Transnational Institute Gets it Wrong on Water Privatization

TFTT Report

Transnational Institute Gets it Wrong on Water Privatization – Part 3

In the run-up to the 2015 World Water Forum, the Transnational Institute, along with four other organizations, released a report titled “Our public water future: The global experience with remunicipalization.”

The authors claim their report details the “growing waves of cities and communities worldwide” that are choosing to remunicipalize their water systems. However, the report manipulates data, misrepresents facts, and clearly misunderstands fundamental elements of the private water industry in the United States.

Throughout the 131-page report, there are plenty of so-called “facts” that just don’t add up. Here is the third way TNI’s report gets it wrong when it comes to water system in the U.S. Read the 4 other ways in our blog.

3. THE REPORT CLAIMS REMUNICIPALIZATION RESULTS IN SUCCESS FOR COMMUNITIES.

That is clearly not the case in places like Atlanta and Indianapolis. Since moving back under public control in 2002, Atlanta’s water system has experienced serious issues, from faulty meters and improper billings to significantly increasing water rates. In fact, Atlanta’s water rates increased an astonishing 233% between 2001 and 2012, and as of 2011, the city had the highest water rates of any major U.S. city. Remunicipalization clearly wasn’t a win for these residents.

The residents of Indianapolis haven’t fared much better. After exiting their private water contract, the city’s utility sought to increase water bills by 10% and sewer bills by 47% all while turning a $53 million profit. Again, not a success story for residents.

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