Canada: Vancouver Awards Water Deal

Metro Vancouver has awarded a Cdn $525-million DB-and-partly-finance contract for a new secondary sewage plant to a group led by Spain’s Acciona Infrastructure. The group, Adapt, will provide construction financing for the Lions Gate Wastewater Treatment Plant. It will get three milestone payments of 30%, 25% and 10% of the DB price, with a final acceptance payment equal to 35% of the price.

Operations and maintenance were excluded from the contact because KPMG, working for the region, concluded that “operating and maintenance cost efficiencies were determined to be very small.” The region runs a number of plants so this one, the replacement for an existing plant, can be easily included in the region’s O&M units.


About Bill Reinhardt

Editor of Public Works Financing newsletter
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