Good Practices in Urban Water Management: Decoding Good Practices for a Successful Future

228 Pages·1999·5.315 MB·English

Good Practices
in Urban Water Management
Decoding Good Practices for a Successful Future
Edited by
Anand Chiplunkar
Kallidaikurichi Seetharam
Cheon Kheong Tan
Good Practices
in Urban Water Management
Decoding Good Practices for a Successful Future
Edited by
Anand Chiplunkar
Kallidaikurichi Seetharam
Cheon Kheong Tan
© 2012 Asian Development Bank, National University of Singapore
All rights reserved. Published 2012.
Printed in the Philippines.
ISBN 978-92-9092-740-2 (Print), 978-92-9092-741-9 (PDF)
Publication Stock No. BKK102333
Cataloging-In-Publication Data
Chiplunkar, Anand; Seetharam Kallidaikurichi; and Tan Cheon Kheong.
Good Practices in urban water management: Decoding good practices for a successful future.
Mandaluyong City, Philippines: Asian Development Bank, 2012.
1. Urban water. 2. Water management. 3. Asia. I. Asian Development Bank.
The views expressed in this publication are those of the authors and do not necessarily reflect the views and
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Contents
List of Tables, Figures, and Boxes vi
Foreword xi
Preface xiii
Acknowledgments xv
Abbreviations xvii
Chapter I: Introduction 1
Challenges in the Water Sector 1
Setting the Context 1
Water Governance and Good Practices 3
References 7
Chapter II: Bangkok, Thailand 9
Introduction 9
Institutional Setting and Governance 9
Supply Management 13
Demand Management 18
Wastewater Management 21
Storm Water Management 23
Private Sector Participation 25
Customer Satisfaction 26
Financial Resource Management 26
Human Resource Management 27
Lessons 28
Challenges 30
References 31
Chapter III: Colombo, Sri Lanka 35
Introduction 35
Institutional Structure and Legal Framework 35
Urban Service Delivery in Greater Colombo 39
Supply Management 42
Wastewater Management 45
Customer Satisfaction 45
Financial Resource Management 48
Human Resource Management 51
Initiatives for Sustainable Water Supply and Sanitation 52
Challenges and the Way Forward 54
References 55
iii
iv Contents
Chapter IV: Jamshedpur, India 57
Introduction 57
Institutional and Regulatory Framework 59
Need for Change: Factors for the Formation of the Jamshedpur Utilities and Services Company Limited 59
Water Value Chain 62
Supply Management 63
Demand Management 68
Wastewater Management 70
Storm Water Management 71
Efficiency Gains from Technology and Management Practices 72
Customer Satisfaction 73
Financial Resource Management 76
Human Resource Management 77
Decoding the Transformation: Key Drivers and Lessons 79
Challenges and the Way Forward 81
References 81
Chapter V: Kuala Lumpur, Malaysia 83
Introduction 83
Institutional Setting and Governance 83
Supply Management 86
Demand Management 89
Wastewater Management 90
Storm Water Management 92
Private Sector Participation 94
Customer Satisfaction 95
Financial Resource Management 95
Human Resource Management 96
Lessons 98
Challenges 100
Conclusion 101
References 101
Chapter VI: Manila, Philippines 103
Introduction 103
Institutional Setting and Governance 105
Privatization of Metropolitan Waterworks and Sewerage System 105
Supply Management 109
Management of Metro Manila Water System after Privatization 110
Nonrevenue Water 119
Wastewater Management 121
Financial Resource Management 123
Human Resource Management 124
Community Partnerships 128
Lessons 128
Challenges 131
References 131
Contents v
Chapter VII: Phnom Penh, Cambodia 133
