Maynilad to spend P17.3B for 2015 capital expenditure

Rappler.com
Maynilad to spend P17.3B for 2015 capital expenditure
The bulk of the utility firm’s capital expenditure will be spent on wastewater management infrastructure projects
MANILA, Philippines – Metro Manila west zone concessionaire Maynilad Water Services Incorporated is earmarking P17.3 billion ($391.98 million) in capital expenditure for 2015, the bulk of which is set for water and wastewater infrastructure projects.

The planned expenditure for this year follows the utility firm’s recasting its capital allocation to P67 billion ($1.52 billion) from its original P78 billion ($1.77 billion) budget for the 2013-2017 period.

Despite recasting its 5-year investment program, Maynilad’s planned capital expenditures for the west zone will still enable the utility firm to meet its service obligations to customers and the government,” Maynilad president and chief executive officer Ricky P. Vargas said.

More than P6.5 billion ($147.27 million) is set aside for wastewater management projects that include the construction of wastewater treatment plants and conveyance systems in Cavite and Central Manila.

Upgrading Maynilad’s non-revenue water (NRW) reduction program costs P3.2 billion ($72.53 million), which aims to minimize water loss in the distribution network. This also covers active leakage control, primary line assessment, selective pipe replacement, and district metered area management.

Developing of water sources, including the second phase of the Angat-Umiray Transbasin Tunnel and the rehabilitation and upgrades of existing facilities in the Angat and Ipo dams is set at P2 billion ($45.34 million).

Ensuring sufficient water supply and pressure in the west zone entails a budget of P1.5 billion ($34 million). This covers constructing, rehabilitating and upgrading boosters, and pumping stations and reservoirs.

About P1.4 billion ($31.73 million) has also been reserved for service expansion projects in portions of Caloocan, Cavite, Las Piñas, Muntinlupa, Parañaque, and Valenzuela.

Another P1.3 billion ($29.47 million) will be used to lay primary lines in Caloocan, Cavite, and Pasay that will connect more areas to Maynilad’s network.

The concessionaire will also spend P650 million ($14.73 million) on operation support programs and P480 million ($10.89 million) on upgrades in Maynilad’s water treatment plants, while P290 million ($6.58 million) has been allocated for the modernization of the company’s data management and information systems.

The budget announcement follows an international appeals panel ruling in favor of Maynilad to increase the base water rate.

Maynilad has recently agreed to stagger this increase in order to minimize impact on customers.

Maynilad is the water service contractor of the Metropolitan Waterworks and Sewerage System (MWSS) for the West Zone of the Greater Manila Area, comprising Manila (certain portions), Quezon City (certain portions), Makati (west of South Super Highway), Caloocan, Las Piñas, Malabon, Muntinlupa, Navotas, Parañaque, Pasay, and Valenzuela in Metro Manila; and in Cavite, the cities of Bacoor, Imus, and Cavite; and the towns of Kawit, Noveleta and Rosario. – Rappler.com


(US$1 = P44.07)

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