Water supply, sanitation business in key provinces seen booming

The water supply and sanitation business outside Metro Manila continues to attract investment from existing and new players even as firms face supply shortages and regulatory fines in the national capital.

Manila Water Co. Inc. has firmed up a deal in Bulacan while Cebu-based Vivant Corp. is expanding its business to include wastewater treatment.

Manila Water announced yet again a new contract won through its subsidiary Manila Water Philippine Ventures (MWPV), this time a concession with the Bulacan Water District (BWD).

The Ayala group’s water platform, through Bulakan Water Co. Inc., signed a 25-year contract with BWD for the design, construction, rehabilitation, operation, maintenance, financing, expansion, and management of water facilities and the provision of water and sanitation services in Bulakan town.

Bulacan Water is a 90-10 joint venture between Filipinas Water Holdings Corp. and the BWD. In turn, Filipinas Water is a 49-51 consortium of Manila Water and MWPV.

Through MWPV, Manila Water has businesses in Laguna, Boracay Island and Clark in Pampanga as well as the supply of bulk water to Ayala townships through Estate Water and in Cebu through Cebu Manila Water Development Inc.

Also, Manila Water has operations in Zamboanga City, Tagum City as well as a string of new deals announced last year.

In Cebu, Vivant Hydrocore Holdings Inc. signed a memorandum of agreement (MOA) with Israeli firm WaterMatic International Ltd.

Vivant Hydrocore and WaterMatic plan to establish a joint venture company that will be engaged in the design, supply (including detailed design, procurement, and assembly), installation, commissioning, operation and maintenance of water treatment and wastewater treatment plants.

Vivant Hydrocore is a wholly owned subsidiary of Vivant InfraCore Holdings Inc., which is wholly owned by Vivant Corp.

“The signing of the MOA with an experienced company in the water and wastewater treatment business is part of Vivant’s endeavor to diversify its investment portfolio to include infrastructure,” the parent firm said in a statement.

Read more...