Market announcement

Title

AS Tallinna Vesi’s operational performance during 2021

Message

In 2021, Tallinna Vesi's quality indicators were once again at a high level. The
reliability of the network was maintained, and we also achieved good results in
drinking water and wastewater quality indicators. In 2021, the Company
reconstructed an all-time record volume of 16 000 m of water and sewer pipes.
2021 also saw the completion of a number of large investments at the treatment
plants.

Consistently high quality of tap water

The quality of drinking water in Tallinn remains high - water samples taken from
customers'  taps during 2021 were 99.6% compliant with all requirements. A total
of 3058 water samples were taken from customers' taps last year (2020: 3099) and
only 12 did not meet the requirements. Consistently high quality of tap water is
ensured  with the  development and  maintenance of  the water network across the
service area.

"2021   was  a  record-breaking  year  for  the  Company  in  terms  of  network
reconstruction  - we  renovated 7500 meters  more water  pipes and sewers than a
year  before," said Aleksandr Timofejev, Chief  Executive Officer of AS Tallinna
Vesi. The pipes were reconstructed on Kadaka Boulevard, on the streets of Poska,
Sirbi  and Erika, and on Mustamäe,  Kohila and Mustakivi Roads. "The investments
made  will  further  ensure  that  the  residents are provided with high-quality
drinking  water and will help us keep  the natural environment around us clean,"
Timofejev  added. In  order to  maintain a  consistently high water quality, the
Company  also modernized a pumping station  in Õismäe and carried out renovation
on filters at the water treatment plant.

To  provide  a  reliable  and  uninterrupted  service,  the Company monitors the
average   duration  of  the  water  interruption.  In  2021, the  average  water
disruption  per property lasted  3 hours and 19 minutes.  In addition to planned
water  interruptions, also interruptions caused by  accidents occur. In order to
have  them causing  as little  inconvenience as  possible, Tallinna Vesi aims to
notify  its customers about unplanned water interruptions at least 1 hour before
the interruption. In 2021, customers received notices of unplanned interruptions
at least 1 hour before in 98.7% of cases.

In  2021, the leakage  rate was  higher than  a year  ago (15%). This was mainly
caused by a large number of hidden leakages, which took longer to detect, and by
exceptional weather conditions during the year.

High quality of sewerage service

In  2021, the number  of sewer  collapses decreased  by 11.3% compared to a year
ago.  "The  number  of  sewer  collapses  has  decreased  due  to the consistent
reconstruction  work  that  we  carried  out  in 2021, using mostly environment-
friendly  no-dig methods and thereby not having  to dig up the roads," Timofejev
said. Over the year, the number of sewer blockages has somewhat increased.

Wastewater  treated at the Paljassaare wastewater treatment plant also maintains
a  high  level  of  quality,  being  again  fully  compliant  with  all  the set
requirements  last  year.  In  order  to  assess the efficiency of the treatment
process and the quality of the treated effluent, the concentration of pollutants
in wastewater entering the plant and in effluent leaving the plant is monitored.
The  exceptionally  low  levels  of  nitrogen  and  phosphorus  in  the effluent
discharged into the sea is a proof of the excellent level of treated effluent.

Last  year saw the completion of the largest project of the decade, during which
the  facilities  and  equipment  of  the  first  and  most  important,  i.e. the
mechanical  treatment stage  were renewed  at the  wastewater treatment plant in
Paljassaare. The investment allows us to remove 20% more grit from the treatment
process  and thereby keep the quality of  the treated effluent discharged to the
sea at an excellent level, to keep the Baltic Sea cleaner and to ensure reliable
and  efficient wastewater  treatment for  Tallinners. In  addition to this major
project,   a  number  of  other  investments  were  carried  out,  such  as  the
installation of a new pump in the main pumping station and the reconstruction of
the effluent outlet tower.

Satisfied customers and community

Tallinna  Vesi aims to  provide reliable, high-quality  service to its customers
and consumers at all times. To do this, we regularly measure the satisfaction of
our  customers and monitor compliance with the promises we have made to them. In
2021, the  Company failed to deliver on the  promises made to customers on three
occasions.  In the event of a failure to  keep the promise, we apologize and pay
compensation  to our customers, as well as  learn from the process to avoid such
failures in the future.

In 2021, the Company showed an excellent improvement in terms of the decrease in
the number of customer complaints - 22.5% less complaints were received compared
to  the last  year. We  are also  constantly monitoring  the speed  at which the
customers  receive answers  to their  questions. In  the nine months of 2021, we
responded to written inquiries within at least 2 working days in 98.8% of cases.

