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Egypt's Need for 86 Billion Cubic Meters of Water by 2017 Attracts Investors and Developers to its Water and Wastewater Sector - Population expansion strains Egypt's water resources, creating opportunities for infrastructure developers
Egypt's Need for 86 Billion Cubic Meters of Water by 2017 Attracts Investors and Developers to its Water and Wastewater Sector

 

PRZOOM - /newswire/ - Dubai, UAE, United Arab Emirates, 2011/06/29 - Population expansion strains Egypt's water resources, creating opportunities for infrastructure developers.

   
 
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With Egypt's population projected to grow from 83 million in 2010 to 95 million in 2015, the country's water resources should be bolstered to deal with the surge in demand for fresh water. Worldwide, the average water availability is approximately 7,000 cubic meters per person per year, whereas in Egypt, it is 860 cubic meters per capita per year. If this state of affairs persists, water scarcity will reach critical levels, and the per capita availability will reduce by half by 2050.

This alarming drop in water availability will be of considerable interest to the water and wastewater sector, as the situation offers abundant opportunities for the development of water and wastewater treatment and distribution and collection networks in the country.

New analysis from Frost & Sullivan (environmental.frost.com), Assessment of Water and Wastewater Sector in Egypt, finds that the sector earned revenues of $1.35 billion in 2010 and estimates to reach $2.37 billion in 2015, due to the increasing water demand in the region. In this research, Frost & Sullivan's expert analysts thoroughly examine the following markets: water treatment and desalination, wastewater treatment, water distribution network and wastewater distribution network.

As fresh water availability is forecast to decline in the coming years, utilities are focusing on wastewater treatment and its recycle and reuse. The Egyptian water and wastewater sector has experienced significant investments, especially from private participants, and it holds promise for both domestic and international water and wastewater infrastructure developers.

"The rising emphasis on the development of the water and wastewater sector due to the substantial infrastructure investments is expected to result in an increase in desalination capacity," says Frost & Sullivan Environmental Research Analyst. "The government approved the public-private partnership (PPP) law in April 2010, and is expected to lay the foundation for privately financed and operated water projects in the waste water and desalination sectors."

Although the inflow of investments bodes well for the sector, participants will be pressured by the challenges such as the lack of connected sanitary sewers, poor operation and insufficient wastewater treatment facilities. While these inadequacies have led to poor water quality and scant infrastructure and municipal services. Alongside, swelling water demand in the neighbouring countries has led to intensifying regional tensions.

The Egyptian Government has acknowledged these issues and intends to resolve them by introducing new water systems in more than 4,600 villages and extending sewer services to all urban areas. These large-scale projects offer ample scope for potential investors and developers in the sector.

Meanwhile, technology providers in the sector should seek partnerships with consultants and engineering, procurement and construction (EPC) contractors that are offering cost-effective technologies.

"They should also consider offering value additions in terms of incremental improvements in design and engineering, operation and maintenance, and on-the-job staff training," notes the Analyst. "These enhancements will have significant impact on the overall cost of the solution without compromising its performance."

If you are interested in more information on this study, please send an email with your contact details to Tanu Chopra / Deepshri Iyer, Corporate Communications, at tanu.chopra[.]frost.com/ deepshrii[.]frost.com

Assessment of Water and Wastewater Sector in Egypt is part of the Environmental Growth Partnership Services programme, which also includes research in the following markets: Water and Wastewater Sector in UAE, Water and Wastewater Sector in KSA and Water and Wastewater Infrastructure Market in Middle East and North African Countries. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan
Frost & Sullivan (frost.com), the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages 50 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 40 offices on six continents.

Assessment of Water and Wastewater Sector in Egypt / P541

Contact:
Nimisha Iyer, Corporate Communications – South Asia and Middle East
P: +91 98200 50519 / F: +91 22 2832 4713 / E: niyer[.]frost.com.

 
 
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Egypt's Need for 86 Billion Cubic Meters of Water by 2017 Attracts Investors and Developers to its Water and Wastewater Sector

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