Decentralised Solidarity Financing Mechanisms for Access to Water and Sanitation for All. REPORT from the European Strategy and Action Plan Workshop
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1 Decentralised Slidarity Financing Mechanisms fr Access t Water and Sanitatin fr All REPORT frm the Eurpean Strategy and Actin Plan Wrkshp December 2012 Strasburg Cuncil f Eurpe In cllabratin with: 1
2 Cntents Wrkshp Framewrk... 3 I. Presentatin f different types f Decentralised Slidarity Financing Mechanisms (DSFM) Existing decentralised slidarity financing mechanisms and recmmendatins fr setting them up a) Existing types f mechanism:... 4 b) Cmments and recmmendatins fr setting up decentralised slidarity financing mechanisms The underlying issues The reference framewrk fr decentralised slidarity financing mechanisms... 6 II. The Eurpean Platfrm and its Objectives... 7 III. Next steps fr the Eurpean Platfrm... 8 Appendices Appendix 1: presentatin f GWS Appendix 2: reference framewrk fr reginal platfrms Appendix 3: Wrkshp prgramme Appendix 4: Participant list Appendix 5: Dcument Pverty in Eurpe: Findings, figures, cmments and the article which appeared in Le Mnde n 3 January 2013 Un quart de la ppulatin eurpéenne est menacée par la pauvreté Appendix 6: map f Eurpean river basins and reginal map 2
3 Wrkshp Framewrk Article 7C f the Millennium Develpment Gals aims t halve, by 2015, the prprtin f the ppulatin withut sustainable access t safe water r basic sanitatin. Despite all the effrts made and the increases in Official Develpment Assistance ver the past decade, achievement f this MDG varies arund the wrld and there is a grwing gap between the levels f access t services between urban and rural areas. We must urgently develp and strengthen new financing mechanisms t guarantee access t safe water and sanitatin fr all. Decentralised slidarity financing mechanisms (DSFM) are cmplementary t and shuld be used t supplement existing mechanisms such as cnventinal bilateral cperatin, Official Develpment Assistance etc. In May 2012, Glbal Water Slidarity (GWS) 1, entrusted Slidarity Water Eurpe (SWE) and its partners with the mandate t design and crdinate a Eurpean platfrm 2 t prmte and accmpany the setting up f decentralised slidarity financing mechanisms in Eurpe. On 10 and 11 December 2012, Slidarity Water Eurpe rganised at the Cuncil f Eurpe, a Strategy and Actin Plan Wrkshp 3. Arund thirty Eurpean stakehlders 4, frm ten cuntries participated. The wrkshp prgramme cvered three main issues: 1. Pverty in Eurpe: its manifestatins, the affected ppulatins and the cnsequences 5 2. The different types f decentralised slidarity mechanisms: definitin, their psitin in the funding landscape, their added value, the rigin f funds etc. 3. The Eurpean platfrm t prmte decentralised slidarity mechanisms, its rle, its functins, its activities, hw it is managed, its partners etc. 1 Appendix 1: presentatin f GWS 2 Appendix 2: reference framewrk fr reginal platfrms 3 Appendix 3: Wrkshp prgramme 4 Appendix 4: Wrkshp participants 5 Appendix 5: Dcument Pverty in Eurpe: Findings, figures, cmments and the article which appeared in Le Mnde n 3 January 2013 Un quart de la ppulatin eurpéenne est menacée par la pauvreté 3
4 I. Presentatin f different types f Decentralised Slidarity Financing Mechanisms (DSFM) 1. Existing decentralised slidarity financing mechanisms and recmmendatins fr setting them up. Many DSFM were presented by the different participants. Certain practices already exist and are regularly implemented, thers are still at the cnceptin stages and need t be fficially set up and tested. a) Existing types f mechanism 6 : - Blck tariff systems with payment assistance ptins and scial tariffs. - Natinal r internatinal funds. Natinal prjects such as thse in the Walln area f Belgium are already up and running with Gvernment funding. - Banks fr slidarity r lcal develpment such as the Banque Malienne de Slidarité. - Applicatin f the principle that water finances water within the framewrk f: Reginal slidarity (e.g. the Water Agencies in France), fees cllected in a regin are nt re-allcated accrding t wh pays, but accrding t verall pririties and needs f the regin. Inter-reginal slidarity t bring urban and rural areas tgether. Internatinal slidarity: part f the revenues generated frm water sales funds internatinal actins (e.g. 1% in France and the Netherlands). - The prpsal t create an internatinal fund managed by Glbal Water Slidarity wuld require further discussin n the surce f funding (% n credit card transactins, % n airplane tickets etc.), hw such a fund wuld be gverned, wh wuld benefit and the criteria fr allcating grants. b) Cmments and recmmendatins fr setting up decentralised slidarity financing mechanisms - Being firmly rted in the lcal cntext seems t be a cnditin fr the viability and success f these mechanisms. - Create alliances with existing lcal bdies and/r netwrks. - Increase awareness-raising and mbilisatin f all stakehlders (cmpanies, citizens, lcal authrities, universities, NGOs, institutins). Ptential tl: creatin f pprtunities fr dialgue at lcal level places fr the peple. 6 See the guide Internatinal Slidarity fr Water and Sanitatin: Eurpean Citizens take Actin 4
