DOCSLIB.ORG

The Manila Water Concession

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
The Manila Water Concession * -. DI RECT- TH E WOR L D BAN1K The Manila Water Concession A Key GovernmentOfficials Diary of the Worlds Largest WaterPrivatization MARK DUMOL 20766 July 2000 ........................ LA 3EST DIRECTIONS IN DEVELOPMENT The Manila Water Concession A Key Government Official's Diary of the World's Largest Water Privatization Mark Dumol THE WORLD BANK WASHINGTON, D.C. ©2000 The Intemational Bank for Reconstruction and Development/THE WORLD BANK 1818 H Street N.W. Washington, D.C. 20433 All rights reserved Manufactured in the United States of America First printing July 2000 The findings, interpretations, and conclusions expressed in this paper are entirely those of the author(s) and should not be attributed in any manner to the World Bank, to its affiliated orga- nizations, or to members of its Board of Executive Directors or the countries they represent. The World Bank does not guarantee the accuracy of the data included in this publication and accepts no responsibility for any consequence of their use. The material in this publication is copyrighted. The World Bank encourages dissemina- tion of its work and will normally grant permission to reproduce portions of the work promptly. Permission to photocopy items for internal or personal use, for the internal or personal use of specific clients, or for educational classroom use is granted by the World Bank, pro- vided that the appropriate fee is paid directly to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, USA; telephone 978-750-8400, fax 978-750-4470. Please contact the Copyright Clearance Center before photocopying items. For permission to reprint individual articles or chapters, please fax a request with com- plete information to the Republication Department, Copyright Clearance Center, fax 978-750- 4470. All other queries on rights and licenses should be addressed to the Office of the Publisher, World Bank, at the address above or faxed to 202-522-2422. Mark Dumol has been the Chief of Staff of the Secretary of Public Works and Highways of the Philippines from 1993 up to the time of the printing of this book. He holds a Mechanical Engineering degree from the University of the Philippines and is an MBA candidate of the Ateneo de Manila University. E-mail address: [email protected] The cover photo was taken on January 23, 1997, during the ceremony for the opening of the bids for the MWSS privatization. The photo shows the sealed bid envelopes being inspected by representatives of the Commission on Audit, the Development Bank of the Philippines, and the four bidders. MWSS Administrator Angel Lazaro III is also shown displaying one of the bid envelopes before dropping it into a transparent container. Library of Congress Cataloging-in-Publication Data Dumol, Mark, 1957- The Manila water concession: an insider's look at the world's largest water privatization / Mark Dumol. p. cm -- (Directions in development) ISBN 0-8213-4711-X 1. Water utilities--Philippines--Manila--Finance. 2. Municipal water supply--Economic aspects--Philippines--Manila. 3. Privatization--Philippines--Manila. I. Title. II. Series. HD4465.P54 D86 2000 363.6'1'0959916--dc2l 00-032000 Contents Foreword .................................................. vii Acknowledgments .............................................. ix Acronyms and Abbreviations .................................... xi Introduction .................................................. 1 The Philippines-A Brief History ................................. 3 The Metropolitan Waterworks and Sewerage System (MWSS) ....... 5 The Philippine Democratic Framework ............................ 7 Early Offers to Privatize MWSS and the Decision to Privatize ....... 9 The Malaysians' Offer to Privatize MWSS ........................ 9 The President ................................................ 10 Second Proposal to Privatize MWSS ............................ 11 Third Offer to Privatize ....................................... 11 Early Research on Water Privatization ............................ 12 The Commercial Counselor of the French Embassy ............... 12 Lyonnaise des Eaux ........................................... 13 Macao .................................................. 13 The U.K. Model .............................................. 14 Buenos Aires Documentation .................................. 14 The Need to Privatize ........................................... 16 Procurement ................................................. 16 Personnel .................................................. 18 Financing .................................................. 19 Elephants Can't Fly ........................................... 19 Financing the Cost of the Advisers ............................... 21 The Need for Advisers ........................................ 21 French Assistance ............................................ 22 The Search for Additional Grants ............................... 23 Bridge Financing ............................................. 23 iii IV THE MANILA WATER CONCESSION How to Secure and Finance Advisers ........................... 23 Water Crisis Act .............................................. 25 The International Finance Corporation ........................... 27 First Contact ................................................ 27 Negotiations ................................................ 28 The Contract ................................................ 29 Appointment of Angel Lazaro III ................................31 The Legal Basis .............................................. 