Impact of Privatization
The concession contracts included specific targets for service coverage, water production, water sales and non-revenue water. The contracts also foresaw that by the 2008, the tenth contract year, drinking water quality standards had to be met and that water supply had to be continuous at a pressure of 7.5 meters water column. Until 2004 both private operators succeeded to increase the share of the population with access to water and reduced water losses in line with the renegotiated contractual targets. After 2004 they further increased access and reduced water losses, but did not reach the targets any more. Overall, from 1998 to 2008 access to water increased from 46 to 64 percent (revised target: 68 percent) and water losses were reduced from 61 percent to 50 percent (revised target: 42 percent). After targets were reduced to more realistic levels in 2008, the operators were able to reach most of their new targets.
Read more about this topic: Water Privatization In Jakarta
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