Completing infrastructure ahead of time

10 December 2024

 

In late December 2023, Bahrain opened the Al-Fateh Highway project to traffic five months ahead of schedule. The highway connects key areas in Bahrain, including Manama, Mina Salman, Sitra, Muharraq, Bahrain Bay and Juffair, and opening the scheme promptly has significantly improved traffic in one of the most congested areas of the country.

“The secret to success was implementing the project in stages, combined with excellent traffic management,” says Minister of Works Ibrahim Bin Hassan Al-Hawaj. 

The successful completion of the Al-Fateh Highway project comes at an important time for Bahrain, as it continues to upgrade its road network. 

“The lessons we learned from Al-Fateh Highway are being utilised on other projects. We are working on the Muharraq Ring Road project, and that is also going to be open for traffic well ahead of time,” says Al-Hawaj.

Like Al-Fateh Highway, the Muharraq Ring Road project connects key commercial and residential areas in Bahrain, including North Muharraq, Diyar Al-Muharraq and Dilmunia.

Multifaceted approach

These projects are part of Bahrain’s comprehensive approach to alleviating road traffic.

“In 2016, we launched a study that identified projects that could help ease congestion. It proposed a multifaceted approach that covers many things, including public transport and an intelligent transport system, which introduces automation,” explains Al-Hawaj. 

“We have not implemented everything in the study, but we are working through it gradually with the Traffic Council, headed by his excellency the minister of interior, and including the Ministry of Works, Ministry of Transportation and Ministry of Housing & Urban Planning. We have regular meetings to identify challenges and then put forward suitable projects to solve them,” says Al-Hawaj. 

The Ministry of Works is responsible for maintaining, improving and expanding the road network. Its projects are split into four categories. 

The first two categories are the major projects. The first is building new roads, while the second is improving the existing road network, either by widening roads or upgrading intersections. 

Then there are the other two categories. These are maintaining the existing road network – which is a challenging task with existing traffic – and a fourth category that is known as ‘quick wins’. These small, tactical-level projects can be completed quickly to ease specific traffic black spots. 

“We have about 60 projects under implementation, valued at BD172m ($456.2m), and among these are 14 strategic projects that amount to BD117m,” says Al-Hawaj.

Upcoming schemes

The pipeline of projects under execution will soon be expanded with the addition of a fourth crossing connecting Busaiteen with Bahrain Bay. The Bahrain Tender Board opened prices for the contract to build the signature bridge crossing in late November. 

“The fourth crossing project is going to start in 2025,” says Al-Hawaj.

Looking further ahead, more road contracts will be awarded. “There are more than BD200m of future projects approved, and they will go to tender in the coming two years,” says Al-Hawaj.

There are more than BD200m of future projects approved, and they will go to tender in the coming two years

One of the roads that suffers from high traffic volumes is Sheikh Jaber Ahmed Al-Sabah Highway, from Umm Al-Hassam to the Alba intersection. 

“This is our biggest project in the future. There will be four lanes in each direction, and all the intersections will be free-flowing traffic either by underpass or flyovers. We will get rid of all the traffic lights,” says Al-Hawaj. 

The project will move into the construction phase next year with preparation works. 

“One of the main lessons from the Al-Fateh Highway project is to free the construction zone from any services before construction starts. It will take some time to redirect the existing utilities, and then we will immediately go into construction,” says Al-Hawaj.

Another upcoming major scheme is the Bahrain Northern Link Road (BNLR) project that will run along the northern coast of Manama from the Bahrain Bay area in the east to Madinat Salman in the west. Initial estimates suggest that the scheme, which will have sections onshore and offshore, could cost BD500m to deliver. 

Together with the fourth crossing project and the Northern Muharraq Ring Road, the BNLR scheme will create a new road corridor along the northern edge of Bahrain. 

Unlike other road projects in Bahrain, the BNLR will be delivered as a public-private partnership project. Dar Al-Handasah was selected for the project’s feasibility study in 2022. 

Away from roads, another major area of responsibility for the Ministry of Works is sanitation. At present, 86% of premises in Bahrain are connected to the sanitation network and sewage treatment plants (STPs), and there are plans to connect the remaining 14%.

STP capacity is also increasing. The capacity of Bahrain’s largest plant at Tubli is being doubled, and there is an expansion under way for the STP at Muharraq. The Sitra STP is also being upgraded, using technology from UK company Bluewater, which allows for capacity to increase without adding to the footprint of the site. 

A greenfield project is also planned. “We have a new plant coming soon at Khalifa City,” says Al-Hawaj. 

