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  • Subic Council urges termination of joint venture with PrimeWater over persistent service failures
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Subic Council urges termination of joint venture with PrimeWater over persistent service failures

BY Cyrill Quilo
admin June 4, 2025
water
Post Views: 6,867

Subic, Zambales – THE Sangguniang Bayan of Subic, Zambales has unanimously approved Resolution No. 29, Series of 2025, strongly urging the Subic Water District to terminate its Joint Venture Agreement (JVA) with PrimeWater Infrastructure Corporation due to repeated complaints and chronic failures in water service delivery.

During its 110th regular session on May 27, 2025, held at the Sangguniang Bayan Session Hall, the council expressed grave concern over what it described as “substandard operations and performance” by PrimeWater since the JVA was implemented in 2018.

According to the resolution, the council has received numerous complaints from residents citing poor water supply characterized by low pressure, intermittent flow, and dirty water unfit for daily use. Additionally, consumers have decried high water charges despite the lack of adequate supply, with many being billed the minimum rate without consuming the minimum cubic meter of water.

“These complaints are not isolated. They are consistent, widespread, and alarming,” said SB Member Elmer S. Tumaca, chairman of the Committee on Public Utilities & Communication and Public Information, who authored the resolution.

The resolution outlines multiple violations of the JVA by PrimeWater, particularly its failure to provide continuous and quality water service as mandated under the Philippine National Standards for Drinking Water and the Department of Health. The contract also requires the private partner to uphold Local Water Utilities Administration (LWUA) service standards and ensure customer satisfaction as per the Customer Service Handbook.

The Subic Water District has also issued a notice to PrimeWater for the pre-termination of the JVA, citing the same grounds highlighted in public hearings conducted by the council.

“The breach of contract provisions and continued poor service delivery clearly justify the termination of the agreement and the return of water operations to government control,” the resolution stated.

The Sangguniang Bayan further directed that copies of the resolution be furnished to the Subic Water District Board of Directors, General Manager Engr. Jose Dinulung, and PrimeWater’s local branch manager Dave Dawinan for immediate appropriate action. Concerned government agencies were also notified.

Vice Mayor Lauro B. Simbol presided over the session, which was attended by all members of the council, including Liga ng mga Barangay President Edgar Akimoso and SK Federation President Daniel John C. Lachica. The resolution was certified correct by SB Secretary Eva Esoterica R. Deveraturda and signed by Mayor Jonathan John F. Khonghun.

The move reflects growing local government frustration with privatized utility services and highlights the call for improved governance and accountability in public-private partnerships.

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