Quarterly Report on Water Industry Developments in Asia - April 2004

Author:Mr Zane Gresham
Profession:Morrison & Foerster LLP
 
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Australia

The Central Highlands Water authority in Australia will be selecting between the bids of United Utilities Australia and Earth Tech for the proposed 25-year Design-Build-Finance-Operate project to upgrade the Ballarat North and Creswick Wastewater Treatment Plants.

The project will be implemented within the Partnerships Victoria policy framework and cost approximately A$50 million (US$38.5 million). Upon completion of the upgrading, 2 billion liters a year of reclaimed wastewater from the two plants will be made available for agribusiness purposes.

Central Highland Water is responsible for the current provisions of water and wastewater service, ranging from treatment and delivery of drinking water to homes and the collection, treatment and disposal of sewerage and trade waste.

As part of the land-based effluents reuse program know as SmartCycle, this project will conform with Environmental Protection Authority License Conditions and Reclaimed Water Guidelines for the development, construction financing and operation of sustainable irrigates reuse enterprises.

China

Central China's Hubei province is developing water conservation projects throughout the province by attracting investment from private sources.

According to the provincial department of water resources, there are 392,000 water conservation and irrigation projects invested by private capital, with the total value of over 4 billion yuan (about 484 million US dollars).

The majority of the private investment goes to small and medium-sized projects, of which 42 percent were water source projects and water saving agriculture.

The private water conservation projects covering all water areas in Hubei.

Construction-based Gadang Bhd ("Gadang") has decided not to proceed with a proposed investment in a waste water project in Xiangcheng, China. Last November Gadang signed a memorandum of understanding with Xiangcheng County Government in China to develop, construct and operate a waste water treatment plant in Xiangcheng county and to collect fees for a concession period of 30 years.

Recently Gadang decided that after conducting a feasibility study on the treatment plant, Gadang would not proceed with this investment."

The memorandum of understanding on the proposed investment lapsed on Feb 21.

Gadang estimates that the total investment cost for the project to be 20.67 million ringget. (1 usd = 3.8 ringget).

Malaysia

As the Selangar Water Treatment Plant, located in Kota...

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