33 Executive Orders 286 and 311 ..................................33 The Bidders Question the Legal Basis of the Bidding .............. 36 Participation of Foreign Firms ...................................38 Need to Reduce the Labor Force .................................. 40 Need to Have Bids Lower than the Existing Water Tariff ........... 42 Splitting the Franchise Area into Two Zones ...................... 45 Tariff Escalation Procedures ..................................... 50 Tariff Escalation for Toll Roads ................................. 50 Dilemma of the MWSS Tariff Escalation Formula ................. 51 NERA Rate Rebasing Concept ................................. 51 NERA Proposal to Use CPI as the Escalation Index ............... 52 The "Appropriate Discount Rate" and Objectivity ................ 53 The ADR as Project Return .................................... 54 The ADR and Retroactive Adjustments ......................... 55 The Regulatory Office ........................................... 56 Takeover of Existing Projects .................................... 58 Capital Expenditures toward the End of the Concession ............ 60 Ownership and Use of Assets .................................... 61 Consequences of Termination ................................... 63 Joint Venture Agreement ........................................ 65 CONTENTS V Trip to Buenos Aires ............................................ 66 Handling the Media ............................................ 67 Hiring a Local over a Multinational Firm ........................ 67 The "Bidding War"............................................ 67 The Media and Transparency .................................. 67 Transparency ................................................... 69 The Approval Process .... 72 Early Thoughts .... 72 The MWSS Privatization Committee .... 72 The MWSS Board .... 73 The Special Advisory Committee .... 73 The Committee on Privatization (COP) .... 76 The Prequalification, Bids, and Awards Committee ("Bid Committee") .... 77 The Technical Working Group of the Bid Committee .... 77 Contract Negotiation and Signing .... 78 Summary of the Approval Process .... 79 The Bidders ...... 80 The International Water Operator .... 80 The Local Lead Firm .... 82 The Prequalification Process .... 82 Bid Submission ........... 85 Meeting the Deadline .85 Custody of the Bids .86 Arrival of IC .87 Planning the Procedures for Bid Submission .87 January 4, 1997-The Temporary Restraining Order .88 January 5-The Day Before .89 January 6-Bid Submission .91 Bid Opening .93 The Evolution of the Technical Proposals .93 Preparations .93 January 21 .94 January 22 .95 January 23-The Big Day .95 Court Of Appeals' Temporary Restraining Order .99 VI THE MANILA WATER CONCESSION Approval by the President ........................... 101 The Media and the Political Battle ........................... 102 A Frenzy ........................... 102 Too Good to Be True ........................... 105 Senate Hearings ........................... 105 Positive Media Reaction ...................................... 106 Closing Date ......................... 110 Delays .... ...............................................110 Turnover ................................................111 Interconnection Agreement ..................... 113 The Source of the Problem . .................................... 113 Disagreement ............................................... 114 Arbitration ................................................. 114 Labor Opposition Prior to Closure .............................. 116 The Timing of the Bidding ..................................... 119 The Service Targets, the Financial Model, and the Low Bids ....... 121 How Do I Privatize My Local Water Company? ................... 123 Define the Problem .......................................... 123 List the Constraints .......................................... 123 Identify the Preferred Privatization
Load more

Recommended publications
  • 1 Introduction
    Formulation of an Integrated River Basin Management and Development Master Plan for Marikina River Basin VOLUME 1: EXECUTIVE SUMMARY 1 INTRODUCTION The Philippines, through RBCO-DENR had defined 20 major river basins spread all over the country. These basins are defined as major because of their importance, serving as lifeblood and driver of the economy of communities inside and outside the basins. One of these river basins is the Marikina River Basin (Figure 1). Figure 1 Marikina River Basin Map 1 | P a g e Formulation of an Integrated River Basin Management and Development Master Plan for Marikina River Basin VOLUME 1: EXECUTIVE SUMMARY Marikina River Basin is currently not in its best of condition. Just like other river basins of the Philippines, MRB is faced with problems. These include: a) rapid urban development and rapid increase in population and the consequent excessive and indiscriminate discharge of pollutants and wastes which are; b) Improper land use management and increase in conflicts over land uses and allocation; c) Rapidly depleting water resources and consequent conflicts over water use and allocation; and e) lack of capacity and resources of stakeholders and responsible organizations to pursue appropriate developmental solutions. The consequence of the confluence of the above problems is the decline in the ability of the river basin to provide the goods and services it should ideally provide if it were in desirable state or condition. This is further specifically manifested in its lack of ability to provide the service of preventing or reducing floods in the lower catchments of the basin. There is rising trend in occurrence of floods, water pollution and water induced disasters within and in the lower catchments of the basin.
