Ayalas warn of massive water rate increases if SC insists steep fines on Manila Water
Manila Water Co. warned of a whopping 780 percent surge in water rates and more hellish traffic should the Supreme Court insist on imposing a P921 million fine for violating the Clean Water Act.
In a statement, the Ayala-led water said the SC decision would also further worsen traffic in Metro Manila since hundreds of kilometers of roads, including Edsa, which are part of the Manila Water’s East Zone [concession] would have to be dug up all at the same time.”
Under the Clean Water Act, entities must connect all existing sewage lines to the available sewerage system within five years from the effectivity of the law.
Apart from this, Manila Water said water rates could rise to as much as P26.70 per cubic meter if the decision of the high court is not reversed.
“If the concessionaires were to compress into five years as the SC ruling wants what was planned as a 40-year project, the hundreds of billions of pesos required would result to an increase in the water bill of subscribers, leaving them less money for other necessities and triggering higher inflation,” Manila Water said.