Pending changes in the composition of management at the Metropolitan Waterworks and Sewerage System (MWSS) has led to a postponement of the quarterly foreign currency differential adjustment (FCDA), which would have meant rising rates this third quarter.
The MWSS yesterday said in a statement its board had deferred the implementation of the third-quarter FCDA adjustment until the next quarter, when a new administrator is expected to have assumed office.
President Duterte has appointed retired army general Ricardo Morales to replace Reynaldo Velasco, but the appointment paper has not been received by Morales.
At the same time, Velasco—who had contemplated resigning last month to own up responsibility for the water supply shortage being felt in eastern Metro Manila, Rizal and parts of Cavite—has been promoted to MWSS chair.
The postponement of the FCDA implementation “is beneficial for the consumers because the initial computation for this (third) quarter is an upward adjustment in the tariff, which will now be deferred until the next (fourth) quarter,” the MWSS said.
The FCDA is designed to allow the two concessionaires—Manila Water Co. Inc. and Maynilad Water Services Inc.—to recover losses or give back gains resulting from the fluctuations in the value of the peso against other currencies.
Both firms are servicing foreign currency-denominated loans—US dollar and Japanese yen—the proceeds of which were used in the improvement and expansion of their services.
Manila Water, the concessionaire for the East Zone, continues to implement a supply management scheme that rotates periods of four hours to 21 hours daily—depending on the area—when consumers would experience low pressure or no water.
According to Manila Water, as of yesterday morning, stock at the Angat Dam in Bulacan was 163.62 meters above sea level (masl) or 16.38 meters below the minimum operating level of 180 masl.
Also, La Mesa Dam in Quezon City had 68.54 masl or 0.46 meters below the critical level of 69 masl.