- GILBERT BAYORAN
The Bacolod City Water District (Baciwa) has expressed interest to join the P1.2 billion bulk water supply project of the provincial government of Negros Occidental.
In her letter to Gov. Eugenio Jose Lacson dated July 4, Baciwa general manager Mona Dia Jardin said the water district intends to avail of 10 MLD (million liters per day) of water for the duration of the project, subject to the conduct of due diligence and execution of a definitive agreement.
Jardin acknowledges that “the successful implementation of the project may be advantageous to the province of Negros Occidental and the local water authorities.”
“That’s already a good amount that we are expecting from Bacolod City,” Lacson said, as he welcomed such development in the Capitol bulk water project.
Aside from Baciwa, he said the water districts in Talisay, Silay, EB Magalona, and Victorias also expressed intention to avail of the water project.
“We are now in a better position to present it to the investors,” Lacson said.
Five potential investors, including the Aboitiz InfraCapital Inc., Manila Water Company Inc., San Miguel Corp., Suez Water Technologies, and the Genesis Water Technologies Philippines, have expressed their intent to invest in the Capitol bulk water project.
The investor forum is set on Aug. 10 this year.
The surface waters of the Imbang and Malogo rivers in the 3rd District of Negros Occidental will be tapped in the bulk water project.
“Ever since, it is more beneficial to the investors if Bacolod City is included in the project,” Lacson said.
In her letter to Lacson, Jardin said that the consolidated volume purchase of treated bulk water is expected to result in a lower Bulk Water Charge (BWC), based on economies of scale.
Jardin added that the construction, operation, and eventual transfer of large capacity water treatment and conveyance systems is expected to provide a more stable and sustainable supply treated bulk water over the long term, as well as allow scarce groundwater resources to replenish.
However, Jardin said that it must be emphasized that the Letter of Intent “does not and is not intended to contractually bind Baciwa and is only an expression of interest, subject to the conduct of due diligence and execution of a definitive agreement”.
“Baciwa shall not be contractually bound unless and until it enters into a formal, written memorandum of agreement, or some other definitive agreement, which must be in form and content satisfactory to the parties,” she said.
Jardin further stressed that the Bacolod City government, and/or the private concessionaire, shall not rely on the letter sent to the governor as creating any legal obligation of any kind on the part of Baciwa./GB