    [Show full text]
  • Cpes Reports)
    CONSTRUCTION INDUSTRY AUTHORITY OF THE PHILIPPINES – PHILIPPINE DOMESTIC CONTRUCTION BOARD CONSOLIDATED CONSTRUCTORS PERFORMANCE SUMMARY REPORT (CPES REPORTS) (ON-GOING/COMPLETED PROJECTS) From January 1, 2005 – December 31, 2007 You may access this report on this website http://www.gppb.gov.ph CONSTRUCTION INDUSTRY AUTHORITY OF THE PHILIPPINES (CIAP) PHILIPPINE DOMESTIC CONSTRUCTION BOARD (PDCB) 3/F, Jupiter Bldg., #56 Jupiter St., Bel-Air Village, Makati City Telephone Nos. 896-1801; 897-0791; Fax No. 897-0791 CONSOLIDATED CONSTRUCTORS PERFORMANCE SUMMARY REPORT CPES Reports - On-going and Completed Projects from January 1, 2005 – December 31, 2007 BACKGROUND: REPORT COVERAGE: This report is prepared in connection with the implementation of This report contains CPES rating and other project-related Constructors Performance Evaluation System (CPES) pursuant to information of on-going and completed foreign assisted (FA) Section 12, Annex E - Evaluation of Contractors Performance of and locally funded (LF) infrastructure projects being the Implementing Rules and Regulations (IRR) of RA No. 9184 undertaken by either local, foreign or joint venture (Government Procurement Reform Act). Item 4 - Submission and constructors. The projects presented in these report covers: Dissemination of Evaluation Results of Section 12, specifically road, bridge, housing, building, ports and harbor, irrigation mandated PDCB to consolidate the CPES evaluation results of all and flood control, and water supply projects. ongoing and completed projects and disseminate the same to all offices/agencies/corporations concerned. REPORT CONTENTS: USES OF CPES INFORMATION: Presented in this report are the names of constructors The CPES rating and other information is designed to serve the arranged alphabetically with the corresponding project information needs of the following: a) government agencies classification.
