Construction delays and budget overruns plague the development of a wastewater treatment plant in British Columbia’s most densely populated area. The project, initially set for completion in 2020 at a cost of $700 million, is now six years behind schedule and more than five times over budget. This new facility is crucial to accommodate Metro Vancouver’s expanding population and adhere to federal regulations mandating secondary wastewater treatment to remove dissolved organic material.
Intended to serve over 300,000 residents and businesses in North Vancouver, West Vancouver, the City of North Vancouver, and the Squamish and Tsleil-Waututh Nations, the plant will replace the outdated Lions Gate facility, which currently only provides primary wastewater treatment.
The project’s evolution has been marked by significant milestones over the years. In 2017, Acciona, a subsidiary of a Spanish multinational, was awarded the $700 million contract for designing and constructing the plant. However, in 2021, Metro Vancouver terminated the contract with Acciona due to construction delays and escalating costs, leading to a new completion date of 2023 and a budget exceeding $1 billion.
Acciona has filed a lawsuit against Metro Vancouver for $250 million in damages and unpaid bills, while Metro Vancouver has countersued and demanded additional information regarding the termination of the contract. Subsequently, PCL Constructors Westcoast Inc. has been hired to evaluate the project and take over the construction.
By 2024, the projected cost of the plant has surged to $3.86 billion, prompting Metro Vancouver to devise a cost-sharing plan involving federal and provincial contributions and taxpayer funding. Despite challenges, households in North Vancouver are expected to contribute $590 annually for 30 years, while residents in other regions will pay between $80 and $150 yearly for 15 years.
Acciona and Metro Vancouver have settled their legal disputes in May 2026, with Acciona agreeing to pay $235 million without admitting liability. An independent review of the project, initially put on hold, is set to resume, with the completion of the wastewater treatment plant scheduled for 2030.