Water Supply of Phnom Penh: An Example of Good Governance 133
Introduction 133
Progress since 1994 134
Urbanization 134
Unaccounted-for-Water 136
Water Pricing and Cost Recovery 137
Accurate Data on Water Consumers 139
Metering 139
Water for the Absolute Poor 140
Financial Sustainability 140
Overall Performance Assessment 142
Concluding Remarks 142
References 143
Chapter VIII: Shenzhen, People’s Republic of China 145
Introduction 145
Overview of the City 145
Institutional Setting and Governance 146
Supply Management 153
Demand Management 155
Wastewater Management 159
Customer Satisfaction 160
Financial Performance 161
Reform of the Water Sector in Shenzhen and Evaluation 161
Lessons 167
Challenges 168
References 169
Chapter IX: Singapore 171
Introduction 171
Political and Government Commitment 172
Institutional Setting and Governance 173
Supply Management 174
Demand Management 179
Wastewater Management 183
Storm Water Management 185
The ABC Waters Program 187
Private Sector Participation 188
Customer Satisfaction 188
Financial Resource Management 189
Human Resource Management 191
Lessons 192
Challenges 193
References 194
Chapter X: Gearing for the Future: A Framework for Success 197
A Cross-Utility Comparison 197
Decoding Good Practices: A Success Framework for Replication 200
Operationalizing the Success Framework 203
Emerging Challenges of Climate Change and Flooding to Integrated Water Resources Management 204
References 205
Tables, Figures, and Boxes
Chapter I: Introduction
Tables
1 Key Indicators in Water Management 4
2 Summary of Good Practices Drawn from City Case Studies 5
Box
1 Common Water Utility Challenges 1
Chapter II: Bangkok, Thailand
Tables
1 Water Service Connections of the Metropolitan Waterworks Authority 16
2 Water Tariff Structure of the Metropolitan Waterworks Authority 20
3 Coverage of Wastewater Treatment in Bangkok 22
4 Financial Performance of the Metropolitan Waterworks Authority 27
Figures
1 Bangkok Metropolis and Its Land Use 10
2 Major Water Supply Facilities of the Metropolitan Waterworks Authority 14
3 Service Coverage of the Metropolitan Waterworks Authority 15
4 Nonrevenue Water and Unaccounted-for-Water in Metropolitan Waterworks
Authority Service Area, 1987–2008 18
5 Water Consumption by Type in the Metropolitan Waterworks Authority Service Area,
1998–2008 19
6 Municipal Wastewater Generation and Treatment in Bangkok 23
7 Human Resource Efficiency of the Metropolitan Waterworks Authority, 1987–2008 28
Chapter III: Colombo, Sri Lanka
Tables
1 Key Statistics of Greater Colombo Area 35
2 Institutional Responsibility for the Delivery of Water Services in Greater Colombo Area 37
3 Sewerage Service Charges 47
4 Accounts Receivable for Sri Lanka 49
5 Usage and Service Charges for Domestic Users 50
6 Usage and Service Charges for Public Standposts and Garden Taps 50
7 Usage and Service Charges for Government Schools, Government-Assisted Schools,
Religious Institutions, and Government-Approved Charitable Institutions 50
8 Usage Charges for Commercial and Other Users 51
9 Service Charges for Commercial and Other Users 51
10 Connection Fee for New Consumers 51
vi
Tables, Figures, and Boxes vii
Figures
1 Composition of Greater Colombo Area 36
2 Water Value Chain of Greater Colombo Area 39
3 Water Supply System of Greater Colombo Area 40
4 Growth in Water Supply Coverage and Number of Connections 42
5 Water Production and Water Consumption, 1999–2008 43
6 Decline in Population Served Per Public Standpost, 1998–2008 43
