Project Name
Metropolitan Sanitation Management Investment Project
Project Number
Country / Economy
  • Indonesia
Project Status
Project Type / Modality of Assistance
  • Grant
  • Loan
Source of Funding / Amount
Grant: Metropolitan Sanitation Management Investment Project
Source Amount
Government of Australia US$ 48.83 million
Loan 3123-INO: Metropolitan Sanitation Management Investment Project
Source Amount
Ordinary capital resources US$ 80.00 million
Loan 8280-INO: Metropolitan Sanitation Management Investment Project
Source Amount
ASEAN Infrastructure Fund US$ 40.00 million
Strategic Agendas
  • Environmentally sustainable growth
  • Inclusive economic growth
  • Regional integration
Drivers of Change
  • Gender Equity and Mainstreaming
  • Governance and capacity development
  • Knowledge solutions
  • Partnerships
  • Private sector development
Sector / Subsector
  • Health / Disease control of communicable disease

  • Water and other urban infrastructure and services / Urban sewerage

Effective gender mainstreaming
The Project will provide improved urban wastewater services in the cities of Cimahi, Jambi, Makassar, Palembang, and Pekanbaru in the Republic of Indonesia. These cities currently lack any piped sewerage and wastewater treatment facilities. The Project will respond to the needs of urban communities, including low-income households, by constructing new separate sewerage systems and wastewater treatment plants (WWTPs), setting up local wastewater infrastructure management institutions and strengthening the relevant departments of respective regional governments.
Project Rationale and Linkage to Country/Regional Strategy
Indonesia has one of the lowest coverage rates of conventional off-site urban sewerage in Asia. Only 11 out of its 330 cities have partial sewerage systems with only 2% of the national urban population connected to central wastewater treatment plants. The remaining urban population depends on poorly constructed and maintained septic tanks and unlined pit latrines with leachates penetrating the aquifers. Some 80% of greywater drains directly to surface waters. The present sanitation services are inadequate and those that exist are not integrated, due to the lack of regulations and enforcement resulting in limited desludging of septic tanks, inadequate septage treatment facilities and a fragmented operational responsibility. Improved access to safe water and basic sanitation is part of the Government of Indonesia s effort to achieve its 2015 Millennium Development Goal (MDG) targets . Whilst reports suggest good progress is achieved with sanitation, in practice, the facilities now available are substandard and rely on septage removal and treatment facilities which are unsustainable. As a result, there is significant environmental pollution, widespread contamination of surface and ground water with the associated spread of water-related diseases and high infant mortality . The inadequacies of this sanitation systems and resulting environmental and health impacts equate to economic opportunity losses of approximately $5.6 billion annually, equaling 2.3% of the country s gross domestic product. These issues can be solved by the introduction of (i) public sewerage and wastewater treatment facilities; (ii) an institutional framework for their effective operation and maintenance (O&M); and (iii) by public awareness of good sanitation practices.

Reduced pollutant discharges to the environment In the participating cities.

Project Outcome

Description of Outcome

Increased connection of the population to improved wastewater services in the participating cities.

Progress Toward Outcome
278 household connections and 71 commercial connections have been installed, serving 1,112 people and 71 business owners, respectively. 26.29 % of it are poor households and female headed households (above the target at 10%). A total of 293 community-based sanitation system have been constructed (above the target at 64 units). A total of 631,926 households are served through desludging service (above the target at 121,000 households).

Implementation Progress

Description of Project Outputs

Infrastructure development for Off-Site Wastewater Systems completed.

Project Implementation Support institutionalized.

Status of Implementation Progress (Outputs, Activities, and Issues)

All indicators for output 1 (infrastructure development for off-site wastewater systems completed) have been achieved. The total length of sewer installed is 187.69 km (above the target at 159.4 km). Three WWTPs have been installed with maximum capacity as targeted (7.6 MLD in Jambi, 16 MLD in Jakarta, 8.1 MLD in Pekanbaru). Construction contracts includes 39.76% local workers (above the target at 35%). Public consultation held with 36% women participation (above the target at 30%). Poor households and households headed by women are classified as beneficiaries with the lowest tariff in their tariff structures.

