Indonesia : Enabling Water Utilities to Serve the Urban Poor

The scope of this paper is limited to how donors and governments can stimulate owners to realize the potential of water utilities in serving the urban poor. As survey data indicates that reliable water utility service is a key aspect of serving the...

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Bibliographic Details
Main Author: World Bank
Format: Policy Note
Language:English
en_US
Published: Washington, DC 2014
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2006/01/10276761/indonesia-enabling-water-utilities-serve-urban-poor
http://hdl.handle.net/10986/19472
id okr-10986-19472
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ACCESS TO WATER
ADEQUATE WATER
AFFORDABLE WATER
ALTERNATIVE WATER
ALTERNATIVE WATER SOURCES
ALTERNATIVE WATER SUPPLIES
BILL COLLECTION
BULK WATER
CENTRAL GOVERNMENT
CIVIL SOCIETY
CIVIL SOCIETY INVOLVEMENT
CLEAN WATER
COMMUNITY DEVELOPMENT
COMMUNITY GROUP
COMMUNITY GROUPS
COMMUNITY INVOLVEMENT
COMMUNITY WATER
CONNECTION CHARGES
CONNECTION FEE
CONNECTION FEES
CONSTRAINED WATER SUPPLY DEVELOPMENT
CONSTRUCTION
CONSUMER OVERSIGHT
CONSUMPTION BLOCKS
COST OF WATER
COST RECOVERY
COST SAVINGS
CROSS-SUBSIDIES
CUBIC METER
CUBIC METERS
DEEP WELLS
DEMAND MANAGEMENT
DISTRIBUTION SYSTEM
DISTRIBUTION SYSTEMS
DRINKING WATER
FIXED CHARGE
FREE WATER
GOOD WATER SUPPLY
HAND PUMP
HANDPUMPS
HOUSE CONNECTION
HOUSE CONNECTIONS
HOUSE WATER CONNECTION
HOUSE WATER CONNECTIONS
HOUSEHOLD CONNECTION
HOUSEHOLD CONNECTIONS
HOUSEHOLDS
HYGIENE
INTERMITTENT WATER SUPPLY
IRRIGATION
IRRIGATION WATER
LAKES
LOCAL AUTHORITIES
LOCAL COMMUNITY
LOCAL WATER
LOCAL WATER UTILITIES
LOCALITY
LOW WATER
LOW-INCOME HOUSEHOLDS
MAINTENANCE COSTS
MANAGEMENT OF WATER
MANAGEMENT OF WATER SUPPLY
MANAGEMENT OF WATER SUPPLY OPERATIONS
MARGINAL AREAS
METER READERS
METERING
MONTHLY BILLS
MONTHLY HOUSEHOLD WATER
MONTHLY WATER
MONTHLY WATER BILL
MUNICIPAL WATER
NATIONAL WATER
NATURAL RESOURCES
NUMBER OF CONNECTIONS
OPERATORS
OWNERSHIP OF WATER
PAYMENT OF CONNECTION FEES
PIPE
PIPED WATER
PIPES
POOR URBAN HOUSEHOLDS
PRESSURE
PRICE OF WATER
PROJECT MANAGEMENT
PROVISION OF WATER
PUBLIC COMPANY
PUBLIC TAP
PUBLIC UTILITY
PUBLIC WATER
PUBLIC WATER UTILITIES
PUBLIC WORKS
QUALITY OF SERVICE
QUALITY WATER
QUANTITIES OF WATER
RAINWATER
RAINWATER COLLECTION
RAINWATER HARVESTING
RAINWATER STORAGE
RAW WATER
REGIONAL DEVELOPMENT
REGULATORY BODIES
REGULATORY FRAMEWORK
RELIABLE WATER SUPPLY
RIVERS
RUNNING WATER
RURAL SETTLEMENTS
SANITATION
SANITATION STRATEGY
SERVICE STANDARDS
SHALLOW WELLS
SMALL SCALE PROVIDERS
SMALL-SCALE WATER
SMALL-SCALE WATER PROVIDERS
SMALLER TOWNS
SOURCES OF WATER
SQUATTERS
STAKEHOLDER INVOLVEMENT
STANDPIPE WATER
SUPPLY WATER
TARIFF ADJUSTMENT
TARIFF ADJUSTMENTS
TARIFF COLLECTION
TARIFF INCREASE
TARIFF POLICY
TARIFF RATE
TARIFF RATES
TARIFF REFORM
TARIFF SETTING
TARIFF STRUCTURE
TOWN
TOWNS
TREATMENT PLANT
URBAN AREA
URBAN AREAS
URBAN POLLUTION
URBAN WATER
USE OF WATER
USER CHARGES
