Spanish infrastructure and renewable energy company Acciona’s subsidiary Acciona Agua has secured an end-to-end water management contract in Boca del Río in Mexico worth €800m.
Under a 30-year contract, the company will serve the municipality of Boca del Río, in the Greater Veracruz area, with a population of about 150,000.
The objective of the contract is to enhance the delivery of drinking water by improving the continuity of service and the amount and quality of the water that is supplied.
As per the contract, the company will manage the provision and distribution of drinking water, operate the sewers and waste water treatment facilities and manage more than 50,000 customers.
A joint venture named Compañía de Agua de Boca (CAB) will be responsible for the management of the contract. The JV consists of Boca del Río city government with 2% stake, Acciona Agua with 69% stake and Malibran with a stake of 29%. Additionally, Acciona Agua will also act as the technology partner.
Acciona Agua will invest €100m in the concession, out of which more than €80m will be allocated for water infrastructure upgrades.
The contract also involves improvement in network efficiency to reduce the significant amount of water losses that are taking place in the system.
Acciona stated that it first entered the Mexican market in 1978 and now it is one of its main markets outside Spain.
In Mexico, the company claims to have participated in major infrastructure projects such as the Atotonilco wastewater treatment plant, the Jala-Puerto Vallarta highway and the first General Hospital for the Mexican Social Security Institute in Nogales.
Image: Acciona officials and Boca del Río local government officials signing the contract. Photo: Courtesy of ACCIONA.