The City of Regina now says it will cost $181 million to build a new sewage treatment plant – $43.5 million less than initially budgeted.
On Friday, the city announced it has entered into a 30-year public-private partnership with EPCOR Water Prairies Inc., which will design, build, finance, operate and maintain the facility.
The city now says the long-term cost of the project over that 30-year span is $248 million under budget at $611 million because “the P3 process was extremely competitive.”
“I’m ecstatic we are getting such great value on our new sewage treatment plant,” Regina Mayor Michael Fougere said in a news release.
“The competition generated through the P3 process allowed us to get the best deal possible. This cost savings will ensure we continue to provide safe and reliable wastewater treatment for the long term.”
PPP Canada has approved an estimated $48 million in federal funding to cover up to 25 per cent of eligible capital costs for the project.
Construction is currently underway on the new sewage treatment plant, which is expected to begin operations on Aug. 1.
