Project Overview

The Ashkelon desalination plant is one of the largest desalination plants in Israel with a capacity of 118 Million cubic meters of potable water per year. With a large capacity, this desalination plant fulfills 15% of Israel’s daily water consumption. 

This desalination plant was built in 2001 by a consortium of IDE Technologies and Veridis. It is one of the largest and most advanced desalination plants in the Middle East. 

It was the first desalination plant in Israel built on a BOT (Build-Operate-Transfer) contract basis. Additionally, its advanced technology includes a patented membrane-based proprietary boron removal system increasing overall efficiency. 

The Ashkelon facility includes an IPP of 80 Megawatts (Independent Power Producer) to generate and supply electricity to the desalination plant. Excess electricity generated is supplied to private clients via the national grid.

Project Background

The Ashkelon desalination plant was initiated in Q4 of 2001. It was Israel’s first desalination plant built on a BOT contract basis. The EPC (Engineering Procurement and Construction) was awarded to the concessionaire VID Desalination Ltd. It is a consortium of IDE Technologies and Veridis. 

Initially, the Ashkelon desalination plant was designed with a capacity of 100 Million cubic meters of potable water. Over the years, this plant was further expanded to produce an additional 18 Million cubic meters of fresh water per year. Thus, the production capacity of the plant is 118 Million cubic meters per year. The water produced is supplied to the Israel Water Authority (National Water Carrier). It was known to provide desalinated water at a low price.

The Ashkelon desalination plant has been under the terms of agreement for 25 years from 2005. Its IPP generates sufficient electricity to function the Ashkelon desalination plant efficiently. Additionally, excess power, if generated, is supplied via the national grid for additional sources of revenue.

Project Location

The Ashkelon SWRO (Seawater Reverse Osmosis) desalination plant is located on southern Israel's Mediterranean coast. It is in the Southern Industrial Zone of Ashkelon. This makes the desalination plant close to water sources simplifying the desalination process.

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Project Timeline

Project Cost 

The Ashkelon desalination plant cost about USD 250 Million. It is a mixture of 23% equity and 77% debt. It was awarded to VID Desalination Ltd. It is a consortium of IDE Technologies and Veridis. It is built on a BOT contract for a concession period of 25 years. The major financial arranger in this project is Bank Leumi International. 

After the concession period, the entire revenue generated will be taken over by Mekorot. An Israeli government National Water Company. 

Contractors & Investors

Contractors

The Ashkelon desalination plant construction contract was given to OTID, a consortium of IDE Technologies and Veolia company. Both the companies equally participated in the EPC. 

Investors

Dankner-Ellern Infrastructure (Israeli investment company) financed the joint venture (VID) to secure funds for the project. Additionally, Bank Leumi was the financial arranger for the Ashkelon plant project.

Project Expansion

The Ashkelon seawater desalination plant was expanded by 20% to meet the increased demand in Israel in 2010. 

A capacity to produce 18 Million cubic meters of clean water was built to reduce the water shortage problem and bridge the growing demand-supply gap. 

In Q4 2010, the Ashkelon desalination plant was commissioned with an additional 18 million cubic meters per annum. The total production capacity of this desalination plant is 118 Million m3/year.

Conclusion 

The Ashkelon desalination plant is renowned as the largest desalination plant in Israel supplying 118 Million m3/year. It began its commercial operation in 2005 and is fulfilling 15% of Israel’s water needs. It was Israel’s first desalination plant constructed as a BOT project for a concession period of 25 years. It received global recognition as the “Desalination Plant of the Year” by the Global Water Awards (Global Water Intelligence) in 2006.

Located near the Mediterranean Sea this desalination facility is known as one of the world’s largest seawater desalination plants in the Middle East with its IPP sufficient to power the plant functioning.

Initially built with a 100 million m3/ year capacity, it was expanded by another 18 Million m3/year. Thus, making it one of the biggest sources of potable drinking water in Israel after the Sorek desalination plant and Hadera desalination plant.

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