Senate President Vicente Sotto III and Senator Imee Marcos. INQUIRER.net FILE PHOTOS
MANILA, Philippines—President Rodrigo Duterte has found an ally in Senate President Vicente Sotto III and Senator Imee Marcos in his quest to hold officials of Maynilad Water Services, Inc. and Manila Water Co., Inc. accountable for their “onerous” water concession agreement with the government.
“After hearing his explanation last night on how we are being taken for a ride by these concessionaires, I told him I’m supporting him 100 percent on the issue,” Sotto told reporters in a text message Wednesday.
A furious Duterte on Tuesday night threatened to slap economic sabotage charges against Manila Water and Maynilad after the Department of Justice (DOJ) concluded its review of the government contracts with the water firms and found out 12 “onerous provisions” stipulated in the 1997 deal.
Among the provisions, the DOJ has found to be disadvantageous was the prohibition against government interference in setting rates and the provision for indemnity for possible losses in the event of government interference.
The two private firms distribute water in Metro Manila and nearby provinces under agreements signed with the Metropolitan Waterworks and Sewerage System (MWSS) in 1997 during the Ramos administration.
Duterte said the deal with the concessionaires treated water not as a natural resource but as a commodity.
Marcos echoed this, adding that “water is universally recognized as a human right, not merely a commodity.”
“I support (President Duterte’s) desire to assail these onerous contract that deprives Filipinos of both their right to water, as well as impose liabilities upon Philippine government even when service and supply fails,” she said.
A Singapore-based court earlier ordered the Philippine government to pay P7.39 billion in compensation to Ayala-led Manila Water for the losses the company incurred from the rejected water rate increases since 2015.