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Suyeong Wastewater Treatment Facility Modernization Project: Preferred Bidder Selected, Full-Scale Implementation Toward a 2026 Groundbreaking!

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Busan Metropolitan City (Mayor Park Heong-joon) announced today (29) that it has selected Busan Enviro Co., Ltd. (tentative name) as the preferred bidder for the Suyeong Wastewater Treatment Facility Modernization Project.

The City has advanced the project through the following steps: it received the project proposal in 2023; conducted a feasibility review by the Public and Private Infrastructure Investment Management Center (PIMAC) of the Korea Development Institute (KDI) in 2024; and, in 2025, completed deliberation by the Public-Private Partnership Review Committee of the Ministry of Economy and Finance as well as the consent procedure of the Busan Metropolitan City Council. Following the third-party proposal solicitation announced in September this year (2025), the City completed the first-stage prequalification (PQ) evaluation of the proposal submitted by Busan Enviro Co., Ltd. (tentative name) on October 15.

To ensure a fair and transparent process, the City requested the second-stage evaluation of the project proposal from the Korea Environment Corporation, a specialized institution designated by the Ministry of Economy and Finance. Based on the evaluation results by a panel of 15 experts (12 in the technical category and 3 in the price category) on December 16, the proposal received a score of 700 points or higher, leading to its designation as the preferred bidder.

Under the third-party proposal solicitation, the submitted project proposal reduces the total project cost by approximately KRW 10 billion compared to the initial proposal, which is expected to lower the City’s fiscal support. In addition, the proposal presented significantly strengthened standards—well beyond statutory requirements—at the facility boundary for odor control, ensuring that even those using the space above the facility will not detect odors.

Reflecting findings from KDI PIMAC’s feasibility review, the proposal lowers the total project cost, total operating cost, and rate of return, while increasing the local company participation ratio (40% → 45%), which is expected to contribute significantly to revitalizing the local construction industry.

In consideration of the facility’s downtown location, the proposal also enhances odor-control measures to an effectively odor-free level that is not noticeable in everyday life, including by installing multiple-stage capture systems. It was also confirmed that the proposal includes a wide range of improvements compared to the initial proposal, such as completely separating circulation routes for users and operators to enable efficient facility operation.

With the preferred bidder selected through this proposal evaluation, the City plans to accelerate project implementation, including negotiations and designation of the project implementer, to begin construction in 2026.

As the project has progressed without delays through close coordination among relevant institutions, the City will form a consultative body with the preferred bidder and the Busan Environmental Corporation to swiftly advance the remaining follow-up procedures, including negotiations and drafting the concession agreement, and to closely coordinate key issues such as workforce employment.

In particular, regarding concerns about potential increases in sewage service fees raised during the project implementation process, the City plans to develop measures during negotiations to minimize its financial burden. In addition, the space above the facility will be developed—with input from residents—into a variety of amenities such as a park golf course and a children’s complex cultural facility so that citizens of all ages can enjoy the area.

Mayor Park Heong-joon stated, “Now that a concrete project plan has been established through the designation of the preferred bidder, we will use this as a stepping stone to implement the project more swiftly,” adding, “We will do our utmost to build a Busan where citizens are happy through the renewed Suyeong Wastewater Treatment Facility.”