What is the proposed Water Trust Fund? Cong Duterte explains


At a glance

  • Davao City 1st district Rep. Paolo Dutere breaks down the importance of the proposed Water Trust Fund (WTF), which is a provision of the bill seeking the creation of the Department of Water Resources (DWR).

  • Duterte said the DWR can tap the WTF to fund water sustainability projects.


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The creation of a so-called Water Trust Fund (WTF) is an indispensable part of the congressional effort to establish a Department of Water Resources (DWR).

Thus, said Davao City 1st District Rep. Paolo Duterte, author of House Bill (HB) No.3727, or the propose Act establishing the national framework for water resource management and creating the DWR and the Water Regulatory Commission (WRC), defining their mandates, powers and functions, and appropriating funds therefor.

Duterte said that, once established, the WTF can be tapped by the DWR to fund water sustainability projects.

The WTF “shall be accounted separately from the government’s general revenues and shall be automatically appropriated to the [DWR],” said the bill, which was co-authored by Benguet lone district Rep. Eric Yap. The fund will be managed by the Bureau of the Treasury.

Under HB No.3727, remittances from non-tax revenues related to water management, including raw water pricing, permit fees, registration fees, supervision and regulation enforcement fees, filing fees, testing fees and other service income from the use of water resources will form part of the WTF.

Duterte said proceeds from the WTF will be utilized for water development, water sanitation and waste water treatment and management, and water sustainability programs and projects authorized under the measure.

The bill provides that a maximum of 10 percent of the total income generated from raw water extraction shall be given as share of the concerned local government unit (LGU) or indigenous people (IP) community which own or has jurisdiction over the specific areas of land where the raw water was sourced.

“There are various government agencies battling this recurring water and sanitation [crises], and there is a need now more than ever to consolidate efforts to avoid duplication of functions, improve public service delivery, and prudently manage limited government resources to address this pressing concern,” the authors said in filing HB No.3727.

Duterte said establishing the DWR should not be dismissed as merely an added layer to the bureaucracy because its creation is not only crucial to averting a water and sanitation  crises but is also essential in ensuring that all stakeholders are on the same page in ensuring the effective management of the country’s water resources.

Improving the management of water resources covers not only its supply to consumers, but also to the agriculture sector, which the government has committed to support to guarantee food security, Duterte said.