- Each community-based organization (CBO) provides an average of 1,200 people from low-income households with water service; they could be serving up to 800,000 people with piped water, or about 7% of the total population of the five districts in Indonesia. In Blitar and Lamongan, CBOs provide piped water to 3 and 5 times more households than the local water utility. Tweet
- Emphasizing local ownership, CBOs allow systems to be better maintained and operated over their lifetime, and where they perform exceptionally, they operate the infrastructure to generate value and expand services: 67% of CBOs had operating ratios lower than 1, and can be as low as 40% in some cases. Tweet
- There is significant demand: a 'willingness to-pay investigation' undertaken with 2,100 households showed a 30-300% WTP over the average tariffs currently paid by rural households in these five districts. Tweet
- CBOs are by and large "promising but fragile": a few of them have already expanded some components of their systems, but in the absence of a financing facility, they painfully build up funds over time, borrow against the personal credit of one of the leaders, or turn to government or new donor programs. Tweet
- Access to financing is not the only constraint; expansion also requires improved commercial practices and most CBOs do not have systems in place to plan and budget on an annual basis. Tweet
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