Nuwaiseeb Power project opens doors to private sector investment
Inspired by the successful tendering of the Al-Zour, Khairan, and Shagaya power plant projects, the first phase of the Nuwaiseeb Power Plant, which is expected to generate 3,000 megawatts, will now be tendered as a partnership.
• Implementing energy projects under the Build-Operate-Transfer (BOT) system reduces the financial burden on the state budget and avoids risks that might otherwise fall on the government.
The Ministry of Electricity, Water and Renewable Energy plans to tender the first phase of the Nuwaiseeb Power Plant through the Kuwait Authority for Partnership Projects (KAPP), Al Anba newspaper reported. The project was initially set to be tendered directly by the ministry.
Ministry sources said the decision was influenced by the successful tendering and award of three phases of the Al-Zour North Power Plant, the first phase of the Khairan Power Plant, and the first and second projects of Shagaya Power Plant Phase 3. The first phase of Nuwaiseeb is expected to generate 3,000 megawatts.
The sources added that implementing energy projects under the Build-Operate-Transfer (BOT) system reduces the financial burden on the state budget and avoids risks that might otherwise fall on the government. This success encouraged ministry officials to consider tendering the Nuwaiseeb project as a partnership with KAPP, leveraging the benefits of the BOT model.
Regarding the tender for the Nuwaiseeb Power Plant consultant, which the ministry had previously issued to appoint an international consultant to prepare the project’s tender documents, sources indicated that the ministry is expected to request the Central Agency for Public Tenders to cancel it in preparation for tendering through KAPP.
Sources also noted that the Sabiya Power Plant (Phase IV) is likely to be the ministry’s last project implemented directly, as it is considered a necessary project that can be completed quickly to boost production capacity before the public-private partnership projects come online.
They further explained that “after the launch of Nuwaiseeb Power Plant – Phase I, the number of electricity and water production projects currently under partnership will total five major projects with a combined capacity of 9,100 megawatts,” emphasizing that the ministry has a strategic plan to expand production capacity to meet the country’s future electricity and water needs.
