Water companies should be held accountable for 'bad service' — Atienza

East Zone concessionaire Maynilad Water Services Inc. said it is open to discuss a new concession agreement with the government following the tirades of President Rodrigo Duterte.
The STAR/Michael Varcas, File

MANILA, Philippines — Rep. Lito Atienza (Buhay party-list) backed President Rodrigo Duterte's threats against water concessionaires Manila Water Co. Inc. and Maynilad Water Services on Thursday.

"These water companies should be made accountable for their inadequate service. Singil sila ng singil pero wala tayong nakukuhang maayos na serbisyo," he told reporters. 

Duterte in a Tuesday speech in Malacañang slammed what he said were oligarchs who were "screwing over" the Filipino people as he scathingly singled out the Ayala family and businessman Manny V. Pangilinan. 

Manila Water is a subsidiary of Ayala Corp, while Pangilinan's Metro Pacific Investments Corp. holds a majority stake in Maynilad

Duterte's remarks were over supposedly onerous and unfair provisions in their concession agreements with the government. The president also claimed that Manila Water had been sidestepping the payment of corporate income tax by imposing a fee for water treatment, later threatening both companies with "economic sabotage" charges. 

"We salute President Duterte with both hands and hail his strong statement castigating these two water concessionaires," Atienza said of the president's recent tirade.

"Again, he has proven that he has the political will to stand up to these oligarchs and free the Filipino people from their clutches." 

In Septemberm the Supreme Court affirmed the P2-billion in penalties imposed on the Metropolitan Waterworks and Sewerage System and its two concessionaires for failure to comply with environmental laws.

The Clean Water Act requires the MWSS, as the government agency tasked to provide water and sewerage services, and the concessionaires in Metro Manila and other cities to connect existing sewage lines to the available sewerage system within five years from the law’s effectivity in 2004.

READ: SC upholds P2-billion fine on MWSS, water firms

The president's threats came on the heels of the Permanent Court of Arbitration in Singapore ruled in Manila Water's favor in a separate case, directing the Philippine government to pay the concessionaire P7.4 billion for the losses they incurred as a result of the non-implementation of rate hikes. 

The reimbursement represents the actual losses Manila Water suffered from June 1, 2015 until Nov. 22, 2019.

"Dapat ayusin nila ang kanilang serbisyo at itigil ang pagkolekta ng kung ano-anong singilin sa taong bayan," Atienza said. 

In the same speech, President Duterte also vowed that broadcast giant ABS-CBN Corp. would not be granted a legislative franchise renewal. 

Duterte's disdain for the broadcast corporation has extended as early as 2017, when he publicly accused them of "swindling" him during his campaign. 

He has also claimed that ABS-CBN did not air his paid political advertisements while they aired anti-Duterte advertisements paid for by his rivals. 

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