MANILA, Philippines — The Metropolitan Waterworks and Sewerage System (MWSS) is optimistic that the government will soon reach a new concession agreement with Maynilad Water Services Inc.
In a statement yesterday, MWSS chairman and acting administrator Reynaldo Velasco attributed his optimism to the recent approval and signing of a revised agreement between the government and Manila Water Services Inc.
“The agreement with Maynilad is undergoing review by a government panel,” the MWSS said.
Velasco said he expects the new concession agreement would be similar to that of Manila Water’s, which he described as a win-win solution for the consumers, government and the concessionaire.
Maynilad said it expects to finish negotiations on a new concession agreement as soon as possible to provide better service to its customers.
Maynilad chief executive officer Ramoncito Fernandez said there is no target date as to when the negotiations would be completed.
“We hope it will be finished soon so that we can implement the plans we have laid out in our concession,” Fernandez said.
Maynilad is the largest private water concessionaire in the country, serving over 1.4 million customers.
“Maynilad’s capital expenditure projects will rehabilitate and replace old pipelines, install new pipes in unserved areas, construct new pumping stations, reservoirs and treatment facilities, among others,” the MWSS said.
Manila Water recently signed a new concession agreement with the government, which allows the company to operate in its service areas until 2037.
Among the provisions included in Manila Water’s accord are the removal of the non-interference clause, which will allow the government to intervene in the rates agreed upon by the regulatory office and the water concessionaire.