Thursday 20 November 2008

PPP Project Transactions in Water and Sanitation Sector, Indonesia

In 2006, BPP SPAM identified 24 water supply projects that could be financed in through a public private partnership. There are only three projects: Dumai Project: The government of Kota Dumai intends to cooperate with nati onal and international private sector firms to establish piped water supply and services for the Dumai area located in Kota Dumai. At present the number of inhabitants for the area estimated at 61,000 persons. Due to limited municipal budget resources, the executing agency anticipates difficulties to develop, operate and maintain piped water supply and services for Dumai area on their own account. Under a proposed PPP arrangement, the successful bidder will be awarded a 25 year cooperation contract to develop, finance, operate and main ` tain piped water supply and services. The estimated project cost is Rp. 300 billion Tangerang Project: The government of Kabupaten Tangerang intends to coo perate with national and international private sector firms to establish piped water supply and services for Pasar Kemis, Sepatan, Cikupa, Balaraja and Jayanti area located in Kabupaten Tangerang. At present the number of inhabitants for the area estimated at 243,000 persons. Due to limited municipal budget resources, the executing agency anticipates difficulties to develop, operate and maintain piped water supply and services for the surrounding area on their own account. Under a proposed PPP arrangement, the successful bidder will be awarded a 25 year cooperation contract to develop, finance, operate and maintain piped water supply and services. The estimated project cost is Rp.303. billion.
Kabupaten Bandung Project: The government of Kabupaten Bandung intends to cooperate with national and international private sector firms to establish piped water supply and services for Kabupaten Bandung. At present the num ber of inhabitants for the area estimated at 450,000 persons. Due to limited municipal budget resources, the executing agency anticipates difficulties to develop, operate and maintain piped water supply and services for the surroun ding area on their own account. Under a proposed PPP arrangement, the success ful bidder will be awarded a 25 year cooperation contract to develop, finance, operate and maintain piped water supply and services. The estimated project cost is Rp. 250. billion.


Source: KKPPI, Sector Review 2006

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