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Context of '(1997): Argentine Government Official Tells Congress that Aguas Argentinas Has Failed to Keep Its Promises'

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Buenos Aires’ public water utility, Obras Sanitarias, is privatized under heavy pressure from the World Bank, the IMF, and the US government. It is taken over by Aguas Argentinas, a recently formed consortium of private companies that won a 30-year concession to manage the city’s water and sewage system (see December 9, 1992). The deal represents the largest transfer in history of a water service and watershed to the private sector. The consortium will be responsible for providing water to the residents of Buenos Aires and 14 surrounding municipalities—some 10 million people (see also 1980s-1993). Oversight of Aguas Argentinas will be conducted by the newly formed regulatory body, ETOSS (Ente Tripartito de Obras y Servicios Sanitarios). Its task will be to monitor the quality of service, represent customers, and ensure that the company fulfills the terms of its contract. [Inter Press Service, 4/13/1993; Santoro, 2/6/2003; CorpWatch, 2/26/2004; CBC News, 3/31/2004; Public Citizen, 6/14/2007]

Entity Tags: Aguas Argentinas

Timeline Tags: Water

Argentine President Carlos Menem issues a decree placing his political ally Secretary of the Environment Maria Julia Alsogaray in charge of ETOSS, the government regulatory body that provides oversight of Aguas Argentinas. Critics say the move is aimed at protecting Aguas Argentinas from public accountability. [Public Citizen, 6/14/2007]

Entity Tags: Maria Julia Alsogaray, Carlos Menem, Ente Tripartito de Obras y Servicios Sanitarios

Timeline Tags: Water

The head of ETOSS, the regulatory agency that oversees the management of Buenos Aires’ privatized water and sewer utility, tells Congress that Aguas Argentinas has only built a third of the new pumping stations and underground mains it promised to complete by 1997. Moreover, it has only spent 9.4 million of the promised 48.9 million in improving the sewage system. Citing the supposed need for “further investigation,” the company has put off construction of the Berazategui wastewater treatment plant. As a result, sewage is being dumped into rivers and cesspools, raising nitrate levels in the water (nitrates reduce the flow of oxygen to the brain in infants) and increasing the risk of various waterborne illnesses. According to the World Bank, by delaying the project, Aguas Argentinas is saving $100,000 dollars a day. [Inter Press Service, 4/13/1993]

Entity Tags: World Bank, Aguas Argentinas, Ente Tripartito de Obras y Servicios Sanitarios

Timeline Tags: Water

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