2021 Veolia Environment S.A. Acquisition of Suez S.A.

Case Information: 21-W-0338
 

Veolia Environment S.A. (“Veolia”), headquartered in Paris, France, manages 3,362 water production plants and 2,737 wastewater treatment plants through its’ entities and subsidiaries, that in 2020 supplied 95 million people with drinking water and provided 62 million with wastewater services. Veolia’s customers are located across the globe and include municipalities, industrial and commercial businesses, and individuals.

Suez S.A. (“SUEZ”), also headquartered in Paris, France, primary business activities include: (1) water management and technology services and waste management services for industrial and municipal customers. SUEZ employs nearly 90,000 people worldwide and has operations in all states of the United States, including New York.

The Companies (Veolia and Suez) submitted a petition requesting approval for Veolia to acquire SUEZ Water New York Inc., on June 11, 2021, approximately eight months after Veolia acquired approximately 30% of the share capital and voting rights of SUEZ. ​​​​​​

UIU participated in settlement negotiations, which was noticed on August 24, 2021, and commenced on September 2, 2021. Ultimately, terms were agreed upon and a Joint Proposal was filed on November 5, 2021, supported by the Department of Public Service Staff, the Companies, and UIU.  On November 12, 2021, UIU filed its’ Statement in Support of the Joint Proposal highlighting the several benefits to New York customers, including significant arrears relief, establishment of a low-income discount program, other community benefits, and funding for rate moderation in the Companies’ next rate case.   

On December 16, 2021, the NYS Department of Public Service Commission found the terms and conditions of the Joint Proposal were in the public interest and therefore, approved the transaction. Under this transaction, Veolia committed to making no changes in the personnel or operations of Suez in New York for at least 18 months after the acquisition was completed and would continue to operate within the rate plans established by the Commission in Suez’s most recent rate cases – Cases 19-W-0168 & 19-W-0269. Furthermore, the Joint Proposal achieved at least three important purposes: (1) it secured the long-term strength of the New York utility through affiliation with a well-qualified entity committed to infrastructure improvement and sound service; (2) it maintained rate stability during the term of the existing rate plan and includes provisions to mitigate potential future rate increases; and (3) it included commitments to assisting low-income customers, supporting the local communities, and improving customer service.

To learn more about this case, please go to the NYS Department of Public Service’s Document and Matter Management System under the above referenced case numbers.

• 21-W-0338: Veolia Acquisition of Suez