JRSP Infrastructure Plan
The JRSP water conveyance system has been conceptually planned as a network of large diameter pipelines and pump stations placed at or near ground surface to minimize construction costs while maximizing system flexibility. The engineering conceptual plan includes some of the world’s largest facilities for water treatment/desalination, conveyance piping and pumping. The JRSP Master Developer will be responsible for the construction and operation of the JRSP infrastructure.
The primary infrastructure elements of the JRSP include:
• Seawater Pump Stations: The seawater conveyance concept utilizes three (3) primary seawater pump stations: one Intake Pump Station and two seawater Booster Pump Stations. In total, the seawater pumping will require approximately 292,800 hp of pumping energy.
• Seawater Pipelines: The seawater intake, and seawater and brine conveyance pipelines will require nearly 525 km of 2.7 to 3.7 meter diameter steel pipe.
• Freshwater Pipelines: The freshwater conveyance pipelines will require 348 km of 1.0 to 2.1 m diameter steel pipe.
• Desalination: Two large scale seawater reverse osmosis (SWRO) desalination facilities will produce 930 mcm per year of freshwater. One of these facilities is anticipated to produce 850 mcm of freshwater per year.
• Hydropower Station: In total, the JRSP is estimated to consume 995 MW per year of electricity. Two (2) seawater and one (1) freshwater hydropower stations will be constructed to capture approximately 180 MW of electrical energy per year. This represents 18% of the Project’s power needs. In the future, pump-storage hydropower projects could be developed for additional power requirements. An overview of the JRSP water infrastructure facilities is provided in Figure I-1 on the following page.
Part II – Infrastructure Plan is a summary of the JRSP conceptual engineering concepts, including an overview of the current plan to phase the construction of the infrastructure to match future freshwater demand projections. A detailed summary of the conceptual design used to establish the basic physical and operational characteristics of the JRSP is also presented.
JRSP Public Private Partnership
(PPP) Organizational Plan
The JRSP Project is to be implemented through a PPP. The GoJ will serve as the public entity of the PPP, wherein they will oversee the JRSP implementation, provide long-term water purchase agreements, participate as an equity investor in the JRSP Company through the donation of land grants and right-of-way agreements, and enable the JRSP Project to achieve feasibility,
establish economic development activities, and enable financing. The private component of the PPP will be the JRSP Company. The JRSP Company will plan, build, operate and serve as the financial sponsor of the JRSP. The JRSP Company will be self-financed through both water and land development derived revenues. The JRSP Company will be established and empowered by the GoJ to be the operating body for the JRSP Project. The JRSP Company’s mission and objectives will be defined in the JRSP Implementation Plan developed jointly by the GoJ, the JRSP Master Developer, and the JRSP Master Program Manager. The JRSP Company will be managed through operating agreements between the GoJ, the JRSP Master Developer, and the JRSP Master Program Manager. This organizational structure creates the opportunity for internationally based grants, multi-lateral government and private sector financing and private sector investment. The JRSP PPP will be implemented under authority granted by the constitutional authority of the GoJ cabinet, the Privatization Law that enables PPP frameworks, the Water Authority of Jordan (WAJ Law), the Development Areas Law No. 2 of 2008, the Aqaba Special Economic Zone Law, the Jordan Valley Authority Law and special new JRSP legislation. The JRSP Master Developer is the entity functioning as a Company, Consortium, or Joint Venture that will lead the JRSP Project as a partner in the JRSP Company and have overall responsibility to carry out the requirements of the JRSP Implementation and Financial Plans. The Master Developer entity will include a Master Contractor, Master Infrastructure Operator, and Master Economic Growth Manager. The JRSP Project will be conducted under existing laws and a new JRSP Law, which is anticipated to be approved by the GoJ in 2012. Further operational boundaries will be established in operating and shareholder agreements
to be created for and by the JRSP Company Board of Directors and partners. PPP Organizational Plan presents further details associated with the PPP and information related to the necessary agreements, laws, authorities, and investors required for the implementation, governance and organization of the JRSP Company and the JRSP PPP.
JRSP Economic Growth and Development Plan
The JRSP water infrastructure capital and operational costs likely exceed the amount of potential water related revenues that may be collected through conventional cost-recovery methods typically used for projects of this type. Consequently, in conjunction with the potential related water revenues, the JRSP Company will commence a comprehensive economic growth and development program within Jordan that enhances overall project revenues and creates development related revenue streams in support of the overall project financing plan to prudently repay project debt and provide a reasonable rate of return to project investors. The economic growth and development program will involve planning, financing, designing and constructing multiple residential developments, commercial areas, industrial centers, resort areas and other JRSP related business support functions. The Master Economic Growth Manager will be the responsible entity for these projects and may outsource development activities to other sub-developers. The JRSP development program envisions three principal economic development concepts, which are essentially new cities, resorts and industrial development concepts across multiple sites in Jordan.