P1.3-B bulk water project draws interest

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P1.3-B bulk water project draws interest

Post by Guest on Tue Mar 22, 2011 8:15 am

ILOILO CITY -- At least eight firms have shown interest in the P1.3-billion bulk water supply project of the Metro Iloilo Water District (MIWD).

MIWD General Manager Le Jayme Jalbuena said the project aims to augment the utility’s supply by 30,000 cubic meters (cu.m.) a day.

The water firm currently supplies 31,000 cu.m. a day to more than 30,000 consumers in Iloilo City and six outlying towns.

The result of the project’s bidding in December 2009 was nullified in March last year due to the lack of required clearance from the Government Procurement Policy Board.
Interested companies
Records of the pre-bid conference held last Feb. 9 showed that firms that attended included Maynilad Water Services, Inc.; Manila Water Company, Inc.; Abejo Builders Corp.; Pilipinas Water Resources, Inc.; Solerex Water Technologies, Inc.; R Prado; Jalaur Development Corp.; and BF Corp.

Mr. Jalbuena said the deadline for the submission of bids had been moved to April 6 from March 6, following the request of the interested bidders to study the proposed project and comply with the requirements.

After the opening of bids on April 6, MIWD’s Bids and Awards Committee (BAC) will hold the post-qualification process to verify and check the eligibility of the interested suppliers.

Eventual approval of award to qualified, winning bidders will be done by the MIWD Board of Directors alongside the issuance of Notice of Award.

The succeeding process involves submission of performance security, signing of contracts and issuance of Notice To Proceed.

Mr. Jalbuena said the utility expects some improvement in supply within the year. "Overall, we expect day one delivery of the additional (supply) by end of November this year," he said.
Three project components
Arnold P. Laurente, MIWD-BAC vice-chairman, said the project is composed of three contracts which cover three injection points through which the additional water supply will be introduced.

The contracts will be for 10 years and will total P1.335 billion in value.

The first injection point contract will cover the line running through Oton, San Miguel, Pavia and Mandurriao municipalities.

The required volume for this point is 5,000 cu.m. with a bid price of P11.19/cu.m.
The second contract covers the line along Sta. Barbara, Pavia and Jaro municipalities with a required volume of 10,000 cu.m.

The bid price for the contract is P10.65/cu.m.
The third contract involves the line from Leganes to Jaro.
The required volume is 15,000 cu.m. for a price of P13.75/cu.m.

No rate increase seen
"The bidders can either bid for one or all three contracts. It is also possible that one bidder will win all the contracts, but it will still undergo post-qualification and -bidding evaluation to determine capacity to carry out the project," Mr. Laurente said.

Nancy G. Gallego of MIWD’s customer relations division said the additional supply will enable them to serve 4,500-5,000 more customers.

MIWD director Adrian N. Moncada said the utility doesn’t see any adjustment in water rates when the project starts operations.

The current rate for residential consumers is P10.50 for a minimum of 10 cu.m., while commercial consumers are charged P318 for a minimum of 10 cu.m. or P31.80/cu.m.
Mr. Moncada said MIWD’s engineering department will check pipelines since the utility expects some lines to burst when subjected to a sudden increase in pressure due with the onset of additional water supply.

He said MIWD engineers will have to use existing valves to calibrate the increase in water pressure in order to avoid pipe ruptures.

Initial inconvenience
The utility’s customers may also get dirty water initially when the additional supply kicks in.

"Some of these pipelines were already contaminated because of low pressure," Mr. Moncada said.

"But these problems will occur only in the initial introduction of the new water supply."
Edgar R. Calasara, MIWD production department head, said his group has at least six months to plug leaks in the utility’s distribution lines before the new supply comes in.

Data from MIWD’s production department show that about 40% of the water district’s supply is lost to leakage or pilferage.

Mr. Calasara said the utility is implementing district metering area management to check the volume of water along the pipes.

Under this scheme, a "mother meter" is installed in the main line, while smaller pipes have their own "sub-meters." MIWD checks the "mother meter" and compares the volume with readings of "sub-meters" to determine the losses.

Mr. Calasara said his division also plans to acquire diagnostic equipment that will detect leak locations along pipelines.

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