S8 Asia-Pacific Wastewater Management Revolution Approach by Anand Chiplunkar (Long)
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8/6/2019 S8 Asia-Pacific Wastewater Management Revolution Approach by Anand Chiplunkar (Long)
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Promoting Wastewater
Management Revolutionin Asia-Pacific
Anand ChiplunkarPrincipal Water Supply and Sanitation Specialist
ADB
2nd ADB-DMC and Partners Sanitation Dialogue
ADB, Manila
23-24 May 2011
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BACKGROUND
Wastewater Management Revolution in Asia-Pacific
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Sanitation Coverage: Mixed Results
More work needs to bedone in Bangladesh,Cambodia, India,Indonesia, Lao PDR,Fiji, Kiribati, Papua New
Guinea and TimorLeste.
Source: World Bank. Global Data MonitoringInformation System
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Sanitation Coverage: Mixed Results
Pollution of surface water is a major challenge in East Asia, especially
People Republic of China
Rehabilitation of sewerage and wastewater treatment facilities areneeded in Central & West Asia.
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Sanitation Coverage: Not Enough
While the progress in
meeting quantitativetargets is significant
and laudable, there are
continuing concerns
over the quality of theservices.
It is estimated that
85-89% of Asia’s
wastewater isdischarged
untreated – polluting
groundwater, rivers
and coasts.
Source: UNEP/GPA. 2004.
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Sewerage coverage
Additional target: “To halve by 2015 the proportion of
the urban population without household connections toa sewerage system”
Millions % %Numbers of people needing
connection to achievetarget (millions)
2004% urban household
sewerage connection
2015% urban household
sewerage connectionafter achieving target
China 251 50 75India 184 25 63Indonesia 73 2 51Philippines 34 7 54
Pakistan 32 40 70Bangladesh 27 7 54Iran 25 19 60Viet Nam 14 14 57Thailand 12 0 50Malaysia 10 41 71Myanmar 9 10 55
Rep of Korea 9 65 83
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Facts and Figures
Economic impacts of lack of sanitation cost them from 1% to
7% of their GDP each year (Cambodia, Indonesia, Lao PDR,Philippines, Viet Nam)
— Cambodia: 7.2.% of GDP — Indonesia: $ 6.3. billion p.a. or 2.4% of GDP
— India: $53.8 billion p.a. or 6.4% of GDP(Water and Sanitation Program. Economics of Sanitation Initiative.)
WHO study revealed
─ $1 invested in water and sanitation would provide an
economic return between $3 and $ 34(WHO. 2004. Evaluation of Costs and Benefits of Water and Sanitation Improvements at the Global Level.)
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ASIA-PACIFICWASTEWATERMANAGEMENT
REVOLUTION
PROGRESS AND
INITIATIVES
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Wastewater management revolution
Knowledge drive: compilation of successful and
sustainable environmental sanitation case studies
Technology drive: specific technology datasheets
and its applications for different treated output
standards required for various end-uses
Financing and incentives drive: business
briefs and pre-feasibility studies with financing
mechanisms to fast-track wastewater investment
projects, and encourage extraction of resources from
wastewater
Awareness and advocacy drive: knowledge
products, capacity development workshops ,
networking with stakeholders in round tables
for taking up identified business opportunities
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Knowledge Drive
• Compile sustainable models/case studies
• Choices in the sanitation ladder
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Technology Drive
DEWATS:Viet Nam
Constructed
Wetlands: China
• Many choices for different end uses
Conventional:Sihanoukville
Toilets Sulabh pour-flush toilets with twin pits;
attached to biogas digesters in
unsewered areas (India)
Eco-san toilets – produce safe fertilizer:
Philippines; PRCDecentralizedwastewatertreatmenttechnologies
(DEWATS)
for urban poor communities: Indonesia
public markets: Philippines
peri-urban areas: Viet Nam
Constructedwetlands
Ningbo and Nanjing (China)
Bayawan City (Philippines)
Conventional Da Nang (Viet Nam)
Sihanoukville (Cambodia)
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Technology Drive
Can address water scarcity and food
security:Source of water for irrigation: VietNam,China
Source of water for industrial use: India
Biosolids/Organic fertilizers: Philippines
Feeds for aquaculture: Bangladesh, India
Source of energy
Biogas for electricity, lighting and cooking:India, China, Cambodia, Indonesia, Nepal
Potential for carbon credits
CDM: Kinoya Wastewater
Treatment Project in FijiBiogas:Cambodia
Fertilizer:Philippines
PROMOTE REUSE
OF TREATEDWASTE
W h U b E i l
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Wuhan Urban EnvironmentalImprovement Project, PRC
Wastewatermanagement
Wetland parks as partof treatment
Membrane Bioreactor
for advancedwastewater treatment
Sludge treatment anddisposal
Lake/channelsrehabilitation
Real time waterquality model
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Financing Drive
Develop Business briefs and Pre-feasibility studies
Models of Affordable and innovative financing
Gram Vikas (India): Socialized community fund raising for
toilets and bathing facilities
Kerala (India) and Viet Nam: Revolving funds for toilets and
biogas plants
Philippines: Environmental User Fee; microfinancing
Public – Private Partnerships
Philippines and India: private concessionaires responsible for
investments, operation and management
Other mechanisms
Nepal: Output-based aid
Shanghai (PRC) and Fiji: Clean development mechanism
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Financing Drive
Project Development Fund (PDF)
• Can be recovered with returns insuccessful projects
Viability Gap Fund (VGF)
• Enhancing viability to make it
financially attractive
• Usually upfront grant
Operational/Transition Support Fund
• Support cash flow based on
business plan and reforms
• Grants or Debt to project in O&M
Other measures
• Credit Enhancement
• Risk Guarantee Mechanisms
In ADB:
Loan – single or multi-tranche facility
Grant
Non-sovereign public
sector facilityLocal currency loan
Debt managementproducts
Private Sector – equityinvestments, loans,guarantees, and B loan(complementaryfinancing scheme)
K g R bli
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Kyrgyz Republic:Issyk-Kul Sustainable Development Project
Gov’t to link viability gap funding and
output-based aid to achievements
Financial Improvement Action Plan by cityand utility
City concludes performance-based service
contracts with service utility
0.0
0.5
1.0
1.5
2.0
2.5
3.0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Year
$ m i l l i o n
WSS Revenue WSS Expenditure
VGF
City
Government
Service Utility
Customers
Ministry of Finance
ADB
Grant
Loan &Grant
Repayment
SupplyService Pay
Tariff
Performance-basedservice contracts
with targets,incentives, and
penalties
Viability Gap FundOutputBased
Subsidies
CAPEX
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Financially Viable Sewerage Systems
Examples:
Philippines: Manila Water
Company, Inc.
