32| 2020 Sustainability Report |Aqualia’s horizon International market: Context and activity Inthe international arena, Aqualia concentrated its Portugal activity during the 2020 business year in Europe, North Although no new municipal concessions have been Africa and the Middle East (MENA) and Latin America tendered, there have been several corporate moves by (LATAM). The same challenge was present in all countries: financial investors because of the imminent local elections. Being able to optimally administrate the sanitary crisis The high risk profile of the buyers demonstrates a strong and the management of the end-to-end water cycle for interest in the concessional framework and confidence all Aqualia's clients. in the future growth potential for the country's water market. Romania In Europe the following deserve Despite the restrictions imposed by the authorities in special mention: order to address COVID-19, it has been possible to make Czech Republic progress in the works to extend the Glina treatment For the period 2022 to 2026, the Ministry of Finance plant and the contracting of equipment to minimise the is promoting a review of the tariff framework, which is impact on the works plan. being evaluated in different areas of the public sector. The Balkans This review focusses on the maximum tariff growth and the adjusted calculation, depending on the replacement The contracts for the Berane and Pljevlja projects, whose value, investment requirements, regulatory capital and works were completed and are now in operation, were the associated regulatory profit. terminated. The Prziren project is finished and awaiting temporary receipt to start assisted operations. SmVak, a local subsidiary of Aqualia, has bid for several end-to-end water cycle tenders and included new municipalities in the eastern part of the country in the backlog of contracts. In MENA, activity in the seawater France desalination and wastewater Aqualia continued to expand its water market development treatment areas continues: perspective in western and south-central France. Saudi Arabia In this regard in 2020, work to integrate the new In January Aqualia acquired 51% of Qatarat and Haaisco business in France and to adapt it to Aqualia's standards from the prestigious Saudi Arabian group Ali Reza. Since was maintained so as to improve the water supply they were acquired, all the plants have been operating service and sanitation network management for more at full capacity to provide an essential service to citizens than 140,000 citizens. New contracts were also added during the pandemic. for the management, operation and renovation of water and sanitation networks in the Ile-de-France region. Aqualia also continued with the execution of diversion and adjustment works in the supply and sanitation Italy services affected by the Riyadh Metro, where Aqualia is At the beginning of 2020, the debate on public executing the diversion of services and provisional and intervention in the Italian regulatory agency and the tariffdefinitive connections on Lines 5 and 6. structure was reignited. The situation finally stabilised following the replacement of managers in the Italian The company also undertook work on the development regulatory agency and the removal of incentives for the of other lines of commercial activity within the framework most efficient regulators in the purchase of water, such of the VISION 2030 programme for the improvement as Aqualia. of infrastructures, such as projects for new wastewater treatment plants, contracts for the restoration, operation