WATER, WATER EVERYWHERE! NOT A DROP TO DRINK!

The most classic example in the economic theory is the diamond- water paradox formulated by Paul. A. Samuelson. It is the availability of a product that determines its value, more than its user value. To be more specific, scarcity often increases the value of a product. As in Samuelson’s example, the utility derived from water is not at all comparable to the utility derived from diamond. But on the contrary, the monetary value attached to diamond is incomparable to that of water. When water is available almost free of cost, diamond is unaffordable to many. The contradictions do not end here. One can survive without diamond but what if no water is available!
Yes, this is the crucial stance at which we stand today. In the yester years water was considered one of the renewable resources. But today safe and clean water is one of the scarce etiquettes available. It is rightly said that the next world war will quintessentially be a ‘Water War’. The latest draft water policy of the Central Government stands evidence to this. The move to privatize the water distribution is alarmingly dangerous. This will definitely have serious implications on the lives of the individuals at the micro- level and the economic development at the macro level. The proposed water policy ensues to do away with the subsidies available on water. This in turn will deprive the common man of his entitlements and he will be devoid of the freedom from non- availability of water.
The appropriate solution to this problem lies in striking the right balance between the distribution and judicious use of water. Charging a nominal amount on the water being supplied and formulating a slab system (as in a case of electricity) is a viable solution. But the privatizing the natural resource will definitely lead to more dangerous situations. Inequality will breed even in the distribution of water and remember the silence of the oppressed will erupt with a bang!