Spokesperson Department
Mekorot Development and Enterprise received today, 19 October 2009, three bids in the tender to plan, build
and operate the Seawater Desalination Plant at Ashdod
Mekorot Development and Enterprise Ltd. today received three bids in the turnkey tender to plan and build the seawater desalination plant at Ashdod. The plant is due to produce 100 million cubic meters of fresh water a year. The three consortia that submitted bids are:
1. BGS Desalination Consortium, comprising Shikun u'Binui Holdings Ltd., Granite Hacarmel Ltd. unit Global Environmental Solutions Ltd. (GES), Shafir Civil and Marine Engineering Ltd., and Baran Group.
2. IDE Technologies Ltd.
3. IVM Joint Venture of Minrav Holdings Ltd. and Spain's Sacyr Vallehermoso SA unit SADYT.
The consortia’s bids will be examined by the tenders committee of Mekorot Development and Enterprise. The winning consortium will be announced in the middle of next month.
The project will be implemented by a Special Project Company (SPC) of Mekorot Development and Enterprise, which will be franchisee that will build the plant and operate for a period of 25 years. The company will sign an agreement with the State for the sale of desalinated water for the entire franchise period, and will contact with the set-up company that will be selected in the context of the tender that has been published today.
The seawater desalination plant at Ashdod will be built under the B.O.T. method through collaboration between the private and public sectors, in order to carry out the project at the lowest price and optimize the risk-sharing between the developer, the State, and the financing parties.
In addition, for the first time in Israel, the tender includes an option for the winning party to become a partner in the SPC and in the operation and maintenance (O&M) company, with a holding of up to 40%. The seawater desalination plant at Ashdod is due to begin producing desalinated water in early 2012.
It is important to emphasize that Mekorot Development and Enterprise, which has promised the Israeli government a tight and rigid timetable for implementing the project, meets and will meet with this promise.
Mekorot Chairman Eli Ronen said that the publication of the tender today was an important event that will enable this tight and efficient timetable to be met. The companies that submitted the bids are serious companies, with reputations in the desalination field in Israel and globally. “A tour I recently conducted in California demonstrates that there is no alternative to entering the era of desalination in this part of the world as well. We expect Mekorot Development and Enterprise to participate in this era,” said Ronen.
For further information: Hila Izhak, Mekorot Spokeperson, 03-6230705.