Catalog

Water: Worth the Cost

While the convenience is appreciated, getting people to pay for piped water is a challenge

"If there's no payment, we will disconnect"
– Amo Mark, PNG Waterboard

From small farmers to big business-persons, water supply is a common concern in Papua New Guinea (PNG), where only a third of the people have a piped supply. In areas provided with access to a safe and adequate supply of water, this important resource has been lifting the living standards for all.

The $11.3 million Third Urban Water Supply Project, approved by the Asian Development Bank (ADB) in 1992, successfully provides safe and adequate water supply to Madang, the capital of Madang Province, with a population of 240,000 plus an increasing number of tourists visiting what is often called the “prettiest town in the South Pacific.” And soon Rabaul, the original capital, along with Kokopo, the relocated capital of East New Britain Province, and adjacent communities will stand to benefit from the Project.

In Madang, the Project has provided safe drinking water since 2000 and has added benefits such as a 10-km stretch of wide access road to the raw water pump station that villagers use to transport their agricultural products to the market. The now completed Project in Madang, however, has been challenged by two key issues: how to get people to pay for water—and how to convince them that the convenience of clean water, piped in their homes, is worth the price.

Businesses Need Dependable Supply

For Madang’s business community, which is heavily dependent on tourism, reliable water supply is critical.

Michael Cassell, Vice President of Madang’s Chamber of Commerce and Industry, says the impact of reliable water supply is significant for foreign business. “Gone are the days when trucks had to deliver water,” he says. “It’s wonderful to have piped water, but it would be better if the charges were cheaper.”

Because of the improved water supply, he says potential investors in industries requiring extensive use of water, such as tuna canneries, see Madang as a good place to do business in PNG. “More business can be expected,” he adds. “Certainly, Madang will have a competitive advantage.”

Australian-born Sir Peter Barter, who is now a PNG citizen and Minister for Inter-Governmental Relations in the recently elected Government, is owner of the Madang Resort Hotel, which is the largest consumer of water in the province at 12,000–15,000 kina ($2,529–$4,411) a month. “Good water supply will benefit tourists and benefit the economy,” he says. The downside: tourists still ask if the water is safe to drink.

Why Do We Have to Pay?

The concept of paying for water is alien and has been met with a lot of resistance, as was evident at a meeting of the PNG Waterboard and six landowners in Madang.

“We’ll close down this water pumping station and treatment plant,” threatened one farmer.

The PNG Waterboard, the Project’s executing agency, had called the meeting to enable six landowners to air their concerns over the water project to two representatives from ADB’s Pacific Department: Senior Project Specialist Amarnath Hinduja and Senior Operations Analyst Ophelia Iriberri.

The threat, made at the start of the 2-hour meeting at the pumping station office, was diffused after the benefits of the Project were explained to them.

“The water supply is good, but there’s a problem. After some time, there was no more,” said farmer Henry Makul, apparently missing the convenience after he failed to pay the water bill. “My wife and children were very happy to have water in the home because then they didn’t have to walk to the river anymore.”

Tough Stance on Unpaid Bills

Mr. Makul, who earns about 50 kina ($14.70) a month from growing yam and taro, says he could easily set aside 3.50 kina ($1.03) for the water, which is much cheaper than a 5-liter bottle of water that costs 4.50 kina ($1.32). But he was accustomed to getting water for free from the river, although it was about a 30-minute walk from his home.

Mr. Hinduja explained, “You have to pay for the service of getting clean water at your doorstep. The water you get is free, your payment goes to making sure that the water plant can bring clean and treated water to you.”

The PNG Waterboard officials said, however, that the community members’ lack of understanding about the Project was due to the limited social preparation and public awareness during the preparation and implementation of the Project. This situation is now being corrected. Unpaid water bills are also a problem, according to Amo Mark, Deputy Managing Director of the PNG Waterboard’s Technical Services Division, who underscored the need to educate people on reading their monthly bill and to train water collectors to follow up more closely. “If there’s no payment, we will disconnect,” Mr. Mark stressed.

After much discussion on the Project, the meeting closed with the landowners and officials shaking hands and chewing betel nut. Issues were clarified and both sides were satisfied, realizing that the Project will not only ensure a steady supply of safe water needed by households but will also lift living standards and benefit industries that can shore up economic activities in Madang.

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