Mr. Enrique Iglesias
President of the Inter-American Development Bank
Mr. Omar Kabbaj
President of the African Development Bank
Mr. Tadao Chino
President of the Asian Development Bank
Mr. Jean Lemierre
President of the European Bank for Reconstruction and Development
Mr. Peter Woicke
Vice-President of the International Finance Corporation
Demands to MDBs
regarding the World Panel on Financing Water Infrastructure
Inter-American Development Bank, African Development Bank,
Asian Development Bank, European Bank for Reconstruction and
Development and International Finance Corporation (IFC) have
committed to the World Panel on Financing Water Infrastructure
(Camdessus Panel*), and were involved in creating the report
of "Financing Water for All". This panel is attempting
to influence the ministerial declaration at the Third World
Water Forum. In this report, the above Multilateral Development
Banks (MDBs) are promoting the role of private investment
in the water infrastructure and "Public Private Partnerships".
However, rapid increase in water rates and the deterioration
of water quality and water services has been caused by water
privatization and commercialization, especially in the developing
countries. There are many cases where privatization and commercialization
of water have increased the financial burden on poor people,
and worsened their health conditions. Water is a fundamental
necessity for life, therefore, the management of water services
should be conducted in a democratic and transparent way.
If MDBs consider poverty reduction as their primary objective,
they should reconsider the non-transparent decision-making
process with institutions such as the World Water Council
(WWC) and the Global Water Partnership (GWP), and rather,
should implement water resource policies with consideration
to the following points:
1. MDBs often include water privatization and commercialization
in their loan conditions, and promote water privatization
and commercialization through technical assistance to developing
countries. However, there are many cases where water management
by the private sector has failed. Therefore, MDBs should not
include water privatization and commercialization in loan
conditions.
2. MDBs should prioritize improvement the poor's access to
water. MDBs should evaluate development aid comprehensively
with the participation of stakeholders, including those who
are affected by the projects, to determine whether aid has
been used appropriately to increase access to water by the
poor.
3. The present development aid policies of MDBs support private
enterprises through various means such as guarantees and debt
relief. MDBs should give priority to water service management
conducted by democratic and transparent public bodies and
communities-not corporations.
4. Decision-making on water management should be conducted
in a democratic and transparent manner. MDBs must recognize
that privatized water services worldwide have often resulted
in lower water quality and water rates that have further deepened
poverty.
5. Water is a fundamental necessity for life, and should not
be treated as a mere economic commodity. MDBs should not promote
the indiscriminate full-cost recovery approach to water pricing.
6. MDBs should support the study and promotion of alternatives
to privatization and commercialization of water including
management, regulation and monitoring systems by public bodies
and by communities.
*The Camdessus Panel was established by the GWP and the WWC
towards the Third World Water Forum. The Chief of the panel
is Camdessus who is the former Managing Director of the IMF,
and this panel is composed of leaders from MDBs, private investment
banks, private water corporations, experts and NGOs.
Endorsed by following individuals and organizations ( 10
organizations and 29 individuals as of 21 March 2003):
Organizations;
Alliance for Democracy, USA
AM-Net (Advocacy and Monitoring Network on Sustainable Development),
Japan
A SEED JAPAN, Japan
Bank Information Center, U.S.A.
Environmental Foundation Limited, Sri Lanka
Freedom From Debt Coalition, Philippines
Friends of the Earth Sri Lanka, Sri Lanka
Friends of the Earth Japan, Japan
Japan Center for a Sustainable Environment and Society (JACSES),
Japan
IBON Foundation, Philipines
Individuals;
Ahalid Hussein, Pakistan
Alhassan Adan, National Coalition Against Privatization of
Water (NCAP), Ghana
Alsar H. Trfoi, RFSTE, India
Atuko Miwa, Japan
Aviva Imhof, International Rivers Network (IRN), U.S.A.
Brian Tomlinson, Reality of Aid, Philippines
Budi Widianarko, Coalition for Rights for Water, Indonesia
Eiji Ishikawa, Japan
Farhana Wagha, Action Aid, Pakistan
Joan Carhieg, Crdellera People Alliance, U.S.A.
Hiroshi Kanno, CCN, U.S.A.
Holly Wren Spauldin, Sweetwater Alliance, Philippines
Kazumi Sakamoto, ODA Watchers, Japan
Michael Simon, Australia
Michael Tugling, Clemonts National Welfare Rights Union, U.S.A.
Moses Kawbou, ORCADE, Burkina Faso
Nadia Hadad, International NGO Forum on Indonesian Development
(INFID), Indonesia
Nagase Riei, Japan
Nancy Alexander, Citizens' Network on Essential Services,
U.S.A.
Nila Ardhianie, Indonesian Forum on Globalization, Indonesia
Ohniwa Mariko, People's Forum on Water, Japan
Melita Grant, AID/WATCH, Australia
Olivier Hoedeman, Corporate Europe Observatory (CEO), Netherlands
Rod Harbinson, Friends of the Earth Netherlands, Netherlands
Simon Herskovlts, Western Environmental Law Center, U.S.A.
Stephen Gasteyer, U.S.A.
Tokuyuki Nakanishi, People's Forum on Water, Japan
You Thayoun, Indonesia Centre of Investigation, Indonesia
Yu Tanaka, Japan |