Interim Regional Work Plans for Asia

Transcription

1 Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized UNDP- World aank Water and Sanitation Program nterim Regional Work Plans for Asia July 996 to Decenber 997 Please check the MAGEBANK orwb Publications for availability

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3 j ~ nterim Regional Work Plans for Asia July 996 to December 997!,, i i i ~ j UNDP-World Bank Water and Sanitation Program

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5 Contents ntrodu tion.... East A~ia and the Pacific Regional Overview... 3 Cambodia... 7 China... 9 ndonesia... Lao POR... 6 Mongolia... 9 The Philippines... 2 Vietnam South Asia Regional Overview Bangladesh ndia Nepal Pakistan Sri Lanka (iii)

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7 RWSG-EAP NTRODUCTON The UNDP-World Bank Water and Sanitation Program (WSP) helps poor people gain sustained access to improved water and sanitation services. The WSP was created to assist the poor in rural and marginalized urban areas gain access to sustained, improved water and sanitation services. ts comparative advantage is in rural water supply and sanitation and in urban environmental sanitation. n both subsectors formal organizations have not generally been successful in reaching the poor, so other organizations (user groups, NGOs, the private sector) have to take the lead. A key area of intervention for the Program thus is finding better ways of helping the poor gain access, with or without these intermediaries, and helping to create the organizational, institutional, and policy environment that must be in place to support this ultimate goal. Together with governments, ESAs, and nongovernmental and private sector partners, the WSP promotes innovative solutions tailored to local needs and conditions. The WSP is active in 28 countries on three continents, with efforts concentrated in a smaller group of focus countries. The WSP is committed to a three-fold strategy of working with its partners to build the capacity of countries to develop the sector, to support sustainable investments, and to exchange and learn from the knowledge cultivated in so doing. Each proposed activity is screened against this strategic framework and against "filter criteria" related to government commitment, project characteristics, institutional environment and location so as to ensure the appropriateness and efficiency of WSP involvement. Program Structure and Organization The Program's decentralized structure supports its development efforts by allowing it to take advantage of its close association with country-level projects, while simultaneously benefiting from its experiences all over the world. Most of the Program's staff are based in five regional offices located in Abidjan, Jakarta, La Paz, Nairobi, and New Delhi, and in a number of focus countries. This field presence allows staff to get to know their partners and to work closely with them at the local, national and regional levels. Field staff share with their developing country partners knowledge of problems common to other countries in a region, and are able to apply what they have learned in one area to find solutions in nearby areas. They coordinate learning activities to develop synergy, to avoid duplication, and to contribute the global learning agenda. The development issues facing the sector are complex, and some of the best minds have been searching for answers for years. This search intensified during the nternational Drinking Water Supply and Sanitation Decade (98-90). At a series of conferences in the early 990s, culminating in the 994 Earth Summit in Rio de Janeiro, an international consensus was reached on the principles that must guide water and sanitation sector development. The challenge now is to translate the principles into programs and projects that make sense locally. This task is stil complex, and no one country or region has all the answers. The most successful experiences from around the world must be identified, analyzed, and shared globally, in a form that planners and decision makers can use as they design locally relevant approaches. This is the objective of the Water and Sanitation Program's global learning agenda, and it is the defining characteristic of the Program. A small management team located at the World Bank headquarters in Washington, DC, can draw on best practices from wherever they happen and share them globally. This adds significant value to regional and country operations. One major function of the headquarters team is ensuring the consistency of the substantive agenda and analyzing projects in all five regions, learning and sharing lessons. Staff in all regions also contribute to and benefit from the global learning agenda. The other major function of the headquarters staff is overall management and administration, including strategic planning, fundraising, and administrative backstopping.

8 RWSG-EAP The WSP is a partnership program involving developing countries, more than 5 bilateral agencies, UNDP, the World Bank, UNCEF, and other organizations at various levels. Many bilateral partners and UNDP and the World Bank are also funders. Each funder supports different initiatives at the country. regional or global levels, based on their priority geographical and thematic areas of development. Through this partnership, the WSP brings together the international community to improve water and sanitation services for people in developing countries. Regional Work Plans for Asia This document describes the operational activities of the WSP in the Asia region during the period July 996 through December 997. This is a transitional period for the WSP, one in which the WSP is moving from a fiscal (July-June) to a calendar operational and financial year. The work plans contained in this document will be updated and folded into the overall WSP work plan document that is being prepared for calendar year 997 for all regions and headquarters. The purpose of this document is to: define country-level strategies, objectives, and activities that fit within the overall Program strategy; provide a yardstick to measure progress and achievements; promote closer collaboration with WSP's partners, in particular at the country level, but also with the World Bank's operating divisions and with other support agencies; document and exchange information among countries; and link WSP staff resource requirements to budgets and identify areas where additional resources are needed. Each section contains a regional overview and work plans for each country of operation. The work plans define Program activities to be carried out at the country level, with an emphasis on specific outputs. Staff time is allocated according to planned activity, and includes both nationally and internationally recruited individuals. Staff time calculations are based on a rate of 40 available weeks per staff member, with the remainder applied to professional development, local holidays, sick leave and vacation. nputs shown in the work plan tables are for the 8-month period July 996 through December 997.

