EXCLUSIVE: Kuwait awaits final approval of schools PPP contract

10 December 2017
Evaluation of technical and financial bids for schools PPP completed earlier this year

The Kuwait Authority for Partnership Projects (KAPP) is still awaiting final government approval before it could award the contract for the state’s first schools public-private partnership (PPP) project to the preferred bidder.

MEED understands the evaluation of both technical and financial bids has been completed earlier this year.

According to a source familiar with the transaction, KAPP has forwarded the contract for approval to the Higher Committee. Once the Higher Committee approval is obtained, a final approval will have to be sought from the State Audit Bureau.

“The approval could take days or months, it’s really up to them [government] to decide,” the source tells MEED.

KAPP opened financial bids for its schools development programme in November last year.

The bidding consortiums are:

  • CCC Consortium: Consolidated Contractors Group (Athens-based) / Privatization Holding Company (local) / National Industries Group Holding (local) / The Morganti Group (US)
  • Alargan Consortium: Alargan International Real Estate Co (local) / KSCP (Germany) / Alargan Real Estate Project Management / Alargan Gulf Real Estate Service Company / Index Trading & Contracting Company for Precast & GRC / Mohammed Abdulkhuder Ibrahim Consultant (local)

The project involves the design, build, financing, operation and transfer of nine schools. This includes five kindergartens, three elementary schools, a middle school, and an Olympic-sized, 10-lane swimming pool. The new schools will have a combined capacity of 4,350 students.

They will be located in Alasimah (Kuwait City), Alahmadi, Hawalli, and Mubarak Alkabeer on state-owned properties.

The schools development projects is the first public-private partnership (PPP) project under the 2014 law in Kuwait to reach the stage of opening commercial bids.

In August, Kuwait cancelled the tender for the planned Al-Zour North 2 independent water and power project (IWPP), some 14 months after bids were submitted.

It is understood KAPP is now planning to integrate the previously planned Al-Zour North 2 and 3 IWPPs into one project, which will be retendered as one project.

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