7 Inconsistent Declines in Nonrevenue Water, 1999–2008 44
8 Metered Connections to Total Connections and Meters Replaced or Repaired 47
9 Consumer Complaints, 1998–2008 47
10 Restructuring of Colombo City’s Operation and Management 47
11 Annual Operating Revenue and Operating Ratio 48
12 Improvement in Revenue Collection Efficiency, 1999–2008 48
13 Cost Recovery: Revenue per kl versus Cost per kl 49
14 Staff Productivity, 1998–2008 52
Boxes
1 Randiya Program and Colombo Nonrevenue Water Reduction Program
of the National Water Supply and Drainage Board 44
2 Nonrevenue Water Reduction Program in Colombo Metropolitan Region, 2007–2012 46
Chapter IV: Jamshedpur, India
Tables
1 Key Statistics of Jamshedpur Urban Agglomeration 59
2 Institutional Responsibility for the Delivery of Water Services in Jamshedpur
Urban Agglomeration 60
3 Volumetric Water Tariffs, FY2008 69
4 Water Tariffs for Unmetered Connections, FY2008 69
5 Standards for Service Delivery 75
6 Annual Amendments to Service Level Guarantee Based on Customer Feedback 75
7 Challenges Faced by Indian Water Utilities and JUSCO’s Approach 79
Figures
1 Location of Jamshedpur within India 58
2 Institutional Structure of Jamshedpur Urban Agglomeration 60
3 Water Value Chain of Jamshedpur Utilities and Services Company Limited 63
4 Increase in Water Supply Coverage and Number of Connections 64
5 People–Private Partnership 65
6 Water Quality 65
7 Improvement in Nonrevenue Water 66
8 Decline in Pipe Breaks 66
9 Gradual Rise in Metered Connections 67
10 Increases in Water Consumption 68
11 Sewage Generation and Treatment within Lease Area 70
12 Sewerage Network Coverage and Decline in Sludge Blockages 71
13 Declines in Water System Failures and Energy Consumption 73
14 Compliance with Service Level Guarantees and Repeat Complaints 74
15 Consistent Improvements in Customer Satisfaction Index 74
16 Customer Satisfaction Indices for Piped Water and Wastewater Services 74
17 Service Delivery Process at JUSCO Sahyog Kendra 76
18 Annual Revenue and Operating Ratio 76
viii Tables, Figures, and Boxes
19 Revenue Collection Efficiency and Accounts Receivable 77
20 Cost Recovery: Revenue per kl vs. Cost per kl 77
21 Staff Productivity, FY2007–FY2009 78
Boxes
1 Origin and Status of the Jamshedpur Notified Area Committee 61
2 People–Private Partnership to “Connect” Unserved Customers 65
3 Nonrevenue Water Reduction Program of the Jamshedpur Utilities
and Services Company Limited 66
4 Water Metering Policy of the Jamshedpur Utilities and Services Company Limited 68
5 Master Plan for Storm Water Drainage, 2009–2034 72
6 Jamshedpur Utilities and Services Company Limited Sahyog Kendra 75
Chapter V: Kuala Lumpur, Malaysia
Tables
1 Total Water Treatment Plant Capacity and Production, 2000–2008 87
2 Metered Connections in Kuala Lumpur by Type, 2005–2008 88
3 Daily Water Consumption, Kuala Lumpur 89
4 Water Tariff Rates in 1989, 2001, and 2006 90
5 Water Tariff by Type of User, 2006 91
6 Wastewater Treatment Indicators, Kuala Lumpur, 1998–2008 93
7 Financial Performance of Utility That Supplies Water, 1998–2008 96
Figures
1 Population in Kuala Lumpur, 1998–2008 83
2 Malaysia—Institutional Hierarchy in Water Management 85
3 Institutional Setup of Water Services Industry, Kuala Lumpur and Selangor 86
4 Length of Water Supply Network in Selangor, Kuala Lumpur, and Putrajaya, 1998–2008 88
5 Nonrevenue Water in Selangor, Kuala Lumpur, and Putrajaya, 1998–2008 89
6 Water Consumption and Water Supply Per Day, Kuala Lumpur, 2008 90
