33515 v 2 The World Bank Bank-Netherlands Water Partnership Seawater and Brackish Water Desalination in the Middle East, North Africa and Central Asia Final Report Annex 1 Algeria December 2004 DHV Water BV, the Netherlands BRL ingénierie, France Seawater and Brackish Water Desalination Disclaimer The views and opinions expressed in this report are those of the author(s) and do not necessarily reflect those of the BNWP, the World Bank, its Executive Directors, or the countries they represent. Any references provided in this document to a specific product, process, or service is not intended as, and does not constitute or imply an endorsement by the World Bank of that product, process, service, or its producer or provider. Annex 1 - Algeria Seawater and Brackish Water Desalination Table of Contents Summary ................................................................................................................5 1 Country profile ......................................................................................................7 2 Water Resources....................................................................................................9 2.1 General .....................................................................................................................9 2.2 Rainfall .....................................................................................................................9 2.3 Water use in Algiers ...............................................................................................10 2.4 Network in Algiers.................................................................................................11 2.5 Future water demand..............................................................................................11 3 Water Resources Management .......................................................................... 13 3.1 National water resources management...................................................................13 3.2 Regional water resources management..................................................................14 3.3 Water demand management...................................................................................15 3.4 Tariffs.....................................................................................................................15 4 Desalination.......................................................................................................... 16 4.1 Existing desalination capacity ................................................................................16 4.1.1 Electrodialysis ........................................................................................................16 4.1.2 Vapour Compression Plants...................................................................................17 4.1.3 Reverse osmosis .....................................................................................................17 4.2 Small plants built by the Ministry of Water ...........................................................17 5 Energy................................................................................................................... 19 5.1 Conventional Energy..............................................................................................19 5.2 Renewable Energy..................................................................................................19 5.2.1 Centre de Développement des Energies.................................................................19 5.2.2 Sonatrach and Sonelgaz..........................................................................................19 5.2.3 New Energy Algeria - NEAL.................................................................................20 6 Water Sector Capacity and Capability.............................................................. 21 6.1 Public sector capacity.............................................................................................21 6.2 Private Sector Participation ....................................................................................22 7 Environmental Issues.......................................................................................... 24 7.1 Introduction ............................................................................................................24 7.2 Environmental Impacts...........................................................................................24 7.2.1 Construction Stage..................................................................................................24 7.2.2 Operational Stage ...................................................................................................25 7.3 Recommendations for Mitigation...........................................................................25 7.3.1 Institutional and Management Mitigation..............................................................25 7.3.2 Physical Mitigation.................................................................................................25 8 Future Developments .......................................................................................... 27 8.1 Large plants planned under the Ministry of Energy...............................................27 8.2 Large plants planned by the Ministry of Water......................................................27 8.3 Other planned projects............................................................................................27 Annex 1 - Algeria 1-1 Seawater and Brackish Water Desalination 9 References............................................................................................................ 29 List of Appendices Appendix A List of existing desalination plants List of Tables Table 1.1 A Statistical Profile of Algeria ............................................................................8 Table 4.1 Desalination plant capacity in Algeria...............................................................16 Table 4.2 Wangnick Desalination Plant inventory 2002 ...................................................16 1-2 Annex 1 - Algeria Seawater and Brackish Water Desalination Map of Algeria Annex 1 - Algeria 1-3 Seawater and Brackish Water Desalination 1-4 Annex 1 - Algeria Seawater and Brackish Water Desalination Summary Water Resources. Algeria is one of the countries in the world with water resources that are well below the threshold adopted by the World Bank. The situation is aggravated by the fact that there is a wrong spatial distribution of the water, seasonal and inter-annual irregularities of the rainfall, filling up of the reservoirs with sediment, vast losses of water due to the aging of the municipal distribution networks, bad management of the resources, pollution, insufficient infrastructure, and a lack of maintenance. The shortage of water affects both the drinking water supplies for the population and the supply of irrigation water for the farmers. Energy. Algeria is totally self-sufficient in energy and has a very high renewable energies potential. Despite this, the application of renewable energy is considered modest when compared to the neighbouring countries of Morocco and Tunisia. Institutions. The Ministry of Water Resources is responsible for the management of the water resources in the country, including the municipal water supply. The Algerienne des Eau (ADE) which is a pat of the Ministry is responsible for the supply of water to the public. Water Supply Sector Performance. Currently some 40% of the water is lost in the distribution system. The aim is to reduce this to 25%. Combating water losses is considered a priority action; therefore 11 towns will be addressed under an Unaccounted for Water (UfW) programme. The technical losses are around 32%. 8% is lost due to illegal connections. The World Bank is presently funding a project for the rehabilitation of the water supply network in a number of major cities, among which Algiers, Oran and Constantine. There used to be a fixed-fee for water supply, but this system is being abandoned. Now people can choose between a fixed fee, which is set rather high, and a bill against a metered supply. Current Status of Desalination. In order to alleviate the water problems Algeria started investing in desalination plants during the sixties. They have been built to support the development of the oil and steel industry,. Many of the plants are owned by Sonatrach, the Algerian national oil company. Another major player in this field is Sonelgaz, an Algerian utility company. The Ministry of Water has recently started the construction of 21 small-scale RO desalination plants with a capacity of less than 5,000 m3/day, to supply towns along the Mediterranean coast, 14 of those plants are located in the central region, the rest in the eastern and western regions. Initially it was planned that all 21 plants would be operational by July 2002. However these plants are only now coming on stream (July 2003). Private Sector Participation. Private Sector Participation in the field of desalination is being encouraged by the Government's plans to develop a large number of desalination plants, some of which will be developed under BOT arrangements. The Ministry of Water Resources stated that although Algeria is open to BOT, the plants may as well be funded by international financiers (e.g. World Bank) or by the Algerian State Budget. The main promoter of desalination BOTs in Algeria is the Algerian Energy Company (AEC), which is owned by Sonatrach and Sonelgaz. Capacity Building. After the first few years of functioning the desalination plants began to operate below their optimum capacities mainly due to the unavailability of skilled labour. The most important recommendation in this respect is to set up training and education of staff working in the sector, but also to increase attention for desalination at the universities in the country. Environmental Impact. There are no guidelines in Algeria for EIA, The Programme d'Action pour la Mediterranée (PAM) as part of the Barcelona Convention has issued guidelines for Annex 1 - Algeria 1-5 Seawater and Brackish Water Desalination assessing desalination projects. No EIA studies have been carried out for the twenty-one emergency monobloc installations. In the littoral zone, there are strict rules about which construction and economic activities are permissible. Future Plans for Desalination. The AEC recently awarded a BOT contract for an 80,000 m3/day desalination plant in Arzew to a consortium called Kahrame. The water will partly be used by Sonatrach for the industrial complex of Arzew. Another part of the water is destined for municipal water supply. The Ministry of Water Resources plans the construction of a total of 28 large-scale desalination plants all along the 1,300 km coast line of Algeria within the next few years, under BOT contracts. The combined capacity of the plants is about 1,950,000 m3/day. The capacities, locations and technologies of these plants will be further assessed under the on-going national desalination study by the French engineering firm Safege. 