World Bank report ponders new water strategies

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China and India received 76 percent of new water lending commitments from the Bank over the period from 2003 to 2009.

“Overall, Bank assistance was directed toward those countries that face the greatest water needs,” the report points out.

With more emphasis on projects taking integrated approach which connect water services with water resources, the Bank projects its commitments between $21 and $25 billion for FY10–13.

“To translate this vision for the water agenda into action, the Bank will continue to combine traditional and innovative financ¬ing and knowledge instruments,” the report said.

The report finds that more than one-sixth of the world’s population without access to safe drinking water (with 80 percent from rural areas) and 39 percent of the world’s population having no access to improved basic sanitation.

If the current rate persists, the Millennium Development Goal (MDG) of reducing half of the people who do not have access to improved sanitation, will miss the target by one billion people, the report said.

The report cautions on many water-dependent sectors getting affected by climate change mainly agriculture in developing countries.

The report puts current hydropower contribution at 20 percent share to total electricity supply globally and 88 percent of electricity supply from renew¬able resources.

Commenting on the importance of hydropower, Inger Andersen, Vice-President for Sustainable Development at the World Bank, said “Only 23 percent of hydropower potential located in developing countries has been exploited. The gains for the poor can be enormous.”

The report also cautions on the increased pressure on the water supply as urban population is expected to double between 2000 and 2030.

“Coastal areas, in which 18 of the world’s 27 megacities are located, will face the largest migratory pressures; many will also be hot spots of climate change impacts,” the report said.

As a result of rapid increase in urbanization, competition between agricultural and urban water users will increase, the report finds.

To meet water demand in the urban areas, World Bank calls for integrated water management, river basin management, and checking the pollution of pollution of surface and groundwater bodies in urban areas.

The report also underscores better water management as a means of improving gross domestic products (GDP) of countries.

“Country examples indicate that proper water management could increase gross domestic product by 5 to 14 percent—an impact that may be unachievable through any other interven¬tions,” the report said.

On the other hand, it also says countries such as Cambodia, Indonesia, the Philippines, and Vietnam losing an estimated 2 percent of GDP from under-investment in sanitation.