{"id":17234,"date":"2025-10-07T14:17:33","date_gmt":"2025-10-07T06:17:33","guid":{"rendered":"https:\/\/www.ibon.org\/?p=17234"},"modified":"2025-10-07T14:22:12","modified_gmt":"2025-10-07T06:22:12","slug":"wpn-position-senate-hearing-jvas","status":"publish","type":"post","link":"https:\/\/www.ibon.org\/tl\/wpn-position-senate-hearing-jvas\/","title":{"rendered":"Water for the People Network Position Paper at the Senate Committee on Public Services Hearing"},"content":{"rendered":"

Honorable Senators, fellow Filipinos:<\/strong><\/p>\n\n\n\n

Access to safe, adequate, and affordable water is not a privilege \u2014 it is a fundamental human right, affirmed by the United Nations and enshrined in our Constitution. Yet, millions of Filipinos are being denied this right due to harmful Joint Venture Agreements (JVAs) that have privatized our public water districts.<\/p>\n\n\n\n

For decades, it has been the people\u2019s money\u2014through minimum charges and water bills\u2014that built and sustained our local water districts. These systems are government-owned by constitutional mandate. This is because water is part of the commons, meant to serve all, not to line a few private pockets. However, under privatization, public assets have been turned into cash cows for corporations.<\/p>\n\n\n\n

The first major wave of privatization in Metro Manila serves as a cautionary tale. In 1997, the Metropolitan Waterworks and Sewerage System (MWSS) was handed over to Manila Water and Maynilad with promises of cheaper and better service. Instead, tariffs skyrocketed\u2014Manila Water\u2019s increased by 1,722% and Maynilad\u2019s by 859% as of 2024. Poor communities without proper water connections have it worse, often spending up to 15% of their meager incomes on water, far above international standards. Consumers continue to suffer unreliable supply, dirty water, and poor sanitation, with the Supreme Court even fining these companies for failing to meet environmental obligations. The lesson is clear: privatization has failed.<\/p>\n\n\n\n

Now, the same failed model is being repeated through JVAs across the country. The companies involved are controlled by the country\u2019s biggest billionaires: PrimeWater (Villar family), Manila Water (Enrique Razon), Pamana Water Company (Lucio Co), and MetroPac Water Investments (Pangilinan group).<\/p>\n\n\n\n

PrimeWater alone controls about 69% of JVAs nationwide, leaving consumers with little to no water in San Jose del Monte during the day, while 22 barangays in La Union practically have no water. In Bacolod, residents receive only a few hours of weak trickles, while Caloocan faces water rationing. Water is often muddy, murky, and unsafe to drink, forcing families to buy bottled or gallons of water. Tariffs have also risen steeply, with Pampanga seeing a 25% hike, and San Jose del Monte\u2019s minimum charge doubling from Php200 for 10 cubic meters to Php200 for only 5. Monthly bills can reach Php1,000\u2013Php2,000, taking up to 10% of a family\u2019s meager income.<\/p>\n\n\n\n

MetroPac in Iloilo tells a similar story. After nearly a decade, its JVA has reached only 26% of households in its service area\u2014just 46,000 homes\u2014which face daily rationing or outright water shortages. Tariffs have climbed from Php15 per cubic meter before privatization to Php18\u201322 today, with looming hikes to Php41\u201345 per cubic meter, excluding VAT. Far from improving access, MetroPac has left consumers paying more for less.<\/p>\n\n\n\n

Consumers in areas served by the Manila Water Company\u2019s Manila Water Philippine Ventures and Pamana Water Corporation report the similar issues, showing how JVAs do not solve water woes. They only multiply the burden with scarce supply, dirty water, soaring bills\u2014while profits for private firms continue to grow.<\/p>\n\n\n\n

PrimeWater\u2019s profits soared from Php196 million in 2017 to nearly Php2 billion in 2023. Metro Pacific\u2019s water ventures\u2019, which include those of MetroPac Water Investments, grew from Php3.1 billion in 2020 to Php12.8 billion in 2024. Manila Water Philippine Ventures\u2019 net income rose from Php392 million in 2021 to Php2.3 billion in 2024. Lucio Co\u2019s Pamana Water meanwhile continues to grow.  Clearly, their water businesses are profitable\u2014but not for the people.<\/p>\n\n\n\n

The people\u2019s grievances are nationwide. From La Union to Bulacan, Zambales, Pampanga, Pangasinan, Cavite, Laguna, Quezon, Bicol, Cebu, Leyte, Cagayan de Oro, and even parts of Metro Manila, more and more water districts are demanding the termination of JVAs. However, when districts issue pre-termination notices, private firms often resist and drag the cases to court\u2014prolonging people\u2019s suffering.<\/p>\n\n\n\n

Honorable Senators, on top of these concerns, water sourcing and national planning are in disarray. Instead of tapping abundant local sources, rainwater, or small-scale sustainable systems, the government has allowed shortages to persist for years. Worse, it pushes destructive megaprojects that undermine communities:<\/p>\n\n\n\n