This we learned as the local Legazpi City Water District (LCWD) posed at enforcing its rates increase this August 2017.
As with the usual logic, the increase is being justified by the management specifying that current rates could no longer meet the increasing cash requirements for its operation and maintenance.
Customer accounts officer Richard Atun came forward with the information the company needs additional funds to improve water supply facilities and expand its services.
The impending increase, as an example, will be up to 10 percent for 0-30 cubic meters consumption. FYI one cubic meter is equivalent to 1,000 liters. So, a minimum consumption of 10,000 liters will amount to 2 centavos per liter for residential connections.
Looking deeper, the new rates will actually boost revenue to P281 million this year as compared to the previous year of P248 million while disbursements topped P250 million.
Note that local water utilities (LWU), being government-owned and controlled corporation do not receive subsidy from the government. Its operational cost is sourced from its local revenues. Yet, most LWU’s are geared to become profitable in the long run and should share the profit to its consumers. Never happened, though. Meaning, utilities become profitable but do not share that blessing to its consumers.
Engineering and operations department manager Engr. Barbie Vonette Borromeo, disclosed that for the past three years, the water district has invested P82 million in its water supply development projects, which include include reduction of non-revenue water (P5.26 million), effective pressure management (P5.5 million), and growth in service connection (P7.27 million).
The LCWD programs to invest some P608 million in future projects until 2021 which include expansion of water coverage and building up service capacity.
Meanwhile, consumer complaints flood the water district about low supply, bad odor, rust and sand as well as water potability. Is it safe to drink, then?
Checking on its social media page, LCWD consumers can not contain their frustration and posted their comments on facebook. Sample below:
LCWD board chairman Arch. Ranulfo Imperial disclosed an effort of pressuring PhilHydro, the LWU bulk supplier, to cope with the demand of producing clean water. He said the management had even threatened to tap other bulk suppliers if it fails to improve water quality.
The statement of the chairman just made us jump in our seat, for he himself admitted that Philhydro’s water is not clean, afterall.
PhilHydro’s raw source of water comes from Yawa River.
The Legazpi water company came into business in 1981 with about 500 residential customers. Fast forward now, 23,000 households rely on the water supply of 33.93 million liters every day.
Go ahead LCWD, increase your rates.
Previously, related article on this link:related article on this link.