CEBU’S worsening water shortage is putting a new premium on a resource once considered too expensive to rely on — seawater.
For Vivant Water president Atty. Jess Anthony Garcia, however, desalination is not a standalone answer to Cebu’s water crisis. It is one part of a broader water-security strategy that combines groundwater, surface water, dams, catchments, recycling, wastewater treatment and other sources.
The approach reflects Garcia’s background in the power industry, where he sees value in maintaining a diversified generation mix rather than depending on a single source.
For Cebu, he believes the same principle should apply
to water.
“It’s quite severe,” Garcia said of the province’s water situation, pointing to the widening gap between supply and demand in Metro Cebu.
The Metropolitan Cebu Water District (MCWD), he said, supplies only about 250 million liters per day against demand that could already be closer to 500 million to 600 million liters daily, leaving a deficit of more than 200 million liters.
Born and raised in Cebu, Garcia said the water business is particularly personal for him and for Vivant Corp., the Cebu-based conglomerate behind Vivant Water.
“This water business is really close to our hearts,” he said. “We want to provide solutions primarily to our hometown to solve some of its problems.”
Desalination
as a security plant
Vivant Water invested P2 billion in the Philippines’ first utility-scale desalination facility in Cordova, Mactan, operated by subsidiary Isla Mactan-Cordova Corp.
The plant, which underwent testing and commissioning through 2025, can produce up to 20 million liters of potable water daily.
Vivant Water signed a 25-year joint venture agreement in 2025 to supply water to MCWD and began supplying water from the plant in July 2026.
It initially supplied about five million liters per day as MCWD continued upgrading its distribution network to accommodate the plant’s full capacity.
Garcia said the plant is ready to operate at full capacity once the network is upgraded. He cited efforts by MCWD’s current administration to address leaks, improve meters and strengthen its system so it can accept more bulk water.
According to Garcia, the limitation highlights a broader challenge. He said Cebu’s water crisis is not only about finding new sources but also about having the infrastructure to move, distribute and treat water.
“Gamay ra kaayo na,” Garcia said of the plant’s contribution to Cebu’s overall deficit. “There’s really a lot of room for different players, for private investment and improvement also of services.”
Garcia sees the Cordova facility as a “security plant” that can provide water when cheaper, weather-dependent
sources weaken.
“It’s effectively a security plant,” he said. “It will address water security in times of scarcity and it won’t be affected by the climate.”
Unlike groundwater and surface water, seawater provides a more reliable source that is less dependent on rainfall. While desalination requires significant electricity and comes at a higher cost than conventional water sources, technological advances and economies of scale can help improve its efficiency and affordability.
Still, Garcia said desalinated water could compare favorably with what consumers already spend on drinking water.
He said desalinated water could cost about P73 per cubic meter, which is more affordable than alternative options like bottled or tanked water.
Garcia said the issue should not simply be viewed as whether desalinated water is expensive, but how much households and businesses already spend coping with unreliable supply.
Diversified water mix
Garcia, though, does not see desalination replacing traditional sources.
He said groundwater should continue to be tapped, while surface water can be developed through dams and catchment systems. Rainwater harvesting, recycling and wastewater treatment also provide
additional sources.
Desalination, by comparison, can be deployed relatively quickly and requires a smaller physical footprint, making it useful for a rapidly growing metropolitan area that cannot wait for long-term water projects before addressing immediate supply gaps.
Garcia likened the approach to the power sector, where coal, natural gas, oil, solar and other technologies form part of a generation mix.
“You blend,” he said, allowing the system to balance cost, reliability and security.
For Garcia, the objective is not to find the cheapest possible water source but to build a system capable of delivering water when its cheapest
sources run short.
Regulatory challenge
Garcia’s background in law and the power industry has also shaped his view of the
water sector.
He previously handled regulatory matters in private legal practice before returning to Cebu and working on corporate and regulatory issues involving the power industry. He later served as corporate secretary and legal counsel for Visayan Electric and eventually became Vivant Corp.’s general counsel.
He sees similarities between power and water as essential utilities requiring large investments, regulated rates and long-term infrastructure planning.
But water remains more fragmented, he said.
Unlike the power sector, which has the Energy Regulatory Commission and a framework established under the Electric Power Industry Reform Act, the Philippines has no single department or unified regulator overseeing water.
“For me, one of the main challenges of the water industry is really the regulation,” Garcia said. “It needs more focus from the government.”
A clearer legal and regulatory framework could help attract private capital by giving investors greater certainty that contracts will be honored, investments will receive a fair return and service providers will be held accountable.
Completing the water cycle
Vivant Water’s strategy also extends beyond producing and distributing water. The company is involved in wastewater projects, including operations in Puerto Princesa, and Garcia believes Cebu will eventually need a similar approach as
consumption rises.
“Wastewater is part and parcel of your responsibility as a consumer of water,” he said.
Treating wastewater should ultimately be part of the cost of consuming water, he said, allowing it to be safely discharged or recycled.
Untreated wastewater could contaminate groundwater, while poorly maintained septic systems could contribute to nitrate contamination. Cebu also faces the threat of saltwater intrusion into groundwater, which can render wells unusable.
Vivant Water is prepared to invest across the water cycle, Garcia said, from bulk water supply and distribution to wastewater treatment, provided the appropriate regulatory and institutional framework is in place.
He pointed to Singapore and Israel as examples of countries that have developed diversified systems combining
multiple water sources, recycling, desalination, regulation and private investment.
The lesson for Cebu, he said, is not to copy a particular technology but to develop a mature system that recognizes the full cost and cycle of water.
“What I hope is that we can put in place that kind of system here eventually,” he said.
Garcia said Vivant Water’s role is to demonstrate what private capital can contribute, rather than become the sole answer to Cebu’s water crisis.
“We won’t be able to solve it by ourselves,” he said. “I don’t think the government can do it on its own. I don’t think the private sector can do it on its own.”
The government, investors, utilities, academe, civil society and consumers all have a role in building a sustainable water system, he said.
With another potential El Niño period looming, desalination may therefore be less about producing the cheapest water and more about ensuring Cebu has water when its cheapest sources run short.
“We should all focus our attention on ensuring that we can improve our water infrastructure,” Garcia said. “Our water supply and the situation of water in the entire country should be sustainable.” / KOC