Gov’t inks concession deal with Manila Water

Gov’t inks concession deal with Manila Water

MANILA – Justice Secretary Menardo Guevarra said Wednesday the government’s revised agreement with water concessionaire Manila Water Company, Inc. (MWCI) has been signed, while a new deal with Maynilad Water Services, Inc. would be taken up after the Holy Week. 

“The new concession agreement with Manila Water has been signed by the parties. The panel will start discussions with Maynilad after the Holy Week,” Guevarra said, adding that the Manila Waterworks and Sewerage System (MWSS) signed for the government.

The review panel included representatives of the Office of the President, Department of Finance, Office of the Solicitor General, Office of the Government Corporate Counsel, and Vince Dizon of the Bases Conversion and Development Authority.

The revised deals came after President Rodrigo Duterte threatened to revoke the contracts with the two water concessionaires and fire MWSS officials when water service interruptions hit Metro Manila and nearby areas in 2019.

The President subsequently ordered the Department of Justice (DOJ) to review and remove onerous provisions in the deals and discuss proposed revisions to the existing contracts.

The MWCI and Maynilad get water supply from the Angat Dam for delivery to customers in their service areas that include Metro Manila and parts of Cavite and Rizal provinces.

The MWCI is a joint venture led by the Ayala Corp. Its franchise area covers Mandaluyong, Marikina, Pasig, Pateros, San Juan, Taguig, Makati, and parts of Quezon City and Manila.

It also services Antipolo City and the Rizal towns of Angono, Baras, Binagonan, Cainta, Cardona, Jala-Jala, Morong, Pililla, Rodriquez, Tanay, Taytay, and San Mateo.

Maynilad, on the other hand, was originally a partnership between Benpres and Lyonnaise des Eaux of France.

In 2006, they pre-terminated their contract.

DM Consunji, Inc. and Metro Pacific Investments Corp. then won the bid for 84 percent of Maynilad shares and the unexpired term of the Lopez group.

Maynilad manages and operates water and waste-water services in the cities of Manila, Pasay, Parañaque, Caloocan, Muntinlupa, Las Piñas, Valenzuela, and parts of Makati and Quezon City, as well as Navotas and Malabon.

Its franchise area also covers parts of Cavite, including Cavite City and the municipalities of Bacoor, Imus, Kawit, Noveleta, and Rosario. (PNA)

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