All indicators for output 2 (Project implementation support institutionalized) have been achieved. Gender-disaggregated indicators have been integrated in the project performance monitoring system and regularly monitored through gender action plan (GAP). Women representation in the management position is 63% (above the target at 10%). Capacity-building activities on hygiene promotion, education, planning and participatory monitoring completed with 36.7% women participation (above the target at 30%).

Geographical Location

Safeguard Categories

Involuntary Resettlement
Indigenous Peoples

Summary of Environmental and Social Aspects

Environmental Aspects
The Initial Environmental Examination (IEE) for Makassar, Jambi and Pekanbaru have been submitted by the EA, secured ADB approval and disclosed on the ADB's website. The environmental permits have been issued on 28 December 2018 for Pekanbaru sewerage package; 20 December 2019 for the Jambi WWTP and sewerage packages; 30 January 2020 for the Makassar WWTP and sewerage packages; and 5 May 2020 for Pekanbaru WWTP package. The Construction Environmental Management Plan (CEMP) reports for all on-going works have been prepared as well. Semi-annual monitoring report is prepared priodically by the EA to record the implementation of required environmental safeguard.
Involuntary Resettlement
No resettlement involved in this project as the government already acquired necessary land for the construction of the WWTPs and pumping station. The detail of land acquisition process has been reported in the semi-annual monitoring report which being submitted by EA to ADB periodically. Semi-annual monitoring report is prepared periodically by the EA to record the implementation of required social safeguard.
Indigenous Peoples
There are no indigenous peoples affected by the subprojects.

Stakeholder Communication, Participation, and Consultation

During Project Design
The Ministry of Public Works and Housing, through the Directorate General of Human Settlements (DGHS), is the EA of the Project. DGHS to establish a Central Project Management Unit (CPMU) composed of technical and administrative staff. A Project Implementation Unit (PIU) to be established at the provincial level (Balai/working unit) to manage project activities and monitor the implementation progress. A consultant team based in Jakarta and also in each city are hired to assist the EA, CPMU, LPMUs and PIUs to manage and monitor the implementation of the project. The consultant team is also responsible for facilitating communication and consultation with the community to ensure that the households within targeted area agree to be connected to the centralized sanitation system facilitated under this project as beneficiaries.
During Project Implementation
The stakeholder participation during implementation is in accordance with the project design. However, during major change in 2016, the Cimahi city was taken out from the project due to insufficient budget. Thus, the PIUs for the project were only established in three provinces namely Riau Province (for Pekanbaru city), Jambi province (for Jambi city), and South Sulawesi (for Makassar city). Communication and consultation are carried out as agreed during project design.


Responsible ADB Officer
Carolina, Anastasia
Responsible ADB Department
Sectors Group
Responsible ADB Division
Water and Urban Development Sector Office (SG-WUD)
Executing Agencies
Directorate General of Human Settlements, Ministry of Public Works and Housing


Concept Clearance
13 Dec 2011
Fact Finding
23 Apr 2013 to 03 May 2013
04 Jul 2013
31 Mar 2014
Last Review Mission
Last PDS Update
23 Apr 2024


Loan 3123-INO

Approval Signing Date Effectivity Date Closing
Original Revised Actual
31 Mar 2014 13 May 2014 09 Jul 2014 31 Dec 2020 30 Jun 2024 -
Financing Plan
  Total (Amount in US$ million)
Project Cost 159.20
ADB 80.00
Counterpart 79.20
Cofinancing 0.00
Loan Utilization
  Date ADB Others Net Percentage
Cumulative Contract Awards 06 Jun 2024 79.23 0.00 100%
Cumulative Disbursements 06 Jun 2024 76.78 0.00 97%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Satisfactory - Satisfactory - Unsatisfactory

Loan 8280-INO

Approval Signing Date Effectivity Date Closing
Original Revised Actual
31 Mar 2014 13 May 2014 09 Jul 2014 31 Dec 2020 30 Jun 2024 -
Financing Plan
  Total (Amount in US$ million)
Project Cost 40.00
ADB 0.00
Counterpart 0.00
Cofinancing 40.00
Loan Utilization
  Date ADB Others Net Percentage
Cumulative Contract Awards 06 Jun 2024 0.00 33.62 95%
Cumulative Disbursements 06 Jun 2024 0.00 30.37 86%
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