Aboitiz says Jalaur deal won’t affect water project

By Rjay Zuriaga Castor

Aboitiz InfraCapital (AIC) said it is still pursuing its bulk water supply proposal for Iloilo City despite the recent memorandum of understanding (MOU) between the National Irrigation Administration (NIA) and the Metro Iloilo Water District (MIWD) over the Jalaur River Multipurpose Project Phase II (JRMP II).

AIC said the MOU between NIA and MIWD, which seeks to tap JRMP II’s bulk water component, will have “no impact” on its own project.

“We continue to proceed with our proposal to deliver urgent and collaborative solutions to meet Iloilo’s water challenges,” the company said in a statement to Daily Guardian on Wednesday, July 30.

The MOU allows MIWD to conduct a one-year feasibility study to assess the viability of transferring up to 1 cubic meter per second—or about 86 million liters per day (MLD)—of water from JRMP II for domestic use.

Under the agreement, MIWD will build and operate a segment of the JRMP II high-line canal to deliver raw water to its treatment facilities.

Ownership of the canal portion will eventually revert to NIA.

MIWD is also responsible for constructing and operating the intake and treatment systems needed to produce potable water.

However, the project remains subject to approval by the National Water Resources Board (NWRB), which MIWD must secure before moving forward.

AIC’s own proposal also aims to use JRMP II as its primary raw water source.

But the MOU positions MIWD as the lead agency in developing bulk water infrastructure connected to the Jalaur system, raising concerns about competition for the same resource.

Despite this, AIC said the agreement between NIA and MIWD remains exploratory and does not preclude the viability of its project.

The company emphasized that it already holds a standing MOU with NIA, allowing it to conduct feasibility studies and water sampling at JRMP II.

AIC’s PHP5 billion proposal is designed to deliver up to 86 MLD of treated potable bulk water to Iloilo City and surrounding areas.

The project includes construction and operation of water intake facilities, treatment systems, and distribution infrastructure for multiple off-takers.

It also holds original proponent status, granting AIC the right to match competing bids under the ongoing Swiss Challenge process.

“AIC and the Iloilo City Government are in discussions with NIA on the appropriate arrangements to secure the water permit as a key enabler of the project, which will immediately benefit Ilonggos who continue to bear the impact of dry taps and poor service,” the company said.