Europe's First Major Public-Private Partnership Marks One Year of Successful Operation

May 26, 2006

Coast to Coast Water, Ltd. (C2C Services), a joint venture of Severn Trent and Costain, has been successfully operating and maintaining water and wastewater assets on approximately 1,500 key Ministry of Defense (MOD) sites across England for more than a year. The $1.9 billion, 25-year contract, known as Project Aquatrine Package C, is the first major public-private partnership in the European water sector in which water and wastewater services are provided for a diverse and widely dispersed area outside of the regulated water industry.

Since March 30, 2005, the transfer of responsibility for the maintenance and operation of the MOD’s water and wastewater assets to the private sector has allowed the MOD to concentrate on its core defense activities. C2C Services has maintained the water supply to all MOD sites, managed key supply chain partner relationships and installed water and wastewater assets.

Key achievements made by C2C Services over the last 12 months include reducing water leakage equivalent to more than 90 Olympic swimming pools, clearing more than 4,000 sewer obstructions, and improving the overall health and safety at more than 100 MOD sites.

Severn Trent and Costain established C2C Services to deliver the Package C service, but also for its significant potential for growth within the non-regulated part of the water sector. The joint venture has developed a full range of water sector capabilities that can be offered to companies and governmental agencies across the U.K., particularly in operation and maintenance, asset management and utility management.

Severn Trent is a leading international environmental services company and is the majority partner in the C2C Services joint venture. The company is a leader in the public-private arena, operating facilities under agreements with municipalities at 600 locations throughout the U.S. Costain is an international engineering and construction group that provides asset management within the water sector.

Source: Severn Trent Services

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