By GENALYN KABILING
The government will resort to legal action if the two water concessionaires refuse to remove the alleged onerous provisions in the agreements during the talks, a Palace official said yesterday.
Presidential spokesman Salvador Panelo said the government is willing to discuss with Maynilad and Manila Water the proposal to change such provisions that are allegedly disadvantageous to the government.
“Wala naman sinasabi si Presidente na magre-rescind arbitrarily. Ang sinasabi niya ayusin ang kontratang ‘yan dahil mali ‘yung kontratang ‘yan. Kumbaga mag-uusap. Kung pumayag sila o ‘di walang problema. Kung hindi naman, o di mag-dedemanda,” he said.
Panelo noted that the two water companies have reportedly agreed to discuss the matter with the government.
“May mga onerous provisions natuklusan na kailangan baguhin natin. Sabi naman ng dalawang partido na willing sila makipag-ayos,” he said. “Kailangan ayusin muna. Mag-uusap yung dalawa. Mag-nenegotaite muna ang dalawa, they will be discussing terms kung paano nila aayusin,” he added.
President Duterte earlier threatened to jail and sue the persons behind the alleged irregular government contracts with the two water companies for economic sabotage.
Among the provisions found onerous by the President is the prohibition on government interference in rate adjustments, indemnity for losses in case of such interference, and the terms or periods.
The presidential outrage came after an arbitration court in Singapore recently ordered the government to pay Manila Water P7.4 billion for the non-implementation of water rate increases. In 2017, the court also ordered the payment of P3.4 billion to Maynilad for its alleged foregone revenues.
Duterte, however, vowed not to reimburse Manila Water for alleged losses based on the arbitral ruling. He remained unfazed that he might considered a “pariah” in the international community, and instead warned there will be a “time for reckoning” for the persons who bargained away the country’s sovereignty over water resources.