President Ferdinand Marcos Jr. told the Local Water Utilities Administration (LWUA) on Thursday to explore the possibility of taking over the Cagayan de Oro Water District (COWD) in light of its continuing conflict with its main provider.
Marcos said this in Cagayan de Oro, where he provided financial support to more than 13,000 farmers, fishermen, and families suffering from the effects of the El Niño phenomenon.
He noted that LWUA could help solve the water supply problem in Cagayan de Oro, making it easier to set fair water rates and guaranteeing the water district complies with its duties to suppliers and customers.
Marcos said he had already spoken with business magnate Manny V. Pangilinan, who owns Metro Pacific Water, the company that owns Cagayan de Oro Bulk Water Incorporated (COBI), the main bulk water provider to the COWD.
"Mr. Pangilinan has agreed to our request and is ready to talk in order to resolve this issue and provide the necessary water for over sixty thousand residents here in CDO," Marcos said.
"I have also directed the Local Water Utilities Administration to study the possible management of the Cagayan de Oro Water District so that solutions to the water supply situation in your area can be evaluated as soon as possible," Marcos added.
Last 1 May, Cagayan de Oro Mayor Rolando Uy announced a state of emergency in an effort to avert a water scarcity brought on by the COWD-COBI disagreement.
The municipal council approved Uy's proclamation, which gives local authorities the authority to use police resources to alleviate a water emergency. Police officers were sent to water facilities as part of these precautions in order to protect valves and stop any tampering.
Offering COWD about 80,000 cubic meters of treated water per day, COBI has been putting pressure on the water district to pay off a debt of more than P400 million. The COWD refused to recognize the disputed debt, which mostly consists of the price differential that has accrued since COBI increased its water prices in 2021.
Last Tuesday, however, COBI stopped supplying the water district. Confirming the interruption, the COWD attributed it to the outstanding debt with COBI.
About half of the city's treated water supplied by COWD was impacted by the disconnect.
A regional court temporarily restrained COBI from cutting off its supply to COWD late on Tuesday.
On Wednesday, 15 May, COBI said that it had not yet received a copy of the court order despite the legal intervention. Its attorney further stated that since it had already stopped providing COWD with treated water on Tuesday morning, it would have made no difference even if it had received the injunction.