prepared by R. Baffrey*, J. Mendoza** and A. Adis** *Wastewater Operations Department, Manila Water Company, Inc., MWSS-Admin Bldg., Katipunan Road, 1105 Balara, Quezon City, Philippines (E-mail: robert.baffrey@manilawater.com) **UP Sewage Treatment Plant, Arboretum Drive, Quezon City, Philippines (E-mail: jhoanna.mendoza@manilawater.com) **East Ave. Sewage Treatment plant, East Ave., Central, Quezon City, Philippines for Decentralized Wastewater Treatment Systems (DEWATS) for Urban Environments in Asia, 25-28 May 2011, Manila, Philippines. organized by International Water Association (IWA).

1. Challenges of Provision of Sewerage Service in the East Zone of
Metro Manila
R. Baffrey*, J. Mendoza** and A. Adis**
*Wastewater Operations Department, Manila Water Company, Inc., MWSS-Admin Bldg., Katipunan Road, 1105
Balara, Quezon City, Philippines
(E-mail: robert.baffrey@manilawater.com)
**UP Sewage Treatment Plant, Arboretum Drive, Quezon City, Philippines
(E-mail: jhoanna.mendoza@manilawater.com)
**East Ave. Sewage Treatment plant, East Ave., Central, Quezon City, Philippines
(E-mail: aprille.adis@manilawater.com)
Abstract
Urban sanitation is one of the most serious challenges facing the Philippines, particularly in Metro
Manila. In 1997, Manila Water, a private consortium, obtained the exclusive rights to provide
water and wastewater services to the East Zone of Metro Manila. This was through a 25-year
Concession Agreement with the Metropolitan Waterworks and Sewerage System (MWSS).
Before privatization, sewer coverage in the East Zone was at a low of 3%. This corresponds to the
Makati Sewerage System and Communal Septic Tanks (CSTs) in Quezon City, which provide
secondary and primary treatment respectively. Likewise, capacity for sanitation services was
inadequate. Only one desludging truck was available with no facility for appropriate septage
disposal and treatment.
Fourteen years since the start of the concession, Manila Water now operates 38 treatment facilities
and over 78 desludging trucks to provide sewerage and sanitation services in the East Zone. These
treatment facilities have a total capacity to treat 135 million liters of wastewater per day. Included
in these facilities are 2 septage treatment plants that have served 852,848 households.
Manila Water has achieved these through the following integrated strategies a.) Upgrade of
Communal Septic Tanks, b.) Septage Management and c.) Pilot-testing of Combined Systems.
These strategies, which include technical and non-technical components, allowed Manila Water to
provide a solution to the growing problem of domestic pollution discharge to major river systems.
More importantly, this paper aims to discuss the challenges encountered by Manila Water all
throughout project planning and implementation, citing specific examples and lessons learned.
These challenges include land availability, stakeholder endorsement, cooperation with government
agencies, social acceptability and operational challenges.
Keywords
Sewerage, Sanitation, Manila Water Company, East Zone
INTRODUCTION
Background
Population influx and unregulated industrial development promoted rapid environmental
degradation in Metro Manila. Major water bodies such as the Marikina, San Juan, and Pasig Rivers
are biologically dead from indiscriminate discharge of untreated wastewater. The Manila Bay and
Laguna Lake are also in serious worsening condition.
The amount of biochemical oxygen demand (BOD) discharged to the water environment of Metro
Manila has been estimated by World Bank to be 330,000 tons per year. Domestic waste generated
accounts for 58% of this BOD loading, and the remaining 42% was from industries. This condition
of urban sanitation in Metro Manila is reflective of the lack of prioritization of investment in the

