Saudi Arabia's Yanbu 4 IWPP to commence operations in Q1 2023

A consortium comprising Saudi Mowah Company and French utility giant Engie won the bid to work on the project

The project will use reverse osmosis (RO) technology [representational]
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The project will use reverse osmosis (RO) technology [representational]

Saudi Arabia’s Minister of Environment, Water, and Agriculture, and Saudi Water Partnership Company (SWPC) have signed an agreement with a “preferred bidder” to set up the Yanbu 4 Independent Water Plant Project (IWPP) at Rayis Centre in Madinah region within the Badr governorate.

According to SWPC the project also includes the production of portable water with a capacity of 450,000m3 per day. The winning bidder, which comprised consortium of Saudi Mowah Company and French utility giant Engie, was chosen through a competitive bidding process, the company said.

The utility project comes under the environment, water, and agriculture structure that focuses on  the achieving the goals of the Kingdom’s 2030 Vision, privatisation programmes, improving the quality of services, and the efficiency of capital spending.

Speaking about the project, chairman of SWPC, Eng. Abdulrahman bin Abdulmohsen Al-Fadley said that agreements have been inked in line with the implementation of the decisions of the Council of Ministers, and to achieve the goals and plans of the ministry to give importance to water production and wastewater treatment projects.

Meanwhile, the CEO of SWPC, Eng. Khalid Bin Zwaid Al-Quraishi, explained that the project was issued under the build-own-operate model. He added that the winning consortium was picked following a competition that took place between more than six consortiums, including eight local and six international companies. 

The project will use reverse osmosis (RO) technology and fulfil the water needs of people in Makkah and Madinah. Additionally, the project includes solar units that will help reduce the electricity consumption from the grid.

Al-Quraishi added that the project will commence commercial operations in Q1 2023, with a project term of 25 years

The utility project will also support local content by increasing the percentage of Saudisation in business and human resources.

Speaking about the inclusion of Saudisation in the project, CEO of the National Centre for Privatisation and a member of the board of directors of the SWPC, Eng. Rayan bin Mohammed Naqadi said that 40% of local content will be implemented during the construction phase of the project and 50% during the first five years of operation, which will later be increased to 70% in the remaining 20 years.

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