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Delfland The Hague - Netherlands

The first public-private partnership for wastewater treatment in the Netherlands.

Challenge

The Delfland Water Board decided to bring its wastewater system up to standards. For this purpose, it entrusted its wastewater treatment to the Delfluent consortium for The Hague region (1.7 million inhabitants) in 2003.
This was the first public-private partnership (PPP) for wastewater collection in the Netherlands, one of the largest systems in Europe.
Delfland launched a call for tenders with the objective of a 10% cost savings on the contract following initial quantification of public management.

Objectives

A global project

Design, construction, financing and operation of a new wastewater treatment plant in Harnaschpolder (1.3 million h/eq) and modernization of the existing plant in Houtrust (0.4 million h/eq).

High environmental standards

  • Energy independence thanks to the landfill gas produced by the sludge processors;
  • Efficient purification yield: 1 mg/l for phosphorous and 10 mg/l for nitrogen;
  • Significant improvement in the quality of Dutch seawater in the North Sea.
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Veolia Water's solution

A successful public-private partnership

All the know-how necessary assembled within a consortium of private companies led by Veolia Water (40%), Evides, a Dutch water distribution company (40%), Rabobank, a cooperative national bank (10%), and two local construction companies, Heijmans and Strukton (5% each).

Minimal impact on the municipality's budget

  • The PPP provided Delfland with global savings of 17% over the 30 years of the contract (beyond the 10,5% set by the Water Board during the call for tenders).
  • Private financing was recruited (90% project financing from banks, including the European Investment Bank).
  • Qualitative objectives secured by no-claims bonus mechanism based on performance.

Environmental performance

  • Auto-production of 35% of energy via the landfill gas generated by sludge.
  • Landscape integration of the new wastewater treatment plant (creation of a green zone) following consultation with local residents.
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