DAVAO CITY — Supply from the bulk water project of the Aboitiz-led Apo Agua Infrastructura, Inc., which is expected to start operations in June 2021, will not be enough to address the increasing water requirements of the city, a top official of the Davao City Water District (DCWD) said Wednesday.
“The project of Apo Agua cannot really fully answer the water demand of the city,” said lawyer Bernardo D. Delima, Jr., DCWD spokesperson.
As such, DCWD will spend about P80 million every year in the next five years to build two production wells to add to its existing 65 wells.
Mr. Delima said their plan is to keep 15 of the 65 wells running alongside the two new ones, once the Apo Agua project starts delivering.
DCWD is projecting demand to reach 122 million cubic meters annually by 2020, and 137 million cubic meters by 2021.
Apo Agua, a consortium between Aboitiz Equity Ventures and JV Angeles Construction and Development Corp., is expected to cover up to 126 million cubic meters, with actual production capacity seen to exceed the contracted supply of 300 million liters per day, or 109.5 million cubic meters annually.
Cirilo C. Almario III, Apo Agua general manager, said project construction is going smoothly and they are targeting to start pipe-laying activities for the 56-kilometer network by the third quarter of the year.
“We are still on track,” said Mr. Almario, noting that they have already started installation of the intake facilities and the treatment facility.
WATER RATES
Meanwhile, Mr. Delima said DCWD has submitted the application to increase the rates by 60% to the Local Water Utilities Administration (LWUA).
“In case the proposed rates are not approved, we need to prioritize the projects that we need to implement next year,” he said.
The proposed increase covers higher operating costs and for capital outlay.
The proposed increase would mean an additional P82 per month for consumers who use the minimum 10 cubic meters and currently pay P137.
“To get a water rate increase is really difficult… you have to pass a tedious process,” said Mr. Delima, explaining that LWUA, after assessing the supporting documents, would determine if DCWD can move on to public consultations.
Aside from public consultations, the water utility will also need to discuss the rates with the business sector and the city government, through the city council.
DCWD, he added, has yet to decide on whether to include in the increase the “lifeline customers,” or those who consume 10 cubic meters a month or less and pay only P100 a month.
These lifeline customers comprise about 12% of the existing 221,000 consumers.
DCWD last implemented an increase in 2005 with half of the increase implemented that year, while the other half was implemented in three tranches over the period 2012-2014. — Carmelito Q. Francisco
