WEST zone water users served by Maynilad Water Services Inc. will enjoy reduced rates from July to September 2026, following the approval of a downward tariff adjustment by the Metropolitan Waterworks and Sewerage System (MWSS).
The regulator confirmed the rollback on Thursday, explaining that the change stems from the quarterly review of the Foreign Currency Differential Adjustment (FCDA), a mechanism designed to account for gains or losses linked to fluctuations in foreign exchange rates. This adjustment applies to loans the companies secure in foreign currency to fund infrastructure upgrades and service improvements.
During the briefing, MWSS-Regulator Office chief Patrick Ty announced that the agency’s Board of Trustees had adopted the regulator’s recommendation to implement the new rates starting July 1, 2026. Under the approved revision, Maynilad’s FCDA charge will drop from P0.13 per cubic meter in the second quarter of 2026 to P0.12 per cubic meter for the third quarter — a reduction of P0.01 per cubic meter. While seemingly small, this change translates to tangible savings for households, with bills decreasing by roughly P0.34 for users consuming 10 cubic meters, P1.29 for 20 cubic meters, and P2.66 for those using 30 cubic meters per month.
The FCDA system acts as a corrective measure to ensure neither the utility nor the consumers end up paying more or less than necessary due to exchange rate shifts. It is reviewed every quarter to align rates with actual financial impacts, ensuring fair recovery of costs while reflecting savings when exchange rates move favorably. In this instance, the adjustment results in a reduction because recent currency movements generated gains, which are now being returned to customers through lower charges.
In contrast, customers of east zone provider Manila Water will see no change in their rates during the same period. Ty clarified that the computed adjustment for the company amounted to less than P0.01 per cubic meter — too small to implement practically. Manila Water will therefore retain its existing FCDA rate of P0.39 per cubic meter, equivalent to 0.76% of its 2026 Average Basic Charge of P50.70 per cubic meter, ensuring stability in billing for its service area.
metrosundaily
