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This report by Friends of the Earth International (FoEI) examines the global trend toward the privatization and commercialization of water resources. It argues that water should be treated as a social and cultural right rather than an economic commodity, highlighting how international financial institutions and multinational corporations marginalize poor populations and damage ecosystems through profit-driven management.

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  • International financial institutions, specifically the World Bank and the IMF, promote water privatization by making loans to poor countries conditional on 'the reform of the public sector' and the privatization of state companies.
  • The report identifies a significant disparity in global water consumption, noting that while the average person in the United States uses 250 to 300 liters daily, the average Somali manages with less than 9 liters per day.
  • The global water privatization sector is heavily dominated by two French multinationals, Suez and Vivendi Universal, which had revenues of 9 billion USD and 12.2 billion USD respectively in 2001.
  • Privatization often leads to dramatic price increases for the poor; for example, World Bank and IMF conditionalities caused water tariffs in Ghana to jump by 95 percent in May 2001.
  • The European Union is pushing for greater market access for its water multinationals through the General Agreement on Trade in Services (GATS), targeting 109 countries, many of which are underdeveloped.
  • In Cochabamba, Bolivia, popular resistance led to the removal of Aguas del Tunari (a Bechtel/Edison consortium) after water bills increased by up to 300 percent, though Bechtel later sued Bolivia for 25 million USD in damages via a bilateral investment treaty.
  • The report highlights environmental risks from large-scale projects, such as the Quellaveco copper mine in Peru, which is projected to use 700 liters of water per second and potentially destroy local wetlands and agricultural lands.
  • French companies and agencies are implicated in global mega-dam projects; Alstom is described as the world's largest builder of large dams, and the COFACE and AFD provide public financing for projects like the Three Gorges Dam in China and Nam Theun in Laos.
  • The World Water Forum is criticized as a venue dominated by multinationals and neoliberal figures that promotes the view of water as a commodity rather than a human right.
  • FoE advocates for 'soft path' alternatives to water management, emphasizing decentralization, rainwater harvesting, and the use of composting toilets to reduce reliance on potable water for sanitation.

Cite the original document

APA
Friends of the Earth International (2003). International. https://www.foei.org/wp-content/uploads/2020/12/water_fr.pdf
Chicago
Friends of the Earth International. International. 2003. https://www.foei.org/wp-content/uploads/2020/12/water_fr.pdf.
Wikipedia
{{cite report |author=Friends of the Earth International |title=International |date=January 2003 |url=https://www.foei.org/wp-content/uploads/2020/12/water_fr.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{friendsoftheearthinternational2003international, author = {{Friends of the Earth International}}, title = {{International}}, institution = {Friends of the Earth International}, year = {2003}, month = jan, url = {https://www.foei.org/wp-content/uploads/2020/12/water_fr.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }

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