Manila Water rates to go up by Oct 2

MANILA, Philippines - Manila Water will start charging its customers in the eastern part of Metro Manila and several towns in Rizal province an additional 19 centavos per cubic meter on Oct. 2, raising the cost of water to 40 centavos per cubic meter.

In a disclosure to the Philippine Stock Exchange, the Ayala-controlled water utility said the rates will be adjusted due to the appreciation of the Japanese yen against the peso.

“The foreign currency differential adjustment (FCDA) component of the water bill will be adjusted from one percent to 1.89 of the basic charge or P0.21 to P0.40 per cubic meter,” Manila Water said.

Low-income households, or residential customers consuming 10 cubic meters or less a month, will be exempt from the adjustment.

The FCDA is a “pass-through” mechanism which allows Manila Water to recover its foreign currency losses or pass-on foreign currency gains, resulting from payments of concession loans and foreign currency-denominated borrowings, which were used to fund its service expansion and improvement.

Thus, the tariff adjustment has no impact on the projected net income of the company, Manila Water said.

In support of the government’s programs to protect the environment, Manila Water said it continues to intensify its wastewater and sanitation services by way of innovative combined drainage and sewer systems.

“These programs will greatly contribute to the clean-up of the three river systems of San Juan, Marikina and Pasig to prevent further pollution of water bodies,” Manila Water said.

Manila Water also continues to explore potential new water sources and undertakes reliability programs to ensure service continuity as well as mitigate impacts of calamities and other natural calamities.

Continuing rehabilitation programs are undertaken to further enhance service levels in areas with 24/7 water supply which include Mandaluyong, Pasig, San Juan, Marikina, Pateros, Makati, the southeastern part of Quezon City and San Andres and Sta. Ana in Manila.

With 100 percent coverage in these areas, aggressive service expansion programs are underway in Taguig, Antipolo, San Mateo, Rodriguez, Cainta, Taytay and Angono.

Manila Water has also started providing water supply to the towns of Baras, Binangonan and Jala-jala in Rizal province.