News of 2020

News Release
February 26, 2020

Receipt of Order from Kobe City Waterworks Bureau for Uegahara Water Purification Plant Redevelopment Project by Corporate Group in Which METAWATER Participates

METAWATER Co., Ltd. (President: Yasushi Nakamura, Headquarters: Chiyoda-ku, Tokyo; hereinafter "METAWATER") is pleased to announce that a corporate group in which METAWATER has invested as a member company (representative company: Kobelco Eco-Solutions Co., Ltd.) signed a basic agreement for the Uegahara Water Purification Plant Redevelopment Project with Kobe City on January 30, 2020.

The project involves design and construction of water facilities for the Uegahara Water Purification Plant in Kobe City and their operation and maintenance for 15 years. A special purpose company (hereinafter "SPC") invested in by Kobelco Eco-Solutions Co., Ltd., Sumitomo Mitsui Construction Co., Ltd., METAWATER, and Kobelco Eco-Maintenance Co., Ltd. will sign a business agreement.

The Uegahara Water Purification Plant uses the Sengari reservoir, which is Kobe City's precious self-water source, as its water source and functions as a backup to the Hanshin water supply system, which has a different water source, from a risk diversification perspective. In addition, the Plant is located at the site where effective usage of potential energy is expected.

However, water purification facilities are aging quickly, and face the need to undergo redevelopment to provide a stable water supply to Kobe in the next 100 years to come. As Kobe City is projected to see a decline in its water supply revenue due to a fall in water demand, cost reductions and efficient operation of facilities are needed in the redevelopment of the water purification plant.

The Project aims to redevelop the Uegahara Water Purification Plant to build a new water facility that steadily supplies high-quality water and ensure efficient operation of the facility by private sector business operators. The Project has adopted a project method based on the "Act on Promotion of Private Finance Initiative" for the first time for Kobe City's water projects.

After completing the design, construction, and construction supervision business of clean water facility by leveraging creativity, private sector business operators transfer the ownership of the facility to Kobe City. Subsequently, the SPC consistently engages in operation management and maintenance management (e.g. maintenance and point repair) of the clean water facility and other businesses related to operation of the facility throughout the period of operation and maintenance.

The redevelopment project is intended to ensure a stable supply of high-quality water and enhance the level of services by developing skills for facility operation through cooperation between Kobe City and private sector business operators.

METAWATER is determined to provide safe and secure water services in collaboration with member companies by leveraging its expertise cultivated over the years through design, construction, operation, and maintenance of water and wastewater facilities. METAWATER will continue responding to various needs of local governments and business operators while at the same time contributing to the formation of a recycling-oriented society and preservation of the global environment.

Project characteristics

  • Maximizing the use of potential energy through the treatment process using water level differences.
  • Delivering water at the maximum capacity (70,000 m3/day) even during wide-area blackouts caused by large-scale disasters with slight emergency power by making the most of the geographical characteristics of the Uegahara Water Purification Plant.
  • Adopting the BTO (Build-Transfer-Operate) method as the project method where business operators construct facilities, etc., transfer the ownership to Kobe City immediately after completion of the facilities, and engage in maintenance, management, and operation of the facilities.

  • SPC engages in integrated tasks from design and construction to operation and maintenance in the Project.

Overview of Uegahara Water Purification Plant Redevelopment Project

Main Business

Activities

Design and construction (5 years) and operation and maintenance (15 years) of water purification facilities for the Uegahara Water Purification Plant

Date of conclusion

of business agreement

(plan)

March 2020
Project method PFI method
Contract amount 14,849,056,200 yen (including tax)
Project period April 2020 to March 2025 (5 years)

Business period

April 2025 to March 2040 (15 years)

Contractor

SPC invested in by Kobelco Eco-Solutions Co., Ltd., Sumitomo Mitsui Construction Co., Ltd., METAWATER Co., Ltd., and Kobelco Eco-Maintenance Co., Ltd.

Capacity of the

facility

Treatment capacity of the facility 70,000 m3/day