EXCLUSIVE: Saudi Arabia sets January deadline for PMO tender

28 November 2018
PMOs will help regulate and plan future capital expenditure projects in Saudi Arabia

Saudi Arabia’s Transport Ministry (MoT) has extended the deadline for the tender to establish its project management office (PMO) to 14 January, a source familiar with the ministry tells MEED.

The tender closing date has been moved several times since the tender was issued in May.

According to the source, the ongoing restructuring at several transport-related government agencies, such as the merger between Public Transport Authority (PTA) and Saudi Railway Organisation (SRO), could have contributed to the delay.

MEED reported that a scope change prompted the deadline extension in August.

MoT is one of 50 ministries and government entities that have been mandated to set up a PMO to be overseen by the National Project, O&M Management Organisation (Mashroat).

Other transport-related entities such as the General Authority for Civil Aviation (Gaca), Saudi Ports Authority, and Saudi Railways Organisation (SRO) also plan to establish a PMO.

In June, Saudi Customs Authority (SCA) awarded US-based Aecom a $100m enterprise project management office (EPMO) contract.

MEED understands the Ministry of Electricity and Water, Riyadh Municipality, Ministry of Education, Ministry of Health, and Ministry of Interior are all planning large PMOs that will require more than 300 staff.

In July, the Municipalities and Rural Affairs Ministry (Momra) invited firms to bid for the agency’s project management office (PMO).

Momra provides administration for all municipalities in the kingdom, including city and town planning, and the development and maintenance of infrastructure such as roads and water sewerage networks.

PMOs will play a key part in Riyadh’s overhaul of the public sector, helping to regulate and plan future capital expenditure projects in the kingdom.

In February 2017, US firm Bechtel was appointed to support the setting up and operation of Mashroat, which was formed by the Ministry of Economy and Planning in 2015 and will help Saudi government agencies deliver complex infrastructure projects.

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