s2 economics of sanitation by edkarl galing
TRANSCRIPT
8/6/2019 S2 Economics of Sanitation by Edkarl Galing
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Economics of Sanitation for InformedDecision Making
Prime Rodriguez and Karl Galing
WATER AND SANITATION PROGRAM
ADB Headquarters, Manila, 23 May 2011
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Study Rationale
Overall Goal: To advocate for increased investments, efficient
planning and implementation of sustainable sanitation and hygieneoptions.
Components:
1. Impact Study: Analyze economic impacts
of current sanitation arrangements &hygiene practices; and estimate potentialgains from improvements
based on analysis of secondary data
2. Options Study: Analyze costs and benefits
of different sanitation options to informpolicies and programs
based on primary surveys
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Impact Study Results – Southeast Asia
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8
Cambodia Lao PDR Indonesia Philippines Vietnam
Health Water Environment User preferences Tourism
US$ 9 billionPer capita US$ 22
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Impact Study Results – India
Health71.7%
Water7.8%
Access Time20%
Tourism0.5%
0%
10%
20%
30%
40%
50%
60%
70%
80%
P e r c e n t o f T o t
a l
Share across impact categories
US$ 53.8 billionPer capita US$ 48
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Emerging Options Study Results
Preliminary results from:Cambodia, Indonesia,Philippines, Vietnam andYunnan Province (China)
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Field-level cost benefit analysis,comparing technologies and programapproaches
Close to 40 field sites: 20 rural, 18urban, with sample of over 5,000households
Monetized benefits focusing onhealth, water and access time
Comparing optimal versus actual
program
Intangible benefits assessed
Study Features
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Sanitation Options Have a Positive Return
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45
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10
U r b a n S i t e s
B e n e f i t - C o s t R a
t i o
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5
67
8
9
10
R u r a l S i t e
s
B e n e f i t - C o s t R a t i o
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Some Technologies Perform Better than Others…
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Dry pit (CLTS) Dry pit (long-lasting) Wet pit 1 Wet pit 2
B e n e f i t - C o s t
R a t i o
Access time
Water treatment
Water access
Health mortality
Health productivity
Health care
Cambodia - rural
1
3
8
8
Life spanWet pit outperforms dry pit
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…but Relative Performance Varies Among Countries
Indonesia - rural
Dry pit outperforms wet pit
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Public Shared Dry pit Wet pit Septic / WWM
B e n e f i t - C o s t R
a t i o
Access time
Water treatment
Water access
Health mortality
Health productivity
Health care
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Higher Ladder Options – Higher Benefits…
Yunnan (China) - rural
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50
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150
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Pit latrine UDDT Septic tank
A n
n u a l e c o n o m i c b
e n e f i t
p e r h o u s e h o l d
Reuse
Access time
Water access
Health mortality
Health productivity
Health care
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…but at What Cost?
Yunnan -rural
Philippines -rural
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10
20
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Shared Pit UDDT Biogas Septic tank
US$(2009) Annualized Cost - Rural Sites
Program Maintenance Operation Investment
0
20
40
6080
100
120
140
Dry pit EcoSan Septic tank Septic tank with STF
US$(2009) Annualized Cost - Rural Sites
Investment Operation Maintenance
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Impact on Resources/Environment Undervalued
With and without wastewater management
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Wet pit Septic
WWM
Septic Septic
WWM
Septic Septic
WWM
Wet pit Septic
WWM
Indonesia Philippines Vietnam China (Yunnan)
Access time
Water treatment
Water access
Health mortality
Health productivityHealth care
If environmental benefits are not monetized, the cost-benefit performance of WWM is lower than other options
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Use What is There More Efficiently
Percentage loss in efficiency under actual
program conditions
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
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Yunnan: Average satisfaction with current toilet option
Don’t Forget Non-Quantified Benefits!
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1
1.5
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T o i l e t p o s i t i o n
C l e a n l i n e s s
S t a t u s
V i s i t o r s
M a i n t a i n i n
g
H e a l t h
C o n f l i c t a v o i d a n c e
C o n v e n i e n c e f o r c h i l d r e n
C o n v e n i e n c e f o r e l d e r l y
N i g h t u s e o f t o i l e t
A v o i d r a i n
S h o w e r i n g
D a n g e r o u s a n i m a l s
Improved
Unimproved
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• Sanitation is a socially profitable investment
• Economic performance varies substantially betweentechnology options
• You can’t copy and paste – significant inter-country
differences of costs and benefits• Choices must be made on level of benefits required - higher
benefits usually cost more
• Use what is there better - optimal versus actual economic
performance• Non-quantified and environmental benefits of sanitation
require better understanding as they are crucial to consider indecision making
Key Messages
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AcknowledgementsWith special thanks to funding agencies, staff of WSP andconsultant teams and their institutes:
- Study lead: Guy Hutton, WSP
- Cambodia: Sok Heng Sam, EIC- Indonesia: Asep Winara, MLD- Philippines: U-Primo Rodriguez, UP- Vietnam: Viet Anh Nguyen, IESE- Yunnan: Liang Chuan, YASS