Sustainable Infrastructure Holding Company (SISCO Holding), a leading investment company in the Kingdom, announced the signing of a strategic contract between the International Water Distribution Company (Tawzea), in which it holds a 50% stake, and the National Water Company. Under this contract, valued at SAR 133.45 million, Tawzea will provide integrated operation and maintenance services for water network systems and wells in the Madinah region for a period of 36 months.
Project background and national dimensions
This contract comes amidst the major transformations taking place in the Saudi economy within the framework of Vision 2030 , which aims to diversify income sources and enhance the private sector's role in sustainable development. The Vision places paramount importance on the water sector, having launched the National Water Strategy 2030 to ensure water security and improve the efficiency of water resource use. The National Water Company plays a pivotal role in achieving these objectives by engaging specialized private sector companies, such as Tawzea, to elevate the level of services provided to citizens and residents.
Contract details and its importance to Medina
The scope of work of the "Distribution" Company includes the management, operation, and maintenance of the entire water system in Madinah. This encompasses the main and secondary water distribution networks, transmission lines, strategic reservoirs, pumping stations, as well as well systems and various types of valves and related components. These services are of particular importance in Madinah due to its religious significance and the millions of visitors and pilgrims it receives annually, necessitating a highly efficient and reliable water infrastructure to ensure a continuous and uninterrupted water supply.
Expected impact and financial effect
This project is expected to directly contribute to improving the operational efficiency of water networks, reducing water loss (water not being recycled), and ensuring the quality of water supplied to consumers. Economically, the contract reinforces Cisco Holding's position as a key player in the Kingdom's water services and infrastructure sector. The company stated in its filing on the Saudi Stock Exchange (Tadawul) that the positive financial impact of this contract is expected to begin appearing in the company's financial results during the first quarter of 2026, reflecting the long-term vision of its investments. This collaboration represents a successful model of public-private partnership (PPP), a strategic approach adopted by the Kingdom to develop its vital projects.
