2005 - 2006 - Pinsent Masons Water Yearbook 2012

PART 1: 2005-2006 OVERVIEW
Company Country Vendor IPO Current status
Lydec Morocco Private 2005 N/A
[2] Published data on service extension subsequent to the contract award
Examples of service extension identified include Metro Manila (water service extension by both
concessions), Aguas Argentinas (water and sewerage extension), EMOS (water extension to
marginal areas), Aquafin (extending sewerage in the Flanders region of Belgium) and various
contracts in Brazil, Malaysia and so on. In many cases the service extension seen to date is a
partial picture.
[3] The long established markets
There were six markets with an extensive private sector presence it the start of 1987: the USA
(mainly regulated activities, rather than the non-regulated O&M outsourcing contracts that have
become a feature of the past decade); France (the private sector share has advanced from 72%
in 1987 to 79% by 2004); Italy (11% of the market served by the private sector and semi-private
companies in 1987); Spain (the private sector share has advanced from 35% in 1987 to 46% by
2004); Germany (Gelsenwasser and some local companies holding approximately 8% of the
market through long term contracts) and; England & Wales (there were 29 Statutory Water
Companies serving 14 million people in 1987).
Country Comments Million
people
England & Wales SWCs in operation in 1987 13.8
USA Non-regulated activities 35.7
USA Regulated activities 22.8
Germany PSP since 1887 5.2
Italy Mainly pre ATO contracts 6.5
Spain PSP since 1867 22.0
France PSP since 1853 45.5
Total 151.5
To count as private sector participation, contracts have to be of at least five years in duration
and either a formally established O&M contract, a concessional contract or an outright asset
privatisation. In this context, national private water service companies are defined as legal
entities that have signed a formal contract with the relevant municipal or state authorities for the
provision of water or wastewater services. In order to distinguish between such contracts and
formal or quasi legal contracts drawn up with small local entities, these contracts also cover at
least 10,000 people. Contracts for industrial water services or for developing industrial zones
are excluded.
A global figure
Contract type Million people
Contract awards 392.5
Contract service extension 9.6
Population growth & urbanisation 9.0
Incumbent markets 151.5
Global total 562.6
In 2003, we identified 485 million people being served by the private sector, rising to 545 million
in 2004, the increase beinmg partly due to identifying other contracts and companies, a revised
estimate of the coverage in the ‘traditional’ markets and more extensive information about
contract service extension. The somewhat more modest increase to 563 million in 2005 reflects
newly identified contract losses of 1.1 million in 2003 and 5.3 million in 2004, further contract
losses in 2005 and some other African contracts that did not enter into operation.
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Pinsent Masons Water Yearbook 2005-2006