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Kuwait floats tender for Khairan Power and Water Plant – Phase 1

Public-Private Partnership opens bidding for major energy and desalination plant; Khairan station project to add 1,800 MW and 33 million gallons of water daily

Kuwait has officially floated the tender for the Khairan Power and Desalination Plant – Phase 1, a major project aimed at boosting the country’s electricity and water production capacity to meet current and future needs while supporting national development plans.

The Bidding Committee for the Khairan Plant, in cooperation with the Public-Private Partnership Projects Authority and the Ministry of Electricity, Water and Renewable Energy, announced that the project will provide 1,800 megawatts of electricity and 33 million imperial gallons of desalinated water per day, Al-Rai daily reports.

The tender is being offered under the framework of Law No. 39 of 2010 on public shareholding companies for power and desalination projects and Law No. 116 of 2014 on public-private partnerships.

Qualified investors, previously announced in the Official Gazette on December 10, 2023, are invited to obtain bidding documents by October 15, 2025.

The project involves financing, designing, constructing, operating, and maintaining the station, which will be powered primarily by liquefied natural gas and high-pressure natural gas, with gas oil as backup fuel. The plant will be located in the Khairan area, south of Al-Zour, approximately 100 km from Kuwait City.

According to officials, the Khairan project is designed not only to expand power and water supply but also to encourage private sector participation, attract investment, and transfer technology.

It is also expected to generate job opportunities for national cadres, raise service quality, and provide infrastructure to support Kuwait’s broader development plan.

The winning investor will be granted a contract of 28 years and 6 months, including a 25-year commercial operation period during which the plant’s output will be delivered to Kuwait’s electricity and water transmission networks under purchase agreements with the Electricity Authority.

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