Iloilo water deal eyes Swiss challenge

The Iloilo City government is opening the floor to potential challengers of Aboitiz InfraCapital Inc.’s (AIC) proposed bulk water supply project, as it enters the Swiss Challenge phase following the company’s receipt of Original Proponent Status (OPS).

AIC confirmed on Wednesday that the OPS was formally awarded on 15 May.

To ensure transparency and value for money, the project proceeds to the Swiss Challenge phase — a competitive bidding process that allows other qualified firms to submit comparative proposals.

AIC has proposed to build a bulk water supply system that can deliver up to 86 million liters per day (MLD) of treated water to various city off-takers. 

The project addresses Iloilo’s urgent water supply gaps while improving quality and reliability.

The company also cited its track record through its subsidiary, Apo Agua Infrastructura Inc., which operates the 300 MLD Davao City Bulk Water Supply Project with the Davao City Water District. 

Future-ready water system set

“We are honored by the city’s trust given to us through the OPS, and we are committed to working closely with our partners to co-create a future-ready water system for all Ilonggos,” AIC President and CEO Cosette V. Canilao said.

Meanwhile, Iloilo City Mayor Jerry P. Treñas said: “The need for water is tremendous. And we can see that even with a desalination plant, we will continue to need additional water because of rapid growth.”

Iloilo City’s gross domestic product increased by 10.5 percent in 2023, making it the fastest-growing economy in Western Visayas. This growth was largely due to a robust services sector.