ZCWD inks NRW reduction project with Manila Water PDF Print E-mail
Tuesday, 03 February 2015 13:35

The Zamboanga City Water District and the Manila Water Company, Inc. signed on January 30 an agreement pertaining to the Performance-based Non-Revenue Water Reduction and Network Restructuring Project.This project is a pioneering public partnership program on system loss reduction with a top water district in the country.

This project emanated from the signing of Memorandum of Understanding between the two parties in June 11, 2010 specifically for the preparation of a feasibility study on non-revenue water by the latter at no cost to the water district. The proposal was submitted in April 2011.

Subsequent actions to the receipt of the proposal was the long and rigorous yet too careful review and evaluation of  the proposal by the Joint Venture Section Committee that was created by the Board of Directors pursuant to the 2008 NEDA Guidelines for Entering into Joint Venture Agreements between Government Entity and the Private Sector. Various stages of evaluation include the negotiation and renegotiation on legal, technical and financial terms of the proposal itself and the Joint Venture Agreement. Towards the end of the negotiation stage the Tender/Selection Documents which is similar to the bid documents under the Government Procurement Act was also prepared.

The project,which was awarded to Manila Water Company, aims to convert into revenue any volume of water recovered over a period of 5 years. About 10.27 million cubic meters should have been recovered by the 5thyear of project implementation. Under this project, at least 33 District Metering Zones will be established by the JV Company to facilitate measurement of supply and demand in every zone. This will translate to a lower NRW from the current 48% to 25%by the year 2020.

The project, with an estimated project cost of PhP300 million, will be managed by a JV Company which ZCWD owns thirty (30) percent equity share with two voting members in the JVC Board.

The event was graced by no less than the Chairman of the Board of Manila Water Company, Incorporated, Mr. Fernando Zobel de Ayala, Mayor Maria Isabelle Climaco,Vice Mayor Cesar S. IturaldeZamboanga. All the ZCWD Board of Directors headed by Chairman Efren F. Arañez was also present during said activity. GM Leonardo Rey D. Vasquez signed the Agreement pursuant to Board Resolution No. 012, series of 2015.