1-6 Annex 1 - Algeria Seawater and Brackish Water Desalination 1 Country profile Algeria, the second largest country in Africa, has a total area of 2,381,740 km2 and is divided into four main physical regions, which extend east to west across the country in parallel zones. In the north is the Tell which extends 80 to 190 km inland from the coast and has a typical Mediterranean climate with warm, dry summers and mild, rainy winters. This is the most humid area of Algeria, with an annual precipitation ranging from 400 to 1000 mm. The average summer and winter temperatures are 25oC and 11oC respectively. The numerous valleys of this region contain most of Algeria's arable land, and the country's principal river, the Chelif (725 km long) rises in the Tell Atlas and flows to the Mediterranean. The next region, lying to the south and southwest, is the High Plateau, a highland region of level terrain where, together with the mountains and massifs of the Saharan Atlas region to the south, the annual precipitation ranges from 200 to 400 mm. In the High Plateau several basins collect water during rainy periods, forming large, shallow lakes; as these dry they become salt flats called chotts. The fourth region, comprising more than 90% of the country's total area, is the great expanse of the Algerian Sahara which is a region of daily temperature extremes, wind and great aridity with an annual rainfall of less than 130 mm in all places. Much of the terrain is covered by gravel, although the Great Eastern Erg and the Great Western Erg are vast regions of sand dunes. The population of Algeria is approximately 32 million with an annual growth rate of 1.7 % and an overall population density of 11 people per sq km; approximately half of the population is concentrated in the coastal Tell region, with 1.5 million in Algiers (the capital), 600,000 in Oran and 400,000 in Constantine. The population consists almost entirely of Berbers, Arabs and people of mixed Arab-Berber origin, of which over 50% are classified as rural, living in villages and on small farms. Arabic is the dominant (80%) and official language of the country with French and Berber spoken widely. Islam is the state and dominant (99%) religion, principally of the Sunni branch, although there is a small minority of Roman Catholics (0.5%). Agriculture plays a declining but still important role in the Algerian economy and, although employing 22% of the workforce, farming accounts for only about 12% of the gross domestic product (1993). Productivity is relatively low and Algeria is a net importer of food, particularly grain, vegetable oil and sugar. The principal agricultural crops include wheat and barley, potatoes, citrus fruits, grapes, olives, tobacco, vegetables and dates. The livestock sector with over 17 million sheep, goats and cattle; and the fishing industry with annual catches in excess of 70,000 metric tons, are both important sectors. Approximately 3% of Algeria's area is currently arable land, reflecting the massive area of desert in the south of the country. It is estimated that 7 million ha is cropland, 31 million permanent pasture and 4 million in forests and woodland. Annual agricultural yields fluctuate through frequent droughts and the absence of substantial water resources for irrigation, which currently is available over an area of approximately 3,400 km 2. The persistent drought has impacted particularly heavily on the 1995 harvest, which produced only 1.8 tons of cereals per ha. The performance of other crops benefiting from irrigation, such as tomatoes, was better. Just over 10% of the land consists of meadows, pastures and grazing, though the livestock sector is also subjected to climate induced fluctuations. Algeria has the fifth largest reserves of natural gas in the world and ranks fourteenth for oil. Other major mining products are iron ore, pyrites, coal, zinc, lead, mercury and copper; and there are thought to be over 500 million tons of phosphates in the hilly regions of Djebel Onk in the north. Algeria has a worrying rate of deforestation, however, the number of protected areas and their percentage of the total area compares favourably with other TMCs. Annex 1 - Algeria 1-7 Seawater and Brackish Water Desalination Table 1.1 A Statistical Profile of Algeria Topic Geographical region North Africa Area (km2) 2,381,740 km2 Climate arid to semi arid, mild wet winters and hot dry summers along the coast; dry with cold winters and hot summers on high plateau Natural resources petroleum, natural gas, iron ore, phosphates, uranium, lead, zinc Land use: arable land 3 % permanent crops 0 % other 97 % Irrigated lands 5,600 km2 (1998) Environment - current issues soil erosion of overgrazing, desertification, pollution of rivers due to dumping of waste, inadequate supply of drinking water Population 32.2 million (2002) Population growth 1.68 % (2002) Languages spoken Arabic, French, Berber Capital city Algiers Inhabitants 1.5 million Other cities, inhabitants Oran (600,000), Constantin (400,000) Economy oil and natural gas earns 60 % of national budget; GDP USD 177 billion (2001) GDP per capita USD 5,600 (2002) GDP composition agriculture - 17 % industry - 33 % services - 50 % Industries petroleum, natural gas, light industries, mining, electrical, petrochemical, food processing Agriculture wheat, barley, grapes, citrus, olives, sheep, cattle Administrative divisions 48 wilayas (provinces) Source: CIA - The World Factbook 2002 and 2003 1-8 Annex 1 - Algeria Seawater and Brackish Water Desalination 2 Water Resources 2.1 General The climate of Algeria shows a great variation geographically and from year to year. The rainfall in the North of the country along the Mediterranean coast varies from 350 mm in the West to 1000 mm in the East, but it may reach over 2000 mm in the Andes Mountains. In the south however (in the Sahara desert) it is no more than 100 mm per year. Rainfall tends to fall in short periods throughout the year. In addition there is a recent strong variation of the rainfall from year to year. These changes in the climate have their impact on the available water resources. Important climatic changes have been observed in the last century, not only in the Maghreb but also in the whole world. Computer model calculations estimate an increase of the average temperature of 4 degrees in the Maghreb. This is the cause of an increased dryness. This again has an impact on the rainfall that might reduce to 70 percent of current values. Reservoirs will not fill up completely and the ground water basins will not be fed to their full extent. This has a negative impact on the environment (desertification, urban pollution, groundwater bodies becoming saline) Algeria has 17 river basins. These are for planning purposes grouped in five hydrographic regions: four along the north coast and the Sahara. The water resources in Algeria are estimated at 19,400 MCM per year, 14,200 MCM in the four regions in the north and 5,200 MCM in the Sahara. Presently studies are underway to provide better estimates of these figures; especially the potentials of the Sahara water resources might be bigger than the given figure. Algeria is one of the countries in the world that has water resources well below the threshold adopted by the World Bank. In addition to this the situation of the water resources is aggravated by the fact that in Algeria there is a wrong spatial distribution of the water, seasonal and inter-annual irregularities of the rainfall, filling up of the reservoirs with sediment, the vast losses of water due to the aging of the network, the bad management of the resources, pollution, the insufficient infrastructure, lack of maintenance. A study of the rainfall of the last 25 years has revealed that there is an intense and persistent dry period that affects Algeria. It is estimated that the average rainfall is 30 percent less than the average rainfall in the previous period. This dry period has had a negative impact on: · the discharges in the rivers · filling up of the reservoirs · feeding the groundwater aquifers. The last years have aggravated this situation. Rainfall deficits are 50 and 60 percent in the central and eastern parts of the country, respectively. The Government has adopted a new strategy to overcome the problems caused by the dry reduced rainfall. The shortage of water, that affects both the drinking water supplies for the population as well the supply of irrigation water for the farmers, is caused by the following factors: · Rainfalls are approximately 50 percent less than in normal years; · there is a weak infrastructure for mobilisation and transfer of water; · there are losses in the distribution systems and · the management systems are inadequate. 