Vol 2, Issue 10 (October 2001)

Analysis

  • A word from the Editor…

    Our main focus this month is on the UK and Europe. A report from the financial firm, Credit Lyonnais Securities echoes the view of many UK market watchers – that the RPI-X model is an unsuitable way of regulating the water industry and planning for long term investments.

General

  • Ashkelon price down to low cost financing

    THE V.I.D. CONSORTIUM that won the bid to build Israel’s largest seawater desalination plant in Ashkelon recently surprised the world’s water business circles by offering the lowest price ever for one cubic metre of desalinated seawater – $0.527 (see GWI, Vol. 2, Issue 9, p.5).

  • Dwr Cymru quizzed over complaints

    OFWAT’S WELSH CUSTOMER SERVICE COMMITTEE has called on Dwr Cymru (Welsh Water) to respond to a 43% increase in written complaints from customers.

  • Hopes fading for Brazil’s draft water law

    There has been little, if any, progress in the passage of the basic sanitation bill (Draft law 4147) through Brazil’s congress.

  • Mott MacDonald to design Barka intake and outfall structures

    OMAN’S MINISTRY OF HOUSING, ELECTRICITY AND WATER has appointed Mott MacDonald to provide consultancy services for the seawater intake and outfall facilities at the new Barka power and desalination plant.

  • Nepalis revive Kathmandu Valley management contract

    The Nepalese government has outlined the procedure and time frame for choosing a private operator to run water supply and sewerage services in the Kathmandu Valley. A private operator will be selected to take over the management of the water utilities within the valley from the Nepal Water Supply Corporation (NWSC).

  • New IWPP for Abu Dhabi

    ABU DHABI’S NEXT IWPP will be a greenfield scheme at Taweelah, east of Abu Dhabi city, rather than a development of the existing Umm Al Nar complex.

  • Ofwat to develop new financial model

    Ofwat has awarded a contract for the development of a new financial model used to set UK water companies’ price limits.

  • RWE and Thames bid for American Water Works

    <b>“By acquiring the world’s number five player we will fortify our position as the third force in the global water market” Dietmar Kuhnt, Chief Executive RWE</b>

  • UK water sector on a path to disaster

    The UK water industry’s regulatory framework based on the RPI-X model has led to falling operational costs and lower prices for customers. It has also facilitated investment in service levels, water quality and the environment. However, as the industry begins its preparations for the next regulatory review in 2005, it is faced with a series of problems rooted in the present regime.

  • Usinor contract for Vivendi

    VIVENDI ENVIRONNEMENT (VE) has won a contract for the provision of industrial services to the French steel group, Usinor, at its new Brazilian cold-rolling plant.

Companies

  • AWG: a climb-down on restructuring

    AWG has admitted defeat in its plan to split its regulated water business from the ownership of assets, choosing instead to follow a restructuring within the group’s overall corporate structure. In ruling out the more radical asset demerger option, or selling the asset company, AWG has sent a clear message to other UK water companies hoping to restructure their business.

Market insight

  • Riding the wave

    This month’s Investor’s View features the Pictet Global Water Fund. Dr. David Lloyd Owen of Delphi International describes the evolution of the fund, considers opportunities for utility funds in the water sector and comments on the listings of Suez and Vivendi Environnement on the New York Stock Exchange.

Performer of the month