The Board of Directors of the Dumaguete City Water District has deferred a water rate increase that was supposed to take effect on March 1, 2022.
In an undated statement furnished the media Saturday, the DCWD Directors said the water rate increase was deferred at the request of the City of Dumaguete, citing “difficult economic circumstances brought about by the COVID-19 pandemic, the damage from Typhoon Odette and several rapid fuel rate increases”.
The statement was signed by Engr. Lloyd Tenaja, DCWD Board chairman, Cleonico Fontelo, vice chairman; directors Atty. Cyrus Riconalla and Atty. Cynthia Portugaleza, and General Manager Engr. Eric Diaz.
DCWD Director Tyrone Ramas-Uypitching was reportedly in Manila, and could not sign the statement.
The DCWD statement said they started to notice a deficit in the water supply due to the influx of migrants and a growing population even before 2018. The DCWD constructed two more wells located in Cantil-e and Buñao to address the daily shortfall of water supply.
In a bid to raise revenues for the rehabilitation and upgrading of the City’s water system, then General Manager Esperato Dicen requested the Board, then composed of Chairman Rodrigo Lagahit Sr., Cleonico Fontelo, Catalina Amasula, Isabel Lucille Esmeña, and Atty. Riconalla to apply for a water rate increase to finance the rehabilitation and upgrading of its facilities.
The Local Water Utilities Administration sent a representative to witness the public hearing conducted by the DCWD on June 29, 2019 at the Candau-ay covered court, which was attended by 1,015 consumers and presided by then GM Dicen.
After two years on Nov. 22, 2021, the LWUA approved the DCWD application for a water rate increase.
In a press statement, the DCWD Board said the water rate increase would have been immediately implemented in December last year, if not for the request of the City against it.
The DCWD said the rate adjustment would allow for the building of new deep wells, reservoirs, and continued efforts to reduce water losses through extensive rehabilitation of pipelines to improve water service for Dumagueteños.
The DCWD was created by the City of Dumaguete in 1977, but became an independent Government-Owned and -Controlled Corporation by virtue of Presidential Decree 198.
While the DCWD entered into a Joint Venture Agreement with Metro Pacific Water for the operation and upgrading of the City’s water infrastructure, the DCWD continues to own the water franchise for Dumaguete, as well as the pumping stations, the reservoirs, and the pipelines that bring water to the City’s residents.
The Joint Venture Agreement resulted in the creation of Metro Pacific Dumaguete Water, or Metro Dumaguete Water, a company co-owned by DCWD and MPW, which started to take over the day-to-day operations of the DCWD in February last year.
As owner of the water franchise and water facilities, the DCWD is the regulator of MDW.
