The government will continue to pursue possible lapses and liabilities of PrimeWater Infrastructure Corp. amid the announcement that the Lucio Co Group is taking over its management, Malacañang said on Wednesday, Dec. 17.
“Any lapses or shortcomings of PrimeWater’s management must be accounted for, depending on LWUA’s (Local Water Utilities Administration) reports and evidence,” Palace Press Officer Clarie Castro said.
She also said the government is taking steps to ensure uninterrupted water supply amid management changes.
The Villar Group on Tuesday said Crystal Bridges owned by businessman Lucio Co, who also owns Puregold Price Club Inc. and membership shopping chain S&R., would “acquire PrimeWater’s entire portfolio of operations across the Philippines”.
The Bacolod Sangguniang Panlungsod on Tuesday passed a resolution calling on the Bacolod City Water District that has a joint venture agreement with PrimeWater to exercise legal remedies in accordance with the provisions of their JVA to protect the rights of its consumers, Councilor Cesar Distrito said.
Baciwa should collect the necessary penalties for PrimeWater’s violations and if possible enter into an arbitration, he said.
“I want the BACIWA Board to explore first all the legal remedies as provided under their JVA. If Prime Water has violations, then let them pay the penalties or even terminate the JVA,” he said.
The parties to the contract are only BACIWA and Primewater, the city government is not part of it, and has no right to intervene in their conflict, Distrito said.
“We believe that it is much better for BACIWA to exercise their rights as what the contract provides rather than passing it through the LGU,” he added.
Sonya Verdeflor, BACIWA Board chair, said they are meeting with PrimeWater representatives on Thursday.*