9 RWSG-EAP ntroduction The EAST ASA AND THE PACFC REGONAL OVERVEW Regional Water and Sanitation Group for East Asia and the Pacific (RWSG-EAP) is active in a diverse collection of countries. The region ranges from large nations such as China and ndonesia, which are rapidly transforming from rural agricultural societies to urbanized, industry-based economies, to the relatively small, agriculture-based countries of Southeast Asia such as Lao PDR and Cambodia. Vietnam-which is rapidly evolving into an "emerging" economy-presents new opportunities and challenges. Key Problems Urban Environmental Sanitation Like other rapidly developing regions, East Asia faces a number of problems regarding the supply of water and sanitation services in urban and peri-urban areas. The "old agenda" of providing improved services at household level remains largely unfinished. Millions of people in ndonesia, The Philippines, and Vietnam are still without access to adequate water and sanitation facilities. The consequent deficit in access to service is exacerbated by substantial and rapid demographic shifts from rural to urban areas. While in 960 only about 5 percent of the East Asia region's population lived in cities, by the year 2020 it is expected that a full 50 percent will be urban. Meanwhile, efforts to meet the growing deficit in service, particularly sanitation, have proven futile. Traditional approaches have been ineffective. Conventional master sewerage plans have often promoted solutions which are too expensive. Only a fraction of the plans have been implemented; and where this has been the case, physical infrastructure has often been underutilized or has deteriorated prematurely due to inappropriate cost recovery policies, neglect of maintenance, poor system performance, and user dissatisfaction.! These developments have resulted in frustration and despair in some countries, and little investment is currently being allocated to relieve the problem. j l Meanwhile, sanitation problems grow unabated, becoming more widespread, more complex, more damaging, and more expensive to address in the long run. n such a context, poor neighborhoods are particularly subject to neglect. Sanitation problems have proven even more difficult to address in peri-urban areas. This is because such areas have distinct demographic, legal, technical and financial features that need to be taken into account to ensure the sustainability of investments. For example: population densities tend to be very high. often exceeding 300 persons per hectare and in many cities such densities are increasing; land tenure is often a problem in slum and squatter settlements; and linkages with core municipal organizations are often tenuous. Peri-urban dwellers often live in the worst parts of urban neighborhoods. Poor peri-urban communities are often located in low-lying areas that have high ground water tables which are also prone to flooding. At the theoretical level, there is a recognized need to effectively integrate investments in drinking water supply and sanitation services in urban/peri-urban neighborhood communities with the effective management of the wastewater effects of such investments. Nevertheless, most governments in the region have not yet adopted such policies. ndeed, most governments and users place greater emphasis on the water input side than on output consequences. Rural Water Supply and Sanitation Despite rapid urbanization in East Asia, the large majority of people still reside in rural communities. According to projected demographic trends, this will remain the case in Asia until at least As in other developing areas of the world, rural communities suffer disproportionately from poverty and constraints to development as a result of poor infrastructure, limited income generating opportunities, and lack of political voice. Settlement patterns tend to be relatively dispersed, which can make service provision expensive and complicated. Rural challenges differ from those in urban areas;

10 RWSG-EAP involving to a greater extent empowering communities to take greater responsibility for the provision and management of basic services. n most countries, rural water supply and sanitation coverage has increased in recent years, but has only barely kept up with population growth. Although progress in the East Asia and Pacific Region has been better than elsewhere, access to safe water averages only 53 percent; for sanitation it is even lower at 48 percent. Water and sanitation related diseases remain a leading cause of morbidity and mortality, particularly among children. Achieving full coverage with adequate services will be difficult. n the East Asia and Pacific Region it is estimated that a four-fold increase in investment will be required to meet this target by the year Recent Developments The opportunity to address urban sanitation issues in a more sustainable manner has only begun to occur during the last decade, due to shifts: from the dominant economic role of governments to increasing liberalization of East Asian economies; from a traditional reliance on the supply side for making investment decisions to increasing reliance on the demand side; and from a centralized to decentralized approach to planning and implementation Historically, the Program's comparative strength has been in the rural water supply and sanitation sector. The Program has played a leading role in developing and demonstrating innovative technical and institutional models for rural water supply and sanitation that have had a major influence on the design of several large investments by the World Bank and other ESAs. n particular, the Program has played a major role in the design and implementation of large-scale rural water supply and sanitation investments in ndonesia, The Philippines, and China, while assisting governments with policy analysis and reform in ndonesia, Lao PDR, and Vietnam. Program Objectives Urban environmental sanitation, already a significant feature of past regional work, is a focal point for our initiatives over the next five years. Emphasis will be placed on encouraging national and regional governments to address urban environmental problems with appropriate approaches and then supporting them to develop appropriate policies and strategies to move forward. This support will take the form of pilot and demonstration work to test and introduce innovative approaches, leading to preparation of large and sustainable investments in the sector. We anticipate that the proposed Association of South East Asian Nations (ASEAN) Water and Sanitation Program will provide one of the main vehicles for our work in three countries (ndonesia, The Philippines, and Vietnam), supplemented by close collaboration with other agencies with compatible programs (such as UNCEF and CARE in ndonesia, the Asian Development Bank and UNCEF in Vietnam, and the World Bank in China). n addition, national urban sanitation conferences will be convened in China, ndonesia, The Philippines, and Vietnam to move forward the momentum established at the East Asia Regional Urban & Peri-urban Sanitation Conference held in Jakarta in 996. The Program will also foster systematic networking among specialists and decision-makers in each country and regionally through, among other things, the establishment of country and regional fora to be convened every three or four months, supplemented by electronic communication. RWSG-EAP will continue its complementary sanitation, hygiene education, and social marketing activities. n five years' time we expect to have in place in at least three countries a framework of national policies and strategies for urban sanitation that adhere to the DublinlRio Principles and are characterized by a strategic approach with the following dimensions: (i) demand responsiveness, (ii) unbundling of spatial and organizational components to simplify solutions, (iii) appropriate, decentralized

