Maynilad, Manila Water contracts extended
President Marcos on Wednesday approved the 10-year extension of contracts for Manila’s two water providers to ensure sustained services in the capital region and nearby provinces.
At its inaugural meeting, the newly formed Economy and Development Council (EDC), chaired by Mr. Marcos, approved the request of the Metropolitan Waterworks and Sewerage System—the water regulator—to extend the revised concession agreements for Maynilad Water Services Inc. and Manila Water Company Inc.
The extension—from July 31, 2037 to January 21, 2047—aligns the contracts with the legislative franchises of both concessionaires, as mandated by Republic Acts 11600 and 11601.
The EDC was created following the reorganization of the National Economic and Development Authority (Neda) into the Department of Economy, Planning and Development (DepDev). The council was formerly known as the Neda board.
DepDev said the extension was expected to accelerate capital investments, minimize tariff pressures and secure long-term water supply. It is also projected to generate additional government revenues amounting to P50.3 billion.
The news bodes well for Maynilad, which is gearing up for an initial public offering next month in a bid to raise up to P37.41 billion.
“Ensuring water security is fundamental to fostering economic growth and improving the quality of life for our growing population,” Economics Secretary Arsenio Balisacan said in a statement. He is also the vice chairperson of the EDC.
“By aligning the concession agreements with legislative franchises, we are promoting policy coherence and long-term investment planning in the water sector, which are essential for delivering clean, reliable and affordable water services to millions of Filipinos,” he added.
Other projects
Apart from the longer water concession, the EDC also approved two new infrastructure projects financed through Official Development Assistance (ODA).
One of them is the P27.7-billion Farm-to-Market Bridges Development Program of the Department of Agriculture. The program will construct 300 climate-resilient modular steel bridges across 52 provinces in 15 regions.
The other project is the P5.1-billion plan to construct the Liloan Bridge, an undertaking of the Department of Public Works and Highways. Under this project, a four-lane, 721-meter bridge connecting Panaon Island to mainland Leyte will be built, replacing the deteriorated existing structure.
The bridge project is expected to improve mobility and access for residents and travelers in the municipalities of Liloan, San Francisco, Pintuyan and San Ricardo, while stimulating local economic activity and job creation in the region.
