Maynilad targets reduction in water revenue losses to 20%

MANILA, Philippines - West Zone water concessionaire Maynilad Water services Inc. aims to reduce its non-revenue water (NRW)  rate to an “optimum economic level” of 20 percent in the next few years.

In a statement over the weekend, the water firm said it is following the advice of the World Bank to keep the NRW level below 25 percent.

Maynilad said the economically optimal NRW level is considered attained if water loss reduction efforts eventually leads to lower cost of water production.

“Based on its current water demand, water supply and cost of recovering losses, Maynilad has projected its optimum NRW level at 20 percent,” said Maynilad president and CEO Ricky Vargas.

“We still need to invest in our NRW reduction program, because we have yet to reach our economically optimal NRW level,” he added.

For this year, Maynilad is allocating P2.2 billion for its NRW reduction program. of this amount, P1.4 billion would be used for pipe replacement projects in selected portions of Manila, Caloocan, Malabon, Valenzuela, Paranaque, Las Piñas and Cavite.

Some P665 million would be used for meter management projects, establishment of smaller district metered areas (DMA), leak repairs and diagnostic activities. The rest of the allocation would be used for leak detection equipment and technical services.

From 43 percent in 2012, Maynilad was able to reduce its NRW to 38 percent last year. For 2014, the water firm is expected to reduce its physical water losses to 36 percent.

In 2013, Maynilad recovered 140 million liters of water per day, enough to supply the requirements of about 140,000 customers.

In 2012, it was able to recover 120 million liters of water daily.

Maynilad services the cities of Manila (all but portions of San Andres and Sta. Ana), Quezon City (west of San Juan River, West Avenue, EDSA, Congressional, Mindanao Avenue, the northern part starting from the districts of the Holy Spirit and Batasan Hills), Makati (west of South Super Highway), Caloocan, Pasay, Parañaque, Las Piñas, Muntinlupa, Valenzuela, Navotas and Malabon all in Metro Manila; Cavite City, the cities of Bacoor and Imus and the towns of Kawit, Noveleta and Rosario, all in Cavite province.  – With Rhodina Villanueva