2.2 Rainfall Rainfall in Algeria is irregular, varying by both region and season, with a high proportion of the annual precipitation falling during the cold season. The total water resources of Algeria are 20,000 Annex 1 - Algeria 1-9 Seawater and Brackish Water Desalination MCM but there is a worrying lack of potable water. The domestic annual withdrawal of freshwater is only 35 m3 per caput compared with 72 m3 in Egypt and 50 m3 in Jordan. Similarly, only 15.7% of the total water resources is freshwater compared to 86.0% in Israel and 52.9% in Tunisia. According to the most recently available figures 69% of the population has access to safe drinking water; however, the percentage is significantly lower for the rural population (55%) compared to the urban population (85%). Persistent drought over the past few years in the west of Algeria has focused attention on nation- wide imbalances and shortages in drinking water supplies. Despite access to over 60% of the country's water resources, the increasingly urbanised north of the country is facing serious shortages, particularly in the High Plateaux regions. This is attributable both to an annual population growth of 2.7% and the lack of a national drinking water strategy over the past decade as agricultural and industry requirements have escalated. Local analysts estimate that agriculture and industry will need 40 % of water supplies in 2025. The deteriorating situation has pushed the Ministry of Water Resources to prioritise work on the drinking water network and to draw up a water strategy for the period until 2010. This should help circumvent factors such as massive evaporation levels, which cause losses of 7,000 MCM per year, and is intended to narrow the differences between per capita water availability from region to region. 2.3 Water use in Algiers Until 1986 the Wilaya d'Alger only used deep wells as sources for water supply. Approximately 120 wells were in use. After 1986 the water level fell significantly and 2 large dams were constructed for additional water. This has not solved the problem, and particularly during the past few years (2001-2002) the reservoirs have been empty due to the severe drought. Also, the state of the wells deteriorated, since the Government invested in dams, and therefore saw no need to continue to invest in wells. In 2002 there was water only every other day. One of the emergency solutions has been to transport water by truck and bring it into town. The daily water need of Algiers is some 600,000 m3/day. The Government has decided to construct 21 monoblock desalination plants as an emergency measure. In the Wilaya of Algiers, 6 desalination stations have been installed, in total using 12 modules (some stations have two or three modules). They are located in Zeralda, Palm Beach, Ambenia, Cap Caccine, Bekr Al Kifane and Regaja. The emergency programme has not been a great success, mainly due to bad planning. In the process not enough time was given and no proper studies were carried out, especially regarding the availability of groundwater. The plant at Zeralda was inaugurated on 16 June 2003. The other plants are still not yet working. It was reported during the fieldsurvey that the groundwater level has increased slightly, thanks to rains that fell for the first time in many years. Before that the groundwater level had seen an annual drop. A number of new wells has been built and other have been rehabilitated, giving a yield totalling some 350,000 m3/day. Also, after this year's rainfall, the two reservoirs are full. One of those full reservoirs has two years' of water supply for Algiers. The yield of the wells before the dams were built was some 400,000 - 480,000 m3/day (1986), this dropped to only 110,000 m3/day in 1996. Now, after a rehabilitation programme the yield is again up, to 300,000 m3/day. The drop in yield was caused by ADE not investing in maintaining the wells. If there was a water shortage, they just would open the dams a bit further. 1-10 Annex 1 - Algeria Seawater and Brackish Water Desalination 2.4 Network in Algiers Since 1988 600 km of the water supply network has been replaced (Ø 60- Ø 800mm). The total distribution network is some 270 km long. ADE estimates that losses amount to 51%. It is estimated that technical losses in Algiers are about 15-20%. Other causes of losses are illegal consumption, bursts and incidents. Losses are also caused by the fact that people can opt for a fixed fee connection which does not encourage them to save water. The network consists of 90% ductile iron, 5% ACE, and 5% asbestos. It is the current policy only to invest in ductile iron pipes. Within the framework of the ongoing WB study, some 400 km of the network was checked for leaks, and some 200 leaks were found. These can be classified as follows: 150 leaks: Network 436 leaks: House connections 79 leaks: Instrumentation (bulk flow meters, valves, etc) 78 leaks: Water meters Also as a part of the project, 52 km of pipes in the network has been replaced and some 20,000 water meters were installed. A large quantity of water is being used for agriculture. The farmers however pay very little for the water, and there are many illegal wells. Since long the Government is talking about charging the farmers, but this has not yet materialised. People pay some 20% of the bill for water consumption as a charge for sanitation. Illegal wells are also a problem. There is e.g. a paper mill that uses 7000 m3/day which comes from an illegal well. This amount of water would be enough to serve 35,000 people. People can be disconnected if they don't pay, but this is hardly done mainly due to technical limitations. However, recently some people were taken to court, which has prompted 50% of the non-payers to start paying. 2.5 Future water demand The Algerian government has ambitious plans for seawater desalination in order to alleviate the serious water shortages in cities and towns along the Mediterranean coast. These plans are pursued despite advanced planning for major surface water transfers to the city of Algiers (from the recently completed Taksebt reservoir) and to Oran (from the Lower Cheliff through the Mostaganem- Arzew-Oran [MAO]transfer), and despite low municipal water tariffs (average of about US$ 0.25 per m3), low collection efficiency and high unaccounted-for water (about 50%). The main objective of the desalination program, according to the Minister of Water Resources and his advisors, is to free water from reservoirs in the foothills along the Mediterranean so that it can be pumped up for large-scale irrigation in the High Plains. This should contribute to slow down migration from the High Plains to the crowded coastal plain. The costs of these plans have not been compared to possible alternative investment programs, and even the internal consistency of the policy is debatable (will irrigation actually considerably slow down migration? Desalination is going to be focused on the western and central part of the country, while large-scale irrigation in the Highlands is planned almost exclusively for the eastern part of the country) Another motive for the desalination program is the current drought. Rainfall in Algeria has been below the long-term average for the last 25 years, and during the last three years the country has experienced a severe drought. The uncertainty over future rainfall patterns introduces a strong element of uncertainty in the investment program: If rainfall remains below average, desalination Annex 1 - Algeria 1-11 Seawater and Brackish Water Desalination makes more sense. If rainfall returns to the long-term average, investment in dams and transfer pipelines makes more sense. For the time being, the Ministry of Water plans to invest in both, although it is unlikely to receive the necessary funds to do both from the Ministry of Finance. 1-12 Annex 1 - Algeria Seawater and Brackish Water Desalination 3 Water Resources Management 3.1 National water resources management The Ministry of Water Resources is responsible for the management of the water resources in the country. There are eight directorates in the ministry who between them carry out the various tasks required for the proper water management. They are: · Directorate for Studies and Hydraulic Works · Directorate for the Mobilization of the Water Resources · Directorate for the Provision of Potable Water · Directorate for the Protection of the Environment · Directorate for Irrigation · Directorate of the Budget · Directorate of Human resources, Training and Co-operation, and · Directorate of Planning and Economic Affairs. The tasks of the Directorate for Studies and Hydraulic Works include: to keep the records of the water resources and to evaluate them; to keep the records of the irrigated areas; to make development plans for the water resources at national and regional level; to set-up and maintain an information system. There are three Sub directorates: Water and soil resources, Hydraulic works and Information systems. The Directorate of Water Supply is responsible for providing the population with potable water. It should take all the actions that are needed to reach this objective. In particular these activities include: · Make sure that the population is provided with potable water and that the industry is provided with water as well; · Carry out studies and follow up the realisation of the infrastructural works for the provision of water; · Carry out and follow up the studies, the realisation and the exploitation of the works for the provision of water; · Control of any organisation that is charged with the exploitation and the distribution of water; · Control the preservation and the proper use of the water resources; · Control of the proper functioning of the infrastructure and the installations for production and distribution of the water; Recently the Government has set-up new agencies for management of the water supply and the wastewater management. All of these agencies report to the Ministry of Water Resources. The Algerieen des Eaux (ADE) (Algerian Water company) is an so-called EPIC (etablissement public a caractere industriel et commercial - a national public agency with an industrial and commercial character). It is the task of this agency to provide water to the public in the whole of the country. There were two leading principles when