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Oil and Water, Part Two: Multinationals and Human Rights

by Mahesh Raj Mohan

A human being can survive about a month without food, but only 5 to 7 days without water. So it is reasonable to assume that water is a human right, seeing as without it, we’ll die.

Yet, water is considered a “commodity” by the World Trade Organization and NAFTA. At the second World Water Forum in 2000, the German-based RWE Corporation, along with American Water Works (the largest private water company in the United States), successfully had water re-classified as a human “need,” not a human right. This way, water could be supplied by corporations to “developing nations.” Supporters of privatized water systems say public management lacks efficiency, and corporations can prevent corruption, making sure that money is not an obstacle for proper water distribution. Multinational corporations are certainly efficient, but a huge gap develops between the promises made and what actually happens when a nation’s water systems are placed in the private sector.

For instance, multinationals also own several different kinds of companies. If a company owned by a multinational is in debt, the corporate heads are free to transfer that debt to another company it owns. Fine and dandy, especially if the company receiving that debt is a public works system, with countless rate-payers, who now have a surcharge added to their bills. Presto–no more debt! It’s not far-fetched, that’s exactly what worldwide colossus Vivendi did, when it’s communication arm was losing money.

What’s worse than that sort of creative book-keeping are the tactics used by those bastions of altruism and fair play, the World Bank and International Monetary Fund. Towards the end of the last century, the World Bank denied Bolivia a twenty-five million dollar loan guarantee, unless they privatized their water system. Bechtel (a California-based company) took the bid and raised rates to obscene levels. The Bolivians protested and were subsequently sued by Bechtel. The trial will be held behind closed doors at the World Bank headquarters in Washington D.C.

The list goes on. The Coca-Cola corporation drained the groundwater in Kerala, and now gives daily water allotments to the residents. Water that has been independently verified as contaminated by a regional laboratory. Our old friends the World Bank and the International Monetary Fund gave 400 million dollars in loans to Ghana for a privatized water system, which ended in rampant epidemics of cholera and malaria when the government ceased subsidizing the poorer communities.

We could file all of this under the usual business chicanery, except that when coupled with pollution and climate changes, these practices are adding to the actual depletion of fresh water, world-wide.

To put this in perspective, our planet is 97% water, but only a fraction of that is fresh water, and most of that fraction is locked up in glaciers and polar ice caps. Most of the water we use, comes

from groundwater.

In heart of the U.S., (and not far from where I grew up), we have the largest aquifer in all of North America–the Ogallala. According to BBC News, it’s being depleted at a rate of 12 billion cubic meters a year. Total depletion to date amounts to some 325 billion cubic meters, a volume equal to the annual flow of 18 Colorado Rivers. The Ogallala stretches from Texas to South Dakota, and waters one fifth of US irrigated land. Many farmers in the High Plains are now turning away from irrigated agriculture, as they become aware of the hazards of overpumping, and realize water is not in endless supply. BBC News figures

According to the World Water Assessment Program, 2003 … Over the next 20 years, the world’s population will increase from six billion to an estimated 7.2 billion, while the average supply of water per person is expected to drop by one-third.

1.4 billion people do not have access to safe water. 2.3 billion inhabitants lack adequate sanitation. People already use over half the world’s accessible freshwater, and may use nearly three-quarters by 2025.

As Borge Brende, Norway’s minister for the environment said, “There is a strong linkage between the state of freshwater resources in a country and its capacity for poverty eradication and development. Conserving freshwater habitats such as lakes and rivers, is one of the most efficient and cost-effective means of guaranteeing the supply of safe drinking water. If these ecosystems are not looked after, further social and economic development will be retarded.”

The Food and Agriculture Organization of the U.N. denies that there is a global water crisis, but they state that irrigated agriculture is crucial to world food supplies, even though it acknowledges that irrigation practices desperately need to be overhauled. As it stands, most of the water gets wasted, or the water trickles away or simply evaporates.

Whether we like it or not, we are at the cusp of serious environmental change. If the oil that supplies the power for our food production lessens, our agriculture is going to be drastically revamped. If the oil stays plentiful, pollution and depleted groundwater is–yep, you guessed it–going to revamp the way we grow food. Not to mention change our lifestyle in significant ways. I can guarantee you that the multinationals will let this kind of opportunity slip away. As water levels drop, what they’re doing in Kerala or Ghana is mere prologue.

What would it be like, for instance, to live in a place where a multinational gives you a daily water allotment, or raises rates to the point that you would risk drinking contaminated water? This is not a far-fetched scenario. We must get smart and start pushing for better irrigation practices for so-called developing nations, and stop multinationals from stripping the water table bare.

I’m not a doom-and-gloom, do-nothing kind of guy. One of the pivotal moments of my life was the twentieth anniversary for Earth Day, back in 1990. I read the book “50 Simple Things You Can Do To Save the Earth” backwards and forwards (It’s now sadly out of print, but you can probably find a used copy at Powells.com). 90% of my food is either organic or made without pesticides, genetically modified organisms, or synthetic preservatives. The electricity in my apartment is derived entirely from renewable energy sources like wind and geothermal sources. I don’t take long showers or run the tap when I brush my teeth.

So, there are things we can do. First, I suggest contacting your local power company, and looking into renewable energy options. In Portland, the increase to my bill averages two-three dollars, but it will pay dividends in other ways. If you run the water while brushing your teeth, I suggest you stop. You are wasting nearly ten gallons of precious water, and also running up your water bill.

Here are some organizations you can contact, for more information:

Green Treks’s mission is “to make the health of the environment an intrinsic part of everyday life and to inspire individuals to make informed decisions that effect positive environmental change.” They have a very helpful website, with information on their current projects, and simple things you can do to help the environment.

Earth Share is another fine non-profit group, dedicated to providing “environmental education and charitable giving through workplace giving campaigns". They have plenty of “Earth-saving tips” on their web site, some even categorized by season.

Ethos International, is a for-profit organization dedicated to helping those most affected by water shortages.

And then there is always the august American Secretary of State, Colin Powell, who has a very handy “comment line,” where you can let him know how you feel about the Earth’s rapidly depleting freshwater: (202) 657-4000.

So, please … call, write, and get involved. The state of our world’s freshwater is a lot more urgent than the media would have you believe.