3. Hypothesis of setting up of a system of regulation/organization of water
utilities in the form of environmental LPUs: the case of Region Campania.
The new regulations on waters contained in Directive 2000/60/EC are based
on an approach that takes into account environmental issues, as defined in the
European Strategy of Sustainable Development (Goteborg, 2001), and that
implies an ongoing use of economic analyses in fixing environmental issues.
The reason and spirit of the Community prescriptions are evident in some of
the initial remarks of the above document. Three such remarks are relevance to
our analysis.
► water has to be considered as a common heritage to be protected and not as
a commercial product (1);
► the cost of water services, in consideration of the possible harm to or
negative repercussions on water environment, should be calculated on the
basis of the “polluter pays principle” (PPP) (38);
► from a quantitative perspective it would be sensible to set up general
principles for the containment of water extraction and damming up in a view
to guaranteeing a sustainable development in terms of the environmental
profile of the water systems involved (41).
As to the prescriptions dictated by laws and regulations, it is worthwhile noting
that art. 9 of the Directive requires the member-State “to take into account in their
policies the recovery of all costs of water services, including environmental and
resource-related costs, [...] according to “the polluter pays principles”. The
member-States undertake to put in place policies likely to appropriately encourage
users to use water resources in an efficient manner by 2010.[.].”
By pursuing the objective of “full cost recovery” Directive 2000/60/EC
prescribes to cover the environmental costs of the Integrated Water Service
(SII) by applying the “polluter pays principle” and by resorting to methods of
economic management and analysis meant to create incentives for a sensible
and reduced consumption of water on the part of users. This implies, in the
first place, a radical reform of the system of tariff regulation intended to
internalize environmental costs into tariffs with evident repercussions in terms
of social sustainability.
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