Identifier
Created
Classification
Origin
09BRIDGETOWN145
2009-03-05 12:29:00
UNCLASSIFIED
Embassy Bridgetown
Cable title:  

DOMINICA: EMERGING WATER SUPERPOWER?

Tags:  EINV BEXP XL EAGR EIND ETRD EWWT SENV 
pdf how-to read a cable
VZCZCXRO0578
RR RUEHGR
DE RUEHWN #0145/01 0641229
ZNR UUUUU ZZH
R 051229Z MAR 09
FM AMEMBASSY BRIDGETOWN
TO RUEHC/SECSTATE WASHDC 7190
INFO RUCNCOM/EC CARICOM COLLECTIVE
RUEHDG/AMEMBASSY SANTO DOMINGO 5966
RUCPDOC/DEPT OF COMMERCE WASHDC
UNCLAS SECTION 01 OF 02 BRIDGETOWN 000145 

SIPDIS

STATE PLEASE PASS USTDA - NATHAN YOUNGE

E.O. 12958: N/A
TAGS: EINV BEXP XL EAGR EIND ETRD EWWT SENV
SUBJECT: DOMINICA: EMERGING WATER SUPERPOWER?

-------
SUMMARY
-------

UNCLAS SECTION 01 OF 02 BRIDGETOWN 000145

SIPDIS

STATE PLEASE PASS USTDA - NATHAN YOUNGE

E.O. 12958: N/A
TAGS: EINV BEXP XL EAGR EIND ETRD EWWT SENV
SUBJECT: DOMINICA: EMERGING WATER SUPERPOWER?

--------------
SUMMARY
--------------


1. (U) Dominica has the potential to be a massive exporter
of potable fresh water, with some 300 million gallons
spilling into the ocean every day. The government has
expressed interest in exploiting this largely untapped
resource, but a lack of capacity and resources to focus on
the possible investment and export opportunities has
constrained their ability to follow up. Once reliable
feasibility studies are completed to assess environmental
impact and verify freshwater levels, the viability of either
bulk water exports and/or niche high-end bottled water
production could prove to be lucrative investment targets.
End summary.

--------------
Water, Water Everywhere
--------------


2. (U) The Dominica Water and Sewage Company, DOWASCO, told
us on a recent visit that Dominica is currently losing 300
million gallons of freshwater a day into the Caribbean.
Bernard Ettinoffe, the general manager of DOWASCO, said he
has been in discussions with multiple U.S. firms about how to
commercialize their largely untapped water resources.
Bedrock Exploration and Development (BEAD),a U.S. company
that specializes in drilling underground aquifers and has
completed projects in Nevis and Trinidad, has informed
DOWASCO that up to 150 million gallons of freshwater a day
could be siphoned off from the outflow with no environmental
impact. Considering that Dominica currently uses a mere 3-4
million gallons a day, virtually all of that capacity could
be exported, Ettinoffe said.

--------------
Bottled or tap?
--------------


3. (U) With these quantities, Dominica has the ability to
export either bulk or bottled water. According to Ettinoffe,
bulk water would most likely be transported on tankers, which
would require improvements in delivery infrastructure.
DOWASCO currently sells bulk water to Carnival Cruise lines,
but the feeder pipe is unsuitable for loading a tanker (and
is located in the cruise terminal, making such loading
unfeasible in any case). Moreover, DOWASCO is currently
facing budget deficits and is unable to maintain its current
infrastructure, let alone consider new projects, making a
government-sponsored investment in upgrading the export
infrastructure impractical. Bottled fresh or mineral water
is also an area of interest, said Ettinoffe. Currently,
Dominica Brewery and Beverage is the only exporter of bottled
water tapping into these resources, and is the only EC-based
supplier of bottled water to other islands in the region.

-------------- --------------
Government's Spirit Willing, But Pocketbook is Weak
-------------- --------------


4. (U) Minister of Public Utilities, Energy and Ports, Mr.
Charles Savarin, told poloffs that the focus of his ministry
was on geothermal projects. He expressed little interest in
pursuing water export projects, noting that the ministry does
not have the spare capacity to pursue more than one major
infrastructure project at a time. Minister of Economic
Development and Urban Renewal, Mr. Julius Timothy, though,
expressed a strong desire to move forward to explore
possibilities in water. Minister Timothy had heard that
Savarin had doubts about the project and was planning to
argue the case to him. Before considering a water project,
both agreed that they would require a feasibility study to
assess environmental impacts. The geothermal project has
already completed feasibility studies, is closer to funding,
and thus it receives the bulk of their attention.

--------------
COMMENT
--------------


5. (U) The bac-of-the-envelope projections from BEAD hint
at sme real potential for investment in the water expor
sector for the right investor, but proper feasiility studies
would be a prerequisite. Dominicahas the potential to be
the primary source of frsh water in the Caribbean and
beyond, but as an nderdeveloped country, would need
assistance to ahieve its commercial potential. Professional
maket research would also be welcome, as it is uncler to

BRIDGETOWN 00000145 002 OF 002


Dominican authorities where the primary markets are for bulk
potable water. The case for a niche high-end bottler might
be easier to make, given the tie-ins with the country's
efforts to promote itself as the "Nature Island" of the
Caribbean and a marquee environmental tourism destination.
In either case, there are possibilities for U.S. exporters of
the machinery and equipment needed to build the proper
infrastructure to "tap" this resource on a large scale. End
Comment.
HARDT