India: Municipality of
Alandur sewerage project
Factors to ensure financial
viability and social acceptability:conduct public consultations
determine level of serviceneeded
select a suitable technology
access affordable financingmechanism
set appropriate wastewatertariffs to cover: costs, return oninvestment, future expansionrequirements
Show shared benefits from
reuse
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Incentives Drive
Bali, Indonesia: Reuse of treated wastewater from
the “Eco-Lagoon,” which is also a tourist attraction
India: Reuse of treated wastewater for industrial use,
in Surat, Gujarat State through PPP is augmenting
water supply, set to earn US$6 million per year
Xiamen, PR China: The Shiweitou Sewage Treatment
Plant supplies 24,000 cu.m/day of treated
wastewater for watering plants in more than 500 ha.,
earning RMB 2 million per year
Bangladesh: duckweed-based wastewater treatment
pond - net profit of almost US$ 2000/ha/y from
operation and using duckweed as feeds in aquaculture
farms.
Treated wastewater:
China
Eco-lagoon, Nusa Dua
POTENTIAL REVENUES
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Awareness and Advocacy Drive
Hygiene and environmental
education in schoolsIndia: Total Sanitation Campaign
Philippines: Fit-for-School Program
Triggering demand: community-led
total sanitationBangladesh, Cambodia
Stakeholder participation:
SANIMAS in IndonesiaSocial marketing of sanitation
India
Stimulate demand and
willingness to pay
INCREASEAWARENESS AND
INVOLVE THE
STAKEHOLDERS
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Partnership with the private sector
Need bankable projects and costrecovery mechanism
Business briefs and pre-feasibility
studies with willing partners
Conduct Round Tables
Govt/municipal administration, private
sector, consumers, financiers etc.
Address affordability issues:
lower interest rates, longer
repayment period
This is a key
component of theAsia SanitationRevolution
• Go beyond
advocacy• Develop
sustainablebusiness
opportunities• Have stakeholder
buy-in
Awareness and Advocacy Drive
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Allocate budget for sanitation
Central government support to localgovernments
Support small-scale providers
and entrepreneurs
Increase public awareness and
involve stakeholders
to stimulate demand and
willingness to pay
It is estimated that the
annual costs of meetingthe 2015 sanitationtarget are about $7billion for sanitation
facilities, and $53 billionfor wastewatertreatment.(UNICEF 2004)
Awareness and Advocacy Drive
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ADB: Pilot and Demonstration Activity
Examples:Philippines: Low-Cost
Decentralized Wastewater
Treatment in Liloan, Cebu
Viet Nam: SanitationOptions for Peri-Urban
Areas
Cambodia: Microfinancing
system for sanitation inrural areas
Advisory technical
assistance
Testing of innovativetechnologies andmethodologies for
effectiveness andpossible replication
Targeted water sectororganization capacityimprovement
Catalyse reforms
Knowledge products
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ADB: Expanding the Knowledge Base
- Toolkit: Smarter Sanitation (CD)
- Wastewater Management Expert System
- Making Sanitation Everybody’s Business
- Coming Clean on Sanitation (video stories)
- India’s Sanitation for All: How to Make it
Happen
- Asian Sanitation Data Book
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Financing is not a constraint.
Learning and capacity building
Knowledge sharing on good practices,
technology and financing options
Demonstrate innovative projects
Replicate and scale up successful projects
Co-benefits of sanitation and sustainable
agriculture as we address food security and
water scarcityClimate change adds another dimension to the
sanitation challenge but provides opportunities:
Less energy intensive wastewater treatment systems
Methane capture and waste-to-energy projects
Lessons and Opportunities
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THANK YOU.
For More Information:
achiplunkar@adb.org
Web site: www.adb.org/water
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