1

INTRODUCTION

I would like to take this opportunity to thank the Saudi

Arabian Water Environment Association (SAWEA) and the

Water Environment Federation (WEF) for co-organizing the

5th Water Arabia Conference & Exhibition that Reviews

Sustaining Water Resources Through Innovative And

Reliable Water And Wastewater Treatment Technologies

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SWCC OVERVIEW

Desalinated

Water

Power

Generation

Water

TransmissionPlants Storage

4.7MCM/Day

Total Installed Capacity

62% of Desalinated

water in the Kingdom

7,305MW

Total Installed Capacity

12%of Production

Capacity in the Kingdom

29Plants

17Different Locations

285No. of Storage Tanks

With Capacity

12.7MCM/Day

7,175 KM

Total Length

12Mixing Station

21Transmission

Systems

56Pumping Station

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MAIN CHALLENGES FACING WATER SECTOR IN SAUDI ARABIA

Limited natural water resources.

Elevated per-capita consumption,

Rapid increase in population and unsustainable growth in water demand.

High costs of water coupled with low tariffs making the sector unsustainable.

Limited private sector participation in the kingdom’s water sector.

Substantial investments required in the near future for new capacity to offset

planned decommissioning of existing desalination plants.

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CURRENT MUNICIPAL WATER MANAGEMENT

Ground/ Surface

Water

Desalinated Water

IW(P)Ps

Riyadh, Jeddah, Makkah, and Taif

Rest of the

Kingdom

Legislation and

Policy

Value Chain

Regulator

Operator

Sewage Collection

Sewage Treatment

TSE DistributionWater

ProductionDistributionTransmission

Management contracts with operators

SWCC

MEWA

MEWA

The sector is committed to significantly enhancing the level of private sector engagement to

help achieve Vision 2030 and NTP objectives.

MEWA

5

5

6,464,293

3,340,549

195,232

10,000,074

0

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

DesalinationPlants

Ground Water Surface Water TotalProduction

Water Capacity Production (m3/day)

Desalination Plants Ground Water

Surface Water Total Production

WATER PRODUCTION BY RESOURCE (M3/DAY)

64.6%

33.4%

2.0%

Desalination Plants Ground Water Surface Water

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DESALINATED WATER IN KSA

64 %28%

8 %

SWCC Private Sector Other

18% 43%

DESALINATED WATER IN SAUDI ARABIA

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VISION 2030- WATER SECTOR OBJECTIVES

• Promoting sustainable water supply sources and improving service coverage.

• Reducing excessive water consumption.

• Achieving customer satisfaction by providing high quality service and reducing waste.

• Reduce the sector dependence on state funding by taking steps toward privatization.

• Improving financial and operational efficiency.

Increasing the capacity of strategic water storage.

Increase the proportion of desalinated water produced by private operators.

Reduce the waste of the water network.

Expand the role of the water regulator.

Attracting private sector participation across the water sector.

Increase digital content to improve customer services.

Reduce water service time

Initiative ExamplesKey Objectives for the Water Sector

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National Transformation Program (NTP) - Vision 2020 Initiatives

1) Strengthen Desalination

Water Resources .

Ensure sustained water resources to all KSA residents and

visitors

2) Increase SWCC Local

Content.

Elevate KSA’s capabilities & entrepreneurship in local

manufacturing

3) SWCC Privatization. Implement Privatization Strategy of SWCC & Enhance the

Operating Model

4) Enhance SWCC

Performance Effectiveness

Ensure water safety & availability through enhancement of

SWCC water production & cost reduction

National Transformation Program (NTP) - Vision 2020 Initiatives

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1) Shown capacities include capacities planned up to 2020

2) Other includes Satellite, Khafji, Rabigh, and Al Akir plants

Source: SWCC, Booz Allen Analysis

SWCC currently has 17 desalination sites dispersed around the Kingdom with installed capacity of ~4.7 Mn m3/day

Current and Planned1) Desalination Plants

(2017)

Key Insights

SWCC currently has 4.7 Mn m3 and

7,300 MW of installed water and

electricity capacity respectively

Production plant portfolio consists of

several technologies:

− MSF: 3.6 Mn m3 / day – 78%

− RO: 0.9 Mn m3 / day – 20%

− MED: 0.1 Mn m3 / day – 2%

The largest 5 plants make up ~90% of

the existing water capacity

Yanbu 3, Shuaiba 4 and five satellite

plants are under construction or under

contracting and will add ~1 Mn m3 /

day of installed water capacity

Farasan

Shuqaiq

Jazan

Abha

K.MoshaitAL-Qunfutha

Albaha

Taif

AL-LithShuaiba

Jeddah

Alazizia Makkah

RabighRiyadh

Al-Hafoof

Alnoairya

Hafr Albatin

Al-Madina

Yanbu

Duba

Haql

AlWajih Buraidah

441 521

575 473

Khobar

Jubail

Ras Alkhair 1051 2650

1177 1589

503 1150

Khafji

Umluj

106 11

Other2)

72

Current

Planned

550 3050

678 785

491

97 108

Installed Water Capacity (1000 m3/day)

Installed Power Capacity (MW)

Desalination plant

Co-generation plant

Under Construction/ContractCurrent

SWCC currently has 17 desalination sites dispersed around the

Kingdom with installed capacity of ~4.7 Mn m3/day

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Water Production vs. Capacity(2013-2017, Mn. m3/day)

2016

3.6

2017

Planned

4.74.5

3.53.6

3.1

20152013

4.6

3.8

+7%

4.6

2.9

2014

Capacity

Production

82% 87% 76% 82%

89% 89% 88% 86%

Capacity

Factor

Availability

95%

96%

*Recorded in April 2017

Key Opportunities

Significant investment needed to meet growing

demand

Demographic dividend with rising per capita incomes

Positive fundamentals as the economy diversifies

Pro-market reforms as part of the NTP and Vision 2030

Actively seeking long term strategic partnerships

SWCC’s Operational Excellence Program

SWCC has embarked on an aggressive program to

Operational Excellence Initiatives :

− Full environmental Compliances.

