10 bid for Tuas desalination plant

Ten established local and international companies with good track records in the water business have bid for the second and largest desalination plant to be built at Tuas, said PUB on Friday.

The tender, which closed on Thursday, ‘attracted competitive bids,’ said a statement from the PUB.

Seven base tender offers and two alternative tender offers were received.

To be completed by 2013, the plant will be constructed under a Design, Build, Own and Operate (DBOO) arrangement and will supply 70 imperial million gallons (or 318,500 cubic metres) of desalinated water a day over the 25-year period from 2013 to 2038.

The first-year price varies from $0.45 to $1.67 per cubic metre.

The tender price will be evaluated based on the levelised tariff over the 25-year term and the tenderer’s technical and financial capabilities to deliver the project within its implementation schedule, and to operate the plant to produce desalinated water of required qualities and quantities over the 25-year term.

‘Of major concern will be the robustness of the process design, operational strength based on their track record in delivering similar projects, and financial strength,’ said the PUB.

The 70mgd desalination plant project is PUB’s fourth DBOO project, the first three being the 30mgd Singspring desalination project, the 32mgd Keppel-Seghers Ulu Pandan NEWater Plant and the 50mgd Sembcorp Changi NEWater Plant.

The tender is expected to be awarded by the end of the year.

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