SC asked to stop government from paying water concessionaires’ claims

MANILA, Philippines - Militant lawmakers have asked the Supreme Court to stop the government from paying more than P82 billion to the two water concessionaires in Metro Manila.

Bayan Muna Reps. Neri Colmenares and Carlos Zarate filed the 64-page petition a day after confronting Finance Secretary Cesar Purisima with a copy of his letter to President Aquino during a budget hearing at the House of Representatives.

Colmenares said the tone of the letter indicates that Purisima was inclined to endorse the payment of P5 billion to Maynilad Services and P79 billion to Manila Water.

Purisima confirmed sending the letter to inform Aquino of the claims, their basis and the legal issues involved after receiving communications from the two concessionaires on the amounts they are seeking from the government.

He said he has referred the communications from the concessionaires to the Office of the Solicitor General for study.

Colmenares said the more than P82 billion represents income tax payments made by the two companies, which had petitioned the Metropolitan Waterworks and Sewerage System-Regulatory Office to be allowed to pass on the amounts to their customers through increase in water rates. – With Jess Diaz