Ontario Teachers’ Pension Plan (OTPP) and Hastings Funds Management have jointly entered into an agreement with the government of New South Wales, Australia, for a 50-year lease of the Sydney Desalination Plant (SDP). The bid by OTPP and Hastings values SDP at A$2.3 billion ($2.2 billion).

State-owned Sydney Water Corp. commenced a competitive process in November 2011 to refinance SDP through a long-term lease. SDP is capable of producing more than 15 percent of Sydney’s total demand for potable water. As part of the transaction, Sydney Water Corp. has entered into a 50-year water supply agreement with SDP.

“We are dedicated to providing Sydney residents with access to safe, reliable high-quality drinking water and understand the responsibility placed on us to oversee this cri