A UNIT of Manila Water Co., Inc. has signed a P200-million 10-year term loan facility to fund the refurbishment, expansion, and improvement of its service facilities area, the listed firm said on Monday.
In a stock exchange disclosure, Manila Water said the proceeds of the loan will be used by Bulakan Water Co., Inc. “to finance the refurbishment, expansion, and improvement of the service facilities and the water source and distribution system, and provision of sanitation services in the [subsidiary’s] service area.”
Bank of the Philippine Islands extended the loan.
Bulakan Water is a joint venture between Filipinas Water Holdings Corp. and the Bulacan Water District. Filipinas Water is a consortium of Manila Water and its unit Manila Water Philippine Ventures, Inc.
In a separate media release, Manila Water said that it developed a service continuity plan for the company’s five-year service improvement plan for 2023 to 2027.
Under this program, the company targets to spend about P37.7 billion for the rehabilitation and improvement of its existing water treatment plants, pump stations and reservoirs including the Balara Treatment Plant, East La Mesa Treatment Plant, chemical and chlorine houses and 80 pump stations and reservoirs.
“These projects which will help the company maintain its compliance to water quality standards, and improve service reliability, operational flexibility, and efficiency to maintain its current 24/7 uninterrupted water supply,” Manila Water said.
The company has also allocated about P23.8 billion for “pipelaying of reliability lines, regular maintenance of mainlines, and rehabilitation and replacement of aged primary lines.”
Manila Water said that it has also set aside P14.8 billion for its planned network efficiency and technology, and P2.8 billion for mainline extension projects.
Meanwhile, the company has allocated P2.7 billion for natural calamity risk mitigation projects, which aim to temper the impact of climate change on the supply and distribution of water.
It said the projects involve the construction of emergency reservoirs and pipe bridges, and retrofitting and flood-proofing of facilities, reservoirs, and package treatment plants.
In 2022, Manila Water announced that it had reached a total of 7.4 million customers after it expanded its coverage to 1.3 million water service connections.
The water concessionaire serves Manila’s east zone network, which comprises Marikina, Pasig, Makati, Taguig, Pateros, Mandaluyong, San Juan, portions of Quezon City and Manila, and several towns of nearby Rizal province.
At the local bourse on Monday, shares in the company declined by 12 centavos or 0.6% to end at P19.88 apiece. — Ashley Erika O. Jose