MANILA, Philippines - Ayala-led utility firm Manila Water Co. has inked an agreement with REE Corp. and Mitsubishi Corp. to explore possible cooperation in water services projects in Vietnam.
In a disclosure to the Philippine Stock Exchange, Manila Water said the parties agreed to “study and evaluate private participation in water, wastewater and other environmental services projects in Vietnam with particular focus in Ho Chi Minh City and its surrounding areas.”
Based in Ho Chi Minh City, REE is one of the largest mechanical and civil engineering groups incorporated in Vietnam while Mitsubishi is one of the world’s largest technological groups.
“Through this initiative, Manila Water looks forward to complementing its existing management contract to reduce leakage in Ho Chi Minh City, as it expands its footprint in Vietnam,” the company said.
The company is planning to raise up to $200 million to fund its approved investment plans and its expansion commitments after 2010 in line with continuing efforts to provide better water and wastewater services.
Manila Water currently has an existing concession in the east zone of Metro Manila with a customer base of around 5.6 million people.
Since the start of operations in 1997, the company has already increased 24-hour water coverage to 99 percent from 26 percent and reduced water losses from 63 percent to less than 20 percent.
The company also continues to explore potential new water sources and undertakes reliability programs to ensure service continuity as well as mitigate impacts of calamities and other natural calamities.
Continuing rehabilitation programs are undertaken to further enhance service levels in areas with 24/7 water supply which include Mandaluyong, Pasig, San Juan, Marikina, Pateros, Makati, southeastern part of Quezon City and San Andres and Sta. Ana in Manila.