11 RWSG-EAP Rural J institutional arrangements, and (iv) a focus on sustainability. Those new policies and more appropriate strategic frameworks for the sector will have been based directly on comparative experience gained from the design and implementation of six to eight pilot projects in ndonesia, The Philippines, Vietnam, and at least two more in China. Finally, by the year 200, we expect that RWSG-EAP's own-managed urban environment sanitation work program will : receive 00 percent of its financing from domestic government and private sources in Thailand; receive 80 percent of its financing from government and community level sources in China; and receive at least 0 percent of its overall regional financing from trust funds establ.ished by private sector corporate contributions. water supply and sanitation will continue to comprise a major portion of our work plan for East Asia and the Pacific, building upon past experience and lessons learned. Because we now understand much about what works and what does not work in rural water supply and sanitation, the focus of regional and country activities will be on : analyzing, documenting, and disseminating lessons and best practices; working with both governments and ESAs to encourage investments that adhere to the Dublin! Rio Principles (featuring an adaptive approach that is responsive to changing demands and operational lessons of experience), and; fostering policy analysis and reform, leading to the preparation of sector strategies and investment plans. RWSG-EAP will work collaboratively with RWSG South Asia (SA) and other regional groups as well as other external support agencies (ESAs) and governments in the region to carry out case studies and identify and disseminate best practice in rural water supply and sanitation. Specific tasks over the coming years will include: A regional comparative study of the role of intermediary agencies in large scale rural water supply and sanitation projects; A conference on lessons learned from the design and implementation of large-scale rural water supply and sanitation investments (in collaboration with RWSG-SA and ADB); and An assessment of "social funds" as an investment channel for rural water supply and sanitation (in collaboration with headquarters staff). The resources of the Global Water Partnership will be tapped when rural water supply and sanitation investment solutions depend on broader water resources management and rural development issues. Two "flagship" Program activities in the region will serve as models for support and advice to governments and ESAs: (i) the participatory, nationally-led approach to sector policy reform in Lao PDR, and (ii) the demand-driven, adaptive design of the Water Supply and Sanitation Project for Low ncome Communities in ndonesia. Based on these experiential models, the Program hopes to establish the same frameworks of national policies in the rural sub-sector as in the urban subsector. The countries of concentration for this policy work will be those in which economies and demographics are expected to remain largely rural in orientation. These will include Cambodia, Lao PDR, Mongolia, and Vietnam. Large scale investment work will include these countries and, in addition, will include ndonesia, The Philippines, and China. Through sector strategies and action plans and the programs based on them, water supply and sanitation in rural areas will have become more sustainable, and their impact in terms of economic benefits and improved health more visible. A more flexible response to rural demand will have been introduced, including links with other sectors and provision for a step by step approach to improve level of service.

12 Regional Activities: East Asia and the Pacific Task Name Task Objective Outputs Milestones nputs (weeks)' Funding Leader ASEAN Regional Tavares To identify, pilot, and demonstrate Project resources mobilized, October 996: Funding 25 Tavares Danlda (Urban) Water" "best practices" and strategies for goveming structures agreement finalized with 20 Urban Specialist Sanitation Pilot improving water and sanitation created, criteria for pilot January 997: AWSP effective; 3 Jacob Development services in poor urban communities projects and policy reform June 997: Mobilization 5 Pollard Program (AWSP) initiatives established, initial completed, criteria and 3 Thanh pilot projects identified, policy procedures agreed for 3 Comm. Dev. Specialist reform issues in selected approval of pilot nvestments 3 Gam countries identified and policy reform initiatives; 300 National Consultants December 997: First 2 80 nt. Consultants pilot projects and initial policy reform activities approved Regional Water" Silverman To provide feedback and guidance from Belter focused and more December 996: Regional WSS 2 Silverman Supplemental Sanitation national governments and key sector demand responsive plans Advisory Group inaugural 2 Jacob financing being AdviSOry Group organizations n the region to steer and activities executed by meeting; annual meetings 2 Pollard sought RWSG-EAP activities and work planning RWSG-EAP thereafter 2 Seager 2 Tavares 2 Thanh 2 Comm. Dev. specialist 2 Urban SpeCialist Case Study: Roles Jacob dentify the various intermediary roles TORs for studies, case study December 996: 3 mini-case 3 Jacob Supplemental of NGOs as performed by NGOs in the RWSS reports studies identified; 3 Pollard financing being ntermediaries in sector and disseminate findings June 997: Design and data 3 Seager sought Rural Water collection for case studies 3 Comm. Dev. speicalist Supply" completed; 2 Josodipoero Sanitation September 997: Analysis 2 lambertus completed; December 997: Final draft report completed, nputs are for 8 months: July 996 December 997

