/ Balikpapan Sanitation Sector Project Feasibility Study, Indonesia
Project director
/ Thiadens, Albert (AT)Assignment
/ Balikpapan was supported by the World Bank to carry out the Feasibility Study for the Sanitation Systems for Balikpapan. The study aims to develop an integrated domestic sanitation system to serve three selected communities. The communities who live in the programme’s service areas will ultimately receive health, environmental and financial benefits from improved sanitation systems.s.Client
/ Government of IndonesiaFinancing Agency
/ World BankComposition of Team
/ Euroconsult Mott MacDonald: Team Leader; Project Director/Sanitary Engineer; Sanitation engineer/deputy team leader; Civil Engineer; Financial specialist; Institutional specialist; Social safeguard specialist/ Partner(s):
Period of Assignment
/ From May 2013 to April 2014/ Staff months: Euroconsult Mott MacDonald: 25; Partner(s): 0
Background
/ Balikpapan City, located on the southern coast of East Kalimantan, is one of the largest cities in the East Kalimantan province. The city covers an area of 503 km2, 10.65% of which has been developed. According to the draft Revised Spatial Plan 2012-2032, the City of Balikpapan aims to have 48% developed land and 52% green space. One of the programmes designed to support the realisation of the spatial plan without causing environmental degradation is to develop adequate infrastructure for sanitation sector development. This will include provision of sewerage system to collect waste water from residential and commercial areas, and waste water treatment plant with appropriate technology to ensure that the effluent will meet the standard quality set up by the regulation.Description of project
/ The project aims to improve and to expand sanitation services in the city of Balikpapan. The local government has established an active Sanitation Working Group and developed a City Sanitation Strategy (CSS) that lays out the targets and identification of required sanitation development activities with an action plan for 2011-2016 which will benefit a population of about 300,000 people. This plan includes: Margasari upgrading and expansion of wastewater treatment and sewerage networks, Perusda Sanitation network and WWTP and the Somber Small Industrial Estatee (KIKS) Sanitation network and WWTP.Balikpapan has also received assistance from the Province of East Kalimantan in preparing the Sanitation Master Plan and pre-DED for the Perusda WwTP. However, some more detailed analysis and studies are still needed to develop appropriate and bankable sanitation projects to implement the CSS.
Services provided
/ Review of existing Master Plan of Balikpapan City Sanitation System. The consultant’s scope was to review the existing physical works at Margasari and the documentation available for proposed sanitation projects in Margasari, Perusda and in the area around Somber, and to prepare feasibility studies for all three sites.Feasibility study included preliminary designs, technical sustainability analyses, environmental safeguard analyses, institutional analyses, and financial economic analyses for each of the three project measures which are proposed for implementation up to 2016.
Socio-economic surveys were conducted to obtain feedback regarding the behaviour, perceptions and attitudes to improvements in the sanitation systems. A total of 1,064 respondents were interviewed.
The meaures included:
i) Upgrading and extension of Margasari Sanitation Network and WWTP to a planned capacity of 800 m3/day, while the current used capacity is 450 m3/day. Expanding the sewerage system and installing with an additional 4,000 household connections;
ii) Development of the Perusda Sanitation Network and WWTP to serve over 313,000 people until year 2032. The service area covers six villages located within 4 kilometers radius from the plant: Batu Ampar, Manggar, Gunung Samarindah, Damai, Sepinggan and Gunung Bahagia villages. This project includes development of sewerage network, WWTP and household connections with planned capacity of 863 m3/day. The first phase of this development is expected to provide about 10,000 new household connections;
iii) Somber Small Industrial Estate (KIKS) Sanitation Network and WWTP. This project includes development of waste water pipes network, WWTP, and household connections with the planned capacity of 577 m3/day. The first phase of this development is expected to serve 5,000 to 8,000 new household connections in KIKS vicinity.
Results
/ A financial model was developed to determine the financial impacts of a number of different scenarios including:- Full cost recovery
- Full cost recovery with cross-subsidy
- Cross-subsidy with government subsidy
- Cross-subsidy and health cost savings
- A city-wide pollution levy.
For each scenario, the costs/revenues were calculated both for the full recovery of capital costs by including depreciation and the recovery of operation and maintenance costs only.
The conclusion is that the feasibility a sanitation scheme, based on cost recovery, would be difficult without an environmental levy. The success in terms of the number of house connections will depend on the retribution levels being affordable to each household and so will depend on either subsidy or pollution levy.
Senior staff and functions
/ Peter Wreford - Team LeaderAlbert Thiadens – Project Director/Sanitary Engineer
Am Tris Hardiyanto - Sanitation engineer/deputy team leader
Imam Hudori – Civil Engineer
Abdul Rifai - Financial specialist
Kenny Kaparang - Institutional specialist
Dwi Setianingsih - Social safeguard specialist
Euroconsult Mott MacDonald
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