Thousands have lived without love, not one without water.
–W.H. Auden, First Things First
A fierce resistance to the corporate takeover of water has grown in every corner of the globe, giving rise to a coordinated and, given the powers it is up against, surprisingly successful water justice movement. “Water for all” is the rallying cry of local groups fighting for access to clean water and the life, health and dignity that it brings. Many of these groups have lived through years of abuse, poverty and hunger. Many have been left without public education and health programs when their governments were forced to abandon them under World Bank structural adjustment policies. But somehow, the assault on water has been the great standpoint for millions. Without water there is no life, and for thousands of communities around the world, the struggle over the right to their own local water sources has been politically galvanizing.
A mighty contest has grown between those (usually power- ful) forces and institutions that see water as a commodity, to be put on the open market and sold to the highest bidder, and those who see water as a public trust, a common heritage of people and nature, and a fundamental human right. The origins of this movement, generally referred to as the global water justice movement, lie in the hundreds of communities around the world where people are fighting to protect their local water supplies from pollution, destruction by dams and theft–be it from other countries, their own governments or private corporations such as bottled water companies and private utilities backed by the World Bank. Until the late 1990s, however, most were operating in isolation, unaware of other struggles or the global nature of the water crisis.
Latin America was the site of the first experiments with water privatization in the developing world. The failure of these projects has been a major factor in the rejection of the neoliberal market model by so many Latin American countries that have said no to the extension of the North American Free Trade Agreement to the Southern Hemisphere and that have forced the big water companies to retreat. A number of Latin American countries are also opting out of some of the most egregious global institutions. This past May Bolivia, Venezuela and Nicaragua announced their decision to withdraw from the World Bank’s arbitration court, the International Centre for the Settlement of Investment Disputes (ICSID), in no small measure because of the way the big water corporations have used the center to sue for compensation when the countries terminated private delivery contracts.
Latin America, with its water abundance, should have one of the highest per capita allocations of water in the world. Instead, it has one of the lowest. There are three reasons, all connected: polluted surface waters, deep class inequities and water privatization. In many parts of Latin America, only the rich can buy clean water. So it is not surprising that some of the most intense fights against corporate control of water have come out of this region of the world.
The first “water war” gained international attention when the indigenous peoples of Cochabamba, Bolivia, led by a five-foot, slightly built, unassuming shoemaker named Oscar Olivera, rose up against the privatization of their water services. In 1999, under World Bank supervision, the Bolivian government had passed a law privatizing Cochabamba’s water system and gave the contract to US engineering giant Bechtel, which immediately tripled the price of water. In a country where the minimum wage is less than $60 a month, many users received water bills of $20 a month, which they simply could not afford. As a result, La Coordinadora de Defensa del Agua y de la Vida (Coalition in Defense of Water and Life), one of the first coalitions against water privatization in the world, was formed and organized a successful referendum demanding the government cancel its contract with Bechtel. When the government refused to listen, many thousands took to the streets in nonviolent protest and were met with army violence that wounded dozens and killed a 17-year-old boy. On April 10, 2000, the Bolivian government relented and told Bechtel to leave the country.
The Bolivian government had also bowed to pressure from the World Bank to privatize the water of La Paz and in 1997 gave Suez, a French-based multinational, a thirty-year contract to supply water services to it and El Alto, the hilly region surrounding the capital, where thousands of indigenous peoples live. From the beginning, there were problems. Aguas del Illimani, a Suez subsidiary, broke three key promises: it did not deliver to all the residents, poor as well as rich, leaving about 200,000 without water; it charged exorbitant rates for water hookups, about $450, equivalent to the food budget of a poor family for two years; and it did not invest in infrastructure repair or wastewater treatment, choosing instead to build a series of ditches and canals through poor areas of La Paz, which it used to send garbage, raw sewage and even the effluent from the city’s abattoirs into Lake Titicaca, considered by UNESCO a World Heritage site. To add insult to injury, the company located its fortresslike plant under the beautiful Mount Illimani, where it captured the snowmelt off the mountain and, after rudimentary treatment, piped it into the homes of families and businesses in La Paz that could pay. The nearest community, Solidaridad, a slum of about 100 families with no electricity, heat or running water, had its only water supply cut off. Its school and health clinic, built with foreign-aid money, could not operate because of a lack of water. It was the same all through El Alto.
An intense resistance to Suez formed. FEJUVE, a network of local community councils and activists, led a series of strikes in January 2005, which crippled the cities and brought business to a halt. This resistance was a prime factor in the ousting of presidents Gonzalo Sánchez de Lozada and Carlos Mesa. Their replacement, Evo Morales, the first indigenous president in the country’s history, negotiated Suez’s departure. On January 3, 2007, he held a ceremony at the presidential palace celebrating the return of the water of La Paz and El Alto after a long and bitter confrontation. “Water cannot be turned over to private business,” said Morales. “It must remain a basic service, with participation of the state, so that water service can be provided almost for free.”
Although they have received less international attention, similar battles over privatized water have raged in Argentina. Río de la Plata (Silver River) separates Buenos Aires, the Argentine capital, from Montevideo, the capital of Uruguay. For 500 years, it has also been called Mar Dulce (Sweet Sea) because its size made people think it was a freshwater sea. Today, however, the river is famous for something else: it is one of the few rivers in the world whose pollution can be seen from space. On March 21, 2006, the Argentine government rescinded the thirty-year contract of Aguas Argentinas, the Suez subsidiary that had run the Buenos Aires water system since 1993, in no small part because the company broke its promise to treat wastewater, continuing to dump nearly 90 percent of the city’s sewage into the river. In another broken promise, the company repeatedly raised tariffs, for a total increase of 88 percent in the first ten years of operation. Water quality was another issue; water in seven districts had nitrate levels so high it was unfit for human consumption. An April 2007 report by the city’s ombudsman stated that most of the population of 150,000 in the southern district of the city lived with open-air sewers and contaminated drinking water.
