MINISTRY OF FINANCE MINISTRY OF LOCAL GOVERNMENT, RURAL DEVELOPMENT AND CO-OPERATIVES CHITTAGONG WATER SUPPLY AND SEWERAGE AUTHORITY (CWASA) THE PEOPLE’S REPUBLIC OF BANGLADESH PREPARATORY SURVEY ON CHITTAGONG WATER SUPPLY IMPROVEMENT PROJECT IN THE PEOPLE’S REPUBLIC OF BANGLADESH FINAL REPORT VOLUME I MAIN REPORT MARCH 2013 JAPAN INTERNATIONAL COOPERATION AGENCY NJS CONSULTANTS CO., LTD. GE JR(先) 13-035 The cost estimate is based on the price level and exchange rate of December 2012. The exchange rate is: Bangladesh Taka 1.00 = Japanese Yen 0.966 PREPARATORY SURVEY ON CHITTAGONG WATER SUPPLY IMPROVEMENT PROJECT IN THE PEOPLE’S REPUBLIC OF BANGLADESH FINAL REPORT VOLUME I MAIN REPORT TABLE OF CONTENTS LOCATION MAP TABLE OF CONTENTS LIST OF TABLES AND FIGURES ACRONYMS EXECUTIVE SUMMARY ........................................................................................................... ES-1 CHAPTER 1 BACKGROUND AND OUTLINE OF THE SURVEY 1.1 Introduction ......................................................................................................................... 1-1 1.2 Objectives of the Preparatory Survey ................................................................................. 1-2 1.3 Survey Area and Design Year ............................................................................................. 1-2 1.4 Scope of Work for the Preparatory Survey ......................................................................... 1-2 CHAPTER 2 GENERAL DESCRIPTION OF THE CHITTAGONG CITY AREA 2.1 Natural Conditions .............................................................................................................. 2-1 2.1.1 Topography .................................................................................................................. 2-1 2.1.2 Meteorology ................................................................................................................. 2-1 2.1.3 Hydrology ..................................................................................................................... 2-2 2.1.4 Geology ........................................................................................................................ 2-5 2.2 Legislative Condition .......................................................................................................... 2-5 2.2.1 Key Sector Issue ........................................................................................................... 2-5 2.2.2 Water Resource for Water Supply System ................................................................... 2-9 2.2.3 Environmental and Social Considerations .................................................................... 2-9 2.3 Socio-Economy Conditions ................................................................................................ 2-24 2.3.1 General ......................................................................................................................... 2-24 2.3.2 Public Hygiene ............................................................................................................. 2-27 2.3.3 Sanitation and Sewerage .............................................................................................. 2-29 i 2.3.4 Commerce and Industry ............................................................................................... 2-30 2.3.5 Electricity Power Supply Situation in Bangladesh ....................................................... 2-34 2.4 Land Use ............................................................................................................................. 2-36 2.4.1 Existing and Future Land Use ...................................................................................... 2-36 2.5 Water Supply Sector Institutional Arrangement in Chittagong .......................................... 2-37 2.5.1 General ......................................................................................................................... 2-37 2.5.2 Chittagong Water Supply and Sewerage Authority (CWASA) ................................... 2-38 2.5.3 Chittagong City Corporation (CCC) ............................................................................ 2-38 2.5.4 Chittagong Development Authority (CDA) ................................................................. 2-38 2.5.5 Department of Public Health Engineering (DPHE) ..................................................... 2-38 2.5.6 Department of Environment (DOE) ............................................................................. 2-38 CHAPTER 3 EXISTING WATER SUPPLY AND ON-GOING WATER SUPPLY PROJECT 3.1 Existing Water Supply System and Facilities ..................................................................... 3-1 3.1.1 Existing Water Supply Services in Chittagong City. ................................................... 3-1 3.1.2 Outline of Existing Water Supply Systems in Chittagong City. .................................. 3-2 3.1.3 Major Water Supply Facilities in Existing Water Supply System ............................... 3-3 3.2 On-going and Planned Water Supply Studies and Projects ................................................ 3-17 3.2.1 Karnaphuli Water Supply Project (Phase 1) ................................................................. 3-17 3.2.2 Project for Advancing NRW Reduction Initiative (PANI) .......................................... 3-20 3.2.3 Chittagong Water Supply Improvement and Sanitation Projects (financed by the World Bank) ................................................................................................................. 3-23 3.2.4 Emergency Water Supply Project financed by GOB ................................................... 3-24 3.3 Organization and Activities of CWASA ............................................................................. 3-24 3.3.1 Historical Background and Legal Status of CWASA .................................................. 3-24 3.3.2 Organization and Staffing of CWASA ......................................................................... 3-25 3.3.3 Current Activities for Institutional Improvement of CWASA ..................................... 3-32 3.3.4 Partnership Framework among Bangladesh Government and Development Part- ners ............................................................................................................................... 3-35 3.4 Financial Status of CWASA ............................................................................................... 3-35 3.4.1 Overview of CWASA’s Current Financial Situation .................................................... 3-35 3.4.2 CWASA’s Financial Structures and Sustainability ...................................................... 3-43 3.4.3 Review of Current Water Revenue............................................................................... 3-44 3.4.4 Review of Current Connection Charges ....................................................................... 3-48 3.4.5 Debt Service Requirements for Loans .......................................................................... 3-48 CHAPTER 4 WATER DEMAND PROJECTION IN THE SURVEY AREA 4.1 Population Projection .......................................................................................................... 4-1 ii 4.1.1 Population Census Results ........................................................................................... 4-1 4.1.2 Population Projection ................................................................................................. 4-4 4.2 Unit Water Consumption .................................................................................................... 4-8 4.3 Service Connection Percentage by Type of Housing for Domestic Water Supply ............. 4-12 4.4 Water demand projection for Commercial, Institutional and Industrial Uses .................... 4-12 4.5 NRW Percentage and Leakage Percentage ......................................................................... 4-13 4.6 Manner of Water Demand Calculation ............................................................................... 4-14 4.7 Water Demand Projection in CCC Area ............................................................................. 4-15 CHAPTER 5 ESTABLISHMENT OF KARNAPHULI SERVICE AREA 5.1 Manner of the Selection of Wards to Include in Karnaphuli Service Area ........................ 5-1 5.2 Selection of Wards to be covered by Karnaphuli Service Area .......................................... 5-1 5.3 Basic Concept and Manner of Operation of Karnaphuli Water Supply System ................. 5-5 5.3.1 Justification of KSA ..................................................................................................... 5-5 5.3.2 FAQs regarding KSA ................................................................................................... 5-7 CHAPTER 6 DISTRIBUTION SYSTEM 6.1 Planned Arrangements for Distribution Networks .............................................................. 6-1 6.2 Configuration of Distribution System for Karnaphuli Service Area .................................. 6-2 6.2.1 Manner of Study for the Establishment of Distribution Networks in Karnaphuli Service Area ................................................................................................................. 6-2 6.2.2 Water Transmission Method from Nashirabad Reservoir to Distribution Reser- voirs/Elevated Tanks ...................................................................................................