Manila Water books lower income in 2019
Manila Water has declared a consolidated net income of P5.5 billion for 2019, which is lower by 16 percent from 2018 figures, which has already been anticipated considering the challenges the company faced last year starting with its water supply mess in March.
To recall, the decline in La Mesa dam water levels caused the company’s water service availability to drop significantly in March. To assist severely affected customers, Manila Water implemented a one-time Bill Waiver Program.
Then in July last year, raw water allocation from Angat Dam hit its lowest, with releases limited to 35 cubic meters per second for the Metropolitan Waterworks and Sewerage System (MWSS) Concessionaires.
To mitigate the impact of low raw water supply, Manila Water pushed for network efficiency to maintain service availability, with at least 7 pounds per square inch (psi) of pressure, enough to reach the ground floor level, enabling it to serve more than 7 million people in the East Zone with safe and reliable water supply, covering over 1.3 million households and with more than 5,000 kilometers of network pipeline.
“Considering these factors, costs and expenses for the East Zone for 2019 increased 32 percent to P6.3 billion, mainly driven by the P534 million penalty imposed by MWSS and additional service recovery and operations costs. In all, the Manila concession’s net income for the year was at P5.1 billion, a decline of 22 percent from 2018,” Manila Water said.