WASHINGTON, December 5, 2019 – The World Bank’s Board of Executive Directors today approved a $100 million loan for Indonesia to improve solid waste management services for selected cities and districts across the country.
The project will strengthen the role of central government agencies in solid waste management, and help local governments in the Citarum River watershed in West Java improve solid waste management services. A large portion of the loan will finance mechanical and biological treatment infrastructure for cities and districts in the watershed.
A total of 45 million residents of the cities and districts will benefit from the project. This number includes 18 million people from poor and near-poor communities, around 9 million of whom are women. Among the positive impacts of the program are expected to be improvements in health and hygiene as the result of proper waste disposal and decreased pollution. Vulnerable groups and women involved in informal waste collection will benefit from training opportunities, incorporation of these groups into formal waste management systems, and alternative livelihood operations.
“The government has placed solid waste management increasingly high on the national agenda,” said Luhut Binsar Pandjaitan, Coordinating Minister for Maritime Affairs and Investment of the Republic of Indonesia. “Universal solid waste collection is part of the current national mid-term development plan targets, and is becoming even more important with the growing number of Indonesia’s urban population.”
Over half of Indonesia’s population now lives in urban areas. While cities and municipalities generate an estimated 105,000 tons of solid waste a day – a number that is expected to increase to 150,000 tons per day by 2025 – 40 percent of the country’s 142 million urban residents still do not have access to basic waste collection services.
Uncollected waste is a significant source of pollution and health problems for communities around the country. Open dumping is still the most widespread practice for solid waste disposal in Indonesia. The effects of uncollected waste are most prominent along the Citarum River, which has been declared a national strategic area. The river is the longest in West Java, and is inundated with municipal solid waste that contributes to frequent flooding.
“Solid waste management is critical for the welfare of Indonesia’s rapidly growing urban population and the country’s economy, including its tourism sector. With Indonesia as one of the main contributors to marine waste globally, improving solid waste management in cities along the coast and adjacent to rivers has become increasingly important to address marine debris,” said Rolande Pryce, World Bank Acting Country Director for Indonesia and Timor-Leste. “The project will initiate concrete actions to reduce marine plastics with global significance.”
The World Bank’s support for service delivery and infrastructure is an important component of the World Bank Group’s Country Partnership Framework for Indonesia, which focuses on supporting government priorities that have potentially transformational impact.