    [Show full text]
  • Philippines: Angat Water Transmission Improvement Project
    Angat Water Transmission Improvement Project (RRP PHI 46362-002) PHILIPPINES: ANGAT WATER TRANSMISSION IMPROVEMENT PROJECT POVERTY AND SOCIAL ANALYSIS REPORT TABLE OF CONTENTS 1. INTRODUCTION 5 2. ADB PSA POLICY AND DOCUMENTATION GUIDELINES 5 3. PROJECT BACKGROUND AND LINKS TO NATIONAL POVERTY REDUCTION, INCLUSIVE GROWTH AND COUNTRY PARTNERSHIP STRATEGY 6 4. PROJECT OUTPUTS AND SOCIAL, POVERTY AND GENDER IMPACTS 8 5. SOCIAL DEVELOPMENT ANALYSIS 8 6. GENDER ANALYSIS 27 7. POVERTY AND SOCIAL RISK ANALYSIS 28 8. INSTITUTIONAL GENDER ANALYSIS 32 9. PROJECT DESIGN MEASURES & RISK MITIGATION 35 10. IMPLEMENTATION, MONITORING & EVALUATION 37 REFERENCES 38 APPENDIX 1 39 APPENDIX 2 44 IPO Dam: Tunnels 1, 2 and 3 Stoplogs Bigte Settling Basin 2 ABBREVIATIONS ADB - Asian Development Bank AP - Affected People AWTIP - Angat Water Treatment Improvement Project AWUAIP - Angat Water Utilization and Asset Improvement Project CARD - Credit Assistance Rural Development CEST - Centre for Environmental Science and Technology COBP - Country Operations Business Plan CPF - Common Purpose Facility CPS - Country Partnership Strategy DFR - Draft Final Report DMCI - DMCI Holds Inc. DMF - Design Monitoring Framework DPWH - Department of Public Works and Highways DTI - Department of Trade and Industry FGD - Focal Group Discussion FHH - Female Headed Households GAD - Gender and Development GAP - Gender Action Plan GI - General Intervention IEC - Information, Education and Communication IP - Indigenous People LAWL - Lyonnaise Asia Water Limited LGU - Local Government
    [Show full text]
  • Maynilad Water Services, Inc. Public Disclosure Authorized
    Fall 08 Maynilad Water Services, Inc. Public Disclosure Authorized Public Disclosure Authorized Valenzuela Sewerage System Project Environmental Assessment Report Public Disclosure Authorized Public Disclosure Authorized M a r c h 2 0 1 4 Environmental Assessment Report VALENZUELA SEWERAGE SYSTEM PROJECT CONTENTS Executive Summary ...................................................................................................................................... 7 Project Fact Sheet ..................................................................................................................................... 7 Introduction ................................................................................................................................................ 7 Brief Description of the Project .................................................................................................................. 8 A. Project Location ............................................................................................................................. 8 B. Project Components ....................................................................................................................... 9 C. Project Rationale .......................................................................................................................... 10 D. Project Cost .................................................................................................................................. 10 E. Project Phases ............................................................................................................................
    [Show full text]
  • Sustainable Water Security Based on the SDG Framework: a Case Study of the 2019 Metro Manila Water Crisis
    sustainability Review Sustainable Water Security Based on the SDG Framework: A Case Study of the 2019 Metro Manila Water Crisis Halim Lee 1, Jaewon Son 2 , Dayoon Joo 3, Jinhyeok Ha 4 , Seongreal Yun 5, Chul-Hee Lim 6 and Woo-Kyun Lee 1,* 1 Department of Environmental Science and Ecological Engineering, Korea University, Seoul 02841, Korea; [email protected] 2 Graduate School of International Studies, Korea University, Seoul 02841, Korea; [email protected] 3 Department of International Commerce and Department of Political Science and International Relations, Yonsei University, Seoul 03722, Korea; [email protected] 4 Department of International Studies, Yonsei University, Seoul 03722, Korea; [email protected] 5 Department of Civil and Environmental Engineering, Konkuk University, Seoul 05029, Korea; [email protected] 6 Institute of Life Science and Natural Resources, Korea University, Seoul 02481, Korea; [email protected] * Correspondence: [email protected]; Tel.: +82-2-3290-3470 Received: 26 June 2020; Accepted: 21 August 2020; Published: 24 August 2020 Abstract: Despite being Asia’s fastest-growing economy, as of 2015, the Asian Development Bank (ADB) ranked the Philippines 33rd out of 48 countries in terms of water security. This verifies that economic development does not always lead to better provisions of basic needs. This study attempts to discover the fundamental issues that decrease water security in Metro Manila, the capital region of the Philippines. With El Niño disrupting the optimal weather conditions, Metro Manila is facing the lasting impacts of a water shortage crisis, which is the worst in the past decade. This research inspects the role of climate change in exacerbating El Niño, and its threat to the water security of the developing city.
