Since it awarded a SAR 358 million management contract in 2021, the National Water Company (NWC) has put Riyadh's distribution network and its two largest wastewater treatment complexes under private operation, through three contracts worth about SAR 4.16 billion combined. Concessions that would also move capital spending to private investors are next: NWC planned for advisers to start work in the third quarter of 2026, but no appointment had been reported by 26 October 2026.
Three contracts, two kinds of risk
The first, a seven-year management contract, covers distribution in Riyadh and 22 surrounding municipalities. At its award in 2021 the area was described as about 700,000 customers and about 9 million people. ERWAA Water, owned by Alkhorayef and Veolia, runs it.
Two long-term operation and maintenance contracts followed for treatment: SAR 1.62 billion for the Manfouha plants, with 700,000 m³ a day of capacity, awarded in April 2023, and SAR 2.18 billion for the Heet and Al Haer plants, with 870,000 m³ a day, signed in December 2023. A further 123,000 m³ a day package for the Central Cluster is in preparation.
The missing scorecard
The management contract was built around halving water losses through 290 district metered areas and around continuous 24-hour supply. NWC's 2026 performance presentation gives no loss figure for the contract area. Nationally, NWC reported non-revenue water of 35% in February 2026 against a 27% target, and average supply of 20.45 hours a day. Riyadh's latest city figure, from 2018, put water lost before reaching consumers at 22%.
Why it matters now
The management contract, awarded in 2021, allowed a move to a concession after year three if its targets were met. That makes the contract area's loss results the number bidders for the next round will most want to see.
How will Riyadh's demand change if its population reaches anywhere from 9.6 million to 20 million? How much treated wastewater is reused, and which projects arrive before 2030? The full report answers these questions.
The full report, Riyadh Water Intelligence Report, is available for USD 799 at https://ourfuturewaterintelligence.com/reports/riyadh-water-intelligence-report. For a free overview, see https://ourfuturewaterintelligence.com/cities/riyadh.