Latest Update 1 Jordan is one of the most water scarce The - - PowerPoint PPT Presentation

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Red Sea- Dead Sea Phase I Project

Latest Update

The Hashemite Kingdom of Jordan

Ministry of Water and Irrigation Jordan Valley Authority

2 — Jordan is one of the most water scarce

countries in the world.

— Annual precipitation varies between

50mm in the desert area and 600mm in the north-west highlands.

— Per capita water availability is very low a

(140 m3/year) which less than 10% of the internationally recognised figure for water poverty line.

— The population in Jordan has increased by

36% in the last 15 years, with additional estimated 1.3 million Syrian refugees.

— The municipal water deficit has increased

by 410% in the last 15 years.

— The estimated water deficit in Jordan for

domistic use is estimated to exceed 300 MCM in 2015, and 600 MCM in 2035.

— Jordan's renewable natural water

resources are estimated to be in the range of 800-850 MCM/year for all uses.

— 275 MCM/year are considered sustainable

groundwater abstractions from wells and springs (safe yield).

— The actual groundwater abstraction

reaches presently approximately 180 % of the safe yield.

Total Refugee Refugees/ Total Population Refugees in Host Community/ Total Refugees Refugees in Camps/Total Refugees

1,265,514 13% 89% 11%

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THE DECLINE OF THE DEAD SEA

(425) (420) (415) (410) (405) (400) (395) (390) (385) 1930 1933 1936 1942 1945 1948 1951 1954 1957 1960 1963 1966 1969 1972 1975 1978 1981 1984 1987 1990 1993 1996 1999 2002 2005 2008

Shrinkage of surface area

Drop of the Dead Sea Level

(metres below sea level vs. time in years)

Sinkhole formation

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Save the Dead Sea from environmental degradation Build a symbol of peace and cooperation in the Middle East, and to Facilitate Public-Private partnership (BOT) scheme

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Establish a secure and affordable water supply for Jordan and the region

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2016 2008 2013

Two big issues remain outstanding at the end of Study Program:

• 1. Overall Cost is US$10 Billion, for infrastructure that sits almost

exclusively in Jordan, which is not available;

• 2. Consequences of mixing Red Sea and Dead Sea waters at more than

400 MCM/year (700 MCM/year needed to stabilise the Dead Sea)

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Beneficiary Parties Agreed

Rapid initiation of RSDS Regional Project

First phase to be a pilot Phase Initiating the infrastructure elements of all subsequent project phases

“Phase 1” was conceived based on a Water Swap between Jordan and Israel and the provision of water to the Palestinians from Israel Memorandum of Understanding (MoU) was signed on December 9, 2013 All parties agreed to start Phase 1 As a follow-up on the MoU: § A bi-lateral agreement between Jordan and Israel was signed on Feb 26, 2015 at the Dead Sea in Jordan Agreed on:

§ Phase 1 components and capacities; § Swap Concept; and § Modalities of Project Administration and Responsibilities

OVERCOMING THE CHALLENGES FROM THE WB STUDY

§ An MoU between Israel and the Palestinians is under preparation.

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Power provided from the Jordanian Grid (NEPCO has confirmed the necessary power is available).

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Jordan applying Wheeling Regulations to increases the value of the power generated by the HPP to the Phase I Project.

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Power demand reduced by the inclusion of HPP making use of the difference in level between the Red Sea and the Dead Sea

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The RFP encourages Candidates to consider other ways of reducing the cost of power.

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A Solar IPP could be one of the ways of reducing Project energy costs. MWI will facilitate application of Wheeling Regulations with NEPCO

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EIB Brine Study considering pressure retarded

• smosis as a future renewable resource

Location Demand (MW) Environmental Pipeline

• Intake Pumping Station

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• Booster Pumping Station

21

• Sub-Total

38

• Power generation
• 31
• Net power

7 Desalination Plant 27-33

Overall Phase 1 Project 34-40

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— The following milestones have been achieved on the Phase I Project:

June 2016: received 17 PQ submissions; October 2016: completed first draft of RFP documentation; and November 2016: announced that 5 consortia reached the necessary standards to be taken

May 2017: Completed final RFP documents

— GoJ has:

Allocated land to the Project Secured a tax exemption for the Project Secured funding from EIB for 3 additional studies MOU with NEPCO securing power for the Project signed in Dec 2016 Secured commitment from APC for funding of the International Research Centre Engaged with WB for coverage under the World Bank Guarantee Program Engaged with EIB and Proparco securing their interest in providing finance to the Candidates

“CNTIC Consortium , Suze International, Hutchison Water International , Korea Water Resources , Mitsubishi Corporation”

• Total Number of Prequalified Companies= 21 within (5) Candidates
• Member’s Country of Origin: China, France, Singapore, Italy, Korea, and Japan.
• EPC’s Country of Origin: China, France, Canada, Singapore, Italy, Israel, Korea, and Spain.

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Event

Upon Completion and Circulation of RFP to Prequalified Bidders to Submit their Bids

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Public opening of the bids (technical proposals)

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Evaluation of the technical proposal on a pass/fail basis

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Public opening of the financial proposals

• Only for the bidders which passed the technical evaluation
• The comparable bid prices are read out loud

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Pass/fail assessment of the financial proposal and evaluation of the financial proposal (verification of the comparable bid price)

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Announcement of the Successful Bidder

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Location

Aqaba-Jordan MWI in cooperation with MoPIC, held

“Donors’ Technical Information Conference on May 9, 2016”

• to provide donors with latest technical, legal, financial, and

environmental information; Dead Sea-Jordan

“ Donors’ Pledging Conference on December 1, 2016”

• for the purpose to raise grant funds; more than 150 attendees from:

[US, Japan, Italy, Spain, France, China, S. Korea, Canada, Australia, UK, Greece, PA, Israel, EU, USAID, JICA, EIB, AFD, WB, EBRD, KFW]

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Event Indicative Dates Issuance of the RFP Documents to the Bidders May 2017 Bidders' Conference and Site visit June 2017 Questions submission deadline 28 September 2017 Final Submission Date 30 November 2017 Announcement of the Successful Bidder 28 February 2018 Effective Date (after Financial Close and approval

• f Preliminary Design)
• commencement of the 42 months Construction

Phase 15 November 2018