THE Metropolitan Cebu Water District (MCWD) is fighting for its financial life. After losing P760 million in 2025, the utility is now launching an aggressive plan to fix leaking pipes, manage its money better and ensure that faucets don’t run dry during the next drought.
The problem: High costs and wasted water
MCWD’s new board chairman, Ruben Almendras, says the utility hit a breaking point because it costs more to produce water than what customers are charged. For years, the district relied on cheap groundwater, but as Cebu grew, those wells ran low. To keep up with demand, MCWD had to buy expensive water from private suppliers and desalination plants.
In early 2025, the financial hit was clear: the utility lost P7 million in March alone. According to government auditors, the company’s income plummeted from over P48 million in 2023 to just about P5 million in 2024.
Stopping the "leaking" money
A major part of the recovery plan is fixing Non-Revenue Water (NRW). This is treated water that gets lost through old, leaky pipes or stolen through illegal connections. Right now, about 29 percent of the water MCWD produces never gets paid for — it literally disappears into the ground.
To fix this, MCWD is taking several steps:
• Dividing the City: The network is being split into 10 smaller zones so engineers can find leaks faster.
• Holding Managers Accountable: District managers will now receive incentives based on how much water they save.
• Better Metering: New meters will track exactly how much water enters an area versus how much is actually used by homes.
The goal is to bring water loss down to 25 percent by the end of the year and eventually below 20 percent.
Preparing for El Niño
The timing of this turnaround is critical. Experts at Pagasa say there is a 79 percent chance of an El Niño dry spell starting later this year. This could leave Metro Cebu short by 43,000 cubic meters of water every day.
To prepare, MCWD is drilling new wells and finishing a major pipeline in Lapu-Lapu City. Once the project with Vivant Water is finished, a desalination plant will provide an extra 20 million liters of water daily to the region.
What this means for you
For the families of Metro Cebu, this isn't just about spreadsheets and accounting. If MCWD can stop losing money and water, it means more stable water pressure in your home and a more reliable supply when the weather gets hot.
"We are going to be profitable this year," Almendras promised. By extending payment terms to suppliers and tightening its budget, the utility hopes to fully recover within the next three years, ensuring that one of the country's fastest-growing regions has the water it needs to survive.