MANILA WATER Co., Inc. has signed and executed a joint venture agreement (JVA) with the Lambunao Water District to handle the water system of the town in Iloilo province in a 35-year project that will entail a capital expenditure of P78.98 million.
The deal covers the design, construction, rehabilitation, maintenance, operation, financing, expansion and management of the water system in Lambunao municipality.
Manila Water said upon the completion of conditions precedent set out in the JVA, the Ayala-led company, through its designated wholly owned subsidiary, shall execute the project for 35 years.
The project is estimated to deliver a potential billed volume of 2.93 million liters per day by year 2054.
Separately, the Ayala-led company disclosed signing and executing a similar JVA with the Calbayog City Water District (CCWD).
Upon completion of the conditions precedent set out in the JVA, Manila Water, through its wholly owned subsidiary, Calbayog Water Co., Inc. and CCWD shall execute the project for 25 years from start date as defined in the JVA.
The project will have an estimated capital expenditure of P1.197 billion, and projected to deliver a potential billed volume of 28.48 million liters per day by year 2043.
Manila Water and its strategic partner, Tubig Pilipinas Group, Inc., have agreed that the latter will acquire shares in Calbayog Water.
Meanwhile, Manila Water said it had completed its 11-kilometer long, 800-millimeter diameter pipelaying and road restoration works along Manila east road traversing the towns of Taytay, Angono, and Binangonan.
It said the completion of the project enables the east zone water concessionaire to bring water supply from its Cardona water treatment plant to the towns in Rizal province.
The Cardona water treatment plant transmission lines project, which started in the third quarter of 2018, was completed ahead of the original target completion date of August 2019, the company said.
“The restoration works needed fast-tracking for completion before the rainy days set in and before the start of the school year to mitigate traffic congestion. This necessitated Manila Water to work 24/7, to be able to meet the adjusted timeline of restoration of May 31 to June 30,” it said.
Traffic schemes were adjusted to address the heavy traffic in certain areas along Manila east road, it added.
On Wednesday, shares in Manila Water were unchanged at P25.50 each. — Victor V. Saulon
