Water consumers in Greater Manila will have to brace for a higher water rate in 2024 as the Metropolitan Waterworks and Sewerage System (MWSS) approved a rate increase for both Manila Water Company Inc. and Manila Water Services Inc.
In a press briefing on Wednesday, MWSS Regulatory Office chief Patrick Lester Ty said the adjustments will be implemented starting January 2024 taking into consideration the inflation and the spending program of the two concessionaires for water security in preparation for El Niño.
"Part of the reason is we need to prepare for the El Niño that will be happening in 2024… and we have started preparing for that, and we have directed Manila Water and Maynilad to ensure that there will be no water crisis and to mitigate all the effects of El Niño next year," Ty said.
According to MWSS, Maynilad would have an average rate hike adjustment of PHP 7.87 per cubic meter while Manila Water will have an average rate increase of PHP 6.41 per cu.m.
For Maynilad consumers, the adjustments will translate into an additional PHP 4.74 per month for low-income lifeline customers, PHP 26.61 for regular lifeline customers, PHP 100.67 for those consuming 20 cu.m. per month, and PHP 205.87 for those consuming 30 cu.m. per month.
Meanwhile, for Manila Water consumers, the adjustment translates to an estimated upward increase of PHP 2.96 per month for low-income lifeline customers, PHP 34.12 for those consuming 10 cu.m. per month, PHP 76.68 for those consuming 20 cu.m. per month, and PHP 154.55 for those consuming 30 cu.m. per month.
According to Ty, the rate adjustments are "affordable" and "necessary," as this would ensure that services will continue to be available amid the El Niño.
"We did the tariff adjustments in tranches to ensure that the public will be protected and it will not be too burdensome to do it all in one go, to ensure that Manila Water and Maynilad will be doing their capex (capital expenditure) rollout projects and ahead of schedule actually, hopefully," he said.
As part of the second tranche of the rate rebasing, both concessionaires can hike their rates from 2023 to 2027, provided that they meet MWSS criteria such as spending for programs that ensure water security. The first tranche was implemented earlier this year.
"We feel that the public, of course, it's still an added burden, but we feel that this is a necessary burden because what is more important is to ensure that the proper service is given to the consumers, and there will be water on tap, especially with the looming El Niño," Ty said.
"I'm asking the public for their understanding. Ang mas importante dito ay tama po 'yung serbisyo kasi po ang problema, kapag 'di po natin ginawa itong tariff adjustment, baka magkaproblema po tayo at hindi ma-provide ang tamang serbisyo sa ating consumers," he added.
Earlier, President Ferdinand 'Bongbong' Marcos Jr. ordered government agencies to finish all water-related projects in preparation for the foreseen drought caused by the El Niño phenomenon in 2024.
Department of Science and Technology (DOST) Secretary Renato Solidum Jr. had said that 65 provinces might experience drought while six provinces could be potentially hit by the dry spell.
Drought and dry spells are the negative effects caused by the increase in below-normal rainfall conditions.