DOMINICAN REPUBLIC URBAN ENVIRONMENTAL STRATEGY by J.Michael Cobb Boris Oxman, Milagros Nanita-Kennett, and George E. Peterson January 1991 Prepared Jointly for the USAID Mission in Santo Domingo and the Regional Housing and Urban Development Office for the Caribbean in Jamaica THE URBAN INSTITUTE Washington, DC UI Project Nos. 6104, 6127-20 URBAN IONMENTAL STRATEGE U.S. AGENCY FOR INTERNATIONAL DEVELOPMENT DOMINICAN REPUBLIC Table of Contents I• EXECUTIVE SUMMARY I-I I.* OVERVIEW OF URBAN ENVIRONMENTAL ISSUES A. Water Pollutic, , Health Impacts and Urban Infrastruct, q " The Cur::ent Situation 11-2 " Wate- Quality and Human Health 11-3 " Water Supply Issues 11-5 " Wastewater Manageient Issues II-10 * Policy Recommendations 11-14 B. Energv, Uzbanization and Deforestation " Deforestation Problems 11-19 " Charcoal, Wood and Overall Energy Issues 11-20 " Policy Recommendations 11-24 C. Solid Waste Mnaaement and Health • Major Problems and Institutional Framework 11-27 " Collection, Recycling and Disposal Issues 11-28 " Health and Environmental Impacts IT-31 " Policy Options and Recommendations 11-32 D. Tourism Expansion anj the Coastal Zone * Growth Trends and Impacts 11-37 * Current Governmental Planning 1I-40 * Future Growt h Estimates 11-41 * Policy Optinn and Recommendations 11-44 E. Fee Trade Zones and Area Development " Growth trends and Impacts 11-46 " Goversmental Development Policies 1I-47 " Policy options and Recommendations 1-49 F. Urban EansiLand Envirnmntal Impgts " National Urban Development Trends 11-51 " Exransion Impacts of Low Income Housing TI-54 • Institutional Constraints to Managing Grcwth 11-57 " Growth Policy Discussions 11-58 " Potential Policy Interventions 11-59 URBAN ENVIRONMENTAL STPATEGy Table of Contents (continued) ag III. CONCLUSIONS: AID URBAN ENVIRONMENTAL STRATEGY A. elationships to Mission Goals and Proqrams 111-2 B. Relationships to the Government of the Dominican Republic III-10 C. Recommended Next Steps 111-17 7 ANNEXES 1. Study Goals, Scope of Work, Team and Approach 1-1 2. Water Pollution, Health Impacts and Urban Infrastructure 2-1 3. Energy Supply, Urbanization and Deforestation 3-1 4. Solid Waste Management and Health 4-1 5. Tourism Expansion and the Coastal Zone 5-1 6. Free Trade Zones and Area Development 6-1 7. Unmanaged Urban Expansion and Environmental Impacts 7-1 8. Conclusions: AID Urban Environmental Strategy 8-1 9. Selected Bibliography 9-1 10. Individuals Contacted During Visit to Santo Domingo 10-1 LIST OF TABLES Table Page TI-i Bacteriological Quality of Water Supply by Region, 1986 11-4 11-2 Cases and Rates of Infectious Diseases 11-6 11-3 Morbidity Rates For Selected Diseases 1970-1987 11-7 11-4 Projection of Population, Water Sources, Demand and Supply 1990-2010 11-9 11-5 Energy Consumption, 19'6-1985 11-21 11-6 Energy Consumption (Percentages) 11-22 11-7 Solid waE;te Generation Per Capita Pates by Income Levels 11-7 11-8 Growth of Room Supply By Region 11-8 11-9 Potential Tourism Development Conceptual Estimates 1980-2000 11-42 II-10 Population Projections: Dominican Republic and the National District 1950-2025 11-53 II-11 Spatial Expansion Scenarios: Santo Domingo's Urban Zone 11-56 11-12 Mission Strategic Goals and Action Plan Objectives 1991-1992 111-3 2-1 Levels of Sedimentation and Other Componento of Water Quality in Rivers 2-6 2-5 Principal Causes of Death in Infants and Children 2-12 2-6 Sources of Water and Sanitary Facilities by Region 2-15 3-1 Per Capita Energy consumption in Selected Latin American Countries, 1986 3-4 LIST OF TABLES (continued) Table Pace 4-1 Santo Domingo Municipal Budget and Solid Waste Allocations 1981-1990 4-4 4-2 Distribution of Solid Waste Generation by Sector in Santo Domingo 4-7 4-4 Solid Waste Production by Income Levels 4-11 4-5 Population Growth and Waste Production Projections 1980-2010 4-12 4-7 Variance in Refuse Composition 4-19 7-1 Characterization of the Major Industries 8-24 in the Dominican Republic 1980 LIST OF FIGURES Ficture Pace II-I Free Trade Zones in the Dominican Republic 11-47 11-2 Dominican Republic Map 11-52 3-1 Land Available For Energy Farming in the Dominican Republic 3-21 1. EXECUTIVE SUMMARY I-i EXECUTIVE SUMMARY For the past ten years, the Dominican Republic (D.R.) has experienced a series of extended shocks to the economy. Rising petroleum prices, along with a decline in the international price of sugar and stagnation in the country's other traditional exports, have combined with inadequate institutional policies to slow economic growth. Weak economic performance has had its most severe effects on the poorest groups in the society. Against this background, neither the population at large nor Government has paid much attention to the environment. Households have tried to cut their own costs or generate additional income by resorting to practices which often inflLct high costs on the environment. Government has been eager to generate jobs and foreign exchange in the short run, without worrying about environmental consequences. As a result, increasing rates of deforestation, soil erosion, water