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BY GLENDA TAYONA
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Tuesday, March 6, 2018
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Iloilo City’s water rate ‘lowest in Region 6’
ILOILO City – Metro Iloilo Water District (MIWD) is in the red. It is burdened by operating expenses and is unable to generate revenue, so it has to increase its water rate. So said its officials.
According to General Manager Imelda Magsuci, the last time MIWD increased its rate was in 2004 or 14 years ago.
“Indi na ka-cope ang water district sa operational expenses because of the inflation,” said Magsuci.
Inflation is the general increase in the prices of goods and services.
The current MIWD rate is P159 per 10 cubic meters of water, or P15.90 per cubic meter of water.
According to Amarylis Josephine Castro, chairperson of MIWD’s Water Rates Committee, this is actually the lowest among the rates of various water districts in Western Visayas.
She cited 2016 figures from the Local Water Utilities administration (LWUA) which showed the following rates:
* Metro Roxas Water District – P252 per 10 cubic meters of water
* Bacolod City Water District – P208 per 10 cubic meters of water
* Metro Kalibo Water District – P205 per 10 cubic meters of water
* Dumangas-Barotac Water District – P283 per cubic meters of water
* Buenavista Water District – P205 per 10 cubic meters of water
MIWD’s proposed new rate is P200 per 10 cubic meters of water or P20 per cubic meter. This is P41 more (or 26 percent higher) than its current rate.
Its P12.349-billion 25-year water distribution joint venture with MetroPac Water Investments Corp. (MWIC) had nothing to do with the proposed rate increase, stressed MIWD.
According to Engr. Arnold Laurente, chairperson of MIWD’s joint venture selection committee, the water district and MWIC agreed that for the first two years of the venture, the rate prevailing at the time of the water distribution takeover would be followed.
Once approved, MIWD plans to implement the new rate in this month’s consumption or April’s billing.
Magsuci said this proposed rate increase was conceptualized way back in 2015 when there was no joint venture agreement yet with MWIC.
MIWD legal counsel Roy Villa echoed Magsuci’s explanation.
“Dugay na nga negative ang operation. Naga-suffer na gid ang financial sang water district. That is why kinanglan sang water district makabawi for the number of years it has been suffering from inflationary factors without a rate increase,” said Villa.
As to the joint venture with MWIC, Villa said the Office of the Government Corporate Council is currently reviewing the agreement.
In the first five years, the joint venture sets out to achieve the following:
* increase service coverage
* increase areas with 24/7 water supply at a minimum pressure of 10 psi
* continuous compliance with Philippine Standards for Drinking Water
* reduction of nonrevenue water (water losses)
* efficient and responsive customer service
* construction of septage treatment plant subject to the issuance of any applicable governmental approvals, and purchase of new desludging trucks
MIWD’s service area is some 373 square kilometers covering this city and seven municipalities in Iloilo province.
According to the water district, however, its operation only reaches around 21 percent of its coverage area./PN
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