5 - Training and capacity building were mentined t ensure nt nly that existing aid is better utilised but als as an added value f decentralised cperatin, which encurages knwledge sharing. - In sme cases these financing systems can create leverage t facilitate raising f additinal funds. The platfrm culd lk at identifying, characterising and sharing these practices. (e.g.: Vitens Vides in Netherlands, Red FASCO/Banrural in Guatemala etc.) These examples and recmmendatins can be cnslidated by stakehlders wh were unable t attend the wrkshp and be cntinually updated with platfrm members experiences via the experience sharing frm. Three general cmments were made as regards the setting up f such mechanisms: - Whether r nt the mechanism prpsed is cmpulsry r vluntary. - There is n miracle slutin. Slutins will emerge thrugh experience and setting up f pilt prjects. - Mechanisms must be adapted t the lcal cntext: kapieren, nicht cpieren (Understand, nt Cpy). These discussins led t a framewrk t define decentralised slidarity financing mechanisms: Decentralised slidarity financing mechanisms (DSFM) are financial tls that can be used t respnd t the demand fr lcal ecnmic develpment t uphld basic human rights, particularly that f access t safe water and sanitatin. These decentralised slidarity financing mechanisms, managed at lcal reginal and/r natinal level are dnatins, interest-free lans, guarantees, vluntary cntributins, tax transfers, a percentage f interest etc. and may prvide leverage fr cnventinal develpment aid funding. They are set up n a vluntary basis in a spirit f slidarity t build synergies amng all stakehlders (users, Gvernment, peratrs, elected fficials, private sectr, civil sciety rganisatins etc.) t cntribute t building lcal capacities and facilitate the apprpriate transfer f technlgies. 2. The underlying issues The discussins ver these tw days highlighted many issues that need t be cnsidered and integrated int the develpment f DSFMs. - The imprtance f a legal framewrk as a guarantee f gd gvernance, t structure water pricing but als the way internatinal aid is sent and received. - The reductin f the gaps between: Urban and rural areas, Marginalised ppulatins and the rest f the ppulatin Nrthern and Suthern Eurpe Eastern and Western Eurpe Water experts and the general public. 5
6 - The increasing impverishment f peple in rich cuntries. - Ensure that water and sanitatin issues remain at the tp f plitical agendas at natinal, reginal and internatinal levels. - The integratin f the right t water int natinal legislatin. - The financial and scial sustainability f the mechanisms set up. - Analysis f all aspects f existing mdels (Belgium, French, Dutch, British, Nrdic, Spanish, Italian etc.), bearing in mind that these mdels were shaped by the histry and culture f each cuntry. - The pssibility f applying the principle f slidarity financing t the water sectr while ensuring that the attractin f new financing des nt fster a cmmditisatin f water. 3. The reference framewrk fr decentralised slidarity financing mechanisms Several discussins during the sessins tuched n the key themes t be defined t ensure the future activities f the platfrm are firmly rted in a shared understanding. The cncepts used tday are smetimes smewhat tired and wrn. It appeared crucial t identify what wuld make up the field f actin fr DSFMs. - Review the paradigms, the principles and cncepts such as cperatin, slidarity and develpment. - Review geplitical cntextual analyses: the rle f the BRICs, internatinal relatins, the definitin f Eurpe and its main regins (East, Nrth, Suth etc.). - Review the themes pertaining t the ften t sectral apprach t water and sanitatin t incrprate ther dimensins in discussins. New slutins will emerge if we bring dwn the barriers. The main assciated themes cvered were the scial ecnmy, slidarity, energy, health, the envirnment and agriculture. - Fcus abve all n the lcal level and then push these frces twards reginal, natinal and internatinal levels. - Integrate the apprach int the principles f Integrated Water Resurce Management (IWRM). - Ensure dignity fr all, that is t say access t safe water and sanitatin, sufficient fd, medical care, educatin, decent husing and security. - Carry ut an verall analysis (develpments, disparities, needs etc.) f the situatin fr access t water and sanitatin in the 47 cuntries f Eurpe. A Blue Bk 7 written accrding t future sustainable develpment bjectives culd be the tl t d this. - Recgnise cultural identity and adapt the actins accrdingly. 7 The Blue Bks are a snapsht/independent diagnsis which prpse indicatrs t undertake and/r imprve reginal and/r natinal actins t uphld the right t water and sanitatin fr all. 6
