A Canadian company wants to open a new plant in Claremont, N.H., to bottle fresh water from a source in Stockbridge, Vt.
But if Vermont wants to limit how much water the company takes, it may run afoul of the North American Free Trade Agreement.
States around the country are growing increasingly worried about the threats posed to their laws and regulations by the secret tribunals that resolve disputes in international trade. Experts say everything from environmental rules to the licensing of nurses and other professionals could be affected.
"Free trade agreements are to state sovereignty and economic development what global climate change is to the environment and natural resources," said state Sen. Virginia Lyons, D-Chittenden. "I think it's a really significant issue for our state, and for every state in the country."
http://www.uswaternews.com/archives/arcglobal/7intetrad12.html
Simply put, once a state law 'sanctions' trade in water -- for example, in Michigan's case, declaring exports in containers under 5.7 gallons not a diversion -- it may open itself up to trade claims under NAFTA and other trade agreements that could strike down any limitations on exported water. States need to close the loophole at once.
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