MORE THAN just a “take-or-pay” stricture, the P52-billion joint venture deal between the state-run Metropolitan Waterworks and Sewerage System (MWSS) and food-beverage giant San Miguel Corporation will require the Philippine government to issue a “performance undertaking,” a form of state commitment that the Arroyo administration has generally been wary of giving away.
A performance undertaking is a guarantee issued by the Republic that the state agency involved in a project will comply with all its obligations to the contractor, typically a private company.
MWSS officials address the apparent haste in the tender of the Laiban dam project.
SAN ANDRES, Tanay, Rizal – We were wondering why Sofia de la Rosa seemed a little agitated with our presence. After all, it’s not every day that visitors bother to come to this remote barangay nestled in the foothills of the Sierra Madre range.
In the course of our conversation, the barangay captain of San Andres also kept telling us that her people will not leave this village unless they are paid proper compensation by San Miguel.
THE Metropolitan Waterworks and Sewerage System (MWSS) could be exposing itself and the government to undue financial risks under a negotiated deal with San Miguel Corporation to build the P52-billion Laiban dam. But the state agency tasked to evaluate the soundness of large-scale infrastructure projects has been unable to come to the aid of the MWSS – which may not even welcome such in the first place.
Like the rest of the public, the National Economic and Development Authority (NEDA) has been kept in the dark regarding the details of the proposed joint-venture agreement.
The Lematin River forms the western arm of the proposed Laiban Dam watershed and reservoir. This river supports seven of the eight barangays that will be submerged when the dam project finally pushes through.
Last of Two Parts The first part of this report reveals how secrecy and precipitate haste mark the tender by the state-run Metropolitan Waterworks and Sewerage System (MWSS) for the P52-billion Liban Dam project in Tanay, Rizal. THE PROPOSED joint-venture deal between San Miguel Corporation and the Metropolitan Waterworks and Sewerage System (MWSS) to build […]
THE GOVERNMENT is giving bidders only five working days to initiate a challenge to the unsolicited proposal of San Miguel Corporation – the food-beverage giant controlled by Marcos crony Eduardo “Danding” Cojuangco Jr. – to build the P52-billion Laiban dam in Rizal province, potentially one of the biggest infrastructure projects to be launched by the Arroyo administration.
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