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PSIC 2019 · Sub-class
36000

Water collection, treatment and supply

Capped at 40%

This subclass covers the activities related to the collection, treatment, and distribution of water for both domestic and industrial use. It includes various methods of sourcing and supplying water, as well as the operation of irrigation canals.

Includes

  • Collection of water from rivers, lakes, wells, etc.
  • Collection of rain water
  • Purification of water for supply purposes
  • Treatment of water for industrial and other purposes
  • Distribution of water through mains, by trucks or other means
  • Desalting of sea or ground water to produce water as the principal product
  • Operation of irrigation canals

Excludes

  • Operation of irrigation equipment for agricultural purposes 0151
  • Treatment of wastewater in order to prevent pollution 3700
  • (Long distance) transport of water via pipelines 4940

Foreign ownership

Capped at 40%Applies to part of this class

Foreign equity in this activity is capped at 40% under the Negative List. A local corporation with structured local control is the usual route to the local market.

Legal basis: FINL A.18 · Section 11, Article XII of the Constitution; Section 13 of CA No. 146, as amended by Section 4 of RA No. 11659; Section 2(a), 2(b) and 2(m) of RA No. 7718

Your exact activity may fall inside or outside this restriction. Confirm the classification with Emerhub before you rely on it.

Recommended route

Local corporation, structured control

Foreign equity up to 40%, with a structured local-control arrangement

Joint venture

A Filipino partner holds the balance above the 40% ceiling

Entity types

Which structure fits depends on your goal. Rows that suit this activity are highlighted. Open a row for the full detail.

Structure100% foreignSell locallyNo PH partnerNo capital floorNo entityMin. capital
Domestic corporationUSD 200k
One Person CorporationUSD 200k
Branch officeUSD 200k
Representative officeFitsUSD 30k
Local corporation, minority foreignFitsLower / none
Employer of RecordFitsNone
Product holdingFitsNone

Registration path

  1. 1

    SEC

    Incorporate the entity

  2. 2

    BIR

    Tax registration and books

  3. 3

    LGU

    Barangay clearance and Mayor’s permit

  4. 4

    Regulator

    Sector license, if the activity needs one

Emerhub files each step with the government; you provide the documents and information.

Minimum paid-up capital

SituationUSDPHP
Domestic-market enterprise (>40% foreign)Paid-up capital for foreign equity above 40% serving the local market. Legal basis: FIA (RA 7042 as amended).$200,000≈ ₱11.4M
Reduced thresholdAt least 50 direct employees, or advanced technology. Legal basis: FIA (RA 7042 as amended).$100,000≈ ₱5.7M
Export enterpriseExports at least 60% of output. Legal basis: Corporation Code (RA 11232).≈ $88₱5,000
Retail trade enterpriseMinimum paid-up capital for foreign retail. Legal basis: RA 11595.≈ $439k₱25,000,000

Bold is the figure the law sets; the other column is an approximate conversion at ₱57 to USD 1.