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#InTheKnow: ONEROUS CONTRACTS, BLEEDING THE COUNTRY DRY

#InTheKnow: ONEROUS CONTRACTS, BLEEDING THE COUNTRY DRY President Rodrigo Roa Duterte slammed Maynilad Water Services Inc. and Manila Water Co. in a speech on Tuesday, December 3, 2019, for irregularities uncovered in the concession agreements entered into by the government with the said water concessionaires.

Upon reviewing the 1997 water concession agreements of the MWSS with Maynilad and Manila Water, the Department of Justice (DOJ) found several provisions that were deemed onerous or disadvantageous to the government and the consuming public.

Among these were the prohibition on government interference in rate adjustments and indemnity for possible losses in the event of such interference. The extension of the contracts 13 years before the lapse of the original term were also deemed irregular.

#IntheKnow

First published on the Bureau of Communications Services (BCS) Facebook Page (www.facebook.com/bcs.gov) on December 10, 2019.

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