Transaction Advisory for the Canoas Wastewater Treatment Plant, Colombia

Client needs

Much of the wastewater from Bogota’s 11 million inhabitants flows into the Bogota River without adequate treatment. The problem was too big for Bogota’s utility on its own. Colombia’s National Planning Department worked with stakeholders to agree that a PPP to deliver a massive new wastewater treatment plant was the best way forward. The PPP structure needed to be designed and consensus created.

How Castalia helped

• Developed the economic, financial, transactional, and institutional aspects of the project structure
• Designed the commercial, institutional, and financial sections of the contract, compliant with national PPP laws and water sector regulations
• Workshopped structuring options with multiple stakeholders to build consensus
• Prepared tender documents.

The outcome of our work

Stakeholders have agreed on a design and project delivery structure for a wastewater treatment plant with capacity to treat up to 16 m3/second of wastewater. The project is expected to be tendered in during 2023.