Veolia Water, the Water Division of Veolia Environnement, has just been awarded a major contract to supply water services by the Hradec Kralove water company, the public water authority of Eastern Bohemia (Czech Republic). This contract covers water production and distribution, customer relations, as well as wastewater collection and treatment. The 30-year contract will generate revenue totaling more than €525 million over the total period.
The operating company, a subsidiary of Veolia Water, will serve a population of around 150,000 people in Eastern Bohemia spread across 100 municipalities, including Hradec Kralove, the regional capital with a population of 100,000. The water company has 285 employees.
Veolia Water, the leader in the Czech municipal and industrial water services market, will now provide water and wastewater services to 4.2 million people, generating annual revenue of over €350 million and employing over 6,300 people.
In addition, Veolia Water, through its SPEP local subsidiary, recently signed a contract with Vodokanal, the St Petersburg water company, to manage the drinking water production plant in the southern part of the city as part of a partnership for the next five years.
With a daily capacity of 1.2 million m3, this drinking water plant is one of the largest in Europe. It serves around two million people on the left bank of the city and employs 140 staff.
Veolia Water has been established in St Petersburg for over 10 years through SPEP (Société Eau Pure), a company jointly owned by Compagnie Générale des Eaux (51%), Vodokanal (48%) and the St Petersburg municipal authorities (1%).
Under this new partnership agreement with Vodokanal and the St Petersburg municipal authorities, SPEP is expanding the scope of its activities, which currently encompass leak detection, meter management and water quality improvements.
"These two new contracts in Central Europe provide fresh evidence of Veolia Water's ability to find the most suitable contractual frameworks to meet the expectations of municipal authorities. They also strengthen its leadership position in these fast-growing markets. Veolia Water's know-how in delivering an integrated range of water services and in raising the performance of the water plants that it runs helps to enhance the quality of water distributed to consumers" said Antoine Frérot, Chief Executive Officer of Veolia Water.