Sofia, Bulgaria - Wednesday, May 27, 2009

HRH Prince Willem-Alexander, the Prince of Orange, Chair of UNSGAB opened the morning session by expressing his sincere gratitude to the Government of Bulgaria for supporting UNSGAB's meeting and for organizing the Regional Dialogue. The Board, he said, would like to discuss how to expand funding for water and sanitation coverage as well as how to improve wastewater treatment. Countries were encouraged to agree on concrete actions in these areas. (Full text, see his opening speech) H.E. Mr. Assen Gagauzov, Minister of Regional Development and Public Works of Bulgaria, welcomed participants and outlined some of Bulgaria's water and sanitation challenges. Expanding coverage to the entire Black Sea territory, he said, will require a substantial investment-approximately 7 billion euros-to facilitate the projects at the national level. Thomas Stelzer, Assistant Secretary-General for the United Nations Economic and Social Affairs, stressed the need for cooperation to meet the Millennium Development Goals and explained UN-Water's genesis as an effective UN coordination mechanism.

Ms Iliyana Tsanova, Senior Banker for the European Bank for Reconstruction and Development, Municipal and Environmental Infrastructure, highlighted the need for a sound national regulatory and legal structure, good governance between utility companies and governments, tariff reforms and political support. In smaller communities, she noted, utilities often are too small to attract investment, and if they are independent the tariffs are too high. The Bank is working to coordinate smaller utilities to create an economy of scale for investment.

Mr. Harold Schotzel, the European Investment Bank, noting the three billion euros lent to the water sector in 2008, said that financing is there, but the constraints have to do with sector reform. His Bank takes a pragmatic approach - there is not one answer to privatization or one technical approach; the main objective is to provide an essential service.

Ms Sascha Gabizon, Women in Europe for a Common Future and the World Water Forum Secretariat, presented the network's projects to promote safe water and sanitation for all. They emphasize simple, cheap solutions such as dry toilet systems, which separate urine and feces and can be built against private homes. She also described efforts to expand toilet facilities in schools and community centers, and noted the Protocol on Water and Health as an important agreement to help expand sanitation coverage in the Black Sea countries.

Mr. Saatci, Fifth World Water Forum Administration, reviewed outcomes of the recent WWF5 sessions in Istanbul. In-depth reports are being prepared for each theme addressed during the Forum.

Margaret Catley-Carlson set forth how each of the Hashimoto Action Plan's six areas-sanitation, water operator partnerships, finance, integrated water resources management, water and disaster-apply to the Black Sea Region.

Ms Lubka Katchakova, Deputy Minister of Water and Environment, reflecting on the discussion said that people are very sensitive about privatizing water and sanitation services. For politicians, water affordability is critical. But so is social acceptability, so the public must be prepared. Investors can provide money for improving systems, but they must also manage public opinion (such as explaining and justifying CEO salaries). She said her town invested in wastewater treatment that resulted in a 30 percent increase in water bills, which many could not afford. Bankers look for large scale projects and so do many politicians since bigness gets attention. Often, however, such large scale projects are not the best solution. This is a vicious circle that must be broken. Part of the solution is to involve NGOs and mothers - mothers pay attention to health, schools and family finances.

Azerbaijan shared their experience on water supply in small communities. Based on a limited budget good results were quickly achieved using small, modular purification systems. Thus far communities have welcomed these systems and they will be expanded to cover sanitation. It is important to consider energy consumption for water treatment, he said, and Azerbaijan is working on using renewable energy for these systems. In response to a question regarding why sanitation coverage in rural communities is still low, he said in small communities traditional systems need upgrading. Instead of proposing large wastewater treatment facilities, which are costly and might not be necessary, they are using a modular approach.

In concluding the Dialogue, the Chair thanked the Government of Bulgaria and all the participating countries. He congratulated participants on agreeing on the text of the "Ministerial Declaration on Water Supply and Sanitation in Small Rural Settlements in the Black Sea Region."

Download -Ministerial Declaration (65KB)

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