2. water and sanitation sector. In 1997, the existing sewerage facilities were confined to some areas in
the city of Manila and parts of Makati only. Most households utilize their own septic tanks or
communal septic tanks (CSTs) while those who live in slum areas rely on rudimentary latrines,
some even without proper toilet facilities.
The Metropolitan Waterworks and Sewerage System (MWSS) is the agency with a direct mandate
on sewerage and sanitation. Its concession agreements with Manila Water Company, Inc. (Manila
Water) and Maynilad Water Services, Inc. include specific commitments on the provision and
expansion of sewerage and sanitation services in Metro Manila. Sewerage refers to a pipe collection
network for sewage and the treatment of the collected sewage in a sewage treatment plant (STP).
Sanitation, on the other hand, refers to the emptying of domestic septic tanks and subsequent
septage/sludge treatment and disposal.
In response to government calls for the acceleration of the provision of sewerage services, Manila
Water, the concessionaire for the East Zone of the MWSS service area, has intensified its efforts by
embarking on major sewerage and sanitation projects. Instead of proceeding with the conventional
approach of centralized sewerage systems, Manila Water employed a different strategy. The
concessionaire adopted an innovative approach, a master plan that first focused on a phased process
of converting the common technology of CSTs into community-based, decentralized treatment
plants before eventually focusing on larger combined sewer-drainage systems. Major upgrades on
the community-based treatment plants have been completed. For the rest of its coverage area,
Manila Water embarked on modernizing its fleet of desludging trucks and enhancing septage
treatment capacity to maintain efficiency of septic tanks in areas that have yet to be connected to
sewer networks. Manila Water’s proactive approach to the challenge of providing sewerage and
sanitation services was effective as it resulted in significant increase in the number of beneficiaries
served.
Rationale
Wastewater management presents even greater challenges compared to supplying clean, safe tap
water. Due to space constraints and the sheer cost of the wastewater infrastructure required,
accelerated implementation of centralized sewer networks in Metro Manila is a near impossible
task.
Innovative and unconventional solutions were needed to address the sewerage and sanitation needs
of Manila Water's concession area. Some methods of tackling the issue included transforming CSTs
into compact or decentralized STPs. The CSTs were outfitted with equipment for primary and
secondary treatment to treat in-coming wastewater before releasing it to rivers and streams. Manila
Water has successfully implemented this decentralized approach through the World Bank-funded
Manila Second Sewerage Project (MSSP) and constructed 26 new package STPs between 2002 and
2005. This focus on transforming CSTs into decentralized treatment plants was primarily due to
Manila Water’s decision to identify projects anticipated to deliver the most immediate impact and
tangible results in the provision of sewerage services in the East Zone. Through this, Manila Water
doubled its sewage treatment capacity, and benefitted more than half a million people by 2005.
Moreover, the company increased removal efficiency of existing septic tanks through provision of
regular desludging, septage treatment and disposal.
Through an on-going follow up project called the Manila Third Sewerage Project (MTSP),
upgrading of existing CSTs to STPs was continued. However, to further accelerate expansion of
sewerage services, this approach was implemented with the new combined sewer-drainage system.
The conceptualization of the MTSP components took into account the limitations and lessons
learned from implementing past projects under the MSSP. Understanding the considerations of the
strategies presented above will be critical in providing examples of successful project application
and lessons learned in implementation. These will serve as bases for establishing sound solution
approaches to the growing problem of domestic pollution and assist in the development of a more
comprehensive forward-looking wastewater management plan.

3. Objectives
The following are the objectives of this paper:
1. To discuss strategies and best practices in establishing an immediate improvement of sewerage
and sanitation services in the East Zone of Metro Manila;
2. To discuss key issues which limit the efficient implementation of sewerage and sanitation
projects;
3. To present how past project experience led to the development of a long-term sewerage
expansion plans and programs in the East Zone that are intended to address the increasing pollution
discharge to Metro Manila’s river systems.
MANILA WATER’S STRATEGY
1997 Situation
At the start of Manila Water’s concession in 1997, there were only two sewage treatment facilities.
This included the Makati South STP, with a capacity of 40 million liters per day (MLD) serving the
Makati Central Business District and surrounding residential communities. The second treatment
facility is the package treatment plant located in Karangalan Village in Pasig City, which had a
capacity of only 0.1 MLD. In addition, there were a total of 34 CSTs in Quezon City providing
only primary treatment to 17,000 households. It is worthwhile to note that all facilities were in
various states of disrepair and required significant infrastructure improvements for upgrade to
international standards. These facilities served a total of only 40,000 households which is only 3%
of the total East Zone population. Aside from this minimal sewerage service, the sanitation was
inadequate as well. There was only 1 vacuum tanker transferred to Manila Water and no facility was
available for appropriate disposal and treatment of septage.
Figure 1. Sewerage Coverage in MWSS Area before 1997 (*Note: Items 3
and 4 are the old sewerage systems located in the East Zone, which was
turned over to Manila Water upon privatization)
Accomplishments
Based on previous sewerage master plans of MWSS, the initial technical solution for Manila Water
to meet the original sewerage target was to put up centralized sewerage systems. But due to time
constraints and the magnitude of the work needed, Manila Water deemed it to be unworkable for
the East Zone in the short term. The construction required would have included massive road
excavations and a land area of 47 hectares, both of which were clearly not feasible at that time. In
addition to this, there was the issue of customers’ unwillingness to pay an additional PhP 10/cubic
meter increase in water tariffs to recover the extremely high capital investment cost. This excludes

