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Turning the Taps Back to the States / Privatization of Utilities Falls Out of Favor in Latin America

Source: By Monte Reel, Washington Post, Monday, March 27, 2006

....... Like many of their neighbors in this working-class suburb of Buenos Aires, the Grossis are convinced that their water is contaminated -- and they now use bottled water to make soup and tea. They blame the problem on the French company that has provided water and sewer service since the federal government privatized the utility in 1993. Across Latin America, a growing number of people say the privatization of public services, a movement that swept the region in the 1980s and 1990s, has failed. Protests have erupted over the issue in several countries, and some governments are beginning to reverse these policies. Last week Argentina announced it was rescinding its 30-year contract with the French company Suez and reinstating government control of the water supply.