Infrastructure Funding Encourages the Provision of Affordable Drinking Water for the Community

Infrastructure funding is crucial to ensure affordable access to clean water for the community.

KOMPAS/M PASCHALIA JUDITH J

The President Director of PT Danareksa (Persero), Yadi Jaya Ruchand (left), handed over the feasibility study documents for the construction project of a drinking water management system in Bandung, West Java, to the President Director of Perumda Tirtawening, Sonny Salimi, during the 10th World Water Forum in Nusa Dua, Bali, on Monday (20/5/2024).

NUSA DUA, KOMPAS — Funding of IDR 3.75 trillion can build infrastructure providing drinking water through taps for around 350,000 customers in Bandung , West Java. The project, which has completed a feasibility study, is targeted for completion in 2027.

In the 10th World Water Forum or the 10th World Water Forum, the President Director of PT Danareksa (Persero) Yadi Jaya Ruchand announced the formation of a consortium with PT CITIC Envirotech Indonesia and SUEZ (Singapore) Services Pte Ltd to build a drinking water management system (SPAM). This consortium is also aligned with the Indonesia Water Fund program which targets developing 40 million access to clean water for the Indonesian population.

The consortium worked together with Perumda Tirtawening in Bandung Regency. Symbolically, Yadi handed over the feasibility study documents for the construction project of a drinking water supply system for Bandung residents to the President Director of Perumda Tirtawening, Sonny Salimi. "This step is the beginning to realize 100 percent access to drinking water in Bandung. It is not easy to pump water from Saguling reservoir to Bandung," said Sonny at Nusa Dua Convention Center in Bali, on Monday (May 20, 2024).

KOMPAS/ALBERTUS KRISNA

Officers collect trash from the Citarum River near Saguling Reservoir in Cihampelas, Bandung Regency, West Java, on Tuesday (7/2/2023). These officers are part of the Bening Saguling Foundation, an organization that focuses on developing environmental and economic education.

According to the plan, the project will build a water treatment plan with a capacity of 3,500 liters per second so that water from the Saguling Reservoir can be channeled to residents' homes. Apart from that, there is the construction of a reservoir or water reserve storage area with a capacity of 30,000 cubic meters.

The project also includes building a pipeline network with a diameter of 1.67 meters to distribute drinking water. Therefore, he confirmed that the tap water from residents who have access to the project's pipeline network can be consumed.

Water distribution services reach 16 districts in Bandung. This number is equivalent to 350,000 customers or around 60 percent of the total service coverage. The project's value is Rp 3.75 trillion.

Yadi said that the consortium project with Perumda Tirtawening could be 100 percent completed in 2027. Construction will start in 2024.

KOMPAS/AGUS SUSANTO

Residents are scooping up thick black mud sediment from the polluted Bekasi River in Margahayu, East Bekasi District, Bekasi City, West Java on Tuesday (19/9/2023).

On the same occasion, PT Danareksa (Persero) signed a heads of agreement with CITIC regarding the construction of a waste water treatment plan (WWTP) at PT Kawasan Berikat Nusantara, which manages the industrial area in Cakung, Marunda, and Tanjung Priok, Jakarta. This agreement is a trial project for the construction of the first underground WWTP in Indonesia. The underground WWTP in Guangzhou, Jianxi, China, carried out by CITIC, is a reference.

Also read: Political and Ecological Issues Hamper Achievement of Clean Water and Sanitation SDGs

Regarding the agreement, Yadi stated that the WWTP infrastructure will have a capacity of 150 liters per second and will be able to process liquid waste from all industries in the area with the principles of circular economy. Currently, the project's value is being evaluated and its calculations will be completed in the third quarter of 2024.

Witnessing the announcement of the consortium and the signing of the agreement, Deputy Minister of State-Owned Enterprises Kartika Wirjoatmodjo underlined the limited funding for the water industry. "Imagine, just one city needs IDR 3.7 trillion. On the other hand, funding for the water industry is often hampered by regulations and legal certainty. "Therefore, we must research and examine together so that this funding scheme provides good returns with controlled risks for investors in water infrastructure development," he said.

KOMPAS/FRANSISKUS PATI HERIN

Children are competing to wash their hands at the water tap in Randoria Village, Detusoko District, Ende Regency, East Nusa Tenggara on Thursday (21/3/2024). The village has achieved community-based total sanitation.

According to him, funding for water infrastructure is crucial to ensure access to clean water for communities from upstream to downstream. The hope is that such services can be provided efficiently and at an affordable cost for the people.

In addition, there was a signing of a memorandum of understanding between CITIC and PT Virama Karya (Persero). With the agreement, CITIC can designate PT Virama Karya (Persero) as the selected consultant for projects in the homeland.

Also read: Open World Water Forum, Jokowi Reveals Threat of Water Crisis

Kartika assessed that the collaboration that was formed had the potential to result in the use of technology oriented towards managing water resources with sustainability principles. This step is important to overcome clean water problems in Indonesia.