13 ! RWSG EAP j CAMBODA Population in millions 9.9 Life expectancy at birth in years 52.0 Urban population as percentage of total GNP per capita in US dollars Source: 994 data from World Development Report 996 Key Problems Only recently emerging from many years of war and profound civil disruption, Cambodia sorely lacks adequate basic water and sanitation services in both rural and urban areas. The population is predominantly rural, agrarian, and poor, and continued sporadic warfare and political instability complicate the efforts of Government and ESAs to shift from a relief to a development orientation in efforts to improve infrastructure and living conditions. n 993 a new Ministry of Rural Development (MRD) was established with a mandate for rural water supply and sanitation development. Cj:mbodia RWSG-EAP undertook exploratory visits to in 995 and 996. t is now likely that a country program will develop directed initially to support development of a sector strategy and action plan linked to preparation of one World Bank investment. J f Program Objectives n response to a specific request from MRD, the Program will initially support a number of activities. Properly linked to other inputs, support for strategy formulation is the most important contribution the Program can currently make in Cambodia. The J l i NA NA Program will assist MRD to secure external financing for and execute projects that will lead to the development of a rural water supply and sanitation Sector Strategy and Action Plan (SSAP) ~ combined with institutional capacity building at the ~ l i } national and provincial levels. Pilot activities in one or two provinces might also be included. This work will be carried out in close collaboration with Agence nternationale Contre la Faime, UNCEF, and other ESAs. RWSG-EAP will continue and expand collaboration with the World Bank by providing direct support for identifying, preparing, and supervising a rural water supply and sanitation capacity building project based on the SSAP and pilot work that will be carried out with MRD. The Program will also assist with supervision of the Agricultural Productivity mprovement Project which is now under preparation. The Program will provide regional and global documentation of best practices in the sector through the established and very active Water and Sanitation Coordination Committee, comprised of representatives from Government, NGOs, and ESAs. Learning will also be promoted as an integral component of pilot, demonstration, and investment projects, and the findings documented. A series of case studies will be carried out to document key learning experiences in Cambodia. These initiatives will be supported by workshops and conferences, some of which will be sub-regional (Cambodia and Lao PDR, possibly including Vietnam and southern China). The Program expects to have a major impact on sector policy development over the next five years through its linkages with MRD, the Water and Sanitation Coordination Committee, and key ESAs. As in other countries, we will encourage and demonstrate policies and practices that adhere to the DublinlRio Principles. RWSG-EAP will have played a low profile but crucial advisory role in a key sector at a formative time in Cambodia's development. Cambodian confidence and capacity in the rural water sector at all levels will have been enhanced, roles established, and major new investment stimulated as a result.

14 Task Name Task Leader Cambodia Objective Outputs Milestones nputs (weeks) Funding :;t:, S c. ~ "'0 Establish RWSG EAP Presence Seager To identify and define an effective role for RWSG EAP in the WSS sector in Cambodia and establish a work plan and working relationships with key sector organizations and individuals Country work plan prepared; project proposals prepared and funded; participation in monthly sector coordination meetings June 996: Participation in World Bank Area Development Project dentification Mission 0 Seager No ncremental funding RWSS sector strategy and action plan Seager To develop national policy framework and implementation strategy for RWSS; develop institutional capacity at national and regional level to plan and implement strategy Revised national RWSS sector policy framework. sector strategy and action plan September 996: Revised project proposal formulated with GOC; March 997: Supplementary funding identified; June 997: Project implementation agreements finalized; September 997: Project launched Seager Pollard Comm. Dev. Specialist nternational Consultants Japanese Grant Facility through EAAE task manager. approx. $300,000; additional sou rces need to be identified for full implementation Preparation of Rural Water Supply" Sanitation and Capacity Building Project for World Bank Financing Seager To prepare an integrated rural water and sanitation capacity building project World Bank financing Project preparation report. staff appraisal report Project identification mission, 997; timing of this and other activities contingent on scheduling by task manager 3 3 Seager Comm. Dev. Specialist No incremental funding

