Call n°277 (From 3 December 2004 to 15 March 2005)

GHANA - PRIVATIZING A COMMON HERITAGE

"Water is not a commodity; it is mankind’s heritage", the French international solidarity organizations reaffirmed during the June 2003 [1]. The United Nations committee for economic, social and cultural rights has recognized that access to water and its purification are a basic human right, yet even today, one and a half billion people in the world do not have access to drinking water. Apart from technical constraints, this is clearly an economic and political matter - especially when countries of the South, under pressure from international financial institutions, privatize their water supply without any consideration for the people’s needs or concerns. In Ghana the National Coalition Against the Privatization of Water is fighting the plan to hand over management of the water supply in urban areas to large multinationals. This coalition has received the support of over 330 organizations throughout the world. We have a key part to play in this respect since French firms may submit tenders for the contract.

In Ghana over 50% of the population lives on less than one euro a day. A third of the inhabitants have no access to drinking water and 70% have no access to sewerage. A recent study by the Ghana-based Integrated Social Development Centre (ISODEC) in five districts of the capital city Accra showed that poor households spend 18-25% of their income on water. It is therefore unacceptable that water may become even less accessible for the sake of profitability.

Yet that is exactly what is likely to happen if the process under way is not stopped. The first "reforms" in the sector, especially the "cost recovery" policy promoted by the World Bank, have already caused prices to double in three years. Clearly, the aim is to privatize the water supply, even if it means disregarding the opinions and denying the interests of those most directly concerned, the Ghanaian people.

A NATIONAL COALITION AGAINST PRIVATIZATION

In 2001 the Ghanaian people formed a national coalition against privatization, to make their voices heard. This coalition represents a wide diversity of civil society organizations, including trade unions, student organizations, women’s organizations, environmental groups, employees of the health sector and community associations. It has managed to put an end to the passivity and break the silence surrounding the privatization process.

In a document headed "Why privatization in Ghana must be stopped", citizens recognize that the public-sector water supply has to be reformed as a matter of urgency. They consider, however, that the main objective of any change must be to guarantee full access to the right to drinking water. The World Bank project is considered unsatisfactory for four reasons. First, it is based on a narrow view that considers "reform" only in terms of liberalization, without having studied other alternatives. Second, it has been imposed to a large degree by outside interests, via an opaque process without democratic debate. Third, it is a poor choice both financially, because it would worsen the country’s debt (a 103 million dollar loan is part of the plan), and technically, because it ignores the sewerage/purification system. Finally, the proposed rates are likely to deprive the poorest members of the population of access to safe drinking water.

DISASTROUS PRECEDENTS

There is no lack of examples of the disastrous consequences of water privatization as far as consumers are concerned. Several multinationals have already been involved: the French company Suez-Lyonnaise des Eaux (in Argentina and the Philippines), the British Biwater (in South Africa), the North Americal Bechtel (in Colombia) [2], among others. The final result is that the price of water increases, so that those who can no longer pay for it are deprived of the service.

The Ghanaians therefore know what to expect if the privatization project is implemented in their country, which is why they have called on international networks to support their struggle. Several organizations are appealing to the World Bank to take into account the opinions of the populations concerned.

It is also important to dissuade the water multinationals likely to submit tenders for the water management contract.

A UK-based organization, the World Development Movement (WDM) is responsible for contacting the British firm Biwater.

The three other potential candidates are French: Suez (Lyonnaise des eaux), Véolia (ex-Vivendi environment) and SAUR (Bouygues). With the organization Les Amis de la Terre, Réseau-Solidarité and Peuples Solidaires have mobilized to appeal to them not to embark on a project that threatens the economic, social and cultural rights of the populations concerned.

