COLOMBIA: MANAGING WATER CONFLICTS IN AN EMERGING ECONOMY Claudia Martinez Zuleta OECD Water Forum October 2011
Colombia in South America Oldest democracy 2 nd Population: 45 million 4 th Economy: GDP: US$288billion (2010) World Bank 3 rd Recipient of FDI: US$6.8 billion (2010) in oil & gas: US$2.9 billion (2010)* 4th Land surface area: 1.2 million km 2-50% Ocean (0.9 million km 2 ) One of the most biodiverse countries
First place in birds and anphibians COLOMBIA: a great potencial Eolic, solar and geothermal potencial Endemic flowers, fruits, species 3500 orquíds: 15% world total 80 native ethnic groups 642 indigenous territories equivalent to 27% of the total national territory Very rich in terms of Water Resources and global environmental services
GLOBAL WATER BALANCE WORLD RAINFALL 900 mm / año SOUTH AMERICA RAINFALL 1.600 mm / año COLOMBIA RAINFALL 3.000 mm / año RUNOFF 47.000 Km 3 /year EVAPORATION 580 mm / year RUNOFF 11.668 Km 3 /year EVAPORATION 940 mm / year RUNOFF 2.112 Km 3 /year EVAPORATION 1.150 mm / year 58 l/s Km 10 l/s Km 2 2 21 l/s Km 2 SCARSITY TEMPORAL SPACE Fuente: Balance Hídrico Mundial y recursos hídricos de la tierra
Colombia has 5 major water basins Amazon Orinoco Magdalena- Cauca Pacific Caribbean
Colombia has a lot of water but with increasing scarcity in dry years
and water runoff in wet years is one of the major causes of natural disasters
Fuente: Lineamientos de política para el manejo integral del agua - Min. Ambiente - 1997 DISTRIBUTION OF THE POPULATION AFFECTS WATER SUPPLIES AND QUALITY msnm LAND SURFACE POPULATION WATER SUPPLY 3.000 9 % 1 % 4% 35 % 66 % 34% 1.000 56 % 33 % 62%
So most of the water is used in the mountains or andean region
However most of the water is used by the agricultural sector WATER DEMAND BY SECTOR 7% 6% Agriculture 2% 7% Industrial energy domestic 4% services 54% 4% acuaculture livestock
Land use is changing.even though 40% of the territory has a legal form of protection National parks (10%) and forest reserves in addition to indigenous territories (25%) and collective lands (Choco) protect more than 40% of the country
With increasing rates of deforestation: 300.000 hec / year Change in Forest Cover 2000-2007 Deforested Forest Cover Non forest areas
However in a growing economy there are water conflicts MAJOR DRIVERS OF THE ECONOMY: MINING HYDROCARBONS ELECTRIC SECTOR AGRICULTURE INFRASTRUCTURE
Río Dagua (Valle) Mining vs Water conflict
Mining titles are overlapping water sources Protected Areas and mining titles Fuentes de información: Parques: UAESPNN Reservas forestales: MAVDT Páramos: Instituto Humboldt Ramsar: MAVDT Títulos: Ingeominas (oct/08)
with increasing conflicts Protected Areas, titles and request titles 8934 Titles 16233 requests for titles Ingeominas
Colombia has a very unique ecosystem: the Paramos. No of Páramos: 34 Total Area: 1 933,039 Ha equivalent to 1.7% of the national territory 70% of the water consumed by Colombians is produced in Paramos
But they are threaten by mining projects No of Páramos: 34 Total Area: 1 933,039 Ha equivalent to 1.7% of the national territory 70% of the water consumed by Colombians is produced in Paramos Area in mining titles: 106,118 Ha que equivale al 5.5% del área total de Páramos. 295,406 Ha equivalent to 15.3% of the paramos areas being requested.
