His Excellency the Minister of Environment, Water and Agriculture, Chairman of the Board of Directors of the Saudi Water Partnership Company, Eng. Abdul Rahman A. Al-Fadhli, signed today, Thursday 30/4/2020, the project agreements for the phase 3(A) of the Jubail independent water plant. The Plant will be constructed in Jubail, Eastern Province, with a production capacity of 600,000 m3/day of desalinated water.
Eng. Al-Fadhli explained that the signing of these agreements is based on approval if the Council of Ministers. Also, this projects lies within the Ministry’s plans to increase the offering to the private sector of water production and wastewater treatment projects across the Kingdom. The signing of today’s project agreements is an extension to the pipeline of previous projects , and it signed with the private sector, thus playing avital role in developing the sector, increasing private sector contribution to sustainable economic development, improving service levels and achieving greater efficiency in government spending which thus contributing the Kingdom's Vision 2030.
Eng. Al-Fadhli went on to sat that the signing of these agreements is a new phase in executing the water projects transaction pipeline , as this is the seventh water/waste water production agreement to be signed with the private sector during the past two years.
The CEO of the Saudi Water Partnership Company Eng. Khaled bin Zwaid Al-Qureshi indicated that the project, tendered to investors under a build-own-operate(BOO) structure received 55 EoI’s from interested companies, including 19 Saudi companies. The preferred bidder was chosen from 4 alliances, including 5 local companies and 4 international companies were competing for the tender. The winning alliance consists ACWA Power, Gulf Investment Corporation and Al-Bawani Water and Energy Company.The project will be based on Reverse Osmosis technology. It willprovide potable water the eastern region, Riyadh and Qassim regions. Also, this strategic project will include solar energy units to reduce electricity consumption from the grid, in addition to water tanks with a production capacity of one operating day.
Al-Qureshi said that production will start during the Q4 2022, and that the agreement period will be 25 years. ,
The CEO of the National Center for Privatization and PPP (NCP), a member of the Board of Directors of the Saudi Water Partnership company, Eng. Rayan M. Naqadi, pointed to the efforts by NCP to establish Public Private Partnership framework in accordance to international best practices encompassing standards, frameworks and legislation that have contributed to the signing of Contracts for a number of projects in several sectors; with a large number of projects in the the environment, water and agriculture sector. , and that These projects will contribute greatly towards Saudi Vision 2030. We have confidence in reaching our aspirations by 2030; diversify the national economy, generate more job opportunities and increase local content.In this project alone, local content is 40% during construction, and 50% in during the first five years then 70% during the remaining period of the agreement.
