Kuwait receives bids for waste-to-energy PPP

15 September 2016

Three consortiums submitted offers on 8 September

Three consortiums have submitted bids to the Kuwait Authority for Partnership Projects (KAPP) for the Kabd Municipal Solid Waste Project.

The consortiums which bid on 8 September are:

  • Constructions Industrielles de La Mediterranee (CNIM), Gulf Investment Corporation (GIC), Al-Mulla Group (local)
  • EVN Umweltholding and Betriebs (Austria), International Financial Advisors (IFA) (local) / KCC Engineering & Contracting (local) / Steinmuller Babcock Environment (Germany)
  • Suez Environnement (France) / Itochu Corporation (Japan) / Kharafi National (local)

The waste-to-energy (WTE) scheme will be developed under a design, build, finance, operate and transfer model. KAPP is tendering the project on behalf of Kuwait Municipality.

The proposed facility will be located in the Kabd area, about 25 kilometres from Kuwait City, and will occupy an area of about 500,000 square metres. The project is planned to have an initial capacity of 3,275 tonnes a day (t/d) and will treat up to half of the country’s municipal waste.

The electricity generated by the plant will be purchased by the Ministry of Electricity & Water (MEW) through a power purchase agreement (PPA). The PPA is expected to last for 25 years, in addition to four years for design and construction of the scheme.

KAPP, formerly called the Partnerships Technical Bureau (PTB), invited companies to prequalify for the Kabd scheme in May 2015. This was the second time the prequalification process was conducted for the project, with companies originally invited to prequalify for the scheme in March 2014.

The advisors are the UK’s PwC, Ashurst, and Germany’s Fichtner.

The original deadline for bids was in March 2016, but bidders asked for more time due to the complexity of the project.

Over the summer, KAPP received bids for Al-Zour North 2 independent power & water project and a schools development scheme.

Proposals for Al-Abdaliyah integrated solar combined cycle power plant and Umm al-Hayman wastewater treatment plant are expected to be submitted in October.

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