MCWS taps Rio Verde's Hapitan to build water facility

The new water player soon to operate in Cagayan de Oro assured the public that while it is new, it is backed with organizational and financial capability, and long tack record of its member cooperatives enough to provide potable water to the public.

Metro Cagayan de Oro Water Service Cooperative Federation (MCWS) disclosed that it has a total of 14 incorporations; 12 are primary cooperatives and the other 2 are corporations engaging in installation of water systems.

Documents show that one of its incorporators is Engineer Joffrey Hapitan, the senior vice president of Rio Verde Water Consortium Inc. (RVWCI), the former water bulk supplier of Cagayan de Oro City Water District (COWD).

Hapitan is Chairman of the Board of the Kyogojo Engineering Services Cooperative (KESC), which will engage in the procurement and installation of the water production and distribution equipment of the water facility.

The incorporators are First Community Cooperative (FICCO), Kyogojo Engineering Service Cooperative (KESC), Allied Service Multi-purpose Cooperative of Northern Mindanao, City Hall Employees Multipurpose Cooperative,DMPI Employees and Community Credit Cooperative, Oro Integrated Cooperative, Oro Savings and Sharing Multi-purpose Cooperative, Xavier University Community Credit Cooperative, and Provincial Capitol Employees Multi-purpose Cooperative.

The other incorporators include Cagayan Electric Cooperative (CEPALCO) Community Multi-purpose Cooperative, Misamis Oriental General Comprehensive High School (MOGCHS) Faculty, Retirees and Students Multipurpose Cooperative, PPSC Regional Training School X Employees and Staff Multi-purpose cooperative, Hanabana Construction and Engineering Corporation, and Amanzi Corporation.

The MCWS said KESC, who will serve as their technical arm, runs water systems of 5 rural barangays which include Lumbia, Taguanao, Mambuaya, Indahag, and Baikingon, as well as Gitagum town in Misamis Oriental.

“The core of KESC is that it has a long experience in installing and operating water systems that includes the Rio Verde Bulk Water Supply, a major supplier of COWD, one of the major source of Bacolod City Water District, as well as the water system of Echague, Isabela,” it says.

With the expertise of KESC, the MCWS said it is confident that it “can drastically reduce non-revenue water to a manageable level of 20 percent, not the present COWD system’s loss of 52% to 58%”.

City Councilor Teodulfo Lao Jr., for his part said, Hapitan, who runs Rio Verde for years, has the expertise to run a water facility.

“I think there is no problem with this arrangement, Engr. Hapitan is just tapped as a consultant to provide technical assistance. I don’t see any problem, anyway, Rio Verde has no business in the water industry anymore,” he said.

According to its feasibility study, MCWS’ member cooperatives shall finance the connection fee and material requirements to provide water to households and business establishments.

“While MCWS is owned directly by cooperatives, the benefits of having potable water at affordable price will go to individual members of these coops. The benefits, beside water quality and lower price, also include profit sharing in the form of dividends and patronage refund. This will entice non-coop members to also join any of the member coops where they reside or work,” the MCWS said.

The MCWS will initially invest P120 million to install the processing plant at Iponan river, and the necessary pipes to enable a level 3 system where residents, businesses and offices will be able to tap. PJ Orias