Agreement reached in Adelaide desalination dispute

SA Water and AdelaideAqua have reached agreement on all the claims and disputes between them related to the Adelaide Desalination Project.

In a statement on 7 June 2012, SA Water said this meant that neither party would be pursuing any disputes or legal action. AdelaideAqua, a consortium led by Acciona Agua, had submitted claims to SA Water to cover unanticipated costs they encountered in design and construction. SA Water also claimed money from AdelaideAqua for missed deadlines.

SA Water chief executive John Ringham said that the agreement delivered beneficial outcomes for all parties and that the 100 million m³/year project would be completed on time within the overall approved project budget of Aus$ 1.824 billion (US$ 1.803 billion).

The plant produced half of its 100,000 m³/d capacity in March 2012. AdelaideAqua has promised completion of full capacity by the end of December 2012, and SA Water is confident this will be achieved.

· The Adelaide Desalination Project was the subject of a special feature by SA Water in the August/September 2011 issue of Desalination & Water Reuse.

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