By Sheldeen Joy Talavera, Reporter
Customers in Metro Manila and nearby areas may have to brace for higher water bills starting April because the regulator approved the 2 concessionaires’ applications for rate hikes attributable to foreign exchange movements.
The Metropolitan Waterworks and Sewerage System Regulatory Office (MWSS RO) approved a rate hike of P0.04 per cubic meter (cu.m.) for Manila Water Co. Inc., and a rise of P0.09 per cu.m. for Maynilad Water Services, Inc., the agency said in an announcement on Friday.
Customers served by Manila Water within the east zone who devour 10 cu.m. or less will see their water bills go up by P0.14. Those devour as much as 20 cu.m. and 30 cu.m. may have to pay an extra P0.29 and P0.58, respectively.
Meanwhile, Maynilad customers within the west zone who devour 10 cu.m. or less will see an upward adjustment of P0.27 of their bills next month. Those that consumes as much as 20 cu.m. and 30 cu.m. will see their bills increase by P1 and P2.07, respectively.
The tariff increase may have less impact on low-income households who’re beneficiaries of the improved lifeline program of Manila Water and Maynilad.
The upward adjustments were approved as a part of the foreign currency differential adjustment (FCDA).
The FCDA is a tariff mechanism which allows water concessionaires to regain losses or return gains by the movement of peso against other foreign currency. The businesses pay foreign currency-denominated concession fees to MWSS, in addition to loans which are used to finance projects to expand and improve water and sewerage services.
Meanwhile, the MWSS RO penalized Maynilad amounting to P42.57 million for the prolonged water service interruptions that occurred within the southern portion of the west concession area last month.
The regulator said that investigation showed that the corporate failed to satisfy its service obligation of providing uninterrupted 24-hour supply of water at a minimum pressure of seven kilos per square inch to 98,331 customers throughout the Putatan Water Treatment Plant and Poblacion Water Treatment Plant Supply Zones.
Consequently, Maynilad may have to refund P432.92 per affected water service connection, to be reflected in customers’ water bills by next month.
Manila Water serves the east zone network of Metro Manila, covering parts of Marikina, Pasig, Makati, Taguig, Pateros, Mandaluyong, San Juan, portions of Quezon City and Manila, and a number of other towns in Rizal province.
Maynilad serves parts of Manila, Quezon City, and Makati, in addition to Caloocan, Pasay, Parañaque, Las Piñas, Muntinlupa, Valenzuela, Navotas, and Malabon. It also supplies water to the cities of Cavite, Bacoor, Imus, and the towns of Kawit, Noveleta, and Rosario in Cavite province.
Metro Pacific Investments Corp., which has a majority stake in Maynilad, is one among three Philippine units of First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT Inc.
Hastings Holdings, Inc., a unit of PLDT Helpful Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls.