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    China Business
     Sep 8, 2006
Beijing cash to flow into water projects

BEIJING - China plans to invest about 40 billion yuan (US$5 billion) over the next 10 years on drinking-water projects in rural areas, said Minister of Water Resources Wang Shucheng.

The plan will be implemented in two phases, said Wang. Phase 1 is aimed at providing 160 million rural residents with drinking water in the next five years, while in Phase 2 all Chinese rural residents will be provided with potable water by 2015.

Wang said 312 million Chinese villagers are facing water



shortages or have water supplies contaminated by fluorine, arsenic, high levels of salt, or other organic or industrial pollutants.
Although the budget for the investment in drinking-water projects has not been firmly set, the minister said the government planned to invest about 40 billion yuan over the next decade.

Wang said China is likely to exceed by far its United Nations Millennium Development Goal, which is to reduce by half the number of people without sustainable access to drinking water by 2015.

Worldwide, one in six people is without potable water and in China there are more than 50 diseases caused and spread by unsafe water, said Vice Minister of Water Resources Zhai Haohui.
China's 11th Five-year Projection for Social and Economic Development (2006-10), approved by the National People's Congress in March, called for portable water to be provided to 100 million rural residents. That target figure was raised to 160 million after a State Council conference on rural drinking-water safety held on August 30.

Wang said the increased pace in providing drinking water to China's thirsty rural areas is in line with the government's plan to build a new socialist countryside.

He said the government will increase investment in rural water-supply projects and encourage more private investment in rural infrastructure construction.

Wang said more capital from the central government will flow into the poorer western regions of China in the coming years, with the rich eastern region encouraged to open parts of its rural water supply to private investors by offering them favorable investment policies.

Urban water-supply facilities are to be extended to suburban villages, while rural villages are to see the construction of their own water-supply facilities, said the minister.

In areas where water is contaminated by fluorine, arsenic or high levels of salt, special water-treatment and water-supply facilities will be built, said Wang.

Tang Min, chief economist with the China Mission of the Asian Development Bank, said the Chinese government's decision to give rural people access to potable water shows that China has aligned itself with the new concept of scientific development and a "people-centered" approach.

Tang said great changes have taken place in China's development strategy in recent years. It has shifted, he said, from the simple pursuit of economic growth to the development of harmony between economic goals and social needs.

Ministry of Water Resources statistics show that China's per capita water resources are only a quarter of the average world level.

The statistics also show that China has built more than 3 million rural water-supply projects since 1949, benefiting 273 million rural residents. China spent 22.3 billion yuan from 2001 to 2005 to provide 67 million people with safe water supplies.

Wang said that while China works to resolve its own water problems, the country is contributing more to the international effort to solve the world's water crises. In recent years, China has helped fund 83 water and sanitation projects in developing countries, and dispatched many water experts to African countries to work on supply projects.

(Asia Pulse/XIC)


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