MWSS approves water rate increases starting next year

Metropolitan Waterworks and Sewerage System (MWSS) has approved the plan of utility concessionaires Manila Water Co. Inc. and Maynilad Water Services Inc. to raise water rates in tranches from January 2023 to 2027.

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Metropolitan Waterworks and Sewerage System (MWSS) has approved the plan of utility concessionaires Manila Water Co. Inc. and Maynilad Water Services Inc. to raise water rates in tranches from January 2023 to 2027.

MWSS chief regulator Patrick Lester Ty announced that the MWSS board approved the proposed rate adjustment of both companies.

Manila Water will be charging P20.37 more throughout the five-year period. Its tariff will increase by P8.04 per cubic meter (cu.m.) in 2023, P5 per cu.m. in 2024 and P3.25 per cu.m. in 2025.

In 2026, the listed firm’s water rate will climb by as much as P3 per cu.m. in 2026 and up to P1.08 per cu.m. in 2017.

Low-income customers of Manila Water, or those consuming 10 cu.m. or less, will be spared rate increase, customers with a monthly consumption of 10 cu.m. will see their bills go up to P192.42 in 2023 from this year’s P151.23. Those consuming 20 cu.m. and 30 cu.m. will end up paying P425 and P866.03, respectively.

Maynilad will levy an additional P13.69 to its customers, broken down as follows: P3.29 per cu.m. in 2023; P6.26 per cu.m. in 2024; P2.12 per cu.m. in 2025; up to P1.01 per cu.m. in 2026; and as much as P1.01 per cu.m. in 2027.

Customers of Maynilad with monthly consumption of 10 cu.m. will notice their bills will jack up to P135.70 while those consuming 20 cu.m. and 30 cu.m. will observe their bills to increase to P509.11 and P1,039.64.

Ty noted that the respective environmental charge of Manila Water will climb to 25 percent by next year and to 30 percent by 2026.

Environmental charge

In the case of Maynilad, its environmental charge will surge to 25 percent starting January 2025, subject to its attainment of sewer coverage of 25 percent by end-2024.

The environmental charge is levied to finance various initiatives aimed at mitigating ecological damage and protecting the environment.

Ty also said Manila Water’s sewer charge, used to build and maintain wastewater infrastructure and services, will increase to 32.85 percent beginning 2023, subject to Manila Water’s attainment of sewer coverage of 30 percent by the end of 2025.

“Beginning 2024, implementation of the staggered rebasing convergence adjustment shall be subject to Maynilad’s attainment of water supply, continuity and coverage targets provided in its 2022 Approved Business Plan, as determined by the MWSS RO (Regulatory Office),” he said.

“These rate adjustments will enable Manila Water and Maynilad to provide the highest quality of water, sanitation and sewerage services that their customers deserve.”

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