Beijing Fatou, Liqiao and Wulituo Wastewater Treatment Plants Concession Agreement

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In August 2013, Beijing Sound Group a local private company signed an agreement with the state owned Beijing Municipal Road & Bridge Construction Holding (Group) for concession to operate three wastewater treatment plants in Beijing Municipality. The three plants were Fatou Wastewater Treatment Plant in Chaoyang District, Liqiao Wastewater treatment Plan in Shunyi District, and Wulituo Wastewater Treatment Plant in Shijingshan District. Sound Group then signed a collaborative agreement with Beijing Water Authority to provide wastewater treatment services based on the three plants for 25 years. It was not reported whether the concession was granted on a competitive basis or not. Sound paid US$ 38.71 million (RMB 240 million) for the concession and would rehabilitate the plants but the construction cost for doing so was not released. Other sources of information showed that the capacity of Fatou and Wulituo plants was both 20,000 tons per day, while the number for Liqiao plant could not be found. Beijing Sound had a 100% stake in the projects.