With 23 affirmative votes and no abstention, two water companies were granted each a 25-year franchise by the Senate on Tuesday.
Sen. Grace Poe, chair of the Senate public services committee. said the chamber approved on third and final reading the franchise renewal of water concessionaires Manila Water Co. Inc. and Maynilad Water Services Inc.
Maynilad Water Services Inc. shall retain its services in the west zone of Metro Manila and the province of Cavite under House Bill 9422, while Manila Water Co. Inc. shall continue to provide its services in the east zone of Metro Manila and the province of Rizal under HB 9423.
“In the next 25 years, we must challenge our water concessionaires to be able to provide better water services in the new normal with clear long-term goals and short-term targets that would address water scarcity,” said Poe.
In another development, over 17,000 customers of the Manila Water Company Inc. in Rizal will experience a six-hour service interruption starting Tuesday evening, as the east zone concessionaire conducts maintenance activities.
In an advisory, Manila Water said the interruption will affect more than 17,322 households, commercial, and business establishments in 11 barangays in Angono, Binangonan, and Taytay in Rizal.
The interruption will start at 10 p.m. on Tuesday, September 28, and will last until 4 a.m. on Wednesday, September 29.
Since both water concessionaires were granted concession agreements for water and sewerage services back in 1997, the new agreement includes amendments that set higher expectations for water services providers.
One of the amendments requires the concessionaires to submit a completion plan for the establishment and operation of water, sewerage and sanitation projects covering a period until 2037 that includes five-year completion targets with the end goal of achieving 100-percent combined sewerage and sanitation coverage.
Other amendments introduced in the agreement mandate the concessionaires to institute mechanisms that will facilitate consultation with the stakeholders on its services and create employment opportunities that prioritize the residents of the area where the concessionaire operates.
“Delivering a public service, especially one as essential as water supply, means putting the well-being of the community and its people first. More than providing accessible and affordable clean water, we must collaborate with the people we serve to know how we can deliver better,” Poe said.
The Revised Concession Agreement also includes a tariff freeze until December 2022 where the National Capital Region won’t experience an increase in water rates until next year.