Metito, the international desalination, water, and wastewater treatment specialist, stressed on the cost benefits, financial viability and overall community development of outsourcing water treatment services to the private sector at the 3rd Annual Project Finance in the Middle East which was held at the Shangri-la hotel in Dubai.
It is estimated by 2050 the Middle East could face severe water shortage and providing adequate safe water for drinking and sanitation purposes will be a great challenge. Public Private Partnertship commonly known as PPP is an alternate economic solution to meet the rising demand of safe water. Robert Smith, Concession Specialist at Metito delivered a key speech and a presentation which covered a wide spectrum of vital topics stressing on establishing complementary relationships by drawing on the strengths of both public and private sector in the Middle East and the regional water trends.
Robert Smith Concession Specialist at Metito said, “PPP comes with a lot of benefits such as cost savings, efficient facility management, and comprehensive environment stewardship. Our PPP approach is to integrate the public sector, community as well as our professional engineering services to provide adequate safe water and sanitation for all.”
Over the last few years PPP has started to take shape across several industries in GCC countries such as Saudi Arabia, Oman and Egypt. Water and waste water investment in the region is expected to reach a staggering AED 441 billion over the next decade thereby providing a substantial expansion platform for PPP in the Middle East. This expansion will help create jobs in the private sector; provide quality services and facilities for citizens and stakeholders, and lift much of the burden of development from the already overloaded shoulders of the public sector.
He added “Inappropriate cost recovery is another problem in the Middle East mainly caused due to leakages in the existing distribution system, losses due to faulty water meters and unknown connections. Water must be managed as a social good and supported with sound economics. A lack in an appropriate tariff to cover basic production and investment costs will lead to a huge misuse of water. Inappropriate cost recovery, limited use of targeted subsidies and lack of sound investment planning are a few issues which can be addressed through PPP projects.”
