The Hashemite Kingdom of Jordan Ministry of Water and Irrigation Jordan Valley Authority Red Sea- Dead Sea Phase I Project Latest Update 1
Jordan is one of the most water scarce The municipal water deficit has increased countries in the world. by 410% in the last 15 years. Annual precipitation varies between The estimated water deficit in Jordan for 50mm in the desert area and 600mm in domistic use is estimated to exceed 300 the north-west highlands. MCM in 2015, and 600 MCM in 2035. Per capita water availability is very low a Jordan's renewable natural water (140 m 3 /year) which less than 10% of the internationally recognised figure for water resources are estimated to be in the range of 800-850 MCM/year for all uses. poverty line. 275 MCM/year are considered sustainable The population in Jordan has increased by 36% in the last 15 years, with additional groundwater abstractions from wells and springs (safe yield). estimated 1.3 million Syrian refugees. The actual groundwater abstraction Refugees in reaches presently approximately 180 % of Refugees/ Host Refugees in Total the safe yield. Total Community/ Camps/Total Refugee Population Total Refugees Refugees 1,265,514 13% 89% 11% 2
THE D ECLINE OF THE D EAD S EA Shrinkage of surface area (385) (390) (395) (400) (405) (410) Drop of the Dead Sea Level (415) (metres below sea level vs. time in years) Sinkhole (420) formation (425) 1930 1936 1942 1945 1948 1951 1954 1960 1963 1966 1969 1978 1981 1984 1987 1990 1993 1996 1999 2005 2008 1933 1957 1972 1975 2002 3
Establish a secure and affordable water supply for Jordan and the region 1 Save the Dead Sea from environmental degradation 2 Build a symbol of peace and cooperation in the Middle East, and to 3 Facilitate Public-Private partnership (BOT) scheme 4
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; 2013 2008 2016 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) 5
O VERCOMING THE C HALLENGES FROM THE WB S TUDY 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: § An MoU between Israel and the Palestinians is § A bi-lateral agreement between Jordan and under preparation. Israel was signed on Feb 26, 2015 at the Dead Sea in Jordan A greed on: Phase 1 components and capacities; § Swap Concept; and § Modalities of Project Administration and § Responsibilities 6
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Power provided from the Jordanian Grid (NEPCO Location Demand has confirmed the necessary power is available). (MW) Environmental Pipeline Jordan applying Wheeling Regulations to increases the value of the power generated by Intake Pumping Station 17 • the HPP to the Phase I Project. Booster Pumping Station 21 • Power demand reduced by the inclusion of HPP making use of the difference in level between the • Sub-Total 38 Red Sea and the Dead Sea • Power generation -31 The RFP encourages Candidates to consider other Net power 7 • ways of reducing the cost of power. Desalination Plant 27-33 A Solar IPP could be one of the ways of reducing Project energy costs. MWI will facilitate Overall Phase 1 Project 34-40 application of Wheeling Regulations with NEPCO EIB Brine Study considering pressure retarded osmosis as a future renewable resource 10
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 “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. 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 11
Event Upon Completion and Circulation of RFP to Prequalified Bidders to Submit their Bids Public opening of the bids (technical proposals) 1. Evaluation of the technical proposal on a pass/fail basis 2. Public opening of the financial proposals • Only for the bidders which passed the technical evaluation 3. • The comparable bid prices are read out loud Pass/fail assessment of the financial proposal and evaluation of the financial 4. proposal (verification of the comparable bid price) Announcement of the Successful Bidder 5. 12
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] 13
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 15 November 2018 of Preliminary Design) - commencement of the 42 months Construction Phase 14
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