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Dubai Electricity & Water Authority (DEWA) said on Sunday that it has appointed the consortium of Deloitte, WSP and Addleshaw Goddard to provide consultancy services on the 120 Million Imperial Gallons per Day (MIGD) in Hassyan Independent Water Producer (IWP) project.
The Sea Water Reverse Osmosis (SWRO) desalination project is DEWA’s first IWP project, and will become operational in phases in 2025 and 2026, the utility said in a press statement.
Advisory services to be provided by the consortium include tender document preparation, soliciting development and investment market interest, financial model development, IWP Developer tender submission management and evaluation, development of supplemental agreements, commercial negotiation, concluding a water purchase agreement (WPA), and financial closure with the developer. The scope includes preparing a project marketing plan, participating in marketing activities, and local and international roadshows.
DEWA’s initial public offering memorandum, dated April 2022, had noted that the 120 MIGD Hassyan IWP, which was awarded to local company UTICO in November 2020, is yet to reach financial close.
The project was scheduled to start commercial operations in two phases of 60 MIGD capacity each in 2023 and 2024 respectively.
UTICO had bid a world record low tariff of 0.27762 USD /cubic metre (m3) to win the IWP project against Saudi’s ACWA Power’s bid of 0.29892USD/m3, according to a September 2020 report by Dubai-based Energy & Utilities news portal.
Hassyan complex is targeted to have 240 MIGD of water desalination capacity using SWRO by 2030.
(Writing by SA Kader; Editing by Anoop Menon)