the agency was set up. The first is the decentralisation of the management, which will give the regional agencies great powers as regards decision making and intervention. Secondly the finances have been devolved to these regional bodies. The objectives of this new body are: · Assure the needs for potable water of the population · Assure an efficient management of the resources by putting in place good professionals. · Give water its true value in order that the costs of management and operation can be recovered. The Office National d'Assainissement (ONA) (National Bureau for Waste Water) was established Annex 1 - Algeria 1-13 Seawater and Brackish Water Desalination after it was found that there was a complete lack of interest in the matter of waste water management within the government. This had lead to damage to the environment and to wasting a resource that could be re-used. An important task of the ONA is to develop a policy of re-utilisation of treated waste wastewater. Possible users are the industry, the open spaces in cities, and the agriculture. Much later the treated water may be fed to the groundwater aquifers. The Agence Nationale des Barrages et des Grands Transferts (ANBT) (Agency for the Reservoirs and the Large Transmission mains) will be created in the near future as an EPIC. This new agency will be responsible for the reservoirs and the transfer of water over great distances. It should co- operate with the other agencies such as ADE. The Office Nationale de l'Irrigation et du Drainage (ONID) (National Office for Irrigation and Drainage) will be established as an EPIC out of the present Agency for the management of the irrigation infrastructure. It will be the task of the new office to manage the irrigation and drainage infrastructure more as a commercial organisation . These changes in the organisation of the water management have been laid down in the proper legislation. 3.2 Regional water resources management The Minister of Water Resources is represented in a Wilaya (which is a department within the country) by the Directeur de l'Hydraulique. Yet the Wilaya itself falls under the responsibility of the Ministry of Internal Affairs. In a Wilaya all ministries are represented by a Directeur (education, housing, health, etc.) There are 48 Wilaya in Algeria. These are divided in some 1500 municipalities. The Wilaya d'Alger comprises 57 municipalities. Within Algiers the ADE is responsible for the distribution of the water. The Wilaya carries out large repairs and replacements for ADE. (e.g. any replacement of a length of pipe of over 10 meters is done by the Wilaya.) The main tasks of the Wilaya also include project management, replacement of pipes, construction, including water towers, etc. The Wilaya is also the organisation that installs water meters. ADE has a Agence Regionale d'Alger, which is involved in eight Wilaya's in the region of which the Wilaya d'Alger is one. The World Bank is presently funding a project for the rehabilitation of the water supply network in a number of major cities. The company SAUR is improving the network in Oran, while SEM / BRLi is active in Algiers to rehabilitate the Algiers water supply network. The work in Constantine and Araba will soon be tendered, with other cities to follow. SEM / BRLi addresses in this project aimed at Algiers the technical, commercial, institutional and organisational matters, all aimed at improving ADE, with the support of consultants and input of the Wilaya. The project includes developing a Masterplan, improving company and network performance, and extension of the network. Currently some 40% of the water is lost in the distribution system. The aim is to reduce this to 25%. (The losses in the main transmission lines are in the order of 2 - 3 %.) Combating water losses is considered a priority action, therefore 11 towns are being or will be addressed under an Unaccounted for Water (UfW) programme. Actually the real technical losses are around 32%. 8% is lost due to illegal consumption or illegal connections. Within the framework of a large project for the rehabilitation of the Algiers network, the Wilaya does not only carry out technical work, but also trains and educates ADE staff in technical matters. 1-14 Annex 1 - Algeria Seawater and Brackish Water Desalination 3.3 Water demand management With respect to the new approach to the management of the water resources it should be noted that a number of actions are or will be taken such as: reduction of water use by the farmers and by the users of potable water. The present water demand of the farmers ranges from 8,000 m3/ha/year in the northern regions to 10,000 m3/ha/year on the high plateaux and 20,000 m3/ha/year in the Sahara. A better water use and improved irrigation techniques should permit to reduce this figure by 20 to 30 percent. This important but necessary reduction will be achieved by information campaigns, training but also by a better tariff setting. As regards the domestic water supply a reduction of water losses in the distribution system is needed. At present the water losses are estimated at 45 percent. This should be brought down to 25 percent in the next 10 years. A reduction of wastage of water by the individual users will be achieved by installing more and better meters and by an appropriate tariff setting. This should be accompanied by improvement of the service of the delivery of water. In order to reduce the water demand by the industry the only means is the systematic recycling of water (water re-use) and the adoption of appropriate water saving technologies for industrial production. As a demand management measure, some 500,000 water meters were installed in Algiers in the framework of the above mentioned WB project. 3.4 Tariffs There used to be a fixed-fee for water supply, but this system is being abandoned. Now people can choose between a fixed fee, which is set rather high, and a bill against a metered supply. People are formally not obliged to accept a water meter, but the fixed fee was increased strongly to a level at which it is advantageous for virtually everybody to have a water meter installed. The aim of this is among others to reduce demand. There is a progressive water tariff setting in place. This means that the first 25 m3 per trimester are sold at a low rate (DZD 3 per m3) but any higher consumption is charged at higher prices. Annex 1 - Algeria 1-15 Seawater and Brackish Water Desalination 4 Desalination 4.1 Existing desalination capacity Algeria started investing in desalination plants during the sixties. Table 4.1 lists some of the plants built over the last forty years. As can be seen from this list, they have been built to support the development of industry ­ oil and steel. Ion Exchange is generally not regarded as a desalination process and while included in this table will not be discussed in this report. Most of this capacity was installed to support the petrochemical industry plants in Arzew and Skikda and are located on the coast. Table 4.1 Desalination plant capacity in Algeria Location No. of Output, Industry Processes Units m3/d use Arzew 14 35,328 Oil, gas MSF, IE,TC, ED Skikda 4 29,750 Oil, MSF, IE fertilizers Hassi-Messaoud 6 4,070 Oil ED Annaba 9 30,560 Steel, oil MSF, IE Mostaganem 1 57,600 Paper RO Hassi-Rmel 6 2,070 Gas RO, ED Oran 2 1,720 Power - Total 42 161,098 Processes: IE: ion exchange; TC: thermocompression; ED: electrodialysis;RO: reverse osmosis A fuller list of plants built, together with location, size and type, is given in Wangnick's Desalination Plant Survey (2002). This is shown in Appendix A and is summarised in Table 4.2. See also Figure 4.1. Table 4.2 Wangnick Desalination Plant inventory 2002 Process Sites Units Capacity(M3/day) Feed Water EDR 23 40 20000 Brackish MSF 18 44 111000 Seawater RO 40 68 137000 Brackish VC 20 29 35000 Seawater Total 101 181 303000 As can be seen from the above tables, Algeria has experience in all aspects of desalination. Many of the plants are owned by Sonatrach, the Algerian national oil company. Another major player is Sonelgaz, a major Algerian utility. The various processes are discussed here in more detail 4.1.1 Electrodialysis All of the electrodialysis units were supplied by Ionics and are used to treat brackish water. Most of these plants are located in the Southern part of Algeria and are used to supply potable water for small communities usually associated with oilfield production. There is therefore a good level of technical support. The plants operate on the reversal process which complicates the process design 1-16 Annex 1 - Algeria Seawater and Brackish Water Desalination but simplifies operation as the units are essentially self cleaning. Average size of each unit is 500 m3/day. Multi Stage Flash units are historically favoured by the petrochemical industry as they supply high quality water which may be essential for process reasons. They are also very reliable and easy to operate. Energy efficiency is not as high a priority as it would be with a water utility as low grade energy is often readily available on such sites. Average size of units built to date is 2500 m3/day. Larger units are under consideration. 