Lower Maynilad rates from July to December

MANILA, Philippines - The Maynilad Water services, Inc. announced Thursday that it will implement a reduction of water charges from July to December of this year.

Maynilad, which supplies water to the west zone of Metro Manila and Cavite province, said that it will roll back its water charges by P3.69 per cubic meter starting July 6 until December 31.

The company said that the reduction is based on the refinancing of over US$120 million worth of loans, where it gained P978 million.

Maynilad said that including the foreign exchange adjustment (FCDA) published last June 18, the total rate adjustment for the next six months would be P4.79 per cubic meter.

From P46.56 per cubic meter in the second quarter, the water rate will go down to P41.77 per cubic meter (average, all-in), a reduction of around 10.3%, it added.

Maynilad said that households consuming 10 cubic meters or less every month will have a bill adjustment from P119.12 to P108.11 while those consuming 20 cubic meters will see lower bills from P422.35 to P380.63.

It added that residential customers consuming 30 cubic meters a month will also save P85.32, since their water bill will be reduced from the current P847.42 to P762.09.

"The downward adjustment will be reflected in August to January 2014 water bills of Maynilad customers," it said.

The FCDA is a tariff mechanism based on foreign exchange rate movements in loan payments of water concessionaires for a given year, and expressed as a percentage of the basic charge.

The MWSS Regulatory Office reviews the FCDA quarterly and any adjustment is applied to the basic tariff for every month of the charging quarter.

Maynilad services residents in Manila (all but portions of San Andres & Sta Ana), Quezon City (west of San Juan River, West Avenue, EDSA, Congressional, Mindanao Avenue, the northern part starting from the Districts of the Holy Spirit & Batasan Hills), Makati (west of South Super Hi-way), Caloocan, Pasay, Paranaque, Las Pinas, Muntinlupa, Valenzuela, Navotas and Malabon all in Metro Manila; Cavite City, and the towns of Bacoor, Imus, Kawit, Noveleta and Rosario, all in Cavite province.