7 - Review the ntin f respnsibility assciated with a regin. Everyne is respnsible fr the regin in which he lives. - Review the interests and psitins f water stakehlders (private sectr, gvernmental and nn-gvernmental). The list will be refined as specific actins are implemented in the field and during ther such meetings. This step is imprtant as it helps t define and specify the meaning, the values and the visin that will be upheld by the Eurpean Platfrm fr DSFM. II. The Eurpean Platfrm and its Objectives The Eurpean platfrm was described as: A shared advcacy tl t prmte new decentralised slidarity financing mechanisms in Eurpe. An arena fr discussins, sharing ideas and knw-hw as well as experience and expertise frm arund Eurpe. A catalyst t supprt and share the decentralised slidarity financing mechanisms that are emerging in Eurpe. The issue f defining an identity was raised in terms f messages, image and members. Beynd the financial mechanisms t be set up t guarantee access t dignity fr all, it appeared clear frm the discussins that the Eurpean platfrm must als envisage prmting decentralised slidarity mechanisms. A few messages that culd be used in cmmunicatin campaigns were identified: - Increase awareness n water issues. There is a need t prvide mre infrmatin n the imprtance f water resurces. - Draw up a simple, clear message in which everyne can feel invlved and cncerned. This culd be abut: dignity? Shared respnsibility (ecnmic inter-dependence (water ftprint) r interdependence in water and land resurce management)? Civic duty? Right t water? - Imprtance f integrating custms and traditins in the design f advcacy tls. - Targets: The general public, Develpment aid managers, Gvernments and internatinal institutins, 7
8 Elected fficials/decisin makers s that they undertake decentralised slidarity appraches. - Resurces: Jin up with existing netwrks (Eurpean Reginal Assembly, lcal authrity netwrks, INBO, the Eurpean prtal fr decentralised cperatin) and use their cmmunicatin channels. Invlve yuth in relaying the messages Develp a specific apprach in each cuntry Supprt the Right2Water initiative III. Next steps fr the Eurpean Platfrm Disseminate this reprt as widely as pssible with a view t gathering cmments frm thse wh participated in the wrkshp and ther current r future platfrm members. Cnslidate the rle and functin f the Eurpean platfrm with a view t prmting Eurpean knw-hw regarding decentralised slidarity financing mechanisms which are already established and have prven their wrth. Participate as active and visible stakehlders in varius internatinal meetings, frums and seminars in rder t prmte the added value f decentralised slidarity financing mechanisms: - At the WACAP frum, Dublin, February 2013 : - Sessin at the Eurpean Parliament in March 2013 t prmte these mechanisms and encurage their uptake mre widely acrss EU cuntries. - Wrkshp t write an internatinal guide n gd practices in slidarity fr water and sanitatin, Lausanne May 2013, Lausanne - Wrld Water Week, Stckhlm 1-6 September th Eurpean Slidarity Week fr Water: (Octber 2013) 8 Write and publish a Blue Bk fr 2 Eurpean Cuntries 8 And event rganised by Slidarity Water Eurpe every three years which will be held this year in the cntext f 2013 Internatinal Year fr Water and Cperatin. The 2 themes f this pan-eurpean event are: - Reginal and equitable integrated management f water resurces and sanitatin, a weapn against inequality and pverty - The cnvergence and cmplementarity f different types f financing (frm users, lcal, natinal and internatinal), surce f efficiency, slidarity, jb creatin and better quality f life. 8
9 Supprt Mldva t set up a Mldavian platfrm t manage decentralised slidarity financing mechanisms initiated at hme and abrad. Wrk n the theme Eurpeans Share their Slutins, an awareness raising and infrmatin campaign targeting Eurpean elected fficials (Eurpean Parliament and the Cuncil f Eurpe) which will prmte slidarity actins initiated r fllwed in their cnstituencies and which are financed by decentralised slidarity mechanisms. The campaign has tw bjectives - Highlight the innvative nature f DSFMs, the advantages in replicating them and hw they cmplement ther surces f funding. - Educate elected fficials s they have cnvincing arguments at their fingertips t place integrated water resurce management and access t water and sanitatin fr all at the tp f their plitical agendas in rder t attract further financing and facilitate the setting up f DSMs in their cuntries. Cntribute t ther pan-eurpean campaign initiatives t mbilise the general public n the preservatin, quality and management f water etc. (e.g. the Right2water campaign 9 ). Reprt based n the summary f the wrkshp written by Marc Berger, Céline Nblt and Benjamin Nury. 9 See site: 9
10 Cntact Cathy Martinez Prgramme Crdinatr Ph.: cathy.martinez@see-swe.rg 10
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