4.1.2 Vapour Compression Plants Vapour compression plants (VC) have mainly been used in Algeria to supply high purity water for boiler make-up for electricity production. Average size of unit is 1200 m3/day. 4.1.3 Reverse osmosis Most of the reverse osmosis (RO) plants built to date in Algeria have been small brackish water plants. In 1980 a 57,600 m3/day seawater RO plant was built at Mostaganem to supply water for a paper factory. At the time this was the biggest RO plant in the world. The capacity of the units installed varies from 100 ­ 8000m3/day. Figure4.1 Desalination Technology Split Seawater Brackish VC EDR 12% 7% EDR Brackish MSF Seawater RO Brackish VC Seawater Seawater MSF 37% Brackish RO 44% 4.2 Small plants built by the Ministry of Water The Ministry of Water has started the construction of 21 small-scale RO desalination plants (so- called monoblocks) with a capacity of less than 5,000 m3/day and a total capacity of 50,000 m3/day each to supply small towns along the Mediterranean coast, 14 of which are to be located in the central region and 2 each in the eastern and western region, distributed as follows: Wilaya of Algiers 12 plants 30,000 m3/day (together) Wilaya of Boumerdès 1 plant 5,000 m3/day Wilaya of Tipasa 1 plant 5,000 m3/day Wilaya de Skikda 2 plants 5,000 m3/day (together) Wilaya de Tlemcen 2 plants 5,000 m3/day (together) Initially it was planned that all 21 plants would be operational by July 2002. However these plants are only now coming on stream (July 2003). The main reason for the plants not being operational earlier is that the feed-water wells were drilled on beaches without prior geological studies in order to speed up completion of the works, and the geology of the locations chosen appeared to be unsuitable for the wells. The idea of providing feed-water through beach wells nstead of direct i intakes from the sea was to eliminate the need for pre-treatment. Some of the plants listed above have been donated by the private Algerian company Khalifa, including one in the Wilaya of Algiers that was brought on a barge from the Gulf. The other plants have apparently been funded Annex 1 - Algeria 1-17 Seawater and Brackish Water Desalination from the public investment budget under an emergency program to relieve the water shortage in Algiers that occurred in the summer of 2002. All small plants are to be operated by the local units of the recently created national water utility the Algérienne de l'Eau (ADE). ADE is financially very weak and would not be able to pay the electricity bills or to properly maintain the plants unless it is provided with additional subsidies. Figure 4.2 shows a picture of the plant in Zeralda near Algiers. Figure4.2 Desalination Plant, Zeralda, Algiers Supply and installation of the plants was in two batches, one procured through the German firm Linde and one through astate-owned Algerian water engineering firm. The private sector is not involved in the operation and financing of these plants. It is not entirely clear how the desalinated water will be distributed, whether through existing piped networks or through tankers or canisters. 1-18 Annex 1 - Algeria Seawater and Brackish Water Desalination 5 Energy 5.1 Conventional Energy Algeria is totally self-sufficient in energy, producing over 4,392 petajoules of commercial energy and consuming only 785 petajoules (1991); the former being provided by oil and gas reserves, with production increasing by 34% and 244% respectively over the period 1971-91. Similarly there has been a 77% increase in total energy production over the same period. Algeria has a small hydropower capacity, but no geothermal, wind or nuclear power is currently generated reflecting the lack of investment in these sectors, and the massive reserves of hydrocarbons. Investment in the hydrocarbons sector remains critical to Algeria's economic prosperity and, despite security concerns, western oil companies are continuing to develop their operations in southern regions and some notable successes have been registered by companies including Agip of Italy and Anadanko Corporation of the USA. Algeria has the Maghreb's best electricity connection rate, according to a recent report by Sonelgaz, the state electricity and gas corporation, with about 94% of Algerian homes connected to the power grid, following the launch in 1978 of the national electricity plan. Those areas still to be connected are mainly deep desert and high mountains. 5.2 Renewable Energy Algeria has a very high renewable energies potential. Despite this, the application of renewable energy is considered modest when compared to the neighbouring countries of Morocco and Tunisia. This is largely due to the relatively cheap electrical energy which covers over 95 % of the population. 5.2.1 Centre de Développement des Energies The governmental programme on Renewable Energy started in 1982 with the founding of the `Station d'Expérimentation des Equipements Solaires ­ SEES'. This was transformed in 1988 to become `Centre de Développement des Energies Renouvelables - CDER.' The new organisation was given a wider remit covering all of the renewable energy sources. The main goals of CDER are the : · evaluation the Renewable Energy potential · development and application of solar thermal energy · development and application of solar Photovoltaic energy · development and application of geothermal energy · development and application of wind energy · development and application of solar Photovoltaic materials An experimental program was been conducted in the 80's and covered the installation and testing of a significant number of solar energy projects. This program was conducted in conjunction with the local authorities of the wilayas of the southern Saharan regions. The projects were installed in remote communities and were composed of solar water heaters, pv solar pumps, pv lighting systems, solar stills as well as a small solar RO desalination plant. Most of these projects are still in operation. 5.2.2 Sonatrach and Sonelgaz Both of the national utility companies, Sonatrach (active in oil) and Sonelgaz (active in electricity and gas), have their own departments dealing with renewable energies. Sonelgaz has a program for the electrification of 20 villages in the Sahara. Annex 1 - Algeria 1-19 Seawater and Brackish Water Desalination 5.2.3 New Energy Algeria - NEAL Currently, with the economical reforms that are taking place and the increase in energy prices, there is increased interest in renewable energy. Several governmental departments as well as private sector organisations are showing their interest. An example is the creation of New Energy Algeria (NEAL). This was created in July 2002 and is a joint venture between Sonatrach, Sonelgaz and SIM. This company has a very ambitious program in the development and application of renewable energies in Algeria 1-20 Annex 1 - Algeria Seawater and Brackish Water Desalination 6 Water Sector Capacity and Capability 6.1 Public sector capacity Desalination has been applied in Algeria for quite some time already. However, of the desalination capacity installed in the eighties, very limited data is available with regard to financial and technical performance, due to the fact that these data were usually part of the operational data of an entire utility. Yet, in general, after the first few years of functioning the plants started operating below their optimum capacities and this for several reasons: · inappropriate choice and design of the process · lack of maintenance and spare parts, and · unavailability of skilled labour. (Salim Kehal, 2002). This indicates insufficient capacity in the country to develop and maintain desalination projects. One can safely assume that capacity is still underdeveloped, since all studies related to desalination and all tenders with regard to building desalination infrastructure are being carried out by foreign parties will little involvement of national companies, except for the recently created Algerien Electricity Company, which acts as a promoter of desalination plants, upon the instigation of the Algerian government. Salem Kehal (2002) identifies a number of measures to be taken to enable promotion of desalination in the country and contribute to its development, which the Consultant fully supports: · Research and development: further studies are necessary to estimate more accurately the saline water potential and determine the appropriate ways and possibilities for exploitation. · Promoting measures: the decision makers must take adequate measures to promote the use of this technology (reduced taxes and interest rates). · Training and education: set up training and educational programs. The most important recommendation in this respect is the one of training and education of staff currently working in the sector, but also to increase attention for desalination at the universities in the country. For a topic as critical as desalination the country should strive to become less dependent of foreign expertise. The Global Water Report for Algeria identifies a number of bottlenecks for the development of the water sector in the country: · Inefficient institutions leading to poor maintenance and water losses. Serious water losses are caused partially by inefficient maintenance of the networks carried out by the public enterprises and the municipalities. In some cases, it is because of a bad realisation of the networks, aggravated by the lack of an organised and continuous management of the networks, · The lack of well trained and motivated staff. Staff training and development programmes hardly exist. Also, the staff of the public enterprise has little incentives to perform better. · The ineffiencies generated by the lack of financial incentives at corporate level. · The utilities generally do not pay for the water they take, and give the minimum service they can provide. · Financing problems. The financial performance of utilities is going down, because of the fact that there is insufficient pressure on them to improve their financial performance, e.g. through better billing and collection. Collection rate currently stands at some 60% on average. Until the eighties Algeria's water supply planning was mainly focused on water transportation, development of dams, reservoirs etc. After a period of continued drought in the nineties, when dams started running dry and water quality and quantity started to decline, the Ministry of Water Annex 1 - Algeria 1-21 Seawater and Brackish Water Desalination Resources started considering desalination seriously. Addressing water shortages is currently taking place at two main levels in Algeria. First of all, there are efforts to reduce water losses in Algiers, for example under the programme "Réhabilitation du système d'AEP" which is a programme aimed at leak reduction in the water supply network of Algiers, currently estimated at some 40% (technical and administrative losses) Secondly, and more importantly in terms of the expected effects, there is an extreme thrust towards developing desalination plants with very large capacities within a very short time span. This trust has a certain risk to it, as painfully proven by the emergency measures taken in and around Algiers, where serious operational problems occurred when 21 small-scale plants were procured without too much consideration of technical and hydro-geological considerations, particularly with regard to the assessment of the available feed water. Small scale plants are, however, not considered the appropriate solution by the Ministry of Water. Therefore, Safege is carrying out a feasibility study for 10-12 large scale desalination plants with a capacity of between 25,000-150,000m3/day. The basic decision has been taken to use desalination to address the water shortage. The study does therefore not address the investigation of alternative solutions for water supply. The Safege study addresses: · Which is the optimum location for each plant; · What capacity should the plant have; · What will be the cost of such plant, and · How should construction take place, and what is optimum phasing thereof? 