Salta rescinds concession contract, creates state-owned water utility

Bnamericas Published: Monday, May 25, 2009
The government of northwest Argentine province Salta has rescinded the concession contract with a potable water and sanitation concessionaire, creating a new state-owned water utility called Compañía Salteña de Agua y Saneamiento, the government reported in a release. The decree was signed on May 22, putting an end to concessionaire Aguas de Salta's contract. The new utility will be responsible for potable water and sewerage services in the entire province, and guarantee their continuity and jobs, according to the release. A total of 90% of the newly created firm will be owned by the state, while the remainder will be in the hands of the utility's workers. Aguas de Salta was controlled by Argentine firms LatinAguas and Atlantys. The concession was awarded in 1998 and the utility serves 91 districts covering nearly the entire province, with more than 1mn customers.

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