A water crisis is imminent. Destruction of the environment has made the water crisis into a global problem. In Bacolod City, the demand for potable drinking water 24 hours a day, seven days a week has become a battle cry as the Bacolod City Water District (Baciwa) is bombarded with inquiries on the matter. Who is to blame? The Board of Directors? Baciwa administration?
According to newspaper reports, arguments have been made by those who advocate and oppose privatization of the utility firm. Their proposed joint venture agreement with the PrimeWater Infrastructure Corporation is often criticized as a move towards privatization, something Baciwa denies, characterizing it as a public-private partnership (PPP).
What is a PPP all about? It can be broadly defined as a contractual agreement between the government and a private firm wherein financing, design, implementation, and operating responsibilities are shared. It embodies “optimal risk allocation” by minimizing cost while realizing project developmental objectives. The project typically works out with the private sector getting a reasonable rate of return on its investment.

Monetary and non-monetary advantages
PPPs address the private sector’s limited funding resources for local infrastructure or development projects by allowing the allocation of public funds. It is a mechanism to distribute project risk to both public and private sectors and is geared for both sectors to gain improved efficiency and project implementation processes in delivering services to the public.
Most importantly, PPPs emphasize the value of money, cost reduction, better risk allocation, faster implementation, improved services, and possible generation of additional revenue.
The Baciwa Board of Directors affirm the joint venture will not affect consumers; claiming it will enhance the system and provide potable water without additional rate increases. However, the opposition demands transparency. They believe it is disadvantageous.

The burden of proof lies on both sides
It is a matter of providing concrete certainty that the said project is for the benefit of the consumer and that lies with the Board of Directors. On the other hand, the opposition presented negative indicators as evidenced by prior PrimeWater agreements.
Who is offering the better solution?
At the end of the day, we need to rectify and release consumers from the bondage of a water crisis. It is a matter of consolidating solutions and uniting efforts in finding solutions and to protect the interest of the public./WDJ