Kuwaits-Umm-Al-Hayman-Wastewater-Treatment-Project

in figures

Clean water produced per day: 500 million litres

Population equivalent served: 1.725 million

Fertiliser produced per year: 70,000 tonnes

Kuwait’s Umm Al Hayman Wastewater Treatment Project

June 4, 2024

The Umm Al Hayman Wastewater Treatment Project (UAH) consists of building a new sewage treatment plant within the existing Umm Al Hayman water purification facility under a BOT [build-operate-transfer] model and constructing a transmission network that will deliver sewage for treatment and distribute treated water to various catchment areas throughout South and East Kuwait under a DBO [design-build-operate] model.

KEY PLAYERS: UAH is established under the Umm Al Hayman for Wastewater Treatment Company K.S.P.C. (the “Project Company”), a Kuwaiti shareholding public company incorporated under the provisions of Law No. 116 of 2014 regarding PPPs and its executive regulations.
The project’s client is Kuwait’s Ministry of Public Works and the key technical partner is Germany’s WTE Wassertechnik, a water treatment company which is responsible for providing the overall technology as well as the design, construction, operations and maintenance.

SPECIFICATIONS: The plant’s design calls for a 50-million-litre digestion tank and a 100-million-litre reservoir for treated water. UAH can produce 500 million litres of clean water per day, or enough to serve a population equivalent of 1.725 million people (Kuwait’s population is 4.3 million).
A 450-kilometre network of ductile iron pipe is being constructed to channel wastewater to the plant for treatment and then distribute purified water and treated sewage effluent (TSE) in 39 reservoir tanks with a combined capacity of more than 450 million litres. The treated water can be used in agriculture or for industrial purposes, and UAH can produce TSE specifically for oil and gas applications.
Wastewater will be moved by a newly built pumping station together with two existing pumping stations, of which one has been expanded and enhanced. The plant itself is powered by a 300-kV Electrical Special Facility substation newly constructed by WTE, which forms part of the BOT works.

 

SUSTAINABILITY: During the purification process, UAH generates biogas which is captured and used as fuel, covering approximately 40% of the plant’s power requirements. The plant can also capture useful nutrients that are present in wastewater to produce approximately 70,000 tonnes of Class A fertiliser per year.

INVESTMENT: The total estimated investment on the project is expected to exceed USD 2 billion, with an estimated project cost of USD 810 million for the wastewater treatment plant and USD 1.19 billion for the pumping stations, reservoirs and distribution network. Approximately USD 650 million is being provided by a consortium of domestic and international banks to finance the wastewater treatment plant.

OWNERSHIP: WTE Wassertechnik owns 40% of the project company together with International Financial Advisors. Kuwait’s sovereign wealth fund, the Kuwait Investment Authority, owns 10% and the Kuwait Authority for Partnership Projects (KAPP) owns the remaining 50%. When the facility becomes operational, the shares corresponding to KAPP’s 50% stake will be offered for share distribution to Kuwaiti nationals along with the Project Company’s listing on Kuwait’s stock exchange.

SIGNIFICANCE: Wastewater treatment is a cost-effective means of sourcing clean water for Kuwait’s growing population and industrial base, where UAH will play a key role in ensuring the long-term security of Kuwait’s water supply. The plant’s design is scalable and production capacity can potentially be increased by up to an additional 200 million litres per day, growing along with the region’s needs.
Kuwait is increasingly resorting to PPPs as a delivery mechanism for public services and state projects. As the first large public works project carried out under such a framework, UAH will serve as a benchmark for future long-term arrangements between the government and private sector institutions.

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