INDONESIA

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INDONESIA

• STATUS OF PIM
• Hafied Gany, Indonesia

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PRESENTATION OUTLINES
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Overview

• INDONESIA ACHIEVED REMARKABLE
• PROGRESS IN THE LAST 30 YEARS,
• ESPECIALLY IN THE DEVELOPMENET
• OF IRRIGATED AGRICULTURE.
• RICE FIELD INCREASED FROM 3 M-HA
• (1950) TO 8M-HA AT PRESENT, PROVIDES
• ABOUT 85 OF TOTAL RICE PRODUCT,
• THIS, HOWEVER, HAS BEEN WITH A
• STRONG DEPENDENT TO GOVERNMENT

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Overview

• INSTITUTIONAL DEVELOPMENT WAS
• GETTING INSUFFICIENT ATTENTION,
• THIS BECAME MORE SEVERE DURING
• MULTIDIMENSIONAL CRISIS (1997/98)
• IN 1985, THE EFFORT NEEDED TO OM
• IRRIGATION AREAS EXCEEDING THE
• CAPACITY OF THE GOVERNMENTS.
• THE 1987 OM POLICY HAS BEEN MEANT
• FOR EFFECTIVENESS EFFICIENCY.

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Overview

• PROGRAMS WERE FORMULATED BY
• THE SUPPORTS OF LOANS FROM THE
• WB, ADB, OECF. BUT AGAIN, LESS ON
• INSTITUTIONAL DEVELOPMENT
• SINCE 1995, AMBITIOUS PROGRAM HAS
• BEEN LOUNCHED ON INSTITUTIONAL
• DEVELOPMENT (POLICY REFORMS)
• THE WATSAL WAS ARRANGED, NOT
• ONLY ON IRRIGATION, ALSO FOR WRDM

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PAST DEVELOPMENT PROFILE

• BEFORE THE CRISIS, DEVELOPMENTS
• WERE ON ALL ECONOMIC SECTORS
• WITH SPECIAL EFFORT ON SELF-
• SUFFICIENCY ON FOOD, BUT THE
• MARKET DOMINATED BY BULOG
• THE RESULT INITIALY PROMISING,
• WITH SELFSUFFICIENCY (1984-1994),
• AND AVERAGE GROWTH OF GDP gt6.
• AFTER 1985, PRODUCTION TRENDS
• SLOWED DOWN, LAND CONVERSION
• COME UP TO gt 30,000 HA / YEAR.

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CHANGED OF GOVERMT. SUPPORT

• DUE TO LACKING OF COMPARATIVE
• ADVANTAGE FOR RICE EXPORT, CROP
• DIVERSIFICATION POLICY MARKET
• FORCES HAS BEEN INTRODUCED.
• HOWEVER, BULOG REMAINS DOMI-
• NATING MARKET, CAUSED FARMERS
• UNWILLING TO INVEST FURTHER.
• DUE TO POPULATION INCREASE, RICE
• CONSUMPTION PROJECTED FROM 50
• M-T IN 1996 TO 66 M-T IN 2020 --gt NEW
• IRRIGATION OR INTESIFICATION?

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WATER RESOURCES
GROWTH PROJECTION
AND
OF POPULATION
BY 2000 POPULATION IS PROJECTED TO BE
210.438.600 PEOPLE MAN 49,876 WOMEN 50,124
DATA BKKBN
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GENERAL TREND OF WRM

• AVERAGE RAINFALL 2,880 MM/Y --gt
• RUNOFF AT 3,100 KM3/Y REGIONAL
• DISTRIBUTION --gt WIDE VARIATION,
• RESERVOIR ONLY 5.6 KM3, HENCE,
• RICE PRODUCTION IS HIGHLY DEPEN-
• DENT ON TIMING OF RAINFALL
• IN 1965, ONLY 1.5 M-HA IRRIGATION
• -- UNDER SEVERE MAINTENANCE
• REHABILITATION PROGRAM 1965-88
• INCREASE THE AREA TO 5 M-HA.

