According to the presidential draft decree that regulates the use of Water (H2O) resources(1), Paraguay is currently seeking to protect natural water as part the States public domain. The main purpose of the enforcement of this legal mechanism for hydro- resources is to enhance the management of waters economic value in the markets(2).

Once this presidential decree is enacted, it will generate a new conception of water in Paraguay as an element of production. Moreover, the decree would be incorporating into Paraguayan legislation principals’ of sustainable development fulfilling it’s commitment to the Stockholm Declaration(3) and Rio Declaration of 1992(4).

The regulation establishes a framework that will calculate fees for the use of water resources, as the concession and permits which are granted by the administrative authority(5). Furthermore, the regulation establishes sanctions for the misuse or abuse of water resources.

Parties involved in production projects and industrial designs involving water are recommended to analyze the legal and economic impact this executive policy could have in their future activities and seek appropriate counsel in the matter(6).