Colombia · Latin America · Availability-Based
Deal Size
$390M
Target IRR
8–11%
PPP Model
Availability-Based
Concession Term
20 years
Upgrade and operate three existing water treatment plants serving 2.4 million residents in southern Bogotá. Government pays availability-based service fees. The operator absorbs O&M risk; government retains demand and tariff risk.
40% of Bogotá's water infrastructure dates to the 1970s. Non-revenue water losses average 32%. The project targets a reduction to under 15% through pipe rehabilitation and smart metering, directly improving fiscal performance of the public utility.
Feasibility Complete
Procurement Launch
Preferred Bidder
Financial Close
Construction Start
Full Operations
Government payment capacity
LowPayment from utility tariff revenue; escrow account
COP/USD currency
MediumCPI-indexed local currency payments; hedging instruments
Technical performance risk
LowPerformance bond; O&M reserve account
Regulatory tariff freeze
MediumStabilization clause in concession agreement