NORTH VANCOUVER – Metro Vancouver board chair Mike Hurley insists the organization has been transparent regarding the North Shore Wastewater Treatment Plant project as several Lower Mainland councillors say they want more information.
The long-delayed project has seen costs balloon since Acciona Wastewater Solutions LP was selected through a competitive process in 2017 to build the plant, but was terminated from the project in 2022 for allegedly failing to meet its contractual obligations. PCL and AECOM were selected to complete the project.
The estimated cost of the project now stands at $3.86 billion, up from an original estimate of $700 million.
“Again today, several councillors in the region indicated they have not been provided with information about the North Shore Wastewater Treatment Plant Program,” Hurley said in a Sept .10 release.
“Metro Vancouver has consistently shared information with the board, the media, and the public about the project and the reasons for the cost increase resulting from the termination of the contract with Acciona Wastewater Solutions LP.”
Hurley said information had been shared through a two-hour press conference held March 22 following the board’s decision on the project cost increase, a monthly newsletter and via the project website.
“Some information related to the new plant has been shared in closed meetings due to ongoing litigation that could result in the recovery of hundreds of millions of public dollars in damages from the previous contractor. However, substantial information related to the reasons for the cost increase has been in the public domain since it was disclosed in March 2024,” he said.
Hurley added the board unanimously approved the start of an independent performance audit of the project and said “Metro Vancouver is looking forward to delivering a high-quality wastewater treatment plant that will protect the health of residents and the environment for generations to come.”
Acciona’s work was under a fixed-cost design-build-finance model and thus was required to deliver the North Shore Wastewater Treatment Plant project on time and on budget.
“At that time, the project was already two-and-a-half years behind schedule, and Acciona had informed Metro Vancouver that they required an additional two years, along with an increase in budget,” the release said.
Early works construction by PCL and AECOM included assessment and repair of more than 1,500 concrete deficiencies identified in Acciona’s construction, the release claimed, and design reviews identified that the plant’s design was not as advanced as reported by Acciona at the time of termination.
“Metro Vancouver then had to re-evaluate costs and give a realistic updated cost estimate to the region. The updated cost considers comprehensive cost estimates by three separate organizations, a value engineering exercise, investigation of current market conditions, and a review by a Metro Vancouver Board task force to consider the best path forward,” the release said.
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