PRRD Won’t Allow Filipino Taxpayers To Pay ₱11B Damages To Maynilad, Manila Water

Malacañang on Thursday, December 5, insisted that the government or the Filipino taxpayers will not pay any damages sought by the concessionaires, Maynilad and Manila Water, for the losses they incurred from the rejected petition for rate hikes.

According to Presidential Spokesperson Salvador Panelo, the government will not comply with the arbitration court’s decisions as the concession agreements with Maynilad and Manila Water were onerous.

“Hindi, kasi nga onerous ang kontrata. Masyadong disadvantageous sa gobyerno,” Spox Panelo said.

Earlier, President Rodrigo Duterte on Tuesday threatened to file economic sabotage raps against the water concessionaires and other officials involved in the crafting of the deals following the Permanent Court of Arbitration in Singapore’s order to pay Manila Water PHP 7.4 billion, and Maynilad PHP 3.6 billion about two years ago as compensation for losses or damages.

The two water firms separately took the government to court after the MWSS rejected their respective petitions to raise water rates a few years ago.


The firms cited its concession deal which prohibits the government from setting water rates and pushes for indemnification for possible losses in the event of such government interference.

Instead of paying the indemnity, Spox Panelo said the President has ordered the drafting of new water concession deals with provisions that are advantageous to the public.

The Presidential Spokesman added that the Chief Executive has already directed the Department of Justice to file appropriate charges against those behind the contracts which were signed in 1997.

“The President has also directed the filing of the appropriate criminal, civil and administrative charges against all those involved in the said agreements including the latter’s owners and legal counsels, as well as agents and lawyers of the government for economic sabotage,” he said.

President Duterte revealed that his interest in the water concession deals piqued in April when parts of Metro Manila were plagued by a water crisis.

“Anong raket ito na patiisin mo ang Pilipino na walang tubig?” he said.

Loading...

The President even slammed the Ayalas for supposedly playing the Filipinos into paying money due to the contract.

“Maybe mali ako but this is an economic case of economic plunder. Wala lang nakasilip nito. Don’t f*** with me. I know you. Nilaro ninyo ang Pilipino sa pera. Sabi ko, I will pursue this if this is the only thing that I can achieve in this administration,” President Duterte said.

“Maraming tubig. Ang problema, binigay natin sa mga torpeng hindi nga Pilipino halos o Pilipino man, walang kaluluwa. ‘Yang Manila Water pati Maynilad, kay Pangilinan pati kay Ayala,” he added.

President Duterte also said that he is willing to go down for his latest action but would drag down the “oligarchs” with him.

“Gusto ko lang malaman ng Pilipino bago ako matapos, kailan man ‘yan, bukas or I may or I may not complete my term. It could be tomorrow, it could be day after. ‘Pag gusto ko lang malaman ng mga Pilipino that may dumaan na Presidente who really loves his countrymen, kayo,” he added.

Source: PNA