MoU Signed to Build New Generation of Desalination Plant Powered by Renewable Energy in NEOM

ENOWA signs a Memorandum of Understanding (MoU) with ITOCHU and Veolia to collaborate to develop a first-of-its-kind selective desalination plant powered by 100% renewable energy in OXAGON. (SPA)
ENOWA signs a Memorandum of Understanding (MoU) with ITOCHU and Veolia to collaborate to develop a first-of-its-kind selective desalination plant powered by 100% renewable energy in OXAGON. (SPA)
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MoU Signed to Build New Generation of Desalination Plant Powered by Renewable Energy in NEOM

ENOWA signs a Memorandum of Understanding (MoU) with ITOCHU and Veolia to collaborate to develop a first-of-its-kind selective desalination plant powered by 100% renewable energy in OXAGON. (SPA)
ENOWA signs a Memorandum of Understanding (MoU) with ITOCHU and Veolia to collaborate to develop a first-of-its-kind selective desalination plant powered by 100% renewable energy in OXAGON. (SPA)

ENOWA, the energy, water, and hydrogen subsidiary of NEOM, signed a Memorandum of Understanding (MoU) with Japanese trading company, ITOCHU, and Veolia, a global leader in water, waste, and energy management solutions.

As part of the MoU, the companies have agreed to collaborate to develop a first-of-its-kind selective desalination plant powered by 100% renewable energy in OXAGON, NEOM's advanced manufacturing and innovation city.

Set to produce its early-water in 2024, the new facility will be key to realizing ENOWA's ambitions to create a sustainable, abundant water supply for residential, industrial, and commercial use.

Aligned with NEOM's commitment to developing a circular economy, the new state-of-the-art plant will use advanced membrane technology to produce separate brine streams. This enables ENOWA to produce brine-derived products, which will be developed and monetized downstream. Brine, which is usually considered a waste output of desalination, will be used to produce significant quantities of valuable industrial materials that can be used locally or exported internationally.

Commenting on the MoU, CEO of ENOWA, Peter Terium said: "Partnering with global leaders in sustainable water solutions is key to NEOM's ambition to become a global benchmark for integrated sustainable water systems. At ENOWA, our vision is to create a sustainable abundance of life's most essential elements, all in harmony with nature."

"We will be producing, treating, and reusing water in one of the most water-stressed regions in the world, through sustainable, innovative and integrated solutions. This new desalination plant is one example of the type of sustainable infrastructure and circular economy we are developing to meet our zero-carbon footprint and zero-waste goals."

The new plant will meet the water needs of NEOM with a production capacity of 500,000m3 of desalinated water per day by project completion in 2025, approximately 30% of NEOM’s forecasted total water demand.

In line with NEOM’s environmental goals, it will use advanced and innovative membrane separation technologies to produce water, as well as concentrated brine streams. This enables the brine to be classified as a product, rather than waste, therefore minimizing the plant’s environmental impact and redefining the entire business model for desalination facilities of the future.

Brine generated from the desalination plant will be treated by ENOWA to feed industries utilizing High Purity Industrial Salt, Bromine, Boron, Potassium, Gypsum, Magnesium and Rare Metal feedstocks.

CEO for Middle East Bloc of ITOCHU, Kenji Otsuka, said: "ITOCHU is honored and proud to collaborate with ENOWA and Veolia to develop this landmark desalination plant in NEOM which advances the concept of Zero Liquid Discharge."

"With our global experience, ITOCHU will enhance our contribution to sustainable living in line with the Kingdom’s and NEOM’s goal of creating a decarbonized, recycling-oriented and innovative society."

CEO of Near and Middle-East, Veolia Pascal Grante, said: "Veolia is delighted to partner with ENOWA and ITOCHU to support the development of NEOM. The project is aligned with the circular economy model that Veolia aims to deploy in all its projects worldwide."

The MoU supports ENOWA's ambition to develop advanced green desalination systems and create future water solutions to tackle global water scarcity. ENOWA's water team is changing the future of water supply through pioneering desalination systems and technologies.

Gavin Van Tonder, Executive Director of ENOWA Water Sector, commented: “ENOWA aims to provide a blueprint for green, sustainable water production, management, and treatment, which can be scaled throughout the world. The technology developed as part of this MoU and used in NEOM to provide water could be exported to other countries to tackle global water scarcity."

Launched in March 2022, ENOWA is committed to transforming nature’s abundance through design and technology by taking advantage of NEOM’s clean slate approach and establishing energy, water and hydrogen production and regulation using circular systems and sustainable economic framework, realizing substantial return on investment with zero footprint.



China Mulls Draft Law to Promote Private Sector Development

A Chinese national flag flutters on a financial street in Beijing. (Reuters)
A Chinese national flag flutters on a financial street in Beijing. (Reuters)
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China Mulls Draft Law to Promote Private Sector Development

A Chinese national flag flutters on a financial street in Beijing. (Reuters)
A Chinese national flag flutters on a financial street in Beijing. (Reuters)

Chinese lawmakers are deliberating a draft of the country's first basic law specifically focused on the development of the private sector, the country’s Xinhua news agency reported.

“The law will be conducive to creating a law-based environment that is favorable to the growth of all economic sectors, including the private sector,” said Justice Minister He Rong, while explaining the draft on Saturday during the ongoing session of the Standing Committee of the National People's Congress, the national legislature.

The draft private sector promotion law covers areas such as fair competition, investment and financing environments, scientific and technological innovation, regulatory guidance, service support, rights and interests protection and legal liabilities.

The draft has incorporated suggestions solicited from representatives of the private sector, experts, scholars and the general public, the minister said.

China left its benchmark lending rates unchanged as expected at the monthly fixing on Friday.

Persistent deflationary pressure and tepid credit demand call for more stimulus to aid the broad economy, but narrowing interest margin on the back of fast falling yields and a weakening yuan limit the scope for immediate monetary easing.

The one-year loan prime rate (LPR) was kept at 3.10%, while the five-year LPR was unchanged at 3.60%.

In a Reuters poll of 27 market participants conducted this week, all respondents expected both rates to stay unchanged.

Morgan Stanley said in a note that the 2025 budget deficit and mix are more positive than expected and suggest Beijing is willing to set a high growth target and record fiscal budget to boost market confidence, but further policy details are unlikely before March.

Last Friday, data released by the country's central bank said total assets of China's financial institutions had risen to 489.15 trillion yuan (about $68.03 trillion) by the end of third quarter this year.

The figure represented a year-on-year increase of 8%, said the People's Bank of China.

Of the total, the assets of the banking sector reached 439.52 trillion yuan, up 7.3% year on year, while the assets of securities institutions rose 8.7% year on year to 14.64 trillion yuan.

The insurance sector's assets jumped 18.3% year on year to 35 trillion yuan, the data showed.

The liabilities of the financial institutions totaled 446.51 trillion yuan, up 8% year on year, according to the central bank.

Separately, data released by the National Energy Administration on Thursday showed that China's electricity consumption, a key barometer of economic activity, rose by 7.1% year on year in the first 11months of the year.

During the period, power consumption of the country's primary industries increased by 6.8% year on year, while that of its secondary and tertiary sectors rose by 5.3% and 10.4%, respectively.

Residential power usage saw strong growth of 11.6% during this period, the administration said.

In November alone, power usage climbed 2.8% from one year earlier, according to the data.