4. the sewer charge of customers in sewered areas that will amount to almost 50% of their water bill.
As a result, Manila Water put forward a strategy that was both technically feasible and affordable to
customers. Initially, this strategy was anchored upon decentralized sewerage systems and a massive
sanitation service program. By upgrading first existing CSTs to STPs, population coverage was
maximized at an efficient cost and with minimal disruption. In addition to this, an extensive
sanitation program relying on the provision of regular septic tank maintenance or desludging was
implemented to cater to non-sewered areas. To further expand sewer service coverage, Manila
Water is now piloting combined sewer-drainage systems.
Upgrade of CSTs. At the onset, the CSTs turned over to Manila Water did not operate efficiently,
desludging was infrequent and in some cases the tank access manholes were covered and built over
with housing structures. The operation and maintenance of the CST’s was hampered further by
accessibility problems due to ownership issues. This led to the takeover and proliferation of
informal settlers and/or claimants to the land occupied by these facilities.
The presence of the informal settlers on the CST sites posed a serious threat to the health of these
residents. Moreover, without regular desludging, these facilities were rendered useless in the
primary treatment of sewage. Eventually, when the sludge accumulation reached the maximum
level, wastewater enters and leaves the CST with no treatment at all, thus polluting the waterways
receiving the effluent.
The immediate need to address these issues was also one of the key considerations in the upgrade of
CSTs. Implementation of this initiative was made possible in resolving the ownership issues
amongst the National Housing Authority (NHA), local government units (LGUs), MWSS and
Manila Water.
Project Development and Implementation. The MSSP was a World Bank loan amounting to $36.1
M provided in 1996 to MWSS. A key component of the MSSP focused on the rehabilitation and
upgrade of existing sewerage systems including the Makati South STP and strengthening of the
capacity for sewer maintenance. Crucial changes in the MSSP Loan Agreement paved the way for
the inclusion of the MSSP Community Sanitation Projects, a component dedicated to the upgrade of
CSTs into localized and decentralized STPs. Existing communal septic tanks were advantageous
because they allowed for the utilization of pre-existing MWSS assets and minimal sewer pipe
laying.
By early 2002, Manila Water conducted consultations with several densely populated communities
having CSTs. The consultations were held to assess public interest of the different communities on
having package treatment plants. Subsequently, by the end of 2005, 28 STPs were operational.
Manila Water’s sewage treatment capacity then grew from 40 MLD to 80 MLD. In addition, sewer
coverage also rose to 10% in 2005 compared to the 3% in 1997.

