ANALYSIS OF SOCIAL RETURN ON INVESTMENT FOR THE SEKAR ARUM DOMESTIC WASTEWATER MANAGEMENT SYSTEM IN MALANG

The study focuses on the analysis of the Social Return on Investment (SROI) of the Sekar Arum Centralized Wastewater Treatment System (SPALD) in Malang, Indonesia. The research attempts to answer the main question regarding the economic, social, and environmental impacts produced by this program. The research methodology involved collecting both quantitative and qualitative data and consulting with stakeholders to understand their perceptions of the value and benefits of this initiative. The main findings suggest that investments in sanitation produce broad and multiplying benefits, including improved public health, reduced environmental pollution, and enhanced quality of life. The thesis delves into the significant implications of investing in sanitation and offers recommendations for increasing the effectiveness of the SPALD program. In conclusion, this thesis strengthens the understanding that investment in sanitation is a profitable and sustainable strategy that can help improve societal well-being and environmental health.


INTRODUCTION
In realizing universal access to clean water and sanitation according to the sixth agenda of the Sustainable Development Goals (SDGs), central and regional governments face various challenges, including limited funding and involvement of all parties (inclusion) (Santoso, 2018).The Indonesian government shows a strong commitment to achieving the SDGs targets by adopting 169 SDGs indicators into the 2020 -2024 RPJMN.According to Budiono (2012), challengelimited sources of financing require that the preparation of infrastructure provision programs to support the SDGs targets be carried out selectively and based on a priority scale, prioritizing the provision of basic clean water and sanitation infrastructure.Meanwhile, kThe success of implementing the program to provide http://eduvest.greenvest.co.id increasing community capacity in creating positive change.The resulting impacts include increasing social cohesiveness, community ability to meet family needs, community capacity, and community pride in the history of their ancestors.The program has generated financial and social benefits, which in turn drives transformation for stakeholders and helps the company achieve its goals.
This research refers to a study conducted by Purwohedi and Gurd (2019), which used SROI to measure the effectiveness of sanitation projects in the form of Communal Based Waste Water Treatment Plants (IPAL Komunal) in Gresik Regency and develop an SROI calculator application.The study explains that there are 49 sanitation facility locations in Gresik Regency, data collection was carried out through interviews at four locations involving 75 households.The calculation results show that the SROI ratio for the Communal IPAL in Gending Village, Gresik is 1: 1.19, which means that every 1 Rupiah invested produces 1.19 Rupiah in the outcome value obtained.
The novelty of this research lies in the location and demographics of the research object which is in an urban area and serves residents who live around the river, in this case the Metro River.The demographics of Malang City, which is the second most populous city in East Java Province after Surabaya, with a population density of 7,806 people per square km, makes SPALD Sekar Arum very important in maintaining environmental quality and river cleanliness.Collaboration between the PUPR Ministry, Malang City PUPRPKP Service, Kayutangan Sacred Heart Church Foundation, and the local community makes SPALD Sekar Arum unique and has the potential to become a role model for implementing the principle of inclusion in the provision of sanitation infrastructure.The approach used in this research is a case study with a single case Yin (2018).
In the context of domestic wastewater management in Indonesia, research investigating the economic, social and environmental impacts related to sanitation infrastructure in the form of SPALD is still limited, especially in Malang City.This indicates that there is a lack of information regarding how domestic wastewater management systems affect people's lives and the surrounding environment.This method has the potential to provide a more comprehensive picture of the impacts generated by domestic wastewater management systems, but has not been widely explored by researchers.Furthermore, there are no studies that focus on analyzing the effectiveness of domestic wastewater management in Malang using the SROI approach.
The aim of this research is to analyze the effectiveness of the performance of the Sekar Arum Domestic Waste Water Management System (SPALD) using the performance of Social Return on Investment.validity of the data produced in the study.Therefore, researchers considered the characteristics and objectives of the research, as well as the data requirements needed in the SROI analysis of SPALD Sekar Arum in Malang City.

Data Reduction
According to Creswell and Poth (2016) the data obtained during qualitative research is often very abundant and complex, therefore a process of simplifying and organizing the data that has been collected is needed so that it is easier to analyze or what is called data reduction.

