Maynilad Water Services Inc.—the water distribution firm controlled by businessman Manuel Pangilinan—prefers to develop small but scalable water sourcing projects than a large-scale water project like Laiban dam. The water concessionaire for Metro Manila’s West Zone made this stance Thursday despite the recent call of Metropolitan Waterworks and Sewerage System (MWSS) chairman Ramon Alikpala for a large water sourcing program.
In an interview on the sidelines of the launch of Maynilad’s Water Academy in Antipolo, company president and CEO Ricky Vargas declared that Laiban was “not feasible” and it would be a more viable strategy to undertake numerous scalable water projects such as water catchment basins and water storage facilities.
Vargas noted that a lot of water was not conserved during the recent passage of Typhoons “Pedring” and “Quiel.”
Metro Pacific Investment Corp. and DMCI-led Maynilad, together with Ayala-led Manila Water Co., is set to undertake a P1-billion water resource enhancement project for the Angat Dam.
The project involves the construction of a tunnel that will allow water from the Umiray and Sumag River in General Nakar, Quezon province, to flow to the Angat reservoir dam in Bulacan.
Meanwhile, Vargas assured that Maynilad remains on track with its growth target this year of one million water mark connections serving seven million customers.
By 2012, Vargas said, Maynilad hopes to serve 98 percent of its customers in its concession area.
Vargas also remains confident that Maynilad will hit its projected revenue target this year of P6 billion.
Although Maynilad is still in the process of finalizing its budget, Vargas said that Maynilad would probably retain a revenue target of P6 billion next year as it expects a “tough” year next year due to the scheduled rate rebasing negotiations.
Maynilad has long opposed the construction of Laiban dam, on fears that it may be saddled with more expensive water that it will have to buy from the investor who builds the water supply project.
One early proponent for the Laiban, touted as an alternative to Angat Dam—Manila’s only major source of water—was San Miguel Corp., which is a business rival of Maynilad’s controlling shareholder.