MORE INFORMATION:

The "Water" campaign of Amis de la terre:

The World Bank contributes some 50% of the total expenditure on international cooperation projects in the water sector.
In the countries concerned it often demands reforms aimed at profitability, without due regard to the concerns of poor populations and to issues concerning water quality. Les Amis de la Terre :
- denounces the opacity surrounding contracts concerning water;
- demands that projects be based on democratic processes in which citizens are involved in the management of their water;
- insists that French public money used by the World Bank be devoted to transparent projects;
- supports its partners in the South in their struggle, through awareness campaigns and pressure on decision-makers.
The next Amis de la Terre water campaign will start in the spring of 2005. The events planned for this occasion will allow for debate and reflection on all possible alternatives.

Contact:
www.amisdelaterre.org
majda.bouchanine@amisdelaterre.org
Tel: (33) (0)1 48 51 32 22

CALL IN LIAISON WITH:

World Development Movement (www.wdm.org)

Water for All campaign (www.wateractivist.org)

WHAT TO DO ?

By letter: copy the letter below or download it (see below). Send you letter to one or more of the firms listed above.
Don’t forget to date and sign your letter and to add your name and address.
Deadline: As soon as possible and not later than end-March 2005.

Addressees:

M. Henri Proglio, Chairman of the Board,
VEOLIA ENVIRONNEMENT, 36-38 Av. Kleber
75116 PARIS
E-Mail : contactcom@veoliawater.com
Fax : 01 71 75 10 09

M.Hervé Le Bouc, Managing Director of SAUR International
SAUR, 1 Av. Eugene Freyssinet
78064 ST. QUENTIN EN YVELINES CEDEX
E-Mail : directiongenerale@saur.fr
Fax : 01 30 60 27 89

M.Gérard Mestrallet, Managing Director,
SUEZ, 16 Rue de la Ville-l’eveque
75383 PARIS CEDEX 08
Fax : 01 40 06 64 76

SUGGESTED LETTER:

Monsieur,

J’ai été informé par le Réseau-Solidarité (10 quai de Richemont - 35000 Rennes) et Les Amis de la Terre (2B rue Jules Ferry - 93100 Montreuil) des projets de privatisation de l’eau au Ghana.

Dans d’autres pays comme l’Argentine, la Bolivie, l’Afrique du Sud et les Philippines, ces procédés ont déjà eu des conséquences catastrophiques. Je m’inquiète donc des effets de cette privatisation pour la population, en particulier pour les plus démunis. Je constate aussi que les citoyens n’ont pas été entendus et que les autres modes de gestion n’ont pas été étudiés.

Considérant que l’accès à l’eau est un droit fondamental qui doit primer sur les intérêts privés, et que le processus en cours au Ghana n’est pas transparent, je vous demande de prendre en compte les revendications de la Coalition nationale du Ghana contre la privatisation de l’eau et de ne pas participer à l’appel d’offres concernant la gestion de l’eau dans ce pays.

Restant attentif aux réponses que vous apporterez à ce courrier, je vous prie d’agréer, Monsieur, l’expression de mes salutations distinguées.

Translation:

Date

Dear Sir,

I have been informed by Réseau-Solidarité (10 quai de Richemont, 35000 Rennes) and Les Amis de la Terre (2B rue Jules Ferry, 93100 Montreuil) of the projects to privatize water in Ghana.

In other countries such as Argentina, Bolivia, South Africa and the Philippines, these processes have already had disastrous consequences. I am therefore concerned about the effects of this privatization on the population, especially the poorest people. I also note that the citizens have not been consulted and that no other water management options have been studied.

Considering that access to water is a basic human right that should take precedence over private interests, and that the process under way in Ghana is not transparent, I urge you to take into account the claims of the Ghanaian National Coalition Against Privatization of Water, and not to submit a tender for the water management project in that country.

Thank you for your attention to this matter.

Yours faithfully,

[1] G8 meeting in Evian Document on water drawn up for the Evian G8 by organizations of the Centre de Recherche et d’Information pour le Développement (www.crid.asso.fr)

[2] Cf. the campaign “Cochabamba, la guerre de l’eau n’est pas finie” ("Cochambamba, the water war is not over") launched in 2002 by Agir ici pour un monde solidaire (www.agirici.org)