GLOBAL water issues
CEO calls on nations to raise revenues and attract private investments by pricing water appropriately
The Global Environment Facility (GEF) announced
today that it will double its funding for addressing global water and related land
degradation issues. Over the next five years, the GEF plans to program one-half billion
dollars for international waters projects in developing countries and
economies-in-transition.
The increase in GEF funding comes at a time when water and related land degradation are
increasingly recognized as major barriers to global sustainable development. GEF Chairman
and Chief Executive Officer, Mohamed El-Ashry, warned that "unless action replaces
rhetoric, the number of people experiencing water shortages and stress is projected to
rise to 2.3 billion, representing more than a quarter of humanity." Most of these
people will be the poor in the developing world, where degradation of watersheds is
accelerating and inefficiency and waste dominate irrigation and urban water systems in
many regions. The result is lack of service for the poor and devastating effects on human
health and the global environment.
Fragmented institutions, inadequate policies and legal systems, and shortage of funds
have contributed to water scarcity and environmental degradation. The lack of proper
pricing for water, and sometimes no pricing at all, has been a key factor in water use
inefficiency.
"Free water is wasted water," Dr. El-Ashry said. "Governments must
step-up efforts to generate revenues and attract private investments for more efficient
and equitable urban water, sanitation, and irrigation services. The GEF stands ready to
assist countries in leveraging this support, but without better pricing policies, the
large sums needed to reverse current degradation of water resources will not
materialize."
With its focus on forging partnerships that simultaneously provide national, regional,
and global benefits, the GEF is positioned to play a key role in addressing four central,
inter-linked aspects of the water crisis: Scarcity, Integrated Land and Water Resource
Management, Conflict Prevention, and Land-based Sources of Pollution. In
addition to more than 100 water-related projects in 131 nations, the GEF is also a major
contributor to efforts which address the threat of biodiversity loss, climate change,
ozone depletion, and land degradation. Since its creation as a pilot in 1991, the GEF has
allocated more than $2.5 billion for over 620 projects in 140 countries. This has been
complemented by an additional $5 billion in co-financing from GEF partners, including
recipient nations.
For more information about the GEF, visit the GEF, or contact:
Hutton Archer, Senior External Relations Coordinator
Tel: (202) 473-0508 Fax: (202) 522-3240
Email: Harcher@worldbank.org
