Water Crisis in Borbon: LGU and Private Provider Clash Over Management and Billing
The city of Borbon is currently grappling with a severe water crisis, stemming from a contentious conflict between the local government unit (LGU) and the private water provider SAVS Borbon. This dispute has significantly disrupted water service management and billing collection, leaving residents in a state of confusion and uncertainty.
Roots of the Conflict
The turmoil began when the LGU terminated its 25-year joint venture agreement with SAVS on January 22, 2026. Mayor Nico Dotillos cited alleged violations by the provider, including failures to deliver reliable water services. "The water issues in Borbon did not start yesterday. They are the result of nearly 11 years of mismanagement under the former water distributor. What we are facing today are long-standing problems that cannot be solved overnight," Dotillos stated, emphasizing the deep-seated nature of the crisis.
Billing Confusion and Legal Standoff
In the wake of the termination, confusion has mounted among consumers as SAVS continues to collect payments, while Mayor Dotillos has directed the Borbon Water District to commence its own billing efforts this week. The LGU has already launched the Borbon Water System (BWS) earlier this year following the contract severance. However, this move has sparked further ambiguity over who truly manages the service, particularly with the mayor insisting that BWS should handle collections by the end of April.
Dotillos explained that this decision was based on escalating complaints from residents and a signature campaign initiated by barangay officials. In an interview with former TV reporter and Barangay Apas, Cebu City Captain Ramil Ayuman, posted on Facebook on Tuesday, April 7, Dotillos highlighted the financial challenges, noting that resolving the water problem requires substantial funding. "Initially, we thought that we would need like P40 million for the pipes... which money that we don’t have," he said, adding that engineers later realized even more resources are needed, prompting requests for assistance from the Cebu Provincial Government.
SAVS Counters Allegations
In separate interviews with Ayuman, SAVS President Arlene Villaruel denied the LGU's accusations, arguing that the contract termination lacked due process. Villaruel contended that SAVS cannot fulfill its obligations because the LGU has not formally turned over facilities or properties. "But how can we pay something that we don’t have?" she questioned, further doubting the LGU's capacity to manage operations, especially billing, without access to necessary databases.
Villaruel emphasized that SAVS is not a "fly-by-night" company, having operated for an extended period, and confirmed that the conflict has now been escalated to the courts. Meanwhile, Mayor Dotillos assured residents that the LGU is committed to resolving the issue, despite the hurdles, and warned of potential legal action if SAVS refuses to vacate government property.
Historical Context and Ongoing Efforts
The joint venture agreement dates back to the tenure of former Mayor Butch Sepulvida, adding a layer of historical complexity to the current dispute. As the situation unfolds, both sides remain entrenched in their positions, with the LGU pushing forward with BWS and SAVS defending its operational integrity. The crisis underscores broader challenges in water management and public-private partnerships in the region, with residents caught in the crossfire of bureaucratic and legal battles.