6.2 Private Sector Participation Private Sector Participation, especially in the field of desalination, is being boosted by the Government's plans to develop a large number of desalination plants, some of which will be developed under BOT arrangements. Yet, the Ministry of Water Resources stated that although Algeria is open to BOT, the plants may as well be funded by international financiers (e.g. World Bank) or by the Algerian State Budget. The Consultant underlines that IFI or other state loan or grant funding does not exclude the possibility of developing a desalination plant under a BOT scheme. This is demonstrated for example in the wastewater treatment plant that is currently being contracted under a BOT arrangement in Amman, Jordan. 50 % of the cost of this plant is funded by a grant from the USAID. The main promoter of desalination BOTs in Algeria is the Algerian Energy Company (AEC), created in May 2001. It employs some 25 staff, and is basically a project development company, with its focus on power. It is owned on a 50-50 basis by Sonatrach and Sonelgaz. Its purpose is to develop projects by creating project companies in partnership with other firms. Sonatrach and Sonelgaz both are energy companies that are in principle shareholders' companies, but all shares are owned by the Government Its legal from is: "Etablissement Publique à Caractère Industrielle et Commerciale". This means that AEC, which is a commercial company, is fully owned by the government. This gives a safety net in case of commercial failure of a project. Although it is said that the company is independent, this clearly has its limitations. ACE is currently under the pressure from the Government that it moves into desalination. AEC is developing among others the new Hamma desalination project in Algiers. A power plant has been realized in Hamma already (2 x 220 MW, single cycle process). The sea water desalination that is to be linked to it is being tendered. Bids from three consortia have been received: 1. Ionics, Mitsui 2. Geida Group, a Spanish consortium including Cobra, Abensur, Sadite 3. A consortium lead by Barna Investment including Limna Group and Predesa Negotiations concerning the commercial bids will be carried out in autumn of 2003. 1-22 Annex 1 - Algeria Seawater and Brackish Water Desalination The capacity of the Hamma plant will be 200,000 m3/day. The technology specified is RO. This might be the largest RO plant in the world. Some of the water produced is expected to be supplied for municipal uses with the Algérienne de l'Eau as the off-taker. The project will be realised in one phase. The project will be contracted as a BOT, with a 25-years operation for the successful bidder. In order to ensure sufficient independence, AEC is trying to stay away from direct government guarantees, and has therefore Sonatrach as the guaranteed off-taker of the Hamma water project (as it is in the Arzew project). Algerienne des Eaux will distribute the water for Sonatrach and pay Sonatrach for the distributed water. ADE's payment to Sonatrach is guaranteed by a back-to-back agreement with the Government. ADE cannot be a direct partner in the project (taking on the off- take agreement) since their financial standing is not good enough to be a solid guarantor acceptable to international financiers. A solid off-take agreement is the very heart of the development of a BOT project like this one, and the critical argument to making a BOT bankable. The approach for the development of this project is quite a typical one for an AEC desalination project: The equity is provided by AEC (up to 30%), ADE (possibly up to 15%) and the BOT consortium (the balance). The ratio between equity and loans is not known. The projected IRR is 12% for the at-risk project partners. The tariff (cost of production) is expected to be in the range of USD 0.5-0.6. Power costs will be between DZD 2-3 per kWh. The plant is expected to consume some 35-40 MW per year. At Arzew a desalination plant is currently being developed by Kahrama Spa. This is a joint venture of AEC (20%) and Black and Veatch (80%). Kahrama will operate the plant for 25 years. It is an IWPP project, using MSF technology and producing 90,000 m3/day, as well as 314 MW of power. Sonatrach is the guaranteed off-taker of water. Power is delivered to Sonagaz, which is the national power grid operator. 20,000 m3/day will be used for industrial purposes, the rest will be for domestic use. A EPC contract for the power infrastructure was awarded in 2002 to a Japanese consortium of Itochi Corp. and Ishikawajima-Harima Heavy Industries, while the construction contract for the water supply infrastructure was recently awarded to Bentini of Italy. In Skikda, a Spanish consortium of Cobra, Befesa, Codesa and Sadyt was very recently selected for the design, construction, operation and management of a 100,000m3 desalination plant, with a bid of USD 0.74/m3. The consortium will hold a 70% share in the project, the remaining 30% is held by AEC. In Oran construction is underway of a brackish water desalination plants with a planned capacity of 100,000 m3/day. The operator will produce his own power. This makes it a dual purpose plant, however power is only produced to keep the desalination plant running, not for external sales. The capacity of the plant is 600 l/sec (some 50,000 m3/day). This plant takes water from a large lake or depression (chott) south of Oran (20x4km in size), containing 6-8 grammes of salt per litre. Construction started at the beginning of 2003. Degremont is the contractor. The plant will be ready by the end of 2004. The average price the government pays to the contractors is some USD 0.7 per m3. These are thus the cost of the contractor + their profit margin. This price is obviously also linked to the price of gas, which is provided by the State. Another type of private sector involvement is the turn-key delivery by German firm Linde of 12 desalination stations with a total capacity of 50.000 m3/day (20 monoblocs with a capacity of 2500 m3/day each) were constructed. Four of these plants are near Algiers. Unfortunately only 2 are currently operational, due to the fact a design flaw affecting all plants. Annex 1 - Algeria 1-23 Seawater and Brackish Water Desalination 7 Environmental Issues 7.1 Introduction Until the drought of the late 1980s and 90s, Algeria had concentrated its water resources planning on development of dams and reservoirs. When the drought occurred, it was forced to examine the possibilities for desalination more closely. In all twenty desalination plants were built, but due to a design flaw only five of these are operational. These plants are RO in all cases. However, the new plan is to construct on a much larger scale, so that 10-12 plants will be built and become operational by 2005 with capacities between 50,000 and 100,000 m3/day. The water that results from the plants will be for domestic use and to some extent industrial use, and that deriving from reservoirs will be used for agricultural and other purposes. There are also approximately 80 smaller plants using Ionics technology throughout Algeria, producing about 2-10 litres/second; these are used strictly for commercial purposes. There are 30 very small ED plants in the south, serving small populations around oil-producing sites. In Algeria, the littoral zone is 30 km wide, and one-third (11.5 million people) of the country's population live in the region immediately adjacent to the littoral zone ­ that is, close to the coast. Power in Algiers is derived from gas; a 400 MW plant is now being tendered; the power from the plant is to be directly connected to the new desalination plants. Some efforts are being made to combat water losses, as well as strictly providing new water resources: Eleven towns are now being addressed under an Unaccounted-For Water programme, as it is estimated that approximately 40% of the water is lost in the distribution system, to leakage and illegal connections. There is a general feeling that there is a growing respect for water as a precious resource and that awareness for the need for water pollution and conservation is increasing. Although there are no guidelines in Algeria for EIA, the PAM (Programme d'Action pour la Mediterranée) has issued guidelines for assessing desalination projects as part of the Barcelona Convention, which should be ratified in November 2003. No EIA studies have been carried out for the twenty-one emergency monobloc installations. In the littoral zone, there are strict rules about which construction and economic activities are permissible. The government is in the process of defining sensitive areas within the country which deserve protected status through two Algerian consulting firms (client: Cadastre Littoral). 