Companies take Barcelona's sewer contract to court

Aguas de Barcelona and Acsa challenge the award to FCC Medi Ambient for a value of 188 million euros.

Image of a sewer grate in Barcelona.
IA

Image of a sewer grate in Barcelona.

The multi-million euro contract for the maintenance of Barcelona's sewer system, valued at 188 million euros, has ended up in court after Aguas de Barcelona and Acsa Obras e Infraestructuras challenged the award to FCC Medi Ambient.

The Temporary Union of Companies (UTE) Clavegueram de Barcelona, comprising Aguas de Barcelona (with participation from Veolia and the Metropolitan Area of Barcelona), Sociedad General de Aguas de Barcelona (Veolia), and Acsa Obras e Infraestructuras (Sorigué), has filed an administrative litigation appeal against the award of the city's sewer maintenance contract to FCC Medi Ambient. The agreement, formalized last June, spans eight years and is valued at nearly 188 million euros.
The appeal has been admitted for processing, and the judge has requested the Barcelona council to provide the case file. The UTE companies will examine legal avenues to decide whether to proceed with the judicial process.
The award to FCC Medi Ambient was marked by its bid of 129.2 million euros (including VAT) being considered a 'reckless low bid'. Although the 3.645% reduction exceeded the 3% maximum set in the tender documents, the Barcelona City Council validated the offer after the company's justification.
Furthermore, a material error was detected in the bid evaluation, as VAT was included in the calculation of bid reductions. This correction slightly altered the scores, though it did not change the final outcome. The contract was formalized for 121.1 million plus VAT (141.7 million).
Previously, a subsidiary of Veolia, Aquambiente, had already challenged the tender documents before the Catalan Public Sector Contracts Tribunal (TCCSP). The TCCSP partially upheld its claims, obliging the council to amend aspects such as the award criteria, reference salary scales, and the economic bid valuation formula.
The contract, which includes maintenance, inspection, and cleaning of the sewer system, is planned for eight years with a possible extension. Since 1911, this service has been awarded to FCC Medi Ambient. The supervision of the service falls to the public company Barcelona Cicle de l’Aigua SA (BCASA) and involves approximately 200 workers for an estimated population of 1.7 million residents.