DAVAO CITY – The Davao City Water District (DCWD) has announced a 10 percent water rate increase this month.
JC Duhaylungsod, DCWD spokesperson, said that the increase is the third tranche of the 60 percent water rate adjustment approved by Local Water Utilities Administration (LWUA) in July 2022.
The increase will reflect in customers’ utility bills next month.
The first 30 percent was imposed in August 2022 and the second 20 percent tranche was implemented last February.
Duhaylungsod explained that the adjustment is necessary to fund the water utility's 10-year development program until 2030 under which the DCWD aims to achieve sustainable water services in this city.
Among the projects that will be funded under the program include “service improvement for existing customers, service expansion to cater to more service connections, including the development of additional water sources to meet the growing water demand, ensuring water safety, operational efficiency.”
Despite the increase, the DCWD said that this city’s water rates remain one of the most affordable in the country.
Duhaylungsod said last February that they enforced rate adjustments in three tranches, considering the economic conditions of consumers having just recovered from the adverse impact of the coronavirus disease.
She added that the water rate adjustment was “long overdue” as there are projects that needed funding.
Duhaylungsod said the latest rate adjustment will allow DCWD to resume the implementation of projects to improve water services in this city.
As a government-owned and controlled corporation, Duhaylungsod said that the DCWD receives no subsidy from local and national governments, relying primarily on collections from water consumers to finance capital expenditures and water service improvement projects.