BAGUIO CITY – 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 its 49,000 clients.
During a public hearing on Tuesday, BWD general manager Salvador Royeca said based on their projection, at least 30 percent of the current rate will be applied starting March or upon the approval of the Local Water Utilities Administration (LWUA). Additional increases will be applied in 2026 and 2027.
Royeca said the rates will vary depending on the classification of the consumer and the consumption bracket, with estimates ranging from PHP40.50 per cubic meter to PHP52.65 upon implementation of the first tranche; PHP56.70 on the second tranche; and PHP60.75 on the third tranche.
He said the increase will finance the PHP3.2-billion capital expense projects set to be implemented this year until 2034.
“We need to increase sources to meet the demand of economic development in Baguio City,” he said.
Royeca said the increase will sustain BWD’s operations and improve its sources, aside from providing water to areas that are highly dependent on deliveries, especially during the summer season.
He explained that the demand for water in Baguio is not just increasing but has also become challenging, especially to transient visitors due to influx of tourists and other economic activities.
Among the proposed capital expense projects are the drilling of at least 10 deep-well water sources a year, which costs PHP14 million per project; pipeline extension project in various locations worth PHP222 million; and water supply improvement projects and/or replacement of old or deteriorated pipelines in various locations, with a total estimated cost of PHP175 million.
Royeca said potability is another project that they are investing in through water treatment projects worth PHP335 million, to ensure that water is safe for consumption and cooking.
“We are currently adopting a multi-barrier approach beyond what the Philippine national water standard requirement. We have established microfiltration facilities and ultraviolet installation to treat water,” he said.
He also mentioned the solar panel installation project at major pumping stations that will cost PHP210 million.
Based on the BWD report, a large chunk of the expenses goes to power consumption, estimated at an average PHP19 million a month or consumption of 24,387,522 kilowatt hours.
The power cost has increased from 19,004,985 kilowatt hours in 2013.
“If we can reduce the cost of power by investing in solar sources, we can also reduce the cost of production which later on will redound to the consumers,” Royeca said.
Also included in the projects are the installation of generator sets at major pumping stations with a total estimated cost of PHP125 million, and the purchase of equipment, motor vehicles, materials for operational efficiency for PHP816 million.
The BWD also invests PHP700,000 annually to protect watersheds and ensure that deep wells will have ample supply.
“With the projects we are doing, we have also lowered the non-revenue water from 31.89 percent in 2013 to 18.11 in 2024 which we hope to maintain or further lower as it is part of the expenses of BWD through the services and power used to produce the resource,” Royeca said.
Also during the public hearing, LWUA supervising water utilities development officer Rayann Victorio said BWD does not receive subsidy from the government, thus the need to look for ways to increase revenue.
“It is the only way that they can ensure sustainability of safe and potable water supply to the consumers,” Victorio said.
“Water as a resource is free but the extraction and delivery aside from the services rendered to the consumers entail expenses and that is what we pay for as consumers.”
By implementing the projects, Royeca said the BWD hopes to realize at least 80,000 cubic meters of water excess in three years. **Liza Agoot
