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A Review of Groundwater Issues, Reccomendations

The document summarizes groundwater issues in the Bandung Basin of Indonesia. It notes that groundwater depletion is a growing problem as urban expansion reduces recharge areas and increases extraction. Groundwater levels have dropped over 50 meters, causing land subsidence of up to 18.4 cm per month. Decentralization has led to poor coordination in groundwater management as local governments issue extraction licenses without regard for conservation. An integrated management approach is needed to reduce usage and better manage water resources in the basin.

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0% found this document useful (0 votes)
68 views17 pages

A Review of Groundwater Issues, Reccomendations

The document summarizes groundwater issues in the Bandung Basin of Indonesia. It notes that groundwater depletion is a growing problem as urban expansion reduces recharge areas and increases extraction. Groundwater levels have dropped over 50 meters, causing land subsidence of up to 18.4 cm per month. Decentralization has led to poor coordination in groundwater management as local governments issue extraction licenses without regard for conservation. An integrated management approach is needed to reduce usage and better manage water resources in the basin.

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Atami write
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© © All Rights Reserved
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You are on page 1/ 17

International Review for Environmental Strategies

Vol. 6, No. 2, pp. 425 – 442, 2006


© 2006 by the Institute for Global Environmental Strategies. All rights reserved.

Special Feature on Groundwater Management and Policy

A Review of Groundwater Issues in the Bandung


Basin, Indonesia: Management and
Recommendations

Setiawan Wangsaatmaja,a Arief D. Sutadian,b and Maria A. N. Prasetiatic


As a rapidly developing metropolitan region, the Bandung Basin is experiencing growing problems with
environmental degradation, one of which concerns groundwater, where there is an imbalance between
discharge (withdrawal by utilities, households, and industry) and recharge in the basin’s water catchment
areas. One of the main causes is the ongoing change in land use in the recharge area caused by urban
expansion. In fact, the groundwater level has dropped by more than 50 meters from its original level,
forming a cone of depression in the water table and creating a critical zone, especially in industrial areas.
One repercussion is that the land is subsiding at a rate of 2.3–18.4 centimeters per month. The
management of groundwater in Indonesia has shifted with the government’s decentralization in recent
years, giving local governments the right to generate their own revenue by issuing licenses for
groundwater extraction. Unfortunately, because of this, groundwater conservation is often disregarded,
highlighting the need for an integrated approach and coordination with related institutions to reduce
groundwater usage and better manage water resources.

Keywords: Groundwater, Critical zone, Catchment area, Decentralization, Land subsidence.

1. Introduction

Water usage correlates strongly with economic growth. In many newly urbanized areas, as the result
of growing populations, the major proportion of water usage has recently shifted from the agricultural
sector to households and industry. The Bandung Basin is one of the many new metropolitan regions in
Indonesia that has rapidly expanded within the last decade, which has resulted in increasing water
demands from various sectors, but predominantly from new settlements and industry. Compared to
surface water, groundwater is generally less expensive to access and more widely available, making it
an important component of progressive development.
One of the triggers causing rapid groundwater depletion is change in land use in water catchment
areas, and, as is well known, groundwater recharge takes many years to return to initial levels. The
northern part of the Bandung Basin is the main recharge area for groundwater, but due to population
pressures most of this region has become built over.

a. West Java Environment Protection Agency, West Java Provincial Government, Indonesia.
b. West Java Environment Protection Agency, West Java Provincial Government, Indonesia.
c. West Java Environment Protection Agency, West Java Provincial Government, Indonesia.

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Vol. 6, No. 2 International Review for Environmental Strategies 2006

Recent changes in government policy have also had an impact on groundwater management, because
the authority for groundwater management was shifted from the central government through the
Directorate of Environmental Geology (in Indonesian called the Direktorat Tata Lingkungan Geologi
dan Kawasan Pertambangan, or DGTLKP) to local governments.1 This decentralization is another factor
in the poor management of groundwater, as it is considered a transboundary natural resource.

