Since it secured the contract for the Buenos Aires concession in 1993, Aguas Argentinas (Ondeo Services formerly Suez-Lyonnaise des Eaux) has implemented several innovative solutions in the underprivileged districts of the megalopolis, the population of which exceeds 11.5 million. A population of more than three million in these districts has a monthly income per household of less than US$500 per month.  More than 300,000 live in the ‘villas miserias’, otherwise known as spontaneous and illegal settlement areas. At the beginning of the concession, an estimated 500,000 were connected fraudulently to the network with low-quality networks.

The underprivileged districts account for a potential 15 per cent of Aguas Argentinas’ customers. In 1993, 30 per cent of the population in Buenos Aires was not served with drinking water and 42 per cent had no sanitation facilities. Since then, Aguas Argentinas has expanded the delivery of water services to a population of more than 1.5 million and sanitation to 800,000 inhabitants.

In order to implement original financial and institutional solutions, NGOs were originally solicited to facilitate dialogue between Aguas Argentinas, public institutions and the communities. From 1997-1999, more than 200,000 low-income inhabitants were connected to the drinking water network.

The objectives of the project are to find and implement sustainable solutions to supply drinking water and sanitation services to low-income areas of Buenos Aires through the following:

• A pilot programme to supply water to 200,000 people
• A study of innovative solutions for the provision of sanitation services
• Experiences to organise a sustainable commercial and technical relationship between these clients and the water company.

Municipal and provincial government from the public sector will work in partnership with Aguas Argentinas and Ondeo Services of the private sector, and with International Institute for Environment and Development - America Latina (IIED-AL), Fundación Riachuelo and area committees of the community/NGO sector.  The regulatory agency, ETOSS, is also a project partner.

The project contains the potential for adaptability and scalability to other regions, provinces and countries.  Sponsored as a BPD focus project by Ondeo Services, the management and innovations promoted within the projects vary by district.