    [Show full text]
  • Flood Disaster Mitigation and River Rehabilitation by Marikina City, Philippines
    Governance Philippines Program for Hydro-meteorological Disaster Mitigation in Secondary Cities in Asia 22 Flood Disaster Mitigation and River Rehabilitation by Marikina City, Philippines In the 19th century, the Marikina riverbanks were Marikina town’s picnic ground and site of religious town celebrations called fiestas. By the 1970s, the river was all filth and stench. Uncontrolled encroachment on the riverbanks by informal settlers, structures within the river, plus the indiscriminate disposal of both domestic and industrial wastes worsened the impacts of the annual river flooding events. The ‘Save the Marikina River’ Program was begun in 1993 to revive the river and its environs, and develop the waterway into the city’s biggest recreational and sports area. While the main objective was to rehabilitate the river, the program actually started from the idea of mitigating the annual flooding to ultimately contribute to river rehabilitation objectives. Introduction Marikina City lies within Marikina Valley and is bounded by Quezon City and the Marikina river on the west, Pasig City and Cainta to the south, Antipolo City in the east, and by San Mateo to the north. The city has an estimated population of 490,612 for 2008, and its major industry is shoemaking.1 Marikina river is the major waterway in the city; it flows through the center of Marikina Valley between Capitol Hills Marikina City: Location and Figure 1 and the Sierra Madre Boundaries mountain range. It also flows alongside the Valley Fault Line, Abstract and so Marikina faces riverine flooding, Urban riverine flooding can be earthquakes from the worsened by local urban processes fault, and liquefaction and activities that cause river flow along the Marikina obstruction and pollution.
    [Show full text]
  • UPSEAA DISTINGUISHED ALUMNI AWARDS RECIPIENTS of DISTINGUISHED ALUMNI CITATIONS – Graduated Before 1965
    UPSEAA DISTINGUISHED ALUMNI AWARDS RECIPIENTS OF DISTINGUISHED ALUMNI CITATIONS – Graduated before 1965 AMADO A. CASTRO (BSBA major in Economics, 1948) Dr. Amado A. Castro can be said to be the man who was present at the creation. He was the very first Dean of the UP School of Economics from its founding in 1965 to 1973, during which he built a faculty known as the strongest in Southeast Asia. He joined UP in 1948 as Instructor in Economics at the College of Business Administration (CBA) where he became Head of the Department of Economics in June 1956. He was Acting Dean of the CBA in 1958, and Director of the Institute of Economic Development and Research from 1958 to 1966. When he came back from the US after obtaining his Doctorate degree in Economics at Harvard University in 1954, he was the only faculty with a Ph.D. and was teaching all economics courses except public finance, although he eventually became known to many students for teaching economic history courses. He retired from the UP School of Economics in 1989 and became a Professorial lecturer at the University of Asia & the Pacific. With his remarkable pedagogical record of consistent excellence for 41 years at UP, he nurtured and inspired multiple generations of economics students. His work as a founding member and past president of the Philippine Economic Society in 1960, and as past President of the Pastoral Council of Sto. Cristo parish in San Juan, and on the board of San Martin de Porres Charity Hospital, exemplified his deep sense of caring and commitment to his students and fellowmen.
    [Show full text]
  • Report on Ranking of Schools
    Form 1.0 REPORT ON RANKING OF SCHOOLS Department of Education National Capital Region (NCR) - Division of Caloocan City 1.0 Summary of Information Required 1.1 Total No. of Schools 85 1.2 Total No. of Officials and Employees Entitled to PBB 6356 1.3 Total Amount of Required for Payment of PBB PhP54,956,500.00 2.0 Ranking of Schools No. of Eligible Ranking School ID Name of School Amount of PBB Allocation Employees 2.1 Top 1% (Exceptional) - - - - - 2.2 Next 2.5% (Outstanding) 136652 Caybiga ES 89 PhP25,000.00 PhP2,225,000.00 136636 Congress ES 50 PhP25,000.00 PhP1,250,000.00 136612 Marulas ES 16 PhP25,000.00 PhP400,000.00 136625 Baesa ES 35 PhP25,000.00 PhP875,000.00 2.3 Next 2.5% (Excellent) 136642 Silanganan ES (Star ES) 102 PhP20,000.00 PhP2,040,000.00 223505 Kalayaan ES - Unit I 39 PhP20,000.00 PhP780,000.00 305389 Caloocan City Science HS 25 PhP20,000.00 PhP500,000.00 136619 Cayetano Arellano ES 16 PhP20,000.00 PhP320,000.00 2.4 Next 6.5% (Superb) 136634 Camarin ES 119 PhP15,000.00 PhP1,785,000.00 223512 Bagumbong Elem. Schl Annex 19 PhP15,000.00 PhP285,000.00 136607 Grace Park ES I 24 PhP15,000.00 PhP360,000.00 223501 Caloocan North ES 125 PhP15,000.00 PhP1,875,000.00 No. of Eligible Ranking School ID Name of School Amount of PBB Allocation Employees 136610 Lerma ES 22 PhP15,000.00 PhP330,000.00 223506 Star ES - Unit I 40 PhP15,000.00 PhP600,000.00 2.5 Next 6.25% (Brilliant) 136651 Bagumbong ES 93 PhP13,500.00 PhP1,255,500.00 136624 Tandang Sora IS 29 PhP13,500.00 PhP391,500.00 136641 Kalayaan ES 152 PhP13,500.00 PhP2,052,000.00 136620 Cecilio Apostol ES 47 PhP13,500.00 PhP634,500.00 136632 Amparo ES 70 PhP13,500.00 PhP945,000.00 136622 E.
