SOUTH WEST WATER & WASTEWATER AMP5-2

Promoter – Financial Intermediary

PENNON GROUP PLC

Location

• United Kingdom

Description

South West Water (SWW) provides water and wastewater services to a population of 1.6 million people in the South-West of England, in the counties of Cornwall and Devon, as well as smaller areas within Dorset and Somerset. The investment programme was approved by the economic regulator OFWAT in 2009 as part of the expenditure programme for the regulatory period 2010-15 (Asset Management Plan 5). The investments are driven by EU Directive compliance in the areas of wastewater, bathing waters and protection of aquatic life. In addition there is significant focus on reduction of flooding due to insufficient wastewater system capacity and creating efficiencies and energy recovery in operations, with benefits in terms of climate change resilience and mitigation.

Objectives

Primary Objectives
- Environmental Protection
- Renewable Energy and Energy Efficiency
Transversal Indicators
- Climate Action
- Economic and Social Cohesion

Sector(s)

• Water, sewerage

Proposed EIB finance (Approximate amount)

EUR 156 million (GBP 130 million)

Total cost (Approximate amount)

EUR 359 million (GBP 300 million)

Environmental aspects

The Promoter complies with the requirements of EU EIA Directive 2011/92/EU, as well as Article 6 of the Habitats Directive 92/43/EEC. The Promoter carries out Environmental Impact Assessment procedures where required by the competent authorities and mitigating measures are applied as appropriate. The drinking water quality and environmental regulators independently monitor compliance with drinking water quality standards and effluent discharge permits.

Procurement

The Bank will require the Promoter to ensure that contracts for the implementation of the project have been/shall be tendered in accordance with the relevant applicable EU procurement legislation Dir 2004/18/EC and Dir. 2007/66/EC [amending Directives 1989/665/EEC and 1992/13/EEC]), with publication of tender notices in the EU Official Journal, as and where required.

Status

Signed - 18/05/2015