Wabag Wins 7-Year Deal to Operate Chennai’s Nemmeli Desalination Plant

VA Tech Wabag has announced in a stock exchange filing that the company has secured a significant repeat order valued at approximately ₹415 crores from the Chennai Metropolitan Water Supply and Sewage Board (CMWSSB). The order pertains to the Operation & Maintenance (O&M) of the 110 MLD Sea Water Reverse Osmosis (SWRO) Desalination Plant located in Nemmeli, Chennai, for a duration of 7 years.

This repeat order follows Wabag’s initial O&M contract, which was completed in 2021. After the successful completion of the initial contract, Wabag continued to operate and maintain the plant under an extended contract. Subsequently, CMWSSB issued a public tender for the continued O&M of the plant, which Wabag successfully secured.

The Nemmeli Desalination Plant, inaugurated by the Honourable Chief Minister of Tamil Nadu in 2013, holds the distinction of being India’s first municipal desalination plant designed, built, and operated (DBO) specifically for drinking water purposes. The plant utilises advanced SWRO technology, ensuring the production of high-quality desalinated water while optimising power consumption.

The water produced by this facility is crucial for the residents of South Chennai. It offers a reliable source of potable water and benefits millions of people in the region. This repeat order reinforces Wabag’s reputation as a leader in water management solutions and highlights its continued commitment to delivering sustainable and high-quality services in the water sector.

Commenting on this order win, the CEO of India Cluster at WABAG, Mr Shailesh Kumar, said, “We are extremely proud to secure this repeat order for the Operation & Maintenance of the 110 MLD Nemmeli Desalination Plant. In line with our Growth Strategy, this new order further strengthens our O&M order book, providing annuity income, improving cash flows, and revenue predictability.”

He further added, “This award underscores the continued trust and confidence our client CMWSSB has in our expertise and consistent performance, for which we are extremely thankful. We look forward to continuing our partnership and ensuring the plant operates at peak efficiency, serving the community by providing a safe and reliable water supply.”

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