• GILBERT P. BAYORAN
Due to issues on high water tariff, the bidding for the P1.2-billion bulk water supply project of the Negros Occidental provincial government was declared by its Bid and Awards Committee (BAC) as “failure”.
Governor Eugenio Jose Lacson said on Monday (June 9) that the BAC resolution, declaring a failure of bidding was served on May 16 to the lone bidder.
The lone bidder of the Capitol bulk water project was a consortium composed of First Balfour Inc., which forms part of the Lopez Group of Companies, Victorias Milling Company, and FPIP Utilities Inc.
The problem with the results of the initial bidding, Lacson said, was the cost of water, which was too high at P24 per cubic meter, stressing also that the takers are not amenable to it.
The provincial government wants the rate to go down to P14 per cubic meter but the bidder is not amenable to it.
“We’re finding ways. When we find a solution, then we will call for a rebidding because others may want to join, knowing that the problem on tariff can be lowered,” Lacson said.
Under the project, the winning bidder will enter into a contractual joint venture with the provincial government of Negros Occidental to finance, design, construct, operate, and maintain a bulk water supply system with a minimum capacity of 34.5 million liters per day to be sourced from the Malogo and Imbang Rivers.
Lacson said the provincial government is willing to provide more equity, instead of the initially proposed P200 million, and asked the prospective bidders to lower the selling price.
The reelected governor said he is hoping the Capitol bulk water project will push through before the year ends.
The bulk water project aims to supply to six water service providers in the cities of Silay, Talisay, Victorias and Bacolod as well as the municipalities of E. B. Magalona and Manapla. | GB