2. Profile of the basin

The Bandung Basin is one of the biggest watersheds on the island of Java. Located in the province of
West Java and encompassing an area of 234,088 hectares (ha), the basin includes four administrative
areas: two regencies (part of Bandung and Sumedang) and two cities (Bandung and Cimahi). It provides
water for drinking, agriculture, and fisheries, as well as the main supply for three reservoirs, which have
a total volume of 6,147 million cubic meters (Mm3) (Wangsaatmaja 2004). These supply water for
300,000 ha of rice fields, and their hydroelectric dams are important energy suppliers for the islands of
Java and Bali. The population in the basin reached 5,854,339 in 2003, with a density ranging from 26 to
103 people per hectare and a growth rate of 2.7 percent annually (BPDPJB 2004). The Upper Citarum
Watershed, a plateau encircled by mountains that forms a basin, is located between 7o19' and 6o24' south
latitude and 106o51' to 107o51' east longitude. Figure 1 depicts the administrative boundary of the
Bandung Basin.

Figure 1. Map of the administrative boundary defining the Bandung Basin

Source: Wangsaatmaja 2004.

1. Law Number 22/1999 and Revision Number 32/2004 on Local Government (Decentralization).

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Vol. 6, No. 2 Review of Groundwater Issues in the Bandung Basin, Indonesia 2006

3. Groundwater use

Groundwater pumpage in the Bandung Basin has been recorded by the Directorate of Environmental
Geology since the early 1900s, when only 500,000 cubic meters per year (m3/yr) was used (figure 2). By
the 1970s the volume had grown to more than 10 Mm3/yr. Increasing demand from the industrial sector
and a lack of effective water resource management by the government has created challenges to provide
a reliable groundwater supply. In 1985 groundwater pumpage grew to 38.5 Mm3/yr, and there were 686
boreholes throughout the basin. By 1990, groundwater pumpage reached 46.8 Mm3/yr, and it was almost
50 Mm3/yr by the end of 1993.

90 3,000

80
2,500
70
Pumpage volume

N umber of w ells
60 2,000
(Mm3)

50
(Mm3)

1,500
40

30 1,000

20
500
10

- -
1900
1910
1920
1930
1940
1950
1960
1970
1976
1985
1988
1990
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004

Year

Groundwater use Number of wells

Figure 2. Groundwater pumpage and number of wells, 1900–2004

Source: Based on monitoring data from the Directorate of Environmental Geology (1990–2001) and the Mining Agency of West
Java Province (2001–2004).

In 1995 there were 2,255 boreholes and a total groundwater pumpage of 66.9 Mm3. The largest
ensued in 1996, when it reached 76.8 Mm3. In 1998, due to an economic crisis, there was a decrease to
41.7 Mm3 (with 2,397 boreholes documented).
There was another increase in 1999 (45.4 Mm3). By 2000 there had been a 2.64 percent increase
compared to 1999, with a total pumpage of 46.6 Mm3 and 2,484 boreholes. The pumpage volume was
fairly constant during 2001 and then rose in 2002, even though the number of boreholes shrank by over
232. In 2003, groundwater pumpage documented by the Mining Agency of West Java Province (in
Indonesian called Dinas Pertambangan Propinsi Jawa Barat, or Distamben Prop. Jabar) reached 50 Mm3
from a total of 2,258 active boreholes. The volume increased again, and in 2004 it rose by almost 8 Mm3
to 58.5 Mm3.

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Vol. 6, No. 2 International Review for Environmental Strategies 2006

3.1. Industry
Industry in the Bandung Basin still depends mostly on groundwater as a water source. In the entire
basin there are 2,237 boreholes registered with the Mining Agency of West Java Province. Data from
the Industry and Trade Agency in Bandung City and Regency show that in 2003 there were 577 large-
and medium-scale industries in Bandung Municipality, with a total number of workers approaching
103,388, while in Bandung Regency there were 696 companies employing 234,868 workers. Nearly 50
percent of those industries operate in textile processing, which includes an immersion process that
requires large amounts of water. Many of them are located in areas that have no piping infrastructure,
thus groundwater serves as a cheap and effective solution in operating a factory that uses water in its
activities.
The use of groundwater by the industrial sector in the Bandung Basin, both for operations as well as
workers, is greater than the use of surface water and spring water. Groundwater usage by the industrial
sector in 1993 was 59.55 percent of total water use. This increased and peaked in 1995 at almost 70
percent, and then decreased to 59.60 percent in 1996. An economic crisis in Indonesia (including West
Java Province) in 1997 had a significant impact on groundwater pumpage, as shown in figure 3. In 1999,
industrial groundwater pumpage decreased to 57.20 percent, but it went up slightly to 57.84 percent in
2000. It was predicted in 2004 that if groundwater usage continues to increase, it will end up
contributing almost 70 percent of total water use by the industrial sector in the Bandung Basin, because
up until now the water works system has only covered less than 2 percent.
Dependency of industry