Data Interpretation
Data interpretation is the process of understanding and explaining the meaning of data that has been collected, simplified, and organized through data reduction.In this section, the researcher will explain how the reduced data will be interpreted to understand the economic, social and environmental impacts of SPALD Sekar Arum

Data analysis
The data analysis method used to answer the problem formulation uses guidelines compiled by Nicholls et al., (2009)

Establish scope
Determining the scope is the initial stage of the Social Return on Investment analysis process, using data obtained from in-depth interviews, field observations and documentation studies, the description of the scope of the analysis is as follows: 1) Analysis Object The analysis was carried out on the Sekar Arum Domestic Waste Water Management System (SPALD), which functions to manage waste water originating from residential or household activities to maintain environmental quality and support community http://eduvest.greenvest.co.id health and welfare.SPALD Sekar Arum services include collection, treatment and disposal of waste water guided by standards set by the government.
2) Funding and contributions In realizing SPALD Sekar Arum, funding sources come from various entities.The main source of funding comes from the central government through the PUPR Ministry, and is supported by regional government funds and contributions from user or beneficiary communities.These funding sources are then used to create domestic wastewater management facilities both at the socialization, construction and postconstruction stages.The time period used in the SROI analysis in this research will cover the period from the beginning of the use of SPALD Sekar Arum until the time the research was conducted.This is intended to measure the short-term and long-term impacts of domestic wastewater investment and management.

6) Forecast or Evaluation
The approach used is "evaluation" to assess the impact that has been produced by SPALD Sekar Arum over the period of time that has passed, starting from the beginning of planning and construction until now.The evaluation approach measures the social, economic and environmental impacts that have been achieved, as well as assessing the effectiveness of investment and domestic wastewater management.An evaluation approach can also help identify areas that require improvement or changes in the management of SPALD Sekar Arum to achieve more optimal results.

Identify Stakeholders
Through in-depth interviews, observations and document studies, information was obtained that the stakeholders who contributed and were involved in realizing SPALD Sekar Arum, both directly and indirectly, consisted of the central government, regional government, private sector and the community.A summary of stakeholders and their roles in realizing the program is as follows: Sekar Arum SPALD user community a. Contribute in the form of contributions (incash) and non-contribution contributions (inkind) b.Participate in using, maintaining, and supervising Source: data processing

Impact Mapping
Preparing impact maps aims to ensure that only outcomes that are important to stakeholders are measured and assessed, then arranged in five steps, namely problems, inputs, activities, outputs and outcomes (Then et al., 2017).

Building an Impact Map
An impact map is a visual tool that helps to understand how problems, interventions are carried out and the conditions that are expected to occur due to these interventions are structured using a theory of change (Then et al., 2017).In the implementation of SPALD Sekar Arum, the impact map is described as follows: http://eduvest.greenvest.co.id

Identifying Input
Information regarding the resources (input) used to realize SPALD Sekar Arum was obtained through an in-depth interview process and documentation study.Input includes everything that is essential to ensure the program can be realized, operate and obtain the expected results involving both financial and non-financial resources.The following table summarizes the identification of these inputs: Source: processed data The data listed in the input table is obtained from information in the form of resources needed to run the Sekar Arum SPALD program and how they interact with each other.This helps in identifying how these resources are used to create the desired social, economic and environmental impacts.

Rate Inputs
Table 3 Monetary value of increased skills and competencies.

5.
Improved operational quality due to increased knowledge and skills.
Evaluation of wastewater treatment system performance.
The monetary value of improving water quality.

6.
Increasing community independence in managing waste water in their environment.
Number of community initiatives in wastewater management.
Monetary value of increased independence and efficiency in waste management.7.
Increased efficiency which can have an impact on reducing operational costs.
Comparison of operational costs before and after program implementation.
Save operational costs.

8.
Job creation from SPALD construction activities.

Number of jobs created during SPALD construction.
The total salary or wages paid to workers.9.
Increased business sales around SPALD.
Increase in income or sale of businesses around SPALD.
Total increase in sales or revenue.10.Improving the quality of public health due to the reduction of diseases related to wastewater.
Reducing the number of cases of diseases related to waste water.
Health costs that can be saved.
11. Improved environmental quality due to effective wastewater treatment and reduced pollution.

Improvement of environmental quality indicators such as BOD, COD, TSS in processed water
The monetary value of improving environmental quality.
12. To become a place of learning about communal WWTP management for practitioners, students and the general public, thereby increasing knowledge and awareness about the importance of effective and environmentally friendly wastewater management.