− Improve Process Safety & Reliability .

− Reduce fuel & Energy consumption .

− Improve Desalination plants efficiency.

− Maximize the Production.

− Reduce the Cost SR/M3

STRONG DEMAND GROWTH CONTINUES TO PLACE STRESS ON SWCC’SPORTFOLIO OF ASSETS PRESENTING SIGNIFICANT PPP OPPORTUNITIES

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OPERATIONAL EXCELLENCE

ASSET

EFFICENCY

• Diagnose and define realistic asset efficiency target by focusing on Water pumps and transmission systems, Steam boilers, steam Turbine and MSF, RO and MED desalinization process optimization with the objective to

• Reduce the operational expenditure induced by those assets by 20%, covering such as energy and power consumption, operational and maintenance costs, chemical costs, fuel cost.

• Identify opportunities to Improve capacity factor of Desalination plant up to 93% and capacity factor of power Generation up to 90%, and plant availability up to 97% and reduce the energy consumption by 10%

• Identify opportunities to Optimize the overall expenditures related to fix and variable Maintenance activities to improve asset availability up to 97% from reducing core assets downtime, by focusing on the following

• Maintenance & Reliability Organization structure, staffing and supervisory skillsets , Work Management Process (Planning, Scheduling, Work order management) , Material and spares management ,Reliability strategies, criticality ranking, preventive maintenance, task management, lubrication, problem elimination , Material Management, warehouse and inventory, kitting, Information management (CMMS, equipment data, parts data, technical documentation,

• Diagnose existing Capital Efficiency to corporate level and Yanbu Sample and contractor management core practices and define realistic improvement efficiency target, by focusing on the following core dimensions:

• Capital project / investment program effectiveness during business planning, front-end loading, design and construction, Contractor Management, namely contract performance, interface management, consumption patterns analysis and contractor performance evaluation

• Identify opportunities to Optimize overall contractor Spend , Optimize capital expenditure for minor Capex investments, and Optimize long term balance between capital expenditure and operational expenditure

• Diagnose existing process and employee Safety core practices maturity both at corporate level and within each of the four site within scope, by focusing on

• Adopt a risk-based approach focusing on key risks areas; in particular, selecting sample areas as well as selected critical elements of the SMS based on experience in similar facilities.

• Through a targeted review of core safety risks at both corporate and site level, help leadership team appreciate key risks areas and priorities to define a roadmap to develop mitigation plans and reduce overall operational risk

• Evaluate the overall corporate culture on each of the different sites and within core corporate functions by focusing on selected leadership team members thorough profiling and coaching, leveraging established practices around felt leadership models.

Workstream Objectives

MAINTENANCE &

RELIABILITY

CAPEX

&

CONTRACTOR

MGT

PROCESS &

EMPLOYEE

SAFETY

CULTURE &

PERF. MGT

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PLANNED DESALINATION PROJECTS – IW(P)PS (UP TO 2025)

Yanbu (4)

450,000

Jubail

1,170,000

3,000

Shuqaiq (3)

380,000

Rabigh (3)

600,000- 1,200,000m3/day

MW

Planned Desalination Projects – IW(P)Ps (Up to 2025)

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PLANNED TRANSMISSION SYSTEMS (UP TO 2025)

Jubail (3) –

Eastern Province

600,000

Jeddah (4) - Briman

400,000

Rabigh – Jeddah

- Mecca - Taif

600,000

Taif – Turba –

Ranyah - AlKhurma

80,000

Shuqaiq (3)

760,000

Yanbu (4) - Medina

900,000Jubail (3) - Riaydh

1,000,000

m3/day

Planned Water Transmission Projects – IW(P)Ps (Up to 2025)

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14

1

(Partners of Success)

7 approved patents in the last ten years from different

countries

14

93

45

263

91

203

SWCC R&D

SWCC adopting R&D in these

Innovative Desalination Technologies :

• Forward Osmosis.

• Mega-ton.

• Adsorption.

• Try-hybride (NF – RO – MED).

• Dia-hybride (NF – RO).

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Desalination is a strategic industry for the kingdom of Saudi Arabia.

Saudi Arabia represents a substantial percentage of the global desalination capacity.

Having the largest global desalination capacity for a long time, SWCC has served over

the years to pioneer and push the envelop of desalination technology, engineering,

reliability and operation excellence.

Accelerate the development and implementation of new desalination technologies.

We aspire to achieve our strategic objectives by forming alliances with global

desalination leaders.

Opportunity for technology partnership in the Desalination industry.

Summary

Thank You