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Image header Agence Europe
Europe Daily Bulletin No. 10896
Contents Publication in full By article 14 / 29
ECONOMY - FINANCE - BUSINESS / (ae) greece

Water privatisation may go down the plughole

Brussels, 25/07/2013 (Agence Europe) - Greece is finding it difficult to get its privatisation programme running, with recent apparent lack of interest in gas company DEPA, and a campaign by a hundred or so civil society organisations, trade unions and individuals from inside Greece and without may well be an added complication.

The movement has signed a letter with some 50 MEPs calling on companies interested in buying up Thessalonica water company, Eyath, to withdraw their bids, highlighting that the sale of the public utility is being orchestrated by the country's troika of lenders (European Commission, European Central Bank and International Monetary Fund). The letter warns that companies that have bid for the water company, like France's Suez Environnement, will not be welcome in Greece: “The companies involved will find their reputations tarnished, their credibility in shreds, their risks increased and profits limited. We believe your bid is based on a feeble business case. We would hope that corporations today don't base their business model on opportunism, nor venture into initiatives where they are clearly unwelcome”.

“While in Greece there is no precedent, the international experience has shown that the privatisation of water has often resulted in the skyrocketing of prices and in some cases in the deterioration of water quality”, said Maria Kanellopoulou of the Save Greek Water movement. Greek S&D MEP Kriton Arsenis commented that, not only was the privatisation not a welcome move, but it could not help Greece out of crisis. The European Public Service Trade Union (EPSU) points out that “a recent opinion poll indicated that close to 65% of the Greek people are strongly opposed to the privatisation of water services”.

Having to meet demands from Greece's lenders in areas other than the privatisation programme, Greek parliamentarians will be meeting on Thursday evening to arrange implementation of the final “prior action” required for the disbursement of €2.5 billion in aid by the eurozone (see EUROPE 10895). The prior action in question is a civil service mobility scheme, which has run into delays. (EL/transl.fl)

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ECONOMY - FINANCE - BUSINESS
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