Number of visits or training held at SPALD Sekar Arum.
Monetary value of knowledge and skills acquired by participants.
13. Improving people's comfort by reducing odors and insects associated with untreated wastewater.
A survey on people's perceptions of smells and insects in their surroundings.
The monetary value of the increased quality of life and convenience.
14. Increase the aesthetic value of the environment.
Survey on public perception of the beauty and cleanliness of the environment.
The monetary value of increasing the neatness and beauty of the environment.15.Avoid misuse of unused space.
Evaluation of land use before and after the construction of SPALD.
Monetary value of increased effective land use.

Outcome data collection
Through FGD (Focus Group Discussion) with beneficiary communities conducted in several stages.The total FGD participants were 94 family representatives in the SPALD Sekar Arum operational area, preceded by the presentation of the objectives and discussion topics to the participants.Discussion participants were given the opportunity to ask questions to better understand the purpose of the FGD so that various experiences regarding waste water management that had been carried out by SPALD Sekar Arum could be explored.Participants were involved directly to discuss the influence of the SPALD Sekar Arum program on their lives, including behavior changes, increased awareness, and support for the program.
Collecting data from measurement proxies of the nature of "willingness to pay" to explore the extent of the community's willingness to pay as a form of assessing indicators for the results of the SPALD Sekar Arum program.This data is measured through a series of questions and discussions specifically designed to evaluate the extent to which the community is willing to appreciate the impact of the program.

Determine how long the outcome will last
The duration of the effect or impact that is being measured from the results of the intervention in the form of SPALD Sekar Arum describes the impact duration, aiming to find out how long the impact resulting from the intervention can last and provide benefits to stakeholders.A summary of how long outcomes can last is as follows:

Table 8. The length of the outcome can last
Source: processed data The outcome in the form of "increased income" was mostly generated from the construction process of the Sekar Arum Domestic Wastewater Management System (SPALD).The reason why this outcome lasted only one year is because this source of income is temporary and directly related to the duration of Sekar Arum SPALD construction.

Placing a value on the outcome
A monetary value is assigned to each identified outcome.Various approaches are used, such as market prices, standard or reference prices, ratios, and values according to the type of outcome and available data.This process ensures that the social and environmental impacts of the intervention in the form of SPALD Sekar Arum can be measured and appreciated in monetary terms, helping to communicate the benefits of the intervention more effectively and understandably.A summary of the outcome assessment is presented in the following table : 10.

Improve the river ecosystem
The volume of wastewater treated by SPALD Sekar Arum Costs required to treat domestic wastewater -Data acquisition was carried out through FGD

No Outcomes
The length of the outcome lasts Information 1.

Increased revenue 1 year
This source of income is temporary and directly related to the duration of SPALD Sekar Arum construction.

2.
Improving the quality of SPALD operationalization 50 years Following the useful life of SPALD Sekar Arum 3.
Improving the quality of public health 50 years Following the useful life of SPALD Sekar Arum 4.
Awareness raising, Behavior change, and Community support for SPALD 50 years Following the useful life of SPALD Sekar Arum 5.
People who socialize more often 50 years Following the useful life of SPALD Sekar Arum 6.
Become a place of learning about communal WWTP 50 years Following the useful life of SPALD Sekar Arum 7.
Environmental quality improvement 50 years Following the useful life of SPALD Sekar Arum 8.
Increase people's comfort 50 years Following the useful life of SPALD Sekar Arum 9.
Increase the aesthetic value of the environment 50 years Following the useful life of SPALD Sekar Arum 10.Improve the river ecosystem 50 years Following the useful life of SPALD Sekar Arum http://eduvest.greenvest.co.id

Deadweight and Displacement
Deadweight is a change that is expected to occur even without intervention (Nicholls et al., 2012).In this analysis, the value of each outcome is obtained by only assessing the benefits of SPALD Sekar Arum.Meanwhile, Displacement is the negative impact of an intervention, for example, whether the intervention causes a decrease in results elsewhere.A summary of Deadweight and Displacement is shown in the following table : Table 10.Deadweight and Displacement

Attribution
Attribution is the proportion of impact that can be attributed to other parties.A summary of the proportion of impact that can be attributed to other parties is shown in the following table:

Drop Off
The impact of the intervention in the form of SPALD Sekar Arum will decrease over time.The drop-off concept provides a realistic and accurate picture of how long the positive impact of the intervention in the form of SPALD Sekar Arum can last.The summary of the SPALD Sekar Arum drop-off program is as follows: Table 12.Drop off

Calculating Effects of Researcher Interventions
In this study, researchers did not provide direct intervention in the implementation and management of SPALD Sekar Arum in Malang City.Researchers only act as observers and analysts who collect and analyze data related to the results achieved from the project.
The main interventions in the SPALD Sekar Arum program are the construction of sanitation infrastructure, outreach and training, carried out by the Government and other involved parties.Therefore, the researcher's influence or contribution to the results observed in this study is considered zero or non-existent.So the outcome value after fixation is as follows: SROI analysis with an evaluative approach focuses on measuring the impact of an intervention that has occurred.So that the data collected and processed provides information about what has happened and its impact is measured.In projective SROI research, the Net Present Value calculation method is used to predict the future impact of a project or intervention.NPV is needed to measure future financial profits by considering the time value of money, which is the concept that money owned now is more valuable than the same amount of money in the future.
In the context of evaluative SROI research, Net Present Value (NPV) is not calculated.So that the main focus of this study is to evaluate the impact that has occurred, not to predict or forecast future impacts, so that actual and concrete impact measurements can be obtained.

Calculating the ratio
The investment or input value used to realize SPALD Sekar Arum in Malang City is IDR 507,200,000,-which includes organizing outreach and training, building SPALD Sekar Arum infrastructure, as well as monitoring and evaluation.All of these elements contribute to achieving the main objectives of the program, namely increasing community awareness and commitment and providing adequate sanitation facilities to manage domestic wastewater well.
Meanwhile, the return value or impact value resulting from this investment after 6 years (after Drop-off) reached IDR 747,841,851,-which includes economic, social and environmental impacts that occur as a direct result of investments and activities that have been carried out.Thus, the SROI ratio of this study is IDR 747,841,851 divided by Rp. 507,200,000.the benefit obtained is IDR 1.47,-.The assessments and assumptions used in this analysis are lower limit assessments.Therefore, the value obtained is the minimum value and the sensitivity can be said to be high.So while the current SROI ratios portray a positive situation, it also means that small changes in these assumptions could have a sizeable impact on the final SROI assessment results.Therefore, good monitoring and evaluation is needed to ensure that the program is running according to plan to achieve the desired results.

Payback Time
Through the analysis of Social Return on Investment SPALD Sekar Arum in Malang City, information is obtained that the time needed to return the investment capital of IDR 507,200,000, -which is returned through the economic, social and environmental benefits generated by the SPALD Sekar Arum program will return or BEP in the fourth year, with the following calculations: The total outcome value for the 6 year period is IDR 747,841,851,-so the average outcome value per year is: IDR 747,841,851,-/ 6 years = IDR 124,640,308.5,-peryear So, the investment break-even point is obtained by dividing the total investment by the average outcome value per year: IDR 507,200,000,-/ IDR 124,640,308.5,-peryear = 4.07 years So, based on these calculations the Sekar Arum SPALD program reached a breakeven point after about 4.07 years, or about 4 years and 1 month, after the Sekar Arum SPAD was built.This means that after the program has been running for six years, a return on capital and excess benefits have been obtained from the benefits felt by the community from the total economic, social and environmental value generated.This shows that the SPALD Sekar Arum program can generate benefits that exceed the investment capital in that time period.