100
on groundwater (%)

80

60
40

20
-
1993 1995 1996 1997 1998 1999 2000
Surface water 39.21 32.64 29.72 39.16 43.51 41.48 40.87
Rainfall — — — — — — —
Spring water — — — — — — —
Groundwater 59.55 66.33 69.34 59.60 55.11 57.20 57.84
Waterworks system 1.24 1.03 0.94 1.24 1.38 1.31 1.29

Year

Figure 3. Dependence of industry on groundwater, 1993–2000

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Vol. 6, No. 2 Review of Groundwater Issues in the Bandung Basin, Indonesia 2006

3.2. Domestic groundwater use


The projection of domestic groundwater use is calculated based on the number of dug wells using the
shallow aquifer, because a local groundwater regulation clearly states that it is exclusively for domestic
purposes, and so other sectors are not allowed to draw water from it. Figure 4 shows groundwater
pumpage from 1993 to 2000. Based on monitoring data, groundwater use for domestic purposes was
104,218,377 m3 in 1993. (There was a growing trend up until 1997/98 when the rate of consumption
slowed.) In 1995 it was up to 107,239,387 m3 and then went down to 95,088,048 m3 in 1998. It is most
likely that the decrease was a side effect of the economic crisis, because domestic use grew again to
over 134,634,849 m3 in 2000.

2000

1999

1998
Year

1997

1996

1995

1993

0
100,000,000

120,000,000

140,000,000
40,000,000

60,000,000

80,000,000
20,000,000

Volume (m3)

Figure 4. Domestic groundwater consumption, 1993–2000

3.3. Bandung City and Regency Water Supply Enterprise


The Bandung City and Regency Water Supply Enterprise (WSE) provides water for domestic use in
the city and regency of Bandung, with each administrative area running its own water company. In 1994,
untreated source water for the WSE was supplied by surface water (69.49 percent, equivalent to
55,898,720 m3), spring water (17.20 percent, equivalent to 13,812,768 m3), and groundwater (11.74
percent, or about 9,429,264 m3).
In 2000 the proportion of raw water supply from surface water for the WSE reached 81.57 percent
(about 82,318,720 m3), while the rest, 9.36 percent, came from groundwater (9,180,070 m3). In 2004,
the contribution of surface water to the WSE was 82.36 percent (about 80,767,887 m3), mainly from the
Cikapundung, Cimahi, and Cisangkuy rivers, while spring water provided 9.36 percent (6,858,795 m3),
and another 6.99 percent came from groundwater. Figure 5 shows the volumes and sources of raw water
used by Bandung City and Regency WSE.

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Vol. 6, No. 2 International Review for Environmental Strategies 2006

120,000,000

100,000,000

Other
Water source (m3)

80,000,000
Lake
60,000,000 Spring water

Groundwater
40,000,000
Surface water

20,000,000

-
1994 2000 2001 2002 2003 2004
Year

Figure 5. Volume and sources of raw water used by the WSE, 1994–2004

Source: Based on data from Bandung City and Regency WSE (1994– 2004).

Figure 6 shows that from 1986 to 2004 water usage for business activities (including industry) tended
to be stable at approximately 8.7 percent of total water distributed by Bandung City’s WSE. It was only
in 2003 that piped water supply for business activities reached 10.86 percent, but the volume of water
distributed for industrial activities was only 0.45 percent of the total of Bandung City Water Enterprise’s
drinking water production.
The number of residents in the municipality of Bandung is presently 2,228,268, and 52 percent of
them have access to water service from Bandung City WSE. The contribution of groundwater to the
water enterprise is only 6 percent; the rest is obtained from surface water. There are 25 productive
boreholes in the municipality, 19 of them pumping to reservoirs, while the rest of the water is distributed
directly through water pipes. In 1985 the total production of boreholes was 475.5 liters per second (L/s).
Then there was a distinct decrease in 1995 to 180 L/s, and by 2004 it had dropped to 115 L/s, or 75
percent less than it was in 1985 (according to data from Bandung City WSE 1985–2004). The cause of
this problem is simultaneous abstraction by industry, non-industry (hotels, government offices, public
utilities), and households in areas that have no access to water service from Bandung City WSE.
In the municipality of Cimahi and some areas of Bandung Regency (incorporated within the Bandung
Basin), water service only reaches 5.83 percent of the total population of 2,934,541. Groundwater
supply from Bandung Regency WSE is 86.9 L/s, or 16.7 percent of the total requirement, with the rest
supplied by surface water at a rate of 180 L/s (24.6 percent) and spring wells at 253 L/s (48.7 percent).
Based on observation over a ten-year return period, borehole water production achieved its peak in
1988 with a discharge of about 162.1 L/s. It then dropped dramatically in 1995 to 86.8 L/s—a decrease
of 46 percent (Bandung Regency WSE 1988–1995 in Gunawan 1995). The most likely cause for this

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Vol. 6, No. 2 Review of Groundwater Issues in the Bandung Basin, Indonesia 2006

decrease is similar to that in the city of Bandung—industrial use. Among the industrial clusters located
in Bandung Regency (the west and south areas in particular), many activities rely heavily on
groundwater in industrial processes.

80,000,000
Distributed water by sectors (m3)

70,000,000
60,000,000
50,000,000
40,000,000
30,000,000
20,000,000
10,000,000
0
1986

1988

1990

1992

1994

1996

1998

2000

2002

2004
Year
Water loss Business/industry Other
Hotel/tourism Hospital Religion site
Government office Public utility Households

Figure 6. Use of distributed water in the city of Bandung, by sector, 1986–2004

Source: Based on data from Bandung City Water Supply Enterprise (1986–2004).

4. Groundwater problems

4.1. Water table depletion


According to data from monitoring wells in the Bandung Basin, the static groundwater table has
changed significantly from positive artesian (flowing) to negative artesian (pumping). For example,
there was a positive water level in the Dayeuhkolot-Bojongsoang area of plus 4 m above ground level in
1920, but in 1960 it had dropped to plus 3.9 m. In the mid-1970s, the groundwater table was 2 m below
ground level. This decreased to 40–80 m below ground level in the 1990s (Harnandi and Iskandar 1993,
1998; Suyono 1990; Priowijanto and Gatot 1995; Agus and Iskandar 2000).
The same phenomenon occurred at one of the wells in the area of the city of Cimahi that has been
monitored since 1920, when it initially had a positive water level with a plus 19-m pressure. In the mid-
1950s, the pressure decreased, and in the early 1980s it dropped and switched to a pumping phase at 3 m
below ground level. In 1985, the water table was 10 m below ground level, and in 1995 the water table
was measured at 40 m below ground level.

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Vol. 6, No. 2 International Review for Environmental Strategies 2006

The groundwater level is also monitored by automatic water level recorders at 30 monitoring wells
(spread out among several factories) in the study area. The level of the groundwater table up to July
2004 and the trend of groundwater table depletion are shown in figure 7.
Monitoring wells

F i g u r e 7 . G ro u n d w at er t ab l e d e p l e t io n r e c o r d ed b y mo n i t o r in g w e l l s in me t r o p o l it a n

Source: Data based on DTLGKP (1990–2004).


B a n d u n g, 1 9 90 – 2 0 04

(meters below ground level)


Water table

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Vol. 6, No. 2 Review of Groundwater Issues in the Bandung Basin, Indonesia 2006

The areas with the largest depletion of static groundwater level that have seen the formation of a
conical depression are in Cijerah, with a drop of over 20 m from 1997 to 2004, and Cimanggung, with a
drop of more than 60 m over ten years (1994–2004). In Rancaekek, the groundwater level has dropped
more than 60 m over the past decade, and in the Leuwigajah Industrial Estate, the drop was up to 40 m
(1994–2004). Moreover, groundwater depletion has also affected the deep wells of Bandung City WSE;
extraction from 32 deep wells has decreased from 550 L/s in 1982/83 to 115 L/s in 2004.

4.2. Symptoms of land subsidence


Symptoms of land subsidence are detected mainly in industrial areas such as Banjaran, Cimahi,
Majalaya, Rancaekek, and Ujungberung (Abidin et al. 2002). Table 1 shows the occurrence of land
subsidence observed from February 2000 to July 2002.

Table 1. Land subsidence in the Bandung Basin, February 2000–July 2002

Location Total land subsidence Average rate of land subsidence


(cm) (mm/mo)*
Banjaran –17.9 –6.3
Bojongsoang –19.1 –6.7
Cimahi –52.4 –18.4
Dayeuhkolot –45.8 –16.1
Majalaya –15.9 –5.6
Rancaekek 1 –24.9 –8.7
Rancaekek 2 –42.0 –14.7
Ujung berung –6.6 –2.3
Source: Abidin et al. 2002.
*millimeters per month.

Land subsidence varies with several factors and does not always correlate with the volume of
groundwater extraction. Although figure 8 shows that land subsidence in Cimahi closely correlates with
groundwater pumpage, this is not the case in Banjaran and Rancaekek (figure 9). Even though
groundwater pumpage recorded in Banjaran is higher than in Rancaekek, land subsidence in Rancaekek
is larger than in Banjaran, which indicates that land subsidence in many locations of the Upper Citarum
Watershed is not only influenced by groundwater extraction volume but also by aquifer productivity,
recharge rate, and geological structure (including soil type).

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Vol. 6, No. 2 International Review for Environmental Strategies 2006

Ujung berung
Bojongsoang

Dayeuhkolot

Rancaekek 1

Rancaekek 2
M ajalaya
Banjaran

Cim ahi
Name of area

0 0
-2
-10
Change of land subsidence

-4

Land depletion rate


-20 -6
-8

(mm/mo)
(cm)

-30 -10
-12
-40 -14
-50 -16
-18
-60 -20

Land depletion rate Change of land subsidence

Figure 8. Change of land level and land depletion rate in selected locations,
February 2000–July 2002

Source: Abidin et al. 2002.

3 25

Land subsidence rate (cm/yr)


2.5
Average groundwater abstraction (Mm3/yr) 20

2
15

1.5

10
1

5
0.5

0 0
Kopo Dayauhkolot Ujungberung
Cimahi Rancaekek
Banjaran Gedebage Majalaya Cicalengka

Figure 9. Correlation between land subsidence and groundwater pumpage, 1996–2000

Source: Abidin et al. 2002.

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Vol. 6, No. 2 Review of Groundwater Issues in the Bandung Basin, Indonesia 2006

One of the main causes of groundwater depletion is change of land cover, which may lead to changes
in the hydrological cycle, especially when the conversion occurs in the recharge area. The Directorate of
Environmental and Geology (DTLGKP and BPDPJB 1996) categorized 21 sites of recharge areas in the
Bandung Basin as follows: 60,881.31 ha (26 percent) as “main recharge areas,” 67,911.89 ha (29
percent) as “inconsequential water recharge areas,” and 56,069.66 ha (24 percent) as “additional
recharge area.” The “discharge area” covers 38,970.4 ha (16.6 percent), as shown in figure 10.
An overlay of land-cover patterns in 1983, 1993, and 2002 in the Upper Citarum Watershed is shown
in table 2, in which the following two main patterns in land-use change can be observed: (1) a dramatic
increase of open area, bushes, and urban and suburban area, and (2) a decreasing trend of rice fields,
forest, and grass/open fields.
Based on these results, it is obvious that the main change in land-cover pattern is an overall decrease
in vegetated land to non-vegetated/built areas and open areas.

Figure 10. Categories of water recharge areas in the Bandung Basin

Source: DTLGKP and BPDPJB 1996.

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Vol. 6, No. 2 International Review for Environmental Strategies 2006

Table 2. Types of land cover in the Upper Citarum River Basin, 1983, 1993, and 2002

Land-use type 1983 1993 2002


Hectares Percent Hectares Percent Hectares Percent
Lake 253,44 0.11 4,223.52 1.80 3,202.56 1.37
Open space 15,806.88 6.75 23,997.60 10.25 29,325.60 12.53
Meadow 6,474.24 2.77 3,620.16 1.55 2,105.28 0.90
Grassland 30,510.72 13.03 16,852.32 7.20 7,866.72 3.36
Rice field 52,702.56 22.51 44,575.20 19.04 23,510.88 10.05
Forest 85,138.56 36.36 69,454.08 29.66 39,150.72 16.73
Bush 33,363.36 14.25 48,470.40 20.70 93,638.88 40.01
Plantation 1,810.08 0.77 2,731.68 1.17 3,306.24 1.41
Urban 5,117.76 2.19 10,499.04 4.48 17,038.08 7.28
Suburban 2,473.92 1.06 5,156.64 2.20 6,304.32 2.69
Public facility 136.80 0.06 982.08 0.42 1,869.12 0.80
Industry 355.68 0.15 2,553.12 1.09 3,444.48 1.47
Cloud 2.88 0.001 1,022.40 0.44 3,278.88 1.40
Total 234,146.88 100.00 234,138.24 100.00 234,041.76 100.00
Source: Wangsaatmaja 2004.

5. Review of groundwater management policy in the Bandung Basin

5.1. Centralized period (1945–1999)


The following section presents the major policies related to groundwater management instituted
during Indonesia’s centralized period.
The National Act of the Indonesian Republic, 1945 (UUD 1945), 2nd Amendment, 2000, stated very
clearly that natural resources, including water resources, are considered a public good that must be
managed fairly and used for the benefit of the Indonesian people.
Act Number 11, 1974, Water Resources, article 2, stated that water, which includes groundwater
(articles 3, 4, and 5), is a public good that has a social function and must be optimally used for the well
being of people. Yet, in contrast to surface water, other institutions were put in charge of managing
groundwater. As stated in article 5, the authority for water management was divided between two bodies,
i.e., all water except groundwater was the responsibility of the Minister of Watering (Menteri
Pengairan), while groundwater became the domain of the Mining Department (Departemen
Pertambangan), as further detailed by the central government through the Government Law on Water
Arrangement. According to article 5, Act Number 11/1974, the Minister of Watering was made
responsible for coordination of all efforts in planning, technical issues, monitoring, usage, maintenance,
and protection of water and/or water resources, taking into consideration the interests of related
departments and institutions, but section (2) of the article states that administration of groundwater and
hot springs as mineral and power sources was outside its authority. In 2004, Act 11/1974 was revised
under Water Resources Act, Number 7, 2004 (discussed further in the next section on the decentralized
period).

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Vol. 6, No. 2 Review of Groundwater Issues in the Bandung Basin, Indonesia 2006

In an effort to conserve groundwater in the Bandung Basin, the governor of West Java in 1982 issued
Governor Decree Number 181.1/SK.1624-Bapp/82, a land-use policy arrangement for the core of the
Bandung metropolitan area, which included an administrative boundary arrangement, land-use policy,
and efforts and guidance for land development. Simultaneous to these efforts, the central government,
through the Directorate of Environmental Geology, conducted research on groundwater and began
monitoring the static groundwater level in their monitoring wells. In the mid-1990s, it issued the
Groundwater Zoning Recommendation to reduce the rate of groundwater depletion. It became the
official guidance for related parties in terms of groundwater usage, including industries that mostly use
groundwater as their water source for production processes. Formal operational and implementation
plans were set out in the Minister of Mining and Energy Rule Number 02P/101/M.PE/1994, Minister of
Mining and Energy Decree Number 1945.K/102/M.PE/1995 on Guidance for Groundwater
Management in the Second State Government, and Director of General Geology (Direktur Jenderal
Geologi, or DJG) Decree Number 005.K/10/DDJG/1995 on the Technical Guidance for Groundwater
Management.
Referring to recommendations by the Directorate of Environmental Geology, the West Java provincial
government issued West Java Provincial Rule, Number 9, 1995, on Groundwater and Surface Water
Monitoring, which basically included the following items:
1. Groundwater abstraction must be conducted by an operational body that possesses a groundwater
abstraction license or by a government institution with devices accredited by the director-general of
Geology and Mineral Resources.
2. Construction of a groundwater abstraction installation must be based on technical guidance from the
Public Works Agency or a technical institution of water management in a related river basin. It
states implicitly that the groundwater abstraction mechanism requires the active involvement of the
Directorate of Environmental Geology and the Mining Agency of West Java Province.
Simultaneous to issuance of the provincial government’s rule, the local government issued Bandung
Regency Government Rule Number 43/1995 on Groundwater Control License, which contained similar
content.
With the establishment of Act Number 18/1997 on Local Tax and Retribution, the tax on surface
water and groundwater usage was classified as a local government tax. In 1998, the city of Bandung
issued Bandung City Government Rule Number 3, 1998, on Groundwater and Surface Water Usage Tax.
The calculation of tax was described in chapter III, articles 5 and 6, of the rule. Article 5 stated the
following: (1) tax is based on water provision value; (2) water provision value is calculated by
multiplying the water volume by the basic water price; (3) the basic water price is calculated by
considering the type of water source, its location, groundwater pumpage, water quality, area of water
usage, season of water abstraction, and environmental degradation due to water abstraction; (4) the basic
water price is determined periodically by the mayor with approval from the Bandung City Legislation
Board; and (5) the water provision value is also determined by the mayor. Article 6 of the act
determined that the tax charged would be a maximum rate of 20 percent.

