The 20th century has seen a dramatic global restructuring of the natural hydrology, towards increased water resource abstraction and storage. Such process aimed at ensuring better protection against extreme events, and at meeting industrialization and urbanization demands, population growth and resultant increased agricultural production needs, and increasing water supply and sanitation needs. In recent decades, as the resource became scarcer, users more diverse and uneven, and environmental issues more acute, a more qualitative approach succeeded previously quantitative phases of utilization and development. At the moment, it is unlikely that further significant increase in abstraction of water from nature at reasonable costs is plausible without severe environmental disturbance in most countries.

Resource allocation forms the fundamental principle of this new phase.

During the last 20 years, in-depth reforms and new policies in the water sector have been taking place in many emerging and developing countries, in Africa and worldwide, based on such principle. South Africa, Brazil, India, Thailand and many others represent such trend, which also involves decentralization of water management, integrated management at river basin level, the setting of new agents and institutions at different levels, and alternative environmental, social, economic and policy frameworks and tools (e.g. registration and licensing of users, water-rights markets, incentives and subsidization, ecological reserve, free basic water systems, cost recovery and charging principles).

Such changes often take place within the context of increasing resource scarcity, increasing competition between diverse users, rapid urbanization processes, marginalization of rural and peri-urban areas, and pervasive poverty, food insecurity and inequality. Seventy percent of the World’s poor live in rural areas, while there is an urban bias in the development and resource allocation strategies of most countries. In addition, population growth calls for increased food production. Globally, agricultural production will require nearly 20 percent more water within the next 25 years, even when accounting for increased production efficiency. This sector already uses 70 to 80 percent of water resources, and is closely linked with rural poverty alleviation and rural food security in developing contexts.

The objectives underlying policies and reforms at national level often appear mutually exclusive, ranging from social equity to economic efficiency, and from environmental conservation to rural and urban development concerns. Decision-makers and operators often find it difficult to strike a balance by identifying proper implementation pathways combining all these objectives. As a result, implementation programmes sometimes experience problems, delays, and unexpected or undesirable outcomes, especially affecting the poorest and marginalized members of the societies.

All in all, new governance over water resources and its allocation is required and is currently being shaped. New organisations are being established (e.g. river basin agencies, local water users’ associations, local authorities, all acting as game players), and new institutions are arising determining the rules of the game.

Worldwide, practical questions, issues and concerns are very similar and generally revolve around the principle of resource allocation, from local community to river basin level: How can negotiations be set-up and facilitated between users? How can conflicts be avoided or solved? How can new organisations be established, based on participation and sustainability principles? What are the appropriate levels and scales for such establishment? How can new institutions be introduced, while matching past or traditional ones? What role can economic tools play? How should different underlying objectives (e.g. social equity, economic efficiency and environmental conservation) be combined within a coherent implementation framework? What are the prospects for irrigation and rural utilizations?

South Africa will host the workshop. The country’s new water legislation (Water Act of 1998) is being implemented by the Department of Water Affairs and Forestry, which has launched the National Water Resource Strategy (2002). The implementation of the legislation is currently facing most of the issues listed above.

Implementating the Water Act in rural areas also relates to 2 of 3 core strategies as defined by the National Department of Agriculture : Equitable Access and Participation strategy ; Sustainable Resource Management Strategy. They contribute to 4 of 5 complementary strategies: Good Governance; Integrated and Sustainable Development; Knowledge and Innovation; International Cooperation (The Strategic Plan for South African Agriculture, NDA, Nov. 2001).