Water privatization in Morocco in the context of Contractual rights


Water privatization in Morocco in the context of Contractual rights

⭐ Core Definition: Water privatization in Morocco

Water privatization in Morocco goes back to the times of the French Protectorate when most water supply systems were run under a private concession. After independence the private utility was nationalized, but in the mid-1990s the Moroccan government privatized water and sewer services again, alongside electricity distribution, in four cities. The privatization process began with the award of the Casablanca concession to Lyonnaise des Eaux (now SUEZ) in 1997, followed by the award of a concession for the capital Rabat in 1998 and the award of another concession for Tangiers and Tetouan to Veolia Environnement. In 2009 private companies provided water and sanitation services to 38% of the urban population of the country.

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Water privatization in Morocco in the context of Water privatization

Water privatization is short for private sector participations in the provision of water services and sanitation. Water privatization has a variable history in which its popularity and favorability has fluctuated in the market and politics. One of the common forms of privatization is public–private partnerships (PPPs). PPPs allow for a mix between public and private ownership and/or management of water and sanitation sources and infrastructure. Privatization, as proponents argue, may not only increase efficiency and service quality but also increase fiscal benefits. There are different forms of regulation in place for current privatization systems.

Private sector participation in water supply and sanitation is controversial. Proponents of private sector participation argue that it has led to improvements in the efficiency and service quality of utilities. It is argued that it has increased investment and has contributed to expanded access. They cite Manila, Guayaquil in Ecuador, Bucharest, several cities in Colombia and Morocco, as well as Côte d'Ivoire and Senegal as success stories. Critics, however, contend that private sector participation led to tariff increases, and privatized water systems are incompatible with ensuring the international human right to water, with the belief that public water will no longer be public. Aborted privatizations in Cochabamba, Bolivia, and Dar es-Salaam, Tanzania, as well as privately managed water systems in Jakarta and Berlin, are highlighted as failures. In 2019, Austria forbade the privatization of water provision via its constitution. Water privatization in Buenos Aires, Argentina and in England are cited by both supporters and opponents, each emphasizing different aspects of these cases.

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