Indonesian Political, Business & Finance News

Farmers union fights commercialization of water sources

| Source: JP

Farmers union fights commercialization of water sources

Muninggar Sri Saraswati, The Jakarta Post, Jakarta

A farmers union criticized on Tuesday the water resources bill
for allowing private companies to exploit springs, which it said
would harm farmers who rely on free groundwater.

The water resources bill, which the House plans to discuss at
its next session, would allow private companies to take control
of springs for business purposes.

Abdul Muis of the Indonesian Farmers Solidarity Union said
licensing private companies to control springs would prevent
farmers from having access to groundwater.

"If the springs exploited by companies were located in the
mountains, how could farmers irrigate their land? Would they have
to pay the companies?" he asked during a discussion here on
Tuesday.

Several large bottled water companies here are already
exploiting springs for their private commercial use.

Muis warned of a possible conflict with farmers if the bill
failed to provide farmers access to water for agricultural
purposes.

Articles 41 of the bill stipulates that farmers must obtain
water licenses from the authorities.

"Only certain groups will get water concessions. The
requirements will leave farmers powerless to ensure their water
supply," Muis said.

He also feared the concession requirement would lead to
collusion between the authorities and businesspeople, at the
expense of farmers.

"Farmers will suffer the most," he said, pointing out that
most farmers in Indonesia occupy small plots of land that are 0.5
hectares in size on average.

M. Toha, chairman of the Federation of Indonesian Farmers
Associations, said the water resources bill focused too much on
infrastructure projects, and failed to ensure that farmers
received water.

"It fails to guarantee the water supply for farmers because it
views water just as a commodity," he argued.

A discussion participant from the Bogor Institute of
Agriculture said the bill favored businesses.

"We must side with the farmers because agriculture is the core
of our country's economics. How can our agricultural products
beat foreign competitors if they are burdened with unnecessary
costs?" he said.

The bill will become an umbrella for water management if
passed into law. It also will open the way for the private sector
to become more involved in managing water.

The bill is part of a program for water resources
restructuring in Indonesia, which is being promoted by the World
Bank through its Water Resources Sector Adjustment Loan scheme,
worth US$300 million.

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