CHIZ WANTS WATER AND OTHER NATURAL MONOPOLIES MONITORED

Senator Chiz Escudero said all monopolies must be placed under strict monitoring to curb its tendencies to abuse consumers.

Escudero said one of the first legislative agenda Congress should look into when it opens is the monopoly of private water concessionaires in the country.

This after two private water concessionaires came under fire for passing on to consumers its P15 billion income taxes plus expenses for gifts, trips, entertainment and other company miscellaneous.

"We will investigate that once the Senate resumes. I intend to keep a watchful eye on all monopolies that, given their market dominance, have a natural tendency to abuse and take advantage of their consumers," Escudero said.

The Water for the People Nerwork said the expenses above had been passed on the consumers by the Maynilad Water Services Inc. and Manila Water Company from 2008-2012.

The senator said water concession has become a natural monopoly since it was left on its own to fix prices due to the lack or absence of competition.

"In any part of the country, water districts are natural monopolies. There is no free enterprise and fair competition. It is but right that this industry must be placed under strict monitoring by an instution to balance the equilibrium between our consumers and these industry players".

Unfortunately Escudero said, there is no regulatory body over water utilities but he said the Senate can scrutinize this gray area to put in place a mechanism that would task water utililities to serve the interest of the consumer vis-a-vis its profit margins.

"We can't just leave monopolies on their own device and allow them to steadily earn while we consumers carry the burden," Escudero ended.