Customers of Maynilad Water Services Inc., which services the west concession zone of the metropolis, will benefit from reduced water rates from July 1 until September 20 due to the appreciation of the Philippine peso against foreign currencies, following a similar move announced by Manila Water Company which services the east concession zone.

The Metropolitan Waterworks and Sewerage System (MWSS) granted Maynilad a Foreign Currency Differential Adjustment (FCDA) of negative 0.31% of the Average Basic Charge per cubic meter or a decrease of P0.09 per cu.m. (average).

For Maynilad residential, unsewered customers who consume 30 cu.m. every month, the rate reduction would mean savings of P4.18 in their monthly water bill.

FCDA is a tariff mechanism granted to utility companies to allow it to recover losses or give back gains from the fluctuating movements of the peso against other currencies. This means that whenever the peso’s strength rises against foreign currency, the FCDA goes down. Conversely, the FCDA goes up if the peso depreciates.

Maynilad pays foreign-dominated Concession Fees to the MWSS, as well as loans to fund service improvement projects that will expand and modernize water and sewerage services for its customers in the West Zone.

Maynilad’s concession area covers the cities of Manila (all but portions of San Andres & Sta Ana), Quezon City (west of San Juan River, West Avenue, EDSA, Congressional, Mindanao Ave: the northern part starting from the Districts of the Holy Spirit & Batasan Hills), Makati (west of South Super Hi-way), Caloocan, Pasay, Paranaque, Las Pinas, Muntinlupa, Valenzuela, Navotas and Malabon, all in Metro Manila; Cavite City, and the towns of Bacoor, Imus, Kawit, Noveleta, and Rosario, all in Cavite Province.