The Egyptian government will offer EGP 6.5 billion (USD 1.07 billion) of sanitation projects to the private sector on a build-operate-transfer basis this year. The period of ownership ranges from 15 to 20 years.
The government will also invest USD 333 million by June 2012 to complete some pending drinking water and sanitation projects, according to a report issued by the Holding Company for Water and Wastewater. According to another report, Egypt needs USD 666 million to complete all pending water and wastewater projects by June 2012.
According to the Central Agency for Public Mobilization and Statistics, sanitation projects account for EGP 37.6 billion, or nearly a quarter of governmental investments during the sixth five-year plan until the end of 2012. The agency projects the required capacity of drainage and purification to reach about 30 million cubic meters per day in 2016/2017.
Dr. Sharif Attiah, Advisor to the Egyptian Minister of Investment, believes that the partnership projects between public and private sectors, to implement major projects, requires guarantees to private sector companies to eliminate corruption and facilitate the investment process.
According to a report from the PPP Central Unit, Ministry of Finance, there are some projects to be launched during this year, including:
- Wastewater treatment in 6th of October City, at a total cost of EGP 980 million. Urban Communities Authority is to handle the project's implementation in three stages, and is a partnership with the private sector for 20 years.
- Rawash Wastewater Treatment Plant, to purify 2.1 million cubic meters, at a cost of up to EGP 5.5 billion.
Projects Under Construction
There are some projects already initiated by the government, which are under construction, and stopped as a result of political unrest after the January Revolution:
- Nahia Wastewater Treatment Plant, a 25-year project that aims to construct a new sewage treatment plant in Nahia, Giza Governorate, with a capacity of 200,000 cubic meters per day, through a partnership between public and private sectors, to serve the area between the East and West Mariottiah Canal and Al-Libini West Bank, as well as Nahia village in Giza.
- New Cairo Wastewater Treatment Plant, related to the New Urban Communities Authority, which is offered for partnership with the private sector for 20 years, with a total capacity of 250,000 cubic meters a day, to treat wastewater in New Cairo, Madinaty and Al-Mostaqbal cities.
- Alexandria West Wastewater Treatment Plant, related to the Ministry of Housing. Partnership with the private sector aims to raise the station capacity at about 220,000 cubic meters per day and enhance the efficiency of treatment from primary to secondary treatment of all plant's capacity which is 680,000 cubic meters per day.
- Helwan Wastewater Treatment Plant, of the Ministry of Housing, in partnership with the private sector for 25 years. The main purpose of the project is to increase the current capacity in Helwan at 500,000 cubic meters per day, to reach total production capacity to 1,050,000 cubic meters per day, to serve Helwan Governorate as well as some surrounding villages.
- The investor shall finance, design, establish, manage and maintain the station which will be owned by the Ministry of Housing, utilities and Urban Development after termination or end of the decade.
© Zawya 2012
