CAGAYAN DE ORO CITY: The local officials in this seaport capital have filed a case with the Philippine Competition Commissions to annul the P 2.8-billion Metro Pacific Investment Corp.–Cagayan De Oro Water District (COWD) contract for alleged undue interest.
Lawyer James Judith said City Councilors Bong Lao, Eric Salcedo and Boboy Daba have filed the “referral cum complaint” with the PCC through the Presidential Management Staff (PMS) in Malacañang to invalidate the Metropac-COWD contract.
He said the contract signed on August 15, 2017 clearly violates the market competition act because the contract falls within the bounds of “cartelization” where Metropac and its subsidiary company, Rio Verde Water Consortium, Inc., is engaged in cornering the bulk water supply in Cagayan De Oro.
Although an existing contract between Rio Verde and COWD remains in effect, officials in the local water district disclosed that Metropac is now in control of Rio Verde.
Judith said the newly signed Metropac-COWD contract is grossly unfair to the local water consumers because under the new contract, Metropac charged P16.35 per cubic meter of water in contrast to the existing P10.45 per cubic meter charged by Rio Verde.
It was also found out that Metropac would get the supply from Rio Verde which is currently providing 40,000 bulk water supply daily to the COWD at P10.45 per cubic meters while Metropac would provide 100,000 bulk water supplies daily at P16.35 per cubic meter.
The Cagayan De Oro Water Technology, Inc. has sent a proposal to the City Council to supply the bulk water needs of the water district at a cheaper cost of P8 per cubic meter.