Thursday, March 7, 2013

Water in Europe will go into private hands. Do we approach the point of absurdity?

According to the European Union "Competition is good for business - more competition leads to lower prices and better products". It would not be surprising for the fact that the European Commission wants to implement this assumption to the ... water. If the EU gets what he wants, then private companies will soon be able to obtain licenses to operate public water systems in the field.

fot. freereporter.info photo
The starting point for the activities of the European Commission's regulation of water were in Germany. So far, water supply remained there at the discretion of local authorities. Most cities and town councils themselves manage water supply systems and maintenance of water pipes, but sometimes (in certain cases) the council should grant concessions to private companies.

Berlin serves as an example of what can happen when the management of water supply is privatized. Price for water in the German capital has steadily increased (by 30%), according to the population decreased quality. By Matthias Ladsstättera, an expert in water management "of the 30 percent increase, at least six to ten percent of the net profit, which neither was discharged back to the budget of Berlin, nor was intended to improve the delivery of water services."

Even dosadniejszym example is London, which represents the most striking case of mismanagement of the water supply system as a result of privatization. According to Evelyn Gebhard (German MEP) in the capital of the UK, 40 per cent of water "filtered out of control into the ground, because companies do not invest in a system of pipes and water supply."

So where's the controversy over the action taken today by the European Commission? Experts fear that the EU legislation may force governments to privatize water supply management. Directive on public service concessions, which also include water supply sector, is intended to level the playing field across Europe. The project was presented by the European Commission at the end of 2011. In March this year, the European Parliament will vote on whether to adopt the directive.

"Currently, the proposed system is that it lumps together different sectors, it is detrimental to the local authorities," says Evelyn Gebhard. Public water systems were never intended to generate profits, but to provide clean water to all citizens. At EU level, water services has so far remained under the control of the Member States, but this may soon change.

Recent years of experience to the privatization of water around the world demonstrate that there is much evidence to undermine the legitimacy of these activities. A new report from Canada's Blue Planet Project, called "Our right to water - case studies for the economy and the privatization of water in Europe", reminds us once again that the privatization of water means that the "service function worse, people are losing their jobs, and private monopolies oriented only on profits.'s not good economics. "

Water is not just H2O, water is life. Access to potable water has been recognized by the United Nations as a fundamental human right. Water, however, the multi-billion dollar business. It seems that Brussels already decided: water in the future will belong to the private corporation and not to everyone.

What do you think about plans to privatize the water in Europe? Do you see any positive aspects can this type of action?