Water, energy security crucial in sustaining Egypt’s resurgence as a major economic hub
Egypt continues to be one of the most attractive investment destinations in the field of construction and infrastructure development. While the recent political developments have led to a marked slowdown in the national economy over the past several months, construction activities in Egypt continue to hold great promise after the country received a major funding boost from various international financing organizations, including regional neighbors such as the UAE, Qatar and Saudi Arabia.
The UAE has earlier divulged plans to invest in projects collectively worth USD 670 million, while Qatar has offered up to USD 10 billion for construction of two new ports. There is also a USD 220 million funding from the World Bank for sanitation and sewerage projects, while the European Investment Bank (EIB) has earmarked USD 900 million a year to support various public private partnership (PPP) projects in the country, according to a recent report on Egypt Infrastructure – Q1 2012, by Business Monitor International (BMI).
These investments are part of a long-term commitment to accelerate the urban development and cultivate economic growth in Egypt, which has been a critical figure in the long-term stability of the Middle East economy. To sustain the aggressive construction activities in Egypt, parallel initiatives to develop and enhance the country’s water and power infrastructure are likewise urgently needed, according to Drake & Scull International PJSC (DSI), a regional market leader in integrated design, engineering and construction disciplines of Civil Contracting, Mechanical, Electrical and Plumbing (MEP), and Water and Power Infrastructure.
“Investors are looking at the long-term prospects of Egypt as a major economic hub in the Middle East, which explains the sustained influx of foreign investments in the country. Moreover, Egypt plays a strategically important role in the stability of the regional economy, so neighboring countries are therefore strongly committed to help protect Egypt’s economy from the recent political turmoil. However, energy and water security are equally critical factors that will underpin the socioeconomic growth of Egypt. Much like the rest of the Middle East, the unique geographic location of Egypt is contributing to relatively high energy consumption levels along with unprecedented challenges in rising water demand,” said Tawfiq Abou Soud, Executive Director, of Drake & Scull Water and Power .
Responding to the growing demand for specialized expertise and technologies to help expand Egypt’s power and water infrastructure, companies such as Drake & Scull International PJSC have taken the initiative to provide integrated turnkey solutions in partnership with local developers and government entities. A market leader with an impressive engineering history and track record of prestigious projects, DSI Egypt has established MEP and Water and Power divisions that are well-established, well-structured and financially secure, allowing the company to rapidly expand in the local market and aggressively pursue a growth strategy.
DSI oversees several units that offer advanced water and waste-water solutions. Passavant-Roediger, for one, develops efficient and advanced treatment processes for maximizing water reuse. DSI acquired 82 per cent of the leading global developer of wastewater, water and sludge treatment technologies in 2009 to enhance its capabilities in the Middle East’s water and wastewater sector. Passavant-Roediger’s ‘Turbo LM’ is one of the most compact water clarifiers in the market capable of reducing plant carbon footprints and consistently reprocessing water of high quality for multiple re-use applications.
DSI’s strategy has been to source technologies and processes from Passavant Roediger, assign Drake & Scull Construction as the civil contractor, direct construction management to DSWP and pass on installation and building services where required to Drake & Scull MEP. The company’s business strategy has proved highly successful in Egypt, where it is now strongly positioned to increase its market share and secure mega projects. Increased government expenditure and private sector investments towards infrastructure development likewise complement DSI’s expansion drive across the country.
In addition to its exclusively owned engineering technologies, DSI Egypt also focuses on QHSE and adopts policies and procedures to ensure adherence to international quality standards and safety compliance. The business streams of DSI Egypt likewise complement each other, creating exceptional value to clients through seamless engineering and procurement capabilities.
It is clear that as government and foreign investments continue to sustain Egypt’s economic growth and resurgence as a major economic hub, parallel investments in various power and water projects will likewise continue to grow across the country. This will create a corresponding surge in demand for tested technologies and accumulated expertise, opening excellent opportunities for companies such as DSI to develop turnkey solutions that will ultimately bolster energy and water security in Egypt.
