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Learning Objective

Learning Objective

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Learning Objective

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  1. Learning Objective • To understand what TNCs and NGOs ( key players) are doing to solve water scarcity Why ? Using named examples, assess the role of different players and decision makers in trying to secure a sustainable ‘water future’.(15)

  2. TNC’s • Why will TNC have more of a say over water in the future? • What advantages does privatisation of water supplies bring? • What problems can privatisation bring? • Do you think privatisation of water supplies is a solution to water scarcity?


  4. P90 Oxford

  5. There are many advantages of water privatisation. • Private companies are often more efficient than governments due to free market competition leading to ‘lower prices, improved water quality, more choice, less red tape and quicker delivery’. • Privately-owned industries often have more incentive and expertise to ensure their businesses succeed, whilst governments may be politically motivated and prone to corruption. Such factors allow private water companies to generate large profits and a high rate of return, allowing further investment. • publicly owned companies are ‘required to be more accountable to the broader community and political stakeholders’ private companies are better able to serve their customers and make unbiased decisions. • Private companies also have a greater financial ability to finance the large investments and technical expertise needed to repair and improve the water systems and meet new European water quality standards. • In cities in India, private operator, Veolia, increased water supply from once every two to 15 days for a couple of hours to 24/7 water for 180,000 people (12 per cent of the population of the three cities) within two years of starting operations in 2006. • Though in many cases prices increased for those who previously had access to water, millions finally had access to piped water, thereby lowering child mortality — and facilitating better hygiene. • the current inefficient system actually is much more expensive for the poor because of the high cost per unit and productive time lost in collecting water.

  6. WATER BILLS FOR LUCIO MORALES Classified “R-2” Morales’ household is among the very poorest of the poor. As the bill indicates, there is no meter reading, no increase in water use. This is one of many houses that have no water meter and billed based on a basic rate. This bill would amount to more than 10% of the monthly minimum wage at the time.

  7. WATER BILLS FOR GERMAN JALDIN Classified “R-3” Jaldin’s household is just a notch among the very poorest, meaning that they may have an indoor shower or tap in the kitchen. Mr. Jaldin’s monthly increase was equal to more than 20% of a monthly minimum wage salary, a typical earning for households with his water rate classification.

  8. Cons of privatisation • In their efforts to recoup often significant investments, private water companies usually increase prices on the water they provide.  In some cases, these price increases have been so hefty as to knock poor consumers out of the market entirely, leaving them, again, with no access to water because they cannot afford it even when it is physically accessible. • The UN Development Program notes that privatization has hurt many in the developing world, where poor people pay some of the highest prices for water.  For example, the poorest 20% of households in El Salvador, Jamaica, and Nicaragua spend up to 10% of their income on water.     • Privatization schemes often appear undemocratic in that they exclude the citizenry from the decision-making processes in what was formerly a public utility.   • Privatization often results in local job losses as multinational corporations and conglomerates both reduce work forces through improved efficiencies and transfer jobs to workers in other countries. • When profit is a motive in water provision, less lucrative services often suffer.  Efficiency dictates that resources go where they produce the highest return – this means poor rural areas and other hard-to-serve customer bases get lower priority. • In some cases, private companies have retreated from particularly poor areas where returns on investment have been low or from areas where local resistance and protests against privatization have made for bad public relations – see below.  In these cases, the cost of picking up the pieces is often higher for local governments than it might have been had the private companies not been there in the first place.

  9. Rising Prices and Deteriorating Water Quality Australia - In 1998, the water in Sydney, was contaminated with high levels of giardia and cryptosporidium shortly after its water was overtaken by Suez Lyonnaise des Eaux. Canada - At least seven people died as a result of E. coli bacteria in Walkerton, Ontario, after water testing had been privatized by A&L Labs. The company treated the test results as "confidential intellectual property" and did not make them public. Morocco - Consumers saw the price of water increase threefold after the water service was privatized in Casablanca. Argentina - When a Suez Lyonnaise des Eaux subsidiary purchased the state-run water company Obras Sanitarias de la Nacion, water rates doubled but water quality deteriorated. The company was forced to leave the country when residents refused to pay their bills. Britain - Water and sewage bills increased 67 percent between 1989 and 1995. The rate at which people's services were disconnected rose by 177 percent. New Zealand - Citizens took to the streets to protest the commercialization of water. South Africa - Water became inaccessible, unaffordable, and unsafe after the water supply was privatized by Suez Lyonnaise des Eaux in Johannesburg. Cholera infections became widespread and thousands of people were disconnected from their supply of water.

