Bali is facing a serious clean water shortage. This crisis is particularly affecting areas near major tourist resorts, especially in Badung Regency, which includes popular destinations such as Canggu, Seminyak, Legian, Kuta, Jimbaran, and Uluwatu. These locations are not only popular among tourists but are also prime opportunities for real estate investment.
The increasing water scarcity is a significant concern for both residents and investors. As tourism drives Bali’s economy, the pressure on water resources is becoming unsustainable, potentially impacting property values and investment opportunities.
Badung Regency lacks adequate water sources
Acting Regent I Ketut Suiasa revealed that Badung depends on several raw water sources that are not fully under its control, including the Estuary Dam, Belusungan, and Penet. Even with the expected completion of the Sidan Dam, the additional water supply will be shared with other regions such as Denpasar, Gianyar, and Tabanan. As a result, Badung’s water shortage issues will remain unresolved.
Suiasa explained, “We are not in a water surplus; rather, we are facing a shortage. The evidence is that we have not been able to manage our water supply for 24 hours.” This reliance on shared resources underscores the vulnerability of Badung’s water infrastructure, raising concerns about future developments and property investments.
Increasing demand outpaces water capacity in South Badung
The increase in tourism and population growth in South Badung has resulted in a higher demand for water, which is not being met by an expansion in water supply capacity. The area’s unique topology and geography make it challenging to improve water infrastructure, leading to a deficit rather than a surplus of water.
Suiasa stated, “This is a fundamental issue regarding clean water, and it is unlikely to be resolved in the near future.” The imbalance between supply and demand may lead to water restrictions, impacting daily life and business operations in the region. This is a crucial consideration for potential investors.
Government efforts to alleviate the water crisis
The government is launching initiatives like installing new pipelines, developing reservoirs, and exploring partnerships with private sector entities to manage water resources more effectively. However, these solutions will not provide immediate relief, and the crisis cannot be resolved quickly.
Suiasa mentioned that exploring cooperation with third parties is an option. “We are continually working to implement programs that address the water crisis,” he stated. However, he emphasized that “this systematic crisis cannot be resolved quickly,” indicating that it requires long-term planning and investment.
Some developments are integrating sustainable water solutions
While not common, some tourism and residential projects are beginning to adopt sustainable water practices. For instance, the Nuanu Property Group’s Ecoverse project features renewable energy, waste treatment systems, osmosis water filters, and rainwater collection traps. These initiatives not only address the issue of water scarcity but also attract environmentally conscious investors and tourists.
Many developments often overlook their environmental impact, resulting in negative consequences for local communities, tourists, wildlife, and the landscape. The absence of sustainable practices in various projects worsens the water crisis, highlighting the urgent need for responsible investment and development.
What does Bali’s water crisis mean for property owners?
For foreigners looking to invest in Bali real estate or purchase a holiday home, it’s crucial to consider the water crisis. Properties located in areas experiencing water shortages may face challenges that can impact their value and rental income potential. Investors should prioritize developments that adopt sustainable water management practices and carefully evaluate the infrastructure of any property they are considering.
Gaining insight into local issues and government responses can assist investors in making informed decisions. The water crisis emphasizes the significance of sustainability in real estate development, which may greatly affect Bali’s property market future.
