Legazpi City Water District
by Teodoro M. Reynoso, LWUA Public Affairs Department

On the strength of its excellent operational performance in the provision and delivery of potable piped water supply to its concessionaires last year, the Legazpi City Water District (LCWD), water system operator of Albay's capital, has been declared recently as the country's Most Outstanding Water District for 2003.

LCWD formally received the official award of recognition from the Local Water Utilities Administration (LWUA) during the awarding ceremony which capped the well-attended LWUA-Water District National Forum held at the Club Filipino in Greenhills, San Juan, Metro Manila.

The Albay-based water utility emerged tops among six water districts that have been declared outstanding in their respective size categories to garner the much coveted Most Outstanding Water District of the Year trophy, the first time that LWUA handed out the award for the best of the best among the more than 500 water districts operating in the length and breadth of the archipelago.

Best of the Best

Already declared as the overall winner for the second straight year in the big water district category, LCWD nosed out Binmaley ( Pangasinan ) Water District, overall winner in the medium water district category by a few percentile points, 92.56 to 92.08 after a thorough evaluation of performance of the country's top water utilities in the areas of financial and technical operations and institutional development to bag the most outstanding water district plum.

Other water districts that contended for the most outstanding award included the Bacacay ( Albay ) Water District, overall winner in the small water district category with a rating of 91.29 percent; Sta. Rosa ( Nueva Ecija ) Water District 89.9 percent ( average WD category winner ); Metro Kalibo (Aklan ) Water District 88.88 percent ( big WD category winner ) and Metro Quezon Water District 85.01 percent, topnotcher in the very large WD category.

LCWD officials led by General Manager Raul L. Chua and Chairman architect Ranulfo S. Imperial received the award from LWUA Administrator Lorenzo H. Jamora and Board of Trustees Chairman Gen (Ret) Francisco D. Dumpit.

Another innovation in the yearly awards, LWUA likewise named and handed out awards for the outstanding water districts in their respective categories for Luzon, Bicol-Visayas and Mindanao. They are Floridablanca (Pampanga), Bacacay (Albay) and Placer, Surigao del Sur as outstanding water districts in the small category for their respective areas; Sta. Rosa (NE), Bulan, Sorsogon and Kabacan, North Cotabato (average); Binmaley, Pangasinan, Gubat, Sorsogon and Valencia City, Bukidnon (medium); Baliuag, Bulacan, Legazpi City and Surigao Metro (big); Angeles City, Metro Kalibo and Cagayan de Oro City (large) and Quezon Metro and Davao City for the very large category.

Evaluation Criteria/Awards Rationale

The water districts were actually rated in six individual aspects namely Operating Ratio (Revenue vs. Expenses), Collection Ratio (Collection vs. Billing), Water Quality, Revenue Water (Supply vs. Production), Population Served and Service Expansion (Percentage of the total population and number of barangays actually covered) and Connection to Employee Ratio.

LWUA administrator Jamora said the annual outstanding water district awards have been aimed at giving recognition to water districts who performed exceedingly well in their operations and service during a specified period and as incentive to the rest of water districts nationwide to emulate their example. " The awards are given to water districts that have made the most significant achievement towards the desired goal of every water utility: that of striking a happy balance between providing excellent service to the concessionaires and attaining financial viability," Jamora said. " From LWUA's end, the objectives are to develop athe water districts to become financially sound and capable of serving their target population coverage with adequate and potable water supply," Jamora added.

Based on the overall evaluation, the Legazpi City Water District rated perfectly in the aspects of Operating Ratio, Water Quality and Connection to Employee Ratio while also scoring well in the other major areas as Billing and Collection, Population Served and Revenue Water.

LCWD: Profile and Record of the Most Outstanding WD

The Legazpi City Water District (LCWD) had its simple beginnings on October 1, 1981 as one of the two water districts to be established out the former Albay Provincial Waterworks ( the other one is the neighboring Daraga Water District).

As other then newly-formed water districts, LCWD had its work cut out for it--- Legazpi City was then regarded as a sort of a "ghost city " on account of the poor water supply and sanitation condition which stunted the growth of the local business and prevented interested investors from coming in. LCWD inherited from the old provincial waterworks some 1,000 service connectors, most of which were unmetered, an already decrepit water supply system whose main source of water was the Budjao Spring which LCWD had to initially share with the Daraga Water District.

For the next eight years, LCWD had to struggle to be able to effect some improvements on the water system and to cope up with the growing demands for water among the city residents. Through the initial institutional, financial and technical assistance provided by LWUA, the water district slowly but surely made progress. But even then, GM Raul Chua had to endure for a time the ignominy of being called " Mr. Kalawang" by the local media in reference to the then yellowish coloration of water coming from faucets on account of the iron content in water.

The big break came in 1990 in the form of a P98 million loan assistance from LWUA with loan funds from the Danish International Development Agency (DANIDA) which LCWD used to finance the comprehensive improvement, rehabilitation and expansion of its original water system. After that, its all been downhill for the LCWD as the improved water supply and sanitation started to re-invigorate the city and its economy resulting to increased water demand, water service connections and eventually revenue out of water sales.

LCWD made optimum use of that major capital improvement in 1990 so much so that its succeeding projects have already been funded by its own internal cash generation from water service operations.

Today, LCWD supplies water to its concessionaires from various sources that are mostly located in the northern part of Legazpi City. Its spring sources could be found in Bgy. Buyoan and shallow wells at Bgys. Mabini and Bonga. There are 17 operational wells, two within the city proper and 15 in the various barangays. Water is distributed through a pipeline network which totals some 200 kilometers in length with pipe sizes ranging from 4-inch to 12-inch in diameter. The system also includes water storage facilities comprising of a 2,000 cum. Elevated reservoir and two ground level reservoirs. Two hydraulic control structures and a filtration plant to improve the water quality are also operational.

Legazpi City has 72 barangays with a resident population of about 200,000. At present, LCWD has its water service facilities available in 53 of said barangays with a aggregate population coverage of 121,000. Its total number of active connectors as of the end of 2003 is 14,666, more than 1,100 of which are commercial/industrial, a great leap from a few hundred in the 80s. Most of the areas served by LCWD enjoy 24-hours daily round-the-clock water supply. Incidentally, LCWD charges one of the lowest water rates in the Bicol region and the country for that matter at a P115.00 minimum per month.

Last year, LCWD registered an operating ratio of 0.46 with a total income of more than P80 million and total expense of just P37 million. It also collected 95 percent of its total water billing with an actual collection of more than P75 million for the year. In terms of revenue water it billed more than 73 percent of its total water production of 5.8 million cubic meters. In terms of maintaining the safety and potability of its water supply, LCWD also conducted monthly water quality tests to assure that the supply comply with the Philippine National Standard for Drinking Water Supply.

With just 65 regular employees including GM Raul Chua, LCWD also maintains one of the highest employee-to-connectors ratio of 1:151, well above the industry average of 1:120.

Apart from the outstanding water district nominations and awards it has garnered through the last few years, LCWD for three consecutive years from 2001-2003, has been recognized by the Civil Service Commission for its outstanding performance in the field of personnel management and administration.

Assisting GM Chua are the water district's four division managers handling the administrative, commercial, financial and technical operations namely Ma. Lourdes B. Bien, Ave Florinda A. Buban, Delia A.Lorenzana and Juan B.Villar. Providing policy-making and overall guidance is the LCWD Board of Directors chaired by architect Ranulfo Imperial and composed of engineer Jose S. Reyes (Vice Chair), Mrs. Esperanza T. Ojano (Secretary) and Mrs. Elsie S. Inocando and Mr. Pedro L. Acuna (Members).