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Vol. 6, No. 2 International Review for Environmental Strategies 2006

5.2. Decentralized period (1999–)


The interesting point in the decentralized period began in Indonesia in 1999 when Act Number
22/1999 on Local Government was issued (then revised by Act Number 32/2004). This act handed
governing authority (including natural resources management) from the central government to local
governments, and it was to be accompanied by funding, infrastructure, and human resources. Facts show,
however, that not all of these elements have been entrusted to local governments. The consequence of
local governments being forced to generate their own revenues was a massive exploitation and poor
management of resources, especially trans-boundary assets.
Act Number 34, 2000, of Amendment of Indonesian Republic Act, Number 18, 1997, changed several
taxation mechanisms. It stated that local governments are given the authority for taxing groundwater
abstraction, while, according to Act 34/2000, article 2, that kind of taxation authority is part of
provincial government revenues. To implement the act, the Provincial Government Rule of Regional
Tax was issued. The Tax on Surface Water and Groundwater Usage and Abstraction can be found in
chapter 5, articles 33, 34, 35, and 36, which set the tax for groundwater abstraction at 20 percent.
In 2000 the Minister of Energy and Mineral Resources issued Decree Number 1451 K/10/MEM/2000,
appendix 1, Technical Guidance For Groundwater Potency Evaluation, and appendix 2, Technical
Guidance for Groundwater Planning and Usage, as reference material and a source of information on
groundwater potential, with the specific aim of integrating groundwater management among different
local governments. According to Minister of Energy and Mineral Resource Decree Number
716.K/40/MEM 2003 on Groundwater Basin in Java and Madura Island, the groundwater basin in
Bandung Basin is divided into three basic aquifers, namely, the Lembang, Batujajar, and Bandung-
Soreang basins.
In 2001 the West Java provincial government issued Provincial Regulation Number 16/2001 on
Groundwater Management. Chapter 2 of the regulation, Planning for Groundwater Usage, stated that
planning activities must be conducted as a basic condition for proper groundwater management in any
given basin. In article 5, sections 1 and 2, it is stated that groundwater is prioritized for domestic use,
and that other uses are allowed under certain conditions. In chapter 6, Licensing Facilitation, article 6, it
states that groundwater abstraction activities can be conducted only with a license from the relevant
mayor or regent. Meanwhile, groundwater abstraction in transboundary areas has to follow several
technical conditions set by the related agency, the Mining Agency of West Java, except for those
abstracting less than 100 cubic meters per month (m3/mo). Article 12 mentions that the following
monitoring and enforcement activities must be conducted by the agency in cooperation with related
institutions at the city or regency government level: (a) the location of the groundwater extraction point,
(b) a technical construction and pumping test, (c) limitation of groundwater discharge extraction, (d)
technical arrangements and installing a monitoring device, (e) data collection of groundwater extraction,
(f) technical details of extraction (i.e., depth), and (g) hydrology analysis.
To support Provincial Regulation Number 16, 2000, the West Java Governor Decree Number 23/2002
on Implementation Guidance for Provincial Legislation Law Number 16/2000 was issued in 2002. It is
clearly stated in article 2 of the decree that the governor has the authority and responsibility for

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groundwater management in transboundary areas. Article 8, sections 1 and 2, lists the following
technical information required from applicants for a groundwater abstraction license: (a) location of the
extraction point, (b) distance between the planned point and the nearest point, (c) the number of points
the applicant possesses, (d) name of the registered abstraction contractor, (e) depth of the aquifer, (f) the
maximum discharge, (g) pump depth and capacity, and (h) details of borehole construction. Included
under the last item are the following: (i) depth of the well, (ii) diameter and length of the main pipe, (iii)
diameter and length of the strainer pipe, (iv) diameter and length of the head pipe, (v) diameter and
length of the piezometer pipe (for measuring the elevation of the water table), (vi) location of the gravel
mantel, (vii) location of the cement layer, and (viii) location of the piezometer pipe. Article 9 of this
regulation states that applicants must provide a 1:10,000 layout map showing the abstraction point and a
1:25,000 map for well coordination. Hydrological analysis is compulsory to gain information for zoning
the groundwater abstraction point as being in a critical, vulnerable, or safe zone.
Bandung City Regulation Number 8/2002 (Groundwater Management) is similar to the provincial
regulation. In article 6, groundwater abstraction for domestic use below a withdrawal of 100 m3/mo with
depth ranges from 40–60 meters do not need a license for abstraction, a recharge well, or a monitoring
well.
West Java Governor Decree Number 29/2003 (Ground Water Usage Tax Calculation) was issued as
the basis for calculating the groundwater usage tax, which considers three main components: natural
resources, conservation, and raw water price.