In  2021, Tallinna Vesi took major steps to deliver an even more sustainable and
environment-friendly  service to customers  and consumers by  starting to obtain
100% of  the electricity  used in  its facilities,  incl. the treatment process,
from renewable energy sources as of Q4 2021.

In order to improve customer satisfaction, the Company started preparations last
year  to start  installing remote  water meters  in mid-2022. Smart water meters
allow to provide customers with an even more convenient service and reduce water
losses.  "Thanks to  automatically collected  information, we proactively inform
customers about any possible leakage and remove the need for reporting the water
readings," Timofejev said.

Last  year, Tallinna Vesi  also contributed to  the welfare of  its community by
supporting  a total  of ca  40 events with  water tanks  for free as well as the
addition  of 12 public water taps across the capital city. In addition, a number
of  activities were  carried out  to increase  the environmental awareness among
society  and to reduce  waste generation by  promoting tap water drinking. Among
other  things, a scholarship  program was launched  to attract new generation of
talents to the water industry.

 OPERATIONAL INDICATORS FOR 2021
+------------------------+----+-----------------+----------------+-----+-------+
|                        |    |12 months of 2021|12 months of    |Q4   |Q4 2020|
|Indicator               |Unit|                 |2020            |2021 |       |
+------------------------+----+-----------------+----------------+-+---+-------+
|Drinking water          |    |                 |                | |           |
+------------------------+----+-----------------+----------------+-+---+-------+
|Compliance    of   water|    |                 |                |     |       |
|quality      at      the|    |                 |                |     |       |
|customers' tap          |%   |99.6             |99.7            |99.8 |99.5   |
+------------------------+----+-----------------+----------------+-----+-------+
|Water  loss in the water|    |                 |                |     |       |
|distribution network    |%   |15.0             |12.4            |21.5 |12.3   |
+------------------------+----+-----------------+----------------+-----+-------+
|Average    duration   of|    |                 |                |     |       |
|water  interruptions per|    |                 |                |     |       |
|property                |h   |3.31             |2.93            |3.54 |2.73   |
+------------------------+----+-----------------+----------------+-+---+-------+
|Wastewater              |    |                 |                | |           |
+------------------------+----+-----------------+----------------+-+---+-------+
|Number      of     sewer|    |                 |                |     |       |
|blockages               |no  |524              |463             |127  |125    |
+------------------------+----+-----------------+----------------+-----+-------+
|Number      of     sewer|    |                 |                |     |       |
|collapses               |no  |71               |80              |21   |19     |
+------------------------+----+-----------------+----------------+-----+-------+
|Compliance   of  treated|    |                 |                |     |       |
|effluent            with|    |                 |                |     |       |
|environmental           |    |                 |                |     |       |
|requirements            |%   |100              |100             |100  |100    |
+------------------------+----+-----------------+----------------+-+---+-------+
|Customer service        |    |                 |                | |           |
+------------------------+----+-----------------+----------------+-+---+-------+
|Number    of    customer|    |                 |                |     |       |
|complaints              |no  |31               |40              |8    |4      |
+------------------------+----+-----------------+----------------+-----+-------+
|Number    of    customer|    |                 |                |     |       |
|contacts regarding water|    |                 |                |     |       |
|quality                 |no  |317              |323             |79   |53     |
+------------------------+----+-----------------+----------------+-----+-------+
|Number    of    customer|    |                 |                |     |       |
|contacts regarding water|    |                 |                |     |       |
|pressure                |no  |363              |359             |101  |114    |
+------------------------+----+-----------------+----------------+-----+-------+
|Number    of    customer|    |                 |                |     |       |
|contacts       regarding|    |                 |                |     |       |
|blockages   and  leading|    |                 |                |     |       |
|off stormwater          |no  |948              |864             |215  |177    |
+------------------------+----+-----------------+----------------+-----+-------+
|Responding   to  written|    |                 |                |     |       |
|customer contacts within|    |                 |                |     |       |
|at least 2 working days |%   |98.8             |100             |98.5 |100    |
+------------------------+----+-----------------+----------------+-----+-------+
|Number     of     failed|    |                 |                |     |       |
|promises                |no  |3                |1               |0    |1      |
+------------------------+----+-----------------+----------------+-----+-------+
|Notification          of|    |                 |                |     |       |
|unplanned          water|    |                 |                |     |       |
|interruptions           |    |                 |                |     |       |
|at  least 1 h before the|    |                 |                |     |       |
|interruption            |%   |98.7             |98.9            |99.2 |97.8   |
+------------------------+----+-----------------+----------------+-----+-------+

Laura Korjus
Head of Communication
AS Tallinna Vesi
(+372) 626 2271
[email protected]