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Is corporate involvement in the world water crisis good for society?

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by Adewale Olowode

Created on: November 10, 2008   Last Updated: December 10, 2008

Crisis in world water is real and without any doubt. Or how else can one interprete a situation where "poor people living in slums often pay 5-10 times more per liter of water than wealthy people living in the same city. Look, the average American individual uses 100 to 176 gallons of water at home each day. But the average African family uses about 5 gallons of water each day. Really incredible!

The true picture of public water supply in the developing countries of Asia, Central America, and Africa, goes far beyond what is read in newspapers and magazines. Their is a caucus in every country insisting on the continuity of the lopsided and inefficient system in place. And to add to the sore, subsequent governments try to maintain the system and watch helplessly as public money goes down the drain. In short, there is so much corruption in place!

A Transparency International report argues that "corruption in the water sector compromises the environmental agenda. It contributes to water scarcity, large scale pollution, and the destruction of natural habitats- all factors which makes our response to climate change more difficult. If present patterns continue, climate change is expected to fundamentally alter rainfall and river flows, drive up sea levels and put water supplies at risk in many regions."

The World Bank has a vested interest in the privatization of water resources and is geared to lending money to fulfil this objective. But it was a dogmatic approach put in place, as key cases in Zambia, India, Armenia, and Tanzania has shown. At a point, it seems according to Nuria Molina and Peter Chowla "the bank may not be learning quickly enough and that the poor may be left both without improved water and paying for botched privatization."

Daily, in 2008 West Africa, an average adult , going by the recommended 4-5 liter of clean potable water, would need about $0.27-$0.35 to buy water in polythene bags or $2.00-$3.00 to procure bottled water from small corporate organizations. Many people in the region, most especially in Togo, Senegal, Niger, Mali, and Liberia still earn far less than $80 per month. So, corporate involvement is good for making potable water available, but definitely not good on the wallet. However, if government can come in with a change in policy, and potable water is tagged "not-for-profit," corporate involvement would turn out to be an asset.

Corporate organizations have a history of being top performers in their fields of production. This philosophy

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