15 CDNA Population in millions,90.9, Life expectancy at birth in years 69.0 Urban population as percentage of total 29.0 GNP per capita in US dollars Source: 994 data from World Development Report 996 'Key Problems The development of local capacity is the primary challenge to both urban and rural water and sanitation in China. n the past, the Program has concentrated on supporting RWSS improvements through appropriate technology development, demonstration projects, and assistance with preparation and implementation of large-scale investments. However, as the economy expands and rapid development combines with urban migration, there is a growing concern about the environmental problems of the urban centers and their impact on the urban poor. While continuing its support for RWSS, the Program will also focus on urban environmental sanitation issues over the next few years. Major issues include the improvement of the tradition of nightsoil collection, and strategic planning of sewerage and sanitation systems. Program Objectives The Program's objective in China is to assist the government at central and provincial levels to RWSG-EAP develop capacity to plan and manage sound environmental sanitation improvements and to increase coverage and access to water supplies. n support of this objective, the Program has worked closely with government and the World Bank in development projects for both the urban and rural water and sanitation sub-sectors. ~ Ongoing activities include direct support to the World Bank for design and implementation of two urban environment projects, Hubei and Guangxi. The Hubei Project concentrates on Wuhan, the capital city, and Huangshi, Xiangfan, and Yichang, three large secondary cities. The urban core of the four cities has a combined population of 5-6 million people. The project focuses on improving municipal services, such as sewerage and sanitation, nightsoil management, solid waste management, and industrial pollution control. A new urban environmental improvement project for Guangxi Province is to be prepared in fiscal year 997. At the recent East Asia Regional Urban Sanitation Conference, the Chinese delegation requested the Program to assume an expanded role in urban sanitation in China. Following the establishment of an official counterpart relationship with either the Ministry of Construction or the Ministry of Health, an expanded program of activities will be considered. n close collaboration with our counterpart agency we expect to have two or more pilot projects identified by September 997.!!! t ~! i

16 Task Name Task Leader Objective Outputs Milestones nputs (weeks) Funding :::.., ~ China ~ ~ 'b Guangxi Urban Environment Project Tavares To ensure that strategic sanitation concepts are incorporated n the Urban Environment Project Contributions to aide memoires, sections of SAR on sanitation component drafted July 996: Project preparation mission; To be scheduled by the task manager: Subsequent preappraisal, appraisal, and supervision missions Urban Specialist Tavares China! Mongolia Country Program Officer CAM Water and San"stlon Advisory Group China! Mongolia Country Program Officer To create a panel of "eminent persons" to analyle and articulate the lessons emerging from WSS sector practices, review and guide RWSG-EAP country activities in China, and draw attention to issues and possible solutions among senior decision-makers. To establish a formal counterpart agency in GOC Official counterpart established; identified case studies, issues papers on sector policy and strategy; RWSG EAP country walt endorsed by the panel September 996: Official counterpart established; December 996: China!Mongolia Program Officer in DOst at Beijing; Maroh 997: Woltshop to establish Group and review terms of reference Silverman Tavares Comm. Dev. Specialist Japanese Urban Specialist China! Mongolia Country Program Officer To be identified

17 RWSG-EAP NDONESA Population in millions 90.4 Life expectancy at birth in years 63.0 Urban population as percentage of total 34.0 GNP per capita in US dollars Source: 994 data from World Development Report 996 Key Problems ndonesia confronts a number of opportunities and constraints as it begins its second 25 year development period. While economic growth is expected to continue at an impressive level, rapid urban migration and increasing demands for better service levels are putting unprecedented strain on all types of infrastructure. This is particularly the case in urban and peri-urban areas, where population growth ranges from four percent to as much as 5 percent per annum. Government investment in water and sanitation infrastructure has not increased sufficiently to keep pace with the expanding demand, and the capacity and regulatory environment for private sector involvement is inadequate. Decentralized, integrated approaches to planning, improving, and managing urban infrastructure have had mixed results thus far. The management capacity of local governments and water utilities and the regulatory framework need to be improved in order to effectively implement decentralized management. Coverage with safe and adequate water supplies and sanitation remains low in both rural and urban areas. Water supply coverage is estimated at 85 percent in urban areas (of which about half have access to piped supplies) and 53 percent in rural communities. Access to sanitation is thought to be in the range of 40 to 45 percent in both rural and urban areas. A combination of reorientation of public works staff along with better collaboration with related line ministries and the National Development Planning Board (BAPPENAS) is needed to make water and sanitation programs more demand responsive and effective. Most urban water supplies are very inefficient, with,t unaccounted-for water averaging 34 percent among all water utilities. An affordable and effective j j strategy to address urban sanitation problems has yet to be established. Currently, most urban areas are served by on-site sanitation systems, and many low-income areas remain completely unserved. Both surface and groundwater resources, particularly on the island of Java, are deteriorating. nadequately controlled water use for all purposes is exceeding the sustainable yield of many water sources. Also, despite growing urban environmental sanitation problems, a comprehensive strategy for developing an integrated system of sewerage, on-site sanitation options, and solid waste management has yet to be established. n rural areas, the strategy for improving water supplies and sanitation through government projects has focused on technology and supply-driven approaches with inadequate attention to arrangements for operation and maintenance. As a result, a high percentage of water supply systems have failed prematurely, and in many places sanitation facilities are not used and have fallen into disrepair. Recently, increased attention is being given to consumers' desired level of service, and efforts are being made to include them in the planning and decision-making process. Recent Developments The Program has a long history of involvement with piloting and demonstrating appropriate on-site sanitation solutions for urban areas in ndonesia that has resulted in a high level of credibility with Government. More recently, a close collaborative relationship with both the World Bank and the Asian Development Bank has been established to develop strategic sanitation approaches that encompass a wider range of technical and institutional options. An important recent development is the growing receptivity within Government to adopt a "modular approach" to planning "unbundled" urban sanitation systems. The Program has been directly supporting the design, preparation and implementation of the $23 million World Bank-financed Water Supply and Sanitation Project for Low ncome Communities

