Sunday, March 8, 2009

Review: Reading 31: Privatizing Water


WATER IS LIFE....




Privatizing Water
Written by: Curtis Runyan
World Watch, January/February 2003


Summary:
As confusing as this reading was here it goes: to the best of my understand, reading number 31 discusses how the country of Bolivia, in April of 2008 put a privatization on the city's water work's. The city chose to put the privatization on their city water works because an organization out of Washington D.C. called The World Bank, who are quote "working for a world free of poverty" stated that they would not fund the country with a 600 million dollar debt relief package if they did not privatize they water utilities. When they country choose to do so the citizens were very unhappy and organized a rebellion demonstrating their disgust with the governments privatization of water. This quote from the book sums the ideas and concepts behind why The World Bank is trying to privatize water, "Managed carefully, privatization can help utilities improve their services by providing the capital and expertise needed to, for example, repair leaks in water mains, expand connections to unserved communities, or improve billing systems. But where governments have failed to provide adequate oversight, the results have been explosive." It also continues to speak about how privatization in counties has led to "...drastic rate increases, significant job cuts, fewer environmental safeguards, dropped conservation initiatives, and halted service to poor or remote communities..." thus leading to the very upset citizens. Water has become a world problem, and the current issue of who has control over water versus who should have control over water is an on going debate. The current situation in Bolivia is still unresolved.

Challenged my thinking:
Number one, I had no idea that this was occurring, I had never heard mention of the terms or concepts related to water privatization at all. It is really hard for me to think about the concept because we have water available for us anytime, yes we pay, but are a part of a well managed water system, so I had never thought about the fact that so many other countries have no water systems? I understand that privatizing water, it is with good intentions of putting water systems (pipes, pluming etc,) and providing the country money and resources, and to overall help control the worlds depleting water supply but, is it effective when countries are striking back, by revolting and raging, because it is something they are not used to? Also, the reading spoke about the water system being effective for the wealthy and not the poor and it also spoke about so many negatives mentioned above that I do not really know what to think about the whole situation.

New terms and concepts:
Privatization of water:
is a short-hand for private sector participation in the provision of water services and sanitation, although more rarely it refers to privatization of water resources themselves. Because water services are seen as such a key public service, proposals for private sector participation often evoke stronger opposition than for other sectors. Globally, more than 90% of water and sanitation systems are publicly owned and operated.
The World Bank:
The World Bank is a vital source of financial and technical assistance to developing countries around the world. We are not a bank in the common sense. We are made up of two unique development institutions owned by 185 member countries—the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA).
International Monetary Fund:
is an international organization that oversees the global financial system by following the macroeconomic policies of its member countries, in particular those with an impact on exchange rates and the balance of payments. It is an organization formed to stabilize international exchange rates and facilitate development.
International Development Association:is the part of the World Bank that helps the world’s poorest countries. It complements the World Bank's other lending arm — the International Bank for Reconstruction and Development (IBRD) — which serves middle-income countries with capital investment and advisory services.


Additional resources:
http://www.thenation.com/doc/20050214/shultz


24 comments:

  1. Hey Abbey-
    I thought this reading has been difficult to understand as well. I didn't know that any of this was going on as well. I feel horrible that these countries are drinking polluted water while we take advantage of the continual sources of fresh water. Keep up the good work!

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  2. Great review Abby!
    I too thought this reading, along with all the others, was difficult to comprehend.It seems like no matter what our environment just keeps getting worse! I had no idea this was occuring either, but now I do! Good job Abby as always;)

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  3. Abbey-

    Great review. I too am a little on the fence. There are some good points made, but followed with a con to go against them. We have to make the best of what we have while we still have it, because to fix something that isn't broken might not make things better. This could be a good thing, but only for certain people, what about the people it will effect in a negative manner? Water is Life...

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  4. Abbey-
    I had no idea that was this occurring either, and it's sad because we definitely take for granted our water supply and waste so much of it. Awesome review, you made the chapter easier to understand :)

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  5. Abbey

    First of all, I agree with you that this reading was really hard to understand! I definitely got out my highlighter and my page is now a great array of color! I had absolutely no idea that all of this was happening as well. Part of me wonders if it's because I live in a box, or if it's something that's almost tried to be kept on the down low so people don't hear about it very often... I'm not sure how I feel about water privatization because like you said, for every pro there seems to be a con...
    Great Review!

    heather

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  6. Abbey,
    Good Review! It's hard to tell what is good for other people sometimes, good intentions don't always work the way you want them to. Hopefully someone can find a way to get water to everyone that needs it, which is everybody!

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  7. Good review, Abbey! I definitely agree that this is a hard concept to grasp - especially when we have water available to us whenever we want it! It's definitely a privilege I know I take for granted. The issue of water privitization is a difficult one to pick a side on because in some ways it seems it could improve water access for some people, but it comes with many downfalls as well. I find it so unfair that basic human rights are never really basic after all.

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  8. I too did not know that this was happening throughout the world, and before reading this article didn't even know that it was possible to privatize water and distribute it that way... I too have been taking the water i drink for granted, and never realized that there are so many other people who lack the privileges we have...

