Discover how BOO financing solutions — as well as lease options — are helping water infrastructure projects get off the ground

When it’s time to expand, repair, or replace water and wastewater treatment infrastructure, public utilities and other entities can face major obstacles. Because treatment facilities require substantial upfront investment — this can include the costs for design, construction, and equipment procurement — there can be major stumbling blocks in financing such projects.

Many developing regions lack the financial capacity to fund water treatment projects independently, while municipalities, developers, and industries often face budgetary constraints that make it challenging to raise enough capital to start projects. This could make it necessary to secure external funding from government agencies, international organizations, development banks, or private investors in deals that may come with strict terms and conditions or high interest rates.

Coordinating various sources of funding and navigating licensing and legal requirements can be daunting. Because the return on investment for water treatment projects is typically only realized over the long term, the prolonged payback period and potential risks can deter investors who seek shorter-term ROI.

Fluence’s financing options, including Build-Own-Operate (BOO) and leasing contracts, address these challenges and offer a sustainable financing solution for meeting infrastructure needs. BOO financing solutions offer several advantages that unlock financial flexibility for both project developers and investors.

Reduced Upfront Costs

With a BOO contract, Fluence is responsible for financing the construction of the water or wastewater treatment plant. This reduces the burden of upfront capital investment on private entities, public agencies, municipalities, and developers, allowing them to allocate their financial resources to other pressing needs.

Flexible Financing Structures

Fluence’s BOO projects can be structured in various ways to accommodate clients’ specific needs and preferences. We partner with international private banks, as well as national and international financing agencies, to provide flexible domestic financing packages. Our team of experts coordinates the funding and takes care of the paperwork on your behalf.

Transfer of Operational Risk

In a BOO arrangement, Fluence not only builds the water or wastewater treatment plant but also operates and maintains it over a specified period, typically through a long-term contract. This transfer of operational risk to Fluence means a lower financial burden on municipalities, developers, and industries because they no longer have to bear the ongoing operational and maintenance costs associated with running a facility. It also ensures that the facility is managed efficiently, as Fluence has a vested interest in its performance and longevity.

Water Treatment Handled by Water Experts

With a BOO contract, your project is managed by Fluence’s dedicated Water Management Services team, which has specialized expertise in water treatment technology, engineering, and project management. By leveraging this expertise, our clients benefit from state-of-the-art technology and best practices in water and wastewater treatment without having to develop these capabilities in-house. This results in more cost-effective and innovative solutions for addressing your treatment challenges.

Only Pay for the Water You Need

With a BOO contract, you decide how much water you need and at what quality. We will build a plant to meet your needs and budget, and operate and maintain it on your behalf. If you wish to finance the upgrade of an existing plant, we can buy your plant and upgrade it with our Buy-Back Program. For both options, you only pay for the water or wastewater treatment you use.

Flexibility and Scalability

Fluence’s leasing option offers an affordable, flexible solution for private entities, municipalities and developers who want to start with a small, low-capacity water treatment plant initially, yet still have the flexibility to scale up as the demand for water increases. With a lease option, clients can decide whether they would like to operate the plant themselves or have Fluence operate it on their behalf. Fluence’s rental and lease options are often supported by maintenance and service packages to optimize performance and limit downtime.

Are you looking for a cost-effective water or wastewater treatment solution with financing options tailored to your needs? BOO and leasing financing mechanisms offer a flexible and efficient approach to addressing water infrastructure needs, leveraging private-sector resources and expertise to deliver reliable and cost-effective solutions.

Contact Fluence to learn more about our sustainable financing solutions and find out how they can help you finance the water and wastewater infrastructure you need.