18 (WSSPLC) which targets rural communities in six provinces. n recent years the Program has expanded its support to other projects with rural water supply and sanitation components financed by the World Bank and other ESAs. Although substantial progress has occurred, Government policies for rural water supply and sanitation are not yet fully defined. Varying approaches, sometimes contradictory, are being pursued by different ESAs and public agencies. Program Objectives Support to Policy and Strategy Formulation and mplementation The Program will provide direct support to the Government of ndonesia for the preparation of an urban environmental sanitation strategy financed by the Asian Development Bank ($ million) with RWSG-EAP as a cooperating partner. The initiative will be closely coordinated with a parallel activity of the World Bank to prepare an urban water supply policy paper. The Program has also been supporting a Government-led effort to develop a national water and sanitation sector policy paper and implementation strategy. n addition, RWSG-EAP will foster the establishment of a Water Supply and Sanitation Advisory Group that will promote and steer sector policy dialogue. Support to Sustainable nvestments The Program will continue direct support to the World Bank for design and/or implementation of the following urban development projects : East Java - Bali Urban Development project (design and supervision); Second East Java Urban Development project (design and supervision); Semarang-Surakarta Urban Development project (under preparation); and Third Jakarta Urban Development project (review of sanitation component). New urban activities scheduled for implementation include direct support to the World Bank for design and implementation of Eastern ndonesia Water Supply and Sanitation project (preparation), Sulawesi Towns Urban Development project; and Design and implementation of a Health Sanitation Education in Urban Areas Pilot project. Direct support will also be provided to the following projects that are either wholly focused on, or have components devoted to, rural water supply and sanitation: Water Supply and Sanitation Project for Low ncome Communities (design and supervision), including strategic supervision of the mid-term review and annual evaluations; and ntegrated Swamps Development Project (design and supervision) New rural projects include: Eastern slands Area Development Project (identification and preparation); and Second Water Supply and Sanitation Project for Low ncome Communities (identification and preparation) Documentation and dissemination RWSG-EAP currently serves as the convenor of the quarterly Water Sector Development Forum attended by representatives of Government, ESAs. and NGOs. On-going activities include a study of septic tank sludge treatment in collaboration with (Water and Sanitation in Developing Countries) SANDEC. Medium term plans include the organization of national urban strategic sanitation conferences patterned on the East Asia Regional Urban & Peri-Urban Sanitation Conference and the establishment of a water supply and sanitation advisory group.

19 j J. ; j Dissemination projects in the rural sub-sector, include the following activities: Analysis and case study of the Water Supply and Sanitation Project for Low ncome Communities as part of a global series addressing issues related to preparation and implementation of large scale rural water supply and sanitation projects; Comparative study of the design, operating rules, role of intermediating agencies, and outcomes of at least three large scale rural water supply and sanitation projects (including the Water Supply and Sanitation Project for Low ncome Communities, the World Bank-financed Village nfrastructure Support Project, and the Asian Development Bank-financed Rural Water Supply and Sanitation Project for Sumatra and Kalimantan); RWSG-EAP Direct support to the World Bank for video documentation of the Water-Supply and Sanitation Project for Low ncome Communities. Over the next five years, the Program expects to expand its increasingly recognized leadership role as an intermediary and advisory body to Government, the World Bank, and other ESAs regarding the [ establishment of urban environmental sanitation policies and strategies for ndonesia. The Program also expects to have a major impact on sector policy reform in ndonesia, based on the experience gained and documented through. implementation of several key rural water supply and sanitation investments. The new policies will support the Government's decentralization policies which foster capacity development at district level and demand responsive, sustainable investments. f ~ t t ~ l l f! f, f r f J t J r f t i