Yet as Food and Water Watch reports, the Inter-American Development Bank continued to fund Suez as late as 1999, despite the mounting evidence that the company was pulling in 20 percent profit margins while refusing to invest in services or infrastructure. Outrageously, with the backing of the French government, Suez is trying to recoup $1.7 billion in “investments” and up to $33 million in unpaid water bills at the ICSID. Suez had just (in December 2005) been forced out of the province of Santa Fe, where it had a thirty-year contract to run the water systems of thirteen cities. The company is also suing the provincial government at the ICSID for $180 million. Close on the heels of the Buenos Aires announcement, Suez was forced to abandon its last stronghold in Argentina, the city of Córdoba, when water rates were raised 500 percent on one bill.
In all cases, strong civil society resistance was key to these retreats. A coalition of water users and residents of Santa Fe, led by Alberto Múñoz and others, actually organized a huge and successful plebiscite, in which 256,000 people, about a twelfth of the population of the province, voted to rescind Suez’s contract. They convened a Provincial Assembly on the Right to Water with 7,000 activists and citizens in November 2002, which set the stage for the political opposition to the company. The People’s Commission for the Recovery of Water in Córdoba is a highly organized network of trade unions, neighborhood centers, social organizations and politicians with a clear goal of public water for all, and was instrumental in getting the government to break its contract with Suez. “What we want is a public company managed by workers, consumers and the provincial government, and monitored by university experts to guarantee water quality and prevent corruption,” says Luis Bazán, the group’s leader and a water worker who refused employment with Suez.
Mexico is a beachhead for privatization across the region, with its elites having access to all the water they need and also controlling governments at most levels of the country. Only 9 percent of the country’s surface water is fit for drinking, and its aquifers are being drawn down mercilessly. According to the National Commission on Water, 12 million Mexicans have no access to potable water whatsoever and another 25 million live in villages and cities where the taps run as little as a few hours a week. Eighty-two percent of wastewater goes untreated. Mexico City has dried up, and its 22 million inhabitants live on the verge of crisis. Services are so poor in the slums and outskirts of the city that cockroaches run out when the tap is turned on. In many “colonias” in Mexico City and around the country, the only available water is sold from trucks that bring it in once a week, often by political parties that sell the water for votes.
In 1983 the federal government handed over responsibility for the water supply to the municipalities. Then in 1992 it passed a new national water bill that encouraged the municipalities to privatize water in order to receive funding. Privatization was supported by former President Vicente Fox, himself a former senior executive with Coca-Cola, and is also favored by the current president, Felipe Calderón. The World Bank and the Inter-American Development Bank are actively promoting water privatization in Mexico. In 2002 the World Bank provided $250 million for infrastructure repair with conditions that municipalities negotiate public-private partnerships. Suez is deeply entrenched in Mexico, running the water services for part of Mexico City, Cancún and about a dozen other cities. Its wastewater division, Degremont, has a large contract for San Luis Potosí and several other cities as well. The privatization of water has become a top priority for the Mexican water commission, Conagua. As in other countries, privatization in Mexico has brought exorbitant water rates, broken promises and cutoffs to those who cannot pay. The Water Users Association in Saltillo, where a consortium of Suez and the Spanish company Aguas de Barcelona run the city’s water systems, reports that a 2004 audit by the state comptroller found evidence of contractual and state law violations.
A vibrant civil society movement has recently come together to fight for the right to clean water and resist the trend to corporate control in Mexico. In April 2005 the Mexican Center for Social Analysis, Information and Training (CASIFOP) brought together more than 400 activists, indigenous peoples, small farmers and students to launch a coordinated grassroots resistance to water privatization. The Coalition of Mexican Organizations for the Right to Water (COMDA) is a large collection of environmental, human rights, indigenous and cultural groups devoted not only to activism but also to community-based education on water, its place in Mexico’s history and the need for legislation to protect the public’s right to access. Their hopes for a government supportive of their perspective were dashed when conservative candidate Calderón won (many say stole) the 2006 presidential election over progressive candidate Andrés Manuel López Obrador. Calderón is working openly with the private water companies to cement private control of the country’s water supplies.
Other Latin American cities or countries rejecting water privatization include Bogotá, Colombia (although other Colombian cities, including Cartagena, have adopted private water systems); Paraguay, whose lower house rejected a Senate proposal to privatize water in July 2005; Nicaragua, where a fierce struggle has been waged by civil society groups and where in January 2007 a court ruled against the privatization of the country’s wastewater infrastructure; and Brazil, where strong public opinion has held back the forces of water privatization in most cities. Unfortunately, resistance in Peru, where increased rates, corruption and debt plague the system, has not yet reversed water privatization. Likewise, in Chile, resistance to water privatization is very difficult because of the entrenched commitment to market ideology of the ruling elites, although there is hope that the center-left government of Michelle Bachelet will be more open to arguments for public governance of Chile’s water supplies.
From thousands of local struggles for the basic right to water–not just throughout Latin America but in Asia-Pacific countries, Africa and the United States and Canada–a highly organized international water justice movement has been forged and is shaping the future of the world’s water. This movement has already had a profound effect on global water politics, forcing global institutions such as the World Bank and the United Nations to admit the failure of their model, and it has helped formulate water policy inside dozens of countries. The movement has forced open a debate over the control of water and challenged the “Lords of Water” who had set themselves up as the arbiters of this dwindling resource. The growth of a democratic global water justice movement is a critical and positive development that will bring needed accountability, transparency and public oversight to the water crisis as conflicts over water loom on the horizon.