“We are finalising the drawings, and a tender is expected to be issued in the first quarter of 2025. We will start with 20,000 cubic metres a day, but the ultimate capacity will be 40,000 cubic metres a day.” 

https://image.digitalinsightresearch.in/uploads/NewsArticle/13100800/main.gif
Colin Foreman
Related Articles
  • WEBINAR: Saudi gigaprojects 2026 and beyond

    7 November 2025

    Webinar: Saudi Gigaprojects 2026 & Beyond
    Tuesday 25 November 2025 | 11:00 GST  |  Register now


    Agenda:

    • Latest update to November 2025 on the gigaprojects programme and the Saudi projects market in general, with full data analysis for 2025 year-to-date
    • Latest assessment on the reprioritisation of the programme and views on which of the gigaprojects are being prioritised
    • Summary of key recent project developments and announcements 
    • Analysis of key contracts awarded this year to date
    • Highlights of key contracts to be tendered and awarded over the next six months
    • Key drivers and challenges going forward plus MEED’s outlook for the future short and long-term prospects of the gigaprojects programme
    • In-depth look at the recently announced King Salman Gate gigaproject and other planned, but unannounced PIF developments
    • Life beyond the gigaprojects – what other key project programmes are being implemented in the kingdom 
    • Q&A session

    Hosted by: Edward James, head of content and analysis at MEED

    A well-known and respected thought leader in Mena affairs, Edward James has been with MEED for more than 19 years, working as a researcher, consultant and content director. Today he heads up all content and research produced by the MEED group. His specific areas of expertise are construction, hydrocarbons, power and water, and the petrochemicals market. He is considered one of the world’s foremost experts on the Mena projects market. He is a regular guest commentator on Middle East issues for news channels such as the BBC, CNN and ABC News and is a regular speaker at events in the region. 

    Click here to register

    https://image.digitalinsightresearch.in/uploads/NewsArticle/15045990/main.gif
    Edward James
  • Bahrain advances utility reform

    7 November 2025

     

    In September, Bahrain’s government referred a draft law to parliament to restructure the kingdom’s electricity and water sector.

    This proposes dissolving the Electricity & Water Authority (Ewa) and transferring its assets and functions to a newly established National Electricity & Water Company, which will operate under the oversight of the Electricity & Water Regulatory Authority. 

    The reform marks the first full structural overhaul of Bahrain’s utilities sector in nearly two decades and signals a shift towards a more commercially driven model. 

    Regulatory and operational roles would be separated for the first time, allowing private sector participation under transparent licensing and tariff systems, aligning Bahrain with utility reforms seen in Saudi Arabia, Oman and the UAE.

    It comes amid a relatively subdued year for new contracts that broadly falls in line with 2024’s performance. Most significantly, Bahrain continues to move towards its two upcoming utility public-private partnership (PPP) schemes, the Sitra independent water and power project (IWPP) and the Al-Hidd independent water project (IWP).

    In August, a developer tender was issued for the main works package for the Sitra IWPP. This followed the prequalification of seven companies and consortiums, reflecting a wide range of international interest.

    The planned Sitra IWPP replaces the previously planned Al-Dur 3 and will be the first IWPP project to be awarded since the 1,500MW Al-Dur 2 IWPP was completed in 2021.

    The combined-cycle gas turbine (CCGT) plant is expected to have a production capacity of about 1,200MW of electricity, while the project’s seawater reverse osmosis (SWRO) desalination unit will have a production capacity of 30 million imperial gallons a day (MIGD) of potable water. The main contract is expected to be awarded by the end of the year, with commercial operations set for 2029. 

    A developer tender was also recently launched for Bahrain’s first independent, standalone SWRO plant following a prequalification process that shortlisted nine companies and consortiums.

    The Al-Hidd IWP is expected to have a production capacity of about 60MIGD of potable water and be completed in 2028. It is likely to be the last IWPP for Bahrain, which aims to reach net-zero carbon emissions by 2060.

    The imminent launch of the two projects boosts Bahrain’s projects pipeline, which has experienced muted growth in the aftermath of the Covid-19 pandemic, carried by relatively small-scale projects.

    Solar PV projects

    The creation of the National Electricity & Water Company as Bahrain’s new operational entity could also support the rollout of future renewable energy schemes. 

    As a corporatised offtaker, the company will be able to enter long-term power purchase agreements (PPAs) with private developers under a more bankable framework. Currently, these are negotiated by Ewa on a case-by-case basis.

    The government recently signed a 123MWp solar PPA with the UAE’s Yellow Door Energy, highlighting growing private sector interest in the market. The project includes the world’s largest single-site rooftop solar installation and will be developed at Foulath Holding’s industrial complex in Salman Industrial City.

    Bahrain has already set a target to source 20% of its energy from renewables by 2035 and reach net-zero emissions by 2060.

    In October, Ewa also issued a tender for the development of the Bilaj Al-Jazayer solar independent power project (IPP). The planned 100MW project will be developed on a build-own-operate basis with a 25-year contract term.

