Joint venture agreement on P10-B bulk water inked

By ARMANDO B. FENEQUITO JR.
THE Aboitiz Equity Ventures (AEV) signed Tuesday night a contract with Davao City Water District (DCWD) for the establishment of a P10-billion bulk water facility that will ensure enough water supply in Davao City.
DCWD spokesperson Bernardo Delima said the signing took place Tuesday night at The Marco Polo Davao and which was presided by Davao City Mayor Rodrigo R. Duterte.
The agreement will pave the way for the setting up of a facility for bulk water supply from Apo Agua Infrastructura Inc. (APO Agua), a joint venture company between AEV and J.V. Angeles Construction Corporation (JVACC).
A statement from AEV said the agreement involves the construction of the country’s largest private bulk water supply facility to date together with a fully renewable energy powered water treatment plant.
“APO Agua will supply up to 300 million liters per day (MLD) of potable bulk water from the Tamugan River to DCWD, which will benefit the more than 1 million people of Davao City,” AEV said in the statement.
The landmark project is part of AEV’s thrust to expand into infrastructure development in addition to its core businesses of power, banking, land and food.
“We have long been partners in Davao’s economy through Davao Light and our other businesses​; and through our investment in APO Agua, we will ensure that Davao city has the necessary bulk water infrastructure for it to continue with its impressive economic growth story,” said Erramon Aboitiz, AEV president and CEO.
APO-Agua has a 70-30 ownership structure, with AEV owning 70 percent of the company and the remaining 30 percent JVACC.
AEV said JVACC will be the engineering, procurement, and construction (EPC) contractor for the entire project.
JVACC brings with it over 48 years of experience in the construction and development of water-related infrastructure in the Philippines.
“We are excited to be able to provide Davao City with this innovative bulk water supply solution,” said Jose V. Angeles, JVACC chairman and president.