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    Industry Outlook - 11/13/2001 12:09:51 PM

    New group to deal with infrastructure
     
    WASHINGTON — Some of the leading US providers of operational services for water and wastewater treatment officially formed a new group today, 13 November, to support the use of public-private partnerships to meet the nation's growing infrastructure needs.

    The Water Partnership Council (WPC), a not-for-profit organization, will promote public-private partnerships — arrangements between public agencies responsible for water and wastewater treatment and private companies that provide operational services on a contractual basis.

    "From coast to coast, communities are faced with the need to spend millions of dollars to rehabilitate, repair and expand water and wastewater infrastructure systems," said Mike Stark, WPC president and president of USFilter Services Group, a subsidiary of Vivendi Environnement (NYSE: VE). "Now, with the threats we face as a nation, there is an even greater commitment to ensuring and enhancing the safety and quality of our water resources. Our companies have agreed to come to the table and jointly contribute our expertise and resources to help meet the water infrastructure challenge."

    "Through public-private partnerships, our companies are saving communities hundreds of millions of dollars," said Stark. "The private sector is and must be part of the solution."

    The council's first year of operation will focus on helping municipalities examine the option of entering into and managing public-private partnerships to receive maximum benefits, Stark said. Simultaneously, the council aims to work with Congress and the EPA to ensure that the nation takes a business-like approach to managing these critically important water and wastewater assets.

    "Encouraging the consideration of public-private partnerships will help advance such an approach," Stark said. "Both the public and private sectors work hand-in-hand every day, and we're certain that the strengths of government and leading private-sector companies yield the best results for ratepayers when those respective strengths are combined."

    He said the council will develop various information guides and papers based on the successes of communities served by council-member companies. In addition to serving municipalities, many of the members also serve industrial clients.

    According to Stark, the member companies have consistently reduced water and wastewater treatment costs, while meeting the most stringent standards for safety and environmental quality.

    "We have achieved these results by applying lessons learned in operating thousands of systems in this country and around the globe, by developing and applying the latest technologies and by harnessing economies of scale," said Stark.

    In addition to Stark, the council's charter members include the following top executives of the water industry companies: Joe Burgess, Covanta Water, a division of Covanta Energy (NYSE: COV); Keith Oldewurtel, Earth Tech, a division of Tyco International (NYSE:TYC); Peter J. Moerbeek, ECO Resources, a subsidiary of Southwest Water Co. (Nasdaq: SWWC); Don Evans, OMI, Inc.; David Chardavoyne, Thames Water North America, a subsidiary of RWE (DAX: RWE); Jean Michel Brault, United Water, a subsidiary of Suez (NYSE: SZE); and Michael Belsante, US Water.

    Combined, these organizations are operating over 1,000 municipal and industrial treatment facilities throughout the United States.

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