June 17, 2013

Manila Water Co. rates to drop, Maynilad rates to go up in July

According to the Ayala-led Manila Water’s disclosure to the Philippine Stock Exchange on Monday, its customers will pay an average of 54 centavos less per cubic meter mainly due to the depreciation of the Japanese yen against the peso.

Lifeline customers of Manila Water — households that consume 10 cubic meters or less a month — are not affected. However, the average household that uses up 30 cubic meters monthly will see a reduction of P9.84 in their bill. Meanwhile, Maynilad’s water charges will ―slightly increase‖ by an average of 17 centavos per cubic meter due to the weakening of the peso against other currencies, according to the company statement.

Households that enjoy the lifeline rates will have to pay 39 centavos more while the average household will pay an additional P3.01. Under their concession agreement with the government, Manila Water and Maynilad must pass on to customers the gains or losses arising from the payment of foreign currencydenominated loans from banks and concession fees. - WealthSec