pollution, inadequate waste disposal, and coastal degradation are combining to rob the country of much of its resource base needed for sustained development. A. GENERAL FINDINGS Institutional Constraints Many of the urban environmental problems in the D.R. can be traced to the inadequate regulatory policies of the national and local levels of government. There are numerous laws and agencies responsible for protecting the country's natural resources, but agency jurisdictions are often overlapping, I-1 regulations are fragmented and enforcement is often nonexistent or inconsistent. The lack of an adequately trained and compensated full time career civil service contributes to poor implementation. There is a general lack of public awareness of the importance of environmental quality to human health and to the basic economic development potential of the country. Although special national conferences have addressed environmental and natural resource3 issues, there is little public media debate or interest in environmental matters. There are no local university programs in natural resources management, urban and regional planning, or related disciplines that could create a continuing focus on the environment, and establish capacity for research and for training of local environmental professionals. National policy authority as well as budget allocations are highly centralized in the Office of the President. This has reinforced the regulatory paralysis within the country, since "independent" authorities can be overridden by personal appeals to the President or his Office. Despite sporadic environmental actions, such as bans on tree cutting, the Office of the President has not made environmental quality a policy priority. Municipal governments are especially weak. They have found themselves overwhelmed by the responsibility to providoc the most basic service functions, like solid waste collection. They are in no position to assume a leadership role in devising or implementing new environmental programs. The main institutional bright spot is the active movement of nongovernmental and private voluntary organizations (NGOs and PVOs). The D.R. has a history of strong NGO-PVO activity. 1-2 This tradition presents an important opportunity for mobilizing resource- to enable people to improve the quality of their lives and environment through collective action outside of government. Economic Development Policy The past ton years have seen a substantial reduction in the rate of economic development within the D.R. From 1979 to 1986, the real GNP growth rate was less than 1 percent annually. Currently, real growth appears to have turned negative. In recent years, however, the tourism industry and free trade zones (FTZs) have experienced significant expansion; potential exists for continued substantial growth in these sectors. Structural adjustments being introduced within the macroeconomic policies of the country should eventually improve the D.R.'s economic performance. However, even with renewed economic growth, the trends in environmental degradation are likely to continue unless major sectoral policy changes are made. Urbanization Trends Over the past decade the rate of urban population growth in the D.R. is estimated to have been about 4.3 percent, compared to a rural growth rate of substantially less than 1 percent and a country-wide rate of slightly over 3 percent. This is one of the highest urbanization ratos in the hemisphere. It is estimated that the urban population, which was 60 percent of the nation's total in 1990, will increase to 77 percent by 2020. 1-3 Rapid urban growth has not been planned for, or accommodated efficiently. Some two-thirds of the urban population live in substandard housing in squatter or partially formalized areas. This population will become an increasingly important focus of environmental issues in the D.R.--both because its consumption patterns (e.g., high consumption of charcoal) often precipitate environmental problems and because its location, at the edge of highly polluted rivers, outside of safe drinking water networks, and in areas difficult to access for solid waste collection, make it especially vulnerable to poor ambient environmental quality. Much of future population growth will be drawn to fragile coastal areas, because of the D.R.'s tourism-led growth strategy. This migration portends intensifying conflict between urban population centers and the natural environment. Inadequate Environmental Information System OnG of the key problems facing the D.R. is a lack of consistont, accessible, and regularly monitored data on pollutant sources and environmental quality. No systems exist for regularly measuring air and water quality; industrial, municipal or residential wastewater discharges; or the enforcement status of various environmental laws and regulations. The lack of objective information makes it difficult to move beyond informed speculation about what future priorities should be. B. PRIORITY ENVIRONMENTAL ISSUES Four priority issues emerged from this assessment: 1.