For example in Boyaca, overlapping with the Paramos MAPA DE ZONAS PROTEGIDAS, TÍTULOS Y SOLICITUDES MINERAS BOYACÁ CONVENCIONES
Miles de hectáreas 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 And around Bogota there are increasing mining titles Mining titles in Paramos Paime Villagómez San Cayetano Fúquene Guachetá Carmen de Carupa Villa de San Diego de UbateLenguazaque Ventaquemada BOYACÁ Sutatausa Cucunubá Bogota - Cundinamarca Supatá Pacho Cogua Tausa Nemocón Suesca Sesquilé Chocontá Villapinzón Macheta Tibirita Zipaquirá Gachancipá Manta 300 250 Colombia. Evolución de áreas con título minero en páramos 1990-2009 (*) 299 Nariño Antioquia Quindío N. de Santander Santander Tolima CUNDINAMARCA Subachoque Tabio Cajicá Tenjo Chía Cota Tocancipá Guatavita Sopó Guasca Gachetá Junín Guayatá 200 150 100 112 122 175 Cauca C/marca Funza Mosquera Bogotá, D.C. La Calera Gama Ubalá Solicited areas Gachala Titled areas 50 50 60 62 Boyacá BOGOTÁ Distrito Capital. Soacha Paramo areas - Choachí (*) A mayo de 2009 Fuente: Rudas (2010) a partir de Ingeominas, Títulos mineros (base de datos a Mayo 7, 2009) Ubaque Fomeque META San Juanito
ENERGY-ELECTRIC SECTOR Vs WATER CONFLICTS
The electric sector is mostly hydro Source: MME-CREG-XM The dependency of Colombia on hydropower makes the system vulnerable to water changes. Colombia relies also in its firm capacity (thermo power and other sources) at higher prices. 23% 77% 34% 66% 52% 48% Thermal Hydro Generation in normal conditions Installed capacity Generation in dry periods The Nino and nina phenomenoms affect Colombia hydropower capacity 18 de octubre de 2011 2
with a system that assures trustful firm energy Lowest price per KW Se deben generar los incentivos necesarios para que haya suficiente energía firme que garantice la adecuada atención de la demanda. 23% 77% Very efficient economic system without environmental pricing La cantidad de energía en el sistema puede bajar durante períodos de escasez 52% 48% Nivel de los embalses en kwh Ending in several new dams with environmental conflicts 02 de mayo de 2009 3 There is an urgent need to manage water quality and quality in each basin
Capacidad Cargo por confiabilidad Efectiva : 1200 MW Tecnología : Hidráulica ENFICC : 8563 GWh/año 25 Capacidad Efectiva : 396 MW Tecnología : Hidráulica ENFICC : 1750 GWh/año Capacidad Efectiva : 800 MW Tecnología : Hidráulica ENFICC : 3791 GWh/año Capacidad Efectiva : 60 MW Tecnología : Hidráulica ENFICC : 50 GWh/año Capacidad Efectiva : 400 MW Tecnología : Hidráulica ENFICC : 1923 GWh/año Capacidad Efectiva TOTAL : Tecnología : ENFICC Verificada TOTAL : ENFICC Asignada TOTAL : 2991.2 MW Hidráulica 16261 GWh/año 6281 GWh/año Capacidad Efectiva : 135.2 MW Tecnología : Hidráulica ENFICC : 184 GWh/año Fuente: XM
Agriculture and livestock vs water Agriculture is the main user of water resources. More than 40 million hectares are used for extensive cattle ranging; a main driver of deforestation and water deterioration
Colombian environmental laws include economic Instruments WATER MANAGING WATER SOURCES SUPPLY User fees (tasas uso) DEMAND Planning vs land use Institutional strengthening. Coordination Culture of payment for ecosystem services (PES) MANAGING SECTORIAL USES Program for the rational use of WATER SUPPLY Contamination Fees (tasas retributivas) MANAGING WASTE WATER National Plan to manage waste water facilities
However, the agricultural sector is not willing to pay high prices for water Payment for ecosistem services to the Regional Environmental Corporations 1995-2008
The current water tariff for the agriculture sector is insignificant Water Use Tariff =Minimum Tariff *Regional Factor RF= Water scarcity index+investment costs+index insatisfied basic needs $0.67/ per Cubic meter (in 2004) Less than 0.1% of the total production cost Recent studies show that the price should be above $15 pesos Rice Sugar Cane Oil Palm
With water scarcity due to rainfall reduction poor peasants are vulnerable Socioeconomic capacity of the population in the different municipalities Fuente de información: IDEAM (2010)
Colombia has major water risks due to natural disasters Shortages and floods in different areas and times. El Niño and la Niña effects : 2010-2001 the whorst floodings in history Climate Change vulnerability 80% of endemic sickneses have an origin in the lack of clean water and sanitary conditions. The Magdalena River is one of the principal sources of contamination of the Caribbean sea.