20 ndonesia Task Name Task Objective Outputs Milestones nputs (weeks)' Funding Leader ::0 ~ C), ~ '" Urban Environmental Sanitation Sector Study Pollard To elucidate and improve the urban sanitation policy framework and implementation strategy, leading to expanded, more effective investments and portfolio performance National urban sanitation policy framework, linked to draft sector strategy and action plan January 997: Study launch; 3 September 997: Mid-term 6 conference; 0 Mid-998: Study completion and national conference Silverman Pollard Tavares Core budget for RWSG-EAP staff; ADS $,000,000 for study Direct support for World Bank financed Urban Development Projects Pollard Support for design and supervision, and analysis of leaming stemming from selected urban development projects lor which task managers request assistance Contributions to aide memoires, periodic evaluation reports on sanitation component, cas studies September 996: Case study 0 report for sanitation component 9 of Kampong mprovement Program 3 in Jakarta Urban Dev. Proj. ; liming of activities connected with project design, supervision, and assessment contingent on scheduling by task managers lavares Pollard Consultants CAM National Conference on Urban and Perl urban Sanitation Tavares Agree on a set 0 pragmatic activities to develop, test and take to scale a strategic sanitation" approach that is appropriate for ndonesia; formally announce a new urban sanitation policy framework National Conference convened, followed by dissemination of proceedings December 996: Sector decision-makers briefed; March 997: National workshop to launch sector strategy study; eary 998: National conference Tavares Lambertus Silverman Pollard ntemational Consultants Probable ADB grant financing; otherwise, core funds (est. $30,000 in 996/97) Water & Sanitation Sector Advisory Group Pollard To create a panel of "eminent persons" to analyze and articulate the lessons emerging rom WSS sector practices, review and guide RWSG-EAP country-level activities in ndonesia" and draw attention to issues and possible solutions among se~ior decision-makers SAG established, improved RWSG-EAP country work plans produced with guidance from SAG, approved ASEAN WSS Urban Fund pilot projects January 997: Establish Group; March 997: Workshop to launch Group and review terms of reference for Urban Fund Silverman Pollard Lambertus Comm. Dev. Specialist Consultants Fund source to be identified Hygiene and Sanitation Education for Urban Areas Josodipoero To develop and demonstrate participatory hygiene education approaches that are appropriate for urban nvestment projects mproved GO HSE strategy and action plan for urban areas agreed and being implemented February 997: Training of Trainers workshop 5 5 Josodipoero Wakeman (including mission of.2 to 3 weeks) Being sought

21 ndonesia (Cont... ) Task Name Task Objective Outputs Milestones nputs (weeks)' Funding Leader Strategic Supervision Pollard To steer and improve WSSPLC Contributions to periodic December 996: WSSPLC 5 Pollard No incremental of Water Supply and implementation perfonnance and national evaluations and aide case study; 30 Lamber\Us funding Sanitation Project RWSS programs and policies based on memoires. advisory memos December 996: Batch 2 35 Josodipoero for Low ncome real-time feedback on the quality 0 project for management decisions. evaluation; 8 National Consultants Communities performance using a structured learning case study reports December 997: Batch 3 8 nternational Consultants (WSSPLC) paradigm evaluatio Structured Pollard Carry out case studies that locus on the Case study reports September 996: nitiation of 6 Pollard Core for WSSPLC Learning Case successful aspects 0 selected projects WSSPLC case study; 4 Lambertus study. EA3N lor Studies and program and analyzed the causes 0 December 996: nitiation of 8 Local Consultants comparative study success RWSS Projects comparative 6 nternational Consultant study (Travel: 4 staff weeks in ndonesia) Water" Sanitation Lambertus Continue a forum of international and Forum meetings B-monthly meetings 2 Lambertus Core funds Sector Forum national WSS sector professionals to share experiences and ideas and enhance coordination among projects and programs Direct Support to Pollard Assist with preparation and supervision of mproved project designs Project identification missions, 4 Pollard CAM World Bank Rural WSS components of selected WB projects well-coordinated with related preparation missions. 8 Lambertus Development projects appraisals, the timing 0 which is (Mission travel costs to Projects contingent on scheduling by the Maluku. 2 trips. task managers 0 days each) :::" ~ c;'). ~ "'t -"~~~""_"""_'" '''''''' '''''_l''"""",,,,,,,,,,,~,_~'''''''''''''''_''''m\,",,'lo''''_'''''''~_''y '''''_'_'JiO'...$!o_'-~~!''''''~ ''''7'''''''''r ~~_P"~",,,,",,,,,,,,,.,...,,_,,.,..t,.~,,,,,",,,,,,,,,,~,,,,,,~,.,,,,-,_,"~"'''''f'''~~'''~""'~~_'>i';'''''''''"_'~_"'''''''~~'''

