704th <strong>World</strong> <strong>Water</strong> ForumInstitutional and legal framework. The institutionalframework for water management is continuallyevolving throughout the region and there is no onemodel that could be qualified as regional. The regionis extremely heterogeneous and each country haseither maintained traditional institutional frameworksfrom the 1940-1980 era, introduced models based onsuccessful European examples or adapted new modelsto national characteristics. The challenge facing theregion is in determining the value of investing in newapproaches that address changes in the national,regional and global context as opposed to retaininghistorical institutional frameworks and, if these areretained, what conditions are required to ensure these areappropriate for accommodating new legislative measures.Decentralization has had mixed success. The degree ofdelegation of some functions related to this responsibilityvaries from country to country in the region and whetherthe country has a central or a federal structure. Mostcountries, however, consider water as a strategic resourceand thus, central governments retain the responsibilityfor its administration and conservation. What has beendelegated almost universally to local governments ormunicipalities is the responsibility for providing basicservices such as water supply and sanitation. Somecountries have delegated these responsibilities sincethe 1940s and others have just recently done so. Somelocal governments have been very successful in carryingout this responsibility and some have not. What hasbecome general is the increasing recognition of the needto ensure such measures are supported through localadministrative and financial capacity building, with somefunctions, such as technical assistance or in some casesregulation, retained by central government. Governancestructures ensuring effective mechanisms for participationand empowerment of civil society is another key factorand significant progress has been made in Latin Americaand the Caribbean, even in countries where watermanagement has been traditionally viewed as hierarchicaland pyramidal. However, participation in decision-makingremains a challenge, especially when traditionally excludedgroups such as women and indigenous populationsare concerned. Although there are exceptions, that theseefforts have been more successful in decentralizing the“voice” but not as much in decentralizing the “vote” inwater resource management issues.The region has displayed significant interest inmodernizing existing legal frameworks, especially in LatinAmerica with most countries having initiated programs todevelop, modify or modernize existing water legislation. Allof these developments have displayed mixed results. As aresult, important questions have been raised as to why thishappens, what constitutes a “good law”, the purpose oflegal reforms, how they should be implemented and whatconditions are required for successful implementation.Financing infrastructure. Despite economicdisparities throughout the region, financing for thedevelopment and maintenance of infrastructure isa common problem. Governments are increasinglypromoting private sector involvement in the financingof water projects although emerging trends suggestthat public funds or funds from project beneficiarieswill still be needed to ensure viability of many projects.This accompanies a shift in trend from financing largeinfrastructure projects toward small infrastructureprojects, and financing the more “soft” componentsof water resources development, as well as the trendtowards exploring alternative energy sources, such assolar and wind. Although important and complementary,these sources are not yet considered viable substitutes
for hydraulic or fossil fuel energy. A debate has alsoemerged between the advocates and opponents of dams,debate that is expected to continue. There are importantsocial and environmental issues related to infrastructure,especially dams large and small. It is apparent, however,that the region has realized that infrastructure is a keyelement for solving water-related problems but thatit has to be accompanied by social and environmentalconsiderations. Following an extended period of noninvestmentduring the 1980s, the region has realizedthat infrastructure is a key element for solving waterrelatedproblems and that it must serve not only nationalstrategic goals and objectives, but also local goals andneeds. It has also been learned that no infrastructurecan be built free of environmental cost and that noenvironmental restriction is free of economic cost. Anadequate consideration of all these factors is the newchallenge. No sector in the region conscientiously wantsto repeat the mistakes of the past. There is increasedrecognition that such infrastructure must address localneeds as well as serving national strategic goals andobjectives and must be accompanied by improvementof social and environmental considerations. Countrieswithin the region need to determine the appropriatebalance between “hard” and “soft” components ofwater management and the relation between hydraulicinfrastructure and economic development.2. Implementing Integrated <strong>Water</strong> ResourcesManagementAdvances and reforms. Adoption of IWRM largely reflectshe availability of water, with early approaches searchingfor a reasonable compromise among various competinguses of water when quantity and/or quality conflictsarose. The shift toward more integrated government inthe 1990s included the integration of water with othersectors. This resulted in some confusion, especially whenthe IWRM approach was introduced in legislation and thusrequired by law in some countries. Ensuing efforts havesought to clarify these issues and determine when IWRMis appropriate for countries in the region. The challengefacing the region is to determine appropriate modelsof IWRM and how these have contributed to improvingproductivity, efficiency and sustainability of water-relatedservices for users.The region has committed itself to IWRM, withnumerous countries drafting national IWRM policies,strategies and plans, addressing surface and groundwater resource and water quality issues. These havebeen facilitated largely by international guidelinesand demonstrations. The concept of payment forenvironmental services is increasing in popularity as ameans for financing environmental activities, especially inwatersheds. This concept has proved socially and politicallyacceptable, despite continuing controversy related to thefounding concepts and assumptions.River basin organizations (RBO) are increasinglybeing developed as vehicles for decentralization and theimplementation of IWRM, in line with globally trends.Problems have been realized in the sustainability ofmany of these organizations, particularly those linked toprograms funded through international organizations.While increasing recognition of this problem has resultedin mechanisms to improve their sustainability it is tooearly to draw conclusions and this remains one of thebiggest challenges to the river basin organizations atthe local and national level. At the regional level themany transboundary river basins have necessitated thesuccessful development of agreements towards a sharedmanagement of these water resources. Although theseagreements follow the spirit of the international normsregarding shared water resources, all of them are agreedon a bi national or multi national basis between thebordering countries.Despite the importance of the regions coastline, anddevelopment of IWRM, coastal zone management withinthe context of water management remains a significantchallenge. Pollution from municipal and industrialwastewaters, agriculture, mining and other land sourcescontinues to present a major problem. Coordinationmechanisms for management of coastal zone pollutionare few, but the region is attempting a variety ofinstruments that include policy, planning, management,and economic instruments.3. <strong>Water</strong> and Sanitation for AllHigh levels of urbanization and economic disparity alongwith a significant rural population presents a significantchallenge to the provision of services. The <strong>Americas</strong> havesecured considerable advances in the provision of services.However, a significant number of people still lack accessto safe drinking water or adequate sanitation and thereare persistent differences in coverage between urbanand rural areas. Issues of coverage are often underminedby poor water quality and service reliability. Low levelsof wastewater treatment are contributing to problems714th <strong>World</strong> <strong>Water</strong> Forum