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April 2013

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Sector Check (���U.S. Developing Taste for a New Construction Market: Desalination��� continued from page 31) contracts include sophisticated incentives and penalties. ���The 35-month schedule is doable, but there is not a lot of time to waste,��� said Loveland. The site is co-located with the power plant on a constrained 5.7-acre site. Co-location allows Poseidon to take advantage of existing intakes and outtakes from the sea, which can account for about a third of the cost of a desalination plant. They are currently involved in site preparation that includes demolition of existing facilities and soil remediation. Project Partners East Bay Municipal Utilities District/San Francisco Public Utilities Commission/Contra Costa Water District/Santa Clara Valley Water District/Zone 7 Water Agency California Water Service Company City of Santa Cruz/Soquel Creek Water District The People���s Moss Landing Water Desal Project California American Water Monterey Peninsula Water Management District Seawater Desalination Vessel Arroyo Grande/Grover Beach/ Oceano Community Services District West Basin Municipal Water District Poseidon Resources Municipal Water District of Orange County, Laguna Beach County Water District, Moulton Niguel Water District, City of San Clemente, City of San Juan Capistrano, South Coast Water District City of Oceanside San Diego County Water Authority ���For this initial project we were not experienced at building and operating a desalination plant,��� said Yamada. ���A risk transfer to the private sector made sense.��� Yamada would not rule out that for future projects the model might change. Construction of the pipeline began in March, with the SDCWA actively overseeing this portion of the project. It will also provide design review and construction monitoring to ensure compliance with the Water Purchase Agreement. desalination project will be significant. A Poseidon report shows the construction project will inject $396 million directly into the state economy, along with $135 million in B2B transactions that would include expenditures for equipment and maintenance services required from area dealers. Finally, there is a $442 million induced effect derived from local spending on goods and services. More than 2,700 construction jobs will be created over the 35-month construction period, including 347 indirect jobs. Economic Impact The economic impacts of the Carlsbad Recent Water Woes in Texas Have Sparked Interest in Desalination California isn���t the only state where interest in desalination is growing. In 2011 and 2012 Texas experienced some of the worst droughts in the state���s history. That, combined with population growth, has put a spotlight on diminishing water resources and spurred interest in desalination. The 2012 State Water Plan estimates that the Texas population will rise by 82 percent, to 46.3 million residents by 2060. Even if per-capita water consumption falls from current levels through conservation efforts, in absence of new major water projects the state will be short 8.3 million acrefeet of water. That���s an amount equal to about half of Texas���s water supply today. Desalination has grown from 12 plants producing 22 million gallons per day (MGD) to 44 plants producing 120 MGD in 2010. An additional nine plants have been permitted since 2012, according to a February 2013 report from the Texas Water Development Board. In July 2012, the Texas General Land Office announced it would explore the potential of a desalination project on a 2,000-acre tract of land along Interstate 35, between Austin and San Antonio. Despite proximity to the Gulf of Mexico, Texas does not have a large seawater desalination plant; instead most plants convert brackish water to drinking water. Texas has more than 2.7 billion acre-feet of brackish groundwater present in its aquifers. Seawater is more expensive to desalinate due to its higher salt concentration, and it Location Pittsburg Capacity (MGD) 19.2 to 19.8 Not known Santa Cruz 5 2.5, possible expansion to 4.5 10 Moss Landing North Marina Del Monte Beach, Monterey Monterey Bay Oceano 5.4 to 9.0 2 El Segundo 18 10 to 20 2 Huntington Beach 50 Dana Point 15 City of Oceanside Camp Pendleton NSC Agua Rosarito, Mexico San Diego County Water Authority Rosarito, Mexico Source: Pacific Institute 5 to 10 50, expanding to 150 100 25, possible expansion to 75 32 | www.cedmag.com | Construction Equipment Distribution | April 2013 30_Desalination_Feature_KP.indd 32 3/25/13 12:13 PM

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