Pacts signed for RO 60m desalination plant in Salalah
Agreements for Salalah Independent Water Project were signed between Oman Power and Water Procurement Company and Acwa Power led consortium companies comprising Veolia and Dhofar International Development and Investment Company (DIDIC).
The project worth RO 60 million has commercial operation deadline of 2020. The plant would have capacity to generate 25 million gallons of desalinated water per day using ‘reverse osmosis technology’ procured by the Oman Power and Water Procurement Company (OPWP).
The project being developed on a ‘build-own-operate’ framework on the back of a 20-year water purchase agreement (WPA), is vital for meeting Dhofar Governorates increasing demand for water, which is expected to rise an average of six per cent per annum over the next seven years.
The agreement signing ceremony was held under the auspices of Sayyid Mohammed bin Sultan bin Hamoud al Busaidy, Minister of State and Governor of Dhofar. High officials
THE PLANT WOULD HAVE CAPACITY TO GENERATE 25 MILLION GALLONS OF DESALINATED WATER PER DAY USING ‘REVERSE OSMOSIS TECHNOLOGY’ PROCURED BY THE OMAN POWER AND WATER PROCUREMENT COMPANY (OPWP)
from OPWP, Acwa Power, Veolia and DIDIC were present on the occasion.
The project is the first independent water desalination procurement in the Governorate of Dhofar. The OPWP, which is the sole procurer of all electricity and water capacity in the Sultanate, signed a number of agreements to establish the Salalah Independent Water Project (IWP) with an Acwa Power led consortium with Veolia and DIDIC.
Dhofar Desalination Company, which happens to be the project company, will be owned by Acwa Power, Veolia Middle East and DIDIC.
Speaking on the occasion, Yaqoob bin Saif al Kiyumi, Chief Executive Officer of Oman Power and Water Procurement Company said: “This project is considered as the first standalone water desalination project in the Governorate of Dhofar and would positively contribute to security of water supply in light of urbanisation and ambitious projects that are implemented in various sectors in the governorate.”
“The development of this project with a total cost of more than RO 60 million reflects the confidence of foreign investors to invest in the Sultanate and in the water sector in particular, given the legal and regulatory transparency and stable environment,” he said.
Paddy Padmanathan, President and CEO of ACWA Power, called water a vital resource for development and human life. “We are pleased to work in partnership with OPWP to deliver desalinated water to the governorate. This project is one of a number of projects we are currently working on in the Sultanate and we look forward to continue to supply power and water at an economical cost.”
Rajit Nanda, Chief Investments Officer at Acwa Power, said: “The Salalah IWP project will play a key role in meeting the increasing demand for water in the Sultanate. This significant milestone will support Oman’s infrastructure in line with the Sultanate’s efforts to reduce reliance on groundwater resources and maximize the use of local resources.
Oman continues to be one of the leading investment destinations in the region, and we look forward to furthering our growing presence in the country”.
The engineering, procurement, and construction of the plant will be handled by a consortium of Fisia Italimpianti and Abeinsa Infraestructuras Medioambiente. The operations and maintenance of the plant will be undertaken by a consortium led by Veolia Middle East with NOMAC Oman and DIDIC.
“We are very glad to have partnered with Acwa Power and DIDIC for the Salalah IWP and we are committed to extend the delivery of optimal operations and plant performance to OPWP”, said Patrice Fonlladosa, President and Chief Executive Officer of Veolia Middle East/ Africa.