The option presented here is the BOT, where the private proponent will build the facility, operate it, collect revenues and transfer it back to the LGU after an agreed upon period of 20 years.
Revenues are generated from water sales, connection fees and deposits which concessionaires are required to put up when applying for interconnection. The interconnection fee is pegged at P1,000 for both domestic and commercial clients. The deposit fee is a one-time fee of P1,000 for domestic users and P4,000 for commercial users. The project revenues and operating and maintenance expenses are presented in the income and cashflow statements. Payment of real property taxes on improvements is the proponent's responsibility.