The concession contract

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The concession contract is the document whereby the Bucharest Municipality assigned the rights and obligations to manage the public water supply and sewerage services as well as the related public assets to the company Apa Nova Bucureşti, on the company's own risk and expense, in exchange for a fee payment referred to as "royalty".

You may access the concession contract and the addenda thereof in the documents attached hereto.

The advantages of the service concession to Apa Nova Bucureşti:

  • Competitive fees following the international tender;
  • Apa Nova Bucureşti is required to achieve and maintain the performance indicators on European standards (levels of service) ;
  • Veolia Eau's contribution to the share capital of company Apa Nova Bucureşti amounts to net EUR 35 million;
  • Apa Nova Bucureşti has a long-term strategy for sustainable development;
  • Apa Nova Bucureşti is essentially contributing to the local budget by payment of the legal taxes and duties;
  • Apa Nova Bucureşti contributes to the local economic development by working with local works, product and service suppliers;
  • Apa Nova Bucureşti employs significant long-term amortisation investments, with minimum impact on the fee;
  • Apa Nova Bucureşti is actively involved in the social life of Bucureşti;
  • The cost control and sustainable development policy employed by Apa Nova Bucureşti allows for the charge of a reasonable fee. Although with average EUR 20 million investments per year, Apa Nova Bucureşti charges one of the lowest fees in Romania: position 23, in 2009, in decreasing order among the first 30 cities in terms of numbers.
  • Apa Nova Bucureşti maintains the assigned public assets;
  • Apa Nova Bucureşti benefits from the experience of over 150 years of the Veolia Group.

Compliance with the levels of service

By the concession contract concluded with the Bucharest City Hall, Apa Nova Bucureşti undertook to meet 24 indicators (levels of service) showing the performance of the services delivered.

Standards and deadlines were set for each indicator so as to significantly improve the quality of the services provided by Apa Nova Bucureşti throughout the concession duration. Not only must such indicators be met within the deadline set, but they must also be maintained throughout the concession duration. Divided in 4 categories: drinking water supply, sewerage, customer services, industrial water supply, the indicators are assessed annually by Autoritatea Municipală de Reglementare a Serviciilor Publice (AMRSP, the Municipal Authority for Public Services Regulation).

AMRSP is a public local institution of the Bucharest Municipality acting as the concession technical regulation authority, having the same duties as set out in the concession contract on the public water supply and sewerage services for Bucharest.
Click here to go to the AMRSP website.

Apa Nova Bucureşti may charge the fees for the water supply and sewerage services only after such fees are endorsed by Autoritatea Naţională de Reglementare pentru Serviciile Comunitare de Utilităţi Publice (ANRSC, the National Regulation Authority for the Public Utilities Community Services).

The National Regulation Authority for the Public Utilities Community Services - A.N.R.S.C. is a public national institution with legal personality reporting to the Ministry of Administration and Internal Affairs and coordinated by the Vice Prime Minister with a purpose to regulate, monitor and control on central level the activities related to the public utilities community services under its scope of regulation.

Click here to go to the ANRSC website.

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