Manila defends garbage collection fee hike: First change since 2013

MANILA, Philippines — Manila’s local government unit (LGU) has defended its decision to raise garbage collection fees, saying that the last adjustment in 2013 no longer reflects current waste volumes and service costs.

In a statement on Thursday, the LGU confirmed that it revised its garbage collection fees through City Ordinance No. 9151, enacted by the City Council in November 2025 and signed by Mayor Francisco “Isko Moreno” Domagoso on December 1, 2025.

City Treasurer Atty. Paul Vega said the updated fees were based on a comprehensive study to align charges with current waste generation and service costs.

“The existing garbage fee rates were last updated in 2013, more than a decade ago, and no longer reflect current waste generation levels or service costs,” Vega said.

He also clarified that the revised fees apply only to businesses covered by the ordinance and not to residential households.

The LGU’s clarification came after several business owners and managers complained on social media and to traditional media about their business permit fees rising significantly after 2025.

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One concerned citizen told the INQUIRER that he was shocked to learn his mother’s small optical clinic was charged P15,000 for its business permit, compared with around P5,000 in previous years. He said the increase was due to garbage fees jumping from P1,000 in 2025 to P12,000 in 2026.

“Mayor Isko Moreno Domagoso, Manila Public Information Office. I hope you can help the people of Manila. It wasn’t like this in previous years — this is just a 2–3 sqm optical clinic. What happened to business permit renewals in Manila?” he said in Filipino.

“Most people are complaining that the permit is too expensive. It will be difficult for residents of Manila if it stays like this. It’s shocking. When you look at the statement of accounts (SOA), you’ll see the garbage fee: P12,000? From P1,000 to P12,000?!” he added.

According to the netizen, he is not the only business owner raising concerns about the higher garbage collection fees.

“Many people are already complaining about this. For some, the permit now costs hundreds of thousands because of the garbage fee! Even if it is computer-generated or calculated, this is an enormous multiplier,” he said in Filipino.

“What about those of us who run our businesses honestly and pay our taxes properly?” he added.

City Legal Officer Atty. Luch Gempis Jr. said the measure addresses a “long-standing gap,” noting that garbage collection fees in Manila have not been adjusted for over a decade.

He also cited the Metropolitan Manila Development Authority’s (MMDA) advisory to redirect the city’s waste to the New San Mateo Sanitary Landfill in Rizal, which increased hauling and transportation costs.

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“Ordinance 9151 was passed to update garbage collection fees, which have remained unchanged since 2013, to address the significant rise in waste generated by commercial and industrial sectors and the increase in garbage hauling fees,” Gempis said.

“The city has been advised by the MMDA to redirect Manila’s waste to the New San Mateo Sanitary Landfill in Rizal, which will entail additional hauling and transportation costs,” he added.

According to Gempis, the ordinance ensures that garbage fees are based on the type of business and estimated waste output, with higher rates applied to businesses that generate more garbage.

“The proposed adjustment was based on actual garbage production of each business industry; meaning, the higher the garbage generated for the industry, the higher the garbage collection fee,” Gempis said.

“With respect to the increase in real property valuation and increase in assessment schedules, this is in accord with a national law — R.A. 12001 — which mandates LGUs to update their schedule of market values every three years to reflect current market conditions and standardized valuations with national government agencies,” he added.

Gempis also revealed that the Bureau of Local Government Finance under the Department of Finance has urged Manila to comply with updated market values.

To address concerns from businesses shocked by the higher garbage collection costs, he said the city government will implement a “transitory two-phased increase” in addition to the “existing amnesty programs and advance and prompt payment incentives.” /mcm