Tribune News Network
Doha
The Al Wakrah and Al Wukair Sewage Treatment Works (STW) project has come in for praise from several quarters.
Minister of Commerce and Industry Sheikh Mohammed bin Hamad bin Qassim Al Abdullah Al Thani said the signing the contract reflected the confidence Qatar attaches to the role and ability of the private sector to work side by side with the government sector to complete major development projects in various fields, including infrastructure and water treatment projects.
Public Works Authority (Ashghal) President Saad bin Ahmad Al Muhannadi said the project was the first project in the field of drainage infrastructure in Qatar to be implemented within the public-private partnership system.
“The total cost of the project over 25 years of operation is more than QR5.4 billion and the foreign investments in the project are estimated at more than QR2.7 billion.”
He said the new contract comes as a continuation of the efforts made to increase participation of the local and international private sector in the implementation of development projects, which contributes to enhancing the competitiveness of companies and developing the local private sector and thus supporting economic development in the country.
This is in addition to benefiting from global expertise and technological innovations brought by the private sector in the field of project management and implementation, to enhance the level of services provided in various fields, he added.
The Ashghal president pointed out that the project would enhance local spending within the country through the participation of many Qatari companies in subcontracting the services required by the project, which will contribute to stimulating productivity in the local economy and will constitute a strong boost to the country’s industries and services. His Excellency added: "It is expected that 60% of the project’s fixed costs will be spent on local purchases, which include construction materials that will be supplied from local factories, services necessary to establish and maintain the plant, and electrical, mechanical and other equipment."
Qatar Chamber Chairman Sheikh Khalifa bin Jassim bin Mohammed Al Thani said the signing the contract was an important outcome of Law No. 12 of 2020, which regulates partnership between the public and private sectors. It reflects the keenness of the wise leadership and the esteemed government to enhance the role of the private sector in in the country’s sustainable development, he added.
Sheikh Khalifa expressed his appreciation to Ashghal for its confidence in the private sector by launching this vital project, which also opens the door to launching more infrastructure projects under the PPP system.
Qatari Businessmen Association Chairman Sheikh Faisal bin Qassim Al Thani stressed the importance of increasing partnerships between the public and private sectors to implement various projects, as the private sector plays a major role in advancing economic growth.
“This type of partnerships contributes to enhancing the expertise and capabilities of the two sectors and encouraging more investments in all fields.”
Projects Affairs Director at Ashghal Youssef Al Emadi said the new project aims to serve Al Wakrah and Al Wukair areas, which have witnessed significant population growth and remarkable urban development over the past years
Khalid Al Khayareen, Drainage Networks Projects Department Manager at Ashghal, explained that the Consortium of Metito Utilities Limited was selected after conducting a competitive tender that witnessed the participation of international companies.
“The project is well-structured, and coupled with Qatar’s strong credit rating, it resulted in both regional and international lenders providing competitive rates.”
Khayareen said the project’s implementation is scheduled to start during the current year, with all project works to be completed in 2026. Based on the agreement, the executing company will operate and maintain the station for a period of 25 years. After that, the project’s operation and maintenance will move to the Public Works Authority using the same techniques.
Rami Ghandour, Managing Director, Executive Board - Metito Utilities Limited, said, “It is an honour to be appointed by Ashghal as the lead developer of the country’s first public-private partnership in a sewage treatment project, Al Wakrah and Al Wukair STW, alongside our partners Al Attiya Motors and Trading Company and Gulf Investment Corporation. At Metito we are integrating the latest technologies as we invest close to 1 billion dollars.”
Abdul Aziz Al Attiya, Chairman of Al Attiya Motors and Trading Company, said, “Al Attiya Company is the largest shareholder in this consortium, which means providing an effective contribution to the capital, in addition to our decades-long experience working within the country. We are proud to award this contract via public-private partnership for the next 25 years, with the local and global expertise that our consortium has.”
Meshary Al Judaimi, Deputy CEO and Group Head of Principal Investments – Gulf investment Corporation, said: “Gulf investment Corporation is a strategic investor and a leading Gulf institution that was established in 1983. In line with the corporation's strategy to focus on sectors with high added value to the economies of the region, the corporation has chosen water, energy and infrastructure development projects as one of the most important sectors it contributes to. There is no doubt that Qatar, through the Public Works Authority, has demonstrated its ability to involve the public and private sectors in the development of huge and very important infrastructure projects."