Construction of city-scale wastewater treatment plants (IPAL) and wastewater pipe networks is continuously boosted to increase sanitation access to be 90% by 2024.

Water Resources Director General of the Public Works and Public Housing (PUPR) Ministry Hari Raya Suprayogi said that city-scale IPAL construction in a number of cities was continuously progressing.

“All [IPAL constructions] are in progress. Hopefully they will go according to plan,” he said in Jakarta last week.

Besides Jakarta, several other cities that are developing their city-scale IPAL project include Jambi, Pekanbaru, Makassar, Palembang, and Medan.

Unlike the IPAL in Jakarta, city-scale IPAL construction in the five cities is included as a Metropolitan Sanitation Management Investment Project (MSMIP), where the funding is a combination of a loan from Asian Development Bank (ADB), a grunt fund from the Australian Government, the state budget (APBN), and the regional budget (APBD).

As quoted by the official webpage of PUPR Ministry’s Human Settlements Directorate General, the loan of US$120 million from ADB comprised of funds from Original Capital Resources (OCR) which contributed US$80 million and Asean Infrastructure Fund (AIF) which contributed US$40 million. There is also the grant fund from the Australian Government, through the Foreign Affairs and Trade Department, that is US$48.83 million in total.

Referring to the data from Water Resources Directorate General that is received by Bisnis, there are three constructions that are carried out in Jambi, namely IPAL construction (Jambi Wastewater Treatment Plan/WWTP B1), wastewater collection and pipe system construction (Jambi Sewer System B2), and western Jambi wastewater pipe network construction (Jambi package C).

Then, there will be four constructions in Makassar, namely IPAL construction (Makassar Wastewater Treatment Plant/WWTP B1), wastewater collection and pipe system construction (Makassar Sewer System B2), and northwest wastewater pipe construction (Packages C1 and C2).

There will also be several constructions in Pekanbaru, namely IPAL construction (Pekanbaru Wastewater Treatment Plant/WWTP B1), sewerage and transfer system construction (Pekanbaru North Sewerage NC), and south wastewater pipe construction (Packages SC-1 and SC-2).

As of November 2019, Jambi is revisioning the tender document and the budget allocation plan for the construction of Jambi WWTP B1 and Jambi Sewer System B2 that are waiting to be approved by the Human Settlements Director General. Meanwhile, Jambi package C construction is only waiting for the Human Settlements Director General to approve the budget allocation plan.

In Makassar, the tender document for the IPAL construction is being revised. However, the construction of Makassar Sewer System B2, that is signed by PT Waskita Karya (Persero) Tbk on 14 November 2019 with a value of Rp180.7 billion, has reached the down payment and the mobilisation process.

A technical evaluation is being implemented for packages C1 and C2 that are expected to be signed by early December 2019.

Lastly, several constructions in Pekanbaru are on progress. Construction of SC-1 has reached 26.62% and construction of SC-2 has reached 30.50%. The budget allocation plan for Pekanbaru WWTP B1 is being discussed and it is currently waiting for the approval of Human Settlements Director General. Meanwhile, based on the tender result, which had BP2JK (Construction Services Selection Implementing Agency) suggesting PT Adhi Karya as the winner, the construction of Pekanbaru North Sewerage NC will be re-evaluated.

Tender Documents

Meanwhile, Human Settlements Director General of the PUPR Ministry Danis Sumadilaga said that the IPAL construction progress in Jakarta had reached the tender document process. “[The IPAL] in Jakarta has entered the tender document [process]. Hopefully it can be tendered this year,” he said.

In Bisnis records, the detail engineering design (DED) for zone 1 is finished. The DED will be a guideline to carry out the physical construction tender of the IPAL and the pipe network. It is expected that the construction can commence next year.

Investment for the construction of zone 1 reaches Rp9.87 trillion, which comprises of Rp7.7 trillion from the state budget and Rp2.1 trillion from Jakarta’s regional budget.

Meanwhile, the fund from the state budget comes from a loan from the Japanese Government through Japan International Cooperation Agency (JICA).

JICA Senior Representative for Indonesia Ogawa Ryo said that JICA had been involved in Jakarta SPAL (Wastewater Management System) project since the preparation stage. JICA has been helping the Indonesian Government arrange the main plan of dividing the wastewater services in Jakarta to 15 zones.

He said that JICA had funded the consulting of the project through the official development assistance (ODA) loan facility by 1.96 billion yen, or Rp253 billion. JICA is also ready to provide a loan of 57.06 billion yen, or Rp7.33 trillion for the construction of Jakarta SPAL Zone 1 project.

Ogawa said that JICA expected Jakarta SPAL project to increase the environment quality for urban citizens. Jakarta SPAL Zone 1 can serve nearly 1 million individuals that are scattered across eight districts.

The IPAL in zone 1 will be built in Pluit. It will be 3.9 hectares in size with a capacity of 240,000 cubic metres for wastewater daily.

Jakarta Sewerage System (JSS) profile

Investment value: Rp69.9 trillion
Funding scheme: State budget, PPP, and B2B
Location: Jakarta
Government in charge: Jakarta Provincial Government
Start of construction: 2019
Start of operation: 2022
Project status: In preparation