MPW Desal Plant Propels City’s Economic Boom

By Francis Allan L. Angelo

Metro Pacific Water is set to transform Iloilo City’s water supply and drive economic growth across Western Visayas with a pioneering PHP5.5-billion desalination plant. This investment is expected to support Iloilo’s business expansion, generate jobs, and enhance the local economic landscape.

Expected to be completed by 2027, the desalination plant will provide a stable water supply for more than 400,000 residents in Metro Iloilo.

The project is part of Metro Pacific’s nearly PHP15-billion investment in Iloilo City.

Located in Barangay Ingore, La Paz, the Metro Iloilo Desalination Facility will complement Metro Pacific Iloilo Water’s (MPIW) PHP7-billion service enhancement program for 2025–2034.

The program includes major infrastructure and pipeline upgrades to meet the demands of a growing population and expanding industries.

The desalination facility will add 66.5 million liters of potable water daily to MPIW’s distribution network, strengthening Iloilo’s efforts to ensure a sustainable water supply.

Mayor Jerry Treñas praised the project, emphasizing its importance in securing water resources critical to the city’s economic development.

“A steady and reliable water supply will improve our business climate, attract more investments, and create more jobs for Ilonggos,” Treñas said.

The plant’s construction will generate thousands of jobs, with permanent employment opportunities once it becomes operational.

These jobs will span multiple sectors, including engineering, water management, maintenance, and technology, creating a ripple effect across Iloilo’s industries.

A Catalyst for Business Growth

The desalination plant is expected to drive business growth in Iloilo City by ensuring a consistent water supply, a key factor in industrial expansion.

During construction, the project will create employment for engineers, skilled laborers, and support staff.

Once operational, the facility will provide permanent jobs in water management, maintenance, and technology, strengthening the regional workforce.

Beyond direct employment, the project will benefit industries reliant on water, such as manufacturing, beverage production, and tourism.

Businesses will have greater confidence to expand, knowing a stable water supply can support higher production demands.

“A consistent and reliable water supply will enhance our business climate, attract more investments, and generate more jobs for Ilonggos,” Treñas said.

Industrial and Economic Impact

Manufacturing and industrial processing in Iloilo—including food and beverage production, textiles, and chemical processing—depend on a reliable water supply to maintain and expand operations.

A steady water supply enables these industries to increase production capacity, attract new investments, and create more jobs, boosting the local economy.

The city’s growing tourism and hospitality sector, including hotels, resorts, and restaurants, also relies on a stable water supply to provide quality services to visitors.

Real estate developments, particularly high-rise projects, will also benefit from assured access to potable water.

Improved water infrastructure enhances Iloilo’s appeal as a tourism and investment hub, supporting long-term economic growth.

Hospitals and clinics require uninterrupted water for sanitation, patient care, and daily operations.

Ensuring a stable supply is crucial for maintaining public health standards and expanding medical services in the region.

The business process outsourcing (BPO) and information technology sectors, which have seen rapid growth in Iloilo, also benefit from reliable infrastructure.

While their water consumption is lower than that of manufacturing, a stable supply contributes to Iloilo’s attractiveness as a business hub.

Sustainability and Innovation

Mayor Treñas emphasized that the desalination project aligns with the city’s WHEELs program, which focuses on Welfare, Health, Education, Environment, Livelihood, and Sustainability.

“It also supports the United Nations Sustainable Development Goal No. 6—Clean Water and Sanitation for All—and positions Iloilo as a model for livable communities,” he said.

MPIW Chief Operating Officer Angelo David Berba highlighted the project’s transformative potential beyond basic infrastructure.

“This desalination plant demonstrates our unwavering commitment to Iloilo’s future prosperity,” Berba said.

“By ensuring a consistent, high-quality water supply, we are creating an environment where businesses can thrive, generating employment opportunities, and laying the foundation for sustainable economic expansion.”

The desalination plant is a key component of MPIW’s PHP5-billion service enhancement program for 2023–2027, which includes pipeline expansions and critical infrastructure upgrades.

A major highlight of this initiative is the largest-diameter pipeline in the Asia-Pacific region, expected to arrive from Spain in June 2025.

The plant’s cutting-edge design focuses on efficiency, reducing non-revenue water (NRW) losses through advanced leak detection and management systems.

This emphasis on operational efficiency will lower costs for local businesses and promote sustainable water management practices.

Since 2019, MPIW has implemented advanced technologies, including the SAHARA mobile leak detection system, reducing water losses from 59% to 45%.

This improvement conserves approximately 34,000 cubic meters of water daily, equivalent to filling 13 Olympic-sized swimming pools. 

Regional Growth and Economic Corridor

The desalination plant’s water security benefits will extend beyond Iloilo City to neighboring municipalities, including Pavia, Leganes, Sta. Barbara, Cabatuan, Oton, San Miguel, and Maasin.

This will create a regional economic corridor powered by reliable water infrastructure.

Industrial growth resulting from the desalination facility is expected to increase demand for ancillary services, including retail, transportation, hospitality, and facility maintenance.

Economic officials anticipate that the project’s multiplier effect will create opportunities across various skill levels, from construction and engineering to service industries.

The employment impact extends beyond direct jobs, with thousands of indirect positions expected as businesses expand due to improved water security.

A Premier Investment Destination

Mayor Treñas said the desalination plant represents more than just infrastructure—it positions Iloilo as a premier investment destination in the Visayas region.

“This is Iloilo’s moment to shine as we build world-class infrastructure that secures our future prosperity,” he said.

He also emphasized the strong collaboration between the city government, Metro Pacific Water (MPW), and Metro Pacific Iloilo Water (MPIW), calling it proof of Iloilo’s commitment to public-private partnerships.

“This project exemplifies our administration’s commitment to inclusive growth and good governance through strategic partnerships,” Treñas said.