Drinking Water Supply in Phnom Penh, Cambodia

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Case Description
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Geolocation: 11° 33' 0", 104° 55' 0.12"

Summary

The Phnom Penh Water Supply Authority experienced a sweeping transformation starting in 1993. The public utility went from being an institution that was almost bankrupt and plagued with corruption and inefficiency to one that is now considered a model for good governance and high quality service. The utility currently provides uninterrupted clean water service to over 90% of the city of Phnom Penh and has consistently increased its profits since 1993 while also paying consistently higher income taxes to the Cambodian Government and providing subsidies for poor households. The extraordinary success resulted from a combination of legislation that granted the utility financial and operational autonomy, government support, and good leadership. Continued success will depend on the ability of the utility to tackle the main threats that affect urban water: population growth, water scarcity, decreasing water quality and pollution, water overuse, climate change, and infrastructure, institutional, and social problems.



Natural, Historic, Economic, Regional, and Political Framework

Background

Phnom Penh, the capital of Cambodia, lies on the confluence of three rivers: the Mekong, Tonle Sap and Bassac rivers (Figure 1). These rivers are the source of freshwater for the city’s population of approximately 1.3 million (approximately 10 percent (%) of Cambodia’s population) [1][2]. Until the late 1960s, many of the residents of Phnom Penh had an uninterrupted 24-hour water supply of reasonable quality water [3]. Political turmoil that began in the late 1960s and continued for the next two decades took its toll on all of Cambodia’s development sectors including urban water management [3]. During the four-year rule of the Khmer Rouge, from 1975 to 1979, people were forced to evacuate Phnom Penh to work in agriculture in rural areas. All water infrastructure in the city was neglected and water supply was limited to a small group of leaders [4]. In 1979, the Phnom Penh Water Supply Authority (PPWSA) restarted operations at 45 % of its initial capacity [1]. The PPWSA as an institution was dysfunctional and staff were under-qualified, underpaid, unmotivated, and lacked efficiency, which led to consumers receiving very poor service during the next decade [1][3].

In 1993, the PPWSA initiated a reform process that dramatically improved its performance. During a 15-year period, between 1993 and 2008, the PPWSA increased its annual water production by 437%, the distribution network by 540%, pressure of the system by 1,260%, customer base by 662%, and the number of metered connections by nearly 5,255%. Unaccounted for water (UFW) was reduced from 72% of treated water produced to 6.19% [3]. The PPWSA is a Public Autonomous Institution which has enabled the utility to consistently increase its profits while also paying consistently higher income taxes to the Cambodian Government and providing subsidies for poor households. The number of poor households connected to the system has steadily increased from 101 to 26,778 between 1999 and 2011 [3][4]. Table 1 shows improvements from 1993 through 2009.

One of the important components that contributed to the improvements of the water utility was donor involvement. The Japan International Co-operation Agency (JICA) has been a major donor since 1991 and continues to provide assistance to the PPWSA on different aspects of water supply, including infrastructure development and management and capacity building[1][3]. JICA also formulated a master plan that served as the road map for operation of the water utility and for coordination of donors [3]. Other donors that have provided support to the PPWSA since 1993 include the Agence Française de Développement (AFD), the United Nations Development Programme (UNDP), the World Bank (WB), and the Asian Development Bank (ADB) [1]. Table 2 shows donor assistance from 1993 through 2009.

Before 1993, the PPWSA was under the control of the governor of the city of Phnom Penh and was run as a government department with no administrative, operational, and financial autonomy[1]. In the 1990s, the Government of Cambodia declared water was an economic and social good and, in 1996, allowed the PPWSA to operate as an independent business-like institution [3]. The Prime Minister also publicly stated in 1997 that everyone, including government institutions and the rich and powerful, had to pay for water services [5]. This allowed the PPWSA to become financially self-sufficient by implementing an increasing-block tariff structure, improving the bill collection ratio, reducing operating costs by improving efficiency, metering all connections, and reducing UFW so that much of the water produced can be sold to consumers [3]. The block-tariff structure was implemented after conducting a socio-economic survey for the city of Phnom Penh to determine the ability and willingness to pay of consumers [3]. A system to provide water to poor households was also implemented and involves providing subsidies between 30% and 100% of the connection fee and charging only 60% of the water bill if the household consumes up to 7 cubic meters per month ((m3)/month) [3].

Water Quality

Water supplied by the PPWSA complies with the drinking water standards of the World Health Organization (WHO) and national drinking water standards. PPWSA has three Water Treatment Plants (WTPs). The capacity of Phum Prek WTP is 170,000 (m3)/day, of Chroy Changva WTP is 140,000 (m3)/day, and of Chamkar Mon WTP is 20,000 (m3)/day [4]. The PPWSA tests the quality of treated water three times a day at the WTPs and tests 80 water samples per week at the distribution network. On an annual basis, laboratories in Singapore and Shanghai also test the water samples from the PPWSA [4]. Results for 2012 are shown in Table 3.

