Bahrain’s government has selected a team of specialist consultants to assist in the preparation of a Request for Proposal (RFP) to be submitted later to prospective investors in a new power and water production plant in the kingdom.

Mott Macdonald will look after the technical aspects, Banque Paribas the financial aspects, and Fresh Fields the legal side.
The project for the new plant might be valued at BD2 billion ($5.3 billion) and will be the biggest independent water and power project (IWPP) in Bahrain. It will be totally funded and executed by the private sector.
This project is included in the Ministry’s 15-year Master Plan (2006-2020) for electricity and water to generate around 4,000 MW of electricity and 90 MIG per day of desalinated water required in 2009.  The extra production capacity is required to cater to the increase in demand and cover the capacity of the existing production units to be retired during this planning period.
The production of electricity and water by the new plant will be purchased by the Bahraini Government according to a long-term power and water purchase agreement (PWPA), which will be entered into between the Ministry of Electricity and Water and the successful bidder.
Meanwhile, Bahrain and other GCC countries have presented their final proposals to a Canadian consultant on the new GCC power grid, it has been revealed.
The project, the first phase of which is expected to be completed in December next year, will allow Bahrain to tap electricity from its neighbours.
Board members of the GCC Interconnection Authority, representing all the six countries, held their third and last meeting in Manama with Canadian engineering-construction firm, SNC-Lavalin. The Bahraini delegation to the three-day meeting was headed by Electricity and Water Ministry Under Secretary Dr Abdulmajeed Al Awadhi.
"All technical and legal aspects of the project were discussed," Dr Al Awadhi said. "These included the operation and maintenance of the project when it is ready, the type of protection each country should have and the trading of electricity between the six countries."
Dr Al Awadhi said the grid was on target to be completed at the end of next year.
"The main objective of the GCC interconnection is the sharing of reserves between the member states without sacrificing individual supply reliability," he noted.
Work on the first phase, which includes the interconnection of Kuwait, Saudi Arabia, Bahrain and Qatar, using submarine cables, will be completed in December next year, said Dr Al Awadhi.
This project is called the GCC North Grid.  Another project connecting UAE and Oman, called the South Grid, has already been completed.
The final phase which will include the interconnection of the South and North Grids will be completed by 2010, said Dr Al Awadhi.
"When the first phase comes on line by the first quarter of 2009, Bahrain will be able to import 600 MW per day when needed and up to 1,200 MW during emergencies," he revealed.
"We do not have to build additional plants and the project will also help us reduce spare capacity by 50 per cent."
Each member state will be able to import up to the value of its interconnection size, which for Bahrain is 600 MW per day.
Bahrain owns nine per cent of the authority, which has an authorised capital of $1.1 billion (BD415.8 million).
Bahrain's current electricity production is 2,700 MW, while the demand this year so far peaked at 1,950 MW.
The demand is expected to reach 2,100 MW in the coming two months, said Dr Al Awadhi.
"Though we have enough capacity, we always advise people to conserve power," he added.