Top Ranking Confirmed Ahead of Final Vote
Veolia is currently the leading candidate in the tender process for a major 25-year water supply contract covering Sant Cugat del Vallès and seven other municipalities in the Barcelona Metropolitan Area (AMB). The company, which already manages Sant Cugat’s water services under temporary extensions since 2019, retained its first-place position following Thursday’s AMB Information Commission meeting, where final scores were presented ahead of a full council vote. The €1 billion contract will serve around 250,000 residents across Cervelló, Corbera de Llobregat, Molins de Rei, La Palma de Cervelló, Ripollet, Sant Andreu de la Barca, Sant Cugat and Tiana. Veolia achieved the highest technical score and submitted the most competitively priced offer, despite initial concerns over the viability of its proposal.
Concerns Over Investment Cuts Addressed
Veolia had been flagged for a "presumption of recklessness" due to a 60% reduction in its investment cost estimates. However, the AMB has now accepted the company’s justification, stating it provided "quantified, reasoned explanations backed by third-party commitments and technical reports" that sufficiently demonstrate the feasibility of its bid. This includes firm agreements with subcontractors, operational efficiency plans, and favourable material procurement terms. A formal recommendation was issued to accept Veolia’s explanation, clearing a key hurdle before the final decision.
The AMB considers the explanation sufficient to generate confidence that the offer can be fulfilled to the administration's satisfaction.
Opposition from Competitors and Activists
Aiguamet, a joint venture of Aqualia and Global Omnium that placed second in the rankings, has formally challenged the process, expressing concern that such aggressive cost reductions could compromise service quality and continuity. In a letter to AMB vice-president Antonio Balmón, the consortium demanded prompt clarification, citing the high stakes of the contract. Meanwhile, the citizen platform Aigua és Vida has called on the AMB to halt the privatisation, arguing that public management is the most sustainable model. The group warned that Veolia’s low bid could lead to disproportionate future tariff hikes and would extend the company’s control to 31 municipalities, creating a near-monopoly in the region.
Next Steps in the Process
The contract will be put to a vote at the AMB’s Metropolitan Council plenary session on 29 September 2026. If approved, final adjudication is expected during the October plenary. Residents and stakeholders have until then to submit observations or challenges through official channels.
Reported by TOT Sant Cugat.
