1907 articles in Europe
UK water regulator Ofwat finally ruled on Glas Cymru’s proposal for Welsh Water (Dwr Cymru) at the end of January. Director general Philip Fletcher announced his decision not to block the proposed sale of the Hyder subsidiary to Glas Cymru, a not-for-profit consortium of Welsh businesses and community groups which has sought to retain local control over the debt-laden water company.
The UK water industry’s regulatory formula has come in for some tough criticism since the 1999 price review. Analysts, the media and water executives themselves have claimed that the sector is now squeezed so hard that it is difficult to see why the markets should want to continue funding it with equity. As a consequence, the debt markets are seen as the natural financiers of UK water plc.
UTILITY COMPANIES Riedwerke of Gross-Gerau, Südhesssische Gas und Wasser of Darmstadt and Mainova of Frankfurt have joined forces to create a new company, Hessen Wasser as a first step towards the partial merger of the three partners.
VIVENDI ENVIRONNEMENT (VE) has reported a 25.7% increase in year 2000 sales to €26.4 billion – considerably higher than analysts’ forecasts.
EON HAS STRENGTHENED its presence in the German water market by acquiring a further 28.08% of Gelsenwasser shares from RWE
UK water shares ended December 2000 lower, underperforming the broader FTSE market index and reflecting investors’ caution.
THE PROJECT TO BUILD an aqueduct to carry 350-400Mm3/year of water from the Rhone to Barcelona’s 4.5 million population is taking shape.
AQUAMUNDO has won a contract to provide water and wastewater services to more than 400,000 people in seven towns located between Herceg Novi and Ulcinj along the Adriatic coast of Montenegro.
Shares of UK water companies ended November in decline following the release of half-year results showing an industry-wide average drop in pre-tax profits of around one third on profit levels for the same period a year ago.
THE EBRD is to lend €39 million to the Riga Water Company (RWC) to improve municipal water and wastewater services.