7.2 Environmental Impacts A number of typical environmental impacts of desalination plants, with emphasis on ROs, are discussed in general in the main report of this study (Chapter 8). The more specific problems which may be experienced in Algeria in terms of these impacts and of the situation there are discussed below. In examination of the available material, it appears that issues regarding the Law for Protection of the Littoral Zone would be of the greatest interest in the case of Algeria, by the level of interest that is seen on this topic. However, this statement represents a supposition, and therefore all possible impacts should be examined carefully. 7.2.1 Construction Stage Most of the construction that will take place on the desalination plants planned for the future will occur in the coastal zone. Power plants are also being built or are proposed for the coastal zone 1-24 Annex 1 - Algeria Seawater and Brackish Water Desalination (AEC, brochure), one of which, at Arzew (314 MW), is being built strictly for powering the planned desalination plant. Skikda is a new 800 MW power plant planned for the coastal zone. Construction impacts as discussed in the main report could be expected. As well, potentially affected species that are endangered in Algeria should be protected; however, it is unclear which organisms are both endangered and would affected by such construction. Impacts on tourism and the landscape from a visual perspective should be examined carefully before proceeding. 7.2.2 Operational Stage Energy Use andAir Quality Energy in Algeria is produced mainly from natural gas, which is one of the "cleaner" forms of fossil fuel; however, in order to power the newer, larger plants that are planned, new capacity must be built. The emissions of pollutants (contributing to air pollution) and CO2 (contributing to global warming) that result from the extra power production would add to the country's total emissions. Algeria is not yet a signatory to the Kyoto Protocol, however (UNFCCC, 2003). 7.3 Recommendations for Mitigation 7.3.1 Institutional and Management Mitigation Proper enforcement of any existing environmental or water laws or regulations Algeria has in place a Law for Protection and Conservation of the Littoral Zone. This Law is of great importance to Algeria (Ministere de l'Aménagement du Territoire et de l'Environnement, 2002). Its proper implementation and enforcement will certainly aid in halting any littoral damage in the surroundings of the (proposed/working) desalination plants. Proper implementation of an EIA law or EIA as guidelines under a more basic environmental law would also be of great use. According to the Environment Directory of Algeria, EIA is provided for by a 1990 decree, but only to the extent of preliminary EIA studies. As well, the decree does not apply to "public utility activities". Effective water resources management planning with environmental aspects Algeria already has a Sector Strategy for Water (draft version 2003) under development. However, the environmental aspects of water management and desalination do not figure very strongly into this strategy; of more importance are the economic planning and the availability aspects. More thorough integration of environmental issues into water planning is necessary. Properly developed environmental institutions; ensuring that environmental responsibilities are not divided over too many institutions; clear mission statements regarding environment for involved institutions The Sector Strategy for Water notes that institutions for environmental affairs are poorly developed in Algeria and that especially monitoring capacity is very poor. As well, intersectoral communications are poorly developed. Further awareness-raising for water conservation It is believed that awareness about water has already increased to some point as fees have recently been increased as flat rates if a water meter is not desired. However, campaigns to further increase people's awareness using more positive reinforcement may be helpful in conserving water resources in Algeria. Perhaps NGOs could get involved in such an activity. 7.3.2 Physical Mitigation For the purpose of water conservation Use of drip irrigation for agriculture The Sectoral Strategy for Water mentions the agricultural sector as a major water polluter. Proper Annex 1 - Algeria 1-25 Seawater and Brackish Water Desalination use of water, the best by drip irrigation to most effectively use water (to minimise evaporation, among other benefits) would partially prevent this. As well, proper use of chemicals such as fertilisers and pesticides would prevent excessive runoff of these substances. They are quite often used in greater quantities than necessary, in the misinformed belief that more is better. Improved wastewater treatment for the existing situation The Sectoral Strategy for Water notes that wastewater from domestic, domestic/industrial and industrial sources is already significant, and that it is not treated properly. Proper capacity for treatment should be installed immediately and reuse should be undertaken to the extent possible. Proper disposal of hazardous waste Disposal of hazardous waste is a problem in Algeria (Sectoral Water Strategy, 2003). Particularly waste oil appears to be a problem; 140.000 tonnes are disposed of each year, but only 8% of this amount is recovered for reuse. Hazardous waste requires sanitary, or at least engineered, landfills with thick, clay, high-attenuation capacity, protective layers underneath. Without at least proper protection for soil and groundwater, hazardous materials leach down to these layers and do damage to groundwater resources. In order to protect resources that have not yet been used, hazardous waste disposal and waste management in general are necessary. For the purpose of desalination plant mitigation Marine Environment Mitigation should pay special attention to any protected species that may be associated with the Littoral Law. 1-26 Annex 1 - Algeria Seawater and Brackish Water Desalination 8 Future Developments 8.1 Large plants planned under the Ministry of Energy AEC recently awarded a BOT contract for an 80,000 m3/day desalination plant in Arzew to a consortium called Kahrame led by Black&Veatch (80%) and including the Algerian Energy Company (20%), with a possibility to retrocede a 10% share from Black&Veatch to the company in charge of operating the plant. The water is apparently going to be partly used by Sonatrach to supply the industrial complex of Arzew, thus giving the concessionaire the comfort of a financially viable offtaker. However, another part of the desalinated water is destined for municipal water supply. This part of the water is apparently to be bought by Sonatrach in order to be re-sold to the public utility Algerienne de l'Eau (ADE) whose payments would be backed by a guarantee from the Ministry of Finance. The off-taking arrangements, the financial viability and the physical distribution of that portion of the desalinated water remain apparently unresolved. The plant will use MSF technology and construction is to begin as soon as the financial package is set up and the government guarantee has been secured, which is not yet the case. The financial package apparently was not required to be ready by contract award, and it is now being set up with the help of the public French credit insurance agency Coface, the French agency for the promotion of overseas private investment Proparco and the credit insurance agency OPIC from the US. 8.2 Large plants planned by the Ministry of Water The Ministry of Water Resources plans the construction of a total of 28 large-scale desalination plants all along the 1,300 km coast line of Algeria within the next few years, under BOT contracts. The combined capacity of the plants is about 1,950,000 m3/day. The capacities, locations and technologies of these plants will be further assessed under the on-going national desalination study by the French engineering firm Safege. The study does not include any financial or economic modelling, nor does it include water management studies. It should be noted that the Government has included in the ToR of this project the study for the construction of new desalination plants, without analysing whether conventional water sources can be used to alleviate the water shortages that are expected in the near future. A study as regards the present demand and availability of water could possibly have led to cheaper solutions. Measures regarding demand management might also lead to better use of the available resources, and could even make water available for other uses. Within the program priority is apparently to be given to a plant in Oran for which a tender has been unsuccessfully floated and is now being floated again (100,000 m3/day) for municipal water supply, as well as for a plant in Skikda (60,000 m3/day) for industrial as well as municipal water supply. Apparently an amount equivalent to 25% of the estimated capital costs of these plants (and others in Algiers and Annaba) was inscribed into the Ministry's investment budget for 2003 (Loi de Finance) and it is envisaged to use this as an equity participation by ADE in a planned holding company for the BOT schemes. The agency in charge of tendering the BOT contracts and the off- taker for the bulk water is to be ADE, although it has been discussed that the Agence Nationale des Barrages (ANB) that is suggested to be transformed in a commercial bulk water supply utility could undertake one or both of these roles instead of ADE once its institutional transformation has been decided and completed. 8.3 Other planned projects The Government has planned a number of other desalination projects to alleviate the water supply situation. Annex 1 - Algeria 1-27 Seawater and Brackish Water Desalination · "Algiers 2". This should be a copy of the Hamma IWPP. As soon as a site has been determined, tender documents can go out for this project. (200,000 m3/day, RO); · A plant at Skikda (100,000 m3/day) · A second plant at Oran (in addition to the one planned by the Ministry of Water Resources), with a capacity of 100,000 m3/day. This should be tendered in 2004. 