Advancement in SIIC Environment Holdings’ eight projects in China totalling 197,500 tonnes in capacity are well underway.
Among these, three projects with a total capacity of 70,000 tonnes have successfully secured both upgrading and tariff increases, another three with a combined capacity of 92,500 tonnes have secured tariff increases, another one project has expanded by 15,000 tonnes, and the concession period for a 20,000-ton project has also been extended.
Meanwhile, SIIC Environment’s indirect wholly-owned subsidiary in Beiliu, Guanxi, SIIC Environment Waste Water Treatment, has received approval from the local government for a tariff increase, effective January this year, for Beiliu City urban WWTP project 1st phase and Beiliu City urban WWTP upgrade and expansion project.
Both projects have a designed capacity of 40,000 tonnes per day, meeting class I standard A discharge standards.
Furthermore, SIIC Environment’s 75.7% indirectly-owned subsidiary in Yicheng, Shandong, has signed an upgrading and tariff increasing agreement for its Zaozhuang City Yicheng District WWTP center project (Yicheng project) with the government of Yicheng District.
The Yicheng project has a total designed capacity of 40,000 tonnes per day, and the discharge standards for its phases will be upgraded from class I standard A to quasi grade IV.
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SIIC Environment’s other 98.76% indirectly-owned subsidiary, S.I. United Sewage Treatment, has signed a similar agreement for the Zaozhuang City Yicheng District WWTP expansion project 1st phase. The discharge standard for the Yicheng Expansion Project will be upgraded from class I standard A to quasi grade IV, with an associated tariff increase upon completion.
Meanwhile, the company’s 60% indirectly-owned subsidiary, Ranhill Xianggang Water, has signed an expansion agreement of its Xiangtang Development Zone WWTP Project with the Urban Management and Law Enforcement Bureau of Nanchang. The expansion project has a designed capacity of 15,000 tonnes per day with a discharge standard as class I standard A.
Additionally, Anxi Nanfang Water, an indirectly wholly-owned subsidiary, has received government approval for a tariff increase for the Anxi County Longmen Town WWTP BOT Project 1st Phase. The tariff increase, effective as at November 1, 2023, applies to a project with a designed capacity of 12,500 tonnes per day and class I standard B discharge standards.
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Concession period of 20,000-tonne project extended
Finally, SIIC Environment’s indirectly wholly-owned subsidiary, Kaifa Xinquan Water, has signed a supplementary agreement of the Taizhou Binjiang Industrial Park WWTP Project 1 st Phase with the Medical High-tech Zone Binjiang Industrial Park Management Office of Taizhou.
The extension is for 10 years through Transfer-Operate-Transfer (TOT) upon expiry, for a project with a designed capacity of 20,000 tonnes per day and class I standard A discharge standards.
These developments are anticipated to have a positive impact on the company’'s future performance.
Shares in SIIC Environment closed 0.1 cent lower or 0.54% down at 18 cents on Jan 24.
