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indonesia: people’s rights bottled and sold

walhi/foe indonesia

Water Day protest in front of West Java regional legislative office against the privatization of water management in the region.

Water is a critical resource in Indonesia. The rainy season brings flooding and the dry season drought, leading to frequent water crises. Water quality also influences the quality of human life: in Indonesia, waterborne diseases have become the major cause of death for children under the age of five.

The major causes of water problems are industrial pollution, overuse, and the decrease of water catchment areas. Instead of dealing with these problems through regulation and enforcement, the government is shirking its responsibilities by handing the country’s water to the private sector.

The government has given concessions to several companies, including Danone and Coca-Cola, to commodify what has always been common property. Millions of liters of Indonesian water are being pumped from the ground to be sold in bottles. In Indonesia, a liter of bottled water costs more than a liter of gasoline.

Simultaneously, the government is trying to hand over the management of river basins to corporations. The World Bank has sponsored a US$300 million Water Resources Sector Adjustment Loan in return for the privatization of the Indonesian water sector. The millions of farmers that depend upon these river basins to nourish their crops will now be charged for water use.

Water consumers in urban areas formerly served by public water companies also face increased water prices due to privatization. No less than 20 foreign and domestic investors have lined up to invest in the water supply sector, including Suez from France and Thames Water from the UK. Despite the higher fees charged for this privatized water, polls have found the quality unsatisfactory in Jakarta.

The World Bank programme will promote a “discharge fee”, to be collected by the water corporations. While this may help to reduce river pollution, it discriminates against poor urban people who do not have the resources to build their own septic tanks. Rather than providing communities with wastewater treatment facilities, the government will instead provide incentives for industries with the “goodwill” to improve their wastewater treatment plants.

WALHI/Friends of the Earth Indonesia has been working with other NGOs to formulate an alternative bill with sustainable and equitable policies for natural resource management. This bill is being developed from the bottom up through discussions in workshops, meetings and public consultations involving communities, NGOs and local governments. We are also conveying the message through public hearings and mass actions that we oppose the privatization of our common property.

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