    [Show full text]
  • Public-Private Partnership Stories Philippines: Manila Water
    Public-Private Partnership Stories Philippines: Manila Water Photo © Danilo Pinzon/World Bank The privatization of the Metropolitan Waterworks and Sewerage System (MWSS) and subsequent investments have dramatically improved water and sewerage services for more than 11 million people living in metropolitan Manila. The majority of house- holds now have reliable and affordable 24-hour access to clean water. Private part- ners are investing $7 billion to expand and improve the water and sewerage systems, resulting in better service, lower rates, and significantly fewer leaks and illegal connections. At IFC’s recommendation, the MWSS service area—covering all of metropolitan Manila—was divided into two geographically separate zones: the east zone, which includes much of the Makati business district and expanding suburbs in the east, and the west zone, which includes old Manila and the southern province of Cavite. Two consortia, the Manila Water Company and Maynilad Water Services, won the 25 year concessions for the east and west zones, respectively. The privatization required the transfer of operational and investment responsibilities to the private operators, and an independent regulatory unit was established within MWSS to monitor and enforce the concession agreements. The concessions were awarded in January 1997. This series provides an overview of public-private partnership stories in various infrastructure sectors, where IFC was the lead advisor. Manila Water Company launched a “Water for the Poor” program IFC Advisory Services in which allows residents in the poorest neighborhoods to pay just $1.50 Public-Private Partnerships 2121 Pennsylvania Ave. NW a month for clean water. This is a fraction of what they paid before.
    [Show full text]
  • 2019 Mwss Annual Report
    2019 MWSS ANNUAL REPORT Resiliency in the face of 21st Century Challenges 1 | 2019 MWSS Annual Re p o r t TABLE OF CONTENTS Page No. 1. Message from the Chairman 1 2. Message from the Administrator 3. Introduction 4. General Information a) Corporate Profile b) Legal bases c) Background d) Significant events in privatization e) Mission f) Vision g) Community Vision h) Core Values i) Corporate Objectives 5. Fast Facts and Figures 6. MWSS Board of Trustees Accomplishments 7. Water Security Programs a) Bulacan Bulk Water Supply Project b) New Centennial Water Supply Project (NCWS- Kaliwa Dam Project) c) Angat Water Transmission Improvement Project d) Bigte-Novaliches Aqueduct No.7 Project e) Umiray-Angat Transbasin Rehabilitation Project f) Rehabilitation of AHEPP g) Ipo Dam 3 Project 8. Governance a. Corporate Governance Confirmation Statement b. Whistleblowing Policy 2 | 2019 MWSS Annual Report 9. Sewerage and Sanitation 10. Organizational Excellence a) 2019 Performance Evaluation Scorecard (PES): b) First Audit Surveillance of ISO 9001:2015 Certification for the Project Management Division c) 2019 Stakeholder Satisfaction Survey d) Public’s access to information e) 2019 Strategic Planning f) ICT /IT Initiatives g) Procurement Activities 11. Human Resources a. Employee Training and Development Programs a) Hiring of COS b) Newly hired employees in 2019 c) Health, Safety, Sanitation, and Wellness Programs d) Gender and Development programs of MWSS e) PRAISE Committee accomplishments 11. Asset Management a) Donations to Government Offices 12. Partnership Development a) Partnership with International Organizations: Asia Water Council 2019 and Singapore Public Utilities Board b) Earthquake Resiliency Plan for Greater Metro Manila Area c) El Nino Preparedness Measures with Stakeholders d) Carriedo Cup Sportsfest e) Partnership with DOST-ASTI on Disaster risk- reduction and management of Ipo Dam 13.
    [Show full text]
  • ADB Assistance to Water Supply Services in Metro Manila
    Evaluation Study Reference Number: SST: PHI 2008-31 Special Evaluation Study September 2008 ADB Assistance to Water Supply Services in Metro Manila Operations Evaluation Department CURRENCY EQUIVALENTS (as of December 2007) Currency Unit – peso (P) P1.00 = $0.0242 $1.00 = P41.2250 ABBREVIATIONS ADB - Asian Development Bank ADTA - advisory technical assistance AEPA - accelerated extraordinary price adjustment AR - accounts receivable BME - benefit monitoring and evaluation CAPEX - capital expenditure program CDS - central distribution system CERA - currency exchange rate adjustment CPI - consumer price index DILG - Department of Interior and Local Government EIRR - economic internal rate of return EPA - extraordinary price adjustment FCDA - foreign currency differential adjustment FIRR - financial internal rate of return IFC - International Finance Corporation LGU - local government unit LWUA - Local Water Utilities Administration MWC - Manila Water Company, Inc. MWSS - Metropolitan Waterworks and Sewerage System NEDA - National Economic and Development Authority NRW - nonrevenue water NWRB - National Water Resources Board O&M - operation and maintenance PCR - project completion report PPTA - project preparatory technical assistance PSP - private sector participation RA - republic act RAL - rate adjustment limit RRP - report and recommendation of the President SES - special evaluation study SRC - staff review committee TA - technical assistance TCR - technical assistance completion report WSS - water supply and sanitation WEIGHTS AND MEASURES cms - cubic meters per second km - kilometer m3 - cubic meters MLD - megaliters per day NOTE In this report, "$" refers to US dollars. Keywords asian development bank, adb, private, water supply, water concessions, metro manila, water privatization, private sector participation, water regulation, evaluation, nonrevenue water Director General : H.S. Rao, Operations Evaluation Department (OED) Officer-in-Charge : R.B.
    [Show full text]
  • Small-Scale Water Providers in Manila's Post-Privatisation
    www.water-alternatives.org Volume 7 | Issue 1 Cheng, D. 2014. The persistence of informality: Small-scale water providers in Manila’s post-privatisation era Water Alternatives 7(1): 54-71 The Persistence of Informality: Small-Scale Water Providers in Manila’s Post-Privatisation Era Deborah Cheng Institute of the Environment and Sustainability, University of California, Los Angeles, USA; [email protected] ABSTRACT: This article troubles the notion of a formal-informal dichotomy in urban water provision. Whereas expansion of a water utility typically involves the replacement of informal providers, the experience in Manila demonstrates that the rapid connection of low-income areas actually hinges, in part, on the selective inclusion and exclusion of these smaller actors. In this sense, privatisation has not eliminated small-scale water provision, but has led to the reconfiguration of its usage, blurring the boundaries between formal and informal. By examining the spatial and temporal evolution of small-scale water provision in Manila’s post-privatisation era, I show how certain spaces are seen as less serviceable than others. Critically, small providers working in partnership with the utilities are sanctioned because they supplement the utilities’ operations. The areas in which they work are considered served, factoring into aggregate coverage statistics, even though their terms of service are often less desirable than those of households directly connected to the utilities. In contrast, small providers that operate outside of the utilities’ zones of coverage are considered inferior, to be replaced. The result is a differentiation in informality – one in which the private utilities largely determine modes of access and thus the spatialisation of informal water provision.
    [Show full text]