Sustainability, Equity and Sustainability, Equity and Democratic Governance in Water Democratic Governance in Water Management –Management – Serbia`s as well as a Serbia`s as well as a

Common ChalengeCommon Chalenge

Valentina Mileusnic Vucic, independent advisor

Republic of SerbiaMinistry of Agriculture, Forestry and Water

Management Directorate for Water

Protocol on Water and Health, Workshop on Protocol on Water and Health, Workshop on Equitable Access to WaterEquitable Access to WaterParis, 5-6 July 2007Paris, 5-6 July 2007

Need for Cultural Change?

Sustainability, equity and democratic Sustainability, equity and democratic

governance in water managementgovernance in water management requires far-

reaching changes in our

•scales of values,

•conception of nature,

•ethical principles, and in our

•lifestyles

Different functions and values

In order to prioritise the rights:

•Water for life /universal human right/

•Water for general interest purposes.

•Water for economic growth.

Water investments

Investing in water (and sanitation) is a good

bet, whether one is talking about large-scale

infrastructure or small local developments.

Investments at all levels can generate rapid

returns that make them competitive when

compared to the direct economic effects of

investments in other sectors.

Environment

A key challenge is to create a policy and regulatory

environment that supports the scaling up of

positive examples of pro-poor water management

and policy development, in particular creating the

incentives to generate investments, from communities

and capital markets, that are essential to supplement

government and donor resources. This includes an

awareness amongst policy makers of all costs and

benefits and values that water investments

generate.

Role of International Organisations

International efforts should be centred on

supporting the public sector to achieve the

•MDGs,

•demanding democratization,

•respect for human rights,

•transparency, and fighting corruption.

Key Message

A key part of the message is that the

targeting of investments to the specific

circumstances and opportunities of the

poor can greatly enhance the efficiency of

investments and effectiveness in terms of

poverty impacts.

Common Aims1- Essential water services must be granted the status of general public interest to guarantee the priority of human and social citizenship rights over market interests;

2- Current debates on the liberalisation of water services must be subject to broad based public debate, with substantive participation of citizens, NGOs, workers’ unions, user organizations, and other relevant actors in the decision making and monitoring process;

3- The achievement of the Millennium Development Goals (MDGs) will require that governments and international institutions take urgent decisive action to meet the financial cost involved, as a matter of public duty;

4- Public and private operators alike must be subject to strict regulation by representative public bodies to ensure transparency and citizen participation;

5- International financial institutions and the development agencies of the Organization for Economic Co-operation and Development countries should no longer condition the financing of investments by liberalization and privatization.

Their efforts should be centred on supporting the public sector to achieve the MDGs, demanding democratization, respect for human rights, transparency, and fighting corruption.

WaterWater ResponsibilitiesResponsibilities

AccordingAccording to theto the Law on Ministries Law on Ministries Directorate for Water is responsible for:Directorate for Water is responsible for:

1.1. Multipurpose water usageMultipurpose water usage2.2. Protection from waterProtection from water3.3. Protection of waterProtection of water

WATER SUPPLYWATER SUPPLY

Total capacity 25 mTotal capacity 25 m33/s/s

75 % ground water75 % ground water

25 % surface water25 % surface water

PUBLIC WATER SUPPLYPUBLIC WATER SUPPLYCOVERAGE in SRBCOVERAGE in SRB

Central SERBIACentral SERBIA 86 %86 %

VojvodinaVojvodina 81 %81 %KosovoKosovo 51 %51 %

HOUSE CONNECTIONSHOUSE CONNECTIONS

Total investments for waterworks and sewerage Total investments for waterworks and sewerage reconstruction in SRBreconstruction in SRB

Possible drinking water production in Possible drinking water production in Serbia 25 mSerbia 25 m33/s /s

Estimated value of "water business" – possibleEstimated value of "water business" – possible 800 800

million mmillion m33 per year per year Annual profit is 800 Annual profit is 800 million € (with the price of 1 €/mmillion € (with the price of 1 €/m33))

Legal statusLegal status

PUBLIC UTILITY COMPANIESPUBLIC UTILITY COMPANIESState ownedState owned

MANAGEMENT : THE LOCAL MANAGEMENT : THE LOCAL GOVERNMENTGOVERNMENT

- globalglobaliisationsation and opening of markets for free and opening of markets for free competitioncompetition- - extension of public-private partnershipextension of public-private partnership- - sustainable developmentsustainable development

ObjectivesObjectives::to comply with the EU standardsto comply with the EU standards

The main issues that EU presently raises in The main issues that EU presently raises in regard to the future of W & S:regard to the future of W & S:

Access to:Access to:

6025

15

W&S W N

Total investments for waterworks and sewerage Total investments for waterworks and sewerage reconstruction in urban areas in SRBreconstruction in urban areas in SRB

Number of Number of inhabitants in inhabitants in urban areasurban areas

Type of investmentType of investmentSpecific Specific

investments investments €/capita€/capita

Total Total investmentsinvestments

billion €billion €

4 200 0004 200 000

Treatment plantTreatment plant 110110 0.4620.462

Transport and distributionTransport and distribution 140140 0.5580.558

Total waterworksTotal waterworks 250250 1.0501.050

Sewerage networkSewerage network 160160 0.6720.672

WWTPWWTP 220220 0.9240.924

Total sewerageTotal sewerage 380380 1.5961.596

Total Total 630630 2.6462.646

Total investments for waterworks and sewerage Total investments for waterworks and sewerage reconstruction in rural areasreconstruction in rural areas

Number of Number of inhabitants in inhabitants in

rural areasrural areas

Type of Type of investmentinvestment

Specific investmentsSpecific investments

€€ /capita/capita

Total Total investmentsinvestments

billion billion €€

3 300 0003 300 000

WaterworksWaterworks 250250 0,8250,825

SewerageSewerage 528528 1,7421,742

TotalTotal 778778 2,5672,567

Total investments for waterworks and Total investments for waterworks and sewerage reconstruction in SRBsewerage reconstruction in SRB

1.1 0.8

1.9

1.6 1.7

3.3

0

1

2

3

4

5

6

CITIES WILLAGES SCG

Billi

ons

EU

R

WATERWORKS SEWERAGE

Investment needs for waterworks and sewerageInvestment needs for waterworks and sewerage

For meeting EU standards it is necessary to invest For meeting EU standards it is necessary to invest

5.25.2 billion billion €€..

For period of 20 yearsFor period of 20 years

260 million 260 million €€ per year per year

or 2,8 € per capita per monthor 2,8 € per capita per month

AVERAGE TARIFF ACHIEVED (Eur / m3)

0.370.34

0.32

0.24

0.17

0.24 0.24

0.21

0.06

0.00

0.05

0.10

0.15

0.20

0.25

0.30

0.35

0.40

1980. 1981. 1982. 1983. 1984. 1985. 1986. 1987. 1988. 1994. 1995. 1996. 1997. 1998. 1999. 2000. 2001. 2002. 2003. 2004. 2005.

Belgrade Waterworks and SewerageBelgrade Waterworks and Sewerage

Thank you for your attention!

Directorate for Water, MAFWM

Bul.Umetnosti 2a, New Belgrade, Serbia

Phone+ 38111 201 3355

Email:

valentina.mileusnic@minpolj.sr.gov.yu