ILOILO City – The proposed P5.1-billion to P8.45-billion bulk water supply project of the Iloilo City Government and Aboitiz InfraCapital (AIC) is moving closer to implementation as the private partner works to secure a crucial water permit, a key requirement before negotiations with water buyers and full project rollout can begin.
Atty. David Garcia, head of the city’s Public-Private Partnership (PPP) unit, said AIC is currently processing the permit, which will pave the way for the next major step in the project — the signing of the Bulk Water Service Agreement (BWSA).
The BWSA will identify the off-takers or entities that will purchase bulk water once the system becomes operational.
The Iloilo City Bulk Water Supply Project, signed on Nov. 24, 2025, is a long-term partnership between the city government and AIC aimed at addressing the city’s growing water supply needs.
The project will operate under a 33-year concession for the development of bulk water infrastructure.
Under the agreement, the private partner will source, treat, and deliver bulk water to Iloilo City, with an initial supply target of 32 million liters per day (MLD) by 2029, expandable to 86 MLD in later phases.
The water supply is expected to come from the Jalaur River Multipurpose Project Phase II in Iloilo Province, which city officials said will help ensure a stable and reliable water source amid rising demand from residents, businesses, and industries.
Garcia said the project remains on schedule under the terms of the public-private partnership agreement signed between the city government and AIC.
Under the contract, the private proponent has about 18 months from the signing of the agreement to secure water rights and other required permits.
Garcia also clarified that discussions with potential bulk water buyers cannot proceed until the water permit has been obtained.
“Unahon gid danay ang water permit. They can never negotiate sa makuha sa off-takers if, in the first place, wala ka water permit,” he said.
Despite the ongoing regulatory process, Garcia expressed confidence the project will move forward./PN