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IRRIGATION OM POLICY 1987

• OBJECTIVE AND PRIORITIES
• (1) ADEQUATE OM FUNDING
• (2) OM COST RECOVERY (ISF),
• (3) TURNOVER TO WUA PIK
• (3) RATIONALIZE PLANNING AND
• BUDGETARY PROCEDURES
• (4) COMPLETE VIABLE PROJECTS
• (5) FORMULATING PLAN ON BASIN
• WATER RESOURCES MANAGEMENT
• (WB ADB --gt ISSP IISP JIWMP)

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SCHEMATIC DIAGRAM OF OM ROLE
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INITIAL CONCEPT OF OM FUNDING
SPECIALBUDGET (PRES. DECREE LEVEL- I)
FOREIGN AID
OM BUDGET (RP)
LAND TAX LOCALG INCOME,ETC.
RUPIAH COUNTERPART
IRRIGATIONSERVICE FEES (ISF)
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FLOWCHART OF THE 1987S OM POLICY
LEGENDS ISF IRRIGATION SERVICE FEESI EOM
EFFICIENT OM IDTO SMALL-IRRIGATION
TURNOVER PROM PREPARATION FOR OM SM SPECIAL
MAINTENANCE RU REHABILITATION UPGRADING WUA
WATER USERS ASSOCIATION
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BUDGETING PROCEDURE FOR OM
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IRRIGATION PRIOR TO REFORM

• IN 1997, TOTAL IRRIGATED AREA IS
• 8.2 M HA (PUBLIC 5.1 MHA EOM
• 2.1 MHA AND 0.5MHA TURN OVER
• STARTING OF BWRP BWRM
• IMPROVEMENT OF SCHEMES EOM ,
• RISING PRODUCTION YIELDS
• HOWEVER, PROVISION OF OM FUND
• DECREASING YEARLY BELOW NBB
• (SCHEMES DEMANDING REPAIRS)

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IRRIGATION PRIOR TO REFORM

• ISF HAS BEEN INTRODUCED IN
• 33 OF THE IMPROVED AREA,
• COLLECTION RATES ARE VERY LOW
• lt10 THE NATIONWIDE TARGET
• PIK WAS QUITE SUCCESSFUL (1995)
• INCREASED CULTIVATED AREA
• FROM145 T0 166
• INCREASED YIELD 4.2 TO 4.7 T/HA
• WUAs HAVE BEEN FORMED
• (SUSTAINAIBILITY, HOWEVER,
• IS STILL HIGHLY DEBATEABLE)

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POLICY REFORM IN WRM

• (2 MAIN PARADIGMS TO WORK OUT)
• (1) GOVERNMENT FROM PROVIDER
• INTO ENABLING ROLE
• (2) DECENTRALIZATION FROM THE
• CENTRAL GOVT. TO PROVINCES
• DISTRICTS OR MUNICIPALITIES.
• (THIS WAS ATTACHED TO WATSAL
• FROM THE WORLD BANK (APRIL 99)

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THE WATSAL AGENDA

• (PREPARED BY INTERDEPARTMENT
• WORKING GROUPS, SUPERVISED BY
• STEERING COMMITTEE OF 5 MINISTERS
• THROUGH FOUR OBJECTIVES)
• (1) NATIONAL FRAMEWORK ON WRDM
• (2) ORGANIZATIONAL FINANCIAL
• OF RIVER BASIN WRM.
• (3) REGIONAL WATER QUALITY MGT
• (4) IRRIGATION MANAGEMENT POLICY
• (INSTITUTIONAL REGULATIONS).

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IRRIGATION POLICY REFORM

• (1) IMPROVE GOVERNANCE, TRANSPA-
• RENCY ACCOUNTABILITY THROUGH
• EMPOWERMENT MGT TRANSFER
• (2) IMPROVE REGIONAL GVT IRRIGATION
• SERVICES (REVISED REGULATION TO
• MEET THE REGIONAL AUTONOMY ETC.)
• (3) FISCAL SUSTAINABILITY AND EFFICI-
• ENCY OF OM (BY WUA WUAF)
• (4) IRRIGATION INSTITUTIONAL
• REGULATORY INSTRUMENTS.

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PROGRESS OF POLICY REFORM

• REVISION OF REGULATIONS
• GUIDELINES ANNOUNCED IN APR 99
• THROUGH INPRES 3/1999
• 1) REDEFINITION OF TASKS TO ENSURE
• LARGER ROLE OF COMMUNITIES
• (2) EMPOWERMENT OF FARMERS (WUA)
• (3) DEMOCRATIC TRANSFER OF IRR. MGT
• TO THE WUA (ONE SYSTEM ONE MGT)
• (4) OM FUNDS MANAGE BY WUA
• (5) SUSTAINABILITY -- CONTROLLED
• CONVERSION OF IRRIGATED LANDS.