USERS
UTILITY MANAGEMENT
UTILITY OPERATIONS
WASHING
WASTEWATER
WASTEWATER RECYCLING
WATER AVAILABILITY
WATER BILLS
WATER BODIES
WATER COMPANIES
WATER COMPANY
WATER CONNECTIONS
WATER CONSUMPTION
WATER DEVELOPMENT
WATER FLOWS
WATER GOVERNANCE
WATER INFRASTRUCTURE
WATER LOSSES
WATER PRICES
WATER PROVIDERS
WATER QUALITY
WATER RESOURCES
WATER RESOURCES MANAGEMENT
WATER SECTOR
WATER SECTOR DEVELOPMENT
WATER SECTOR REFORM
WATER SERVICE
WATER SERVICES
WATER SOURCES
WATER STRATEGY
WATER SUBSIDIES
WATER SUPPLIES
WATER SUPPLY
WATER SUPPLY ASSETS
WATER SUPPLY CAPACITY
WATER SUPPLY SITUATION
WATER SUPPLY SYSTEM
WATER SUPPLY SYSTEMS
WATER TABLE
WATER TARIFF
WATER TARIFFS
WATER USE
WATER UTILITIES
WATER UTILITY
WATER VENDORS
WATERSHED
WATERSHED MANAGEMENT
WELLS
spellingShingle ACCESS TO WATER
ADEQUATE WATER
AFFORDABLE WATER
ALTERNATIVE WATER
ALTERNATIVE WATER SOURCES
ALTERNATIVE WATER SUPPLIES
BILL COLLECTION
BULK WATER
CENTRAL GOVERNMENT
CIVIL SOCIETY
CIVIL SOCIETY INVOLVEMENT
CLEAN WATER
COMMUNITY DEVELOPMENT
COMMUNITY GROUP
COMMUNITY GROUPS
COMMUNITY INVOLVEMENT
COMMUNITY WATER
CONNECTION CHARGES
CONNECTION FEE
CONNECTION FEES
CONSTRAINED WATER SUPPLY DEVELOPMENT
CONSTRUCTION
CONSUMER OVERSIGHT
CONSUMPTION BLOCKS
COST OF WATER
COST RECOVERY
COST SAVINGS
CROSS-SUBSIDIES
CUBIC METER
CUBIC METERS
DEEP WELLS
DEMAND MANAGEMENT
DISTRIBUTION SYSTEM
DISTRIBUTION SYSTEMS
DRINKING WATER
FIXED CHARGE
FREE WATER
GOOD WATER SUPPLY
HAND PUMP
HANDPUMPS
HOUSE CONNECTION
HOUSE CONNECTIONS
HOUSE WATER CONNECTION
HOUSE WATER CONNECTIONS
HOUSEHOLD CONNECTION
HOUSEHOLD CONNECTIONS
HOUSEHOLDS
HYGIENE
INTERMITTENT WATER SUPPLY
IRRIGATION
IRRIGATION WATER
LAKES
LOCAL AUTHORITIES
LOCAL COMMUNITY
LOCAL WATER
LOCAL WATER UTILITIES
LOCALITY
LOW WATER
LOW-INCOME HOUSEHOLDS
MAINTENANCE COSTS
MANAGEMENT OF WATER
MANAGEMENT OF WATER SUPPLY
MANAGEMENT OF WATER SUPPLY OPERATIONS
MARGINAL AREAS
METER READERS
METERING
MONTHLY BILLS
MONTHLY HOUSEHOLD WATER
MONTHLY WATER
MONTHLY WATER BILL
MUNICIPAL WATER
NATIONAL WATER
NATURAL RESOURCES
NUMBER OF CONNECTIONS
OPERATORS
OWNERSHIP OF WATER
PAYMENT OF CONNECTION FEES
PIPE
PIPED WATER
PIPES
POOR URBAN HOUSEHOLDS
PRESSURE
PRICE OF WATER
PROJECT MANAGEMENT
PROVISION OF WATER
PUBLIC COMPANY
PUBLIC TAP
PUBLIC UTILITY
PUBLIC WATER
PUBLIC WATER UTILITIES
PUBLIC WORKS
QUALITY OF SERVICE
QUALITY WATER
QUANTITIES OF WATER
RAINWATER
RAINWATER COLLECTION
RAINWATER HARVESTING
RAINWATER STORAGE
RAW WATER
REGIONAL DEVELOPMENT
REGULATORY BODIES
REGULATORY FRAMEWORK
RELIABLE WATER SUPPLY
RIVERS
RUNNING WATER
RURAL SETTLEMENTS
SANITATION
SANITATION STRATEGY
SERVICE STANDARDS
SHALLOW WELLS
SMALL SCALE PROVIDERS
SMALL-SCALE WATER
SMALL-SCALE WATER PROVIDERS
SMALLER TOWNS
SOURCES OF WATER
SQUATTERS
STAKEHOLDER INVOLVEMENT
STANDPIPE WATER
SUPPLY WATER
TARIFF ADJUSTMENT
TARIFF ADJUSTMENTS
TARIFF COLLECTION
TARIFF INCREASE
TARIFF POLICY
TARIFF RATE
TARIFF RATES
TARIFF REFORM
TARIFF SETTING
TARIFF STRUCTURE
TOWN
TOWNS
TREATMENT PLANT
URBAN AREA
