Neoliberal water and sanitation policies as a failed development strategy

This paper examines key aspects of the policies promoting the expansion of private multinational monopolies as the main tool to solve the problems affecting water and sanitation services in less developed countries. It is based on recent findings from research carried out on the impact of these policies in nine countries of Africa, Europe, and Latin America. The article argues that the main claims put forward to justify these policies, that private sector participation provides the financial resources needed to improve the situation in developing countries and that these policies contribute to reduce social inequality in these countries, are not supported by the empirical evidence. The findings suggest that the international community cannot rely on private sector participation for achieving the development goals for water and sanitation, particularly in the poorer countries. The paper concludes that there is a need to learn from the past, when developed countries managed to achieve the universalization of essential services thanks to the convergence of a wide range of social and political forces, including free-market liberals, who accepted that essential services cannot be organized purely on market principles. It suggests that achieving similar success in LDCs will also require the amalgamation of a similarly broad and universalistic ensemble of social forces.

[1]  S. Radcliffe,et al.  The Excluded ‘Indigenous’? The Implications of Multi-Ethnic Policies for Water Reform in Bolivia , 2002 .

[2]  J. Castro Water, Power and Citizenship: Social Struggle in the Basin of Mexico , 2005 .

[3]  C. Mathers,et al.  Health and the Millennium Development Goals , 2005 .

[4]  Alejandro J. Grinspun Inequality in Latin America and the Caribbean , 2004 .

[5]  G. Allaert Water and Sanitation in the World's Cities: Local Action for Global Goals , 2004 .

[6]  D. Hall Public Services International Research Unit (PSIRU) , 2001 .

[7]  T. Katko,et al.  Water Privatisation Revisited, Panacea or Pancake? , 2003 .

[8]  Gordon McGranahan,et al.  Are the debates on water privatization missing the point? Experiences from Africa, Asia and Latin America , 2003 .

[9]  R. Wade Is Globalization Reducing Poverty and Inequality? , 2004, International journal of health services : planning, administration, evaluation.

[10]  T. Cowen,et al.  Deregulated Private Water Supply: A Policy Option for Developing Countries , 1998 .

[11]  Maria Kaika,et al.  Urban water: a political-ecology perspective , 2002 .

[12]  Terence R. Lee,et al.  Private participation in the provision of water services: alternative means for private participation in the provision of water services , 1997 .

[13]  Karen Bakker,et al.  Paying for water: water pricing and equity in England and Wales , 2001 .

[14]  I. Lieberman Mass privatization in Central and Eastern Europe and the Former Soviet Union : a comparative analysis , 1995 .

[15]  L. Manzetti Privatization South American Style , 1999 .

[16]  J. Castro Systemic Conditions Affecting the Universalisation of Water and Sanitation Services: A Sociological Exploration , 2007 .

[17]  Brook Cowen,et al.  The Private Sector in Water and Sanitation : How to Get Started , 1997 .

[18]  Roger Keil,et al.  Social Power and the Urbanization of Water: Flows of Power , 2005 .

[19]  J. Penelope,et al.  Getting the private sector involved in water - what to do in the poorest of countries? , 1997 .

[20]  R. Hausmann,et al.  Facing Up to Inequality in Latin America , 1999 .

[21]  N. Tynan,et al.  Private participation in the water and sewerage sector - recent trends , 1998 .