CONCLUSION
Based on the results of the SROI analysis that has been carried out, it can be concluded that the Sekar Arum Domestic Wastewater Management System (SPALD) program in Malang City has had a significant positive impact.In a six-year period, with an http://eduvest.greenvest.co.id investment value of IDR 507,200,000, an outcome value of IDR 747,841,851 has been produced.
The resulting SROI ratio is 1:1.47,meaning that every IDR 1 invested generates an added value of IDR 1.47.With the return on investment or BEP (Break Even Point) reached in the fourth year, it shows that SPALD Sekar Arum has effectively had a positive impact on the community.Considering that SPALD Sekar Arum is a program that is not directly aimed at increasing the economic capacity of the community but can have a significant impact Furthermore, this program also supports the achievement of the Sustainable Development Goals (SDGs), especially in terms of increasing access to sanitation for the community.In other words, SPALD Sekar Arum shows that programs designed to preserve the environment and prevent pollution can also contribute to improving the economy and community welfare.
This shows that investment in the SPALD Sekar Arum program not only brings social and environmental benefits, but also economic benefits for the surrounding community.By seeing these results, it is hoped that stakeholders can see the importance of this kind of investment and plan similar programs in the future to improve community and environmental welfare.
The collaboration that exists between the Ministry of PUPR, PUPR PKP Malang City Service, the private sector, and the active participation of the community also plays an important role in achieving the effectiveness of SPALD Sekar Arum.These stakeholders, through their respective roles and contributions, have supported the effective implementation and management of SPALD Sekar Arum.The Ministry of PUPR and the Public Works and Public Housing Agency PKP Malang City provide support in terms of funding and regulation, the private sector contributes through technical know-how and best practices, while the community actively participates in the use and maintenance of the facility.Collaboration like this not only results in more holistic solutions to water pollution issues, but also supports the achievement of more sustainable and impactful outcomes.
which defines SROI in six stages.The following is an explanation of the six stages of SROI.Stage 1, Establishing the Scope and Identifying Stakeholders, includes: (1) Build scope, (2) Identify stakeholders, and (3) Decide how to involve stakeholders Stage 2, Impact Mapping In building an Impact Map researcher must be able to ensure that only outcomes that are important to those directly affected are measured and assessed.There are five steps when filling out an Impact Map: (1) Start on the Impact Map, (2) Identifying input, (3) Rate inputs, (4) Output clarification, and (5) Describe the outcomes Stage 3: Proving Outcomes and Giving Them Value, includes: (1) Develop outcome indicators, (2) Collection of outcome data, (3) Determine how long the outcome will last, (4) Placing a value on the outcome Stage 4: Building Impact (Impact) Determine the significant impacts to be able to reduce the risk of overclaiming and the means that the analysis will be more credible, including the stages: (1) Deadweight and Displacement, (2) Attribution, (3) Drop off, and (4) Calculating Effects of Researcher Interventions Stage 5: Calculating Social Return on Investment (SROI), includes stages: (1) Calculates net present value, (2) Calculating the ratio, (3) Sensitivity analysis, and (4) Payback time Stage 6: Reporting, Using and Embedding, includes the stages: (1) Reporting to stakeholders, (2) Using the results, and (3) Convincing

Table 2 . Input Identification
-Ensure that implementation is according to plan and program results meet standard criteria, as well as providing direction for improvement if discrepancies are found Stakeholders: KSM Sekar Arum Dani Hermansyah Analysis of Social Return on Investment for The Sekar Arum Domestic Wastewater Management System in Malang 1624

Table 4 . Output clarification
Describe the outcomesA summary of the outcomes achieved from the various outputs produced is as follows: built http://eduvest.greenvest.co.id

Proving Outcomes and Giving Value to Outcomes, Including: Develop outcome indicators
Set specific indicators to measure each outcome that has been identified.The indicators aim to track and measure changes that occur as a result of the SPALD Sekar Arum intervention.A summary of SPALD Sekar Arum outcome measurement indicators is presented in the following table:

Table 7 . Outcome data collection
Dani HermansyahAnalysis of Social Return on Investment for The Sekar Arum Domestic Wastewater Management System in Malang 1628

Table 13 . Outcome value after fixation Source: processed data Calculating Social Return on Investment (SROI), Includes the Following Stages Calculating net present value (NPV)
Changes in the assumptions used in the SROI calculation can affect the final results of the Social Return on Investment Analysis of the Sekar Arum Domestic Waste Water Management System in Malang City.The description of the sensitivity analysis in this study is as follows: 1. Changes in Investment Costs: If the investment costs for this program change, either increase or decrease, this will affect the SROI value.For example, if investment costs increase, the SROI ratio will decrease, and vice versa.2. Changes in Return Value: The return value of IDR 747,841,851,-is based on various factors, including the number of officials and communities who take part in socialization and training, as well as increases in environmental quality scores.If there is a change in any of these factors, for example the number of participants or outreach costs decreases, then this will reduce the return value and therefore the SROI ratio.3. Changes in Social and Environmental Impacts: Changes in increasing public awareness, changing behavior, and environmental quality will also affect the SROI score.If the value of the social and environmental impacts is less than what has been calculated, the SROI value will decrease.