pop-logo-verticalCreated with Sketch.

Documents (2)

pdf

The sale of Palyja and Aetra: The two companies that supply drinking water in Jakarta

Since 1997, the supply of drinking water in Jakarta has been entrusted to two private operators — PT PAM Lyonnaise Jaya (Palyja) and PT Aetra Air Jakarta (Aetra). Palyja, whose majority of shares are owned by the French company Suez Environment, manages the water distribution in the West and South of Central Jakarta, while Aetra, owned to 95% by Singapore-based Acuatico, handles the Eastern and Northern parts of Central Jakarta.

pdf

Critical Review of Jakarta Water Concession Contract

The process of Jakarta water privatization involved corruption and collusion, to exploit economic profit through the influence of political power. It is not surprising that later the private operators’ performance is not satisfactory. On the other hand, the contract is too advantageous for the private operators: it enables the private operators to gain high profit while being practically free from business risk, enables the performance standard to be flexibly adjusted, puts the water utility into termination trap, and causes prolonged problem of unclear workers’ status. If the current contract is continued, it harms the water utility, workers, and the citizen of Jakarta. Amrta Institute and Public Services International