Capitol teams up with private company for Carmen water project

CEBU, Philippines - A Joint Investment Company (JICO) shall be created between the Province of Cebu and the Ayala-led Manila Water Consortium to manage the Carmen Bulk Water Supply Project.

This is one of the aspects in the draft contract that was finalized in a closed door meeting late yesterday afternoon between Capitol officials led by Governor Gwendolyn Garcia and the officials of Manila Water.

The JICO is made up of both the Manila Water owning 51 percent of the shares and the Province of Cebu owning 49 percent.

Garcia explained the need to form the JICO because the project is going to be a joint investment and there has to be another corporate personality that must be created with this partnership.

The policymaking body will be the board with five board members, of which two shall be appointed by Manila Water, two shall be appointed by the provincial government, and the fifth member shall be mutually agreed upon.

A general manager shall also be appointed for the daily operations but Garcia said it will be subject for further discussion.

What is most urgent, she said, is the signing of the contract and the formation of JICO to be registered with the Securities and Exchange Commission. The JICO will then set its own rules and bylaws.

Garcia has called for a special session of the Provincial Board next week after the final draft of the contract shall be presented to them in order to secure the authority to enter into and sign the contract.

   Garcia found it urgent to sign the contract as soon as possible in order to commence the actual civil works in the development of bulk water supply intended for Metro Cebu area. — (FREEMAN)