MERCED COUNTY, Calif. - Wells are drying up across the county
from an overtaxed and sinking water table.
Drought and climate change threaten the future of local water supplies.
![bottlingplant-2.JPG [Safeway's water bottling plant on Ashby roady in Merced, CA May 29th, 2009 (SUN-STAR PHOTO BY LISA JAMES )
]](http://www.commondreams.org/files/article_images/bottlingplant-2.JPG)
Safeway's water bottling plant on Ashby roady in Merced,
CA May 29th, 2009 (SUN-STAR PHOTO BY LISA JAMES )
And Merced has been
selling its tap water since 2002 to a water bottling plant, which then sells
that water at rates far above what it costs the plant to buy it from the city.
The Safeway Inc.'s water bottling plant in Merced -- one of the top five
commercial/industrial water users in the city, which bottles Safeway's in-house
purified and spring water brand Refreshe -- uses roughly 50,000 gallons a day,
five days a week, for its bottling operation.
The plant, which provides most Refreshe drinking and spring water to Safeway
stores in the state, filters city water, puts it in bottles and sells it as
purified water. The bottles note that the water was bottled in Merced, but not
that it was pumped out of the ground by the city. (Refreshe spring water is
shipped in from a spring and then bottled in Merced.)
Some say the operation is just like any other business that buys water from
the city.
But others claim it represents a troubling trend. Environmentalists and water
rights activists contend that the increasing commercialization of public water
and the selling of tap water not labeled as such isn't how water pumped out of
the ground by cities is meant to be used. They claim that bottled water sells
itself as safer and healthier than tap water, but in many cases is not.
The Sierra Club's Water Privatization Task Force noted that the growth of the
bottled water industry -- spearheaded by companies like Nestle, Coca Cola and
Pepsi Cola -- is not only depleting aquifers and springs across the country, but
also represents a step toward increasing water privatization.
The task force also noted that the industry advertises bottled water as
better than tap water -- even though much of the water in bottles comes from the
tap. "The bottled water industry promotes bottled water as a healthy, trendy
drink, without mentioning that it can cost 500 to 4,000 times more than tap
water," commented the task force.
In Safeway's case they pay more than $1,000 a month for more than a million
gallons of water. The retail cost for that much purified bottled water at
Safeway is just under $3 million. Safeway would not say how much it costs them
to produce their water.
Despite these concerns, the public's taste for the stuff is growing.
According to a 2009 report on the industry by Bottled Water Reporter, bottled
water sales in the U.S. accounted for more than $11 billion in 2008. Over the
last decade bottled water consumption jumped from more than $4 billion in 2000
to double that by 2008. According to Food & Water Watch, over 112 bottling
plants exist in the state and over 1 billion gallons of bottled water are sold
in California every year.
In the report, tap water was distinguished from bottled water. "Clearly,"
noted the report, "consumer perceptions matter, and consumers regard bottled
water very differently from tap water. Even where tap water may be safely
potable, many people prefer bottled water, which they regard as superior in
taste."
Safeway spokeswoman Teena Massingill said that criticisms about
commercializing municipal water and replacing it with expensive bottled water
are baseless and unfounded. "There will always be critics of products," she
said. "We are providing a product that did not exist previously. So I think that
the argument that they are making is unfounded," she said.
As for the Safeway's operation in Merced, Merced spokesman Mike Conway said
the city treats Safeway as it would any other industrial water consumer.
"There's no difference between any kind of water user who uses our water to
process a product -- whether it's bottled water or anything else," said
Conway.
"As for some additional perspective," wrote Conway in an e-mail, "if the city
pumps about 21 million gallons of water a day, and Safeway uses 50,000, that
works out to be 0.238 percent of our total gallons pumped."
But the plant doesn't only use water. It also produces waste. The plant's
purification process discharges roughly 52,000 pounds of salts a year into the
city's wastewater system, according to their permit.
Safeway's in-house brand Refreshe, bottled in Merced with well water, doesn't
say on its label that it was originally municipal tap water.
Massingill's reply is simply that the product that Safeway provides -- fresh
water -- isn't tap water.
But a new law could force water bottlers to at least let consumers know the
source of their bottled water -- not just where it was bottled.
Assembly Bill 301 would require bottling facilities to register with the
state and disclose the source of their water.
Currently, the state's Department of Public Health only requires that bottled
water labels list where the water was bottled, not the actual source of that
water.
Another area of concern with bottled water, says Ruth Caplan, the national
coordinator for the Defending Water for Life campaign, is that while bottled
water sells itself as better than tap water, it contributes to pollution and has
been found to be less healthy than tap water -- at least in some cases.
