‘SC to expedite ruling on water firms’ compliance with CWA’
CHIEF Justice Diosdado Peralta has assured that the Supreme Court (SC) would expedite its final resolution of its decision compelling water concessionaires to comply with its obligation under the Philippine Clean Water Act to provide wastewater treatment facilities.
It has been more than a year since it issued a decision on August 4, 2019, directed both Manila Water Co. and Maynilad Water Services as well as water regulator Metropolitan Water Works and Sewerage System (MWSS) to pay a fine amounting to almost P2 billion for violation of the provisions of Republic Act (RA) 9275 or the Philippine Clean Water Act (CWA).
Peralta acknowledged that the construction of wastewater treatment facilities and sewerage systems are vital to the ongoing efforts to rehabilitate the waters of Manila Bay.
“I will confer with the memberin-charge to fast track the resolution of the motion for reconsideration [MR],” Peralta said when asked by the Businessmirror on the status of the case.
“You are correct; Maynilad and Manila Water should actually construct the sewerage system. That would really clean the water that comes from the households because unfortunately within the five-year period that they were supposed to construct the sewerage system…. they did not do anything. That is why the Court imposed fine, that is P200,000 a day until they comply,” Peralta said.
The SC has yet to act on the motions for reconsideration filed by Manila Water and Maynilad of the Court’s 2019 ruling affirming the Court of Appeals decision which found the water concessionaires liable for violation of Section 8 of the Philippine Clean Water Act.
The said provision requires MWSS and the 2 concessionaires to provide wastewater treatment facilities and to connect sewage lines in all establishments, including households, to an available sewerage system within five years upon the effectivity of RA 9275 on March 6, 2004.
The Court’s ruling specifically states that “Maynilad shall be jointly and severally liable with the MWSS for a total amount of P921,464.184 and “Manila Water Co. Inc. shall be jointly and severally liable with MWSS for the same amount.”
The Court said the amount covers the period from May 2009 to date of promulgation.
The petitioners are given 15 days upon receipt of the decision to pay the fine.
A fine of P322,102 a day subject to further 10 percent increase every two years as provided under Section 28 of RA 9275 would be imposed against the petitioners until they have fully complied with the decision.
The Court also imposes a legal interest of 6 percent per year until the decision is fully satisfied.
Manila Bay decision
In their MRS, both Manila Water and Manyilad argued that based on the Court’s ruling on December 18, 2018, or the Manila Bay decision, they have until 2037 to comply with their obligations under Section 8 of the CWA.
Maynilad added that it would be “legally and physically impossible” to comply with the SC’S directive within a five-year period.
It pointed out that the Court should not pin the responsibility to provide a centralized sewerage system to water concessionaires only as the law operates under a framework of “collective responsibility.”
The petitioner said other government agencies, such as the Department of Health, Department of Environment and Natural Resources, Department of Public Works and Highways and local government units also have obligations under Section 8 of the CWA.
It pointed out that aside from government agencies, private third parties’ actions and inactions have also contributed to the legal impossibility of strict compliance with Section 8 of the CWA as mandated by the SC ruling.
These include the refusal of establishments and households to have their existing sewerage lines connected to available sewerage systems, and the refusal of commercial and industrial establishments to install pre-treatment facilities needed before interconnection.
Based on its financial projections, Maynilad said it would have to spend more than P149 billion using 2019 prices to put up sufficient wastewater facilities to meet 100 percent sewerage coverage by 2022.
Meanwhile, Manila Water also warned that the accelerated establishment of a complete centralized sewerage system is expected to increase water prices by P26.70 per cubic meter or 780.18 percent.
The 2 water firms have asked the conduct of an oral argument on the issue, but the SC has yet to act on it.
Peralta said he was informed by Environment Secretary Roy Cimatu that Manila Water and Maynilad are already constructing wastewater treatments both in the south and north side of the metropolis.
“I have not seen the places, but one of these days when we will conduct inspection in accordance with the continuing mandamus that we issued, I think we will try to visit those two places if indeed they already constructed or how much they have done in the construction of the waste waters in Manila Bay, definitely,” Peralta said.