    In parallel, Bahrain is broadening its long-term energy strategy beyond solar. In July, the kingdom signed a cooperation agreement with the US on the peaceful use of nuclear energy, aimed at advancing research and potential deployment of small modular reactor (SMR) technology.

    For countries like Bahrain, which has limited land availability and high energy demand growth, SMRs could offer a way to produce low-carbon, reliable baseload power without requiring vast areas of land for solar or wind farms. 

    Officials have indicated that SMRs, along with floating solar solutions, are being studied as part of a broader push to diversify energy sources and expand renewable generation capacity.

    Water and waste

    Bids for four Ewa-owned projects are currently being evaluated. This includes the construction of a new SWRO desalination plant on Hawar Island and rehabilitation works for the Ras Abu Jarjur water treatment plant in Askar. Contracts for both projects are expected to be awarded this year.

    Bahrain’s Ministry of Works (MoW) is the other client for the island-state’s power and water infrastructure-related projects. It has awarded three smaller sewage-related contracts this year.

    It is also preparing to tender the construction of a $130m sewage treatment plant in Khalifa City, which will be developed in two phases. Meanwhile, the construction of MoW’s sewerage scheme phase 2 network in Bahrain remains in the early design stage with no further updates.

    As Bahrain moves ahead with these projects, the new electricity and water law could define how future investments are structured, regulated and financed. This could reshape the kingdom’s utilities landscape for decades to come.


    MEED's December special report on Bahrain also includes:

    > ECONOMY: Bahrain’s cautious economic evolution
    > BANKING: Mergers loom over Bahrain’s banking system
    > OIL & GAS: Bahrain remains in pursuit of hydrocarbon resources
    > CONSTRUCTION: Bahrain construction faces major slowdown
    > TRANSPORT: Bahrain signs game-changer aviation deal with Air Asia

    https://image.digitalinsightresearch.in/uploads/NewsArticle/15044915/main.gif
    Mark Dowdall
  • Masdar and OMV sign 140MW green hydrogen plant deal

    7 November 2025

    Register for MEED’s 14-day trial access 

    Abu Dhabi Future Energy Company (Masdar) has signed a binding agreement with Austrian energy company OMV to develop and operate a major green hydrogen production plant in Austria.

    The 140MW green hydrogen electrolyser plant will be Europe's fifth-largest hydrogen plant, according to Masdar chairman, Sultan Ahmed Al-Jaber.

    It will be built in Bruck an der Leitha, about 40 kilometres southeast of Vienna.

    The facility will be developed under a newly established joint venture, in which Masdar owns 49% and OMV holds the majority 51% stake.

    The agreement was signed at the Abu Dhabi International Petroleum Exhibition and Conference (Adipec), in the presence of Al-Jaber; Austria’s Federal Minister of Economy, Energy and Tourism, Wolfgang Hattmannsdorfer; OMV CEO Alfred Stern; and Masdar CEO Mohamed Jameel Al-Ramahi.

    It is expected that the project will reach financial close in early 2026, subject to final documentation, shareholder consent and regulatory approvals.

    Construction began in September, with operations scheduled to start in 2027.

    OMV, which already operates a 10MW electrolyser in Schwechat, will procure renewable electricity for hydrogen production and retain ownership of the output.

    Several large-scale hydrogen facilities across Europe are currently under construction.

    In 2024, Germany's Siemens Energy signed a deal with German utility EWE to build a 280MW green hydrogen electrolysis plant. This is expected to begin operations in 2027.

    Masdar and OMV previously signed a letter of intent to cooperate on green hydrogen, synthetic sustainable aviation fuels (e-SAF) and synthetic chemicals in both the UAE and central and northern Europe.


    READ THE NOVEMBER 2025 MEED BUSINESS REVIEW – click here to view PDF

    Mena players up the ante in global LNG production race; Investment takes UAE non-oil economy from strength to strength; Project finance activity draws international lenders back to market

    Distributed to senior decision-makers in the region and around the world, the November 2025 edition of MEED Business Review includes:

    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/15040802/main0933.jpg
    Mark Dowdall
  • Firms submit Saudi customs warehouses PPP bids

    7 November 2025

     

    Three Saudi-based firms submitted bids on 29 September for a contract to build new customs warehouses in Saudi Arabia.

    The project is being tendered as a public-private partnership (PPP) on a design, build, finance, operate, maintain and transfer basis, with a contract duration of 15 years, including the construction period.

    The bidders include:

    • Al-Drees Petroleum & Transport Services Company
    • Lamar Holding
    • Mada International Holding

    The contract scope covers the development of 13 warehouses – including the design and construction of 12 new facilities and the renovation of one – across 13 different points of entry in the kingdom, along with the maintenance of all sites.

    The contract also includes the supply of equipment, as well as logistical support and cleaning services, for all new and existing warehouses at 38 points of entry across the kingdom.