5. Figure 2. Sewerage Coverage upon completion of
CST Upgrade under MSSP
Following the success of MSSP, Manila Water implemented the MTSP in 2005 aided by a $64 M
loan from World Bank. Through the MTSP, Manila Water embarked on larger systems using the
same decentralized approach. Some existing CSTs were converted to sewage pumping stations that
transported collected sewage to a centrally-located CST which, in turn, was transformed into a
mini-regional STP. Such an example is the East Avenue STP located near the National Ecology
Center, which treats flows discharging to the old Rimas, Anonas, Mapagmahal and East Avenue
CSTs.
By 2011, there are already a total of 38 treatment facilities including two septage treatment plants
(SpTPs), totalling to a treatment capacity of 135 MLD
Operations Performance. Most of the CSTs turned over by MWSS are now operating activated
sludge STPs. For the compliance performance assessment of these facilities, external monitoring is
done by the Department of Environment and Natural Resources (DENR) and its sub-agency,
Laguna Lake Development Authority (LLDA), while a more stringent internal monitoring system is
also in place.
Despite some initial operational challenges, Manila Water’s wastewater facilities remained
compliant with DENR/LLDA standards for wastewater effluent. Similarly, regulatory requirements
of the MWSS Regulatory Office in terms of wastewater treatment have also been consistently
complied with. Manila Water also initiated an Integrated Management System consistent with
OHSAS 18001 and ISO 14001 for pilot STPs to demonstrate its drive for environmental, health and
safety excellence.

6. Figure 3. Manila Water bagged 12 awards, the most number given
to any company at the 2010 LLDA Public Disclosure Program and
Awarding Ceremonies of Industries’ Environmental Performance
These efforts to improve and expand wastewater services in the East Zone of Metro Manila are
aligned with the Philippine Clean Water Act’s (CWA) objectives of protecting our water resources
from further degradation. In fact, in 2010, the Company effectively removed 2,735 tons of BOD,
which would have otherwise added to the pollution of Metro Manila’s water bodies.
Septage Management. Aside from the sewerage strategy, there is also the sanitation program. This
sanitation program revolves around the concept of septage management. Septic tanks provide
primary treatment by reducing the solid content of the discharge. Though primary treatment is done,
the effluent is still not in compliance with DENR standards. This primary treatment capability of
septic tanks is further reduced if regular maintenance is not performed. Thus, Manila Water devised
a strategy to maintain household septic tanks through septage management. This service is mainly
catered to households that are not connected to a sewage treatment plant.
Septage management is accomplished through the desludging of septic tanks by vacuum tankers
every 5-7 years. This desludging program is carried out in coordination with barangays to facilitate
efficient service to Manila Water customers (Sustainability Report 2008).
Figure 4. Septic Tank Emptying and Septage Management
Presently, there are over 78 Manila Water desludging trucks compared to the inherited 1 vacuum
tanker in 1997. These desludging tankers transport household septage to the 2 septage treatment
facilities, FTI and San Mateo SpTPs. Both facilities were completed in 2007 through the MTSP.
These two facilities are the biggest in the region in terms of treatment capacity having treated
septage from a massive 852,848 households in the East Zone of Metro Manila.

7. 900,000 852,848
826,870
800,000
700,000
Number of Households
600,000 584,844
500,000
400,000
300,000 293,375
200,000
105,109
100,000
0
2007 2008 2009 2010 2011
Year
Figure 5. Cumulative number of households desludged
Pilot-testing of Combined Systems. Currently, under the MSTP, Manila Water is implementing a
third strategy in sewage management and this is the Combined Sewer-Drainage System. This
system will capture the wastewater coming from existing drainage systems, thereby minimizing the
laying of large sewer pipes (Sustainability Report 2008).
Figure 6. Combined Sewer-Drainage System
In 2009, 2 pilot combined sewer-drainage treatment plants were completed: Pineda STP and
Olandes STP, having capacities of 4 MLD and 10 MLD, respectively. Lessons learned from the
development of these two systems will be utilized to refine and optimize future implementation of
combined sewer-drainage systems. As pilot systems, both facilities experienced early operational
issues. Design modification and innovations arrested these issues. In fact, Olandes STP received
global recognition from the International Water Association’s 2010 Asia Pacific Regional Project
Innovation Award with an Honor Award for Small Projects because of its state-of-the-art design.
Since Olandes STP is located in a flood-prone area, the STP was designed accordingly.

