The consortium of Veolia and Alkhorayef Water and Power has established a joint company “ERWAA Water” to execute the contract.

Saudi Arabia’s Public Investment Fund (PIF)-owned National Water Company (NWC) has awarded two contracts worth approximately $154mn (SAR579mn) for the management and operation of the water treatment services in the Central and Eastern Clusters of the Kingdom.

The $95.4mn (SAR358mn) Management Contract for the operation and maintenance of the water and environmental treatment services in the Central Cluster within the Riyadh region was awarded to Alkhorayef Water & Power Technologies (AWPT), a unit of Saudi’s Alkhorayef Group, in partnership with Veolia.

This is another major milestone achieved by Alkhorayef Water & Power Technologies (AWPT) towards the implementation of water concession initiative.

The consortium of Veolia and Alkhorayef Water and Power have established a joint company called “ERWAA Water” to undertake the execution of this contract and future contracts won by the consortium.

The company will manage the operation and maintenance of water and environmental treatment services in Riyadh Region by raising the operational efficiency and technical knowledge, quality, and availability of services, which the contract serves.

Alkhorayef Water & Power Technologies said in a statement: “This is a major step towards further expanding AWPT’s dominance in the water and wastewater sector in the KSA. Our CEO, Rami Moussilli, along with Veolia, our consortium member, has signed the central cluster management contract, paving the way for the concession initiatives in the Kingdom of Saudi Arabia.”

The other $58.9mn (SAR221mn) contract was signed with Saudi Miahona Alliance, the French group Saur, and the Philippine company Manila Water for the operation and maintenance of the Eastern Cluster.