34.8 C
Thursday, May 28, 2020
Home News Top Stories MWSS plans to own 60% of Maynilad

MWSS plans to own 60% of Maynilad


The Metropolitan Waterworks and Sewerage System (MWSS) is planning to take over an estimated 60 percent of the Lopez-controlled Maynilad Water Services Inc., just 3 percent less than what was originally proposed by Maynilad’s Amendment 2.

“The government’s ownership will not reach 70 percent,” MWSS Administrator Orlando Hondrade told The Manila Times during a break in an MWSS Board of Trustees’ meeting on Tuesday.

He said the takeover is going to be different from Amendment 2, but he gave no details.

Amendment 2, which was eventually disapproved by the MWSS, would have enabled the government to take over 63 percent of Maynilad and pay the staggering P19 billion the firm owes its creditors and suppliers.

Hondrade also said the MWSS is planning to get less than P8 billion from Maynilad’s $120-million performance bond as payment for the water utility’s concession fees.

Since March 2001 Maynilad has failed to settle its concession fees to MWSS, which are used to pay for MWSS’ dollar-denominated debts. As such, the MWSS has run up a $150-million bridge loan to pay for the debts Maynilad assumed when MWSS was privatized in 1997.

These, among others, are just one of the few proposals, comments and recommendations of the MWSS to Maynilad’s revised rehabilitation plan, which is awaiting a decision by a Quezon City court.

In taking over Maynilad, the MWSS will incur less than P19 billion in debt, which the Lopez utility owes to creditors and suppliers.

“Other debts of Maynilad are now being written off,” Hon­drade said. He declined to give an estimate of how much was written off and how much would be paid by the MWSS.

By Robert JA Basilio Jr.


DFA to stream ballet production of ‘Mir-i-nisa’ on May 29-30 on YouTube

THE Department of Foreign Affairs (DFA) will stream online for 48 hours the Philippine Ballet Theater’s production of “Mir-i-nisa,” in celebration of Eid’l Fitr...

LOOK: GCQ preparations

Pasig City employees undergo rapid testing on Wednesday, May 27, 2020, as part of preparations for the resumption of work on June 1. Metro...

Former Manila Times editor Maniego, 57

Former Manila Times editor Gianna Maniego died on Tuesday night, her daughter, Catriona, confirmed through her Facebook page. She was 57 years old. Maniego died...

EU proposes 750 billion-euro coronavirus recovery fund

BRUSSELS: The EU's executive is proposing a 750 billion-euro ($825 billion) recovery fund to help the bloc's economy through the painful recession triggered by...

California sues over sex misconduct on ‘Criminal Minds’ set

LOS ANGELES: The state of California filed a lawsuit Tuesday against CBS, Disney and producers of the long-running series “Criminal Minds,” alleging that the...


Today's Front Page