DECEMBER 10, 2019 — Water concessionaires Maynilad and Manila Water will no longer ask the government to pay nearly 11 billion pesos in an arbitration award from an international tribunal in Singapore.
The two water concessionaires also announced they will no longer push through with plans to increase water rates next year.
Manila Water has won an arbitration case against the government, awarding the concessionaire a compensation amounting to 7.39 billion pesos, said the company president Jose Almendras.
Maynilad President Ramoncito Fernandez also
announced the company will not carry out the ruling it won earlier. It was awarded 3.4 billion pesos.
The twin cases stemmed from a decision made by the water regulatory agency, Metropolitan Waterworks and Sewerage System (MWSS), to cut back the water rates in 2015.
The two companies contested the decision and asked the Permanent Court of Arbitration in Singapore to intervene.
Last week, President Rodrigo Duterte said the government would not honor either rulings.
Duterte has also threatened to file charges of economic sabotage against two private water concessionaires for taking advantage of Filipinos after the government setbacks in arbitration cases.
“We cannot raise or lower the prices of water in this country. If we do that, they will sue us for interference. And they go to file the arbitration, talo talaga tayo,” he added.