The government awarded the P24.4-billion Bulacan bulk water supply project to San Miguel Corp. after submitting the best offer in November.
The Metropolitan Waterworks and Sewerage System on Monday issued the notice of award to the joint venture of San Miguel Corp. and Korea Water Resources Corp.
The San Miguel-K Water Consortium earlier submitted the lowest bid for the bulk water supply project.
San Miguel’s offer of P8.50 per cubic meter was lower than the P10.65 per cubic meter bid of Team Polaris-Manila Water and the P9.65 quote of Prime Alloy Water Consortium.
Prime Alloy Water Consortium is comprised of Prime Water Infrastructure Corp., MTD Capital BHD and Biwater International Ltd., while Team Polaris–Manila Water is made of up of Manila Water Co. Inc., M.E. Sicat Construction and J.H. Patawaran Construction.
“By tapping the private sector in this project, government will be able to deliver better services and secure access to potable water of millions of Filipinos in the province of Bulacan,” said PPP Center executive director Cosette Canilao.
Canilao added the project would also reduce use of deep wells to mitigate the adverse environmental impact of excessive groundwater extraction.
The Bulacan Bulk Water Supply Project will provide treated bulk water to the 24 water service providers in Bulacan to help meet the increasing demand of consumers, expand the current service area coverage and increase the households served.
Under a 30-year build-operate-and-transfer contractual arrangement, the private partner will handle the financing, detailed design and construction, and operation and maintenance of conveyance facilities, treatment facilities and water source.
The BBWSP is one of the two water projects of the MWSS under the country’s PPP Program together, along with the P18.72 billion New Centennial Water Source-Kaliwa Dam Project.
“MWSS takes water security seriously. The spirit and soul behind Water Security is not about the abundance of water but the availability of water for all, particularly the poor,” said MWSS administrator Gerardo Esquivel.
“This is what Bulacan Bulk Water Supply Project is all about. All these are about water security, equality, fairness, and leveling up the lives of many Filipinos that continue to be deprived of a basic human right,” he added.
San Miguel in June signed a joint venture agreement with Korea Water to operate and maintain the 218-megawatt Angat hydroelectric power plant in Bulacan.
The joint venture will pursue the rehabilitation of the Angat dam amid potential risks of earthquakes and other natural calamities.