Jordan’s Al-Yarmouk Water Company has selected a partnership of France’s Veolia Water and the local Aquatreat as preferred bidder for the contract to provide water and wastewater management services in the country’s Northern Governorates.

The service area covers the four governorates of Ajloun, Irbid, Jerash and Mafraq with a population of about 1.5 million people.

Three bids were submitted for the contract in November 2010:

• Remondis (Germany)/ Engicon (local)
• Agbar (Spain)/Sigma (local)
• Veolia Water (France)/Aquatreat (local)

Veolia and Aquatreat offered the lowest bid. According to a source close to the deal, the contract is set to be awarded in April.

The winning bidders will be awarded a five-year contract with Al-Yarmouk Water Company, which may be extended twice for an additional two years, bringing the total contract length to nine years.

The Performance Management Unit (PMU) and the Water Authority of Jordan (WAJ) are running the tender. Al-Yarmouk Water Company was formed in August 2010 to oversee water and wastewater projects previously carried out by the Northern Governorates Water Administration.

Al-Yarmouk Water Company plans to finance the contracts through a partial subsidy from WAJ and a grant from the German Development Bank.