Water treatment plant questioned

CEBU, Philippines - Pilipinas Water Resources, Inc. is questioning the legitimacy of SM Prime Holdings in constructing a separate Waste Water Treatment Plant at the South Road Properties.

PWRI General Manager Engr. Ruben Villamor alleged that the treatment facility violates some provisions of the joint venture agreement entered into by the former and the city, the reason why he sought the intervention of the City Council.

The Council referred Villamor's concern to the city legal office and committee on utilities for appropriate action.

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.

The city owns a WWTP at SRP that is capable of treating waste water with a capacity of 2,300 cubic meters a day.

With this, the city is earning P5 per cubic meter of waste water processed from its own WWTP and an additional P2.50 per cubic meter from the facilities established by PWRI.

Villamor stressed that the city-owned facility will put into waste and the city's revenues may decrease if SM plans to pursue on putting up their own WWTP.

"If SM will be allowed to put up an operate their own plant, this becomes a precedent for other locators to put up the same which will eventually render the city owned and PWRI owned WWTPs useless and therefore a waste of investment," he said.

He added that "the intention to process the waste water from all the locators of the entire SRP area under one management is reinforced with the fact that under the JVA, PWRI is mandated to construct and install additional WWTP facilities including collection systems and to manage and operate the Existing  WWTP".

 He said further that PWRI has spent more than P100 million to ensure that the waste water collected is treated properly in accordance with standard procedures set forth by DENR.

"The city and PWRI have invested huge sum of money in the performance of its obligation under the JVA and it is only proper that if an event comes along the way which will hinder both parties to recoup their investments, then an action must be taken immediately in order to resolve the issue but in such a manner that is fair and just to all the parties concerned," he said. —  (FREEMAN)