Many of the bottles end up in landfills, Caplan added, and in some cases
contain industrial chemicals and bacteria above state and industry
standards.
According to the Sierra Club, nine out of 10 plastic water bottles end up as
garbage or litter.
The National Resources Defense Council tested a wide array of bottled waters
in the late '90s and found the majority contained either industrial chemicals
and other contaminants, such as chloroform, that were above levels set by the
state and the industry. The study included Safeway-brand bottled waters whose
labels indicated they had gone through reverse osmosis filtration like the
purified water in Safeway's Merced plant.
Safeway's Massingill declined to comment on NRDC's study, but said that
Safeway is fully conscious of its environmental footprint and the healthfulness
of its products. The company uses as little packaging as possible in its
products. For instance, its plastic bottles are among the thinnest in the
industry.
In addition, Safeway uses wind and solar energy on a wide scale. "We operate
in the most environmentally conscious manor possible," she said. Safeway is one
of the largest retail users of renewable energy in the United States as well,
she said.
On top of the company's efforts to be green, Massingill said it provides jobs
for roughly 70 people at its Merced plant. It's also actively involved in the
community through the sponsorship of events, among other contributions.
The Wild West was founded partly over water wars. It's clear some are still
being fought, even inside the bottle.
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Polaris Institute NewsBytes

Bottled Water:
A New Battlefront Against Water Privatization in the Global
South
http://www.polarisinstitute.org/a_new_battlefront_against_water_privatization_in_the_global_south
Richard Girard, Polaris Institute, June
8, 2009 - Recent industry analysis shows that countries in the Global South have
the best potential for future growth in bottled water sales. Market reports
predict that over the next four years sales of bottle water will grow most
quickly in Asia and Latin America due to 'the poor quality of potable water' in
many countries. Africa is also highlighted as a having strong potential for
bottled water sales for the same reason. In addition to limited access to clean
tap water, reports mention the rising number of people with disposable incomes
as a driver for growth in the industry. This is all very positive for bottled water companies, but signals a
wrong turn in the struggle to bring publicly managed municipal water service to
communities and will have severe impacts on how populations view the delivery of
this basic human right. This
opportunity for the bottled water industry is leading to widespread
privatization of drinking water delivery in countries where access to clean tap
water is limited. Bottled water sold for huge profits may bring water to people
who need it, but the side effect is the commodification of this basic human
right. When populations come to accept that the only way to find drinking water
is buy it in a packaged form, people will come to accept that water, whether
from a tap or from a bottle, is something that can be bought and sold on the
open market. A system is emerging where only those who can afford it will have
access to water. The
privatization of drinking water is already well under way in many urban centres
in the Global South. In areas where clean tap water is either not available or
not safe (or perceived to not be safe) people are already consuming packaged
water supplied by for-profit producers at an alarming rate.Beverage corporations are seeing this phenomenon
as a future growth engine. In April of this year at the company’s Annual Meeting
of Shareholders, Coca Cola’s CEO, Muhtar Kent (click here and go to 30:00 of the webcast), repeated the company mantra that future
growth will come from a combination of rapid urbanization and a growing middle
class. Kent spoke of the ‘conversion’ from un-packaged beverages to packaged
beverages that occurs when people attain ‘middle class’. The natural ‘conversion’ as Kent sees it, is for
people to move away from public tap water towards his company’s bottled
beverages. Luckily for Kent his company has set up a global bottling system that
is poised to jump on this opportunity. The other three global bottled water
giants, Groupe Danone, Nestlé and PepsiCo also have the capital and existing
global infrastructure to exploit the bottled water boom in the Global South.
The following examples from
India, Vietnam, Nigeria and México, demonstrate how the rapid growth of bottled
water sales is already forging the path towards privatization and is creating
risks to health and livelihood along the way. These examples do not touch the
severe impact the bottled water industry has on the environment in the Global
South caused by water takings and the disposal of plastic bottles.
IndiaThe first example is from Hyderabad (pop 8.8
million), the capital of Andrha Pradesh, where The Hindu recently reported that ‘unscrupulous elements are making mega bucks out
of human suffering’ by selling 20 litre cans of well water for 31 cents (the
price goes up to $2.80 USD with the can included). According to The Hindu the
areas where business is swiftest have major problems with public water
infrastructure. Long lines at public taps and limited public water service to
many homes results in a daily struggle for people to find water. Many are
resorting to buying their drinking water from local vendors who package well
water and sell it at hugely inflated prices.In a country where, according to United Nations
data, over 36 percent of urban dwellers survive on less than $1.25 (USD) per day
purchasing packaged water is a major expense. However, without access to free
and clean public drinking water, and with a convenient packaged alternative
readily available, many residents will inevitably accept the option of
privatized, for-profit water. Recent industry figures from India indicate that sales of bottled water
grew from $189 million (USD) in 2003 to $599 million in 2008 – a growth rate of
216 percent. With this figure projected to double in the next five years India
is being touted as one of the fastest growing bottled water markets in the
world. The growth of the Indian market is being attributed to people having more
disposable income coupled with poor public water infrastructure.
