IN a heartfelt address to the residents of Cagayan de Oro during the ‘Klarex nga Serbisyo sa Baryo’ event at Puerto Elementary School on Saturday, April 27, Mayor Rolando “Klarex” Uy took a firm stance on the city’s water supply issue.
The mayor emphasized his support for any water supplier serving the city, yet made a crucial plea to remove the scheduled triennial water rate increases, citing the undue burden they place on the populace.
“The people are suffering, and the scheduled increases in water bills every three years are a severe and heavy load on the pockets of ordinary citizens,” Mayor Uy stated. His appeal comes at a critical time when the Cagayan de Oro Water District (COWD) faces significant operational challenges.
Recent reports reveal that more than half of COWD’s water supply was lost due to leaks and illegal connections, leading to a staggering 55.39% waste in 2021 and 50.05% in 2022. These inefficiencies have resulted in substantial revenue losses for the water district.
Cagayan de Oro Bulk Water Incorporated (COBI), the primary bulk water supplier, has expressed concerns over COWD’s high levels of non-revenue water (NRW), which led to over P700 million in losses in 2022 alone.
COBI, in a letter to COWD, highlighted the millions of liters of treated water wasted and the potential for these lost revenues to have settled COWD’s outstanding debts.
According to COBI, COWD’s receivables in 2022 exceeded P500 million, with cash on hand and cash equivalents totaling over P374 million.
COBI suggested that these funds could have been allocated to reduce the NRW problem and to pay down the existing balances.
However, COWD has been resistant to recognizing the nearly P430-million debt claimed by COBI, which originated from a rate increase in 2021 during the COVID-19 pandemic—a time when many were facing financial hardships.
To ensure the continuity of water supply, the city government has noted that while the level 3 offer from Rio Verde Water Consortium, Inc. is not an immediate fix, emergency procurement from Rio and other qualified suppliers is available to prevent service disruption.
Mayor Uy has outlined clear objectives to tackle the COWD-COBI issue, aiming to maintain uninterrupted water services and protect the interests of Cagayan de Oro’s residents.
One of the strategies includes actively seeking alternative water suppliers to reduce the city’s reliance on COBI.
The City Council’s support for the Rio Verde Water Consortium, Inc. indicates the city’s proactive approach in securing alternative water sources.
Furthermore, the potential termination of the COWD-COBI contract is under consideration, pending further review by the COWD board and possibly an audit by the Commission on Audit (COA).
Mayor Uy’s leadership reflects his dedication to his constituents, as he seeks to ensure they are not overburdened by utility costs while striving for efficient and reliable water service for all.
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