Project will be developed under a public-private partnership (PPP) model
- Prequalification process was originally started in March 2014
- Newly formed Kuwait Authority for Partnership Projects (Kapp) has invited companies to submit prequalification entries by 16 July
- Project will treat up to half Kuwaits municipal waste
Kuwait has reopened the prequalification process for the contract to develop the Kabd Municipality Solid Waste Project, which will be developed under a public-private partnership (PPP) model.
Kuwaits newly named PPP body, the Kuwait Authority for Partnership Projects (Kapp), has invited companies to submit prequalification entries by 16 July for the waste-to-energy project. Kapps predecessor, the Partnerships Technical Bureau (PTB) originally invited companies to prequalify for the scheme in March 2014, but the reformed body has decided to redo the prequalification process.
The waste-to-energy (WTE) scheme will be developed under a design, build, finance, operate and transfer model. 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 Kuwaits municipal waste.
In the second quarter of 2013, the PTB awarded the transaction advisory services deal for the Kabd project to a consortium led by the UKs PwC. The contract will involve reviewing, updating and finalising the feasibility study for the scheme and includes a waste composition characterisation study. The adviser will also be in charge of reviewing, updating and finalising tender documents and providing assistance in all procurement procedures until the financial close of the project.
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.
The Kabd Municipality Solid Waste project is part of the Kuwaiti governments efforts to increase power generating capacity in the country, from the current 14,000MW to 31,000MW by 2023.