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MAYNILAD Water Services Inc. will implement an average of P0.30 per cubic meter or 1.3 percent of the Basic Charge (P23.05 per cubic meter) increase in its Foreign Currency Differential Adjustment (FCDA) charge starting October 1, 2008.

This translates to an increase of P5.52 in the water bill of a family of five consuming an average of 30 cubic meters of water per month.

The increase in water tariff for Maynilad customers for the last quarter of 2008 is due to a slight upward adjustment in the FCDA, following the depreciation of the peso against the dollar and other foreign currencies.

The FCDA is a tariff mechanism used by utility companies to allow it to recover losses or give back gains from the fluctuating movements of the peso against other currencies. Due to a weaker peso, Maynilad’s FCDA charge will be adjusted from -P0.40 per cubic meter in the previous quarter to -P0.10 per cubic meter.

Maynilad pays foreign-dominated Concession Fees to the Metropolitan Waterworks and Sewerage System (MWSS), as well as loans to fund projects that will expand and modernize water and sewerage services for its more than 900,000 households, commercial and industrial consumers.

The company is implementing a systematic and well-funded program to recover lost water and bring it to the underserved or unserved sectors in the West service area. Maynilad has also focused its attention on complementing its programs for sewerage and sanitation to accelerate provision of related services.

This rate will be effective from October to December 2008.

Advisory courtesy of: