Manila Water bags Calbayog deal

Press Release
December 27, 2018

QUEZON CITY – Ayala-led Manila Water Co., Inc. has been awarded the contract to provide water and wastewater services in Calbayog City.

In a regulatory filing early today, Manila Water disclosed that it had received the Notice of Award from the Calbayog City Water District (CCWD) for the implementation of an integrated water supply and sanitation project, to be carried out under a joint venture framework.

The contract covers the design, construction, rehabilitation, operation, maintenance, financing, expansion, and management of water and wastewater systems in the city of Calbayog, as well as other areas which may eventually form part of the service coverage of CCWD in the Province of Samar.

Manila Water intends to form a Special Purpose Vehicle (SPV) with its local partner, TubigPilipinas Group, Inc., to implement the project with an estimated CAPEX of P1.2B under a contractual joint venture with CCWD.

The joint venture agreement will grant the SPV the exclusive right to manage, operate, maintain, repair, refurbish and improve, expand and as appropriate, decommission, the facilities of CCWD. The SPV shall also be given the right to bill and collect tariff for the provision of water supply and sanitation services in the service area.