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  9. With many people protesting the privatization of the water in Boliva there must of been a lot of confusion on why they are doing this. To privatize the water supply this meant prices will go up, but this money will go towards improving the water, both cleaning it and making it available to more people.

    The main problem I see with a comany owning the water is that if the company is not forced to improve water supply, then it is just ruining the lives of the public. The people of Boliva will be giving away more money to a company that might never improve the water supply conditions, and just pocket the money for the buisness executives private bank account.

    The water supply should be owned by the government, and the raise in prices should be put back into the water supply to improve water distribution and repair any water supply related needs. It is good that you defined privatization of water, so that I can better understand it. Thank you for the post, and the definitions are helpful.

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  10. Abbey- It seems to me that everything we are doing this days related to "environmental change" helps the wealthy and hurts the poor. Obviously though--look who represents us in Washington.
    Privatizing water...not quite sure if I really even fully understand the specifics behind it. I guess I can understand where the supporters of water privatization are coming from, but it doesn't seem to all add up to me. I don't know. We will have to see where this goes I guess. --S

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  11. Hey Abbey!
    Yeah this reading was a bit confusing as well especially since most of us didn't know this issue was happening in the world!
    Yes, I can sometimes understand why would privatize water but, really, people that are low income are not treated fairly! Yeah I am with you, I don't know what to think about this whole situation and also I really don't know solutions! It is something that we will have to learn more about in class or researching on our own! :)

    Good job Ab!

    Kathy

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  12. Nice Summary Abbey!
    Apperently I've thought of the concept of privatizing water. I always figured since we use so much; the government is eventually going to get tired of it and find a new to make money of us. I don't know why I thought that way. I always think about the amount of water I use daily and try to imagine how much i would use really if we were being charge way more than now.

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  13. Abbey,
    1. LOVE the picture! It really complements the review!
    2. You're right, it is really hard to think about the concept of water privitization when water is so readily available to us! I think we need to start thinking about it before it is TOO LATE!

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  14. Abbey~
    I did know that other countries were rationing out there water supplies like Mexico...but it is so crazy to think about not having water there or buying our water. I do personally think that we need to do something about the usage of the water here so we do not run into the same problem! Great post keep it up!!

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  15. Abbey-
    Im with ya, I had no idea that water privatization was happening in other countries. I guess I never really thought about not having water, since its right at our fingertips whenever we want it.

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  16. Great job Abbey!! I totally agree that this is a truly complicated issue, that maybe doesn't have a clear correct answer. Water privatization can be really beneficial to poorer countries without the money needed to keep up their water system, but these people can also become overwhelmed with higher water prices. There should be a third option that is a compromise. I also liked that you talked about how we really have no idea about what these people are going through. We have never experienced water shortage. Yes, we must pay for our water, but I don't think that we are paying more money than we can really handle. I think that with the increased prices for water, due to water privatization, these people in the poorer countries are completely smothered by the expenses of water. I don't think this is okay.

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  17. Abbey-

    Great job on the post! You always have really informative posts! This is such a weird issue to think about up here in Duluth seeing as we have the Lake here. But this reading defninitely helped out! Have a good one!

    Steve

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  18. Abbey-
    I agree that I was a little confused with this reading. I had to read through a couple times to really get an understanding. I think this concept is so hard for us to grasp because water is so readily available for us. I just don't think I would like these big companies in control, with only money in mind. Great post!

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  19. Hey Abbey,
    I wonder how I haven't heard of this before as well. Where have I been. I am a bit unsure how I feel about the situation because Sara H.'s pro and con section really made me think both ways about it. Nice work on your post!

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  20. Good post! I believe that water is something that is everyone's right as a human to have, the thought of having to pay a company for the water you have a right to doesn't sit right with me. On the other hand I can see the benifits of it also, so I'm kinda torn between the two I'll have to do some research on my own I guess.

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  21. Abbey-
    I think that World Bank is talking themselves up a lot in this article. I honestly had no idea that water privatization was going on either! It is sad to think about and I don't think it should be allowed personally! Great post!

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  22. Great post Abbey. You did a really good job of summarizing these points in a basic way that was easier to understand than some other ways of explaining it. This is such a touchy subject, with pros and cons alike that seem to challenge many areas of my thinking. Thank you for your insight :)

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  23. Hey Abbey,

    I also thought this reading was a little difficult, but you did a great job summarizing it! I also think the whole concept of privatizing water is hard to think about because we've been brought up to believe water is a right, and everyone deserves as much as they want/need. I think it's really scary that the world has come to this, and hopefully we find a rationale solution to this problem! Good post Abbey, hope you have a great spring break!

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  24. Hey Abbey,

    I also stumbled through this reading. But without reading this chapter I would have never known about any of these water issues. I do feel bad for the countries that don't have access to fresh drinking water. But sometimes I feel that even if I'm doing my part to help the environment, everyone around me isn't. Great post with helpful links=) Keep up the good work!

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