Mekong River Basin

Cambodia is located almost completely within the Mekong River Basin and has three major rivers (Mekong, Bassac and Tonle Sap) that are the main source of water for Phnom Penh [3][6]. The Mekong River traverses six countries, has a diverse freshwater ecosystem, and supports the livelihood of approximately 70 million people living within the basin [7]. China and Myanmar are part of the Upper Mekong Basin and Lao PDR, Thailand, Cambodia, and Vietnam of the Lower Mekong Basin [7]. The river is characterized by a cycle of flooding and drought that has created a rich ecosystem but also continues to claim lives and cause major economic loses [8]. The Tonle Sap Lake is the heart of the Mekong’s aquatic production, an invaluable flood-leveler and an essential source of income for the region[6]. Water level in the Mekong River rises during the rainy season (May through October) and flows up the Tonle Sap River into the Tonle Sap Lake. During the dry season (November through April), levels of the Mekong River decrease and water flows out of the Tonle Sap Lake through the Tonle Sap River and contributes approximately 16% of dry season flow of the Mekong River [9]. Upstream development projects on the Mekong River Basin could severely reduce the volume and seasonality of flow of the Mekong River, which could have potentially destructive impacts on Cambodia’s floodplain and aquatic production, but also on the available drinking water resources of Phnom Penh [6][9].

Riparian countries have long considered development projects on the Mekong River Basin as one the main options to alleviate poverty and limit the negative effects of floods and droughts in the region [7]. In the 1950s, the United Nations (UN) and the United States (US) recommended construction of hydropower dams in the Mekong River and its tributaries to limit flooding, produce electricity, and support development of the region [10]. The push from the UN and US towards cooperation and development had less to do with local needs and more with fighting Communism that was in the rise in Southeast Asia [10]. With the support of the UN, the governments of the Lower Mekong Basin established the Mekong Committee (MC) in 1957 to promote, coordinate, and supervise water development projects [11]. Burma (now Myanmar) did not join the Committee because of political and geographical reasons and China was excluded because it was not a member of the UN [11].



Analysis, Synthesis, and Insight

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ASI:Drinking water supply in Phnom Penh – problem-shed, policy-shed and watershed

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Contributed by: Tania Alarcon (last edit: 20 May 2013)








  1. ^ 1.0 1.1 1.2 1.3 1.4 1.5 Das, B., Chan, E. S., Visoth, C., Pangare, G., and Simpson, R., eds. (2010). Sharing the Reforms Process, Mekong Water Dialogue Publication No. 4, Gland, Switzerland: IUCN
  2. ^ Asian Development Bank. (2012). Cambodia: Water supply and sanitation sector assessment, strategy, and road map. Asian Development Bank, Mandaluyong City, Philippines
  3. ^ 3.00 3.01 3.02 3.03 3.04 3.05 3.06 3.07 3.08 3.09 3.10 3.11 Biswas, A. K., and Tortajada, C. (2010). Water Supply of Phnom Penh: An Example of Good Governance. International Journal of Water Resources Development, 26:2, 157-172, June 14
  4. ^ 4.0 4.1 4.2 4.3 Phnom Penh Water Supply Authority. (2013). History. Organization Structure. Production System. Distribution System. Water Quality. Non Revenue Water. Retrieved from: www.ppwsa.com.kh/en/index.php?page=history
  5. ^ Asian Development Bank (ADB). (2010). Every drop counts: Learning from good practices in eight Asian cities. Asian Development Bank, Mandaluyong City, Philippines
  6. ^ 6.0 6.1 6.2 Keskinen, M., Mehtonen, K., and Varis, O. (2008). Transboundary cooperation vs. internal ambitions: The role of China and Cambodia in the Mekong region. In International Water Security: Domestic Threats and Opportunities, Edited by: Pachova, N. I., Nakayama, M. and Jansky, L., United Nations University Press, Tokyo, Japan, pp. 79-109
  7. ^ 7.0 7.1 7.2 Mehtonen K., Keskinen, M. and Varis, O. (2008). The Mekong: IWRM and institutions. In Management of transboundary rivers and lakes, Edited by: Varis, O., Tortajada, C. and Biswas, A.K. Berlin, Heidelberg: Springer, pp.207–226
  8. ^ Mekong River Commision. (2013). Mekong Basin Planning. The Story Behind the Basin Development Plan. Retrieved from Mekong River Commission: www.mrcmekong.org/assets/Publications/basin-reports/BDP-Story-2013-small.pdf
  9. ^ 9.0 9.1 Campbell, I. C., Poole, C., Giesen, W., and Valbo-Jorgensen, J. (2006). Species diversity and ecology of Tonle Sap Great Lake, Cambodia. Aquatic Sciences, 68: 355–373
  10. ^ 10.0 10.1 Ha, M.L. (2011). The role of regional institutions in sustainable development: a review of the Mekong River commission’s first 15 years. Journal of Sustainable Development, 5(1): 125–140
  11. ^ 11.0 11.1 Radosevich, G. E., Olson, D.C. (1999). Existing and Emerging Basin Arrangements in Asia: Mekong River Commission Case Study. Third Workshop on River Basin Institution Development, June 24 1999. The World Bank, Washington DC




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