MCWD’s new water rates to take effect January 1

CEBU, Philippines - Water consumers of the Metropolitan Cebu Water District will be paying higher water rates starting January 1, next year.

Ernesto Delco, MCWD acting general manager said that the water rate hike of P1.60 per cubic meter for the first 10 cubic meters of water consumption will be reflected on the February 1 billing cycle.

Delco explained during the press conference yesterday that even with the 12 percent water rate increase, this is only about 0.99 per day cost of increase per person as compared to P4.54 per day for power and P6.66 per day per person.

With MCWD’s 12 percent water rate hike, it means that water consumers consuming 10 cubic meters or less per month will pay P15.20 from the current rate of P13.60 or an increase of P1.60.

One cubic meter is equivalent to five barrels of water or 1,000 liters.

Delco said that for the last eight years, MCWD did not implement any water rate adjustments.

Renato Mercado, MCWD chairman of the board said is urging water consumers to support this new adjustments.

“The rate adjustments is not a big issue but this is for the maximum benefit for everyone. Operating MCWD is not for profit but for public service,” Mercado said.

MCWD explained that water production cost is P22 per cubic meters and they only charged P16.80 for the 11 to 20 cubic meters of water consumed p[er month and P19.77 for 21 to 30 cubic meters of water used per month.

“Even with the new rates, customers whose water consumption does not exceed 30 cubic meters per month, still enjoy the subsidized rates,” MCWD said in a separate statement.

Commercial consumers or those that consume more than 30 cubic meters of water per month have been paying at least P48.40 per cubic meter since 2006 as they are subsidizing the small-time water consumers.

Meanwhile, MCWD envisions to increase its water service coverage to 60 percent of the domestic water demand and 80 percent of the commercial water demand in the next six years.

The water district also targets to increase its production to 340,000 cubic meters a day from 210,000 cubic meters by sourcing water from outside Metro Cebu and improving its infrastructure.

The new rate hike is among the terms of MCWD’s bulk water supply contract with Cebu Manila Water Development Inc. which taps the Luyang River in Carmen town as its source.  The CMWDI will supply 18,000 cubic meters of water for the first year and will increase to 35,000 cubic meters on the second year.

Delco said that the 18,000 cubic meters will be injected into the MCWD pipeline beginning December 15 this year and will benefit at least 15,000 households within their franchise area.

MCWD union president Rowen Lorenzo Montecillo said that they will continue to push that by next year, the discount rate for early payors will be back, which was shelved by the management last year,

Delco earlier said that said that the taking away of their water rate discount among their consumers consuming below 50 cubic meters per month is not anti-poor but protecting the poor.

Delco said this will mean more connections among larger consumers;

 Delco added that not all customers were paying on time, so not everybody have availed of the previous five percent discount, which was implemented since 2006.

Besides, Delco said the discount is not a right but a privilege. — /RHM (FREEMAN)