Water is one of the relevant utilities humans need. Other than the fact that they’re an important recipe for living, we also need water for taking a shower, cleaning, and so. Here in the Philippines, there are different concessionaires who cater most of the cities and municipalities—one of the most notable is the Manila Water Company Inc., or most commonly known as Manila Water.
If you try imagining its name, you can come to the conclusion that it’s a big and rich company. It bears the name Manila which is the capital city of the Philippines, and it’s actually more than just that.
A recent event that led to them not being able to properly supply water to different parts of Luzon struck the company as a whole and its leaders. This is what led them to give or waive the March billing.
Are the water services restored now?
Fortunately, in most areas, the water service reverted to normal. Jaime Augusto Zobel de Ayala Ahas, Ayala Corporation Chairman, said that their eight to 12-hour water attainability reached 97 percent as of the 25th of March, 2019—in ground floor level.
However, the damage has already been done and it caused a widespread inconvenience counting up to a total of 152,000 households in 44 barangays.
The bill waivers
As per the company, they will be charging the minimum charge for all of their customers. For barangays and households who were affected severely, they will be waiving the total amount for the March bill (which will reflect on the April billing).
On a Facebook post, Jaime Augusto Zobel de Ayala said that they are on the move to find out more options to be able to restore the services to its fullest.
Please be assured that Manila Water is exploring all possible options to bring back services to the high levels that we are all accustomed to. We continue to appeal for everyone’s patience as our teams at Manila Water are working hard and overtime to immediately and comprehensively remedy the situation.”
But wouldn’t this cut a lot from the earnings of Manila Water Company Inc.? Would this thing be able to come fair for the people who did not have water supply for weeks?
Manila Water Gross Income
Based on Company Annual Reports’ graph—filed with the Philippine Stock Exchange (PSE)—2012 was their lowest year. Note that this was the earliest year when they had available records. Meanwhile, six (6) years later, Manila Water was able to record their highest profit ever.
They’ve seen skyrocketing sales, growing 7.1 percent each year from P18.5 billion to P19.8 billion. Similar to that occasion, their profits raised 6.3 percent in the year 2019 to P6.5 billion from a humble P6.1 billion.
As you can see, waiving the bills of hundreds of thousands of households might have effects to their gross income, but it wouldn’t be deemed as a headache, overall.
Which regions does Manila Water service?
Manila Water Company Inc., is an Ayala-owned utility. They generate income not only from customers who are residing in the Eastern Zone of the Philippines because it has a subsidiary company named as Manila Water Philippine Ventures, Inc.
Other ventures and companies they own are:
- Boracay Water
- Estate Water
- Clark Water
- Laguna Water
Their divided operations for them to be able to implement projects with different business partners nationwide.
To add to the scenario, Manila Water’s latest financial statement, the concessionaire received quite a larger share of the total volume compared to its other subsidiary companies. 503.3 million cubic meters or 43.5 percent of the total volume of 1.1 billion cubic meters directly went to the concession in the year 2018.
So, it’s still quite a puzzling fact whether or not the waiving of the fees could affect the Manila Water gross income drastically. Try to think of it, though—they’re cancelling fees only for one month; a majority of which would just receive the minimum amount, and only a few would be waived for the total bill—they still have other ways on how they earn and they heavily bank on their operations in Manila.
Percentage of people with Manila Water
Lastly, their income is more evident if you look at Manila Water’s connections that are billed. 1.1 million accounts were opened in the year 2018. This translates to a total connection to the Manila Concession of 986, 756, which is figuratively 89.1 percent.
So are they doing a good thing for people who were badly affected by the shutdown of water supply? Or would this have little to no effect on their earnings? Nevertheless, you know how much the Manila Water gross is on an annual basis. you have an idea.