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FIELD LABORATORY 1/3

• IRRIGATION AND WATER MANAGEMENT
• PROJECT (JIWMP), FIELD LABORATORY
• IN SELECTED DISTRICTS TO GAIN
• REALISTIC AND VISUAL LEARNING (L-B-D)
• RE-ACTIVATING WUAs USING PRA AND
• FURTHER ESTABLISH AND EMPOWER OF
• WUAs AND WUAFs
• WITH ADEQUATE TECHNICAL ASSISTANCES
• (TRANSFER EFFECTUATED IN 2000 FOR
• 15 SCHEMES ON JAVA 25,000 HA.)

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FIELD LABORATORY 2/3

• INITIATION OF NEW POLICIES FOR
• PARTICIPATORY IN DESIGN, CONSTRUCTION,
• AND OPERATION AND MAINTENANCE
• IDENTIFICATION OF FUNDING MECHANISM
• FOR DIFFERENT FORMS OF MAINTERNANCE
• (1) ON DEMAND OF BENEFICIARIES
• (2) BENEFICIARIES PROVIDE SIGNIFICANTLY
• (3) ONLY WUA WITH LEGAL STATUS ELIGIBLE
• (4) GOOD PERFORMANCE GET EXTRA
• (5) TRANSPARENT (6) STRICT TECHICAL,
• ORGANIZATIONAL AND ADMIN. AUDIT.

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FIELD LABORATORY 3/3

• PRESENT STATUS OF WUA IN INDONESIA
• (1) ALREADY DEVELOPED 5,217 WUAs -- 4,124
• WITH LEGAL STATUS, COVERING 561,365 HA
• (2) STILL DEVELOPING 17,266 WUAs -- 1,348
• WITH FULL LEGAL STATUS, 12,495 PROCESSED,
• COVERING A TOTAL OF 1,772,181 HA
• (3) LEAST DEVELOPED 11,621 WUAs, 233
• ALREADY WITH FULL LEGAL, 9,235 PROCESSED
• COVERING AN AREA OF 1,071,197HA).
• (SUMMING UP TO 33,078 WUAs OF WHICH
• 2,660 WITH LEGAL STATUS, 26,835 WUAs BEING
• PROCESSED COVERING 4,011,197 HA (36)

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FUTURE REQUIREMENT OF WUAs

• TO SERVE THE 7,588,012 HA OF IRRIGATION
• AND 1,676,786 HA OF DRAINAGE LANDS,
• IT WOULD BE NEEDING SOME 140, 375 WUAs
• THEREFORE THE PRESENT STATUS OF WUAs
• IS AT A BOUT 24 REQUIREMENT
• TO BE ABLE TO SERVE LARGER SCOPE OF
• GEOGRAPHICAL DISTRIBUTION BY MEANS
• OF APPROPRIATE COORDINATION (E.G. AT
• SECONDARY LEVELS), IT IS HIGHLY IMPORTANT
• TO CONSIDER THE ESTABLISHMENT OF
• WUA FEDERATIONS WHERE APPROPRIATE.

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CONCLUDING REMARKS

• (1) WITH THE PRESENT BAU APPROACH,
• AVERAGE PADDY PRODUCTION IN
• INDONESIA WILL NOT SUFFICIENT IN 2020
• (2) ADDITIONAL POLICIES TO INCREASE
• EFFICIENCY ON WATER UTILIZATION,
• CROPPING INTENCITY AND YIELD
• (3) INPRES 3/99 PROVIDE A SUITABLE
• FRAMEWORK FOR CONDUSIVE
• ENVIRONMENT WITH VARIOUS POLICIES
• (E.G. BENEFICIARY AS THE OWNER).

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CONCLUDING REMARKS

• (4) DEVELOPMENT AND REHABILITATION
• AND UPGREADING ARE ONLY PART OF THE
• SOLUTIONS, ALTHOUGH VERY ESSENTIAL
• (5) INSTITUTIONAL DEVELOPMENT (WUAs
• AS WELL WUAFs, SUPPORT AGENCIES
• TOWARD SERVICE ORIENTED IS EQUALLY
• IF NOT, MORE, ESSENTIAL
• (6) MORE EFFORTS ARE REQUIRED FOR
• SUITABLE INCENTIVES TO THE
• BENEFICIARIES TO BE ABLE TO
• CONTRIBUTE MORE TO OM