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With a 270 million Indonesian population, domestic wastewater is one of the major contributors to wastewater generated from human activities. This review aimed to give an overview of the current state of domestic wastewater generation, characteristics and treatment systems in Indonesia. Overall, grey water quantity in Indonesia was 1 to 4 times higher than black water quantity, while the quantity of untreated grey water was 3 to 6 times higher than untreated black water. Parameters of concern include suspended solids, biochemical oxygen demand, chemical oxygen demand, oil and grease, nitrogen and coliforms. Our analysis shows that grey water can be a significant source of water pollution due to the large quantity and lack of treatment. In addition, black water treatment that relies mainly on on-site treatment is often inadequate due to the lack of quality control for the infrastructure, operation and maintenance. An incentive or penalty scheme to build and ensure the quality of domestic wastewater treatment is required and can be applied at the household, community or central (city) level., (© 2022. The Author(s), under exclusive licence to Springer-Verlag GmbH Germany, part of Springer Nature.)