22 RWSG EAP LAO PDR Population in millions 5 Life expectancy at birth in years 52 Urban population as percentage of total 2 GNP per capita in US dollars 320 Source: 994 data from World Development Report 996 Key Problems Lao PDR, until recently one of the more isolated of East Asian nations, has begun a rapid transition from a planned to a market-oriented economy. Relatively sparsely populated and predominantly rural, the country has some of the lowest water supply and sanitation service levels in the region. Eighty-five percent of the population of Lao PDR, or some 3.9 million people, live in the rural areas. Morbidity and mortality figures, often water related, remain a serious challenge. Access to safe water and sanitation is increasingly seen not only as a major component for improving health, but as an essential stage in the rural development process. The National Water Supply and Environmental Health Program (NWSEHP), currently part of the Ministry of Public Health, has the mandate for water supply and sanitation activities in rural areas. t also has responsibility for urban environmental health. Nam Papa Lao, a semi-autonomous agency within the construction ministry, has responsibility for urban water supply. The influential National Committee for Planning and Cooperation provides overall coordination of sector development. Lao PDR does not yet have a severe urban sanitation problem, with current estimates of only 5 20 percent of its 4.6 m population living in urban areas. Although there is currently only a small urban fringe, an urban problem can be expected to develop rapidly as the economy continues to grow and attract new residents from the rural areas. To date, Program activities have been directed toward rural water and sanitation policy and strategy development, but a shift to incorporate urban environmental sanitation in these policy reform initiatives is expected. Recent Developments Although assisted over recent years through the successful efforts of UNCEF and other supporters, the sector remains weak, particularly in terms of human resources and institutional capacity. According to the most optimistic estimates, coverage is still only 50 percent for rural water supply, and 27 percent for rural sanitation. RWSG-EAP began complementary support to the ongoing UNCEF program in 994. The Program has focused on institutional capacity building and the development of a Rural Water Supply and Sanitation Sector Strategy and Action Plan (SSAP) with Sida financing. On the positive side, the water sector is relatively decentralized and lightly regulated, communities are by historical necessity highly selfreliant, and there has been a recent increase in interest from donors, including the World Bank, to invest in the sector. Program Objectives Support to Policy and Strategy Formulation and mplementation Based on its experience supporting a Lao led sector strategy and action plan for the rural sectors, the Program will begin to assist the Lao Government to develop a similar framework for urban environmental sanitation. Consistent with Government policy, a decentralized approach will be promoted. Municipalities will support urban neighborhoods to maximize local responsibility for urban environmental sanitation as far as possible, with the center providing advisory and backstopping services only. Beyond 997, the Program expects to become increasingly involved in supporting sustainable investments and documenting and disseminating lessons learned from the strategy formulation and implementation process. The Program's principle focus, through July 997, will be support for the development of a Lao Sector Strategy and Action Plan. That effort will move progressively to support for adaptation, application and use at provincial and district levels, and application, of key strategic principles and concepts. These activities will be undertaken in close collaboration with UNCEF and other supporters.

23 j j i j i j j Pilot and demonstration schemes, and progressively large-scale investment programs funded by other sector supporters, will move this agenda forward. Strategy development work will be supported by continuing institutional strengthening and capacity building activities, increasingly targeted at decentralized levels. J Support to Sustainable nvestments As donor interest in the sector expands, the Program will act increasingly in the role of adviser and facilitator of new sector investment programs. Government, ESAs and NGOs will be assisted to increase the sustainability, efficiency, and effectiveness of their investments, and reduce long term risks, through use of proven and demonstrated strategies. UNCEF, i with its common Sida funding links, will be a key partner in demonstrating the operational applications of the Lao SSAP. Planned World Bank investments in Luang Namtha Province and preliminary work for other rural infrastructure investments provide additional opportunities for applying the strategy. RWSG-EAP Documentation and Dissemination Learning will be promoted as an integral component of pilot, demonstration, and investment projects, and lessons learned will be documented. A series of targeted case studies will be conducted to document and illustrate key learning experiences. These initiatives will be supported by workshops and conferences. Among other topics, the focus will be on : the successful participatory and Lao led processes used during the development of the SSAP; key experiences in applying, piloting and demonstrating the strategies; and learning from full scale implementation and backstopping. Building on the experience so far, opportunities for Lao initiated learning, documentation and dissemination will be maximized, both nationally and regionally, as a model for wider use. l J! j ~,J j ~!!! ;!. j 7

24 Lao PDR Task Name Task Objective Outputs Milestones nputs (weeks) Fundin Leader :::l ~ C'). ~ "'t: Preparation of National Sector Strategy and Action Plan Seager Sector Strategy and Action Plan prepared, owned' and endorsed by all levels of Govemment. used to guide internal and external investment, and accepted by ESAs, NGOs and private sector Sector strategy document, action plan, Sector Forum meetings and reports, case studies, aide memoires and STORs. project proposals linked to SSAP September 996: Provincial Workshops to contribute to SSAP formulation; December 996: Completion of SSAP and launch seminar; September 997: National introduction of SSAP; Regularly over period: Continued functioning of working groups and study teams 35 Seager Sida Trust Fund 2 Comm. Dev. Specialist Sida-financed UN 3 Pollard volunteer 5 Lambertus 6 Jacob 32 National Consultants Operational Support to National Rural nfrastructure Oevelopment Strategy Seager Linkages between Program and SOD financed development of National Rural nfrastructure Development Strategy maximized for benefit of Client country, and for mutual advantage of SOD and Program Contributions to aide memoires. STORs, SAR; case studies September 996: First phase of negotiations with SOD Task Manager and Govemment complete; September 996: Type, duration, frequency and funding of Program inputs agreed in memoranda of agreement; Further detailed milestones to be agraed with Task Manager during Seager CAM 3 Jacob Lambertus 3 National Consultants