Introducing a Professional Foreign-Invested Enterprise for the Concession Project in Panjin, Liaoning Province

The second sewage treatment plant project of Panjin City was a crucial initiative during the "Eleventh Five-Year Plan" period and was closely supervised by the Liaoning Provincial government. With a design daily sewage treatment capacity of 100,000 tons and effluent quality meeting national Class A discharge standards, the project commenced in May 2008. By December 15, 2009, a total investment of 200 million yuan had been completed, and the project was scheduled for trial operation by June 2010, adhering to discharge standards.

To ensure the construction of an efficient and standardized sewage treatment plant, the municipal government opted for a franchise model, attracting investors through TOT (Transfer-Operate-Transfer) arrangements. Seeking capable and experienced operating companies, the government aimed for market-oriented financing.

Ktrue was engaged as the consulting advisor to the government for TOT investment promotion in the franchise project. Through meticulous analysis, program research, and financial calculations, Berlin Water China Holdings Co., Ltd. was selected as the project operator via a four-step process: online announcement, pre-qualification, issuance of competitive negotiation documents, and competitive negotiation.

In January 2010, the Panjin Municipal government and Germany's Berlin Water China Holding Co., Ltd. signed a franchise agreement for the second sewage treatment plant, with a franchise period of 30 years. The project's franchise plan was executed, successfully meeting the municipal government's predetermined objectives.


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