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2005 - 2006 - Pinsent Masons Water Yearbook 2012

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FRANCE PART 3 (i): COMPANY ANALYSIS: MAJOR PLAYERS<br />

<strong>2005</strong> Hradec Karlove 30 year concession 150,000 water & sewerage<br />

The contract covers 100,000 people in Hradec Karlove, Eastern Bohemia’s regional capital and<br />

50,000 in 100 other municipalities in the region. The contract will generate revenues of €525 million.<br />

2004 Kladno-Melnik 20 year concession 300,000 water & sewerage<br />

Revenues for the contract will be worth €600 million.<br />

2004 Eastern Moravia 30 year concession 160,000 water & sewerage<br />

In June 2004, Veolia signed a 30 year contract with Vodovbody a Kanalizace Zlin (VAK Zlin), the<br />

water public authority for the Eastern part of Moravia in the Czech Republic. The area includes 80<br />

districts. The contract will generate total revenues of around €360 million.<br />

1996 Pilsen 12 year concession 252,000 water & sewerage<br />

1996 Sokolov 10 year concession 130,000 water & sewerage<br />

1999 Aqua Pibram 10 + 10 year concession 75,000 water & sewerage<br />

1999 V Klatovy 10 year concession 50,000 water & sewerage<br />

1999 3 towns 10 year concession 26,000 water & sewerage<br />

Vodarenska and Kanalizanci A S Pilzen (CTSE) serves the city of Pilsen on a lease with O&M work.<br />

The contract is currently for water provision (230,000 people) plus wastewater (180,000 people), the<br />

latter through a new sewage treatment facility opened in 1997. The contract involves F160 million of<br />

upgrading and building work for a sewage treatment works and F40 million for a water purification<br />

plant. Industrial and domestic customers pay an equal amount for water, and prices are below that<br />

seen in most of the Czech Republic. During 1997, the contract was extended to cover a further<br />

72,000 people in the Northern part of Pilsen. Allied with the sewerage expansion, this boosted 1998<br />

turnover to Kĉ700 million. CTSE was awarded a 10 year concession for Sokolov in 1996. The Aqua<br />

Pibram and Vodosopol Klatovy concessions were acquired by CTSE in December 1999, along with<br />

the privatisation award for the towns of Susice (12,000), Stary Plznec (6,000) and Stod (6,000). In<br />

2000, the Pilsen contract was granted a 10 year extension to 2017, while the Sokolov contract gained<br />

a 16 year extension. The Aqua Pibram concession contract was extended by 10 years in 2003, with<br />

revenues of €4 million per annum.<br />

1998 Northern Bohemia 15 year concession (1995) 1,200,000 water & sewerage<br />

Hyder’s stake was sold for Kĉ795 million (US$26.7 million) to VE, giving the company 43.17% of<br />

Severomoravske Vodovy a Kanalizace Ostrava (ScVK), with Severoceske Vodarensky Svaz (SVS),<br />

formed by the client towns, holding a further 34.7%. Currently, 1.07 million of the inhabitants are<br />

connected to the mains water supply and 0.87 million to the sewerage network. ScVK’s turnover to<br />

March 1999 was Kĉ1.1 billion (€72 million, €25 million per annum to VE), with pre-tax margins of 12%<br />

and profits increasing by more than 10% per annum.<br />

1999 Ceske Budejovice 10 year concession 180,000 water & sewerage<br />

The Ceske contract is operated by 1.JVS. The original concession was granted a 10 year extension in<br />

2000 to 2018, and will generate revenues of €10.2 million per annum.<br />

2000 Olomouc 20 year concession 130,000 water<br />

This concession was awarded to CTSE in March 2000. It is the first PSP contract in the region. Total<br />

net sales for the contract will be €200 million.<br />

2001 Prague 28 year concession 1.2 million water & wastewater<br />

VE and Awg paid €174 million for a 66% stake in PVK. The 13 year concession will generate €60<br />

million in 2001 and €120 million in subsequent years. The contract will concentrate on service quality<br />

improvement and upgrading water and sewage treatment to EU standards. The concession was<br />

extended to 28 years in 2002.<br />

240<br />

<strong>Pinsent</strong> <strong>Masons</strong> <strong>Water</strong> <strong>Yearbook</strong> <strong>2005</strong> – <strong>2006</strong>

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