City of Gresham, Ore., and Veolia Water Receive National Recognition


Wastewater Partnership Recognized for Innovative Renewable Energy Solution and Pioneering Infrastructure Management Program

GRESHAM, Ore., Nov. 24, 2008 – The pioneering partnership of Gresham, Ore., and Veolia Water North America has been recognized nationally by securing the 2008 Public-Private Partnership Award from the National Council for Public-Private Partnerships (NCPPP). This prestigious award recognizes exemplary projects and services that illustrate best practices and innovative approaches in the use of public-private partnerships.

In 2005, Gresham City Council chose to partner with Veolia Water to implement a best-in-class operation for Gresham's wastewater program, with the goal of protecting the community's infrastructure assets while improving the environment. Under a seven-year, $21-million contract, Veolia Water manages all operations and maintenance of the city's 20 million-gallon-per-day wastewater treatment plant, a beneficial use biosolids management program, industrial pretreatment program analyses, cogeneration operation, laboratory services and 9 lift stations.

The NCPPP awarded Veolia Water the honor in the "Service" category for the company's innovative technical and operations approaches in serving the Gresham community.
"The City of Gresham and Veolia Water have and continue to work closely together to implement a wastewater program that is improving the local environment while protecting the city's valuable assets," said Dave Rouse, Gresham's City Director of the Environmental Services. "We built this partnership with the interests - both today and for the foreseeable future - of our community in mind. We are pleased with the remarkable accomplishments we have made in our first several years."

Pioneering Water-Quality Operations

Since the public-private partnership began, Veolia Water has provided the Gresham community with innovative operations and environmental programs that have earned numerous regional technical awards and recognition.

Asset management, the technically based life-cycle operational and maintenance program, is key to Veolia Water's success. The asset management process is gaining traction with many cities across the country as they increasingly understand how proactively managing water and wastewater assets ultimately leads to lower overall costs, longer asset life and improved reliability. Gresham city officials believe that Veolia Water's asset management program is anticipated to reduce the capital maintenance and replacement costs of the city's assets by 15-25 percent over the term of the agreement, saving the city several million dollars that can be used for other municipal priorities.

Additionally, the cogeneration power system at the wastewater treatment facility generates half of the plant's daily power usage - or approximately $18,000 per month. This green-tech system has not only reduced emissions at the facility, it has saved the Gresham community $625,000 - and counting - since it commenced operation in November 2005. The system efficiently generates electricity on site by using the methane gas that is produced naturally by the wastewater treatment process, thereby reducing demand from the local power grid.

"Working with the city to achieve its environmental and operational goals is rewarding, and this award validates the success of our partnership to date," said Chuck Voltz, president, Veolia Water North America - West. "This is a great example of how a partnership between the public and private communities can work together to improve the local quality of life. We look forward to researching how we can further decrease our environmental footprint while increasing our operational efficiency."

Veolia Water North America - West, LLC, is a wholly owned subsidiary of Veolia Water North America Operating Services, LLC, the leading provider of comprehensive water and wastewater services to municipal and industrial customers, providing services to more than 15 million people in over 650 communities. The company is part of Veolia Water, the No. 1 water company in the world, serving more than 108 million customers. Veolia Water is the water division of Veolia Environnement (NYSE:VE) and (Paris Bourse:VIE), the world's largest environmental services company, providing tailored solutions in water management, waste management, energy management, and freight and passenger transportation. With more than 300,000 employees, Veolia Environnement recorded annual revenues of $48 billion for the 2007 fiscal year. Visit the company's Web sites at


Important Disclaimer. Veolia Environnement is a corporation listed on the NYSE and Euronext Paris. This press release contains "forward-looking statements" within the meaning of the provisions of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements are not guarantees of future performance. Actual results may differ materially from the forward-looking statements as a result of a number of risks and uncertainties, many of which are outside our control, including but not limited to: the risk of suffering reduced profits or losses as a result of intense competition, the risk that changes in energy prices and taxes may reduce Veolia Environnement's profits, the risk that governmental authorities could terminate or modify some of Veolia Environnement's contracts, the risk that Veolia Environnement's compliance with environmental laws may become more costly in the future, the risk that currency exchange rate fluctuations may negatively affect Veolia Environnement's financial results and the price of its shares, the risk that Veolia Environnement may incur environmental liability in connection with its past, present and future operations, and the risks related to Veolia Environnement's relationship with Vivendi Universal, as well as the risks described in the documents Veolia Environnement has filed with the U.S. Securities and Exchange Commission. Veolia Environnement does not undertake, nor does it have, any obligation to provide updates or to revise any forward-looking statements. Investors and security holders may obtain a free copy of documents filed by Veolia Environnement with the U.S. Securities and Exchange Commission from Veolia Environnement.