The Philippines is well on its way toachieving the sanitation target, which is part of a combineddrinking water and sanitation target within the MillenniumDevelopment Goal (MDG). As of 2008, about 76 percent of itspopulation had access to improved sanitation facilities (JMP2010). This is nearly 18 percentage points higher than theestimates for 1990 and 3 percentage points short of the MDGtarget for sanitation. This study aims to generate evidenceon the costs and benefits of sanitation improvements indifferent contexts in the Philippines. Conducted with a viewtowards identifying the most economically efficient optionsunder different conditions, it aims to contribute to thedecision making processes of government, donor agencies, andnon-governmental organizations (NGOs) and otherinstitutions. The study quantified the costs and benefitsassociated with various sanitation options in differentstudy sites. The benefits included the impacts on health,water sources and treatment, access time, and the reuse ofhuman excreta. The costs included capital or investmentcosts and the recurrent costs associated with varioussanitation options. The costs and benefits of the sanitationoptions were synthesized using standard indicators ofeconomic efficiency. These indicators included thebenefit-cost ratio, cost-effectiveness ratio, net presentvalue, internal rate of the return, and payback period ofsanitation options. Cost-effectiveness ratios cost perdisability life year averted, cost per disease case averted,cost per death averted were also calculated.
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