ACWA Power, GIC and Al Bawani to enhance water security in Saudi Arabia with Jubail 3A IWPgickw
- With a project investment value of USD $650 million, the Jubail 3A IWP will produce 600,000 m3 of potable water/day
A consortium of ACWA Power, Gulf Investment Corporation (GIC) and AlBawani Water & Power Company (AlBawani) signed the water purchase agreement with the Saudi Water Partnership Company (SWPC) for a greenfield sea water reverse osmosis desalination project in Jubail, KSA. The Jubail 3A Independent Water Plant (IWP) will have an investment value of USD $650 million and a capacity of 600,000 m3 of potable water per day, greatly contributing to Saudi efforts to ensure water security.
The 25-year agreement was signed with His Excellency Abdulrahman Abdulmohsen A. AlFadley, Minister of Environment, Water and Agriculture and Chairman of the Board Directors of SWPC. Under the terms of the partnership, the consortium will design, construct, commission, operate and maintain the desalination plant as well as associated potable water storage and electrical special facilities.
Commenting on the agreement, Paddy Padmanathan, President & CEO of ACWA Power, said: “Building sustainable water security is a key priority for the Kingdom. ACWA Power is well positioned to ensure long-term availability and supply of reliable, low-cost water resources needed to advance socio-economic progress. We continue to contribute strongly to the Kingdom’s National Water Strategy 2030 and Vision 2030 by utilising our considerable global expertise to provide solutions that best support national interests. We are delighted to collaborate with SWPC on this major project and are confident that the Jubail 3A IWP will play a significant role in enhancing critical water infrastructure for the country.”
Meshary Al-Judaimi, Group Head – Principal Investment at GIC stated: “The Kingdom of Saudi Arabia has successfully attracted local, regional and international private sector investment into the country’s water and power sector. This project will continue to increase the efficiency of the sector with private developers using up to date technology and good utility practice at a very economical price,” Mr Al-Judaimi further added: “Winning Jubail 3A project reinforces GIC role in supporting private sector participation in the development of the GCC economies”
Rajit Nanda, Chief Investment Officer of ACWA Power, also shared his comments on the occasion, saying: “We are extremely proud to have been selected by SWPC to deliver Jubail 3A IWP. We bring recognized sector expertise and a well demonstrated track record in successfully operating key projects under the KSA public-private partnership framework. Jubail 3A IWP is an important addition to our rapidly expanding portfolio of projects and is an endorsement of our capacity and capability to deliver sustainable results, benefitting the communities we serve”.
Desalinated water makes up 63 percent of water consumed in Saudi Arabia. ACWA Power is a leading industry player in the KSA water sector with several major desalination projects in the country.
Along with creating new employment opportunities for Saudi talent in construction, operations and maintenance fields, Jubail 3A IWP will also contribute towards enhancing local content capabilities by utilizing local manufacturing to meet relevant needs.
The project will be delivered by ACWA Power, Gulf Investment Corporation and Al Bawani Water and Power Company. The Engineering Procurement Construction contract has been awarded to a consortium consisting of Power China, SEPCO-III and Abengoa.