Maynilad: P41B spent on wastewater, sewage treatment services
Credit to Author: Jordeene B. Lagare| Date: Tue, 11 Feb 2020 14:00:37 +0000
MAYNILAD Water Services Inc. has invested more than P41 billion to expand its wastewater treatment facilities within its West Zone concession area since 1997.
In a statement on Tuesday, Maynilad said the amount was used to build 19 new wastewater treatment facilities and upgrade three existing ones; buy 89 new vacuum trucks for septic tank cleaning; install 180 kilometers of new sewer lines; and maintain its sewerage system, among others.
The amount also covers four additional sewage treatment plants (STPs) being built in the cities of Valenzuela and Las Piñas; and Tunasan and Cupang in Muntinupa City.
This allowed the firm to expand its sewerage services to some 2 million people by end-2019, up from about 600,000 in 1997 when the operations of the Metropolitan Waterworks and Sewerage System (MWSS) were first privatized in 1997.
So far, Maynilad has completed STPs in Pasay and Parañaque cities, bringing the total combined sewage treatment capacity of its 22 wastewater facilities to 664,000 cubic meters of wastewater a day.
“Maynilad only got out of corporate rehabilitation in 2008, so we had just 11 years to work on expanding wastewater services. Despite this, we have managed to build new wastewater facilities that now prevent untreated effluents from polluting our waterways. This is where all the bill payments of our customers go,” Maynilad President and Chief Executive Officer Ramoncito Fernandez said.
The firm is allotting an additional P200 billion to expand its wastewater infrastructure until it achieves total sewerage coverage by 2037.
This covers P1.1 billion for the rehabilitation of five estuaries in Manila — Estero dela Reina, Estero de Sunog Apog, Estero de Magdalena, Estero de Concordia and Estero de San Antonio Abad — in the next three years.
The statement comes as Maynilad and Manila Water Co. Inc. continues to be under intense scrutiny after President Rodrigo Duterte criticized the two water utility companies over supposed “onerous” provisions in their respective contracts with the MWSS.
This prompted the two to abandon their claims to the over P11 billion awarded to them in cases they filed against the government in an arbitral tribunal in Singapore, and to postpone water rate hikes that were supposed to take effect last month.
The Permanent Court of Arbitration in Singapore had ordered the government to pay Manila Water P7.39 billion for incurred losses. Two years ago, the tribunal ordered the government to pay Maynilad P3.4 billion for not allowing it to raise rates.
The President’s criticism was seen to have led Manila Water to sign early this month a P10.7-billion investment agreement with ports magnate Enrique Razon Jr.’s infrastructure arm Prime Metroline Holdings Inc.
The deal involved the acquisition of 820 million common shares of the Ayala-led water utility, representing a 25-percent stake.
Manila Water said then having Razon as a “strategic investor” was expected to bolster its ability to provide reliable, efficient and sustainable water and wastewater services in its concession, and pursue growth initiatives, both domestically and globally.
Razon later bagged majority voting rights in Manila Water, and last Friday Prime Metroline made know its plan to conduct a mandatory tender offer for the former’s shares.