SINCE the reason floated by the LWUA interim directors and general manager, or by the LWUA itself, in the intervention in the affairs of the COWD is the high non-revenue water of the latter, can they effectively address this?

Given this, I still maintain that the intervention is not authorized under PD 198, the LWUA charter, which provides that the only reason the office can intervene is when a water district defaults on its loan obligations with the LWUA.

Non-revenue water is that which a water district derives no revenue at all. This is caused by pilferages or theft, before-the-meter leakages, and "free" water supply to institutions, the bulk of which is to the fire bureau (hydrants, refilling stations). NRW is to water districts, while line loss is to electric distribution companies.

In the case of electric companies, the regulator limits the number of line losses that may be passed on to consumers as part of the rate per kilowatt hour. This results in the electric utility implementing programs to avoid line losses that cannot be passed on. Otherwise, it bears the burden of an inefficient distribution system.

In the case of water districts, regardless of the actual volume of NRW, the equivalent amount wasted is charged to us the consumers.

At current figures, the NRW of the COWD is more than 50%. This could only mean that we pay in full for less than half the quantity of water that we use. This should of course be an area of concern. But is this enough for the LWUA to intervene in the affairs of the COWD, albeit unauthorized by its charter?

I was informed that Manila Water embarked on an NRW reduction program which was a success in that after 23 years, yes 23 long years, its NRW of 63% was reduced to only 13% with an investment of 15 billion pesos or 650 million per year.

Whether or not these figures are true, the fact remains that addressing NRW is a gargantuan task that interim management may not be able to effectively address but by the regular board and management officers of a water district. This is unless the interim management comes up with an acceptable plan and strategy that ensures the reduction of NRW thus resulting in reduced water bills.

So there. Reduce NRW to the barest minimum for an efficient water district, for a happy Cagayan de Oro, and satisfied water concessionaires.