    In January, the Zakat, Tax and Customs Authority (Zatca), through the National Centre for Privatisation and PPP (NCP), prequalified five companies to bid, MEED reported.

    The client issued the expressions of interest (EOI) and request for qualifications (RFQ) notices for the project in October last year.

    PPP plans

    In April 2023, Saudi Arabia announced a privatisation and public-private partnership (P&PPP) pipeline comprising 200 projects across 16 sectors.

    The P&PPP pipeline aims to attract both local and international investors and ensure their readiness to participate in the schemes tendered to the market.

    The initiative supports the kingdom’s efforts to enhance the attractiveness of its economy and increase the private sector’s contribution to GDP.


    READ THE NOVEMBER 2025 MEED BUSINESS REVIEW – click here to view PDF

    Mena players up the ante in global LNG production race; Investment takes UAE non-oil economy from strength to strength; Project finance activity draws international lenders back to market

    Distributed to senior decision-makers in the region and around the world, the November 2025 edition of MEED Business Review includes:

    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/15040496/main.gif
    Yasir Iqbal
  • KBR selected for Iraq gas project

    7 November 2025

    Register for MEED’s 14-day trial access 

    US-based KBR has been selected by Turkiye’s Enka to provide detailed design services for its part of the broader $27bn Gas Growth Integrated Project (GGIP) masterplan.

    KBR was selected to provide the detailed design services after successfully completing the front-end engineering and design (feed) work for Enka’s central processing facility (CPF) package, according to a statement issued by the company.

    The wider GGIP project is being developed by France’s TotalEnergies along with its partners Basra Oil Company (BOC) and Qatar Energy.

    In September, Enka signed a contract to develop a CPF at Iraq’s Ratawi oil field as part of the second phase of the field’s development.

    Enka did not give a value for the contract, but it is believed to be worth more than $1bn.

    The contract covers engineering, procurement, supply, construction and commissioning (EPSCC) of the CPF for the project known as ‘Associated Gas Upstream Project Phase 2 (AGUP2)’.

    The aim of the AGUP2 project, due to start in 2028, is to process oil and associated gas from the Ratawi oil field to increase production capacity to 210,000 barrels a day of oil and 154 million standard cubic feet a day of gas.

    GGIP masterplan

    The GGIP programme is being led by TotalEnergies, which is the operator and holds a 45% stake.

    Basra Oil Company and QatarEnergy hold 30% and 25% stakes, respectively. The consortium formalised the investment agreement with the Iraqi government in September 2021.

    The four projects that comprise the GGIP are:

    • The Common Seawater Supply Project (CSSP)
    • The Ratawi gas processing complex
    • A 1GW solar power project for Iraq’s electricity ministry
    • A field development project at Ratawi, known as the Associated Gas Upstream Project (AGUP)

    The CSSP is designed to support oil production in Iraq’s southern oil and gas fields – mainly Zubair, Rumaila, Majnoon, West Qurna and Ratawi – by delivering treated seawater for injection, a method used to boost crude recovery rates and improve long-term reservoir performance.

    China Petroleum Engineering & Construction Corporation (CPECC) won a $1.61bn contract in May to execute EPC works to build the gas processing complex at the Ratawi field development.

    CPECC’s project team based in its office in Dubai is performing detailed engineering works on the project.

    In August last year, TotalEnergies awarded China Energy Engineering International Group the EPC contract for the 1GW solar project at the Ratawi field. A month later, QatarEnergy signed an agreement with TotalEnergies to acquire a 50% interest in the project.

    The 1GW Ratawi solar scheme will be developed in phases that will come online between 2025 and 2027. It will have the capacity to provide electricity to about 350,000 homes in Iraq’s Basra region.

    The project, consisting of 2 million bifacial solar panels mounted on single-axis trackers, will include the design, procurement, construction and commissioning of the photovoltaic power station site and 132kV booster station.

    Separately, in June, TotalEnergies awarded CPPE an EPC contract worth $294m to build a pipeline as part of a package known as the Ratawi Gas Midstream Pipeline.

    Also, TotalEnergies awarded UK-based consultant Wood Group a pair of engineering framework agreements in April, worth a combined $11m, under the GGIP scheme.

    The agreements have a three-year term under which Wood will support TotalEnergies in advancing the AGUP.

    One of the aims of the AGUP is to debottleneck and upgrade existing facilities to increase production capacity to 120,000 b/d of oil on completion of the first phase, according to a statement by Wood.


    READ THE NOVEMBER 2025 MEED BUSINESS REVIEW – click here to view PDF

    Mena players up the ante in global LNG production race; Investment takes UAE non-oil economy from strength to strength; Project finance activity draws international lenders back to market

    Distributed to senior decision-makers in the region and around the world, the November 2025 edition of MEED Business Review includes:

    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/15040492/main.png
    Wil Crisp