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Friday, September 22, 2006
MCWD to wait for Neda nod on deal

If the Mandaue City Government wants the Carmen water project approved immediately, the city should just break away from the Metro Cebu Water District (MCWD) and source its water from Ayala Corp., the Cebu City mayor proposed.

Mayor Tomas Osmeña reiterated his challenge to Ouano to shoulder the P200-million project development cost the proponents of the Carmen Bulk Water Supply Project are asking for.

“Just put your money where your mouth is, Mayor Ouano. Pay it, then I won’t make it an issue. They’re endorsing the project to rush it, which, if you read between the lines, will have the consumers pay an additional P200 million,” Osmeña said yesterday.

Ouano is among the three mayors and other business group leaders who signed the letter endorsing the water project, addressed to National Economic and Development Authority Secretary Romulo Neri.

For its part, the MCWD will simply wait for the Neda’s decision on the Ayala-MCWD Carmen water project, before looking for alternatives.

Other source

MCWD General Manager Armando Paredes expects the Neda decision before the end of this month or early October.

If Neda will disapprove the deal, Paredes said the MCWD will have to develop other sources such as Danao and Catmon rivers in northern Cebu and Cotcot and Mananga Rivers in Cebu City.

At present, the MCWD has 108,000 service connections in Metro Cebu, or about 50 percent of the total demand, said Paredes.

“We are aiming to achieve 90 percent of the water demand,” Paredes added.

Paredes also said that in the hearings conducted in the cities of Cebu, Mandaue, Talisay and Lapu-Lapu and the towns of Cordova, Consolacion, Liloan and Compostela, majority of the participants said they are willing to pay higher rates as long as there is a steady water supply.

Paredes also said there is nothing definite yet on the P200-million refund for project development costs, should a challenger take over the project from the Ayala-led consortium.

Objection

Mayor Osmeña is objecting to such a refund because he anticipates this will be passed on to consumers.

“If they (Mandaue City) want the project, then just pay the refund. Maybe they should even break away from MCWD and get their water from Ayala. I will not let my constituents pay for it. Maybe he wants people in Mandaue City to pay, then they’ll be sorry he is their mayor,” Osmeña said.

In a news conference yesterday, Osmeña said he is only bringing the contract for the P1.8-billion water project out in the open for public debate.

For the mayor and Cebu Gov. Gwendolyn Garcia, the water the consortium is proposing to sell to MCWD is “overpriced” at P25.55 per cubic meter.

They also find objectionable the project development cost, reportedly pegged at P200 million.

The amount represents the cost the consortium incurred in developing the Luyang-Cantumog River in Carmen town, from where the water will be sourced, in the past nine years.

“I resent that I’m only protecting the interest of Cebuanos, including Mandaue City, but I’m being made to look like a fool.

Ouano should just join Ayala because they have so many things in common,” he added. (LCR/EOB)

For Bisaya stories from Cebu. Click here.

(September 22, 2006 issue)
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