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Catalonia Court Backs Revoking Acciona’s Water Contract

The top court in Catalonia backed a panel’s decision to revoke a 1 billion-euro ($1.3 billion) contract with Acciona SA to privatize Barcelona’s water supply.

The Superior Court ruling sides with Sociedad General de Aguas de Barcelona’s challenge to nullify Catalonia’s contract awarded to an Acciona-led group late last year and urged the regional government to call for a new bidding process, court documents show. A spokesman for Acciona declined to comment today.

Acciona, along Grupo BTG Pactual, has effectively managed the city’s water since Jan. 1 and said its offer met all legal requirements in April. The Alcobendas, Spain-based company also has said it would seek a full refund for about 299 million euros of payments made to regional authorities should the contract be canceled.

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