TO

Human Rights Commission of Malaysia (SUHAKAM)

ON

WATER PRIVATISATION IN MALAYSIA

BY

Coalition Against Water Privatization (CAWP)

ON

24 FEBRUARY 2005

IN SUHAKAM

“ PERKHIDMATAN BEKALAN AIR ADALAH HAK ASASI MANUSIA”

On 18 January 2005 the Malaysian Parliament amended the Federal Constitution to transfer the jurisdiction of water supply management from the respective states to the Federal government. In the March 2005 sitting of parliament the federal government is expected to present two Bills to Parliament, namely the Water Industry Bill and the National Water Services Commission (SPAN) Bill.

These Bills, if adopted by Parliament, will effectively set the stage for the full-fledged privatization of water supply in the country. The government, however, has announced that a parliamentary select committee will be set up to get public comments and feedback on these Bills.

Access to water as a human right and a basic need is stipulated implicitly and explicitly in the various International Law and United Nations Declarations and Conventions. In November 2002, the United Nations Committee on Economic, Cultural and Social Rights (UNCESR) took an unprecedented step in declaring that access to water is a fundamental human right and member states have a legal obligation to realize the right to water.

Furthermore, the UNCESR General Comment No. 15 unambiguously stipulates that access to water is a fundamental human right, a right that is prerequisite to the realization of all other human rights. The General Comment No. 15 makes access to water a legally binding responsibility for which the state is held accountable.

With privatization, the management of water supply will be organized to make profits and enhance the stock value of the company and shareholders. We fear that the rakyat, especially the vulnerable groups will be victimized.

In Malaysia, privatization of public entities in Malaysia has more often resulted in failure and has adversely affected consumers’ welfare. Recently, the government was forced to use public funds to bail-out IWK, LRT- PUTRA, MAS, etc. More recently, prices of utilities have increased. Thus the track-record of privatization has not been in the best interests of the rakyat.

We believe that the provisioning of water should be the responsibility of the state and it is the obligation of the state to ensure that water supply is made available based on needs and rights, not affordability. The state has a constitutional and moral obligation to ensure that access to water for all Malaysians is premised on fundamental human rights. The citizens of the country have a right to demand access to water as an entitlement.

We would like bring to the attention of SUHAKAM that the Netherlands has passed a new law which prevents any privately owned company from providing drinking water services to the public. It passed the lower chamber of the Dutch parliament on 9th December 2003 and the upper chamber on 7th September 2004. We suggest that the SUHAKAM should make a similar recommendation to the government of Malaysia.

Finally, we believe that water is a commons, the essence of life, and therefore should not be owned as private property and sold as a commodity. Water rights are natural rights, water can be used by all but not owned
We, the trade unions, consumer groups, human rights organizations, citizens based groups, community based organizations, urge the SUHAKAM:
a) to advise the government of Malaysia, specifically the Ministry of Energy, Water and Communications on the notion of Human Rights to Water and state obligations. Specifically, the SUHAKAM should advise the Ministry of Energy, Water and Communications on the United Nations Comment No 15. This exercise should be undertaken before the water Bills are brought to parliament.

b) to conduct a series of seminars on the Human Rights to Water as an attempt to educate senior officials of the Ministry of Energy, Water and Communications, including its Minister. Furthermore, the SUHAKAM should encourage members of parliament and civil society to participate in the seminar.

c) to conduct an awareness and education program on the human rights to water and state obligations to the parliamentary select committee before it discharges its duties. The Kolesi (spelling) Menentang Pengswastaan Air (KOMPA) or Coalition Against Water Privatization is prepared to help SUHAKAM organize these seminars.

c) to co-organise a seminar with KOMPA on the Human Rights to Water to be held in conjunction with World Water Day on 23rd March, 2005

d) to recommend to the government of Malaysia that all agreement relating to privatization of water supply in the country be put on hold to allow the parliamentary select committee to report on its findings and allow civil society to debate the issue further.

e) to recommend to the government of Malaysia that alternatives to privatization should be considered in the way water supply is managed in the country. Specifically, we suggest that the SUHAKAM recommend that the government consider a public-public partnership, using the successful experience of Perbadanan Bekalan Air Pulau Pinang as the basis of organizing and managing water supply in the country. On 18th January 2005, the Sarawak state government indicated it will emulate the Penang experience in water management in order to improve the quality and supply of water in the state.