ILOILO City – A proposed P5-billion bulk water supply project is now poised for awarding after the 90-day Swiss challenge period closed with no rival bidders, effectively cementing its private proponent’s position as the city’s private partner for the ambitious water infrastructure venture.
The development marks a major step toward addressing Iloilo City’s long-term water security concerns, although the project must still hurdle final regulatory clearances, including the grant of water rights from the National Irrigation Administration (NIA).
“Since no one participated in the Swiss challenge, the project will push through. We are just waiting for the city government’s schedule for the awarding,” said Atty. David Abraham Garcia, head of the city government’s Public-Private Partnership Office (PPPO).
Garcia, however, clarified that implementation cannot begin until the remaining legal and technical requirements are met.
“As of now, NIA has yet to grant the water rights because there is still no certainty as to the final source of the water,” he explained. “This is not yet final since several processes still have to be completed before full implementation.”
The bulk water supply project — endorsed by the Local Development Council (LDC) as part of Iloilo City’s Comprehensive Development Plan (2023–2028) — is designed to boost the city’s water supply capacity and improve service quality amid rapid urban and commercial growth.
The private company proponent was granted Original Proponent Status (OPS) on May 15.
The proposal later underwent scrutiny by both the LDC and the City Council before being opened for competing bids under the Swiss challenge mechanism — none of which materialized.
The project includes a water treatment plant and a four-kilometer treated water pipeline with a capacity of 86 million liters per day (MLD). AIC has also reduced its bulk water rate from P51 to P40 per cubic meter, a move that reportedly strengthened its proposal’s appeal to the city government.
Notably, the local government will not fund the construction but will instead facilitate permits and approvals and help ensure the presence of off-takers — local distributors that will purchase water from AIC.
Former Mayor Treñas earlier stressed the project’s importance, saying it is “vital as Iloilo City continues to experience rapid development and a surge in new commercial establishments.”/PN