6. Discussion

The main issue of managing groundwater in the Bandung Basin is not just the problem of
groundwater itself, but it also involves complex problems concerning water scarcity in general,
particularly in terms of industrial use. Land-use changes have negatively affected water resources, and
the fact that there is no waterworks infrastructure for industry has made using groundwater the only
option for carrying out industrial activities. Looking at groundwater control mechanisms in the Bandung
Basin, licensing is still considered the main tool for controlling groundwater abstraction. But licensing
does not work properly when there is only a minimum of awareness among stakeholders about the
importance of groundwater conservation, combined with weak law enforcement and monitoring. This is
shown by the fact that many unregistered deep wells have been found in the basin. In addition, there are
no incentive mechanisms in place such as tax compensation for industries that conduct water recycling,
so not many in industry are interested in water-conservation efforts, making it extremely difficult to
control groundwater extraction in the basin.
The inability of waterworks institutions to supply raw water and to extend their coverage area is also
exacerbating the groundwater problem. Overall coverage by the WSE is approximately 37.75 percent of
the total serviced area (50 percent for Bandung City, 23 percent for Bandung Regency, 58 percent for
Sumedang Regency, and 20 percent for Cimahi City). The untreated water mostly comes from surface
water, with the biggest proportion going to domestic use. Industry still depends on groundwater, and

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since water management is performed by industry itself, overall control of groundwater abstraction is
difficult.
Relocating industry to another location with abundant surface water is another alternative, but it
would also require the development of infrastructure. This option has significant barriers to being
implemented, i.e., high investment, political, and social costs that the government has to bear.
Available technology appropriate for recycling water is another alternative that can be implemented
by industry in order to satisfy its water requirements, but consistency and support from the government
with implementation is the key to success of this program. For instance, an incentive tax mechanism
could be applied to persuade industry to conduct these efforts.

7. Conclusion and recommendations

From the perspective of groundwater usage and management, it is urgent that a review of the situation
be conducted for maintaining or recovering groundwater levels to prevent further problems with land
subsidence. The following are proposed as short-term actions for better groundwater management:
x The existing policies, rules, and regulations should be consistently applied until they have been
properly reviewed. Penalties should be levied and the licenses of industries that exceed their
groundwater abstraction limit should be withdrawn. Groundwater extraction is not permitted in the
critical and vulnerable zones, so licenses should not be extended and illegal boreholes should be
closed.
x Establish and enforce a new regulation that will conserve the recharge area in the upper streams of
the Bandung Basin.
x Establish an incentive and disincentive mechanism for industry to conduct water recycling by
reducing taxes. Technical and financial assistance can be provided to industry by the local
government.
As for the long term, the following policies should be implemented in the Bandung Basin in stages:
x Substitute groundwater with surface water for water supply by constructing smalls dams and
developing the infrastructure to supply water to residential and industrial areas.
x Determine a higher price or tax for groundwater than for surface water to encourage industry to
switch to surface water.

Acknowledgements

This paper is a part of a collaborative research project called Sustainable Water Management Policy for the Asia-Pacific Region
(SWMP), one of the programs conducted by the Institute for Global Environment Strategies (IGES). The authors would like to
extend their deepest appreciation to IGES, Japan, especially to Prof. Shinichiro Ohgaki, Dr. Satoshi Takizawa, Dr. Keishiro Hara,
Dr. Gemunu Herath, and Ms. Yatsuka Kataoka. We are also grateful for the full support from our friends in the West Java
Provincial Government, especially the former head of the West Java Environment Protection Agency, Mr. Ade Suhanda, and the
Governor’s Assistant for Economic Affairs, Mr. Lex Laksamana.

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