City eyes letting PWRI sell water to MCWD

CEBU, Philippines - The Cebu City government is set to discuss with Pilipinas Water Resources Inc. the possibility of selling processed water to the Metro Cebu Water District and to other agencies so that PWRI can recover from revenue losses caused by the delay in the operation of SM Seaside City at the South Road Properties.

The SM Seaside City is scheduled to open by September 2015 year.

Mayor Michael Rama will meet with representatives of MCWD, PWRI and the SRP Management Office headed by Roberto Varquez to tackle PWRI’s concern.

If the city allows the sale, an annual revenue of approximately P18 million is expected to be reverted to its coffers.

Rama said PWRI shall not be placed in a financial disadvantage considering it has an existing contract with SM Prime Holdings.

 â€œDili mahimo kay naa silay kontrata. Di mahimo nga ang negosyo malugi. We have to be fair. There will be a table discussion or meeting and I will be listening to them,” the mayor said.

 PWRI and SM Prime Holdings have signed an agreement for the former to supply reverse-osmosis-processed potable water for an initial volume of 1,000 cubic meters a day, expandable to 10,000 cubic meters a day. Meanwhile, on May 28, 2010, PWRI inked an agreement with the city government for it to supply potable water and to collect and process waste water from all the locators of SRP.

 PWRI President Atty. Anthony Vincent Sotto said they are in dire desperation to recoup lost revenue  since their pipes and plant “are in place and the payments for the interest and principal or our loans are in effect.” 

 â€œNot being able to generate the revenues as expected, we sat down with the banks where our loans are being sourced out and the only help they can offer to us is the deferment of payment for the principal but not the payment of the interest which is about P3.5 million a month,” Sotto said.

 PWRI’s duty includes the expansion of reverse osmosis (a process by which a solvent like water is purified by forcing waste or saline water through a semipermeable membrane) produces 550 cubic meter a day to 20,000 cubic meter a day; upgrading 2,000 cubic meter a day to 8,400 cubic meter a day wastewater treatment facility; and procurement and installation of pipes for the three water systems, such as potable, non-potable and waste water.  (FREEMAN)