Water- The New Oil

We are in the midst of a global freshwater crisis. Around the World, rivers and lakes are reducing faster than can be replaced by "mother nature", industrial chemicals are rapidly polluting what's left, and global population growth is increasing the demand for fresh water sky-ward.

Golman Sachs estimated that global water consumption is doubling every 20 years, and the UN expects demand to be greater than supply by 30%, by 2040...yes, in less than 30 years.

Many of us have no idea where our water comes from...or who owns it. But the rights to divert water (from a river or lake), are indeed a sellable commodity. As demand outstrips supply the price of water will rise greatly.

Should private companies control the world's most precious resource? The belief is that eventually every last drop of water will be under the control of a private company. If this dark day happens, then the world will be now divided between "the haves" (Canada, Alaska, and Russia), and "the have nots" (countries like India, Syria, Jordan).

The ten countries with the most fresh water per capita (in cubic miles) are-

1. Iceland (123,862)

2. Guyana (75,933)

3. Surinam (55,820)

4. The Congo (53,105)

5. Bhutan (32,169)

6. Papua New Guinea (27,897)

7. Gabon (26,208)

8. Canada (23,361)

9. New Zealand (22,132)

10. Solomon Islands (20,018)

Countries where fresh water is in short supply per capita are-

Western USA, Chile, Peru, The Middle East, North and South Africa, India, Mongolia, and Kazakhstan.

Until recently, water privatization was an almost exclusive Third World Problem, with countries such as Bolivia in the 1900s being forced by the World Bank to privatize their water supply as a condition for Economic Assistance. What was the experience here? By 2000 "Bechtel"-the mutinational cooperation had more than doubled water rates (usual monopoly practice). Riots in the streets of Bolivia eventually sent the mutinational packing, and the public utility assumed control again.

The main problem with putting the control of water in the hands of private companies is the "inelastic" nature of water. ie. no matter the price, the demand will remain high- a monopolistic market.

While many US cities look at having the private sector take over their water infrastructure, others are waging expensive legal battles  to get out of such contracts (such as New Jersey in 2009).

If there's one thing water has in common with oil, it's that people will go to war over it. Pakistan and India have had many conflicts, over the diversion of water from rivers running off the Himalayas. India, is complaining that China's diversion of rivers near their shared borders are wrong and unfair. And Jordan and Syria are having conflicts over access to water from a dam the two countries built together.

...so in the not too distant future it looks like the nations that control vast amounts of water will hold great power in the Global Marketplace. Countries now that are oil-rich can easily pay for the product (maybe with oil), but the problem of course, is what will happen to the poorer nations?

...Water World anyone...

Sounds like a spiritual problem.

Sounds like we better start buying stock in companies with desalinization technology. One thing the earth seems to have plenty of........... is water. Unfortunately for us, it is all salt water. Desalinization tech is already being utilized, but it needs to be more cost effective. After seeing Cody Lundine produce fresh water from salt water with a tin can, copper tube, some tree resin and a wet towel, all well on a deserted beach............... it seems like it should be easy to do with proper equipment. Apparently it's not though. Water crisis is coming for sure.

...yes "JSB79", we take for granted the freshwater we currently use (especially here in the Western World), but in less than a generation our demand will be greater than supply. What will happen then? I believe countries with vast supplies will now be in a stronger bargaining position to trade for commodities like oil, but at some point it will become critical.

Your proposal about desalinization will have to be the way out for mankind, the issue here is of course cost.

In the not too distant future, wars may be about water rather than oil.

You are a complete fool and you will be one of the first people crying when your water stops flowing..........guaranteed.

Countries like Iceland do have tons of water, but very small military to back them up. Oil is to ice, as Iraq is to Iceland. Maybe a generation from now the U.S. will come up with some ridiculous reason to invade Iceland.

Tell the millions of people living in slums without fresh water that.

Since I know you love facepalms....

1. World population growth rates are approaching stability, which means the global population will either stop increasing or increase very slowly.
2. Advances in technology can increase mankind's resources. Advances in farming have allowed farmers to produce more food in a given plot of land than people a hundred fifty years ago could dream of. People have tamed rivers and created new filtration technology. Right now we have the technology to purify even urine.
3. Water, unlike oil, doesn't disappear when it is used; when you take a shower or use the sink, that water is returned to the earth. All we need are desalination plants.
4. We have desalination plants.

I know that things are really bad for a lot of people, but my point is that conditions are improving. People living in slums now live better than people living in slums did a hundred years ago, and the rate of improvement is increasing with technological advances and humanitarian and political progress.

I didn't know "Western USA" was a country.

That means 'quarki's a foreigner.  That explains a lot.

bigpoison beat me to it.

+1

desalination plants are costly atm, even got one here in Perth.

I've seen University students dumping full water bottles in rubbish bins.

We are the driest state of Australia and we are the most water waster of Australia ! riduclous ! 

The 3rd World War could well be fought over water.

 true, but would you call Australia a third world ? In the eastern states have the strictest water ban. Our dams here in WA is only 30-40 % full , is that gonna be ok through the coming summer ? It make you wonder.

Complaining about something won't make it go away. You want to help fix it (and, at the same time, make a little cash)? Invest in desalination R&D companies.

"oinquarki",

Currently, the world still has a surplus supply over freshwater demand...and yet, millions of people all over the world are having great difficulty in finding a clean and safe source of water...especially in third world countries. This is of course a distribution problem.

But in less than 30 years, we will not be talking about a distribution problem...the total supply < the total demand. We will be talking about a total shortage worldwide. What will be the situation in poorer nations then? Or should we not care?

Your graph is correct...the total rate of population growth is reducing, but the total population is still growing- 6.8 billion in 2011, which will reach approximatlely 8-9 billion in 30 years time.

Our Oceans of course holds the solution as you rightly indicated...desilinization. But to what extent will we be able to produce enough to supply total demand...at an affordable price? The rich will always be able to afford, but what about the poor?

I didn't know "Western USA" was a country.

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...lol...clearly the writer was trying to identify that not all areas of the USA  is in short supply...nor all areas of Africa.