URBAN AREAS
URBAN POLLUTION
URBAN WATER
USE OF WATER
USER CHARGES
USERS
UTILITY MANAGEMENT
UTILITY OPERATIONS
WASHING
WASTEWATER
WASTEWATER RECYCLING
WATER AVAILABILITY
WATER BILLS
WATER BODIES
WATER COMPANIES
WATER COMPANY
WATER CONNECTIONS
WATER CONSUMPTION
WATER DEVELOPMENT
WATER FLOWS
WATER GOVERNANCE
WATER INFRASTRUCTURE
WATER LOSSES
WATER PRICES
WATER PROVIDERS
WATER QUALITY
WATER RESOURCES
WATER RESOURCES MANAGEMENT
WATER SECTOR
WATER SECTOR DEVELOPMENT
WATER SECTOR REFORM
WATER SERVICE
WATER SERVICES
WATER SOURCES
WATER STRATEGY
WATER SUBSIDIES
WATER SUPPLIES
WATER SUPPLY
WATER SUPPLY ASSETS
WATER SUPPLY CAPACITY
WATER SUPPLY SITUATION
WATER SUPPLY SYSTEM
WATER SUPPLY SYSTEMS
WATER TABLE
WATER TARIFF
WATER TARIFFS
WATER USE
WATER UTILITIES
WATER UTILITY
WATER VENDORS
WATERSHED
WATERSHED MANAGEMENT
WELLS
World Bank
Indonesia : Enabling Water Utilities to Serve the Urban Poor
geographic_facet East Asia and Pacific
Indonesia
description The scope of this paper is limited to how donors and governments can stimulate owners to realize the potential of water utilities in serving the urban poor. As survey data indicates that reliable water utility service is a key aspect of serving the poor, this paper focuses on how Indonesian water utilities (PDAMs) can increase access to the poor. It also touches on tariff reform because the reluctance of PDAMs to connect the poor at an artificially low tariff creates a hindrance to overall reform. However, this discussion does not offer a comprehensive analysis or solutions to PDAM or tariff reforms, topics that have already been covered by several excellent studies. This study draws heavily on recent Indonesian survey data, while offering insights and first-hand accounts from those who have successfully managed water utilities in serving Indonesia's poor. Several water utility Diruts (Direktur Utama or a utility's Managing Director) have been able to serve the people by turning around weak utilities and guiding them to profitability. Their solutions on PDAM management appear in the annexes and apply mainly to PDAM reform, which is needed for sustainable service to the poor. This paper is more concerned with what can be done in the short term to move toward a system based on more reformed utilities that are led by motivated owners serving the poor. In general, while rural settlements are built up and maintained around water sources such as shallow wells, the quick spread of urban pollution due to crowding quickly eliminates clean water sources in those areas. Therefore, it is generally cheaper to find water in settled rural areas than in cities. Furthermore, the significant difference in Indonesia between the sometimes artificially low price of piped water and the high price people are willing to pay for it often results in serious social inequalities, including economic rents, illegal connections, water strongmen, water smuggling from social tariff to commercial tariff areas, and water theft.
