The project is the first of its kind in the Kingdom of Saudi Arabia
Abu Dhabi National Energy Company (TAQA), one of the largest listed integrated utilities in Europe, the Middle East and Africa, has announced its participation in the winning consortium for the Juranah Independent Strategic Water Reservoir Project (ISWR-1) in the Makkah region, Saudi Arabia.
The consortium, which also includes Vision International Investment Company (Vision Invest) and Gulf Investment Corporation (GIC), has signed the relevant project agreements with the procurer Saudi Water Partnership Company (SWPC).
The Juranah ISWR-1 Project is the first of its kind in the Kingdom of Saudi Arabia under a BOOT (Build, Own, Operate, Transfer) model, reflecting active private sector involvement in essential water infrastructure development. TAQA will be the lead member for the operations and maintenance (O&M) activities through a specialized standalone O&M company, which will be co-owned by Vision Invest.
The total project cost is estimated at AED 1.5bn (US$ 408.5mn), with debt funding expected to account for approximately 80%. TAQA is taking a 35% share in the project company and a 50% stake in the O&M company.
MoU signing ceremony
To mark the occasion, a recent signing ceremony was held in Riyadh in the presence of HE the Minister of Environment, Water, and Agriculture of the Kingdom of Saudi Arabia, Abdulrahman Al-Fadley.
Under the terms of the project, the consortium will be responsible for building, owning, and operating the water reservoir infrastructure for 30 years before transferring the ownership to SWPC.
The project’s primary objective is to respond to emergency municipal water demand for all the Kingdom’s regions and to peak demand in Makkah and Madinah during the Hajj season. The strategic tanks have a total storage capacity of 2,000,000cbm.
Additionally, operational tanks with a capacity of 500,000 m3 will be developed under a DBT (Design, Built, Transfer) model to support the potable water distribution system.
By integrating cutting-edge technology and sustainable practices, the consortium aims to ensure reliable and efficient water supply for the region.
Reducing electricity consumption
“The project will contribute to reducing levels of electrical energy consumption, as the project includes solar energy units to reduce electricity consumption from the network and achieve the availability of stored water by 100%, in addition to decreasing operating costs and supporting local content by increasing the percentage of localization in business and human resources,” affirmed Engineer Khalid Al-Quraishi, CEO, Saudi Water Partnership Company.
“This project aligns with TAQA’s commitment to sustainable development and innovation, and we look forward to delivering a robust and reliable water supply system for the community,” remarked Jasim Husain Thabet, TAQA’s Group Chief Executive Officer and Managing Director.
Transformative project
“Our collaboration with TAQA and GIC in this transformative project to improve Makkah City’s water infrastructure is a source of immense pride,” commented Omar Almidani, President and Chief Executive Officer, Vision Invest.
“Winning the Juranah ISWR-1 project reinforces GIC’s role in supporting private sector participation in the development of the GCC economies,” stated Meshary Al-Judaimi, Group Head–Principal Investment, GIC.