  10. Other things TNC can do • GM crops • Trade more in virtual water

  11. Name as many NGOs as you can

  12. What is the Link?

  13. WaterAid – an NGO Very good advert on water aid Water aid solutions

  14. Water Aid Projects - Sustainable? Works in 17 countries globally Ethiopia • Mobile toilets have been established in the capital Addis Ababa • These help keep the environment clean • Provides the homeless with employment Uganda • In the Wakiso district educate people about sanitation methods. Involves : - Maintain water sources and stop animals using it - Locals are taught how to construct latrines, so the water does not become contaminated with faeces Ghana • Here over 5 million have no access to clean water • Wateraid provided tools and education on how to dig wells to pump clean water – go below the water table and put stones in bottom to act as filter • Villagers form a committee and decided where the well will be • Some trained in how to repair • Impacts – more people attend school, less illness, more people sell food and ice water, less time to fetch water Bangladesh • Water Aid and its partners negotiated with the Dhaka city water authorities for permission to establish communal water points, where slum communities can access water from the city water supplies through hand pumps • The water points are run on a cost-recovery basis where users pay a small fee to the community management committee to use the facilities

  15. Watch if time – advert on solutions from WaterAid

  16. TaskPlan an answer to the following question Evaluate the view that reducing water demand is better than trying to increase water supply ? Examples 1. Dams – 3 gorges, Aswan 2. Water transfers – China, Spain Lesotho 3. Restoration – Aral sea, River Kissimmee 4. WaterAid v Privatisation 5. Desalination 6. Virtual water 7. Conservation examples • Structure • Intro – why water problem • 2. Main • a. Increase supply good • b. Increase supply bad • c. Reduce water demand good • d. Reduce water demand bad • 3. Conclusion – look to the future, consider sustainability Evaluation throughout

  17. Water Conflicts overview Water Resources Water Conflict Potential conflicts=high both local & international Resource use often exceeds recharge capacity leading to long term degradation Future is in doubt because of unsustainable use+ climate change Vulnerable populations most at risk Management strategies to ensure supply require cooperation of many different players = changes in way water is valued & used • Water like energy is a fundamental need but not evenly distributed • Factors influencing geography of supply: • Physical-surface, groundwater, desalinisation • Human: demand, management, mismanagement • Increasing demand not matched by supply= WATER GAP • Implications for human well being- which is why it is named in the MDGs • Demand from various users • Water resources are often transboundary • Water Futures • Water stress and scarcity are projected to increase because: • Climate change will make some areas more arid and rainfall more unreliable • Glacial water sources will reduce due to climate change • Unsustainable use of some supplies will decrease their quality and quantity • Demand will rise due to population and economic growth • Water wars will lead to winners and losers in water supply Therefore, there are alternative futures –It all depends on the decisions the players make.... and climate change, population trends, energy security, superpower politics, bridging the development gap etc…

  18. Synopticity-Water-Energy • Energy and Water: Solving Both Crises Together: • Water and energy are the two most fundamental ingredients of modern civilization • We consume massive quantities of water to generate energy, and we consume massive quantities of energy to deliver clean water • Peak Oil is topical. Peak Water or ‘Blue Gold’ is less thought about. There are tensions between the two: • An issue in energy rich states ,which are semi arid/arid: to sell cheap oil or keep to power desalinisation plants • Water is needed to generate energy. Energy is needed to deliver water. Both resources are limiting the other—and both may be running short. Is there a way out? energy problems, particularly rising prices, are curtailing efforts to supply more clean water. water restrictions are hampering solutions for generating more energy