CRANE-Caramoan

The National Water Resources Board (NWRB) has approved a petition of the Partido Development Administration (PDA) to increase by 57% effective this month water rates in all Third District towns in Camarines Sur covered by the PDA water system notwithstanding opposition by four municipal governments which considered the drastic increase arbitrary and uncalled for.

Per NWRB Resolution No. 003-0506 passed on May 23, 2006, minimum charge for residential consumer using up at least 10 cubic meters of water has been raised to P165 from P105 and consumption above 10 cm wide will be charged P16.50 per cm. Commercial establishments will now pay the basic rate of P330 plus P33.00 per cubic meter above the 10 cubic meter minimum monthly consumption. The proposed increase filed by the PDA on May 26, 2005 was opposed by the municipalities of Tinambac, Sagñay, Siruma and Tigaon.

The municipality of Tigaon manifested that there was a defect in the jurisdictional requirements submitted by the PDA because it failed to serve copies of the application and its attachments to affected parties. It also alleged that the PDA proposed rates were exorbitant and oppressive because the rates would be increased by 57%, 100%, 41% and 57% for Residential, Commercial A, Commercial B and Bulk/Wholesale consumers respectively. The Municipality of Tinambac also called the proposed rates oppressive, unreasonable and unjust.

The Municiapality of Sagñay averred that consumers were already encountering difficulties paying the present rates and that PDA is not authorized to impose water rate increase within five years from the date of the start of its operation.

The Municipality of Siruma complained of inefficiency of delivery of water supply. All these arguments were thumbed down by the NWRB which sympathized with the PDA argument that even with the proposed new rates PDA would realize a gross revenue of only P42,268.090 against its total operating expenses of P143,125.047. Even with the increase, PDA would suffer an annual loss of P100,856,957.00.

NWRB was not informed, however, that the enormous operational cost was not actually due to legitimate expenses for the water system but for the salaries to sustain PDA employees mostly doing nothing but who are political supporters of Congressman Fuentebella, observers said.