A Water User Fee for Households in Metro Manila, Philippines

This study provides an assessment of whether residents in Metro Manila would be willing to pay a fee for the protection and conservation of the four main watershed areas that provide them with water. It also investigates how such a 'water user fee' would best be organized and implemented and suggests a potential mechanism for its management. The research was done in response to the growing water supply problem in the Philippines. This problem is partly caused by the environmental destruction of watershed areas, which in turn is exacerbated by a lack of finance for watershed management. The report finds that a majority of residents would be willing to pay such a fee. It shows that this is due to a general desire for both a regular and sustainable water supply and for the conservation of the watersheds themselves. The study also finds that most people questioned would prefer the fee to be added to their water bills and would be happiest if the money was channeled into a special fund earmarked for watershed conservation - not merely absorbed by central government, which many do not trust. The study therefore recommends that such a fee be introduced and concludes that if it is put in place, it should go a long way towards ensuring a sustainable supply of water for Metro Manila.