A new player in the industry of supplying potable water to the increasing populace of the City of Dumaguete has formally signed up with the City Government for a 25-year Memo of Agreement.
Prime Waters Infrastructure Corp a duly registered corporation with principal offices in Pamplona, Las Pinas City last Thursday signed up with the City Government of Dumaguete a 25-year water supply and service to all 30 barangays of the City which includes the ten Poblacion areas.
Representing the former was Caroline Cadenina , director for business development of Prime Waters while City Mayor Felipe Remollo signed up for the city.
The legal basis for such undertaking is Ordinance NO. 44 Series of 2019 which grants PrimeWater Infrastructure Corp authority to construct, commission, establish, operate and maintain a water distribution system to service the water consumers of Dumaguete.
Dumaguete has over l50, 000 city residents by night and 300,000 people by day due to the influx of students and workers form other towns who flock to this university town.
Prime Waters will pay the City Government an authorization fee of P1 one peso per cubic meters of water of which 2Million cubic meters of water is consumed daily. Easily the City can possibly earn P2Million a day or easily P30Million a month excluding business taxes and other forms of taxation. A year, from authorization fee alone , Prime Waters could pay the City Government P400-Million a year which is a good source of income for new projects of the city.
However, the economic viability of Prime Waters is also estimated to be triple that of the City considering that such is a business and even water refillers, laundry users, restaurants and hotel users, use millions of cubic meters a month.
CHARGES: include automatic percentage in total tariff, charge in consumer price index, and business and price index as basis for its regular water adjustments.
Prime Water will charge domestic/.government consumers via commercial and industrial consumers.
A minimum of 10cubic meters of water at P120 for domestic and government and P240 for 10 cubic meters consumed by the commercial and industrial sectors.
But the more consumption, the lower the rates like the maximum consumption of 50 cubic meters and more, is charged only P24. While commercial rate of such is double like P48 per cubic meter for those consuming over 5l cubic meters and more.
Moreover, the people have a choice where to connect. The Water Districted also has Metro Pacific which also partners with the DCWD in the same manner.
This way, people will have a choice as to which water supplier they prefer.
Renewals and termination of this MOA may be done within five years after expiration the start of which is on Ordinance affectivity.
COST OF OPERATON
The Prime Waters will finance, develop, operate, maintain, all water source facilities, wells, pumping stations, water mains, pipes, fire hydrants, and other machineries and water works for purposesof supplying potable water to the inhabitants of Dumaguete.
This alone will entail a huge expense because Prime Waters will shoulder the cost of everything.
While they consumers will pay them their water bills, Prime Waters will also pay the City Government an authorization fee of P1 per cubic meter or P30-million a month based on 2Million cubic meters daily consumption of 300,000 people by day and 150,000 people by night.
The Prime Waters will design, construct, improve, operate and maintain a new complete waterworks system in Dumaguete city.
They will drill water wells, lay pipes to consumer’s houses, construct storage tanks, waterworks facilities necessary;
They will manage, occupy, repair, decommission, refurbish. Operate and maintain any existing waterworks facility in the area,
Most of all Prime Waters will absolutely own, and manage all facilities and improvements of waterworks facilities introduced by Prime Waters.
Prime Waters will render reliable and adequate water service to the said area in conformance to the Philippine National Standards for Drinking Water;
Install, if necessary, water disinfectant facility within the water system to make potable in accordance with the standards by the government;
Bill and collect payments from the service customers for all service rendered;
Utilize all water resource within the territorial jurisdiction of the City of Dumaguete, Negros Oriental such as but not limited to catchment areas, watersheds, springs, well and reservoir; and,
The full power and authority to autonomously and freely deal with its customers in the conduct of its business such as information dissemination, public consultation, complaints monitoring and resolution, and the like, and as the NWRB deems appropriate, provides that the vested rights of the City Government are not compromised nor undermined, and without prejudice to asking assistance from City Government if necessary. —30—