Govt seeks int'l cooperation to create water utility - Bolivia

Bolivia's water minister Abel Mamani has met with German and Japanese government officials to seek cooperation for the creation of a water utility to supply capital La Paz and neighboring city El Alto, a ministry source told BNamericas.

The meetings were held prior to Mamani's departure for the fourth World Water Forum that begins this week in Mexico city.

The government is looking at two alternatives for the creation of the utility, one of which would involve a fully state-financed company, while the other envisions a public-private enterprise, newspaper La Razón quoted El Alto mayor Fanor Nava as saying.

President Evo Morales has instructed Mamani to seek international funds at the forum.

The new service provider would take over from Aguas del Illimani (Aisa). The government expects Aisa to exit Bolivia once an agreement is reached some time this year, the source said.

Aisa, a subsidiary of French group Suez, is being audited by an international consortium to determine the investment the company made in both cities since it began its operations in Bolivia in 1997. The company has been accused of failing to comply with its investment obligations.