Manila Water, Maynilad to hike rates next year

RESIDENTIAL HOUSEHOLDS in Metro Manila will see higher water bills in the first quarter of 2026 as the regulator approved the rate adjustments sought by the two concessionaires.

The Metropolitan Waterworks and Sewerage System – Regulatory Office (MWSS RO) approved a rate hike of P8.39 per cubic meter (cu.m.) for Manila Water Co., Inc. and P2.15 per cu.m. for Maynilad Water Services, Inc.

The new rates will take effect on Jan. 1, 2026, MWSS RO Chief Regulator Patrick Lester N. Ty. told a press briefing on Monday.

Customers served by Manila Water in the east zone who consume 10 cu.m. or less will see their monthly bills go up by P29.86. Those who consume up to 20 cu.m. and 30 cu.m., will have to pay an additional P66.25 and P135.22, respectively.

Mr. Ty said the steep increase in Manila Water’s overall rate was due to the higher environmental charge as the company was able to increase its sewer coverage.

“Since Manila Water was able to increase their sewer coverage to 30%, they are allowed to increase the environmental charge to 30%,” he said.

The chief regulator said that allowing the increase in the environmental charge encourages the water concessionaires to fast-track their sewerage coverage programs.

Meanwhile, Maynilad customers who use 10 cu.m. or less will see an upward adjustment of P5.06 in their monthly bills. Those who consume up to 20 cu.m. and 30 cu.m. will see their bills increase by P19.06 and P39.04, respectively.

The tariff increase has less impact for low-income households who are beneficiaries of the enhanced lifeline program of Manila Water and Maynilad.

According to MWSS, the increases reflect changes in basic charge, tax rates, environmental charges, sewerage charge, and foreign currency differential adjustments.

The rate hike is the fourth tranche of the approved tariffs for the 2023-2027 rate rebasing period. Rate rebasing is a periodic performance review and general tariff adjustment that sets the maximum rates that the concessionaires may charge for their services.

Mr. Ty said that Manila Water and Maynilad are entitled to collect their fourth tranche as they were able to comply with the required capital expenditure (capex) spending.

Manila Water and Maynilad have spent P48.56 billion and P75.06 billion respectively, which are more than 70% of the target spending for the 2023-2025 period.

“The MWSS RO is here to protect their interest, and we actually double-check if Manila Water and Maynilad indeed spent their capex, rollout projects and they indeed did their projects,” he said.

“We are here to audit and do inspections to make sure that these are the programs that are required, and Maynilad and Manila Water are good and efficient in their capex spending,” he added.

Mr. Ty also assured the public that there will be “no water crisis” next year, with the infrastructure projects that the two water concessionaires are implementing.

Manila Water serves the east zone network of Metro Manila, covering parts of Marikina, Pasig, Makati, Taguig, Pateros, Mandaluyong, San Juan, portions of Quezon City and Manila, and several towns in Rizal province.

Maynilad serves parts of Manila, Quezon City, and Makati, as well as Caloocan, Pasay, Parañaque, Las Piñas, Muntinlupa, Valenzuela, Navotas, and Malabon. It also supplies water to the cities of Cavite, Bacoor, Imus, and the towns of Kawit, Noveleta, and Rosario in Cavite province.

Metro Pacific Investments Corp., which has a majority stake in Maynilad, is one of three Philippine units of First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — Sheldeen Joy Talavera