Desalinated water can be affordable

CEBU, Philippines — Costly desalinated water does not necessarily mean higher water rates for consumers in Cebu, as the Metro Cebu Water District (MCWD) has tools to make water affordable.

This is the explanation made by Aboitiz InfraCapital chief operating officer Cosette V. Canilao amid the pronouncement made by Cebu City Mayor Edgardo Labella against the higher price offer of Metro Pacific Investment Corporation (MCPI)-Aboitiz consortium to MCWD.

In a press conference yesterday, Canilao said there are always ways on how to manage the pricey water to make it more affordable to the masses.

Roman V. Azanza, Aboitiz InfraCapital first vice president, reasoned that while desalination technology uses a lot of power, it is more expensive to produce potable water this way.

What Cebu needs right now, he said is immediate solution to water shortage, “time is on our side here.”

In order to provide an immediate solution to address Cebu City’s challenging water situation, the consortium submitted an unsolicited proposal to supply MCWD with 100 million liters per day (MLD) of desalinated bulk water. The proposal will substantially narrow down Metro Cebu’s forecasted 2025 supply-demand gap from 294 MLD to 194 MLD.

An additional 88,000 households or roughly 440,000 individuals within Metro Cebu are expected to enjoy clean and safe water if and when the Aboitiz-led consortium’s bid to supply treated bulk water to MCWD’s franchise area is accepted.

Meanwhile, Labella said the consortium reportedly offered a price triple that of the current price per cubic meter of the MCWD.

As of now, MCWD is buying water for P32 per cubic meter from its current private water supplier.

In his letter to MCWD, Labella asked for an update on its negotiations with the Metro Pacific Investments Corp. (MPIC)-Aboitiz consortium.

MCWD has accepted the MPIC-Aboitiz consortium’s proposal but negotiations are still ongoing on the matter of price of water per cubic meter.

Considering that the proposal and any corresponding contract that may be entered into between MCWD and the proponents may have an impact on the price of water to the consuming public, the Mayor requested to be apprised of the terms of the ongoing negotiation, the proposed price per cubic meter, as well as the status of the proposal.

Desalination is the process of removing salinity (dissolved salts) from a salt water source, or brackish water.

Aboitiz InfraCapital (AIC) undertakes all of the water and infrastructure-related investments of the Aboitiz Group.