Published on 29 Jan 2024

Singapore firm awarded urban water project in Ghana

SMEC to help Accra utility service to implement performance-based contract procurement plan

SMEC, a unit of the Singapore-based urban planning and development group Surbana Jurong, has been selected as the contract manager and supervisor of a major project aimed at enhancing water delivery in the Ghanian capital Accra.

Over half of Ghana's water produced is lost before it reaches consumers, leading to significant financial losses for the state-operated Ghana Water Company Ltd. (GWCL). In response, GWCL is aiming to reduce non-revenue water – water that, although distributed, fails to generate revenue, predominantly due to leaks, inaccurate metering, and unauthorised consumption.

The Accra East Water Loss Reduction project aims to lower non-revenue water to 25% through performance-based contracts. Under these contracts, payments, and incentives for the service provider hinge directly on achieving specific outcomes, like tangible reductions in water losses. SMEC will assist GWCL with the performance-based contract procurement, and then act as the client representative, overseeing the contractor's performance throughout each phase of the project.

The project is sponsored by the Ghana Ministry of Sanitation and Water Resources, which has recently secured additional financing from the International Development Association, part of the World Bank Group. This funding is part of the Greater Accra Metropolitan Area Sanitation and Water Project.

SMEC has participated in several water-related projects across Africa. These include leading the design and engineering of Kenya's Thwake Dam; conducting a feasibility study and design for expanding a water treatment plant in Rwanda’s capital Kigali; managing water meter processes for the City of Ekurhuleni in South Africa; providing engineering consultancy for the rehabilitation and expansion of water supply and sewerage infrastructure in Zambia’s Copperbelt Province; and undertaking the design review and construction supervision for key water projects in Uganda.

Water access is a significant challenge for many African countries. Outdated and overburdened infrastructure, frequently managed by struggling public entities, results in expensive and unreliable water services in numerous cities across the continent. The World Bank reports that one in three people in Africa faces water scarcity.

The African water sector required up to US$20bn in investments a year. It offers diverse opportunities, ranging from seawater desalination in arid regions, effective wastewater management, solar-powered irrigation systems to safeguard crops against droughts, and private-sector-backed water distribution infrastructure in rural areas.

References

‘In the market for good practices on performance-based contracts for non-revenue water management’, World Bank Group, 16 June 2016

‘Partnering to provide clean water to Rwandans’, SMEC, 19 February 2020

‘COVID-19: Solving Africa’s water crisis is more urgent than ever’, World Bank Group, 30 April 2020

‘SMEC South Africa appointed water meter management consultant’, SMEC, 07 April 2021

‘Bold action needed for a water-secure Africa’, World Bank Group, 17 March 2022

‘State dignitaries assess progress at Thwake Multipurpose Dam, Kenya’, SMEC, 24 June 2022

‘Adapting to natural disasters in Africa: What’s in it for the private sector?’, International Finance Corporation, 01 November 2022

‘Opportunities for impact in desalination’, British International Investment, 13 December 2022

‘Should private companies play a role in Africa’s water sector?’, African Business, 20 January 2023

‘Investor reveals opportunities in Africa’s drinking water sector’, How we made it in Africa, 26 January 2023

‘SMEC to carry out design review and construction supervision for World Bank Water program, Uganda’, SMEC, 01 June 2023