Dubai is set to award the first contract for its $6.8 billion mega sewerage tunnels project in 2025, reports Zawya.
This strategic initiative, led by Dubai Municipality, is valued at 25 billion UAE dirhams and aims to transform the current sewage infrastructure into a gravity-fed, energy-efficient system designed to last for 100 years.
Ahmad Al-Sabbah, Investment & PPP Expert at Dubai Municipality, shared updates at the PPP MENA forum, confirming that the feasibility study for the initial package has been completed, and the project is now in the prequalification stage. The first contract is expected to be signed by the end of 2025.
The Dubai Strategic Sewerage Tunnel (DSST) project will be rolled out in three phases and divided into multiple packages, utilizing a public-private partnership (PPP) model over more than seven years. The consortiums involved will handle the design, construction, financing, operations, and maintenance (DBFOM) of the infrastructure before transferring it back to Dubai Municipality.
US-based Parsons, serving as the technical advisor for the project, announced that DSST would be delivered through six packages. In mid-2023, Dubai's Executive Council, chaired by Crown Prince Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, approved the project in collaboration with the private sector, with a total investment of AED 80 billion.
The project includes the construction of two deep wastewater tunnels, along with pump stations and link sewers. Once completed, the new system will replace over 100 existing pump stations across Dubai, cutting wastewater treatment costs, reducing carbon emissions, lowering energy consumption, and preparing the city for future population growth.
According to MEED, Dubai Municipality has already pre-qualified engineering, procurement, and construction (EPC) firms to bid on four of the six packages, with companies from various countries including the UAE, China, Spain, South Korea, and others expressing interest. Tribe Infrastructure serves as the project’s financial advisor, while Ashurst, a UK-based firm, provides legal counsel.
