Benefiting from private sector capacities in forms of BOO and BOT mechanisms

Document Type : review paper

Authors

• Seyed Hamidreza Kashfi
• Amirhosein Raghimi

Bureau of Financial Resources Mobilization and Private Sector Participation, Iran’s Water and Wastewater Authority

10.22067/jwsd.v1i1.34540

Abstract

Drinking water supply and sanitation are among essential infrastructures in any society. Development of societies depends on appropriate and sustainable water resources and faces many challenges. Undergoing comprehensive developments in one hand, and on the other hand suffering from serious water shortage due to geographical and climatic characteristics, Iran requires implementing water supply projects to meet water needs in urban, hygienic, as well as industrial sectors. Proper management of available water resources and supplying water from nonconventional resources such as desalination facilities and water recycling and reuse are therefore among essential inevitable options which should be considered for future. The need to expand desalination facilities to provide sanitation and drinking water together with the nature of such facilities has provided the grounds for private sector participation to invest on construction of such facilities. Therefore national water and wastewater authority in Iran has considered the participation of private sector in investing and constructing desalination facilities in the form of contracts as an approach which has shown to be successful in recent years. 

Keywords

• desalination
• contract arrangements
• investment risk
• private sector
• guaranteed water purchasing law

---