Maynilad, K-water advance in ?14.8-B New Clark project

THE proposed P14.8-billion water and wastewater project for New Clark City has moved closer to implementation after the Bases Conversion and Development Authority (BCDA) granted original proponent status (OPS) to the consortium of Maynilad Water Services Inc. and South Korea’s state-owned Korea Water Resources Corp. (K-water).

The BCDA Board approved the OPS on August 28 following its evaluation and negotiations with the proponents, allowing the consortium to advance the project to the next stage of the public-private partnership (PPP) process.

The project covers long-term water supply and wastewater management for New Clark City in Tarlac, with the public utility component to be operated by a duly qualified entity.

The BCDA said the proposed system is intended to serve the expanding requirements of residential, commercial, institutional and industrial developments in the estate, while treating wastewater in accordance with environmental and wastewater standards.

The project is also expected to provide utility capacity for industries requiring reliable water services, including advanced manufacturing, data centers and other high-value activities, it added.

With the OPS granted, the proposal will proceed through the required approval process before entering the Swiss challenge, where other qualified private-sector proponents may submit competing proposals.

BCDA is targeting the award of the contract by December, subject to the outcome of the PPP process, required approvals and other conditions.

‘Growth requires infrastructure that can keep up with it. Water and wastewater are fundamental to that growth; and we want New Clark City to have a system that is reliable, sustainable and built to meet the needs of the metropolis for the long term,’ BCDA President and CEO Joshua Bingcang said.

The project comes as New Clark City’s existing water capacity remains at an estimated 20 million to 30 million liters per day. Under the proposed development, capacity could rise to as much as 150 million liters per day, according to the BCDA.

The expected demand could also rise as new industrial projects are added to the estate.

The BCDA has estimated that the proposed Pax Silica project, a planned semiconductor and advanced-technology investment cluster, could eventually require between 65 million and 90 million liters of water per day.

In its presentation, the agency said the planned water system would use surface-water harvesting, storage, treatment and recycling, with the initial system designed for a capacity of up to 135 million liters per day.

In February, Bingcang disclosed that K-water had submitted an unsolicited proposal to develop a bulk water supply system for New Clark City.

At the time, the project was estimated at about P15 billion and was expected to be implemented through a 50-year PPP joint venture with Maynilad.

K-water is also the operator of Angat Dam, a major water source for Metro Manila.

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