Baguio: The Baguio Water District (BWD) is proposing a rate increase to finance its 10-year development and improvement projects, meet the city's increasing water demands, and ensure quality service for 49,000 clients. During a public hearing, BWD general manager Salvador Royeca announced that a rate increase of at least 30 percent will be applied starting March or upon approval by the Local Water Utilities Administration (LWUA). Further increases are planned for 2026 and 2027.
According to Philippines News Agency, Royeca explained that rates will vary based on consumer classification and consumption bracket. Initial estimates range from PHP40.50 to PHP52.65 per cubic meter for the first tranche, PHP56.70 for the second tranche, and PHP60.75 for the third tranche. The proposed increases aim to fund PHP3.2 billion in capital expense projects spanning until 2034.
Royeca emphasized the need to increase water sources to meet the demand driven by economic development in Baguio City. The rate hike will sustain BWD's operations, improve water sources, and supply water to areas reliant on deliveries, especially during summer. He noted the rising demand for water due to the influx of tourists and economic activities.
The proposed projects include drilling at least 10 deep-well water sources annually, costing PHP14 million per project, and a PHP222 million pipeline extension project. Water supply improvements and pipeline replacements are estimated at PHP175 million. Royeca highlighted investments in potability through water treatment projects worth PHP335 million, ensuring water safety for consumption.
Royeca also detailed the solar panel installation project at major pumping stations, costing PHP210 million. Reports indicate significant expenses on power consumption, averaging PHP19 million monthly. Investing in solar sources could reduce production costs, benefiting consumers.
Additional projects involve installing generator sets at major pumping stations, costing PHP125 million, and purchasing equipment and materials for operational efficiency at PHP816 million. BWD also allocates PHP700,000 annually for watershed protection to maintain ample deep well supply.
Royeca reported a decrease in non-revenue water from 31.89 percent in 2013 to 18.11 percent in 2024, aiming to maintain or lower it further. LWUA supervising water utilities development officer Rayann Victorio highlighted that BWD receives no government subsidy, necessitating revenue increases to ensure a sustainable water supply. Implementing these projects, BWD aims for an excess of at least 80,000 cubic meters of water in three years.
