs and other stakeholders."
"These used to
be very dull meetings
of government people" she
said "now they
actually have the stakeholders
involved. They are
to be congratulated. "
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