These are the kind of market
forecasts on which bottled water companies base future business plans. True to
form, PepsiCo announced earlier this month that it will double investments in its Indian
beverage business in 2009. The company’s Indian beverage investments will now
total $220 million. VietnamIn April,
Vietnamese health inspectors discovered that close to 30 percent of bottled
water producers nationwide did not meet health and safety standards. In Ho Chi
Minh City, where according to the Thai News Service more than 1,000 bottled
water businesses are in operation, the Health Department has already shut down
five bottled water plants this year and fined 360 plants for violating food
safety and hygiene standards. News reports said that test samples were tainted
with disease-causing bacteria, such as Pseudomonas aeruginosa, E.Coli and
Coliform. Vietnam is
another case where urban residents are ‘converting’ to packaged beverages.
Industry reports see Vietnam as a place where people are gradually replacing
boiled tap water with bottled water. Between 2003 and 2008, the sales of bottled
water in Vietnam grew by over 80 percent to a total of $43.8 million (USD). This
total is projected to climb a further 75 percent by 2013.
This trend away from
public water sources is obviously being exploited by bottled water sellers.
However the rapid expansion in the number of bottled water producers is putting
peoples’ health at risk. NigeriaA recent article pointed out that the informal bottled water industry has grown so
quickly in Nigeria that bottled water companies now represent about 10 to 15 per
cent of the total manufacturing output from the country’s small and medium
enterprises (SMEs). The article blames government’s inability to provide water
to Nigerians as the ‘springboard’ for the thriving water business. Industry
reports echo this position and show that bottled water sales have grown by 90
percent since 2003 and are projected to grow another 43 percent by 2013.
The
rapid expansion of this sector has left the regulatory body NAFDAC (National
Agency for Foods Drugs Administration and Control) unable to monitor the safety
of the products. A NAFDAC official was quoted saying that her agency has no
record of the total number of registered water producers in the country.
The
lack of quality municipal infrastructure is fuelling the privatization of
Nigeria’s drinking water while the packaged water that is filling the gap in the
public system remains unregulated and potentially unsafe for
consumption.MéxicoMéxico is the
biggest consumer of bottled water per capita in the world with sales totaling a
whopping $5.4 billion in 2008 (almost 3 times the 2008 sales figures for
Canada). This figure is predicted to reach $7.6 billion by 2013.
Unlike many other regions in the
Global South where local producers represent a large portion of sales, México’s
bottled water market is dominated by the big four global water producers who
fiercely compete for customers through blanket advertising. These companies are
exploiting what has been called the ‘savage urbanization’ of the country’s large
cities, which is characterized by poor access to water infrastructure (See
this article for more information). This is a major opportunity for the big
four who are making large profits through the sale of their products in México.
Water delivery in the country has
been widely privatized by the dismantling of publicly managed municipal water
infrastructure and the reliance on packaged water as the only safe source of
drinking water. The fact that most purchases of bottled water in México are in
large 20 litre jugs for use at home confirms that tap water has been substituted
for the privatized packaged variety. New battlefrontThe
privatization of public water services in the Global South is widely viewed by
public sector unions and community activists as a failed project. However
international institutions under the influence of for-profit water services
companies, continue to push the private management model as a solution to the
challenge of providing water and sanitation in the Global South (see Public Services International for more information). Meanwhile, bottled water companies, from the big
four to local entrepreneurs are already successfully privatizing the delivery of
drinking water. As we have seen from the examples in this article, this is only
going to deepen. ‘Unscrupulous
elements’ are indeed making mega bucks out of human suffering by exploiting the
inability of municipalities, governments and institutions to find the correct
and most sustainable way of delivering water services that is safe and managed
publicly. Meanwhile, the groundwork of privatization is being done by the
bottled water industry by converting people to privately delivered packaged
water sold for profit. Many
people in the Global South are entrapped between poor quality tap water and
buying bottled water at great expense and risk to their health. Once people are
forced to pay for their drinking water, the commodification and privatization of
water becomes a deadly bygone conclusion. Because of this, bottled water is a
new front in the battle against privatized water in the Global
South.