7 Proportion of Properties in Kuala Lumpur Connected to Indah Water Konsortium’s Network,
1998–2008 92
8 Disruptions to Indah Water Konsortium’s Sewerage Services in Kuala Lumpur, 1998–2008 93
9 Chronology of Events in Privatizing the Water Services Industry in Selangor 94
10 Number of Public Complaints on Water Supply, 1998–2008 95
11 Complaints on Water Supply in Kuala Lumpur by Category, 2008 95
12 Government Grants to Water Utilities 97
13 Number of Staff Employed by Water Utilities, 1998–2008 97
14 Number of Staff Per 1,000 Water Connections in Water Utility’s Service Area, 1998–2008 98
15 Total Annual Staff Cost of Water Utilities, 2003–2008 98
16 Average Annual Salary of Staff in Water Utilities, 2003–2008 99
Chapter VI: Manila, Philippines
Tables
1 Water Service in Manila Compared with Other Major Asian Cities 111
2 Tariff Rates Before and After Privatization 112
3 Manila Water Company, Inc.’s Connection Charges 118
4 Water, Sanitation, and Sewerage Service Targets Specified in the Concession Agreement
and Actual Achievements 122
5 Selected Financial Indicators, 1998–2008 124
6 Distribution and Movement of Metropolitan Waterworks and Sewerage System Personnel
During and After Privatization 125
7 Staffing at Manila Water Company, Inc., 2000–2008 125
Tables, Figures, and Boxes ix
Figures
1 Density of Population per Barangay 103
2 Topography Map of Metro Manila 104
3 Delineation of the East and West Concession Zones of the Metro Manila Water System 106
4 Water Production, 1998–2008 109
5 Reliability of Water Service 111
6 Water Consumption, 1998–2008 113
7 Connection Fees, 1999–2008 115
8 Contractual Arrangements and Funds Flow of Global Partnership on Output-Based Aid Scheme 118
9 Water Service Connections and Nonrevenue Water, 1998–2008 120
10 Manila Water Company, Inc.’s Field Operations Structure 127
Boxes
1 Key Provisions of the Concession Agreement 107
2 Community-Managed Water Connection 116
Chapter VII: Phnom Penh, Cambodia
Tables
1 Average Annual Water Production 136
2 Progressive Tariff Structure of the Phnom Penh Water Supply Authority 138
Figures
1 Population of Phnom Penh, 1993–2008 135
2 Expansion of Area Supplied with Water, 1993–2008 135
3 Per Capita Water Use, 1993–2008 136
4 Unaccounted-for-Water, Phnom Penh, 1993–2008 136
5 Average Household Water Bill per Month, 1993–2008 138
6 B illing Ratio, Quantity Billed and/or Total Production, in Percentage 138
7 Bill Collection Ratio, 1993–2008 139
8 Distribution of Annual Operating Expenses 141
9 Number of Accounts Served per Employee, 1993–2008 141
10 Net Profits of Phnom Penh Water Supply Authority, 1997–2008 142
Chapter VIII: Shenzhen, People’s Republic of China
Tables
1 Selected Water Policies and Regulations in Shenzhen 148
2 Environmental Water Quality in Shenzhen, 2003–2008 154
3 Sales and Number of Water Users in Shenzhen, 2001–2008 157
4 Piped Water Tariffs in Shenzhen 158
5 Wastewater Treatment Fees in Shenzhen 158
6 Wastewater Treatment in Shenzhen, 2001–2008 159
Figures
1 Typical Parent Bureau Models 151
2 Organizational Framework of Water Governance in Shenzhen 152
3 Growth of Tap Water Supply Capacity in Shenzhen, 1998–2008 154
4 Water Supply Network in Shenzhen, 2001–2008 155
5 Water Consumption and Growth Rates in Shenzhen, 1998–2008 155
6 W ater Consumption Structure in Shenzhen, 2000 156
7 Water Supply Network in Shenzhen, 2001–2008 156
8 Change in Water Consumption Structure in Shenzhen, 1999–2008 157
9 Total Volume of Wastewater Discharged and Treated in Shenzhen, 2001–2008 160