Eight Months After Pre-Termination Notice, Consumers Still Await Clear Resolution
Tacloban City — The issue of water service reliability in Tacloban has once again come into sharp focus following recent correspondence between PH Haiyan Advocacy Inc. and the Leyte Metropolitan Water District (LMWD). At the center of the concern is the Joint Venture Agreement (JVA) between LMWD and PrimeWater Infrastructure Corporation—an agreement that was originally intended to improve water services but is now under serious scrutiny.
Confirmed: Material Breach and Pre-Termination Process Initiated
In its official reply dated March 3, 2026, LMWD confirmed that it had issued a Notice of Material Breach to PrimeWater on May 5, 2025, citing failure to fulfill service obligations, including capital investment deficiencies and operational shortcomings. This was followed by a Notice of Intention to Pre-Terminate the Joint Venture Agreement on July 17, 2025.
These developments clearly establish that the contracting authority itself had already determined significant lapses in the concessionaire’s performance.
Persistent Service Issues Affect Consumers
Despite these formal notices, PH Haiyan highlighted that nearly eight months have passed without a definitive resolution. During this period, consumers across Tacloban continue to experience:
- Intermittent water supply
- Weak water pressure
- Limited service hours, often only at night
- Lack of reliable 24-hour water service
These conditions directly contradict the core commitments under the Joint Venture Agreement, which require continuous and dependable water supply for all consumers. As emphasized in PH Haiyan’s March 12, 2026 letter, these ongoing issues demonstrate that the expected improvements under the concession have not been fully realized.
Unfulfilled Obligations & Ownership Transfer
LMWD’s own response further acknowledged that key service deliverables—such as septage management systems that were supposed to be implemented as early as 2021—remain unfulfilled, and have been cited as violations under the JVA. This raises critical questions about compliance, accountability, and the overall effectiveness of the concession arrangement.
Adding to the urgency is the reported acquisition of PrimeWater by a new corporate group. LMWD confirmed that it was formally notified of this development on January 26, 2026. PH Haiyan stressed that such a transfer should not override or obscure existing contractual violations, especially while a pre-termination process is already underway. The organization underscored that the water district, as the contracting authority, retains full responsibility to ensure that performance failures are addressed and consumer interests protected.
Call for Decisive Action and Transparency
Given these circumstances, PH Haiyan is calling on the LMWD Board of Directors to take clear, decisive, and transparent action. The organization emphasized that the pre-termination process must not remain unresolved indefinitely, as prolonged uncertainty undermines public trust and prolongs consumer hardship.
- Immediate resolution of the pre-termination process
- Clear public disclosure of LMWD’s position
- Assurance that contractual obligations are enforced
- Protection of consumers from continued service failures