format Economic & Sector Work :: Policy Note
author World Bank
author_facet World Bank
author_sort World Bank
title Indonesia : Enabling Water Utilities to Serve the Urban Poor
title_short Indonesia : Enabling Water Utilities to Serve the Urban Poor
title_full Indonesia : Enabling Water Utilities to Serve the Urban Poor
title_fullStr Indonesia : Enabling Water Utilities to Serve the Urban Poor
title_full_unstemmed Indonesia : Enabling Water Utilities to Serve the Urban Poor
title_sort indonesia : enabling water utilities to serve the urban poor
publisher Washington, DC
publishDate 2014
url http://documents.worldbank.org/curated/en/2006/01/10276761/indonesia-enabling-water-utilities-serve-urban-poor
http://hdl.handle.net/10986/19472
_version_ 1764441347868065792
spelling okr-10986-194722021-04-23T14:03:46Z Indonesia : Enabling Water Utilities to Serve the Urban Poor World Bank ACCESS TO WATER ADEQUATE WATER AFFORDABLE WATER ALTERNATIVE WATER ALTERNATIVE WATER SOURCES ALTERNATIVE WATER SUPPLIES BILL COLLECTION BULK WATER CENTRAL GOVERNMENT CIVIL SOCIETY CIVIL SOCIETY INVOLVEMENT CLEAN WATER COMMUNITY DEVELOPMENT COMMUNITY GROUP COMMUNITY GROUPS COMMUNITY INVOLVEMENT COMMUNITY WATER CONNECTION CHARGES CONNECTION FEE CONNECTION FEES CONSTRAINED WATER SUPPLY DEVELOPMENT CONSTRUCTION CONSUMER OVERSIGHT CONSUMPTION BLOCKS COST OF WATER COST RECOVERY COST SAVINGS CROSS-SUBSIDIES CUBIC METER CUBIC METERS DEEP WELLS DEMAND MANAGEMENT DISTRIBUTION SYSTEM DISTRIBUTION SYSTEMS DRINKING WATER FIXED CHARGE FREE WATER GOOD WATER SUPPLY HAND PUMP HANDPUMPS HOUSE CONNECTION HOUSE CONNECTIONS HOUSE WATER CONNECTION HOUSE WATER CONNECTIONS HOUSEHOLD CONNECTION HOUSEHOLD CONNECTIONS HOUSEHOLDS HYGIENE INTERMITTENT WATER SUPPLY IRRIGATION IRRIGATION WATER LAKES LOCAL AUTHORITIES LOCAL COMMUNITY LOCAL WATER LOCAL WATER UTILITIES LOCALITY LOW WATER LOW-INCOME HOUSEHOLDS MAINTENANCE COSTS MANAGEMENT OF WATER MANAGEMENT OF WATER SUPPLY MANAGEMENT OF WATER SUPPLY OPERATIONS MARGINAL AREAS METER READERS METERING MONTHLY BILLS MONTHLY HOUSEHOLD WATER MONTHLY WATER MONTHLY WATER BILL MUNICIPAL WATER NATIONAL WATER NATURAL RESOURCES NUMBER OF CONNECTIONS OPERATORS OWNERSHIP OF WATER PAYMENT OF CONNECTION FEES PIPE PIPED WATER PIPES POOR URBAN HOUSEHOLDS PRESSURE PRICE OF WATER PROJECT MANAGEMENT PROVISION OF WATER PUBLIC COMPANY PUBLIC TAP PUBLIC UTILITY PUBLIC WATER PUBLIC WATER UTILITIES PUBLIC WORKS QUALITY OF SERVICE QUALITY WATER QUANTITIES OF WATER RAINWATER RAINWATER COLLECTION RAINWATER HARVESTING RAINWATER STORAGE RAW WATER REGIONAL DEVELOPMENT REGULATORY BODIES REGULATORY FRAMEWORK RELIABLE WATER SUPPLY RIVERS RUNNING WATER RURAL SETTLEMENTS SANITATION SANITATION STRATEGY SERVICE STANDARDS SHALLOW WELLS SMALL SCALE PROVIDERS SMALL-SCALE WATER SMALL-SCALE WATER PROVIDERS SMALLER TOWNS SOURCES OF WATER SQUATTERS STAKEHOLDER INVOLVEMENT STANDPIPE WATER SUPPLY WATER TARIFF ADJUSTMENT TARIFF ADJUSTMENTS TARIFF COLLECTION TARIFF INCREASE TARIFF POLICY TARIFF RATE TARIFF RATES TARIFF REFORM TARIFF SETTING TARIFF STRUCTURE TOWN TOWNS TREATMENT PLANT URBAN AREA URBAN AREAS URBAN POLLUTION URBAN WATER USE OF WATER USER