EXCLUSIVE: Bahrain receives bids for major IWPP

27 June 2018
The Al-Dur 2 plant is planned to have generation capacity of 1,200-1,500MW

Bahrain’s Electricity & Water Authority (EWA) has received bids for the planned Al-Dur 2 independent water and power project (IWPP).

The client received proposals on 27 June and will evaluate bids before publicly reading out tariffs.

MEED reported in May that the bid deadline had been extended to 27 June. The deadline had been extended a couple of times from the original submission date of 28 February to give developers more time to work on proposals.

The Al-Dur 2 project has a planned capacity of 1,200-1,500MW and a desalination component of 50 million imperial gallons a day (MIGD).

Under the proposed contract, the work will involve the design, procurement, construction and commissioning of the plant, gas connection facilities and the seawater intake/outfall facilities. The contract will also cover the operation and maintenance of the plant and the seawater intake/outfall facilities.

EWA will purchase the power under a 20-year power purchase agreement (PPA), with the power capacity due to come online by June 2020. Water from the plant will be required to come online by June 2021.

MEED reported in November 2017 that EWA had appointed the Netherlands’ KPMG Fakhro as financial adviser for the Al-Dur 2 scheme. The UK’s Trowers & Hamlins is legal adviser for the project, with Canada’s WSP appointed as technical adviser. KPMG was the low bidder out of three bids opened on 10 November, with a price of BD616,375 ($1.6m).

Peak demand growth for electricity in Bahrain reached 8.1 per cent in 2014 and was recorded at 3.5 per cent in 2015. EWA predicts consumption will continue to increase by an annual average of up to 6.4 per cent until 2020.

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