Gwen: Water supply won’t be interrupted

CEBU, Philippines —  Governor Gwendolyn Garcia assured yesterday that the water supply from the Luyang River will not be interrupted even if the provincial government terminates its Joint Investment Agreement with Manila Waters Consortium, Inc.

The water is being sourced by the Cebu Manila Water Development, Inc.

Garcia clarified that the Joint Investment Company (JICO), Cebu Manila Water Development, Inc. will remain even with the province’s termination of its JIA with Manila Waters Consortium, Inc.

“Let me make this clear, ang gi-terminate ron is the agreement but the JICO or the Joint Investment Company continues to exist unless ato nang i-dissolve,” Garcia said.

“While kami, magkwentahay na mi pila man ilang utang namo, pila man angay nilang bayran namo (We have will to compute how much they owe us and they need to pay us),” she added.

Cebu Manila Waters supplies 35 million liters of water per day from bulk water source Luyang River in the Municipality of Carmen. The company was born out of an agreement entered into by the Cebu Province and Manila Water for the development and operation of a bulk water supply facility in Carmen. This agreement was forged in March 2012 during Garcia previous term as governor.

The agreement stipulates that the party not at fault could, if it chooses to, buy the shares of the party at fault for 80 percent the actual fair market value.

Earlier this week, on December 9, 2019, the Provincial Board passed a resolution allowing the termination of the JIA with Manila Waters for five violations the latter committed over the past six years.

“"...as aptly provided in the said Reply of Gov. Gwendolyn F. Garcia, said violations or breaches, including the non-remittance to the Province of Cebu of its receivables and the plowing back of the earned revenues to the CAPEX of the JICO, are serious and material violations committed by MWCI, which are greatly prejudicial to the interests of the Province of Cebu and the Cebuanos," the resolution reads.

Garcia went on to add that she will be making representations with the local government unit of Carmen to explain that the JIO will remain despite the contract termination with Manila Waters.

She said that part of the agreement was to aid Carmen’s water distribution since it is where the bulk water supply is located.

Garcia said Carmen Mayor Carlo Villamor is not happy with Manila Waters as the town is also facing a water crisis.

“Karon, si Mayor Carlo Villamor is not exactly very happy with Manila Waters (This time, Mayor Carlo Villamor is not exactly happy with Manila Waters),” she said.

The notice of termination was set to be served yesterday, December 10, or today to Manila Waters. After this, Garcia said the Province of Cebu will be following the steps outlined by the JIA. JMO