ILOILO City – Consumers in this city and nearby municipalities should prepare for a possible water rate adjustment next year.
According to the Metro Iloilo Water District (MIWD) general manager Alfredo L. Tayo III, the proposed adjustment is currently awaiting approval from the Local Water Utilities Administration (LWUA).
The adjustment would affect consumers in Iloilo City’s districts of Jaro, Molo, Mandurriao, La Paz, City Proper, and Arevalo, as well as the municipalities of Maasin, Cabatuan, San Miguel, Santa Barbara, Oton, Pavia, and Leganes.
“We have completely submitted all requirements to LWUA, and while we are hopeful for next year, the exact date depends on their decision,” said Tayo.
The Metro Pacific Iloilo Water (MPIW), a joint venture between MIWD and Metro Pacific Water Investments Corp., proposed an increase from the current basic rate of P20 per cubic meter to P29.19.
MIWD acts as the regulator, while MPIW oversees operational aspects such as system maintenance, expansion, and rehabilitation.
Lowest Rate Among Urbanized Areas
Tayo emphasized that even with the proposed increase, the rate remains among the lowest in similar urbanized areas.
He noted that this would be the first adjustment in six years despite significant rises in operational costs, including a 33% hike in bulk water prices and a 74% increase in material costs since 2019.
The adjustment would not fund capital expenditures (CAPEX) like infrastructure projects but would cover operational expenditures (OPEX) such as salaries, electricity, and fuel.
Public Consultations Completed
MPIW conducted a series of public consultations from May 27 to 30 this year in Iloilo City and the seven municipalities it serves. These consultations were part of the compliance requirements for the rate adjustment application.
In a letter to the Iloilo City Council, MPIW chief operating officer Angelo David Berba highlighted the company’s commitment to transparency, submitting a five-year service improvement plan and project updates. The City Council, in turn, passed a resolution urging LWUA and MPIW to ensure thorough consultations.
Public consultations included live sessions, media coverage, and house-to-house information campaigns. The efforts aimed to ensure residents understood how the proposed adjustment would support operational sustainability and service improvements.
Sustained Commitment Amid Rising Costs
Since its joint venture agreement in 2019, MPIW has absorbed rising operational costs without increasing rates. Fuel, chemicals, labor, and permitting costs have all risen sharply during this period.
“Despite these challenges, MPIW has not adjusted rates, underscoring its commitment to efficient and affordable water services for Iloilo City and nearby areas,” Berba said.
LWUA is currently reviewing the tariff application, which outlines the need for the adjustment to sustain operational efficiency and ensure improved water services for concessionaires in the region.
The public and stakeholders await LWUA’s final decision, which will determine the timeline for the rate adjustment./PN
