Building Cooperation and Trust Between Local Governments, Parliaments, Consumers, and PDAMs

1. Building Cooperation and Trust Between Local Governments, Parliaments, Consumers, and PDAMs Jim Woodcock IndII Wrap-up Conference 14th June 2011

2. Project Locations: Dompu, Waingapu, Ende, Larantuka, Kupang

3. PDAMs in NTT/NTB are characterised by: Tariffs that do not recover costs Inadequate investment Intermittent flow of water Too many employees High water losses Low level of expertise Lack of recognition by local governments of their responsibility for water services PDAMs in NTT/NTB: Small and Weak

4. Toward Sustainable Cooperation Between Consumers, Local Government, and PDAM There have been few channels for frequent communication between consumers and PDAM LG DPRD Dewan Pengawas Consumers PDAM

5. For weak PDAMs, nurture and develop constructive relationships between PDAM stakeholders with a common vision so that: PDAMs respond to consumer needs LG and PDAMs Board fulfill their oversight and funding roles Participation of consumer advocates/media ensures that the key stakeholders are held accountable Objective: Improve the internal environment to prepare PDAMs to improve the external environment through better interaction with government and consumers, aimed at cost recovery through linking tariffs to improvements in service. New IndII Responses to Old Constraints

6. Four-step Approach Over Eight Months Assess current (political) situation Assist with strengthening of internal environment (training, cost saving, leak reduction, tariff reclassification, equipment, upgraded accounting/billing system, customer satisfaction survey, participative corporate plan) Assist with strengthening of external environment (stakeholders’ workshops, presentation to government, visits to water source and establishment of consumers’ forums) Assist with week-long intensive review/discussion of corporate plans with outside experts, Bupati, DPRD, Supervisory Board, and Consumers’ representatives

7. Establishment of Consumer Forums: Some Consumer Comments in First Meeting “I have always protested and felt angry toward the PDAM. After I saw for myself the condition of the PDAM, I became the number one supporter of a tariff increase for the PDAM. I will talk with the Bupati and the DPRD.” --H. Noer Ismail (Retired civil servant, community leader in Dompu) “The PDAM is like is child whose parents kicked him out of the house. The Bupati should support it. We have to help the PDAM struggle for more local government budget allocation because water is important to everyone in Ende. The DPRD is fighting to get Rp 15 billion for Dana AspirasiMasyarakat. Can’t they set aside just Rp 700 million for the PDAM? Isn’t this for the benefit of the people?” --H. DjamalHumris (Religious leader, Ende)

8. Comments (continued) “For the first time I understand how difficult it is for the PDAM to bring water from the water source to our house. Last night, after I returned from the field trip, I said to my husband that the PDAM has to persevere and cannot become a political tool.” –Irma Tibuluji (PKK Kab. Ende, wife of the Head of the Supervisory Board/Assisten II, Government of Ende) “I have to admit that, previously I said from the pulpit that I supported those in my congregation who wanted to demonstrate against the PDAM. From today onward, both from the pulpit and in performance of my duties, I will be the biggest supporter of the PDAM. We should not complain constantly about the PDAM, but we should help them.” Pastor Julius Djara, Waingapu.

9. Successes/Failures and Lesssons Learned Participatory corporate plans were owned by PDAMs, appreciated by local governments Positive consumer response to corporate plans and openness of PDAM management Significant savings realised from changes in distribution management Lessons learned The dominant and overriding influence on PDAM performance was the Bupati, secondarily the DPRD Local government attention to water supply has been inadequate Even well-educated consumers are not aware of the true situation and ownership of the PDAM Informed consumers and well-run PDAMs have a strong common interest that can be channeled to better service

10. Key Challenges for Future Programming Fluctuations in political will and party politics can set back or stop progress Enduring openness and institutions such as SOP, perda, reporting, intensive plan review, needed for sustainability Need higher visibility of project lessons learned in central government Methodology needed to ease into greater consumer and LG participation in PDAM planning Need to prevent tendency for project benefits to be converted to tools of political patronage

11. Key Opportunities for Future Programming Water and Sanitation Service Index needed to reinforce Project 183 advances through recognition to responsive local governments Building on advances of Project 183 through broader implementation, monitoring, continuing presence with some Project 183 PDAMs and LGs Use DompuBupati’s achievement, Waingapu progress as examples to convince other Bupatis-DPRDs Use of Project 183 methodology over longer period with additional PR inputs and increased recognition to supportive Bupatis will strengthen sustainability