Dubai evaluates proposals for independent water project

State utility Dubai Electricity & Water Authority (Dewa) is still evaluating proposals for Dubai’s first independent water project (IWP).

Dewa received proposals for the planned Hassyan IWP on 27 February from two groups, with a consortium led by the local Utico and Ghantoot firms submitting the lowest proposal of $0.306 per cubic metre (cm). This was 3.7 per cent lower than the $0.318 proposal submitted a consortium of Saudi Arabia’s Acwa Power and Kuwait’s GIC.

According to sources close to the project, the utility is evaluating proposals after seeking clarifications from the bidders.

The lowest bid is a world record low levelized tariff for an RO (reverse osmosis) IWP project.

The client issued the request for proposals (RFP) on 13 October last year after prequalifying 9 international bidders to participate in the tender.

The project is Dubai’s first IWP, with previous desalination projects having been tendered under engineering, procurement and construction contracts.

The Hassyan IWP will be developed in two phases. The first 60MIGD phase is due to be commissioned in April 2023 and the second 60MIGD phase is due to be operational in August 2023.

Dewa appointed the UK’s EY as lead and financial adviser for the project, UK-based CMS as legal adviser and Canada’s WSP as technical adviser.