In the early 2000s in Cochabamba, Bolivia, the community struggled over their access to water. Privatization had been creeping further into public services from the 1980s, but what took place in Cochabamba was much more forceful. The World Bank and the International Monetary Fund were forcing changes – so-called ‘structural adjustment’ – on many countries in the Global South. Much of this was about pushing the claim that privatization is more efficient, introducing economic incentives. Despite widespread evidence that privatization has not delivered this – you only need to look at transport or healthcare in the UK, US and elsewhere – water provision was privatised in Bolivia. It is an example of ‘accumulation by dispossession’, which David Harvey identifies as a key part of neoliberalism. This is a process that involves taking wealth from the many (whether held in public institutions or public goods) and centralizing it in the hands of private interests. Put simply: it is a process of theft.

Cochabamba had been suffering from a chronic water shortage. Many people did not have access to the water network and there were many state subsidies. The Bolivian government auctioned the Cochabamba water system, with only one bidder responding – the Aguas del Tunari consortium of private and foreign interests, including the American Bechtel Corporation, won the forty-year deal for $2.5 billion. However, ‘won’ may be too strong a word, as they were not competing against anyone else. The contract gave them rights to meter the entire water network, including all water in the districts and aquifers. The deal also guaranteed the consortium a 15 per cent annual return on investment. They had been given this legal right to expropriate water after the Bolivian parliament rushed through new legislation.8