How is the country addressing these challenges? The first Code of Natural Resources in the world (1972) Green Constitution (1991) Strong environmental law (Ley 99 of 1993) Decentralized institutional structure Ministry of Environment and Sustainable Development in charge of water supply Ministry of Housing and Water in charge of water demand. Governmental Water Plans A Regulatory Water Commission New Integral Water Policy Water information system Watershed zoning and Management Plans Water sectorial payments, municipal transfers and economic instruments
Departmental Water Plans Financial System Fiduciary system Everybody puts resources Institutional coordination Financial sources Specialized operators transparency Components Economies of scale priorities Management board Municipios Departamento Nación Corporaciones Usuarios 100% Banca Multilateral Ejecución POI Fortalec. Institucional Subsidios Gerencia Gestión Ambiental Pago Deuda
Increasing access to potable water in many municipalities in the country
Colombia has a unique National Environmental System ROLES OF SINA Ministry of Environment and Sustainable Development: Head of the systems; formulates policies and regulations; 33 Environmental Regional Corporations Implement policies Environmental authorities Regional coordination 55 National Natural Parks Administer protected areas 32 DEPARTAMENTS Promote and implement environmental policies and regulations at departmente and regional level 5 Research Institutes Produce and monitor scientific, technological and environmental information for SINA. SINA 1120 MUNICIPALITIES Promote and implement policies and regulations at local level 6 Urban environmental authorities Promote and implement policies and regulations in urban center bigger than 1 million people PRIVATE SECTOR AND CIVIL SOCIETY CONTROL AUTHORITIES Contraloría, Procuraduría
and an Integral Water Resource Policy - 2009 INSTITUTIONAL STRENGTHEN RISK MANAGE- MENT DEMAND QUALITY SUPPLY Water is a public resource, and is the responsability of everybody Human Consumtion is the main priority Strategic resource for the development of the country Assure regional diversity and integral management Water management structured by each river basin. Efficient use and conservation (saving) of the resource Equity and local participation.
that has derived in Innovative Water Funds and PES schemes Bogota Area: Water for more than 8 million inhabitants Valle del Cauca Area: domestic and agricultural uses
Water Fund for Bogota Private and Public sector partnership More than 8 million people National system of Protected Areas Two main Paramos:Chingaza and Sumapaz
Education - a public campaign importance and efficient use Protection - Protect Paramos Conservation - Sustainable management with peasants Reducing the costs of water treatment Management and Sustainable use of ecosystems Accountability and Transparency
«Agua Somos», will guarantee the water production and conservation of biological diversity of Paramos, one of the most important ecosystems in the country.
Agua Para la Vida Water for Life started with the help of the sugar cane producers
Water for Life and Sustainability The main funders are several entities Gestión de Aportes Organización Valor aportes $ Periodo INGENIOS AZUCAREROS 3.600.000.000,00 2009-2012 THE NATURE CONSERVANCY TNC 500.000.000,00 2009-2010 ECOPETROL 99.970.530,00 2009-2010 ECOPETROL 100.000.000,00 2010-2011 ECOPETROL 100.000.000,00 2011-2012 ECOPETROL 30.000.000,00 2011-2012 PAVCO 100.000.000,00 2011-2012 UNICEF 90.000.000,00 2011-2012 GEF - FEDEGAN - GANADERÍA SOSTENIBLE (Recursos BID) 2.450.000.000,00 2010-2015 USAID 547.000.000,00 2010-2013 CVC 1.000.000.000,00 2011-2012 TOTAL $ 8.616.970.530,00 With 11 rural water associations in charge of projects
Water Fund for life and sustainability In the last 2 years it has proven success in terms of funding 12 projects cofinanced by association of users 1500 families beneficiaries of the project 1.200.000 people drink water Total amount of the Fund in 2 years Col$2.807.664.560 US$1.488.000
Conclusion Colombia understands that one of the main drivers of competitiveness is its water resources. Institutionaly, water supply and water demand will again be managed in different ministries, assuring checks and balances. Managing watersheds in an integral manner is starting to happen at the regional level, in order to solve water conflicts. Pricing water effectively will help assuring sectoral equity and sustainable use. We would like to bring to the country only Green Investments that are willing to manage water resources effectively. The New Ministry of Environment and Sustainable Development will have the power to establish more payment for ecosystem services schemes and to assure economic instruments. The Ministry of Housing and water will effectively continue with its water municipal plans.
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