11 March 2021
PRESS RELEASE
MWSS RO Confirms Tariff Adjustment on Customers’ Water Bills for the 2nd Quarter of 2021
The MWSS Board of Trustees (BOT) has recently approved the recommendation of the MWSS Regulatory Office (RO) to implement the 2021 2nd Quarter Foreign Currency Differential Adjustment (FCDA) effective 01 April 2021, based on its evaluation of the FCDA proposals of the Concessionaires.
Manila Water Company, Inc., which provides water and wastewater services for the East Zone Concession Area, will implement an FCDA of 0.84% of its 2021 Average Basic Charge of Php28.52 per cubic meter or Php0.24 per cubic meter. This is an upward adjustment of Php0.05 per cubic meter from the previous FCDA of Php0.19 per cubic meter.
Maynilad Water Services, Inc., which serves the West Zone Concession Area, will apply an FCDA of negative 0.41% of its 2021 Average Basic Charge of Php36.24 per cubic meter or negative Php0.15 per cubic meter. This is a downward adjustment of Php0.01 per cubic meter from the previous FCDA of negative Php0.14 per cubic meter.
The FCDA is a quarterly-reviewed tariff mechanism that allows Concessionaires to recover losses or give back gains arising from fluctuations in foreign exchange rates, as payments are made for foreign currency-denominated loans that are used to fund the expansion and improvement of water and sewerage services. It is a corrective mechanism formulated by the MWSS RO to avoid under recovery or over recovery caused by forex movements.
(sgd.)PATRICK LESTER N. TY
Chief Regulator
