A MINDANAO-BASED group has raised serious concern over a proposed 30 percent water rate increase by the Davao City Water District (DCWD), warning that the adjustment would push the total rise in water rates since 2022 to a cumulative 90 percent and burden consumers without clear, measurable improvements in service.
The Mindanao Alliance for Progress (MAP), in a statement furnished to SunStar Davao, questioned DCWD’s justification for the latest increase, noting that the utility has repeatedly cited future expansion and the city’s growth to support rate hikes over the past three years.
“While DCWD frames this as a necessary step for future expansion and the city’s anticipated growth, the reality is that the public is being subjected to a massive, consolidated price surge disguised as separate, smaller adjustments.”
MAP noted that DCWD had already implemented a 60 percent increase from 2022 to 2024 using the same arguments now being raised for the additional hike, prompting concerns over transparency and long-term planning.
The group said the latest proposal raises questions about whether earlier cost projections were miscalculated or whether consumers were gradually eased into a much larger increase spread over several years.
MAP stressed that the issue is particularly pressing given DCWD’s own admission that Davao City currently has a surplus water supply.
“The proposal is currently under review by the Local Water Utilities Administration (LWUA), which must seriously scrutinize it, especially as DCWD itself admits that the city currently enjoys a surplus of water.”
MAP emphasized that any increase in water rates should be accompanied by clear and verifiable benefits for consumers. It called on DCWD to account for how previous adjustments translated into improvements in service reliability, system efficiency, coverage expansion, and long-term water security.
The group also highlighted ongoing concerns in areas that continue to experience inconsistent water supply, particularly in the city’s Second District.
“Rate increases should translate into visible benefits for consumers and communities, particularly in areas like the city’s Second District that continue to await consistent and adequate water supply.”
In addition, MAP urged DCWD to fully disclose the financial structure and long-term implications of its joint venture with Apo Agua, citing the need for transparency on how the partnership will affect water affordability and security in the years ahead.
The group reiterated that decisions on water rates should be guided by data-driven discussions and public accountability, stressing that water is a basic necessity that must remain accessible and equitably distributed.
MAP had earlier voiced similar apprehensions in December 2025, as DCWD signaled plans for another rate adjustment.
“As we approach a new year, many families in Davao City are looking ahead with hope — hope for stability, for fairness, and for the simple assurance that basic needs will remain within reach. One of those basic needs is water,” MAP said at the time.
While acknowledging that water service in Davao City is generally reliable, MAP urged DCWD to clearly explain how this reliability will be sustained over the long term, particularly in relation to its partnership with Apo Agua.
DCWD: Further investments needed for various crucial reasons
In response to MAP’s concerns, DCWD defended the proposed rate adjustment in January, saying the increase is necessary to sustain reliable service while remaining affordable.
Through spokesperson JC Duhaylungsod, the water district said it respects MAP’s position and shares the concern that water should remain accessible, especially to vulnerable sectors.
“We understand the sentiment of the Mindanao Alliance for Progress. DCWD also shares the group’s concern that water must remain within reach of all households, especially the most vulnerable sectors of society,” the water district said.
DCWD stressed that customer payments are reinvested to maintain service quality and long-term sustainability.
“Our water rates are utilized to promote the water district’s growth and viability, thus ensuring high quality of water service in Davao City,” DCWD said.
DCWD said most of its nearly 270,000 service connections receive 24/7 water supply with adequate pressure, noting that it has achieved a level of climate resilience in water availability. It also cited low non-revenue water levels as a sign of efficient infrastructure and operations.
The water district said further investments are needed to improve service for remaining customers, expand coverage, develop and protect water sources, and maintain financial sustainability.
As a self-sustaining GOCC, DCWD said it relies on a regulated and phased water rate adjustment to fund these plans.
DCWD clarified that the proposed 30 percent increase over two years represents the minimum adjustment needed to sustain operations, warning that further delays could affect service reliability and long-term sustainability amid rising operating costs, aging infrastructure, and future water security demands.
The agency also pointed out that the rate-setting process includes public consultation and regulatory oversight.
“This is why the rate adjustment process includes a public hearing, which we conducted last October 24, 2025, with barangay representatives, stakeholders, and regulatory evaluation by the Local Water Utilities Administration,” DCWD said.
Despite the assurances, MAP maintained that any decision on water rates must prioritize public interest, equitable access, and long-term water security, calling for full transparency before any increase is approved. DEF