Maynilad: Capex to hit record high of over P31B

WEST Zone concessionaire Maynilad Water Services Inc. (Maynilad) is setting aside more than P31 billion for capital expenditures (capex) this year, said to be its “biggest” capital investment since water services in Metro Manila were privatized in 1997.

“Last year, we spent over P26 billion in capital investment, which was our highest annual capex spend in history. We are continuing to accelerate our service enhancement program so that our customers can enjoy the benefits sooner rather than later,” Maynilad President and Chief Executive Officer Ramoncito Fernandez said in an article posted on the water firm’s website on Wednesday.

The capex budget will fund its various water and wastewater projects this year, with P11.40 billion earmarked for its wastewater management projects, including construction of new sewage treatment plants and laying of new sewer lines.

“Around P8.72 billion,” meanwhile, will go toward implementation of water source projects that would enable Maynilad to tap alternate raw water sources and generate more supply for customers.

Another P6.27 billion will be for operational support projects, such as the upgrade and construction of key facilities like pumping stations, water reservoirs and primary lines, among others.

“More than P4 billion” will be dedicated to its nonrevenue water reduction program and service expansion initiatives, while the remainder of the capex budget will be used for customer service and information infrastructure and similar projects.

The company will fund its capital spending this year via a combination of internally generated funds and new debt.

Under its 2023 to 2027 business plan, Maynilad aims to spend P227 billion to sustain service enhancements and ensure water sustainability and security.