Economic Assessment of Sanitation Interventions in Vietnam - WSP

Economic Assessment of Sanitation Interventions in Vietnam | IntroductionFIGURE 2: TYPES OF TOILET IN HOUSEHOLDS WHERE CONSTRUCTION, OPERATION AND MAINTENANCE STANDARDS ARE METPour-flushSeptic tanksDouble pitBiogasTotal0 5 10 15 20Percent1.2 SANITATION SECTOR ISSUESThis section introduces efforts by the Vietnamese Governmentto improve sanitation, and the remaining challenges.The water and sanitation sector in Vietnam lacks mechanismsfor regular sector assessment that addresses criticalissues such as the different institutional, managerial and operationalaspects of the sector and its links to health, wellbeingand economic development. The institutions responsiblefor urban and rural water supply and sanitation do notexchange information effectively, which prevents synergy,information exchange and good coordination. There is nonational institution mandated with the important role ofcoordination and cooperation for the whole drinking waterand sanitation sector.Along with the rise in government funding for the constructionand rehabilitation of sewerage and drainagesystems and capacity building for companies overseeing theoperation and maintenance (O&M) of the systems, therehas been a significant increase in number of urban sewerageand drainage projects funded by preferential loans fromagencies. In urban areas, there have been more than 10sewerage and drainage projects with a total budget of overUS$2 billion (excluding user contributions). Over 80% ofbudget for these projects is in the form of official developmentassistance (ODA) contributions from internationalfinancial institutions like World Bank and the Asian DevelopmentBank, or from the governments of countries includingJapan, France, Denmark, Belgium and Switzerland.In rural areas, an average of between US$100 million andUS$170 million is being invested annually for water andsanitation.Combined sewerage and drainage systems with overflowchambers (CSOs) are the most common wastewater collectionsystems in urban Vietnam. These entail a lot of operationand maintenance and involve the risk of environmentalpollution. It is very expensive to upgrade existing CSO systemsto separate sewers and drains. Separate systems must bedesigned and built for new urban development areas. Themost challenging context for urban drainage is found in theflat delta areas. Large diameter and deep laying sewers requiresignificant investment to cover high construction and O&Mcosts. The coastal urban areas such as Hai Phong, Da Nang,Nha Trang and Quy Nhon are also facing such difficulties asuneven terrain, soil composition consisting mostly of sandand sandy loam, and fluctuating tidal levels.Lessons should be learned from successful sanitation projectsthat have significantly improved urban environmentalsanitation in Hanoi, Hai Phong, Buon Me Thuot, QuangNinh and many other cities.1.3 BROADER SANITATION ASPECTSSanitation covers more than providing latrines and sewagetreatment. According to Vietnam’s Unified Sanitation SectorStrategy and Action Plan (U3SAP), sanitation includessolid waste management, sludge management, and improvedsanitary practices in trade villages and in agriculture,among others. According to the Ministry of Construction(MOC), the total amount of solid waste (urban and rural)is estimated at 12.8 million tons per year, of which urbanareas (category 4 and above) produce 7.2 million per year(54%). This amount is forecast to reach 22 million tonsin 2020 (MoC website, October 2008). Some 82% of thewww.wsp.org3