WATER ECONOMIC VALUE OF FRESH WATER SYSTEM IN THE TANGGUNGGUNUNG VILLAGE, INDONESIA

Abstract

One of the factors causing the increasing demand for fresh water on Indonesian society is the
very rapidly population growth. Therefore, it is needed to solve this problem by increasing the water source
for fulfilling the fresh water need. One of the efforts is by carrying out the rehabilitation and develop the
freshwater distribution network. The accurate water economic analysis is very necessary to solve the
problem. This study intends to analyze the construction and operational cost, benefit, and the minimum water
price. The result shows that the minimum water price in Tanggunggunung Village is Rp. 2,280.-/m3 with the
total cost of Rp. 6,591,350,562.00 and the benefit is Rp. 8,469,104,820.00. The value of water price is
included in the water price classification which is still able to be paid by the local society. Based on the
analysis, it can carry out the development efforts which are useful for increasing or improving the function of
the fresh water distribution network in the Tanggunggunung Village.