1-28 Annex 1 - Algeria Seawater and Brackish Water Desalination 9 References 1. Retrospectives and potential use of saline water desalination in Algeria. Abdelkarim Sadi, Salim Kehal, EDS Symposium Sharm El sheikh, Egypt, 2002. 2. Water Desalination in Algeria: Experiences and Perspectives. A. Kettab, F. Ammour, S. Oussedik, A. Abbas . International Desalination Association. 2002 Bahrain Proceedings 3. Desalination of Waters in Algeria: Requirement for Education and Training. D. E. Legheraba, M. Diboun. International Desalination Association. 1995 Abu Dhabi Proceedings. 4. AEC (Algerian Energy Company), brochure. 5. California Coastal Commission. 1993. Seawater Desalination in California. Chapter Three: Potential Environmental Impacts / Coastal Act Issues. 6. Environment Directory of Algeria. 2000. Publisher unknown. 7. Ministere de l'Aménagement du Territoire et de l'Environnement. 2002. La Loi Relative a la Protection et la Valorisation du Littoral. 8. Ministere de l'Aménagement du Territoire et de l'Environnement. 2002. La Loi Relative a la Protection et la Valorisation du Littoral. Extraits. 9. MNSRE/MNSIF. Region Moyen Orient et Afrique du Nord Banque Mondiale. 30 juin 2003. Secteur de L'Eau: Elements D'Une Strategie Sectorielle. 10. D.E.S. Legheraba, M.A. Diboun, Desalination of waters in Algeria: requirement for education and training, IDA, 1995 11. Abdelkarim Sadi*, Salim Kehal, Retrospectives and potential use of saline water desalination in Algeria, 2002 12. D. E. Legheraba, M. Diboun, Desalination of Waters in Algeria: Requirement for Education and Training, 1995 13. FAO, Algeria Water Resources Profile, FAO, 199? 14. Global water partnership, WRM Policy in Algeria, 200? 15. Salim Kehal, Retrospective et perspectives du dessalement en Algérie, 2000 16. Ahmed Kettab, Les ressources en eau en Algérie: stratégies, enjeux et vision, 2000 17. Ministère des Ressources en Eau, Les Ressources en Eau d'Algeria, 2001 18. Ministère des Ressources en Eau, La Nouvelle Stratégie du Secteur des Ressources en Eau, 2002 19. Journal Officielle de la République Algerienne, No. 63, Octobre 2000 20. JournalOfficielle de la République Algerienne, No. 24, Avril 2001 21. M. Schiffler (WB Internal briefing note), Seawater desalination in Algeria, 2003 Annex 1 - Algeria 1-29 Seawater and Brackish Water Desalination 1-30 Annex 1 - Algeria Seawater and Brackish Water Desalination Appendix A List of existing desalination plants Annex 1 - Algeria 1-31 Seawater and Brackish Water Desalination List of existing desalination plants Algeria Location Total Capacity m3/d Units Process Equipment Feature Customer Water Qual User Con.Year Plant Supplier Membrane Supplier Arzew 4542 1 ED FM *Unknown SONATRACH BRACK INDU 1971 IONICS USA IONICS USA 265 1 ED FM *Unknown BRACK MIL 1973 IONICS USA IONICS USA 1000 1 ED FM EDR BRACK INDU 1975 IONICS USA IONICS USA 303 1 ED FM EDR BRACK MIL 1976 IONICS USA IONICS USA 227 1 ED FM EDR BRACK INDU 1977 IONICS USA IONICS USA 227 1 ED FM EDR BRACK INDU 1977 IONICS USA IONICS USA 227 1 ED FM EDR BRACK INDU 1977 IONICS USA IONICS USA 400 1 ED FM EDR BRACK INDU 1977 IONICS USA IONICS USA 300 1 ED FM EDR BRACK INDU 1978 IONICS USA IONICS USA 300 1 ED FM EDR BRACK INDU 1978 IONICS USA IONICS USA 379 1 ED FM EDR BRACK INDU 1980 IONICS USA IONICS USA Nedroma 2400 1 ED FM *Unknown SOITEX BRACK INDU 1984 BABCOCK D *Unknown Oil Camps 2407 9 ED FM EDR SONATRACH BRACK INDU 1992 IONICS USA IONICS USA 650 2 ED FM EDR BRACK INDU 1993 IONICS USA IONICS USA 380 1 ED FM EDR BRACK INDU 1995 IONICS USA *Unknown 364 3 ED FM EDR BRACK Unknown 1999 IONICS USA IONICS USA 100 1 ED FM EDR BRACK MUNI 2000 IONICS USA IONICS USA Total 14471 28 Arzew 1440 1 VC HTE TVC SEA INDU 1987 SIDEM F *Unknown Arzew 1560 1 VC HTE TVC SEA INDU 1987 SIDEM F *Unknown Arzew 1720 1 VC HTE TVC SEA INDU 1988 SIDEM F *Unknown Skikda 2896 2 VC HTE TVC SONELGAZ SEA INDU 1987 SIDEM F *Unknown Arzew 500 1 VC HTE TVC SEA INDU 1989 SIDEM F *Unknown Annaba 5000 1 VC HTE TVC SEA INDU 1989 SIDEM F *Unknown Arzew 2000 1 VC HTE TVC SEA INDU 1991 SIDEM F *Unknown Arzew 480 2 VC HTE TVC SONATRACH SEA INDU 1991 SIDEM F *Unknown Skikda 5760 4 VC HTE TVC SONATRACH SEA INDU 1992 SIDEM F *Unknown 1-32 Annex 1 - Algeria Seawater and Brackish Water Desalination Algeria Location Total Capacity m3/d Units Process Equipment Feature Customer Water Qual User Con.Year Plant Supplier Membrane Supplier Ghazaouet 2000 1 VC HTE TVC Government SEA INDU 1992 SIDEM F *Unknown 2400 1 VC HTE TVC ENIP SEA INDU 1999 WEIRWESTGARTHUK *Unknown Skikda 720 2 VC HTE *Unknown SEA INDU 1976 SIDEM F *Unknown Arzew 352 1 VC HTE *Unknown SEA INDU 1977 SIDEM F *Unknown Massaoud 360 1 VC HTE *Unknown SEA MUNI 1978 SIDEM F *Unknown Amenas 260 1 VC HTE *Unknown SEA MUNI 1979 SIDEM F *Unknown Hadjadt 1497 3 VC HTE *Unknown SONELGAZ BRACK POWER 1980 AQUA CHEM USA *Unknown Arzew 1200 1 VC HTE *Unknown SONATRACH SEA INDU 1981 SIDEM F *Unknown Arzew 2880 2 VC HTE *Unknown SONATRACH SEA INDU 1981 SIDEM F *Unknown Mers el Hadjadi 500 1 VC HTE MVC SONELGAZ SEA POWER 1986 TERMOMECCANIC I *Unknown Total 33525 28 Arzew 573 3 ME ST *Unknown SEA INDU 1964 SIDEM F *Unknown Arzew 3000 2 MSF FLASH HST SONATRACH SEA INDU 1967 WEIRWESTGARTHUK *Unknown Arzew 720 1 MSF FLASH *Unknown SEA INDU 1969 SIDEM F *Unknown Skikda 1440 1 MSF FLASH *Unknown SEA INDU 1969 SIDEM F *Unknown Arzew 960 1 MSF FLASH *Unknown SONATRACH SEA INDU 1970 SASAKURA J *Unknown Skikda 382 1 ME HTE *Unknown TOYO SEA INDU 1973 SASAKURA J *Unknown Arzew 3840 2 MSF FLASH *Unknown SEA INDU 1975 SIDEM F *Unknown Arzew 2200 2 MSF FLASH *Unknown SONATRACH SEA INDU 1975 ENVIROGENICSUSA *Unknown Arzew 1920 1 MSF FLASH HST SONATRACH SEA INDU 1975 WEIRWESTGARTHUK *Unknown Skikda 24000 3 MSF FLASH *Unknown SONATRACH SEA INDU 1975 SASAKURA J *Unknown Arzew 1100 1 MSF FLASH *Unknown SONATRACH SEA INDU 1976 ENVIROGENICSUSA *Unknown Annaba 14100 3 MSF FLASH *Unknown Petrochemical C SEA INDU 1976 SIDEM F *Unknown 2000 2 MSF FLASH *Unknown SONATRACH SEA INDU 1977 ENVIROGENICSUSA *Unknown Arzew 3264 3 MSF FLASH *Unknown SONATRACH SEA INDU 1978 SASAKURA J *Unknown Arzew 961 1 OTHER FLASH *Unknown SEA POWER 1979 SIDEM F *Unknown Ras Djinet 2000 4 MSF FLASH *Unknown SONELGAZ SEA INDU 1983 KRUPP D *Unknown Jijel 2000 4 MSF FLASH HST SONELGAZ SEA POWER 1988 SOWIT I *Unknown Mers el Hadjadi 2000 4 MSF FLASH HST SONELGAZ SEA POWER 1992 SOWIT I *Unknown Annex 1 - Algeria 1-33 Seawater and Brackish Water Desalination Algeria Location Total Capacity m3/d Units Process Equipment Feature Customer Water Qual User Con.Year Plant Supplier Membrane Supplier Arzew 5678 5 MSF FLASH HST SONATRACH SEA INDU 1993 AQUA CHEM USA *Unknown Bethioua 2000 2 MSF FLASH HST SONATRACH SEA INDU 1993 AQUA CHEM USA *Unknown Bethioua 3000 3 MSF FLASH HST SONATRACH SEA INDU 1993 AQUA CHEM USA *Unknown Arzew 50000 2 MSF FLASH HST BLACK & VEATCH SEA MUNI 2000 PROJECT *Unknown Total 127138 51 Ghardaia 220 1 RO HFM *Unknown SNS BRACK INDU 1979 CHRIST CH DUPONT USA Mostaganem 42000 6 RO HFM *Unknown SONIC BRACK INDU 1977 DEGREMONT F DUPONT USA Reganne 500 2 RO MTU *Unknown INTER COOP BRACK POWER 1975 CULLIGAN I *Unknown Djellal 866 1 RO HFM *Unknown BRACK MUNI 1975 DEGREMONT F DUPONT USA El Outaya 287 1 RO MTU *Unknown ALREM-SON. BRACK INDU 1975 USFILTER USA *Unknown Bou Ismail 200 1 RO HFM *Unknown JUENES BAT. BRACK MUNI 1975 DEGREMONT F DUPONT USA 2006 1 RO MTU *Unknown SONELEC BRACK INDU 1975 USFILTER USA *Unknown Oran 492 1 RO HFM *Unknown FLEURUS BRACK INDU 1976 CHRIST CH DUPONT USA Tenes 250 1 RO MTU *Unknown SACMI BRACK INDU 1977 CULLIGAN I *Unknown Hassi Rmel 912 4 RO MTU *Unknown SONATRACH BRACK INDU 1977 JGC J KOCH FLUID SYST Arzew 1210 2 RO MTU *Unknown SONATRACH BRACK MUNI 1978 ANDERSON CDN *Unknown Ain Smara 480 1 RO SWM *Unknown BRACK MUNI 1978 KRUPP D KOCH FLUID SYST Souk Ahras 4800 3 RO HFM *Unknown FAMATEX BRACK INDU 1978 HAGER&ELSÄSSER DUPONT USA Souk Ahras 4800 3 RO HFM *Unknown SONITEX BRACK INDU 1978 BABCOCK D DUPONT USA Biskra 4440 3 RO HFM *Unknown BRACK MUNI 1978 HAGER&ELSÄSSER DUPONT USA Biskra 4440 3 RO HFM *Unknown SONITEX BRACK INDU 1978 BABCOCK D DUPONT USA Arzew 1298 1 RO HFM *Unknown SONATRACH BRACK INDU 1979 DEGREMONT F DUPONT USA Bucheikif 480 1 RO SWM *Unknown BRACK MUNI 1979 KRUPP D KOCH FLUID SYST Tiaret 480 1 RO SWM *Unknown BRACK MUNI 1979 KRUPP D KOCH FLUID SYST Tenes 150 1 RO MTU *Unknown CHANTIER BRACK INDU 1979 CULLIGAN I *Unknown Sidi Bel -Abbes 718 2 RO SWM *Unknown BRACK INDU 1979 KRUPP D KOCH FLUID SYST Bouchegoufe 1920 1 RO MTU *Unknown SEMPAC BRACK INDU 1980 VATECH WABAG A *Unknown Alger 273 1 RO HFM *Unknown WESTINGHOUSE SEA INDU 1980 EMCO USA *Unknown Tolga 1080 1 RO HFM *Unknown SNEMA BRACK INDU 1981 CHRIST CH DUPONT USA 1-34 Annex 1 - Algeria Seawater and Brackish Water Desalination Algeria Location Total Capacity m3/d Units Process Equipment Feature Customer Water Qual User Con.Year Plant Supplier Membrane Supplier Ghardaia 120 1 RO HFM *Unknown SMIT BRACK INDU 1981 CHRIST CH DUPONT USA Annaba 1500 2 RO SWM *Unknown ENIAL BRACK INDU 1982 OVERHOFF A *Unknown Quenza 3000 1 RO HFM *Unknown WILAYA BRACK INDU 1982 CHRIST CH DUPONT USA 550 1 RO SWM *Unknown SNS BRACK POWER 1982 KURITA J KOCH FLUID SYST Sidi Bel -Abbes 184 1 RO HFM *Unknown SONACOME BRACK INDU 1982 CHRIST CH DUPONT USA Relizane 200 1 RO HFM *Unknown ENCC BRACK INDU 1984 CHRIST CH DUPONT USA 100 1 RO FM *Unknown BRACK INDU 1984 DOW DANMARK DK DOW DANMARK DK Rhourde Nouss 360 3 RO SWM *Unknown SONATRACH BRACK MUNI 1985 SNAM PROGETTI I KOCH FLUID SYST Sig 480 1 RO SWM *Unknown SNTA BRACK INDU 1986 ASTER I *Unknown Maghnia 600 1 RO HFM *Unknown Soap Factory BRACK INDU 1986 CULLIGAN I DUPONT USA 100 1 RO FM *Unknown BRACK INDU 1986 DOW DANMARK DK DOW DANMARK DK Tolga 1350 2 RO SWM HST Limonade BRACK INDU 1990 CHRIST CH TORAY J Jijel 500 2 RO FM *Unknown SONELGAZ SEA POWER 1990 FISIA I DOW USA Alger 600 1 RO MTU *Unknown Khadra Hospital BRACK MUNI 1995 CULLIGAN I *Unknown Total 83946 62 Source: 2002 IDA Worldwide Desalting Plants Inventory No. 17, Wangnick Consulting GMBH and IDA Annex 1 - Algeria 1-35 Seawater and Brackish Water Desalination 1-36 Annex 1 - Algeria