8. Figure 7. Olandes Sewage Treatment Plant
The upgrade of CSTs and pilot of combined systems implemented under MSSP and MTSP
respectively are only initial steps towards the company’s long term goal of more widespread sewer
coverage. Manila Water plans to embark on covering 100% of the expansive catchment areas of the
Marikina, San Juan and Pasig Rivers using combined sewer-drainage systems. In coordination
with MWSS, the company is working on the approval of this master plan. Through this approach,
Manila Water intends to achieve a successful river rehabilitation model that can be emulated in
other similar regions (Sustainability Report, 2007).
Ultimately, the entire service area is still planned to have 100% sewer coverage in terms of actual
connection to sewer systems. Given the fact that separate conventional sewer systems is still the
best sustainable solution in terms of wastewater management, Manila Water will work towards the
phased installation of sewer lines and eventual conversion of combined sewer-drainage systems into
separate systems.
Figure 8. Sewerage Expansion Plan for the East Zone
CHALLENGES
In the fourteen years since the start of the Concession Agreement, Manila Water’s provision of
sewerage and sanitation services in the East Zone encountered numerous challenges, summarized
into 5 major categories: a.) Land Availability, b.) Stakeholder Endorsement, c.) Cooperation with

9. Government Agencies, d.) Social Acceptability and lastly e.) Operational Challenges.
Land Availability
Land availability is one of the major challenges in building treatment facilities. Treatment plants
and lift stations require large areas of land. Unfortunately, Metro Manila is the most populated
metropolis in the country. Large available open spaces are scarce, and what minimal available land
is typically inhabited by informal settlers. Also, identified sites are typically unavailable due to
prioritization of residential and commercial developments.
Depending upon the exact location, the cost for land could take up a large percentage of the total
project cost. Land acquisition henceforth is difficult due to both the access to large available land
and the financial implications of purchasing the identified land.
Consequently, the ideal model is to acquire land through donation from government units and
agencies. Consistent with this approach, the Clean Water Act states that local government units are
mandated to allocate land for wastewater facilities. In this regard, the assistance of the national
government and local government agencies is a critical factor in acquiring land. Usufruct
agreements were successful in gaining new land for current projects; hence, are a continuing
strategy being pursued to acquire adequate land for future projects as well.
Stakeholder Endorsement
Endorsement from respective communities and local government units (LGUs) is a key factor in
either the success or failure of a project. Public consultations were conducted during the project
development wherein all involved parties were invited, especially the residents of the community.
When endorsement is obtained from these stakeholders, procuring permits and right-of-way grants
for the treatment facility’s construction and operations is made more efficient. Subsequently, the
risk of delays due to resident complaints can be minimized.
Alternatively, without proper endorsement, project implementation deadlines may not be met. Other
risks include frequent changes in local government administration, miscommunication between
stakeholders regarding project objectives and the general negative perception of wastewater
facilities.
Cooperation with Government Agencies
Another challenge encountered is the cooperation of different agencies. In the Clean Water Act,
there are 3 national agencies that are mandated to have direct involvement in sewer management
and these are: a.) DENR, b.) Department of Health (DOH) and c.) Department of Public Works and
Highways (DPWH). With the use of the Combined Sewer-Drainage Systems, close coordination
with LGUs, DPWH and the Metro Manila Development Authority (MMDA) is vital.
Solid waste easily clogs sewer networks and drainage systems. Subsequently, solid waste also
accumulates quickly in STPs and poses operational concerns. Since LGUs have the greatest impact
on solid waste management, close coordination with these entities, combined with public awareness
campaigns on proper waste disposal, need to be accomplished.
Aside from LGUs, other agencies closely coordinated with include NHA, Bases Conversion
Development Authority (BCDA), Housing and Urban Development Coordinating Council
(HUDCC) and the Home Guaranty Corporation (HGC). The housing agencies’ capability to allot
land for future partnerships is vital for existing and future projects on wastewater services to push
through. For instance, 9 package treatment plants located in Karangalan Village in Cainta, Rizal and
Pasig City were completed through the partnership with NHA. Memoranda of Agreement (MOA)
with NHA were executed for easements on the parcels of land owned by the said agency to install
the decentralized STPs. These treatment plants were commissioned and have been operational
since 2005.
Social Acceptability

