Duterte wants water firms to agree on new contracts

MANILA, Philippines — President Duterte wants new water concession agreements, presidential spokesman Harry Roque Jr. said yesterday, after the President threatened to expropriate the water concessionaires.

Roque said the President wants the two concessionaires to enter into new water agreements, following the Chief Executive’s claims that the contracts entered into by the Manila Water Company Inc. and Maynilad Water Services Inc. were disadvantageous to the government.

“They need to enter into an amended agreement. Up to now they still don’t have those kinds of contracts,” Roque said in Filipino.

Duterte lashed out at Manila Water yesterday when he also publicly called out Senate minority leader Franklin Drilon over the latter’s law firm’s alleged involvement in the drafting of the water agreement.

“You know, Drilon? I’d like to ask Drilon, were you a part of ACCRA when this contract of Ayala Water was being drafted? Why are you fumigating? Bakit ikaw lang ang galit, nasabi mo na (Why are you the only one angry, that you say it’s a) dynasty?” he said.

A few weeks ago, Roque said the President has taken a softer stance on the two water companies after they had contributed or donated millions to help the government in the fight against the COVID-19 pandemic. But the Palace official said the President has not totally absolved the two water firms.

Yesterday, Roque expressed the President’s intent when asked to expound on his threat to expropriate, in favor of the government, certain public utilities during his fifth State of the Nation Address.

“He did say that he has forgiven the firms’ owners. They won’t be imprisoned, but there still needs to be a new agreement wherein Filipinos will be given justice,” he said.

The President has deferred acting on the water issue since last year pending a review by government lawyers.

The government had revoked last year the extension of concession agreements of the two water firms after they drew the President’s ire over Manila Water’s arbitration win against the government last November.

Duterte has not hidden his displeasure, threatening possible military takeover of the water distribution facilities over the allegedly “onerous” water contracts.

Duterte said the water agreements barred the government from preventing water rate increases and deterred it from collecting damages for losses that stemmed from regulatory moves.