Justice Secretary Menardo Guevarra on Wednesday said the government panel and representatives from the Maynilad Water Services Inc. are scheduled to meet on Monday, May 3, to discuss its new water concession agreement.
“The government review panel and Maynilad are tentatively scheduled to meet on Monday, May 3, 2021, to initially discuss Maynilad’s CA (concession agreement),” Guevarra said in a text message to reporters.
This came as Guevarra disclosed that the government panel has sent a revised copy of the CA to Maynilad Water.
“I understand that Maynilad has referred the said CA to its principals and is presently awaiting their comments,” Guevarra said.
“Thereafter, the two sides will come together and commence their discussions,” he added.
Maynilad Water and Manila Water Company, Inc. are the two water concessionaries in Metro Manila and some nearby provinces.
Last March 31, the government signed a new CA with Manila Water that will take effect six months after the signing, Guevarra said.
The new CA with Manila Water was signed for the government by the Metropolitan Waterworks and Sewerage System.
According to Guevarra, the new agreement “will provide definitely better overall service and more reasonable charges to consumers.”
The Justice Secretary admitted that the most important feature of the new agreement is the removal of the non-interference clause which prevents the government from having a say concerning water rates.
Also, the new provisions included a ban on water rates increase until Dec. 31, 2022, he added.
The government panel in the negotiations on water concession agreements is composed of representatives from the Office of the President, Bases Conversion and Development Authority (BCDA), Department of Finance (DOF), Department of Justice (DOJ), Office of the Solicitor General (OSG), and the Office of the Government Corporate Counsel (OGCC).
Malacanang pushed for the revision of the water concession deals as early as December 2019 after a DOJ panel of reviewers found numerous onerous provisions in the existing agreements then signed with the two water concessionaires.
Last Nov. 10, President Rodrigo Duterte approved the drafts of the revised concession agreements with Maynilad and Manila Water.