The Metro Cebu Water District (MCWD) has publicly defended its policy of imposing minimum water charges on households that record zero consumption. This clarification came on Monday, January 12, 2026, in response to concerns raised by Cebu City Councilor Harold Kendrick Go.
Not for Water, But for System Readiness
MCWD stated that the minimum charge is not a payment for undelivered water. Instead, it is a legally mandated "capacity" or "readiness-to-serve" charge. The utility emphasized that this fee is crucial for covering fixed operating costs that exist regardless of actual water usage.
According to MCWD, a significant 70 to 80 percent of a water district's expenses are fixed. These include repaying infrastructure loans, electricity for pumping stations, ongoing pipeline maintenance, and personnel salaries. The system must be maintained so that water is available the moment a consumer turns on their tap.
Legal Mandate and Financial Stability
The water district explained its position as a government-owned and controlled corporation under Presidential Decree 198. Unlike local government units, MCWD does not receive regular subsidies from the national government and must be financially self-sufficient.
MCWD cited the Local Water Utilities Administration (LWUA) Water Rates Manual, which requires the collection of minimum charges to recover these fixed costs. Suspending charges for accounts with zero consumption would violate national rate-setting standards and could jeopardize the entire system's financial health.
To ensure affordability, MCWD noted that the residential minimum charge is regulated. It is capped so as not to exceed five percent of the average income of low-income households in its service area, following LWUA guidelines.
Councilor's Call for Review and Path Forward
The issue gained attention after Councilor Harold Kendrick Go filed a resolution urging MCWD to review its billing policy. He acted on complaints from residents billed for minimum fees, franchise tax, and fixed charges despite having no recorded water use.
"Dili pwede nga walay tubig, pero naa'y singil (It's not acceptable that there is no water, but there is a charge)," Go said, arguing that billing should reflect the actual service delivered.
While acknowledging public frustration over water service interruptions, MCWD argued that the solution lies in increased investment in infrastructure, water sourcing, and pressure management, not in removing the minimum charge. The utility warned that abolishing these fees would weaken its ability to fund solutions to the supply problems.
MCWD expressed openness to discussions with Councilor Go's office to explore ways to improve service reliability, which it identified as the core issue behind consumer complaints.
