Manila Water and Maynilad customers will pay less for their water bills from January to March 2016, the Metropolitan Waterworks and Sewerage System (MWSS) announced.
Manila Water will cut its rates by an average of 26 centavos per cubic meter.
For customers consuming 10 cubic meters or less a month, there will be a reduction of a little over a peso, while those consuming between 20 and 30 cubic meters will see a rate cut of about P3 to P6.
Maynilad, on the other hand, will slash rates by an average of 19 centavos per cubic meter.
Factoring in other cost components, those using 10 cubic meters a month will pay 64 centavos less, while those consuming 20 to 30 cubic meters will see a reduction of P2 to P5.
The rate adjustment included the two companies’ tariff rates, which are adjusted annually; as well as the foreign-currency differential adjustment, which changes on a quarterly basis.
Although it seems like good news, it can be recalled that both companies are seeking compensation from the government worth billions of pesos.
Maynilad is seeking payment amounting to about P3.5 billion, after regulators refused to honor an arbitration panel’s decision that the company can pass on its corporate income taxes to its customers.
On the other hand, Manila Water is asking P79 billion from the government as payment for prospective losses, after an arbitration panel ruled it cannot pass on its corporate income taxes to its customers.
1 comment
This is certainly a welcome respite from Christmas expenses. Even so, the concessionaires have the right to demand damages since government not only reneged on a PPP contract but refuse to follow the directive of the Singapore arbitration panel. After several decades of proven success with this PPP this flipflopping happens only in the Aquino administration, thus turning investors off.