10. According to the Concession Agreement, all investment cost for service improvement projects will
be recovered through tariff using rate rebasing exercises. The tariff is composed of the basic water
tariff with an additional sewer charge for customers in sewered areas. The issue on social
acceptability arises from the unwillingness of customers to pay for additional fees for better
sewerage and sanitation service. This stems from an apparent lack of awareness regarding the
benefits of these services to human health and the environment.
In relation to this, affordability studies indicate that average incremental cost for sewerage is too
high compared to what the customers are willing to pay. Therefore, in order to provide these
services a comprehensive tariff structure needs to be applied that combines potable water delivery
with adequate wastewater treatment and disposal. This is justified by the end benefits of the project,
which is shared by all and not just the community served by the treatment facility. This approach
allows more expedient project implementation to address the pollution of the rivers.
In addition to appropriate tariff setting, initiatives must be applied to further educate customers on
the need for sewerage and sanitation services. For instance, Manila Water has institutionalized a
Water Trail Program referred to as “LAKBAYAN” where students, guests and representatives from
LGUs and non-government organizations partake in an information awareness campaign on the
treatment of water and wastewater. In 2010, Manila Water conducted Lakbayan tours and plant
visits were 3000 stakeholders participated.
Operational Challenges
Due to the limited number of facilities and infrastructure at the onset of wastewater operations in
1997, there was consequently a lack of personnel with extensive experience in wastewater
management. To address this need, Manila Water employed a cross-functional training program to
assimilate international practices and enhance institutional expertise.
On-site operational personnel were given the tools and training to become the ultimate custodians of
their assigned facilities. These personnel with no previous background on sewerage services and
limited technical knowledge have developed into capable wastewater treatment plant operators.
Among the skills developed are basic wastewater characterization and analysis, process
troubleshooting and the implementation of innovative techniques to increase operational efficiency.
Several of these personnel have been consistently nominated and at several instances won the
Huwarang Manggagawa (Model Employee) Award, the highest recognition given to a staff-level
employee of Manila Water. This strategy has been a cornerstone of Manila Water’s wastewater
operations.
Figure 9. Winners of Huwarang Manggagawa (Model Employee)
Award: Alberto Ramirez (4th from L to R) and Ernesto Labanza
(5th from L to R) are operators from the Wastewater Department

11. Apart from limited operational expertise, other initial difficulties encountered were limited land
allocations, network control, utilization of STPs, rigidity of operation and monitoring. These
difficulties were addressed via succinct risk-based planning. Testing and commissioning strategies
were continually improved and all parties were immersed throughout project planning and
development.
CONCLUSION
Since 1997, Manila Water has exerted efforts in providing wastewater services in the East Zone of
Metro Manila. All these were accomplished through three main strategies, namely: upgrading
CSTs, septage management and combined sewer-drainage systems. All three strategies were
selected based on maximizing immediate benefits to customers in the most cost-effective and
feasible manner.
Throughout project development, major factors have been identified as inhibiting the
implementation of sewerage and sanitation projects. These include a.) land availability, b.)
stakeholder endorsement, c.) cooperation with government agencies, d.) social acceptability and e.)
operational challenges. Challenges were addressed by an integrated approach considering proper
coordination with concerned parties and appropriate consideration of customer needs.
Given the past challenges experienced by Manila Water, it is apparent that the successful provision
of sewerage services can only be accomplished with the full support of government organizations
and the general public. This integrated approach will undoubtedly guarantee a rapid solution to
sustaining our rivers for future generations.
REFERENCES
Manila Water Company Inc. “Sustaining Generations”. 2009 Sustainability Report.
Manila Water Company Inc. 2008 Sustainability Report.
Manila Water Company Inc. 2007 Sustainability Report.
Manila Water Company Inc. Rate Rebasing Report, 2007.
Manila Water Company Inc. Feasibility Study for the Manila Third Sewerage Project. Final Report
by Nippon Jogesuido Sekkei Co., Ltd in association with CEST, INC. and Mott MacDonald Co.,
Ltd, 2004.
Manila Water Company Inc. Regional Environmental Assessment for Manila Third Sewerage
Project.
Manila Water Company Inc. Master Plan Final Report. December, 2004.
Manila Water Company Inc. website. "Manila Water Company: Investor Guide".
http://www.manilawater.com/section.php?section_id=6&category_id=35&article_id=7