Duterte eyes military takeover of water concessionaires’ ops

FILE: President Rodrigo Roa Duterte at the Malacañan Palace on September 10, 2019. ALFRED FRIAS/PRESIDENTIAL PHOTO

MANILA – President Rodrigo Duterte is considering ordering the military to take over the operations of water concessionaires Manila Water and Maynilad, in case of revocation of the two firms’ agreements with the national government.

Still infuriated by the alleged “onerous” provisions of the government’s concession agreements with the two firms, Duterte floated the idea during the inauguration of The Tent at Vista Global South in Las Piñas City on Thursday night.

The President said he might be compelled to suspend the writ of habeas corpus, a move he deemed fit to go after Manila Water and Maynilad, as well as other errant firms.

“Huwag niyo akong laruan na takut-takutin ninyo ako, ‘Sige, mag-sibat kami, bahala ka wala kayong tubig’ (Do not play dirty tricks and threaten me, ‘Fine, we will cease our operations but no one can supply you water.’) I will order the armed forces to operate your water,” he said.

“O sige, sundalo mag-take over kayo (To the soldiers, take over their operations). Then I will declare a suspension of the writ of habeas corpus, but only against economic sabotage,” Duterte added.

The President made the pronouncement, as he censured Manila Water and Maynilad for putting water consumers at a disadvantage by letting them carry the burden of their concession deals with the government.

Article 3, Section 15 of the 1987 Constitution stipulates that the writ of habeas corpus can be suspended, “in cases of invasion or rebellion when public safety requires it.”

Article 7, Section 18 of the 1987 Constitution also states that the President, “whenever it becomes necessary, he may call out such armed forces to prevent or suppress lawless violence, invasion or rebellion.”

Duterte said the concession agreements apparently “mirrors” the Anti-Graft and Corrupt Practices Law or Republic Act 3019.

“Hindi ko talaga maintindihan kung bakit itong mga u***, pumasok diyan sa kontratang ‘yan (I do not understand why these stupid people entered into a contract with them),” Duterte said.

“Sabi ko (I said), if you get a copy of the contract and ilagay mo face-to-face with the Anti-Graft and Corrupt Practices Law which is Republic Act 3019, it mirrors what is in the anti-graft and the anti-graft mirrors the contract.

The Metropolitan Waterworks and Sewerage System (MWSS) on Tuesday revoked the approved 15-year extension of concession agreements with Manila Water and Maynilad that are supposed to expire in 2037.

The revocation means the two firms only have until 2022 to operate since the 2009 resolution extending the 25-year concession deals signed in 1997 is already considered ineffective.

The latest development came after Duterte learned that the contracts with Manila Water and Maynilad are disadvantageous to both the government and the Filipino people.

The Singapore-based Permanent Court of Arbitration issued separate decisions, compelling the Philippine government in 2017 to pay PHP3.4 billion to Maynilad and in November 2019 to compensate PHP7.39 billion to Manila water for the losses the two water firms allegedly suffered due to non-implementation of increases in water rates.

Duterte slammed the ruling that favors the two water concessionaires.

“Ngayon (Now), if for any reason, they incur losses, we have to pay for their losses. Ang una, ‘yung PHP3 billion plus kasi na-delay ang increase because the regulator, ang MWSS, pinag-aralan pa (First, the government was forced to pay PHP3 billion due to the delay of increase in water rates because the water regulator, MWSS, conducted a study first),” he said.

“Saan ka makakita, sila ang may karapatan (When did that happen that they have the right to do that)? And in that contract, ang tubig (the water), for purposes of interpreting the contracts in case of conflict, water will be treated as a commodity, only water, not a natural resource,” he added.

On Dec. 10, Manila Water and Maynilad wrote separate letters to Duterte, expressing their intent to settle the issue by allowing the review of and possible amendments to the existing water concession deals.

Duterte, however, said he would let MWSS Administrator Emmanuel Salamat negotiate with the two firms.

“I’m not talking. You go to Salamat, General Salamat. He’s the MWSS (administrator). Mag-usap kayo. Bahala kayo diyan (Talk to him. Settle the issue with him),” he said.

“I will just prepare the charges. Kapag hindi tayo nagkaintidihan tayo dito, economic plunder then there is no bail (If we fail to reach an agreement here, I will file economic plunder, then there is no bail),” Duterte added.