Mla Water-led consortium to bid for Indon water project

MANILA, Philippines - A consortium of Ayala-led Manila Water Co., Inc. and a local Indonesian firm has prequalified to bid for a public-private partnership bulk water supply project in Bandar, Lamping Indonesia, the firm disclosed to the local bourse yesterday.

After its failed bid to acquire half of Indonesian water concessionaire PT PAM Lyonnaise Jaya (Palyja) last year, Manila Water is still keen on finding other business opportunities in Indonesia.

“In addition to this prospective bidding, Manila Water continues to explore other potential projects in Indonesia,” the company said in the regulatory filing.

Sought for comment, Manila Water president and CEO Gerry Ablaza said the bidding for the prospective bulk water project has not yet been set.

“We will disclose our Indonesian partner at the appropriate time. These are still very early days in the process,” he said in a text message.

Ablaza declined for the meantime to disclose the investment size for the project as the information is bid-sensitive.

Manila Water initially planned to acquire a 51 percent stake on PT PAM Lyonnaise Jaya but this failed to push through after the government service partner of Palyja, PAM Jaya rejected the share sale.

Palyja supplies water to Western Jakarta under a 25-year concession agreement with PAM Jaya.

Manila Water is also expanding its presence in Vietnam through the acquisition last year of a 31.47 percent stake in Vietnam’s Saigon Water Infrastructure Corporation (SII) by its wholly-owned subisidiary Manila Water South Asia Holdings Pte. Ltd.

SII, which has been listed in the Ho Chi Minh Stock Exchange since September 2012, is reportedly setting its sights on the development of the Sagion Pleiku water plant project in Gia Lai province which would have a treatment capacity of 30,000 cubic meters per day.

Other developments by SII are in the pipeline.