Spanish firm awarded an estimated $190m contract to expand Fujairah 1 IWPP
Spain’s Acciona has been awarded an estimated $190m contract by Singapore’s Sembcorp Industries to design and build the expansion for the desalination component of the Fujairah 1 independent water and power plant (IWPP).
Acciona will design, build and provide operation and maintenance (O&M) services for seven years for the scheme, which will increase the IWPP’s seawater desalination capacity by 30 million gallons a day (g/d). The additional output will be produced using reverse osmosis technology. The expansion is scheduled to be completed by 2015.
The Spanish contractor saw off competition from Spain’s Abeima, France’s Degremont and Frances Veoila, the other three firms shortlisted for the tender after companies had submitted bidders in November 2011.
The appointment of Acciona is part of the 20-year water purchase agreement that Sembcorp, through its joint venture Emirates Sembcorp Water & Power Company (ESC), has signed with the Abu Dhabi Water & Electricity Company (Adwec). ESC owns and operates the Fujairah 1 plant, which is one of the world’s largest operating hybrid desalination plants.
As part of the water purchase agreement between Adwec and ESC, the 30 million g/d water output from the expansion will be sold to Adwec for a period of 20 years.
ESC is a joint venture between Sembcorp Gulf Holding Company and Union Power Holding Company, subsidiaries of Sembcorp and the Abu Dhabi Water and Electricity Authority (Adwea).
The existing Fujairah F1 IWPP reached financial close in June 2004 and was completed in March 2009. The facility currently has a capacity of 785MW of power and 100 million g/d of water.
Construction of another IWPP also located in the emirate, Fujairah F2 was inaugurated on 9 May 2011.
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