SMC-K Water consortium likely to win $518m water project in Philippines

A consortium formed by San Miguel (SMC) and Korea Water Resources (K Water) is likely to win a bidding process for the P24.4bn ($518m) Bulacan Bulk Water Supply Project (BBWSP) of the Metropolitan Waterworks and Sewerage System (MWSS) in the Philippines.

The consortium has offered the best bid for the project, said the country’s Public-Private Partnership (PPP) centre.

SMC-K Water Consortium has won over bids placed by Team Polaris-Manila Water and Prime Alloy Water consortium, which comprises Prime Water Infrastructure, MTD Capital and Biwater International.

The partners gave the lowest bulk water charge of the P8.50/m³, the rate at which the water districts in the province of Bulacan can avail water supplies from the private proponent.

Further evaluation of the bids will be continued following which the winning bidder for the project will be announced next month.

MWSS administrator Gerardo A.I. Esquivel said: "The Bulacan Bulk Water project is all about water security, equality, and levelling-up the lives of millions of Filipinos that continue to be deprived of a basic human right."

The winner of the bidding process will be responsible for financing, detailed design and construction, and maintenance of conveyance facilities, treatment facilities and water source under a 32-year concession period, as a part of the project.

The project will deliver treated bulk water to 24 water districts in the province, which is expected to support increasing demands of water among the consumers, expand current service area coverage for water supply and cover more households.