Veolia Water was awarded the contract under a public private partnership to manage the water services for ChangZhou, a fast-growing city of 1.2 million inhabitants located in the JiangSu Province about 100 kilometers from Shanghai. Total revenues under this 30-year contract, awarded after an international call for tender, amount to more than 800 million euros over the period.
Under the terms of the contract, Veolia Water has formed a partnership with the Hong Kong-based group, Citic Pacific, to acquire a 49% stake in the municipal company, ChangZhou Tap Water Group. The city of ChangZhou will retain the remaining 51%.
Veolia Water will be responsible for managing these companies, including 850 employees and five plants, whose brief is to produce and distribute drinking water. It will also be in charge of managing customer service.
“The contract to serve the city of ChangZhou is the sixteenth awarded to Veolia Water in China following on from those recently signed with Urumqi and Handan. It will significantly strengthen our presence in China, particularly in the Shanghai region, where we already provide the full range of water services in Pudong. This new partnership highlights the success of Veolia Water's teams in forging a trust-based relationship with the Chinese authorities. The strong performance and quality of service delivered on contracts awarded over the last eight years have also been key factors,” said Antoine Frérot, CEO of Veolia Water.
Source: Veolia Water