CHARGES USERS UTILITY MANAGEMENT UTILITY OPERATIONS WASHING WASTEWATER WASTEWATER RECYCLING WATER AVAILABILITY WATER BILLS WATER BODIES WATER COMPANIES WATER COMPANY WATER CONNECTIONS WATER CONSUMPTION WATER DEVELOPMENT WATER FLOWS WATER GOVERNANCE WATER INFRASTRUCTURE WATER LOSSES WATER PRICES WATER PROVIDERS WATER QUALITY WATER RESOURCES WATER RESOURCES MANAGEMENT WATER SECTOR WATER SECTOR DEVELOPMENT WATER SECTOR REFORM WATER SERVICE WATER SERVICES WATER SOURCES WATER STRATEGY WATER SUBSIDIES WATER SUPPLIES WATER SUPPLY WATER SUPPLY ASSETS WATER SUPPLY CAPACITY WATER SUPPLY SITUATION WATER SUPPLY SYSTEM WATER SUPPLY SYSTEMS WATER TABLE WATER TARIFF WATER TARIFFS WATER USE WATER UTILITIES WATER UTILITY WATER VENDORS WATERSHED WATERSHED MANAGEMENT WELLS The scope of this paper is limited to how donors and governments can stimulate owners to realize the potential of water utilities in serving the urban poor. As survey data indicates that reliable water utility service is a key aspect of serving the poor, this paper focuses on how Indonesian water utilities (PDAMs) can increase access to the poor. It also touches on tariff reform because the reluctance of PDAMs to connect the poor at an artificially low tariff creates a hindrance to overall reform. However, this discussion does not offer a comprehensive analysis or solutions to PDAM or tariff reforms, topics that have already been covered by several excellent studies. This study draws heavily on recent Indonesian survey data, while offering insights and first-hand accounts from those who have successfully managed water utilities in serving Indonesia's poor. Several water utility Diruts (Direktur Utama or a utility's Managing Director) have been able to serve the people by turning around weak utilities and guiding them to profitability. Their solutions on PDAM management appear in the annexes and apply mainly to PDAM reform, which is needed for sustainable service to the poor. This paper is more concerned with what can be done in the short term to move toward a system based on more reformed utilities that are led by motivated owners serving the poor. In general, while rural settlements are built up and maintained around water sources such as shallow wells, the quick spread of urban pollution due to crowding quickly eliminates clean water sources in those areas. Therefore, it is generally cheaper to find water in settled rural areas than in cities. Furthermore, the significant difference in Indonesia between the sometimes artificially low price of piped water and the high price people are willing to pay for it often results in serious social inequalities, including economic rents, illegal connections, water strongmen, water smuggling from social tariff to commercial tariff areas, and water theft. 2014-08-19T21:08:42Z 2014-08-19T21:08:42Z 2006-01 http://documents.worldbank.org/curated/en/2006/01/10276761/indonesia-enabling-water-utilities-serve-urban-poor http://hdl.handle.net/10986/19472 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ Washington, DC Economic & Sector Work :: Policy Note Economic & Sector Work East Asia and Pacific Indonesia