By Mariela Angella Oladive
Iloilo City residents are now facing a 100 percent increase in garbage fees as the local government addresses the escalating costs of managing solid waste.
General Services Office (GSO) head Engr. Neil Ravena said the adjustment that took effect in January was necessary to cover the costs associated with street sweeping, garbage collection, and landfill operations.
A Cost-of-Service Analysis (COSA) conducted by the United States Agency for International Development (USAID) revealed a substantial gap between revenue generated from garbage fees and the actual expenses incurred by the city government.
In 2022, while Iloilo City collected PHP55.92 million from garbage fees, the expenditure on solid waste management exceeded PHP365.65 million, resulting in an 84 percent subsidy.
Similarly, in 2021, with PHP55.8 million collected against expenses surpassing PHP332.8 million, the local government subsidized approximately 82 percent of the costs.
Ravena underscored the urgency of the fee adjustment, citing the significant disparity between expenses and revenue.
“We computed the expenses of the city in the collection and disposal of garbage compared with our collection. There is a big difference, so we have to adjust,” he explained.
The decision to increase garbage fees also considers the findings of the 2021 Waste Analysis and Characterization Study, which reported that Iloilo City generates a substantial 496 tons of waste daily.
Notably, the city government had not revised its garbage fee rate for 16 years prior to the recent hike, further exacerbating the financial strain on municipal resources. (With reports from PNA)
