The Metropolitan Water Works and Sewerage Systems (MWSS) and its concessionaires should return to its consumers the billions of pesos they have collected in advance for projects that were never implemented, a neophyte lawmaker said on Tuesday.
Bagong Henerasyon Representative Bernadette Herrera said a number of projects of the MWSS have been front loaded since 2007 and that consumers “have already initially paid for the sales cost in the water rates, even if these projects have not been completely delivered.”
“The gargantuan problems of the MWSS did not come like a thief in the night for most of us. These were brought upon us mostly by allegedly overpriced projects and loan agreements entered into by the agency with various corporations in the past, and most of these projects have not been fully completed on target or not even started yet,” she said in a privilege speech.
Herrera identified the projects as the Pinugay Sewerage Treatment Project in Antipolo City, allegedly overpriced by P150 million and the Bicti-Novaliches Aqueduct Project.
Herrera also named the BNP Paribas Loan obligation obtained in March 2004 to refinance and finance maturing obligations of the MWSS.
“This is a seven-year fixed rate note and the said amount does not even include the foreign exchange losses and interests of the loan.
She also said the Laiban Project has caused problems to the consumer because part of its cost of P45.3 billion is already being collected to consumers.
“I ask for a detailed accounting of all the capital expenditures that have been front loaded to our water bill rates. Let us find out how much has already been collected thus far. Where are these funds now. Are they in the hands of concessionaires,” Herrera said.
