Tbilisi Water System

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On October 27 2007, Multiplex Solution won a competitive auction for Tbilisi Water system located in Tbilisi, Georgia. Tbilisi Water System consisted of three companies Tbilisi Water Ltd, Mtskheta Water Supply System, and Cleaning Facilities of Gardabani Sewerage. Multiplex beat 6 other candidates in the second decisive round of the auction by submitting the lowest water tariffs and the highest amount of committed investment for the construction. During the auction process, the tender comission took into consideration three factors - proposal of the maximal price, reservation of the low payment rate for use of water, and large investments. Multiplex bid of USD 85.7 was the third highest behind Spanish Aqualia – USD 107 million – and Penta Investments – USD 91.2 million. Multiplex paid USD 85.7 for the property and committed to invest a further USD 350 million over the next ten years. In addition, Multiplex promised to keep the current water tariff unchanged in 2008-2009 and committed to ensure a 24 hour uninterruptible provision, low tariff and high quality of water for the population of Tbilisi. Multiplex planned to increase the tariff for households from 2010 and maintain that increased tariff before 2018.