Promoting a Wastewater Management Revolution in Asia-Pacific Summary for Group Discussion Dr. Anand Chiplunkar Principal Water Supply and Sanitation Specialist Asian Development Bank

compilation of successful and sustainable environmental sanitation case studies – institutions and sustainable frameworks Knowledge drive : compilation of successful and sustainable environmental sanitation case studies – institutions and sustainable frameworks specific technology datasheets for different treated output standards required for various end-uses Technology drive : specific technology datasheets for different treated output standards required for various end-uses business briefs and pre-feasibility studies with financing mechanisms to fast-track wastewater investment projects, and encourage extraction of resources from wastewater Financing and incentives drive : business briefs and pre-feasibility studies with financing mechanisms to fast-track wastewater investment projects, and encourage extraction of resources from wastewater Awareness and advocacy drive : knowledge products, capacity development workshops, networking with stakeholders in round tables for taking up identified business opportunities

Knowledge Drive Compile sustainable models/case studies Choices in the sanitation ladder

Technology Drive DEWATS: Viet Nam Constructed Wetlands: China Many technology choices Conventional: Sihanoukville Toilets Sulabh pour-flush toilets with twin pits; attached to biogas digesters in unsewered areas (India) Eco-san toilets – produce safe fertilizer: Philippines; PRC Decentralized wastewater treatment technologies (DEWATS) for urban poor communities: Indonesia public markets: Philippines peri-urban areas: Viet Nam Constructed wetlands Ningbo and Nanjing (China) Bayawan City (Philippines) Conventional Da Nang (Viet Nam) Sihanoukville (Cambodia)

Financing Drive…1 Develop Business briefs and Pre-feasibility studies Models of Affordable and innovative financing Gram Vikas (India): Socialized community fund raising for toilets and bathing facilities Kerala (India), Sri Lanka and Viet Nam: Revolving funds for toilets and biogas plants Philippines: Environmental User Fee; microfinancing Public – Private Partnerships Philippines and India: private concessionaires responsible for investments, operation and management Other mechanisms Nepal: Output-based aid Shanghai (PRC) and Fiji: Clean development mechanism

Project Development Fund (PDF) Can be recovered with returns in successful projectsCan be recovered with returns in successful projects Viability Gap Fund (VGF) Enhancing viability to make it financially attractiveEnhancing viability to make it financially attractive Usually upfront grantUsually upfront grant Operational/Transition Support Fund Support cash flow based on business plan and reformsSupport cash flow based on business plan and reforms Grants or Debt to project in O&MGrants or Debt to project in O&M Other measures Credit EnhancementCredit Enhancement Risk Guarantee MechanismsRisk Guarantee Mechanisms In ADB: Loan – single or multi- tranche facility Grant Non-sovereign public sector facility Local currency loan Debt management products Private Sector – equity investments, loans, guarantees, and B loan (complementary financing scheme) In ADB: Loan – single or multi- tranche facility Grant Non-sovereign public sector facility Local currency loan Debt management products Private Sector – equity investments, loans, guarantees, and B loan (complementary financing scheme)

Incentive Drive: Revenue Potential…1 Different uses: Source of water for irrigation : VietNam, China Source of water for industrial use : India Biosolids/Organic fertilizers : Philippines Feeds for aquaculture : Bangladesh, India Source of energy Biogas for electricity, lighting and cooking: India, China, Cambodia, Indonesia, Nepal Potential for carbon credits CDM : Kinoya Wastewater Treatment Project in Fiji Biogas:Cambodia Fertilizer:Philippines PROMOTE REUSE OF TREATED WASTE

Incentive Drive: Revenue Potential…2 Bali, Indonesia: Reuse of treated wastewater from the “Eco-Lagoon,” which is also a tourist attraction India: Reuse of treated wastewater for industrial use, in Surat, Gujarat State through PPP is augmenting water supply, set to earn US$6 million per year Xiamen, PR China: The Shiweitou Sewage Treatment Plant supplies 24,000 cu.m/day of treated wastewater for watering plants in more than 500 ha., earning RMB 2 million per year Bangladesh: duckweed-based wastewater treatment pond - net profit of almost US$ 2000/ha/y from operation and using duckweed as feeds in aquaculture farms. Treated wastewater: China Eco-lagoon, Nusa Dua POTENTIAL REVENUES

Awareness and Advocacy Drive…1 Hygiene and environmental education in schools India: Total Sanitation Campaign Philippines: Fit-for-School Program Triggering demand: community-led total sanitation Bangladesh, Cambodia Stakeholder participation: SANIMAS in Indonesia Social marketing of sanitation India Stimulate demand and willingness to pay INCREASE AWARENESS AND INVOLVE THE STAKEHOLDERS

Partnership with the private sector Need bankable projects and cost recovery mechanism Business briefs and pre-feasibility studies with willing partners Conduct Round Tables Govt/municipal administration, private sector, consumers, financiers etc. Address affordability issues: lower interest rates, longer repayment period This is a key component of the Asia Sanitation Revolution Go beyond advocacy Develop sustainable business opportunities Have stakeholder buy-in This is a key component of the Asia Sanitation Revolution Go beyond advocacy Develop sustainable business opportunities Have stakeholder buy-in Awareness and Advocacy Drive…2

compilation of successful and sustainable environmental sanitation case studies – institutions and sustainable frameworks Knowledge drive : compilation of successful and sustainable environmental sanitation case studies – institutions and sustainable frameworks specific technology datasheets for different treated output standards required for various end-uses Technology drive : specific technology datasheets for different treated output standards required for various end-uses business briefs and pre-feasibility studies with financing mechanisms to fast-track wastewater investment projects, and encourage extraction of resources from wastewater Financing and incentives drive : business briefs and pre-feasibility studies with financing mechanisms to fast-track wastewater investment projects, and encourage extraction of resources from wastewater Awareness and advocacy drive : knowledge products, capacity development workshops, networking with stakeholders in round tables for taking up identified business opportunities

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