Sanchez: Joint venture

I AM being forced to do a Solomonic decision. To support or oppose a proposed venture between the Bacolod City Water District (Baciwa) and the PrimeWater Infrastructure Corporation.

Last week, a close friend texted me to write something about the privatization deal between Baciwa and the Villar owned PrimeWater hush-hush deal that involved the city mayor and some members of the Board of Directors that will take over the water utility.

The text also said that the private water utility will "fully take over Baciwa and cause high water rates to ordinary consumers."

However, "there is definitely transparency on this matter. We are doing this for the benefit of the City of Bacolod. We press on because our cause is just. We are on the right track," Board chair Lorendo Dilag said in a July 2019 press briefing, adding the process is constantly reviewed by the Office of the Government Corporate Counsel (OGCC).

Dilag made the assurance amid apprehensions and concerns raised by employees and consumers on such a move.

Baciwa's joint venture selection committee is drafting the terms of reference for the bidding to challenge the unsolicited proposal of Villar Group's PrimeWater Infrastructure Corporation.

Dilag said considering that they do not have enough funds for expansion and improvement of services, the board of directors considered a joint venture with a private proponent.

He pointed out that through the partnership, Baciwa aims to improve water availability to 24 hours-seven days a week to existing consumers and new growth areas; install or construct additional transmission and distribution lines supported with technically advanced infrastructure, and replace or rehabilitate aging infrastructure and facilities.

Baciwa also seeks to reduce non-revenue to acceptable industry standards, provide efficient and responsive customer service, and provide septage management system for sanitary de-sludging and treatment services, he added.

Dilag said considering that they do not have enough funds for expansion and improvement of services, the board of directors considered a joint venture with a private proponent.

Jenelyn Gemora, assistant general manager for operations, said the proposed partnership will not involve the sale of any assets of Baciwa since it will be a contractual joint venture.

"All assets will still be owned by Baciwa. We will just outsource the development and they will infuse capitalization. At the end of the 25-year-contract period, these assets will all be returned to Baciwa," she said.

"No one will lose his or her job," she added.

So I wonder what the ruckus on joint venture is all about.

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